The Impact of Food Safety Act on Business

The Food Safety Act 1990 affects everyone who works in the production, processing, storage, distribution and sale of food. This includes self employed people and nonprofit making organizations as well as farmers, growers and caterers. The Act aims to ensure that all food produced for sale is safe to eat, reaches quality expectations and is not misleadingly presented. It also provides legal powers and penalties. The Act is enforced by Central and Local Government. Environmental Health Officers working for Local Governments have powers to enable them to enforce the Act and supplementary legislation on a day to day basis.

The Impact this act will have on my business

This act is relevant to my business as my business will be a food selling business. I will need to ensure all food is prepared correctly also that it is stored properly. If this act is not followed then food may not be fresh and/or may not be prepared properly. Resulting in the risk of my business being shut down.

 Health and Safety at Work Act 1974 This piece of legislation gives rights to both employers and employees. Employers must provide a safe and healthy workplace including maintenance of reasonable working temperature of not less than 16 C after the first opening hour, suitable lighting and adequate toilets and washing facilities. Proper safety procedures (fire exits, notices, handling and recording of accidents) Safe equipment which is regularly serviced. Access to a written local health and safety policy. Employees must follow health and safety procedures, act to protect themselves and others and treat all equipment properly and report any faults.

 The Impact this act will have on my business

This act is relevant to my business as it ensures my workplace is a safe place for everyone who enters the premises. It also makes it clear to everyone working in the business what necessary actions are required to ensure the business remains a safe place to work in. if this act was not enforced on my business then accidents or illnesses may occur which could result in my business being sued or closed down. Some of the financial aspects I will need to consider while running my business will be: Break-Even Analysis

The break-even point for a business is the point in which the total revenue and the total costs meet. Break-even points are calculated to work out how much it is necessary to make for a business to begin to make a profit. The Impact this will have on my business This account is important to my business as it gives me a clear indication of how much money I will need in order for my business to survive and also how much money I need to make before the business begins to make a profit, if this document was not kept then I would not have no idea of the amount of money that need for my business to survive which could result in the loss of money or the creation of debt.

Cash Flow Forecasts The purpose of a cash flow forecast is to provide calculated figures to show the survivability of a company (this is usually done over 12 months). Cash flows in the business through sales and out through expenses. The Impact this will have on my business As this document records the money that may/does come in and go out of my business over a 12 month period it will give me an idea of when I will be making a profit and how much this profit will be and also if I am making a loss when I will be making a loss and how much it will be, this will give me time to try and take action to prevent this from happening.

Personal Survival Budgets A personal budget is a financial plan that allocates future personal income towards things such as expenses, savings and debt repayment. Previous year’s spending and personal debts are taken into consideration when creating a personal survival budget. The Impact this will have on my business This is important to my business as it will mean that I will have money set aside encase my business goes through periods of financial difficulty. Having a personal survival budget could keep my business out of debt.

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