28 Aug Tips to a Great Restaurant Startup
Statistics show that close to half of all adults have worked in the restaurant industry and a large number of people would like to own their own. Starting a restaurant, however, is no easy task and starting one that succeeds is even more difficult. Based on a review of restaurant startups and what has made restaurant startups successful, here are some tips to a great restaurant startup:
Accessibility is a crucial component in building a great restaurant startup. Accessibility represents that the restaurant is accessible in terms of physical location as well as accessible in terms of brand and price point. The quick serve industry is extremely successful because these types of restaurants are very accessible on all aforementioned levels. The more accessible your restaurant is, the better chances you have of succeeding.
Another extremely important part of starting a restaurant that will be a success is in planning the capital needs of your restaurant startup. Having six to nine months worth of capital to start with at minimum is what research indicates is a feasible starting point. Expenditures add up very quickly and it takes time for a new restaurant to get through the initial launch phase, become established, gain regular customers, and get a feel for what their consistent business and income will be like. Many restaurant startups see a boom in business for the grand opening, but later see a downturn in business. The capital that has been set aside is for these few months. It often takes a few years to really determine the success of a new restaurant, so it is best to be wise and prepared.
Another tip in starting a restaurant, whether it is in the quick serve industry or fine dining, is incorporate the love of teaching. From the front-end staff to those who are preparing and cooking the food, it is important to appreciate the process, welcome new people and ideas, learn about every single duty that has to be performed to make the restaurant successful, and be prepared to pass on what you learn.
Invest generously in enriching the guest experience. There is nothing more important to spend money on than the things that add value to your guests. Trying to save money by buying cheap equipment or not investing in something like a valet service for a fine dining restaurant, are shortsighted ways to run a restaurant startup, because these things directly affect your guest experience. From the beginning, designate a percentage of your revenue to set aside for improvements that will affect the guest and enhance their experience. A good example of this is that some restaurants will take money that could have been allotted to advertising and will instead allocate those dollars to offering complimentary dishes to guests. Guests love when a server brings something to the table and says the chef would like them to try it. It enhances the experience for the guest(s) and this is the best way to increase revenue organically, through word of mouth recommendations from those who have already visited your restaurant.
Also, focus on putting systems in order to run in an organized and efficient manner. Every restaurant that has succeeded has done so because they were able to develop a good concept in a good location and offer a good product made by a great chef or other staff. Putting efficient systems in place allows for time to be creative with new offerings and evolve. Consistently be open to learning new things, so you can offer a consistently great guest experience to everyone that visits your restaurant startup.