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Catering, Food Handling and Awareness *OnTopic* Forum to educate us on safe food handling. Not specifically for Catering or competition but overall health and keeping our families safe too.


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Unread 04-30-2013, 11:59 AM   #16
cynfulsmokersbbq
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Quote:
Originally Posted by Cayman1 View Post
I'll let the others discuss prices, but from a legal perspective, there are numerous areas that need to be addressed, i.e. are you covered as an Additional Insured under his liability policies, will there be an Indemnity and Hold Harmless Agreement, etc.
Get some legal advice so you don't end up in a big mess for very little profit.
Might add to this, is your business licensed with the city? Does it need to be? If your business is licensed/approved for one location, can you use "His kitchen" and still be covered by the Health Department?
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Unread 04-30-2013, 12:08 PM   #17
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I do something similar for a local bar. We worked hard to cover all of our bases.

I keep all income from the BBQ. It is my baby. I am the top BBQ cook in town, (it's a small town. ) Honestly though, I've built a solid regional reputation that is followed by many of our local and regional BBQ fans. I wouldn't cook for less. HE gets to use my name in his advertising. Much like the bands he hires he gets to use me for a draw to his bar. We will fill the place up, and on a Saturday night that he would normally have a couple dozen pool players and bar sitters, he has a full crowd, buying drinks.
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Unread 04-30-2013, 03:41 PM   #18
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Quote:
Originally Posted by cynfulsmokersbbq View Post
I do something similar for a local bar. We worked hard to cover all of our bases.

I keep all income from the BBQ. It is my baby. I am the top BBQ cook in town, (it's a small town. ) Honestly though, I've built a solid regional reputation that is followed by many of our local and regional BBQ fans. I wouldn't cook for less. HE gets to use my name in his advertising. Much like the bands he hires he gets to use me for a draw to his bar. We will fill the place up, and on a Saturday night that he would normally have a couple dozen pool players and bar sitters, he has a full crowd, buying drinks.
I am actually in a similar situation, except ths place will pack in around 200 on Sundays during the spring summer and fall.
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Unread 04-30-2013, 05:40 PM   #19
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if anyone else has any suggestions hints or anythng that could help me please post
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Unread 04-30-2013, 06:28 PM   #20
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I would only consider a 75% 25% split if it was profits not sales.
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Unread 04-30-2013, 07:02 PM   #21
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I am not in this line of work but did own my own auto repair shop for 15 years so I do have some experience

As long as you have all the legal angles covered, I say just give it a try one time how you think it would work best for you

If it does not work, then you know. either change the arrangement or dont do it anymore.

If it does work, great

Sometimes you just gotta take a chance
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Unread 05-01-2013, 07:49 AM   #22
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Quote:
Originally Posted by landarc View Post
You're going about this backwards, you cannot succeed in the food business basing on other folks menu prices. You will go broke doing that.

1. Set what you are going to serve. Be complete in this, account for all the food on the plate, from main to sides and condiments.

2. Make an estimate of how much food you expect to sell each day, break it down to the point you know all of the components.

3. Find out where you will be buying the foods.

4. Build a detailed shopping list and find out your hard food costs. From there, you can figure out how much each menu item costs you to produce, include fuel, charcoal, wood, spices, your time. From there, figure out how much you can charge using the rule of 3x or 4x food costs. That will tell you what your profit is. From there, you split profit, not gross.

5. Beware, and I mean, do not enter into, any agreement that has you splitting off a share of your gross. Even a 10% share of gross really can mean you make no money. Do your leg work, estimate profit and let him know what you will share of profit.
Quote:
Originally Posted by cynfulsmokersbbq View Post
Might add to this, is your business licensed with the city? Does it need to be? If your business is licensed/approved for one location, can you use "His kitchen" and still be covered by the Health Department?
Quote:
Originally Posted by Cayman1 View Post
I'll let the others discuss prices, but from a legal perspective, there are numerous areas that need to be addressed, i.e. are you covered as an Additional Insured under his liability policies, will there be an Indemnity and Hold Harmless Agreement, etc.
Get some legal advice so you don't end up in a big mess for very little profit.

These are all professionals, listen to their advice...

If not legally covered and protected you could lose your home and everything you own because someone makes a false claim and sues you...
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Unread 05-01-2013, 10:54 AM   #23
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Quote:
Originally Posted by ButtBurner View Post
I am not in this line of work but did own my own auto repair shop for 15 years so I do have some experience

As long as you have all the legal angles covered, I say just give it a try one time how you think it would work best for you

If it does not work, then you know. either change the arrangement or dont do it anymore.


If it does work, great

Sometimes you just gotta take a chance
Kinda hard to change an agreement with a bar owner after the fact. Make sure you have it right first, and if your gonna do it, do it with all you have.
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Unread 05-01-2013, 01:15 PM   #24
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Quote:
Originally Posted by toadhunter911 View Post
Kinda hard to change an agreement with a bar owner after the fact. Make sure you have it right first, and if your gonna do it, do it with all you have.
not if you agree to do it once in on a trial basis
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Unread 05-01-2013, 04:02 PM   #25
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When discussing any split with the bar - you must (as Landarc pointed out) make it a split of the profits NOT sales. Unless the bar is kicking in a % for at least the supplies, then your % will be covering material costs PLUS your time PLUS a VERY marginal profit (maybe). Meanwhile, the bar gets pure profit for their %. Better might be to make a decision on how much you think you'll make in profit - let's say you're clearing $3 per item x 200 people = $600 & offer the bar $100 as "rent" for the day.
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Unread 05-02-2013, 05:27 PM   #26
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A great deal of advice in this thread. I will only add. From the legal aspect.

Get EVERYTHING in writing. i.e. Signed Contract with the bar owner. Just as in any catering gig the contract can save you if it comes to he said/he said should disagreements arise.
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Unread 05-02-2013, 05:39 PM   #27
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I dropped off a proposal today, I proposed and 80-20 split on profit, not net sales. I also recapped some of our conversation like he will order the meats and suppies for sides and I will pay him back. He will keep his cook on for that day to help serve along with his staff and that he would be paying me like an employee under his business, so that I am covered legally under the corporation. hope I covered everythng. I also hope to hear back from him today or by the end of the weekend.
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Unread 05-03-2013, 12:56 AM   #28
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I am not sure I would of went with the "he will order the meats and suppies for sides and I will pay him back". You lose quality control here. If he orders $1.50/lb brisket vs. $3.50/lb then the quality suffers, yet you are going to be blamed for putting out an inferior product. And it is your reputation on the line. Will he show you the actual invoice to back up the cost claim? By the same token, are you able to show a convincing breakdown of your cost and actual profit? That includes salt down to the last grain, charcoal/wood, your fuel getting to and from the bar, taxes and insurance you may be paying, your time doing the paperwork...lots of things to consider when figuring costs and "profit".
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Unread 05-03-2013, 12:56 PM   #29
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Quote:
Originally Posted by rgrizzle View Post
I dropped off a proposal today, I proposed and 80-20 split on profit, not net sales. I also recapped some of our conversation like he will order the meats and suppies for sides and I will pay him back. He will keep his cook on for that day to help serve along with his staff and that he would be paying me like an employee under his business, so that I am covered legally under the corporation. hope I covered everythng. I also hope to hear back from him today or by the end of the weekend.


Good luck!!! Please let us all know how it goes! I love to hear success stories, and I am sure yours will be very successful.

Something for future consideration is him ordering the meats. I assume he uses a Sysco type supplier. I have found that in smaller quantities, it is easier and cheaper for me to use Sam's or Costco, I also get some quality control over what I use. If he is ordering large quantities or has a good vendor agreement with his supplier than his way may very well be the way to go.
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Unread 05-03-2013, 02:40 PM   #30
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For the record, I am not a professional cook anymore. I didn't find it suited me.
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