Starting a Coffee Shop Business in Singapore
Have you ever dreamed about setting up a coffee shop business in Singapore? If you have, then you are on the right track because according to Singstat, the industry is booming at present with the value of food and beverage services totaling 603 million Singapore dollars in 2013, which is a 2.9% increase from 2012. No wonder Singapore is called the Food Capital of Asia. Singapore with its business-friendly environment, flexible tax system and stable economy, is an investor’s delight. Many foreign and domestic entrepreneurs wish to start restaurants and coffee shops here since now is the right time. If you too are aspiring to start a coffee shop business in Singapore, you need to follow some basic guidelines to run it successfully.
At the very outset, planning is vital. Right from budgeting to developing a marketing strategy to a contingency plan, everything has to be considered. Thereafter, you’ll need to raise the capital. You might need roughly 50,000 to 60,000 Singapore dollars to set up shop. In order to make it big in Singapore with your coffee shop business, you require a thorough planning that involves financial projections, marketing strategies, pricing plan, budgeting, suppliers’ list, service standards, operations and hiring policies. It is also highly recommended that you have in place a contingency plan and exit strategy as a safety precaution to help you deal with unforeseen predicaments or emergencies.
It is absolutely essential that your coffee shop business is legitimate. Therefore, you’ll need to take the following steps and acquire incorporation, food shop license, hire staff and do CPF registration; obtain Halal eating establishment scheme, liquor license, entertainment license, registration to import processed food products & appliances and get GST registration. A food shop license costs 195 Singaporean dollars and is valid up to 1 year. You will need some supporting documents for acquiring a food shop license; such as Planning Permission/Change of Use approval, copy of NRIC, copy of ACRA registered Company Business Profile, letter of authorization (if filer option is selected), layout plan of the premises, floor plan (location plan), Tenancy Agreement/Letter of consent, Pest Control Contract, Cleaning programme/schedule, Basic Food Hygiene certificate/Refresher Food Hygiene certificate, documentary proof of vehicle ownership (for food caterers only) and others.
Central Provident Fund Registration
Then comes the part where you’ll hire employees. In addition to the Central Provident Fund registration, a work pass is required. To be able to run a flourishing business in Singapore, understanding the law and legal requirements is crucial. So, for premise alteration and changes, approval from the Urban Redevelopment Authority of Singapore is a must. CUA (Change Use Approval) is mandatory regardless of whether you’re the owner or the tenant. The other requirements include advertisement license if you plan on advertising you coffee shop. If you plan on importing processed food items and appliances, get your business registered with the respected authority; this excludes meat, fish and perishable items like fruits and vegetables. Once all this has been taken care of, you are ready to start minting money.
If you are interested to start a coffee shop business in Singapore, read more from local corporate service provider in Singapore who can assist you along the way.