How to Start a Commercial Kitchen: Step-by-Step Guide

Key takeaways

• Plan strategically: Define your concept, secure licenses, and choose a well-designed kitchen layout to optimize workflow.
• Stay compliant: Obtain the necessary permits, follow food safety regulations, and maintain accurate records to pass inspections.
• Equip your kitchen efficiently: Invest in essential equipment, set up inventory management, and train staff with standardized procedures.
• Leverage technology: Use tools like Operandio to streamline training, automate compliance, and improve restaurant efficiency.
• Control costs: Budget wisely, track expenses, and implement cost-saving strategies to maximize profitability.

Starting a commercial kitchen can feel overwhelming. Permits. Equipment. Staffing. Safety protocols. They all pile up fast! But with the right plan, you can launch successfully and avoid costly mistakes.

In this guide, you’ll get a step-by-step walkthrough on everything you need to know, from securing licenses to running efficient kitchen operations. We’ll also cover practical tools, budgeting tips, and compliance essentials to keep your kitchen running smoothly.

By the end, you’ll have a clear roadmap—and actionable steps—to open your commercial kitchen with confidence. So, let’s get straight to it…

How to start a commercial kitchen: step-by-step

Setting up a commercial kitchen is a big undertaking, but with the right approach, you can set yourself up for success. Whether you’re launching a restaurant, catering business, or ghost kitchen, following these key steps will help you get started smoothly.

1. Define your concept and business plan

Start with a clear vision. What type of food will you serve? Who is your target audience? Define your unique selling proposition (USP) to stand out. A well-thought-out business plan should cover your menu, pricing, and revenue forecasts.

2. Secure the necessary licenses and permits

Before opening, handle the paperwork. This includes business licenses, food service permits, and health department certifications. Research zoning laws, fire safety requirements, and food handler certifications to avoid delays.

3. Choose a suitable location and kitchen layout

Your location affects everything from supplier access to efficiency. Choose a space that supports smooth workflow, with designated zones for prep, cooking, plating, and cleaning.

4. Invest in essential kitchen equipment

Get quality appliances based on your menu, from ovens to refrigeration. Stock up on cookware, utensils, and storage containers. Energy-efficient equipment can reduce long-term costs.

5. Implement food safety and hygiene protocols

Food safety is non-negotiable. Set up a HACCP plan, maintain proper sanitation, and ensure handwashing stations and storage temperatures meet safety standards. Train staff regularly on food safety best practices.

6. Hire and train your kitchen staff

A great team is the backbone of a successful kitchen. Hire skilled chefs, cooks, and assistants who align with your business goals. Provide structured training on food safety, equipment use, and SOPs to keep operations smooth.

7. Set up an efficient inventory and ordering system

Track stock levels and reduce waste with inventory management tools. Build relationships with reliable suppliers and use a “first in, first out” (FIFO) system for freshness.

8. Develop standard operating procedures (SOPs) 

Document step-by-step instructions for operations, from opening and closing to food prep and cleaning. Regularly update SOPs as your kitchen evolves.

9. Conduct test runs before launch

Before officially opening, do a trial run. A soft launch with friends, family, or select customers helps identify and fix operational issues before going live.

Key requirements for setting up a commercial kitchen

Running a commercial kitchen isn’t just about cooking great food—it’s about creating a safe, efficient, and well-organized space where your team can thrive. The right setup helps you avoid costly mistakes, stay compliant with health regulations, and keep operations running smoothly.

From securing permits to designing a kitchen layout that flows effortlessly, every detail matters. Here’s what you need to get right before you open your doors.

Requirement	What to do
Compliance with local health and safety regulations	Secure permits from the local health department, implement proper food storage and waste disposal methods, and schedule regular health inspections.
Proper ventilation and fire safety measures	Install commercial-grade ventilation hoods, set up fire suppression systems, and ensure fire extinguishers are within reach. Conduct regular fire drills and train staff on safety protocols.
Adequate refrigeration and storage space	Invest in walk-in refrigerators and freezers with temperature monitoring. Use labeled shelves and storage containers to prevent cross-contamination. Keep raw and cooked foods separate.
Efficient workflow and kitchen layout design	Designate specific zones for prep, cooking, plating, and cleaning. Ensure walkways are wide enough to prevent accidents. Position equipment to reduce unnecessary movement.
Reliable supply chain and vendor partnerships	Work with trusted suppliers for fresh ingredients and essential inventory. Establish backup suppliers to prevent disruptions. Implement standing orders for frequently used items.

Recommended tools and software for running a smooth kitchen

The right tools and software can make your commercial kitchen more efficient, organized, and profitable. Here are the top solutions to streamline your operations.

Operandio – all-in-one kitchen operations and training platform

Operandio is a powerful piece of restaurant management software designed to simplify and standardize your kitchen operations. It helps you keep your team on the same page while ensuring tasks are completed correctly and on time.

• Task management: Digitize daily checklists and assign tasks to staff for smoother operations.
• Training and SOPs: Provide mobile-friendly onboarding and continuous training to maintain standards, making it a reliable employee training software solution.
• Food safety and compliance: Log temperature checks and monitor hygiene protocols effortlessly, ensuring you are always prepared for inspections.
• Performance tracking: Use reports to identify inefficiencies and improve productivity.

Did you know? Operandio’s intuitive platform is mobile-first, allowing your team to access instructions, complete checklists, and log data directly from their phones.

Pro Tip: Operandio’s intuitive platform is mobile-first, allowing your team to access instructions, complete checklists, and log data directly from their phones.

POS systems for order and payment management

• Process orders quickly and reduce errors with an integrated POS system.
• Sync orders with the kitchen display system (KDS) for seamless communication.
• Manage payments and generate sales reports effortlessly.

Inventory management software for stock control

• Track stock levels in real time and set automated reorder points.
• Reduce waste with expiration date tracking and FIFO (first in, first out) inventory management.
• Analyze inventory costs to optimize your budget.

Scheduling tools for staff shifts and payroll

• Build and share staff schedules easily, reducing scheduling conflicts.
• Track employee hours and automate payroll processing.
• Enable shift-swapping features to increase staff flexibility.

Food labeling and temperature monitoring systems

• Automatically label prepared foods with expiration dates.
• Monitor fridge and freezer temperatures and receive alerts for fluctuations.
• Maintain digital logs for health inspections.

Did you know? Yes, Operandio includes both these features too!

Waste management tracking tools

• Identify and track food waste to reduce costs.
• Generate reports to spot trends and optimize portion sizes.
• Educate staff on waste reduction best practices.

Cost and Budget Planning for a Commercial Kitchen

Here’s a breakdown of essential costs to consider when setting up your kitchen:

Expense Category	Estimated Cost Range
Location & Lease	$2,000 – $10,000/month
Licensing & Permits	$500 – $5,000 (one-time)
Kitchen Equipment	$20,000 – $100,000
Inventory & Supplies	$5,000 – $20,000 (initial)
Staffing & Payroll	$3,000 – $15,000/month
Insurance (Liability, Property)	$1,000 – $5,000 annually
Marketing & Branding	$500 – $5,000 (initial)
Software & Tools (e.g., Operandio)	$200 – $1,000/month
Contingency Fund	10-15% of total budget

Smart ways to cut costs when setting up your kitchen

Starting a commercial kitchen is a big investment, but that doesn’t mean you have to overspend. Here’s how to save money without cutting corners:

• Buy second-hand equipment – Refurbished appliances from trusted vendors offer high performance at a fraction of the cost.
• Use all-in-one tools like Operandio – Streamline training, inventory, and compliance in one platform instead of paying for multiple subscriptions.
• Lease major equipment – Ovens and refrigeration units can be leased to reduce upfront costs.
• Order in bulk— Buying essentials in bulk lowers per-unit costs. Monitor storage and shelf life to prevent waste.

Saving money early gives you more breathing room for quality ingredients, staff training, and long-term success.

Best practices for running a successful commercial kitchen

A well-run kitchen is more than just great food—it’s about efficiency, consistency, and high standards. Follow these best practices to keep things running smoothly.

Maintain strict food safety and hygiene standards

Sanitize workstations, store food at proper temperatures, and follow a strict cleaning checklist. Train staff regularly on safe food handling to prevent contamination.

Optimize workflow for speed and efficiency

Design your kitchen layout for smooth movement between prep, cooking, and plating. Use a kitchen display system (KDS) to improve order accuracy and reduce wait times.

Train staff regularly and enforce SOPs

Use kitchen management software like Operandio to centralize training, ensuring all employees follow the same standards. Cross-train staff to cover multiple roles during peak hours. Operandio conveniently stores all your digital SOPs within its Knowledge Base.

Streamline communication

Hold quick pre-shift meetings to relay key updates. Use digital tools like Operandio for real-time task assignments and communication between front and back-of-house teams.

Control costs and minimize waste

Track inventory to avoid overstocking and spoilage. Implement portion control strategies and repurpose ingredients where possible.

Keep menus fresh and profitable

Remove underperforming dishes, introduce seasonal specials, and refine offerings based on customer feedback and cost analysis.

Leverage technology for efficiency

Use Operandio to digitize checklists, automate compliance tracking, and streamline daily operations. Integrate POS and inventory management systems for better financial oversight.

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Stay compliant with food safety regulations

Food safety isn’t just about following the rules—it’s about protecting your customers, reputation, and bottom line. From proper training to sanitation and recordkeeping, every step matters.

Operandio simplifies compliance by helping you manage digital temperature logs, automate training, and keep audit-ready records—all in one platform. No more scrambling before inspections or worrying about missed safety protocols.

Stay ahead of regulations and keep your kitchen running smoothly. Book a free Operandio demo today and take the stress out of food safety compliance.