Beginner’s Guide on Starting a Juice Bar Business in the United Kingdom
Starting a juice bar business is a highly realistic choice if you conceive of a new business, but you don’t know where to start or have minimum start-up money. There are generally modest start-up expenses, food preparation is frequently minimal compared to other food enterprises, and the entry barriers are low. Knowing where to start with little expertise is challenging, so here is a guide to company registration!
You must know what other savory and juice bar companies are in your region. A solid basis for decision-making points includes demographics like age, gender, education, and income. The juice bar market remains in extremely high development, with about 125 juice bar enterprises throughout the United Kingdom. A 2019 survey reveals that 54% of 16 to 24 years olds drink juice at least once a day; one-fifth drink smoothies every day.
In a 2019 Kantar Research, a notable trend shift in sugar consumption from fruit juice to smoothies incorporating vegetables is noticeable. It also revealed customer’s need for more daring juices and smoothie flavors. The survey concludes that 30% of shopkeepers are dissatisfied with the aroma of vegetable juices. Marketers need inspiration from flavors worldwide to entice consumers by innovating new vegetarian juices.
In the UK, vegetarianism and veganism are increasingly popular. The UK sold £4.6 billion in 2019 for fruit juice, juice beverages, and smoothies. Juices and smoothies, particularly those with milk and gluten intolerances, may readily cater to this market. Research indicates that 72% of customers would choose beverages that contain goods of ethical origin over others. In addition, 47% of 16-24-year-olds know about the firm’s ethical commitments on social media.
What Is a Juice Bar Business?
A juice bar is a modest business that involves a large selection of beverages and a few snack products. It offers freshly squeezed juices for fruits and vegetables. Most juice businesses are tiny since a full kitchen or dining space is not required. As nutritious juices are growing and start-up costs are cheap, juices are an attractive enterprise.
Two varieties of juice bars are a permanent café and a movable form of street food. You may establish development strategies with a permanent site and anticipate how many ingredients you need daily. Owning a mobile cart or truck requires no utility and monthly rent payment, allowing you to relocate to a different spot. Kiosks, juice carts, and trucks selling juice and smoothies are popular.
Business Registration Process
Company incorporation services assist in starting a juice bar business. It is also a good idea to investigate to identify which company structure is best appropriate to your budget and goals. In the UK, sole trader, partnership, and limited company are the most fundamental commercial structures. An enterprise has to register with and report annually to HMRC, the tax authorities of the United Kingdom.
If you reach £85 000 in VAT taxable income, you must register your firm with HM Revenue and Customs (HMRC). After you register, you will receive a VAT registration certificate. The number and the date of your first return and payment for VAT need validation. You can register voluntarily if the income is under £85,000.
The firm has to notify HMRC of its self-evaluation payment of tax. Businesses should keep their income and expenditure accounts and submit an annual tax return on self-assessment. Profits and national insurance categories 2 and 4 are subject to income tax. You have to apply for a national insurance number if you relocate to the UK to start a business.
If you apply for one of the following, you must register as a single trader: Between April 6, 2020, and April 5, 2021, you made over £1,000 as a self-employed person. Your firm must establish that it is self-employed to qualify for tax-free childcare. Voluntary Class 2 The benefits are subject to national insurance contributions.
Licensing & Permits
To complement your juice bar business, you will have many health and safety standards. You must register the premises with the environmental health agency of your local authorities at least 28 days before you begin the business. This method does not cost any money. It simply means that a local officer can visit your facilities unannounced to check the safety and sanitary procedures.
You require a food hygiene certificate, food premises clearance, and public liability insurance. License to regulate air and water pollution, business license and approvals such as permits from the Fire Department, and Signing Permits are essential. HACCP Plan is crucial for travel, storage, and preparation of your food. A corporate service provider can grasp the risks posed by transit, storage, and production through food safety and handling certificates.
You may check the uk.gov website to register for a visit from your local authorities. You’d probably want to play some music to launch your juice bar in the proper mood as well. When you start your juice business, you will have to obtain a music license. One from the PLS PRS is obtainable, and the price set depends on your business size and demands.
How to Grow a Juice Bar Business?
Capitalize Food Trends
The food sector is often pleased with new trends, and juice bar companies may take advantage of them. The use of vegan cuisine is widespread so, you may design a plant-based menu on beverages without dairy. As customers become increasingly environmentally aware, you may try to provide your takeout beverages with paper straws in recyclable containers. You may also give consumers that bring their own reusable cups discounts.
Create a Budget
Consider storage expenses, building costs, juicing equipment, licenses and permits, and registration. Determine your fixed and variable monthly costs. Fixed costs do not vary, such as the payment of your storefront rent, your phone bill. Various expenditures, such as juice costs or marketing efforts, become more flexible.
A tedious aspect of budgeting is to estimate your monthly sales after opening. Identify how much you can invest, how much external money you get, and prepare a strategy to pay all your costs. Be as realistic and cautious as possible like 3E Accounting United Kingdom. Estimate your cash flow and establish an emergency fund to cover expenditures if you fail to meet target sales.
Choose the Best Legal Structure
You must choose the best legal structure for your company. It influences how you collect and submit taxes, your income, and your responsibilities. Among forms of legal structure, solely owned companies and limited companies (LLC) are the two most often seen in small enterprises. The Limited companies are identical from a fiscal point of view to solely owned companies.
The default legal form of your company is the sole proprietorships if you do not register for an LLC. Single ownerships combine your personal and corporate funds, so company revenues are like personal income. It implies that personal assets may be at risk if something goes wrong. Small retailers and restaurants opt for LLC because of separate business and personal assets, giving personal protection for bankruptcy.
Equipment & Staffing Requirements
The most important proportion of your beginning costs is probably the equipment. In compliance with health and safety requirements, you need to furnish your facilities with furniture and kitchen appliances. You will also have to acquire a few card machines with your first supply of supplies and drinks. The accounting and payroll management software is convenient for the seamless operation of your bar.
Success depends on the hospitality of employees in operating a juice bar. Determine the number of individuals you need for each position when building up your recruitment plan. Consider recruiting enthusiasts with the relevant skills. You must also obtain insurance for any employee incident at the property; contact 3E Accounting for guidance.
Develop a Marketing Plan
When launching your juice bar, you will have to reflect on how to develop client loyalty. The creation of a loyalty card system is an excellent approach for once-customers to become regulars. Creating a website is an excellent means of presenting the many sorts of juices and promotions offered during the week. You can also plan to build up a system for collecting and ordering online and receiving the product.
Opening a juice bar demands considerable investments, depending on the precise amount of the site and the size. It is strongly advisable to contribute personally to the equity of the firm by immersing your money. You can approach banks and banks to get a loan to fund the startup expenditures. To profit from low-interest or non-interest lending, consider State help for creators.