Recessions make it much harder for catering businesses to survive, this is one of the first expenses to go. However, at all other times, the pleasure of not having to prepare your own food is enough to drive people to restaurants and other eating establishments.
The foodservice industry in Australia is experiencing steady growth, indicating that this is a good time to open your own restaurant.
But, what do you actually need to do if you’re going to start a restaurant?
Consider the Market
Just because eating out is popular doesn’t mean there is an opening for you. After all, if you want to offer pizza and there are already 10 pizza places in your neighborhood, you’re going to struggle t compete.
You need to verify there is a gap in the market for your intended restaurant style.
Make A Plan
Once you’ve verified this you can start creating your plan. This has to be detailed. You need to understand all the costs involved in starting a restaurant.
That means knowing the rental cost of premises, how much it costs to rent or buy equipment, what legal fees are involved in creating the business, whether you’ll need staff and what you’ll pay them. You even need to know relatively accurate costs regarding the food you’ll need to purchase and the selling price of your dishes.
Of course, you’ll also need to consider how many tables you’ll have, the number of heads will define your potential profit.
Don’t forget your plan should also look at the longer-range forecast, where you would like to be in 3-5 years. This shows commitment and helps you to set your goals.
It’s also a good idea to define your values in the plan, this will help to create brand definition.
Now that you know what you need to trade for a year you’ll need to look at how you’re going to finance it You should assume that you won’t start making a profit for at least a year and budget accordingly. This means including a living wage for yourself in your business calculations.
Finance can be obtained from your own savings, equity, family, and friends, or you can look for business loans.
Your choice of finance may be affected by the state of your credit record.
Menu & Location
You’re now ready to create a menu and find the right premises for your needs. It is important not to rush this step as you want to have a restaurant where you’ll be able to attract passing trade, at least until you build your reputation.
Your menu should be distinctive, the more it stands out from what is currently available the better for business.
This is also the time when you should form your company and make sure you have all the necessary certificates.
Equipment & Accessories
With the premises secured you need to start sourcing all the kitchen equipment, you’re going to need. Don’t forget washing supplies and PPE clothing, these are essential to ensure you comply with health and safety standards.
Finally, you’ll be approaching the opening day and you’ll need to make sure that everyone knows about you.
Place advertisements in local stores and papers, posters in your own windows, and use social media to really drum up interest. You can always do a special opening night introductory offer to get people through the door.
After that, your talents as a chef will need to bring them back.
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