By Canteen Connect · Updated
When you outsource a canteen, the commercial model matters as much as the caterer. The same kitchen can feel transparent or frustrating depending on how it is priced. Here are the three models you will meet most often.
1. Fixed per-meal (or per-plate) rate
You pay an agreed rate for every meal served. It is simple to budget and easy to compare between vendors.
Best for: sites with stable headcount and a clearly defined menu. Watch for: how quality is protected if ingredient costs rise, and what is included in the rate (tea, snacks, utilities, manpower).
2. Management-fee model
You reimburse actual food and operating costs and pay the operator a fixed management fee. Costs are transparent, and the operator is paid for managing — not for cutting corners.
Best for: larger or variable sites that want visibility and flexibility. Watch for: the need for clear cost reporting and agreed cost heads from day one.
3. Cost-plus
Actual costs plus an agreed percentage margin. It offers transparency but needs good controls, since higher costs can mean higher margin without safeguards.
Best for: complex or fast-changing operations with strong oversight. Watch for: cost caps, approval limits and audit rights.
Questions worth asking any operator
What exactly does the rate include? How are price changes handled? What records will we receive each month? Who is accountable on site every day? What happens if quality slips?
The right model is the one where incentives are aligned — your people eat well, costs stay visible, and the operator earns a fair return for doing a good job.
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