Business

How to start and grow a restaurant business?

By July 7, 2021 No Comments
Discover the many ways in which money can be made in the food business.

Starting and growing your own restaurant business is hard work and not without risks, but it is also an exciting and satisfying challenge and can give you a good income, providing you are prepared to invest a lot of time and energy into making it successful.

RECIPE FOR SUCCESS INGREDIENT CARDS

Ingredient 1: Start and Grow a Restaurant Business

Question:

How to start and grow a restaurant business?

Answer:

If you have decided to start and grow a restaurant, the next decision is to determine which business startup is right for you. You need to consider whether to start a new restaurant business or buy an existing one.  Think about…

Starting up a new restaurant business

  • What are the market demand and need for this product/service?
  • Can a market be created?
  • What is the level of competition?
  • Is the market growing static or declining?
  • What is the anticipated selling price?
  • What are the costs involved
    • to produce
    • to operate
    • to distribute
    • to market?
  • What could the business yield in terms of profit and is that sufficient reward?
  • How much finance will be required and is it possible to acquire it?
  • What legal requirements will apply?
  • Is there any special experience or technical expertise required?

Buying an existing restaurant business

  • Why do the existing owners wish to sell?  Try to determine the real reason.
  • Have you had experienced business friends look over the business?
  • Have you looked at other similar businesses?  How does this one compare?
  • Have you assessed the competition?
  • Is the business in a good location?
  • Will the site, building, and lease be suitable for your future plans?
  • Have you discussed the conditions of the lease with your solicitor?
  • Have you investigated all the relevant laws in your state pertaining to this kind of business?
  • Have you been given the statutory forms and trading figures for the past three years?
  • Have you seen documentary evidence to support the trading figures you have been shown?
  • Have you checked out the business with suppliers, customers, and staff?
  • Have you checked the ownership and condition of the plant and equipment included in the sale?
  • Have you checked the value of stock included in the sale?
  • Is the figure asked for goodwill reasonable?
  • Are you expected to take over any liabilities previously incurred?
  • Will you need any additional equipment/fittings/renovations?
  • Have you checked the availability of supplies and credit from existing supplies?
  • Have you obtained a quote for insurance cover?
  • Have you re-assessed the operating costs to reflect your way of running the business?
  • Do you know how much money you need to borrow and is it available?
  • Have you discussed all of the above with your accountant?
  • Has he or she verified the accuracy of the figures you have been given?

 Start and grow a restaurant business

The most important thing you should do when starting your restaurant business is to make sure you are well prepared.   

Want to know more?  

For a very low investment, 

why not download a copy of our easy-to-read 

How to Keep Within the Law’ eBook

 and ensure your long-term success.

Method:

www.alacartetraining.com

For a low investment:

  • User-friendly eGuide – How to Keep Within the Law
  • eventbrite.com Online Workshop: Restaurant, Cafe, Catering…VENTURE for new and existing hospitality owners (8 evenings Tues and Thursday or 4 Saturdays) 

Free:

RECIPE FOR SUCCESS

4 Ingredients:

Business – keep within the law

Marketing – increase sales, make more profit

Operations – controls to save time and money

Ideas – keep your customers coming back

Method:

www.alacartetraining.com

 

 

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