Owning a restaurant can be one of the most exciting and fulfilling businesses to invest in, but it is not without its hurdles. A whopping one third of all restaurants close before they celebrate their third anniversary, so it is essential that you be prepared. There may be many pitfalls, but if you navigate them successfully, you will ensure the profitability of your restaurant.
A Complicated Menu
When it comes to the food options you offer, keep it simple. You may love Mexican food, Japanese food, Southern barbeque, and French cuisine, but it’s likely that too many offering will end up making your food taste mediocre at best. Know what you like, and do it well. Perhaps you are a veteran chef and you have a certain concept you want to implement, or you are a passionate foodie turned businessperson. When it comes to food, you need to know your stuff. If you hire a reward winning chef, it is in your best interest to allow them to cook what they are best at, and allow them a little room for creativity as well.
Remember that when your clientele goes out to a restaurant, they usually have a particular cuisine on their mind. You may have a passion for Asian fusion dishes, but keep it tasteful and delicious.
An Ugly Establishment
A restaurant isn’t just about the food. The atmosphere of the restaurant can make or break a guest’s experience as well. You need to address how you want your restaurant to feel, and create that feeling. If you want to create a romantic atmosphere, look into low ambient lighting and soothing jazz music rel=”dofollow”. If, however, you want an eatery with a community vibe, don’t hesitate to turn on the tunes and create an open space with plenty of room for movement. There are designers who devote their craft to designing and arranging the interior and exterior of a restaurant, so if you have the idea but don’t have the ability to implement it, feel free to hire a designer.
Not Investing Where it Counts
Budgeting is difficult when it comes to opening a business, but it necessary to spend money where it counts. This means not cheapening out on the important things, like whether or not you want a liquor license. A liquor license, for example, can come at a high cost but can draw in more profit over time. Services such as License Locators, Inc. can help you sort through the busy work and find the liquor license you need at an affordable price.
You will also need to build an emergency fund. Every once and a while, a fixture will be in need of repair or an entire dishwasher may need to be replaced. While inconvenient, maintenance is simply a part of a restaurant owner’s job. Avoid major expenses by replacing what needs to be replaced now, such as faulty plumbing or an electrical issue. Your business and your staff will thank you later.
After you put in all that hard work, you want people to come and enjoy your restaurant. However, this doesn’t just happen on its own. Effective restaurant owners advertise their establishment well before it opens. Some eateries will market the progress of their development via social media such as Instagram. If possible, reach out to a local magazine, newspaper, or blog that will send someone to review your restaurant. You may also host a soft opening. A soft opening is when the restaurant opens for a select number of people to host before the restaurant officially opens its doors. These people are usually reviewers, friends, family, and perhaps a few high profile members of the community. The intent is to get the buzz going early so that when the restaurant officially opens more people are likely to visit immediately.
Another tactic is to utilize social media. It bears mentioning that social media is your best free resource for marketing your restaurant. Always update your followers with the latest dishes, events, and goings-on at your restaurant. However, this won’t be enough for a permanent presence. Consider hiring an outside marketing company to take your advertising to the next level.
Running a restaurant may not be easy, but it is a thrill for those who have the discipline and put in the hard work. Think of the ways you can save your restaurant and achieve financial success.