Food is the driving fuel of humans globally, and the food business can never go out of business. Our country’s rich heritage and culture are closely tied up with different cuisines that provide a treat for taste buds. It is a hyper-competitive market, and it can be overwhelming for any business owner starting a food business in India. Now that you have decided to start a food business in India, you must be aware of the rewards and challenges. Due to the pandemic, there has been a shift from in-dining facilities to takeaways and food delivery. This is the best time to start as there is a pent-up demand for visiting restaurants, bars, and other food establishments due to the global pandemic that has been raging for the past eighteen months globally. The restaurant industry profits are forecasted to rise by 15% in 2021. This news sounds music to the ears; however, one of the biggest hurdles to starting a new business is identifying the starting point.

Starting a Food Business

How to start a Food Business in India (5 Important Steps)

Here are the 5 important steps to starting a food business in India:

1. Construct a Business Plan

Like any business, you have to create a proper business plan identifying the target customer, target cuisine, market segment, and clientele.

2. License required for food business in India?

It will be your business’s responsibility to provide safe food and deploy hygienic preparation practices. FSSAI has formulated guidelines and compliances for safe food practices.

You will also require the following additional licenses namely

  • License from FSSAI

  • Health Trade License

  • Shop and Establishment Registration

  • Liquor or Bar License

  • No Objection Certificate from Fire Department

  • GST Registration

3. Buying of Equipment

Once all these licenses and permits are in place, you can start buying the equipment per your business plan. The equipment needs to be identified clearly during the making of a business plan. The nature of the equipment may vary as the cuisine you plan to offer.

Also, read: 12 Amazing Food Business Ideas in India

What is Cloud Kitchen Concept & Business Model?

4. Hiring and Assembly of Your Team

Make a list of all the positions you’ll need to fill to operate your restaurant daily. Your staff requirements will vary based on the unique needs of your new restaurant. You may also need to hire employees like marketing experts, PR specialists, and accountants.

5. Setting up a POS system

In today’s fast-moving world, you will require a good Point of Sales (POS) like IVEPOS that seamlessly integrates with online ordering, assisting you in offering delivery and curbside pickup.

A good restaurant POS like IVEPOS should do the following things:


IVEPOS comes with insightful analytics and reporting, so you can quickly identify trends and make quick changes to your staffing or inventory when required. These tools can help run your business more efficiently and grow faster. Like everything on our checklist, the various modules of IVEPOS systems vary based on what type of food business you’re looking to open. For example, a quick-service IVEPOS will have different features and functionality than the IVEPOS for a full-service restaurant or bar.