23rd October, 2014

What insurance cover do new cafe owners need?

When you start a new business, there are a range of different factors you will need to consider when it comes to finding the right solution for your needs. This is especially true for cafe owners, including those new in the industry and are setting up their first operation.

While there are probably a hundred different concerns that are running through the mind of anyone in this situation, it is still important to take the time to get the right insurance products to meet your requirements. To help, here are some of the most common factors to consider when choosing cafe insurance in Perth.

What does your lease require?

Often having a certain insurance policy in place is an essential part of moving into a new premise, with landlords often stipulating that their tenants have cover in place if any damage to their property occurs.

In this case, it is likely that you will need a policy like public liability insurance. This can give your landlord peace of mind that their investment is not at risk from your new enterprise.

What sort of services are you offering?

Start-up cafes are likely to have a point of difference that sets them apart from the competition and makes them a viable business. However, these variations also need to be factored in when finding the right insurance solution.

For example, if your cafe has a sizeable kitchen with a long menu, there are going to be a different set of challenges compared to a small operation that focuses solely on foot-traffic. The same is true for the range of seating you offer and the number of staff you have on site.

All of these small considerations will need to be taken into account when it comes to finding the right insurance solution for your needs.

How much is enough?

When you first start out running a cafe, it can be tempting to think that you only need the bare minimum of insurance to cover you. However, there are very real problems with taking this approach, with inadequate insurance often leading to considerable problems, if for any reason you don't have enough in place. 

The same problem can also occur if your cafe is growing quickly. As you take on more staff and achieve a regular client base, it is important to keep your insurance up-to-date. otherwise, you may find yourself without the right levels of cover for your operations.

Author: Murray Bruce