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Simple Steps to Starting Your Own Restaurant

Jun 23rd 2016 - Guest Blog, 

Simple Steps to Starting Your Own Restaurant

For many people, their dream is to one day start their own restaurant. Though that dream may turn into a lucrative venture, starting a restaurant requires extensive planning. The worst thing a person can do is to create a business without putting in the time and thought it takes to be successful. The restaurant industry is a difficult one to maneuver, as it is tied inextricably with the health of the economy and reflects all its fluctuations. First Steps The various aspects of a restaurant such as its concept, menu and location have to be carefully considered as they can potentially be the determining factor for customers opting to visit your business, instead of staying home or choosing another establishment. Advice from professionals like consultants can be helpful, but what may be even more beneficial is personal experience working in restaurants, thereby observing first-hand what works well and what can be improved upon. Before deciding on specifics like menu options, restaurant layout or even advertising methods, it is important to start with the basic of establishing a business plan. Some issues to consider: what are your goals? What are your financial targets and constraints? What is your restaurant concept? The concept of the restaurant will determine what cuisine will be served, what the ambiance of the restaurant will be like, what pricing options will be; essentially, what the customer is in for when he or she steps through the front door. Restaurants can generally be classified into three categories: fast-food, mid scale  upscale. Even more specifically, choosing a style of restaurant – bistro, café, steakhouse, ethnic restaurant– can help make your restaurant more distinct and separate it from the competition.  

moriza / Foter / CC BY-NC

After making decisions on concept and style, it is important to narrow down your target customer group and assess an ideal location for your restaurant. Are you catering to a lunch crowd that wants quick bite to eat, families that will sit and eat for a while, expensive dinner crowd or families with kids? Are you trying to attract high-income earners or customers from a wide range of income groups? Your target customer base will affect your menu options, restaurant decorations and food pricing, so consider carefully. The ideal location of your restaurant would be one that is most accessible to your target customer base, based on availability of parking spaces or public transport. Additionally, other things to consider about a location include the history of the site and the future development of the area. The physical layout of the restaurant is the way the concept and message of your restaurant will be demonstrated. People are naturally attracted to visually appealing places; the exterior and interior design of a restaurant can be the determinant of one’s choice to eat there. The layout of the dining area should not only be aesthetically pleasing, but also able to accommodate different types of customer groups, be it individuals, pairs, or large parties. The layout of the production area is equally important. It should be designed so that the cooks and waiters can create and serve the food in the most efficient manner possible. Next, consider what type of food, beverage and services will be offered by your restaurant. What selection of food and beverage is available? Will you offer fixed dishes and set meals or allow for options to reduce ingredients or take into account dietary restrictions? The menu should reflect all such information in a straightforward manner. Creativity with regards to the menu and the appearance of dishes and beverages will greatly enhance the appeal of your restaurant. Without a doubt, the organization of management and employees is crucial to the success of a restaurant. How many employees should be working per shift? What about during peak hours and seasons? How should employees behave? These are all crucial issues in maintaining an effective system to support your restaurant as employee attitudes and behavior can greatly affect customer enjoyment at your restaurant.

en:User:Rdikeman / Foter / CC BY-SA

To sustain your restaurant’s mission and employment structure, it is important to make financial considerations. Identify the sources of your funding and how it can cover the costs of food, cooking equipment, hiring employees, and more. Make short-term and long-term financial goals, and make projections about the future growth of your restaurant to help you keep track of where your restaurant is heading.   Finally, when all the different factors of starting your restaurant are in place, it is imperative to consider how you will be marketing your restaurant. Advertising is key to luring in customers but it can only be effective if you have done extensive research on your market and target customers and can concisely convey your message to them. The National Restaurant Association explains that word-of-mouth is one of the best methods of advertising. In addition to that, having menu promotions, gift certificates and fliers are great ways to get the word out.   Establishing a successful restaurant rests upon – but is not limited to – the aforementioned steps. Starting your own restaurant may seem like a complex affair, but with much preparation and consideration of the various key elements, you too, can be successful in establishing your own business. Photo credit: Pete Zarria / Foter / CC BY-NC-ND