Start generating business ideas with the Wix Business Launcher →
Starting a business in the catering industry can be a fulfilling and lucrative venture, especially if you have high-level cooking skills and appreciate a fast-paced working environment. In this comprehensive guide, we will take you through the process of how to start a catering business and discuss the things you need such as licenses, a business website and financing. From the initial steps of planning to the final execution, you'll gain valuable insights and practical tips to establish a thriving catering business.
What is a catering business?
A catering business involves providing food and beverage services for various events and occasions, such as weddings, corporate functions, parties and special gatherings. Caterers are responsible for menu planning, food preparation, cooking, presentation, event setup and cleanup. Catering businesses work to provide individuals and organizations with high-quality meals and a seamless dining experience for those who don’t want to cook or serve themselves.
Not 100% sure about your business idea? Use the Wix Business Launcher to evaluate your opportunities based on skill match and profitability. Simply chat with AI about your goals, skills and experience. The Wix Business Launcher will then use proprietary data to make personalized suggestions, plus give you all the market research up front. Get a launch kit as well, complete with all the Wix tools and earning strategies you need to get started right away.
How to start a food catering business in 11 steps
To start your catering business, follow these essential steps:
01. Conduct market research
Research the local catering market, analyze the competition and identify your target customer segments. Understand their preferences, dietary requirements and pricing expectations. This research will help you develop a unique value proposition and tailor your services to meet the needs of your target market.
Start by analyzing the market to identify its strengths, specialties and gaps you can fill. Are there plenty of wedding caterers but few offering eco-friendly or dietary-specific options? Check customer reviews to see where competitors excel and where they fall short. This helps you uncover opportunities to stand out—whether it’s faster delivery, unique menus or exceptional service.
Think about your key customers. Are they small event hosts, corporate clients or health-conscious? Understand their needs, like casual buffets or luxury plated meals, and their budget expectations. Use this insight to offer services that meet their needs in ways competitors don’t.
02. Find your catering niche
Finding your niche is key to standing out in the catering world. Specializing lets your unique style shine, from hosting backyard BBQs to delivering wedding spreads or eco-friendly dining experiences. Focus on what makes your service memorable and lean into it with confidence.
The options are limitless. Trendy ideas like charcuterie boards, food trucks or fusion cuisine can connect you with the right audience while highlighting your expertise. If you’re not sure where to begin, we’ve rounded up some catering niches to give you inspiration.
Types of catering niches
Custom menus for special events: Dishes tailored for weddings, corporate gatherings, private parties, festivals or funerals to suit each occasion's needs.
Cuisine-inspired offerings: Options like vegan meals, BBQ classics, Italian dishes, Thai food or creative fusion menus.
Health and dietary solutions: Gluten-free, keto, allergen-friendly, organic or farm-to-table choices for guests with specific requirements.
Menus for any occasion: Themes for brunches, holiday feasts, picnics, cocktail hours and intimate dinners that match the vibe.
Specialty dining experiences: Interactive food stations, dessert-only spreads, gourmet snacks or food trucks for a creative twist.
Services for specific industries: Ready-made meals for schools, senior communities, film crews or fitness-related events.
Cultural and themed dining: Menus inspired by religious traditions, pop culture, retro vibes and festive holidays.
Convenient delivery options: Meal prep services, family-style kits or corporate meal plans designed for busy schedules.
Sustainable dining choices: Zero-waste packaging, eco-friendly ingredients and plant-forward menus for environmentally conscious events.
03. Develop a business plan
Create a comprehensive business plan that outlines your goals, target market, services, pricing, marketing strategies, financial projections and operational plans. A well-crafted catering business plan will guide your decision-making process and serve as a roadmap for success.
Start with a powerful executive summary that captures your vision at a glance. Follow it with a clear company overview showcasing your cuisine style, service philosophy and ideal clientele. Whether you’re catering boutique gatherings or large-scale events, outline your team structure and how it ensures smooth, professional execution.
Bring your plan to life with a sample menu that highlights standout dishes, creative flexibility and thoughtful attention to dietary needs. Use the market analysis to uncover opportunities in the local food catering landscape and show how your business will rise above the competition.
Show the heart of your operations—inventory management, staffing and delivering flawless events. Wrap it up with precise financial projections and a clear funding plan to prove your business’s potential and attract investors.
A strong plan doesn’t just inform, it inspires. Build excitement and confidence among clients, collaborators and stakeholders by presenting a plan that’s as innovative and driven as your business.
04. Secure financing
Evaluate your financial needs and determine the best ways to raise money for your business. This may include bootstrapping from personal savings, bank loans, small business loans or partnerships with investors. Prepare a detailed financial projection to demonstrate the profitability and sustainability of your business to potential lenders or investors.
05. Choose a business name and legal structure
Select a unique and memorable name for your business. Register your business name and choose a legal structure, such as a sole proprietorship, partnership, limited liability company (LLC) or corporation — For example, learn how to start an LLC in New York or how to start an LLC in Massachusetts Consult with an attorney or accountant to determine the most suitable structure for your business.
For inspiration: Catering business name ideas
Need some further inspiration for your business name? Wix's business name generator can help spark your creativity.
06. Obtain permits and licenses
Research the permits and licenses required to operate a catering business in your area. This may include a business license, food handling permit, alcohol license (if serving alcohol) and liability insurance. Contact the appropriate authorities to understand the specific requirements and ensure legal compliance.
Catering business license checklist
Launching a catering business involves more than just crafting menus and serving delicious meals—it also requires meeting all the proper licensing and regulatory requirements. These can vary by location, so it’s a good idea to consult local authorities and seek professional guidance. Here’s a step-by-step checklist to help you stay compliant and build a strong foundation for your business:
Business registration: Register your catering business with your national, state or local authorities.
“Doing Business As” (DBA): File a DBA if your business will operate under a name different from your legal one.
Tax identification number (EIN): Obtain a tax ID to manage taxes and hire employees legally.
Home business permit: Get a permit if running your operations from home.
Food safety certification: Ensure you and your team are certified in proper food handling and safety practices.
Sales tax registration: Register to collect and remit sales tax for your services.
Catering business license: Secure any specific catering licenses required in your area.
Health and safety permit: Verify that your kitchen meets health regulations through inspections and certifications.
Restaurant food service license: If serving prepared meals directly this license may also apply.
Alcohol license: Obtain proper permits if you plan to sell or serve alcohol.
Zoning and land use permits: Check that your business aligns with local zoning laws.
Data privacy compliance: Protect customer information by following data protection regulations.
Environmental permits: Secure permits for waste disposal or other environmental considerations.
Business insurance: Protect your operation with coverage for liability, property damage, staff compensation and vehicles.
Staying on top of things like organization, timely renewals and understanding how to get a business license keeps your catering business running smoothly. Building a strong foundation like this paves the way for lasting success.
07. Settle into the perfect location and kitchen
Choosing the right location for your catering business sets the stage for success. Even if most of your work happens off-site, your base matters. It’s where clients connect with you and where operations run smoothly.
Think about accessibility—can clients visit easily or pick up orders? Being close to your target market can cut delivery costs and speed up service. If foot traffic isn’t a priority, focus on practicality and cost-effectiveness over a busy downtown spot. Industrial areas outside the city often offer more space for less money. Just be sure to check zoning laws to avoid any issues.
Your kitchen setup is just as important. Prioritize ample prep space, proper storage and organized areas for your equipment. Make sure the facility meets health and safety standards, too. A well-designed kitchen keeps operations efficient and helps you deliver exceptional service. By choosing the right location and planning out your kitchen, you’ll create a strong foundation to help your catering business thrive.
08. Build your team and source equipment
Hire experienced chefs, servers and event coordinators who share your passion for food and customer service. Invest in high-quality catering equipment, such as food warmers, chafing dishes, serving utensils and transport containers. Establish relationships with reliable suppliers to source fresh ingredients and other necessary supplies.
Essential equipment includes commercial-grade cooking appliances (ovens, stoves, refrigerators), food prep tools, storage containers, transport equipment (like insulated food carriers), serving dishes and utensils and cleaning supplies. You can consider renting equipment initially, rather than buying it, to reduce upfront costs.
09. Dish out a menu that customers adore
Creating a catering menu that stands out means focusing on the essentials while adding your unique touch. Start by selecting dishes that balance bold flavors with crowd-pleasing favorites. A clear, diverse menu makes guests feel excited and valued.
Set smart, inclusive pricing that doesn’t compromise on quality. Offer options for dietary needs and incorporate creative details like seasonal ingredients or customizable dishes to make your menu unforgettable. Since presentation matters, aim to make every detail visually appealing.
When you pair a polished menu presentation with thoughtful pricing, you reflect your brand’s personality and create an experience that drives loyalty and keeps your business growing.
10. Master catering pricing strategy
Creating a pricing strategy for your catering business doesn’t have to be overwhelming. Start with the basics: food costs, rentals, labor and overhead. Confirm guest count and menu preferences with your client to get accurate calculations.
Pay attention to the details—linens, glassware and utensils can add up fast. If services like bartending are needed, include them in your pricing upfront. Secure your profits by adding a service charge to cover labor and admin costs. This ensures you’re fairly compensated for the work your team puts in.
Take advantage of smart pricing tools to streamline the process and present clear, transparent rates. Use fixed pricing for smaller events and tiered pricing for larger ones to stay flexible and competitive. Clear, thoughtful pricing builds trust with clients and sets your business up for sustainable growth.
11. Boost your catering with smart marketing
Breaking into the catering industry—or standing out within it—can feel challenging. With so many competitors out there, making an impact takes more than great food. It requires a thoughtful, well-rounded marketing strategy. The first step? Know your audience. Understanding who they are, where they’re located and what they value helps you create a brand voice that truly connects.
A solid marketing strategy starts with a professional, user-friendly website. Use one of the best website builders for small businesses to design a site that features menus, pricing and unique offerings. Optimize it for SEO so clients can find you easily and link your social platforms to boost engagement. Make sure it's streamlined and easy to navigate.
Don’t overlook offline strategies either. Hosting tastings or building relationships with local venues can make a big impact. A beautifully curated Instagram feed and meaningful connections at community events both play vital roles.
If you're looking to start a catering business in a specific state, here are some helpful resources:
Managing a catering business effectively
To effectively manage your catering business, consider the following steps:
Streamline business operations: Implement efficient systems for inventory management, recipe development, event planning and customer relationship management. Utilize technology solutions such as catering management software to streamline processes and improve overall efficiency.
Maintain food quality and safety: Adhere to strict food safety standards and ensure proper handling, storage and preparation of food. Regularly train your staff on food safety protocols and conduct internal audits to maintain consistent quality across all events.
Nurture client relationships: Focus on building strong relationships with clients and providing exceptional customer service. Understand their preferences, communicate effectively and go above and beyond to exceed their expectations. Encourage client feedback and continuously improve your services based on their input.
Monitor finances: Implement robust accounting and bookkeeping systems to track operating expenses, manage cash flow and monitor profitability. Regularly review financial reports, adjust pricing strategies if necessary and invest in areas that drive growth and efficiency.
Invest in professional development: Stay updated with industry trends, attend relevant conferences or workshops and encourage your staff to pursue professional development opportunities. Continuously improve your skills and knowledge to provide the best possible service to your clients.
Promoting your catering business
To effectively promote your catering business, consider these tips:
Showcase your expertise: Highlight your culinary skills, creativity and attention to detail in your marketing materials and on your business website. Utilize professional website builder like Wix to start making a website and then share high-quality photos of your food and events to entice potential clients and demonstrate the quality of your services.
Offer tastings and samples: Organize tasting events or offer free samples to potential clients, event planners and industry influencers. This allows them to experience your food firsthand and can lead to bookings and referrals.
Leverage social media: Use platforms like Instagram, Facebook and X to showcase your menu, events and behind-the-scenes glimpses. Engage with followers, respond to inquiries promptly and share client testimonials to build trust and credibility.
Network with event planners and venues: Build relationships with event planners, wedding venues and other businesses in the event industry. Collaborate on styled shoots, participate in industry events and offer incentives for referrals. Establishing strong partnerships can expand your reach and attract new clients.
Participate in food and trade shows: Attend local food and trade shows to exhibit your catering services and connect with potential clients. Offer samples, distribute brochures or business cards and collect contact information for follow-up.
Seek online reviews and testimonials: Encourage satisfied clients to leave positive reviews on popular review websites, such as Google, Yelp or WeddingWire. Testimonials and reviews from previous clients can significantly influence the decision-making process of potential clients.
Promoting your catering business requires continuous effort and a customer-centric approach. Use a professional logo maker to create a food logo that leaves a lasting impression and elevates your brand identity. With dedication, your catering business can thrive and establish a strong industry presence.
Example of successful catering businesses to inspire you
Discover a variety of catering businesses with sites on Wix to see how they feature their menus, reviews and booking options and check out how to make a business website to establish your online footprint.
Avotasty cleverly uses Wix’s online ordering system to give their catering customers an easy ordering experience. By featuring high-quality food photography and dietary labels, the company demonstrates a commitment to customer service and attention to detail.
Eat Like Aiellos’ website, built with Wix, showcases authentic home-cooked meals made with care to bring families together after a busy day. With its simple and welcoming design, it invites you to savor the comforting flavors of family dining, hassle-free.
Riversong Gourmet's wide array of gourmet dishes and bespoke catering services include drop-off dining, on-site chef and other experiences. The company is committed to using the highest quality ingredients that are regeneratively and sustainably produced.
For more inspiration, you can check out the best catering websites and service business examples to help you get your creative juices flowing.
Why start a catering business? Top benefits to consider
Here are some other reasons why starting a catering business can be a smart choice:
Growing demand: Driven by factors such as busy lifestyles, increased social gatherings and the desire for unique culinary experiences, the global catering services market value is expected to reach $908 billion by 2033, growing annually by 4.5%. People often turn to caterers to handle the complexities of food preparation and service for events, making catering businesses in high demand.
Variety of clients: Catering businesses have the opportunity to serve a diverse range of clients, from individuals hosting private parties to corporations hosting large-scale events. This allows you to cater to different budgets, preferences and occasions, providing a versatile and constantly changing work environment.
Creativity and flexibility: As a caterer, you have the creative freedom to design unique menus and culinary experiences for your clients. You can showcase your culinary skills, experiment with different cuisines and flavors and customize menus to meet specific dietary requirements or themes. Catering businesses also offer flexibility in terms of working hours, allowing you to schedule events based on your availability and preferences.
Profitability: Well-managed catering businesses have the potential to generate significant profits. By offering high-quality food, excellent service and competitive pricing, you can attract a steady stream of clients and build a strong reputation. Additionally, catering businesses often have higher profit margins (around 7% to 8%) compared to traditional restaurants (around 3% to 5%) due to lower overhead costs and the ability to charge premium prices for specialized services.
Networking opportunities: Catering events provide excellent networking opportunities, as you interact with clients, event planners, vendors and other industry professionals. Building strong relationships can lead to referrals, collaborations and repeat business.
How profitable is a catering business?
A catering business can be quite profitable but depends on several factors including location, target market, niche and operational efficiency. Typically, catering businesses can achieve profit margins between 10% to 15% for full-service operations, while more specialized or high-end caterers may see margins up to 20% or higher. Profitability is often influenced by the scale of events, with larger events offering higher revenue opportunities but also requiring more resources.
Initial startup costs can be substantial, covering equipment, kitchen space, licensing and staffing. However, a well-run catering business can quickly recoup these costs. Offering diverse services—such as corporate catering, weddings or themed events—can expand your client base and revenue streams. Upselling additional services like bar options, rentals and custom menus also boosts profitability.
Managing food costs, which typically make up a significant portion of expenses, is critical also. Efficient inventory management, strong vendor relationships and menu planning are essential for being able to make the most of your profitability. Additionally, maintaining a strong reputation through high-quality service and word-of-mouth marketing can lead to repeat business and referrals.
Challenges of running a catering business
While starting a catering business offers many advantages, it's important to be aware of the challenges you may face. Here are some common challenges and how to overcome them:
Seasonality: The catering industry often experiences seasonal variations in demand. Certain months may be busier than others, while the holiday season can bring an influx of events. To overcome this challenge, focus on making sure your catering marketing services different types of events and then diversify your client base to include corporate clients and organizations that host events year-round.
Logistics and organization: Managing the logistics of catering events, including transportation, setup and service, requires meticulous planning and coordination. Invest in reliable transportation vehicles, maintain a well-organized inventory system and have a dedicated team that can handle event setup, food preparation and service.
Food safety and quality control: Ensuring food safety and maintaining consistent quality across multiple events can be challenging. Develop robust food safety protocols, train your staff on proper handling and storage procedures and conduct regular quality control checks. Consider implementing technology solutions to streamline inventory management, menu planning and recipe management.
Recruitment: Hiring and retaining skilled staff, including chefs, servers and event coordinators, can be a challenge in the catering industry. Invest in proper recruitment and training processes to build a reliable and talented team. Provide ongoing training opportunities, competitive wages and a positive work culture to attract and retain top talent.
Not sure if this is the right type of business for you? Here are some other retail business and service business ideas you might be interested in pursuing and how to get started:
How to start a catering business FAQ
How to start a catering business from home?
Running a home-based catering business is a smart way to turn your cooking passion into a career and start a business with little money. First, check local laws—some areas let you cater from home with just a few tweaks, while others may point you toward renting a commercial kitchen or using a shared spot. Once you’re set up, build a website highlighting your services, glowing reviews and drool-worthy food photos. Pair it with social media marketing to engage your audience, share menu updates and collaborate with local vendors for fresh ingredients.