Advice needed

hackneylis

Hello, I currently work for a catering company which has cafes in companies. The company has Served notice that it is terminating the contract with the company I work for, I’ve been notified that I am being made redundant and that there’s no vacancies in any other part of the company. 

I’ve been asked by the garage if I’d like to consider starting a business and running the cafe (not subsidised like it is currently) but need advice on my contract of employment as there’s some wording which I’m worried stops me from doing so. Can someone please help me? 

AskAsk

can you post a copy of the wording you are concerned about?

here is something you should also read if you are looking to setting up a cafe

https://bionic.co.uk/blog/ultimate-guide-to-running-a-cafe/#:~:text=Cafe regulations and licenses to consider&text=Food business registration – if you,alcohol on your business premises.

Ozzuk

How successful was the cafe before closing?  I ask because it is arguably the worst time to run a cafe, and if it was subsidised you need to be clear on what that meant - reduced or free rent/contributions to food to keep prices low?  Losing all that could mean even a strong business failing to meet costs.
Doesn't mean you shouldn't got for it, just do your due diligence, particularly before parting with any cash (start up costs).

Tealblue

hackneylis said:

Hello, I currently work for a catering company which has cafes in companies. The company has Served notice that it is terminating the contract with the company I work for, I’ve been notified that I am being made redundant and that there’s no vacancies in any other part of the company. 

I’ve been asked by the garage if I’d like to consider starting a business and running the cafe (not subsidised like it is currently) but need advice on my contract of employment as there’s some wording which I’m worried stops me from doing so. Can someone please help me? 

Just to be clear - is 'the garage' the company where you are currently working?

gwynlas

There are a number of areas to consider such as is the garage giving you the space to run rent free? What about fixtures and fittings? Do you want to be self employed? How will you cover sickness and holidays? i;m not sure the catering company could holld you to clauses in your current contract if they are making you redundant due to lack of business it is not as though you are undercutting them by going freelance.

eamon

Sounds like some kind  of bus garage to me. Lots of due diligence required and not just because of covid. Yes the big national & regional catering chains have higher costs and that does create a space for a newcomer with less overheads to operate and still make a profit. Do more research, surveys etc and really try and find out what the £ ceiling is that your potential customers would put up with. Covid will be over sometime.