How To Start A Takeaway Business In South Africa

How To Start A Takeaway Business In South Africa

What is a Takeaway?

A takeaway prepares food that people collect and eat off the premises. A takeaway restaurant is somewhere offering this service but also the option to eat the same food in a restaurant or cafe environment.

How To Start A Takeaway Business In South Africa

STEP 1: Decide on the Product You Want to Sell

Firstly, determine what product or group of products you want to sell.

Knowing your product category will inform the type of regulations you will have to comply with, in your business. You may decide to sell cooked food at a restaurant or in a food truck, perhaps open a meat deboning plant or butchery or run a sandwich shop.

STEP 2: Implement Processes to Ensure Product Safety and Quality

You should implement relevant processes that will guarantee product safety and quality.

These processes could be:

  • Temperature control to maintain the cold chain if your product is temperature-sensitive.
  • Housekeeping, cleaning and hygiene measures to ensure your product is prepared in a safe, clean and uncontaminated environment.
  • Personnel Hygiene practices for your Staff to prevent cross-contamination.
  • Waste control to prevent improper storage of waste that can end up contaminating the final product.
  • Pest control measures to prevent pest infestation, which if uncontrolled, could lead to product contamination.
  • Maintenance of equipment and facilities to prevent contamination by foreign materials.
  • Traceability procedures detailing traceability from receiving raw materials to final product dispatch.

STEP 3: Ensure Your Premises and Equipment are Suitable

What is the most basic Food Safety Regulation I should implement as a food business?

Regulations R638: 2018 is the most basic food safety legislation every food handling business must comply with.

As per Regulation 5 (requirements for food premises) of Regulations R638,  food premises must be suitable for food handling. Therefore, the food premises must be kept in a condition that does not:

  1. create a health hazard for food and
  2. designed in a way that prevents proper cleaning.

Food premises must protect the food from contamination or spoilage from:

  • poisonous or offensive gases
  • vapours
  • odours
  • smoke
  • soot deposits
  • dust
  • moisture
  • insects or other vectors
  • other physical, chemical (including unintended allergens) or biological contamination
  • pollution
  • rain
  • any other agent whatsoever

In essence, the food premises must be sufficiently covered and protected from any possible source of contamination.

STEP 4: Get the Necessary Training for You and Your Staff

What Food Safety Training do I need as Food Business Owner and as a Food Handler?

All food business owners or managers or any person recognised as a person in charge of the food premises must get food safety training.

The training requirements are set out on Regulation 10 of the R638: 2018. In addition to the training of the persons in charge, ALL food handlers must also receive food safety training annually.

A person in charge who has been found competent can provide this training.

STEP 5: Attain a Certificate of Acceptability

To legally sell any foodstuff in South Africa, except unprocessed agricultural products, you must apply for a Certificate of Acceptability from the local authority, which would typically be your municipality. This certificate must be in place before you start trading.

Once you have applied for the certificate of acceptability (See Annexure A of the regulation on page 31), the municipal environmental inspector will visit your food premises and inspect the following:

  • Food premises in general whether they are conducive for food handling.
  • Surrounding areas and their potential to contaminate food manufactured at your premises, as well as your risk mitigation measures should there be a possibility of contamination.
  • Waste and pest control measures put in place.
  • Training file for you as a person in charge and that of your staff members.

Your application should be processed by the local authority as soon as possible. An Inspector may require more information from you after the submission of your application.

It is essential to note that the COA must be displayed in an area visible to the public. Should that not be possible, the COA must be immediately available upon request.

A COA cannot be transferred from one person to another and/or from one food premise to another.

STEP 6: Comply With All Other Relevant Legislation

What Legislation Do I need to Comply with as a Food Business?

You must comply with all other relevant South African laws and regulations, including municipal by-laws.  The list of regulations includes the following:

  • The Foodstuffs, Cosmetics and Disinfectants Act 54 of 1972
  • Basic Conditions of Employment Act 75 of 1997
  • Tax Law ; SARS, VAT, Income Tax, Customs Tax,
  • Companies Act 71 of 2008,
  • Close Corporations Act 69 of 1984,
  • Consumer Protection Act 68 of 2009 and the Competition Act 89 of 1998.

Find out additional relevant laws, including those applicable to the product being handled or manufactured.

STEP 7: Implement a Recognised HACCP System Certification

Click on this blog below to find out how you can achieve this.

Please call us for any training needs. We also provide document templates to make easier for you to implement your preferred food safety management system.

Frequently Asked Questions (FAQs)

Do you need a license to sell food in South Africa?

If your business sells or supplies meals or perishable food to eat on the premises or to take away, you’ll need a licence to do so. Adult entertainment premises. If you’re a hawker selling food and meals, which you take from place to place or sell from a vehicle, you’ll need a permit.

Is fast food business profitable in South Africa?

South Africa’s fast food industry has been experiencing growth in revenue from year to year. A fast food restaurant business is a very profitable business venture to start in South Africa. The demand of restaurant foods in South Africa is very high.

Can I sell food from home South Africa?

Before you start selling food, you have to get a certificate of acceptability from the Department of Environmental Health. If you sell food without a valid licence you may be liable of a fine up to R2 000.

How much is a liquor license in South Africa?

The cost is between R15,000 and R25,000

Can I cook at home and sell in South Africa?

Cottage food laws vary among the states, and those interested in selling food from home should consult their local laws before launching their businesses. States also require home-based food business owners to have food-handlers permits, which typically requires a brief training course.

How much money do I need to open a small restaurant in South Africa?

Restaurant is a business establishment where meals or refreshments may be purchased. The estimated cost can be somewhere from R4 million – R6 million, depending on the type of restaurant and other factors.

Are takeaway shops profitable in South Africa?

They provide a popular service to a wide range of customers and the trend for eating out is on the up. Running a takeaway can be exhausting as may involve long and unsociable hours depending on the business model, but it can be an extremely profitable investment if you get everything right.

What type of food sells the most in South Africa?

The Number 1 Most Popular Foods in America are Hamburgers!

  • Potato Chips.
  • Donuts.
  • Ice Cream.
  • Chicken Tenders.
  • Soft Drinks/Soda.
  • Pizza.
  • Oreo Cookies.
  • French Fries.

How much money do you need to open a fast food restaurant in South Africa?

Full-service franchise restaurants can run its new owners from $750,000 to $3 million or more. Fast food restaurants cost the franchisee from $250,000 to $1 million and up for initial set-up and franchise fee. These numbers can vary widely, however, based on the popularity and prestige of the franchise.

Are there apps to sell food in South Africa?

Choices include Castiron, HomeMade, Fromahome, Yummit, Swiggy, and Chefit. Not all homemade food app choices are available in all markets.

How can I make a takeaway profitable?

Make it easy to order from your menu; keep it uncluttered and easy to read.Make your products different to all your competitors. Variety is the spice of life; people like to try to new things. Make your products better and more appealing than your competitors.

How much is a street vendor permit?

It costs between R39 and R110 a month for a street-vending permit. Once all the documents have been submitted, processing the street-trading permit should be finalized within 30 working days.

Is fast food a good business?

How much profit can a fast food restaurant make? This business can rake in plenty of money. A single fast food restaurant can generate $50,000 to $100,000 or more per year. Open additional locations and it is possible to earn millions of dollars per year.