It’s not hard to see why many startups aspire to have a restaurant business. Turning a passion for the culinary arts into profit is exciting and financially rewarding. However, the foodservice sector is also a tough and time-consuming process to build into a successful entrepreneurial venture. In fact, only 40% of dining establishments can sustain their operations past the first year, and eighty end up closing their doors before they reach their fifth year.
That’s not to say that you should temper your enthusiasm. It’s still possible for a startup to succeed in this industry. It just requires a considerable commitment of time and effort. And in this piece, we’ll cover everything that you need to launch your restaurant successfully.
1. Develop a strong and detailed business plan
It’s impossible to scratch an outline of your endeavor on the napkin of a cocktail. Instead, you must develop a comprehensive and detailed business plan that will guide you on your entrepreneurial journey and map out the best course for you to succeed. With that in mind, keep your planning as lean as possible. Include your goals, timeframe, feasibility studies, marketing techniques, and other relevant information. However, leave enough room for changes and additions too. In this way, you’ll have the flexibility to adapt to any situation.
2. Choose an ideal location
When it comes to the foodservice industry, location matters. After all, if your restaurant is in an area where there isn’t much traffic, you won’t be able to get as many diners to patronize your place. While high-value real estate can be expensive, it’s worth the investment when you consider that it will contribute to your sales. So, make sure that you choose the ideal location for your restaurant. Explore all available options, and don’t be afraid to negotiate. It will make a difference.
3. Find suppliers
It’s always a good idea to look up several ingredient suppliers before you settle on one. Then, when you get right down to it, you’ll give yourself a much better opportunity to lower your outlays by doing so than you would have otherwise. For instance, comparing bakery ingredients suppliers who can deliver on your needs for your pastry dishes will help you control your costs.
4. Test the menu
A restaurant lives and breathes on its menu. No matter how keen you are on the taste of your dishes, they won’t generate sales if customers don’t feel the same way. For this reason, you must first test out your food and see if people will enjoy it. Ask for honest feedback from family and friends. Doing so will allow you to select the dishes that are likely to earn sales. More importantly, it will keep you from committing to those that won’t.
Launching a successful restaurant isn’t easy. However, it isn’t impossible, even for first-time startups. By following these tips, you’ll enable your restaurant business to grow and flourish where many others have failed.