How to Grow Handmade Catering Business? FSSAI Compliance

The exciting new world of e-commerce can turn your kitchen into a renowned ‘restaurant’ and put you on the path to success. If you’re aspiring to make it big by selling handmade Catering, but don’t know where to begin, this is for you.

If cooking is your passion, then there’s no time like now to turn your passion into a full-time profession. Turn your hobby into a money-making venture by selling homemade meals from the comfort of your hand. You Can Know about Handmade Catering Company

But how do you go about the daunting task of establishing an homemade meals company? In this article, we will divulge the secrets to starting a successful Handmade meals company from hand by outlining the various licenses you need to obtain along with the other legal requirements you need to comply with to commence operations.

Why Should You Obtain FSSAI Registration?

When you sell homemade meals, you need to ensure that people trust your the meal industry. Getting an FSSAI licence is the easiest way to gain credibility and trust. An FSSAI registration proves to your clients that you adhere to the highest standards of quality and hygiene when preparing eatable. You can showcase your FSSAI registration number on the portal you use to sell your meals to assure your customers that you will not compromise on their safety.

Do I Need to Register With the FSSAI?

All company operators in India must register with the FSSAI as per the Safety and Security Act, 2006. So yes, you will need to register with FSSAI: https://www.fssai.gov.in/ if you wish to sell homemade meals in India. In case you are operating on a tiny scale, just a basic FSSAI registration will be sufficient, whereas if you wish to operate on a larger scale you will require a license. 

The decision regarding whether or not to obtain an FSSAI license or registration also depends on the industry turnover. The three options available to people who wish to sell homemade meals are as follows:

• Registration via Form A in case annual turnover falls below ₹12 lakhs
• State license via Form B in case yearly turnover lies between ₹12 and ₹20 lakhs
• Central license via Form B in case annual turnover exceeds ₹20 Lakhs 

Moreover, in case a restaurant operates in more than one state, then the head office must obtain an additional central license. However, in most cases, selling homemade meals is a local affair that requires only FSSAI registration. To know more about which category of registration or licensing is most suitable for your meals venture, contact the experts at Vakilsearch.

Documents Required for FSSAI License

Some of the documents which may be required to obtain an FSSAI license are:

1. Duly filled and signed Form A/Form B
2. 2 Passport size photographs
3. PAN card of the intended owner
4. Proof of address of the industry premises
5. Partnership deed/incorporation certificate/articles or memorandum of association
6. List of items 
7. Declaration form
8. Authority letter
9. Form IX: board resolution

Procedure for Handmade Catering Company

1. Before you start such a company, you will first need to do a market analysis to understand exactly what to make and how to sell it. Find a gap in the market and look for ways to position yourself as a means to fill that gap, making that your unique selling proposition
2. You will then need to find local vendors and suppliers who can help to deliver at competitive prices. Meanwhile, you will also have to come up with a brand-conscious packaging and labelling system that sets you apart from your competitors
3. Next, get your homemade meals company registered with FSSAI
4. In case you wish to expand in the future, you will have to obtain a GST registration as you might cross the taxation threshold for exemption
5. Contact your local health department and municipality to learn about further legal requirements before you proceed
6. Next, decide upon whether you want to join forces with other e-commerce platforms or want to do your own delivery. In case you want to partner with a platform, register on their portal, and complete the verification process
7. If not, you will have to set up your website or app to take orders. Create a website and list your menu along with the prices of the items. To set competitive meals prices, compare your products with your competitors, by analysing the market
8. In case you want to opt for payment over the instead of offering cash on delivery, you might also have to partner with a payment platform to ensure smooth transactions
9. Initially build a good word-of-mouth-based clientele and offer them discounts and offers so that they spread the word about you
10. Most importantly, remember to be creative when it comes to branding and marketing. Lastly, keep coming up with innovative marketing strategies to help grow your brand organically.

Important Considerations While Setting up an Homemade Meals Company

1. The FSSAI license’s validity ranges between one to five years. As per FBO rules, all homemade meals company must apply for a renewal at least 30 days before the date of expiry of their license. In case they miss the deadline, they will have to pay a penalty of ₹100 for each day renewal is delayed. Hence, every homemade fmeals company must keep track of its license validity
2. In case the authorities find that a meals company has not registered with the FSSAI or is non-compliant with their terms, there will be severe legal repercussions. Operating without a license can lead to imprisonment or a fine amounting up to ₹5 lakhs. And selling sub-standard meals can result in a fine of up to ₹5 lakhs
3. If you wish to expand your company in the future, it might help to register as a entity. In such cases, it is initially preferable to incorporate as a sole proprietorship, LLP, or partnership
4. Melas safety laws differ slightly throughout India. Hence, it is best if you contact a local lawyer well-versed in municipal ordinances. This is to ensure you have met all the required compliances
5. In some instances, you might require other licenses to start a homemade meals company. Some of the permits that you might need to obtain are as follows:

• Shops and Establishments Act license
• Trade license
• NOC from fire brigade, police, municipality, and society
• Eating house license and signage license
• Environmental clearance.

How Can VakilSearch Assist?

Our team of legal experts will be able to provide you with the guidance you require to start a successful homemade meals company. Here’s how: 

1. We can help identify the type of license and registrations that you need to start your venture
2. Our lawyers can help obtain and organize all the documentation necessary to be submitted for registration and verification
3. Additionally, we also provide services related to incorporation, enabling you to register your company quickly and efficiently
4. Most importantly, our team can help you procure all the other ancillary license and tax registrations you will need to make your company compliant all around.