Info on kitchen rentals

Discussion in 'Professional Catering' started by aprilb, Feb 19, 2006.

  1. aprilb


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    Professional Chef
    I have a great opportunity for starting out. I happened upon an individual that is setting up a commercial kitchen and we discussed my renting it for my proposed catering business. They're still setting it up (and want my input) and I'm still in the planning stage getting health permits and whatnot.

    With the Summer/graduation/wedding season coming up at a pretty good clip, obviously a lot of people looking to have parties don't have the space or room to prepare or store items, so this strikes me as a good way to go to be able to cater for slightly larger functions, than say, a dinner party for 20.

    Yes, 2000 + venues look interesting, but I haven't quite lost my mind to that degree yet!

    It would be on demand but I haven't a clue what a rental of this type would go for. Is it a percentage of the proceeds, by the hour (how do you determine that?) or what? It would be great if I had the clientelle to ultimately have to work out a full-time lease with him, but poco a poco.

    Plus, do I add this expenditure into my catering contract? Or is it an expenditure that is automatically included in the profit margin? I mean, I already know there are overhead energy costs to consider when you own your own kitchen, (I've had a jewelry design and manufacturing business) and I do realize that this gets added into the cost equation somehow. I just haven't run into any information on it and don't know if the math is treated differently from my art business.

    So, with that said, any input would be appreciate!

    I'm so confused! <just kidding>

  2. panini


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    I have to words that I use frequently.
    pinballing- which you are doing now and is a huge part of getting to your
    final destination.
    pidgeoning- back in the corp. enviornment. This is when the suits would fly in
    poop all over everything, and fly out.

    Just my opinion:
    Never put yourself in a situation where you will have to disclose your books to anyone.
    Your rent is a basic expense just as COGS,utilities, phones,autos,etc.
    Is this a co=op kitchen? Will there be other renters?
    Thinking hourly would be optimal for you but what's in it for the owner?
    How do you identify what products and equipment are yours and is it secure?
    What is the chain of priority. 2 or 3 people book the 2000+ party on the same day and time. Who get the use of the kitchen?
    If it is offered, say no to flying under their liabilty ins. You will need your own.
    Exactly what imput are they requesting of you? If it's input on a rental situation, then I would give them your speculated current and future needs with nothing in contract. They should be able to come up with what they want for rent or they might not be ready to to this. If it's equipment, guide them in areas of need on big ticket items(like speed fans in convestion ovens for cakes)(the largest mixer they can afford to include a whip speed) I think too many suggestions in this area will come back to bite you if yours are the only needs met and they aren't using the equipment. Ask them for an equipment list and such. They might also be asking for your input just to see if your needs are not as theirs. You can always adapt. I'll shut up now:lol:
    ps needs in contract. I mean don't comitt to business if you've none. not talking about lease.
  3. shroomgirl


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    Professional Caterer
    I'm leasing a church year's lease. Utilities and equipment are included in the rent. The health inspection is under my company so volunteers from the church can use it but not other caterers. I had the Health inspector make a visit to see what would make it come up to spec.
    It needed a new fridge, dishwasher, hood vents and a ton of cleaning.
    I pay set rate, which is low. BUT the church may use it occasionally for their Sunday meals......they left it stocked. Alot of the equipment needed basic repairs which happened as electrcians, gas guys, plumbers came through to hook up the high temp dishwasher.

    I've got locks on the pantry, locks on three my valuables can be stored.

    They need to let me know 30 days prior to when they need it for the church and I have final say.

    I'm a strong believer in flat rate.....there are no variables....I know what's due every month.