When launching a food business, pockets are tight, receipts pile up and money flows quicker than planned. We’re the first to say that ‘cutting corners’ isn’t always the best business practice, but a cost-saving is always appreciated.
Shopping around and educating yourself on industry-standard pricing for big-ticket items is one way to start saving money. So, with that in mind, how much does it cost to rent a commercial kitchen in the UK?
The cost of renting a commercial kitchen is an influential factor in many business owners decision-making. In this guide, we break down the key considerations that influence the pricing of dark kitchen rentals, helping you make a savvy and informed choice.
Understanding the Basics of Kitchen Costs
Average Commercial Kitchen Costs in the UK
On average, renting a commercial kitchen space ranges from £1500 to £3000 per month. However, this is nuanced and also just the tip of the iceberg. Let’s dive deeper into the factors that can sway this price range.
Factors Influencing Dark Kitchen Rental Prices
1. Size (and type) Matters
Unsurprisingly, bigger kitchens will cost more than a smaller space, so it’s about working out what suits your needs and finding a space to suit.
Our spacious 380 sq. ft kitchens are perfect for a smaller food business such as food truck traders or pop up experiences, and equally established brands scaling up or investing in a second location.
2. Two’s Company…
This won’t come as news to you, but the number of kitchens you rent will impact your cost. The standard commercial kitchen is around 200 square feet, so you’ll find yourself with plenty of space to grow in a 380 sq. ft Dephna kitchen. However, there are still many reasons why people choose to rent multiple kitchens with us.
Our pricing page and budget planner lets you mix, match and calculate the cost of ALL of our services at different quantities. Add kitchen rentals, walk-in cold rooms, self-storage units and serviced office rentals to your monthly wishlist and see an instant quote.
3. Location, Location, Location
The popularity and accessibility of the commercial kitchen location will impact the cost. High-traffic areas like city centres tend to be pricier than suburban towns. For businesses not reliant on foot traffic, like caterers or market vendors, cost savings might outweigh the inconvenience.
Kitchen costs also differ from city to city. For example, the average cost of a commercial kitchen in London is £1,500 to £3,000, whereas in Birmingham it is between £900 and £2,400 and cheaper again in smaller cities such as Coventry or Leeds, at £750 to £2,000.
4. Equipping Your Kitchen
Setting up your kitchen with the necessary equipment is a substantial upfront cost. Providers should include essentials such as power outlets, substantial extraction systems and hygienic surfaces, but on the whole businesses need to provide their own equipment.
To help ease the burden of these initial costs, many food start-ups or pop up food businesses choose to rent equipment. There are arguments for and against buying or renting commercial kitchen equipment, so it’s down to personal preference and budgets. There’s no right or wrong!
5. Delivery Software Dilemma
Starting a food delivery business and managing food orders can be tricky. Investing in custom software may add to your expenses, but some providers offer built-in technology that streamlines the process.
6. Utilities: Water, Gas & Electric
Ongoing utility costs in a commercial kitchen rental are inevitable. Ensure you consider not only the space’s cost but also the potential expenses to set up connections for water, gas, and electricity. As we all know the UK isn’t having the BEST time with utilities at the minute, so be sure to shop around and find energy providers that have the best interests of businesses at heart.
7. Cleaning & Refuse Removal
While a small part of the overall cost, cleaning and refuse removal can add up. Private rentals may require additional expenses for maintaining hygiene standards, while providers like Dephna include proper waste removal services, saving you time, money and keeping your space safe.
8. Insurance Matters
Insurance is a must for any food business. While not directly tied to rental costs, it’s a critical aspect. Ensure you have public liability, product liability, and business interruption insurance. If you’re not sure where to start, check out our guide to commercial kitchen regulations. But please remember, this is for the UK crowd!
Renting a commercial kitchen involves more than just the monthly fee. Consider all the factors mentioned above to make a well-informed decision that aligns with your business needs.
Ready to explore your options? Get in touch for a viewing of one of our kitchen spaces, including our brand-new purpose-built commercial kitchens in Arcadia Avenue, Barnet – or our Whetstone commercial kitchens, our diverse North West London hub.
Check out our pricing page for more details on kitchen costs.