Things to Consider When Launching a Food Delivery Business


We all need it to survive, but for many people, food represents so much more than that. It’s a chance to broaden our horizons, explore different cultures, and bond with our loved ones. With that in mind, it’s little wonder there were almost 90,000 restaurants and mobile food enterprises in the UK as of 2018. 

And recent years have seen takeaways become increasingly popular. Before the coronavirus pandemic, they were estimated to make up 8% of the country’s food service industry. The COVID-19 restrictions then prompted a surge in sales, to the point where the UK market reached an estimated value of £11.4 billion in 2020.

So if you’re looking to set up a food delivery business, it seems like now might be an opportune moment. But what factors do you need to consider before you launch?

Register your business

First of all, you’ll need to register your business. This needs to be done with the local authority at least 28 days before you plan to open. Registration is free of charge and will always be approved. Not being registered leaves you at risk of a fine and even up to two years in prison. 

Take out the appropriate insurance

If you’re offering deliveries, you’re going to need takeaway insurance to make sure you’re properly covered. That will encompass a wide range of considerations, such as:

  • Stock insurance, to cover the cost of replacing any product that is lost, damaged, or stolen.
  • Employers’ liability insurance, which is required by law for any business that has at least one person under its employment. 
  • Public liability insurance, to help cover the costs of any legal proceedings or compensation claims that arise from any damage or injury you cause to a third party or their property.
  • Business interruption insurance, which can help return your company to its trading position in the event of forced closure or reduced operation due to unforeseen events such as a flood or fire.

Maximize your hygiene rating

The Food Standards Agency runs a rating scheme that gives customers an indication of your company’s hygiene standards. The scores range from 5 (very good) to 0 (urgent improvement required) and cover how food is handled, stored, and prepared, as well as the cleanliness of your premises. You can display your rating via a sticker (you are required to do so by law in Wales and Northern Ireland) and a score at the higher end of the scale can act as a positive sign for any potential customers.