Guide to Starting a Restaurant Business

Ask a restaurant consultant about opening a restaurant and youre likely to get a succinct answer: Dont! The failure rate is high, the costs can soar out of control and the hours are brutal. f you re!ain con"inced that you are really want to be successful with this kind of business, put on your to#ue, brush up on your knife skills and forge ahead. $hen you start your own restaurant business you will ne"er be bored. There are constantly new challenges to face, but they are usually good ones, like how to %uggle a reception dinner while at the sa!e ti!e feeding your regular &aturday night crowd. 'nlike being a chef, you do not ha"e to go to school or take any speciali(ed training to own a restaurant. )owe"er, to ensure your restaurant is a success it helps to know as !uch as possible about the industry. *eople lo"e to eat. $e find the social en"iron!ent of restaurants the perfect break fro! cooking, and relish the ad"enture of tasting new !enus. f youre seeking the life of haute cuisine, and are wondering how to start a restaurant, we"e listed our resources and tools that will help you effecti"ely write a restaurant business plan and get your business cooking. +onsider the following list before starting: ,. +larify your concept and put all the proposed details-fro! decor to dessert choices-in writing. f you cant write about the!, they need !ore thought. .. n"estigate the regulatory re#uire!ents, both city and state. *repare for a plethora of paperwork, including by(antine building codes with regulations co"ering e"erything fro! kitchen e/haust syste!s to interior finish re#uire!ents. 0. 1ind an ideal location. Do a de!ographic study of the surrounding area. 2esearch the a!ount of foot traffic and the a"ailability of easy parking. Then negotiate a lease you can afford. 3. *lan your !enu early in the ga!e. 4itchen layout and e#uip!ent purchases depend on it. 2educe your e#uip!ent costs either by purchasing used e#uip!ent or leasing new. 5. 1ind the funds. $rite a detailed business plan and consider for!ing a s!all pri"ate corporation or starting a li!ited partnership. )owe"er !uch !oney you think you need, raise !ore. 6any restaurant consultants bla!e the high rate of new restaurant failures on undercapitali(ation. 7. Allocate the a"ailable space. 2e!e!ber that in addition to dining and kitchen areas youll need roo! for dishwashing, storage, bathroo!s and ad!inistrati"e work. 8. *lan the layout for the dining area. 2e!e!ber to balance your desire for the !a/i!u! nu!ber of seats with your future custo!ers desire to shun tables cra!!ed into awkward corners. Also a"oid locating tables in the !iddle of the roo! like woebegone little islands. 9estle tables-particularly two:tops-against low di"ider walls or other architectural features. ;. 4eep the kitchen layout focused on efficient, safe food preparation. <nsure that there is sufficient light and "entilation, as well as enough space so that cooks, ser"ers and dishwashers are not bu!ping into one another at the busiest ti!es. =. Dont neglect the graphics. 1ro! the e/terior signage to the look of the !enus, graphic design plays an i!portant part in a restaurants o"erall look. ,>. *ay attention to lighting design. 1ocus dra!atic light onto the tables to highlight the food, and co!ple!ent it with glowing at!ospheric light to !ake the custo!ers look good.
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,,. 2esearch and de"elop the !enu. Taste:test the recipes repeatedly until the kitchen can achie"e consistency. 2e!e!ber that the food also has to look good on the plate. *lot out your !enu pricing strategy. )a"e the final !enu proofread before sending it to the printer. ,.. Decide whether to offer full bar ser"ice. Apply for a wine and?or li#uor license. ,0. n"estigate insurance needs thoroughly. 2estaurants are si!!ering stockpots of potential accidentsfro! fires to floods to food poisoning and a hundred other potential horrors. ,3. &elect and train the staff. @ook for enthusias! as well as e/perience. Allow a!ple training ti!e before the restaurant opens. 2e!e!ber that the person running the front of the house is as i!portant as the person running the kitchen, and great ser"ice is as i!portant a factor in winning custo!er loyalty as great food. ,5. &et up a bookkeeping and accounting syste!. <stablish control o"er the !eal checks. There are do(ens of sca!s that dishonest ser"ers and cashiers can pullA get so!e e/pert ad"ice on how to pre"ent the!. ,7. Designate a core of trusted e!ployees to super"ise storage areas carefully. &tress that they !ust check in all deli"eries and audit the food in"entory fre#uently. ,8. *ass your opening inspection by a food safety specialist with your local health depart!ent, along with a plu!bing inspection. Boull recei"e a per!it to operate, which will be re"iewed yearly. ,;. Cpen your doors and welco!e hungry diners.

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