Sign up
Log in

Category: Industry Insights

Crafting a Procurement Plan for Your Restaurant: A Comprehensive Guide

Posted on by Ronnie
Craft a procurement

Crafting a Procurement Plan for Your Restaurant: A Comprehensive Guide

What is Procurement?

Procurement is the strategic process of acquiring goods and services from external sources to meet an organization’s needs. It involves identifying requirements, sourcing suppliers, negotiating contracts, managing supplier relationships, and ensuring timely delivery and quality of goods and services.

A well-structured procurement plan is the backbone of a successful restaurant business. It ensures the timely delivery of quality ingredients, minimizes costs, and optimizes operations. Here’s a detailed guide to help you create a robust procurement plan for your restaurant:

Define Your Needs

  • Menu Analysis: Thoroughly analyze your menu to identify all ingredients required.
  • Quality Standards: Establish specific quality standards for each ingredient, including certifications, freshness, and origin.
  • Quantity Requirements: Determine the quantity of each ingredient needed based on your projected sales and inventory turnover rate.

Identify Suppliers

  • Local Sourcing: Prioritize local suppliers to support your community and reduce transportation costs.
  • Supplier Evaluation: Evaluate potential suppliers based on factors like:
    • Reliability
    • Quality
    • Price
    • Delivery time
    • Sustainability practices
  • Build Strong Relationships: Foster strong relationships with your suppliers to ensure consistent supply and negotiate favorable terms.

Develop a Purchasing Process

    • Purchase Orders: Create a standardized purchase order format to clearly communicate your requirements to suppliers.
    • Inventory Management: Implement an effective inventory management system to track stock levels, minimize waste, and optimize ordering.
    • Receiving Procedures: Establish strict receiving procedures to inspect incoming goods for quality and quantity.
    • Payment Terms: Negotiate favorable payment terms with suppliers to manage cash flow.

Implement Cost-Control Measures

    • Bulk Purchasing: Consider bulk purchasing to benefit from discounts and reduce ordering frequency.
    • Negotiation Skills: Develop strong negotiation skills to secure the best prices from suppliers.
    • Waste Reduction: Implement strategies to minimize food waste, such as proper storage, portion control, and creative menu planning.

Consider Sustainability

  • Sustainable Sourcing: Prioritize suppliers who use sustainable practices, such as organic farming and ethical sourcing.
  • Reduce Packaging: Minimize packaging waste by opting for bulk purchases and reusable containers.
  • Energy Efficiency: Implement energy-efficient practices in your procurement and storage processes.

Monitor and Evaluate

  • Performance Metrics: Track key performance indicators (KPIs) like supplier performance, inventory turnover, and food cost percentage.
  • Regular Reviews: Conduct regular reviews of your procurement plan to identify areas for improvement.
  • Adapt to Changes: Be flexible and adapt your plan to changing market conditions, customer preferences, and supplier availability.

By following these guidelines, you can create a procurement plan that maximizes efficiency, minimizes costs, and ensures the consistent delivery of high-quality ingredients to your restaurant.

Watermelon Ecosystem is a one-stop solution for all your restaurant procurement needs. Here's how they can help you streamline your procurement process:

  • Extensive Network: Access a vast network of trusted local and regional suppliers, all in one place.
  • Simplified Ordering: Generate and manage digital purchase orders with ease.
  • Inventory Management Tools: Track stock levels, optimize ordering, and minimize waste with built-in features.
  • Communication & Relationship Building: Foster stronger relationships with suppliers through the platform’s communication tools.
  • Cost-Saving Opportunities: Access bulk purchase options and negotiate better deals with suppliers.
  • Sustainability Focus: Find suppliers committed to sustainable practices and eco-friendly packaging
View All

Discover the

Watermelon Ecosystem

Join our ecosystem and revolutionize your F&B business today.

Linkedin Instagram Whatsapp Youtube
Sign Up Now

The Vital Role of Sustainability in the Food & Beverage Industry

Posted on by Ronnie

The Vital Role of Sustainability in the Food & Beverage Industry

Sustainability is no longer just a buzzword; it has become a critical component of every industry, including Food & Beverage (F&B). As consumers demand more eco-friendly and socially responsible products, businesses are recognizing the importance of integrating sustainable practices into their operations. The journey towards sustainability involves reducing environmental impact, enhancing operational efficiency, and fostering community relationships—all while maintaining profitability and quality. For platforms like Watermelon Ecosystem, the goal is to champion sustainability by supporting local farms, reducing costs, and increasing productivity, ultimately building a resilient and responsible food supply chain. This blog will explore the significance of sustainability in the F&B industry, its benefits, and practical strategies for implementation.

What is Food & Beverage Sustainability?

Food & Beverage sustainability refers to practices that reduce the environmental footprint of the industry while supporting economic viability and social equity. This includes sustainable sourcing, waste reduction, energy efficiency, and community engagement. By addressing these areas, the F&B industry can contribute to a healthier planet and a more resilient supply chain.

The Importance of Food & Beverage Sustainability

The F&B industry has a significant impact on the environment, from resource-intensive agriculture to waste generation. Sustainability is crucial for mitigating these effects, ensuring long-term resource availability, and meeting growing consumer expectations for ethical and eco-friendly practices. Moreover, it helps businesses comply with increasing environmental regulations and fosters brand loyalty.

The Benefits of Implementing Sustainable Practices

  • Adopting sustainable practices offers numerous benefits, including:

    • Cost Savings: Reducing energy consumption and waste can significantly lower operational costs.

    • Improved Brand Reputation: Demonstrating a commitment to sustainability attracts eco-conscious consumers and strengthens brand loyalty.

    • Regulatory Compliance: Staying ahead of environmental regulations minimizes legal risks and enhances industry standing.

    • Supply Chain Resilience: Sustainable sourcing ensures the long-term availability of essential resources.

    • Innovation Opportunities: Investing in sustainability often drives technological advancements and new product development.

Sustainable Sourcing

  • Defining Sustainable Sourcing

    Sustainable sourcing involves obtaining raw materials in a way that considers environmental, social, and economic factors. It emphasizes the use of renewable resources, ethical labor practices, and minimizing harm to ecosystems.

    The Impact of Sourcing on the Environment

    Unsustainable sourcing practices contribute to deforestation, loss of biodiversity, and climate change. Conversely, sustainable sourcing supports the preservation of natural habitats and reduces carbon footprints.

    Sustainable Sourcing Strategies

    • Partnering with local farmers and suppliers.

    • Prioritizing organic and fair-trade certified ingredients.

    • Utilizing renewable or biodegradable materials.

    Best Practices for Sustainable Sourcing

    • Conduct supplier audits to ensure adherence to sustainability standards.

    • Invest in traceability systems to monitor the origin of materials.

    • Educate suppliers about the importance of sustainable practices.

    Case Studies of Successful Sustainable Sourcing

    Explore examples of businesses that have successfully integrated sustainable sourcing, such as companies partnering with regenerative agriculture initiatives or transitioning to fully recyclable packaging materials.

Waste Reduction

Understanding Food & Beverage Waste

Food waste includes discarded ingredients, expired products, and inefficient production processes, all of which contribute to environmental degradation and financial loss.

The Environmental Impact of Food & Beverage Waste

Food waste generates significant greenhouse gas emissions during decomposition and represents a waste of resources such as water, energy, and labor.

Waste Reduction Strategies

  • Implement inventory management systems to prevent overstocking.

  • Donate surplus food to local charities.

  • Recycle and compost organic waste.

Implementing Waste Reduction in Your Business

  • Train staff on waste management best practices.

  • Collaborate with waste management companies to develop efficient disposal systems.

  • Use technology to track and optimize resource usage.

Case Studies of Successful Waste Reduction

Highlight businesses that have achieved waste reduction goals, such as restaurants turning food scraps into compost or companies donating surplus food to reduce landfill contributions.

Energy Efficiency

The Importance of Energy Efficiency in Food & Beverage Businesses

Energy efficiency reduces operating costs and lowers greenhouse gas emissions, contributing to a more sustainable industry.

Common Sources of Energy Consumption in the Industry

  • Heating, cooling, and refrigeration systems.

  • Cooking and food processing equipment.

  • Lighting and facility operations.

Energy-Efficient Practices for Food & Beverage Businesses

  • Upgrade to energy-efficient appliances and machinery.

  • Install LED lighting and smart thermostats.

  • Regularly maintain equipment to ensure optimal performance.

Innovative Technologies for Energy Efficiency

  • Utilize renewable energy sources such as solar or wind power.

  • Invest in energy management systems for real-time monitoring.

  • Adopt heat recovery systems to reuse waste energy.

Case Studies of Successful Energy Efficiency Implementation

Share success stories of F&B businesses that have reduced energy consumption through innovative technologies and efficient practices.

 

Thoughts?

The Future of Food & Beverage Sustainability

As the F&B industry continues to evolve, sustainability will remain a key driver of innovation and growth. Businesses must adapt to changing consumer preferences, environmental challenges, and regulatory landscapes. This is where platforms like the Watermelon Ecosystem play a crucial role in shaping a more sustainable future for the F&B sector.

Taking Action for a More Sustainable Future

Embracing sustainability is a collective effort. Initiatives like the Ministry of Climate Change and Environment’s ‘National Farms Sustainability’ program exemplify how collaborative efforts can drive progress. By prioritizing sustainable practices and aligning with such initiatives, the F&B industry can lead the way toward a more responsible and resilient future.

Continuing Education and Improvement

Sustainability is an ongoing journey. Regularly evaluating and improving practices ensures businesses remain at the forefront of the industry and contribute meaningfully to global sustainability goals.

View All

Discover the

Watermelon Ecosystem

Join our ecosystem and revolutionize your F&B business today.

Linkedin Instagram Whatsapp Youtube
Sign Up Now

How to Get a Reliable Supplier in the UAE F&B Industry

Posted on by Ronnie
Off-duty guide dogs often wear ...

How to Get a Reliable Supplier in the UAE F&B Industry

Finding a reliable supplier is one of the most crucial steps for success in the food and beverage (F&B) industry, particularly in the UAE. With its thriving food scene and diverse consumer base, securing the right supplier can significantly impact your product quality, operational efficiency, and customer satisfaction. Here is a comprehensive guide to help you navigate the process of finding a supplier tailored to the UAE market.

Define Your Needs

Before starting your search, understand your business’s specific needs:

  • Type of Products: Are you sourcing fresh produce, packaged goods, or specialty items like organic, halal-certified, or gluten-free options? Halal certifications are particularly important in the UAE.

  • Volume: Calculate the amount you’ll need regularly to avoid overstocking or shortages.

  • Quality Standards: Determine if you require certifications like HACCP, ISO 22000, or UAE-specific food safety certifications.

Research and Shortlist Potential Suppliers

The UAE offers a mix of local and international suppliers. Use the following resources to compile a list of potential suppliers:

  • Industry Directories: Look for suppliers in directories like Dubai Chamber or Abu Dhabi Chamber.

  • Platforms: Explore platforms like Watermelon.market to discover local and sustainable suppliers, such as Palmade Biodegradable Cutlery, which aligns with eco-friendly initiatives.

  • Trade Shows: Attend events like Gulfood to connect with industry professionals and explore new partnerships.

Evaluate Supplier Credentials

  • Look for suppliers with:

    • Experience in the UAE Market: Suppliers familiar with the UAE’s F&B sector and regulatory environment.

    • Positive Reviews: Check online testimonials, references, and local business networks.

    • Compliance: Verify their adherence to UAE health, safety, and food handling regulations.

Request Samples and Conduct Quality Checks

  • Always request product samples to evaluate:

    • Freshness: Especially for perishable items.

    • Packaging: Check for compliance with UAE labeling and packaging standards.

    • Taste and Texture: These can make or break your brand’s reputation in a competitive market.

Negotiate Terms and Pricing

To streamline the process of negotiating terms and pricing, consider leveraging platforms like Watermelon.market. This platform allows you to connect with suppliers who are transparent about their pricing structures and terms, simplifying comparisons and negotiations. Key areas to focus on include:

  • Pricing: Watermelon.market helps you find competitive rates while ensuring high-quality products. Utilize the platform’s filtering options to compare suppliers based on cost and certifications.

  • Payment Terms: Look for suppliers offering flexible payment solutions suitable for new or small businesses. Like the Buy Now Pay Later option.

  • Delivery Schedule: Ensure suppliers provide consistent and timely delivery options, which you can monitor through Watermelon.market’s integrated tracking system.

  • Return Policies: Many suppliers on Watermelon.market highlight their return and refund policies, helping you make informed decisions.

Prioritize Sustainability

Consumers in the UAE increasingly favor businesses that champion sustainability. Opt for suppliers who provide:

  • Eco-Friendly Packaging: Reduce waste with biodegradable or reusable materials.

  • Locally Sourced Products: Minimize carbon footprint by sourcing from UAE farms and local producers.

  • Ethical Practices: Partner with suppliers who support fair trade and responsible sourcing.

Build Strong Relationships

After finalizing your supplier, maintain a healthy partnership by:

  • Regular Communication: Stay updated on stock availability and any changes in pricing or delivery schedules.

  • Feedback Loop: Share constructive feedback to improve quality and services.

  • Reliability Checks: Periodically review their performance to ensure consistency.

Conclusion

Finding the right supplier in the UAE’s F&B industry requires thorough research, evaluation, and a focus on quality and sustainability. Partnering with trusted suppliers can streamline your operations, enhance your offerings, and build a loyal customer base. Platforms like Watermelon.market can connect you with a network of suppliers tailored to your business needs in the UAE.

By prioritizing quality, reliability, and sustainable practices, you’ll set a strong foundation for your F&B business’s long-term success in the UAE.

View All

Discover the

Watermelon Ecosystem

Join our ecosystem and revolutionize your F&B business today.

Linkedin Instagram Whatsapp Youtube
Sign Up Now

A complete business plan to open a small café

Posted on by Ronnie

A complete business plan to open a small café

Creating a new café business plan from scratch might not be everyone’s cup of tea. But if it’s yours, we have got your back.

Do you intend to start a café? Have you wanted to accomplish it for a while and are now in a situation to finally turn your dream into a reality?

No matter how much time you spend developing your idea and studying the market, your restaurant is certain to fail without adequate preparation.

A complete business plan to open a small café or cafeteria will offer a framework that helps you plan and forecast all aspects of managing and operating a cafe, including the menu, location, competitive analysis, market research, sales, finances, employee development, and much more. 

This solid groundwork aids in turning your café concepts into a reality.

Continue reading for examples, advice, and all the information you require to open a café business and draft your first café business plan.

Ingredients for a perfect Café business

Up to 60% of all café business closes in their first year of opening. And the main reason for this is inadequate experience in business planning. In the early days, the hidden ingredient of running a successful café business was all about the perfect location. 

But now, there is plenty more to go on. Here are some of the things that you must ensure to get more customers and turn them into regulars.

Coffee products

Quality first: The secret to café business success is quality. You need to ensure,

  • Top-notch ingredients.
  • The most excellent brewing recipes.
  • Consistency.
  • Fresh and appetizing sweet.
  • Savory varieties.

Product selection: Offer the best-selling goods on the market along with something distinctive that sets you apart. Get in touch with consentient suppliers from a marketplace like Watermelon to stay consistent with the menu you offer.

Seasonality:

Use seasonal items and events to your advantage. All year long, coffee is relevant. Keep in mind the benefits of cold brew as well! Be creative with seasonal events and adjust your menu accordingly.

Café service and your Barista

  • It is a tremendous blessing to have talented baristas on staff! Another is to have them committed. Training your staff, encouraging their professional growth, and ensuring they are familiar with your items are crucial.
  • Customer service can either be excellent or terrible. The customer is able to interpret your attitude, mood, and body language. This is just as significant as the product knowledge the barista may provide. Speak in the clients’ tone, get to know your regulars, and influence the buying decision!
  • Additionally, addressing the consumer while being productive and present at the same time can sometimes end badly. Be quick yet not frantic! When speaking with a customer, put down the phone and stop conversing with a coworker.

Customize the customer journey

  • One receives a lot more than simply a cup of coffee when they buy one. It’s better to plan the service design thoroughly than not at all. Visiting your cafe is never only about making a purchase or paying money; it’s always about having a good time.
  • Does the outside of your coffee shop attract customers? What about interior features like lighting, colors, music, acoustics, and lovely elements to view, touch, and explore?
  • Make a checklist for each shift’s cleanup, and be sure to mention the condition of the restrooms!
  • From door to the table, the customer experience should be seamless. It can sometimes be beneficial to put yourself in their shoes and move independently. Are there any obstacles in the way of a smooth journey? Are the products presented attractively and clearly? Do you get a warm greeting from your barista every time?
  • The machinery and equipment should be realistic and able to handle the volume, menu, and baristas’ skill levels. If the workspace is not well-planned, it might affect service in addition to ergonomics and safety.

Don’t forget about the Location

Even though the location is not the only thing that ensures success for a café business, it sure does make a significant impact.

To find the best location for your business, here are some key factors that you should take a look at.

  • Demographic.
  • Competition.
  • Nearby Businesses.
  • Traffic time.
  • Living cost.

Demographic

Let’s start by discussing the “who” your cafe should be catered towards. You must research the locals in the location you are contemplating. There are certain persons who are more likely to seek out coffee than others.

As a result, you should search for a place where there are more of the folks we’re talking about. Students, parents, consumers, and a variety of workforces are examples are the best examples of your target demographic.

So your café can be located around,

  • College campus.
  • Shopping centers.
  • Business centers.
  • High schools.

Competition

It is crucial that you understand the level of competition in the area you are considering. If you create a cafe or other coffee-related business in a highly competitive area, your chances of success will be substantially reduced.

Here are some locations that you should avoid,

  • Near Big café chain store.
  • Near locally owned coffee shops.
  • Near cheap coffee alternatives.

Nearby Businesses

So, we just discussed a few specific coffee shops that you should aim to avoid locating your business next to. Let’s now discuss companies that, if you’re nearby, can truly aid boost your sales. These establishments are situated in areas where you should be conducting business.

  • Gyms.
  • Libraries. (You can not find a better duo than books and coffee)
  • Businesses that have a wait time, like Grooming and transportation stations.
  • Family fun activities like zoos, aquariums, and playgrounds.

Traffic time

You must take into account both the location you select and the hours of the day when the area will be busiest. Not every venue is crowded at once. If you intend to keep your business open exclusively during specific hours, you must choose your location depending on the amount of traffic during those hours.

Living cost

You must also consider the budget when selecting a venue. There will be price differences between different places. The amount you may charge for the products on your menu will also be influenced by the living cost in the region.

The business plan to open a café business

A coffee shop business strategy is fundamentally a description of your company’s idea and its strategy for success. It provides answers to queries like what it will cost to open a business, how all those expenses will be covered, and how much revenue you anticipate from your café. 

Details about your competition, target audience and price structure are all included in a coffee shop business plan. You can get valuable data from websites like Restaurant.org to get things started for your plan.

When complete, your strategic plan can be presented to potential backers, partners, investors, and anyone else who can assist you in opening your café.

Here are the main parts of your business plan that should be included:

  • Executive summer.
  • Business concept.
  • Financial planning.
  • Operations.
  • Costings
  • Digital marketing plan
  • Menu
  • Staff strategy and cost
  • Location
  • Layout of your Café.
  • Service planning.
  • SWOT analysis.

You can check out the following business plans to take inspiration from.

Executive summer tips

The executive summary will be the first thing a reader can understand when they view your business plan. This provides a general summary of every section of your business strategy. Reading examples will help you gain a sense of how the executive summary is phrased and how all of the material is presented. A strong executive summary will open doors for you.

Determine who will see your strategic plan, just like you did when you considered the clients who will frequent your soon-to-be-opened café, and write the introductory paragraphs with that reader in mind. Your executive summary serves as the most crucial marketing resource your café has as you are ready to start.

Pro tips on writing an executive summary:

  • Make sure your summary stands on its own and can be used as a condensed version of the overall plan.
  • Include research data and cite the research on the plan.
  • Only focus on the positive. The risk and challenges can be introduced in the body of the business plan.
  • Start things off with a BANG. Offer inspiring quotes or an intriguing stat to get your reader’s attention.

Cost of running a café

The secret to effective company planning is to visualize your anticipated costs. This might assist you in determining what you must spend and how you will do so. Don’t forget that there are other options besides mere cash on hand to pay for these expenses, such as loans, grants, and leases.

A good rule of thumb is to start with working capital of 200000 AED to start your business. This capital will take care of all your initial costs, including,

  • Your shop rent for the quarter.
  • Inventory purchases for the first quarter.
  • three3 months of salary for your staff members
  • Decorative costs ( Can vary significantly depending on your goal)
  • Kitchen equipment including, fryer, coffee machine, freezers, etc.
  • Utility bill for the quarter.
  • Leasing costs.
  • Licensing costs.
  • Both physical and digital market costs prior to the initial opening.

What license do you need to open a Café business?

The sort of license needed for a café primarily relies on the services you intend to provide. For a better understanding, look at the list below.

• A trade license, which you’ll require after your business is registered.

• Food license – These licenses are needed to handle, produce, and process food.

• Liquor license: The police department often issues liquor licenses.

• A letter of no objection from the Municipality may also be required.

• Construction license – This is only relevant if you intend to launch your firm in a brand-new structure that will be constructed specifically for the enterprise.

How to get a trade license for your café?

In order to get your hands on the trade license, you need to collect all the documents mentioned below and apply.

The required documents are,

  • DED’s initial approval letter.
  • A complete and thorough business plan.
  • Tenancy agreement for premises.
  • Restaurant’s floor design and blueprints.
  • Memorandum of Association.

Menus and designs for your Cafe

You undoubtedly have grand plans already and envision your café operating. Set the objectives you have for your café and the ambiance you wish to foster. To get ideas for just how your café should look, the cuisine you’ll serve, or how you want your guests to feel once they walk through the door, start gathering images, brochures, and design concepts.

Having a clear idea will make it easier for you to be persistent when making decisions on the brand, the decor, the menu, the coffee, the mugs, and the way you’ll interact with clients.

Once you have a clear vision and brand image in mind, here are some tools that you can use to create stunning menus.

Design Hill alone has over 120 thousand customers with a 98% customer satisfaction rate. So, make sure to utilize this tool when creating your menu.

All your menu design must be,

  • Divided into logical sections like sides, coffee, sweets, add ons, and such.
  • Use eye-catching illustrations.
  • Try not to emphasize the currency sign.
  • Use typography that resonates with your business.
  • Try using light and relaxing colors as the base and dark and less vibrant colors for the highlight.

Must have equipment for a café business

Cafes are much more than just efficient espresso makers and a skilled baristas. To make your espresso and light meals, various other tools are required.

This includes,

  1. Ovens.
  2. Espresso machine.
  3. Cold brew toddy.
  4. Grinders.
  5. A wide range of ranges and grills.
  6. Microwaves.
  7. Ice makers.
  8. Food prep equipment.
  9. Safety equipment.
  10. A robust POS system.
  11. Kitchenware.

Final thoughts

Instead of leaving everything to chance, make sure to have a solid plan that will carry your business to success. Even though it may seem complicated, making a complete business plan to open a small cafe or cafeteria is a crucial step you should follow before opening a café.

A well-written business plan demonstrates both to your investors and to yourself why your café is capable of success.

Stay tuned for more updates, and good luck with your new Café Journey.

View All

Discover the

Watermelon Ecosystem

Join our ecosystem and revolutionize your F&B business today.

Linkedin Instagram Whatsapp Youtube
Sign Up Now

Discover the

Watermelon Ecosystem

Join our ecosystem and revolutionize your F&B business today.

Linkedin Instagram Facebook Youtube
Get In Touch