Starting a burger van business

Empty_pockets
Empty_pockets Posts: 1,068 Forumite
edited 11 July 2011 at 4:47PM in Small biz MoneySaving
Hi

Considering starting a new business.

Just wondering if anyone has any tips or can raise something I may not have thought about.

Location - Private land, outside a nightclub, minimal ground rent.

Licences - I think basic food hygiene is required as well as a ticket from the council/EHO. haven't forgotten about Liability insurance.

Vehicle - Still looking into this

Staffing - Think it'll be difficult to find someone reliable. will have to pay a premium. Prefer for them to subcontract and invoice for hours. So cash in hand, maybe £10ph?

Business model is basicaslly selling chips to drunks.


If I sort all the above...It it as simple as that?
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Comments

  • browneyedbazzi
    browneyedbazzi Posts: 3,405 Forumite
    I've been Money Tipped!
    Hi EP there are a couple of other considerations:

    If you're planning to trade in hot food during the hours between 11pm and 5am (which I would expect you will to cash in on the location outside the nightclub) you'll need a Late Night Refreshments licence as well - the application process is the same as if you were applying for a licence to sell alcohol or have regulated entertainment (Licensing Act 2003).

    Also, talk to the team at your local authority who deal with street trading. Even if you are on private land, if the general public have free access to that land from the highway (ie pavement or road where access isn't restricted and people don't need to pay a fee to enter) then it's still technically street trading and requires that licence as well...some local authorities look the other way on this one, but others strictly enforce so it's worth finding out which camp your LA are in!

    In setting up on private land, there are sometimes also planning issues to consider.

    Not quite as simple as it first appears!
    Common sense?...There's nothing common about sense!
  • Empty_pockets
    Empty_pockets Posts: 1,068 Forumite
    Ahh ok,

    Much appreciated. I'll look into that a bit further.
  • paulwf
    paulwf Posts: 3,269 Forumite
    How often would it be worth opening? If your peak trade is for 3 hours a night 2 days a week is it worth the hassle? How are you going to transport supplies to the van and where will your remote storage be? When will you take in deliveries to your storage unit or when will you go out and buy stock?

    Do you need an electrical hookup? Gas cylinders? Supplies of water for hand washing and cleaning?

    What will you do if the staff member is off sick? How do you know they aren't pocketing half the money? Will staff stick around i.e. who wants to work at 1am on Saturday night dealing with drunks?

    Not sure if I could be bothered with the hassle, for me I'd secure the pitch, kit out the trailer then rent it out and let them get on with it.
  • Empty_pockets
    Empty_pockets Posts: 1,068 Forumite
    The club is a busy one, 2500, weekends only.

    Ground rent has been offered free...though I appreciate this will change in the future.

    Staffing, yes appreiate this will be difficult. Getting some one in to start with and then finding someone who wont give half the stock away to their mates.

    Midweek It will be used, not sure where or when yet.....I think most of the money will be made at the club.

    Stock, power and water, all easy to sort.
  • paddyrg
    paddyrg Posts: 13,543 Forumite
    Feed the bouncers for free!! You will want those guys on your side, so make a big deal about giving them free chips and coffee - costs you pennies, but will pay off manifold!
  • paulwf
    paulwf Posts: 3,269 Forumite
    The club is a busy one, 2500, weekends only.

    Ground rent has been offered free...though I appreciate this will change in the future.

    Staffing, yes appreiate this will be difficult. Getting some one in to start with and then finding someone who wont give half the stock away to their mates.

    Midweek It will be used, not sure where or when yet.....I think most of the money will be made at the club.

    Stock, power and water, all easy to sort.

    I'd be tempted to run it myself for a few weeks to get it off the ground then work out an appropriate rent. Guaranteed profit for a lot less hassle.
  • Owain_Moneysaver
    Owain_Moneysaver Posts: 11,389 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    The club is a busy one, 2500, weekends only.

    But how many portions of chips will you be able to cook/serve within about 10 mins when the club chucks out? Poeple will get bored/angry waiting, and if you equip and staff up for the peak 10 mins you will have a lot of capital tied up earning nothing for most of the evening.
    Prefer for them to subcontract and invoice for hours. So cash in hand, maybe £10ph?

    If they're working for you they're your employees, and if they're willing to be paid cash in hand they're willing to defraud the taxman. Do you really want dishonest employees?

    You will need employee liability insurance and that will be affected by having cash on the premises. You will probably also want cash handling / cash in transit insurance and to arrange night safe facilities at a local bank.
    A kind word lasts a minute, a skelped erse is sair for a day.
  • Savvy_Sue
    Savvy_Sue Posts: 47,097 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    No-one's mentioned refuse disposal, and that could be a much bigger problem than you'd think. If your van is seen to create a litter problem, council will be on you like a ton of bricks. Also if you create any 'nuisance' for local residents - you say it's on waste land, but are there local residents? Will your customers dispose of their uneaten chips and wrappings in a considerate manner?
    Signature removed for peace of mind
  • pleasedelete
    pleasedelete Posts: 2,291 Forumite
    Part of the Furniture 1,000 Posts Combo Breaker
    You will need public liability insurance. Not just employee

    Where will you keep the stock? Will it be fresh or burgers from a can? Frozen chips or fresh- both will need storage.
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