Today, restaurateurship or the art of restaurant management is one of the most profitable and attractive investment areas.
The main reason for this is the conditional simplicity of such a business . It is enough just to be able to cook well, in order to get not only pleasure from the work done, but also a solid profit.
In some cases, you don’t even have to cook on your own, because the hired chefs are able to take full responsibility for the preparation and serving of future dishes.
What is the restaurant business?
Nevertheless, as depressing statistics show, not every restaurant is able to bring income to its owner.
On average, only 15% of the total number of opened establishments pay for themselves, while the rest bring losses and quickly close.
As a rule, the reason for everything is a poorly drawn up restaurant business plan or its complete absence, due to which the manager does not see a clear sequence of actions in front of him, and, as a result, begins to spend funds for other purposes.
Restaurant Business Plan: Key Benefits
Having gained an understanding of the restaurant business and seriously thinking about its organization, you cannot do without a restaurant business plan.
In support of this, it is worth citing a number of advantages that a well-prepared restaurant business plan provides:
- The ability to coordinate the actions of your staff as efficiently as possible, the basis for which will be a clearly visible goal.
- The ability to draw up a system of «behavior», as well as the distribution of responsibilities, which will achieve the desired results in the first few years.
- A well-thought-out restaurant business plan will allow you and your employees to be confident in the future.
A sound business plan will minimize the risk of increased competition, and if it has not been prevented, it will suggest a number of further actions.
An example of the successful implementation of a restaurant business plan
In order to be convinced of the need for planning a restaurant business, let’s give a simple but extremely clear example.
Let’s take a real-life restaurant opened on the territory of a large shopping center in Moscow.
The area of the restaurant is 385 sq.m., of which the area of industrial premises is 180 sq.m.
With all this, the restaurant employs 14 employees in each shift.
Note that the initial capital of the owner-restaurateur was 4.4 million dollars.
Thus, paying all bills, paying rent, and paying staff salaries in good faith, the net monthly profit was $287,000.
Based on all this, we can conclude that over the next two years, the restaurant will not only fully pay off, but will also begin to generate significant profits.
Where do you need to invest money to successfully implement a business plan?
When covering the restaurant business, it is a smart decision to tell aspiring restaurateurs about the correctness of financial investments.
Initial capital should be evenly spent on:
- Selection of qualified personnel
- Purchase of equipment with a guarantee
- Purchasing quality, fresh produce
Renting a well-located premises in the city center or other crowded places.
Restaurant business plan: possible risks
As in any other business, restaurateurs do not exclude the possibility of some risks.
1. The main risk of this business is the choice of its location. But also do not exclude the actions of competitors.
2. It is also highly recommended to keep the restaurant clean in order to minimize the possibility of the emergence and spread of disease-causing infections that may cause the establishment to close due to non-compliance with sanitary standards.
Summing up, taking into account the smallest aspects, a well-designed restaurant business plan can bring huge profits. You just need to give it some time!