Industry sector:

Outside caterer: Rent


Depending on the size and scale of your business, you might decide to work from home or to have dedicated business premises - for example an industrial unit. Perhaps you intend to start off small and move into larger premises as your business grows.

Enter in your cash flow forecast the amount of rent you will have to pay for any premises in the months when you will have to pay it.

If you have not yet decided on a particular premises you could contact a local estate agent who handles commercial property to get an idea of how much the rent is likely to be. You should have already given some consideration to the type and location of the business premises that you will require, so they will be able to give you some guidance as to how much you will have to pay.

Bear in mind your premises should be accessible to customers and staff who are disabled.

Your solicitor will help you with the lease agreement but make sure that you are clear about:

  • whether the premises can be used for the purposes you have in mind
  • how frequently the rent will be reviewed
  • how long the lease runs for
  • what you and the landlord are each responsible for
  • the position as regards sub-letting

If you intend to work from home you'll probably need to install a commercial grade kitchen, with sufficient space to store ingredients and prepared food and enough room for several people to work. Your local authority will expect your kitchen to meet the same health and hygiene standards as any other commercial food premises. There's some helpful information about points to bear in mind when running a catering business from home on the Reigate and Banstead Borough Council website.