Opportunity of profitable food business and things we should know

how to run profitable food business

The industry which has unlimited potential and cannot be completely owned by big corporate is the food industry, a key factor of a successful business is understanding consumers’ problem needs, and providing the best solutions to solve them.

Quality in the food industry depends on the perception of foodies and the type of customers you focus on, in today’s market even a 3-month-old new restaurant can win the hearts of thousands of people with high satisfaction index.

It’s not about Quality alone in the food business, satisfaction also plays a vital role in the growth of your business, so I can put it like this “Right quality at the right price helps you to attain the satisfaction of your customers”.

We have seen the steady and positive growth of businesses that concentrated on limited food variety cooked fresh daily.

Most of the restaurant choice of foodies will have limited items on the menu, the reason is simple food items will be cooked daily and remains fresh and tasty.

One of the bad attitudes of modern restaurants is flooding their menu with 100 of dishes and to provide them at any time, they just cook periodically once in three days and preserve them in the freezer.  Eg: the Famous Briyani chain in Chennai lost its reputation because of this.

Now most of you would have understood the problem of big menus and quality issues.

How to register a food business? 

Basic Business registration   – Choose from Proprietorship business registration / Partnership business registration / private limited company.

So how should we start a food business?

1. If you have enough experience in the restaurant business you can start immediately at the same level of operations in which you have experience, once you have enough regular visitors and minimum business to sustain, you can venture into new food ideas.

2. If you don’t have any experience in the Restaurant business and need to rely on external sources for cooking, then it is recommended to go for small fast food or franchise-type business.

3. If you are very good at cooking and want to make it as a business, it is recommended to launch it as a testing model as an online food supply through Facebook or with a small outlet with minimum investment and understand customers’ preferences and then go for the desired level of business operations.

4. If you are planning to have standard food varieties desired by the local crowd then it is simple to start, but competition will be heavy, and you will not end up in a loss but will not end up in more profits also.

Once you decide on your business model after analyzing customer preferences with your strength, the next activity is finding a good location to start with and arranging the source of finance by bank loans or your own sources.