Today, many entrepreneurs reap substantial income by beginning restaurants. However, the food-industry remains fraught with pitfalls for uninformed and unwary business founders. Before launching any bistro, consider these five important facts:
Restaurants Require Ample Starting Capital
One of the biggest challenges for new restaurant owners involves financing. Promoting and operating this type of business can consume a lot of capital, especially during the first few weeks and months of operation. You’ll want to ensure that you commence any new fine dining establishment with sufficient cash-on-hand to afford an extended period of red ink.
Business Location Matters
Most people place a high priority upon the location of a restaurant. If you offer exceptionally high quality food, some customers may take the steps to look up an out-of-the-way location. However, remember that a reputation for culinary excellence usually requires an extended period of time to develop. Most new restaurants require a convenient location and ample parking in order to thrive.
Consistent High Quality Counts
You’ll also want to pay close attention to maintaining consistent concept and meal quality when you open a new restaurant. For instance, cooks who prepare menu items differently won’t please customers who return to savor a particular meal, only to discover that the chef on duty does not prepare a favorite dish the same way. With so many restaurant and fast-food franchises offering very consistent fare today, owners who begin new companies need to monitor menu quality to ensure consistency and appeal.
Restaurant Work Often Entails Long Hours
Restaurant founders often find themselves working long hours. Especially if you plan to offer breakfast, lunch and dinner, you may face challenges if some employees miss work. An under-staffed restaurant can lose customer goodwill quickly. One helpful step may involve hiring employees willing to work with flexible schedules.
Preparing Meals Requires Careful Planning
Paying attention to the shelf life and storage features of different items on the menu makes sense, too. Particularly if the restaurant offers fresh foods, you may need to purchase some supplies frequently to maintain high quality. The availability of proper storage facilities also matters. The ability to begin operations with commercial food preparation and refrigeration equipment available sometimes proves critical. Acquiring suitable equipment and ordering supplies usually requires careful planning, especially if the company does not depend on any existing operational systems.
By paying close attention to all the steps involved in starting and managing a restaurant, you’ll find yourself in a great position to expand later to additional locations. Successful dining establishments often prove lucrative. The key to successful restaurant operation involves meticulous advance planning in financial, operational and management areas.