What to arrange when you start a hospitality business
- Gerdine Annaars
- The basis
- Edited 24 May 2024
- 4 min
- Starting
If you want to start your own hospitality business there are many things you will need to arrange. A location, permits, insurance and more. Find out everything you need to know so you can be well-prepared to start your 'horeca' business in the Netherlands.
You often hear that times are tough in the hospitality sector. Prices of energy, staff, and materials have gone up. Many hospitality businesses struggle to find staff. Still, the number of businesses is growing. On 1 January 2024, there were 53,236 hospitality businesses registered with KVK.Â
2020 | 49.919 |
2021 | 51.225 |
2022 | 52.799 |
2023 | 53.315 |
2024 | 53.236 |
Location and premisesÂ
The key to success is choosing the right location. Opening a restaurant on a street where there are alreay 10 similar eateries can be difficult. Hospitality brokers like Funda in Business and Misset Horeca (in Dutch), your municipality's business desk, or your local shopping district manager can give you the details of businesses for sale, as well as vacant or soon-to-be vacant properties. A Koninklijke Horeca Nederland (KHN) regional manager can also assist you.Â
Once you find a suitable property, consider the following:Â
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Are your intended activities allowed under the local environment ? Reach out to the municipality to find out.Â
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How much will you have to pay to remodel or furnish the space so that it complies with the energy-saving obligation? Include the costs in your business plan.Â
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Are the price, term, and conditions negotiable?Â
Brewery purchase obligation
Is the owner of the property a brewery? Then you usually have an obligation to purchase: you must order your beer from that brewery. Negotiate the purchase price before signing the contract. After the contract has been signed, this is often no longer possible.
KVK Company Counter
Find out how many hospitality businesses there are in the area where you want to start your business with the KVK Company Counter. Or to find out which region would be most suitable for your business.
Applying for licences and permits
If you start in the hospitality business, you will soon have to deal with laws and regulations. Think of the Environment and Planning Act and the Alcohol Act (formerly the Licensing and Catering Establishment Act). You will also usually have to apply for permits. A licence is official permission to do something. A hospitality establishment operating licence, for example. You need this when guests eat and drink in your business.
Contact the horecaloket (hospitality sector desk) or the municipality's hospitality adviser. Tell them about your plans and ask what permits you need. It can take weeks or months to get the permit. And do you make a mistake when filling in the application form? Then you run the risk of having to start all over again. So it is useful to know in advance exactly what information the municipality needs from you.
Costs of hospitality licences
The costs of a hospitality licence vary from municipality to municipality. For example, an alcohol law licence costs between 120 and 1800 euros. A licence to serve food and drink costs between 500 and 3500 euros.
Working according to the HACCP rulesÂ
HACCP stands for Hazard Analysis and Critical Control Points. They are rules about preparing and storing food safely. To prevent people getting sick from the food you sell.
As a hospitality entrepreneur, you must have an HACCP plan. You can make such a plan yourself, but most entrepreneurs use a hygiene code. That is a ready-made HACCP plan. If you work according to the rules of the hygiene code, you meet the HACCP requirements. You can order the hygiene for the hospitality industry from Koninklijke Horeca Nederland.
Registration with NVWA
You must also register with the Netherlands Food and Consumer Product Safety Authority . The NVWA checks whether you make and sell food according to the HACCP rules. You have a choice of:
- registration
- applying for recognition
- applying for a licence
For a hospitality establishment, registration is usually sufficient. Please note: you have to register with KVK and apply for before you can register with NVWA.
Social Hygiene diploma
HACCP is often mixed up with the Social Hygiene diploma. But the Social Hygiene diploma is about the rules for selling alcohol.
Financing
To open your own hospitality business, you need money. This is often part savings and part borrowed money, for example from a bank. Do you want to apply for a loan? Then you need a business plan and a financial plan. An accountant can help you with this.
There are more ways to get money, e.g:
- microcredit
- crowdfunding
- Financing by an investor or supplier
Leasing
You don't always have to buy all the equipment for your business. Some items, such as refrigerators or dishwashers, you can also lease.
Register with KVKÂ
Every entrepreneur is required to register with KVK. Make an appointment before you open for business. Before you come by to formalise your registration, complete the online registration form. Are you renting or buying a location? Bring a signed lease or sales contract to the appointment. And if you are becoming a franchisee, bring the franchise contract signed by both parties.Â
Registering before your business opens
If you are not yet open for business, you may already need a KVK number. For example, if you want to:
- apply for permits.
- renovate.
- purchase materials.
- sign a lease or rental agreement.
- apply for a loan.
Fortunately, that does not have to be a problem, as you can register with KVK in advance.Â
Hospitality training
Are you taking a catering course? That is good preparation for your own business. But a catering diploma is not compulsory to register at KVK.
Finding staffÂ
Chances are that you will need helping hands for your business. You can employ staff, use an online supply & demand platform, bring in a temporary employment agency, or hire self-employed professionals. Finding the right people for your business is not always easy. Show people why they should want to work for you: the best businesses draw the best staff. Head to the hospitality inspiration box (KHN, in Dutch) for successful ways to recruit staff, as well as information about collective labour agreements, wages, and model agreements.Â
General information for starters
As well as the topics above, as a starter in the hospitality sector you will also have to think about:
- writing a business plan
- choosing a legal
- keeping records
- paying tax
- limiting your risks
- networking