Insurance protects you from the unexpected. For more information on insurance issues, please contact your Family and Consumer Sciences Extension Agent to borrow the video, Insurance Issues for the Home-Based Business. Return to Table of Content. Pricing for Profit To operate a profitable catering business, you need to decide on a price that is appropriate for the services rendered. Determining the costs of catering an event is the most important part of covering your expenses and earning profits.
Caterers price their services using different methods.
Also, include any shipping and handling costs incurred to acquire these materials. Overhead costs are the variable and fixed expenses that must be covered to stay in business. Variable costs are those expenses that fluctuate including vehicle expenses, rental expenses, utility bills and supplies. Fixed costs include the purchase of equipment, service ware, marketing and advertising, and insurance. After overhead costs are determined, the total overhead costs are divided among the total number of catering jobs expected.