How to Open a Restaurant
Determine a food concept., Consider the ambiance., Plan on a serving style., Research the cost., Craft a business plan.
Step-by-Step Guide
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Step 1: Determine a food concept.
A food concept is the first thing to consider when planning on opening a restaurant.
Are you aiming for a family-style steakhouse, upscale French cuisine or a quick-service ethnic restaurant? Having a food concept will give your potential customers some idea of what they can expect from your restaurant.
Determining a food concept from the get-go will also help you to structure and organize other aspects of your business.
Some potential food concepts include: seafood, steakhouse, family-style restaurant, casual-dining restaurant, ethnic restaurant, pizzeria, sandwich shop, coffeehouse, bakery.
Once you have decided on a food concept, you can begin crafting your menu.
Don't worry about pricing or exact recipes to begin with, just try to get a sense of how your menu can best reflect your chosen food concept.
Some things to consider when planning a menu include: what potential competitors are offering, where you will source the required ingredients, special equipment or layout requirements for the preparation of menu items and whether any special personnel skills will be required. -
Step 2: Consider the ambiance.
The ambiance or atmosphere of the restaurant is another important factor, relating to the food concept.
Many varied factors contribute to the ambiance of a restaurant, such as furniture, lighting, dish and glassware, servers' uniforms, music, serving style and clientele.
Having an idea of the ambiance you wish to create is important as it will help to guide you during the decision-making process.
Always keep an image of what you aim to achieve in mind. , Your food concept, target customers and location will all play a role in deciding on a service style.
There are three main service styles: quick-service, mid-scale and upscale.
It is important to decide which category your restaurant falls in to, as this distinction will help shape future decisions, such as staffing requirements and pricing.
Quick-service restaurants, or fast-food restaurants, are known for their low-cost menus and quick preparation.
Examples include burger joints, pizza restaurants and ethnic foods.
Mid-scale restaurants fall halfway between fast-food and upscale restaurants.
They offer full service and good value menus.
Some mid-scale restaurants include buffets and salad bars.
Upscale restaurants pride themselves on providing excellent food and high quality service.
Fine-dining establishments are the fanciest type of restaurant available
- they offer the best quality food at the highest prices., It is imperative that you are fully aware of how much your new business venture is going to cost.
Do your homework.
Talk to other restaurant and local business owners.
Find out about rent, insurance and permit costs.
The more information you have, the more financially prepared you can be. , A comprehensive, accurate business plan is the most critical component of opening a new restaurant.
In fact, the success or failure of your restaurant can hinge on the strength of your business plan, so make sure to do it right.
When you're writing a business plan you should include:
A comprehensive description of your concept.
A description of your target customers.
An outline of your menu and potential pricing.
As much financial information as possible.
Include details on your start-up capital (how much money you have and where its coming from), as well an estimate of your long-term income and expenditure.
Information on how you plan to market your restaurant.
Details of your plan to hire and train employees, as well as an outline of any employee retention programs.
You should also include a section which addresses how you plan to cope with the pressures and problems that you, as a restaurateur, will have to face on a daily basis.
Working out a possible exit strategy in your business plan may also be helpful. -
Step 3: Plan on a serving style.
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Step 4: Research the cost.
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Step 5: Craft a business plan.
Detailed Guide
A food concept is the first thing to consider when planning on opening a restaurant.
Are you aiming for a family-style steakhouse, upscale French cuisine or a quick-service ethnic restaurant? Having a food concept will give your potential customers some idea of what they can expect from your restaurant.
Determining a food concept from the get-go will also help you to structure and organize other aspects of your business.
Some potential food concepts include: seafood, steakhouse, family-style restaurant, casual-dining restaurant, ethnic restaurant, pizzeria, sandwich shop, coffeehouse, bakery.
Once you have decided on a food concept, you can begin crafting your menu.
Don't worry about pricing or exact recipes to begin with, just try to get a sense of how your menu can best reflect your chosen food concept.
Some things to consider when planning a menu include: what potential competitors are offering, where you will source the required ingredients, special equipment or layout requirements for the preparation of menu items and whether any special personnel skills will be required.
The ambiance or atmosphere of the restaurant is another important factor, relating to the food concept.
Many varied factors contribute to the ambiance of a restaurant, such as furniture, lighting, dish and glassware, servers' uniforms, music, serving style and clientele.
Having an idea of the ambiance you wish to create is important as it will help to guide you during the decision-making process.
Always keep an image of what you aim to achieve in mind. , Your food concept, target customers and location will all play a role in deciding on a service style.
There are three main service styles: quick-service, mid-scale and upscale.
It is important to decide which category your restaurant falls in to, as this distinction will help shape future decisions, such as staffing requirements and pricing.
Quick-service restaurants, or fast-food restaurants, are known for their low-cost menus and quick preparation.
Examples include burger joints, pizza restaurants and ethnic foods.
Mid-scale restaurants fall halfway between fast-food and upscale restaurants.
They offer full service and good value menus.
Some mid-scale restaurants include buffets and salad bars.
Upscale restaurants pride themselves on providing excellent food and high quality service.
Fine-dining establishments are the fanciest type of restaurant available
- they offer the best quality food at the highest prices., It is imperative that you are fully aware of how much your new business venture is going to cost.
Do your homework.
Talk to other restaurant and local business owners.
Find out about rent, insurance and permit costs.
The more information you have, the more financially prepared you can be. , A comprehensive, accurate business plan is the most critical component of opening a new restaurant.
In fact, the success or failure of your restaurant can hinge on the strength of your business plan, so make sure to do it right.
When you're writing a business plan you should include:
A comprehensive description of your concept.
A description of your target customers.
An outline of your menu and potential pricing.
As much financial information as possible.
Include details on your start-up capital (how much money you have and where its coming from), as well an estimate of your long-term income and expenditure.
Information on how you plan to market your restaurant.
Details of your plan to hire and train employees, as well as an outline of any employee retention programs.
You should also include a section which addresses how you plan to cope with the pressures and problems that you, as a restaurateur, will have to face on a daily basis.
Working out a possible exit strategy in your business plan may also be helpful.
About the Author
Margaret Kim
Committed to making pet care accessible and understandable for everyone.
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