Restaurant business plan I used when I got started
Download Our Free Business Plan
Part of your due diligence is to also write a business plan. A perfectly good business plan will allow you to see your business’ pros and cons on paper. It will walk you through the process of operating your business and what it takes to be successful. Without a business plan it’s like walking in the dark feeling your way through to get from point A to point B. Can you imagine the bumps and bruises? If you’re not willing to do the work for a business plan, then don’t waste your time or money. At a minimum you will need to do the research. If you’re not a good writer, then there are people out there that will write your business plan; however, you must know your business. This way you’ll understand the details the writer puts into your business plan. I like to use elance for outsourcing work.
Business plans can range from $250 – $10,000 or more. If you’re on a budget and are looking for a solid plan you many want to consider outsourcing this service. I work with a talented company called Deutsch & Thomas, Inc. – A Business Planning Firm. For a flat rate they will build the plan you need for a business plan. They’ve written many restaurant business plans, and they know the business. The best part is that they will write it according to your objectives, be sure to explain to them what you want to accomplish in your business plan. Are you looking for funding from a bank, private investment, or do you want to set a plan in motion to guide you in the development of your project. You should have these answers prior to speaking to them. We’ll touch up on some of the questions they may ask you.
What are you trying to accomplish with your business plan?
Do you have a location?
What is the concept?
What are your costs?
What are your average tickets?
If this a fast food, takeout, or dine in?
What is your experience?
Do you have a resume?
Who is your management team?
Do you know your costs?
What is the average rent?
What are your equipment costs?
What are your build out costs
These are all important questions that need to be researched in order to increase your level of success.
RESTAURANT BUSINESS PLAN RESEARCH…
I know that this section is probably the section you and I would like to avoid. If you don’t do the research you’ll start a restaurant that’s destined to fail. Increase your chances of success by doing the proper research and knowing what you’re getting into. See appendix A – Site Survey. This is a great tool to really get a feel of foot traffic and get to know your neighbors in the process. Ask them about your location, customers, and the most active days during the week and weekend. Use my survey at the end of this section to document your findings.
RESTAURANT DUE DILIGENCE…
Do you have a restaurant concept? If you do not, are you going to copy one and put a twist on it? The first thing you want to do is make sure you “know what you want to do”. Take the time to go to restaurants that resemble the concept you’re going to do. In the last year, we’ve seen a lot of pizza and burger concepts just spring out of nowhere. Who would have thought that you could still put a twist on pizza and burgers? Two of my favorite places to eat are Garlic Jims and 5 Guys Burger. I like Garlic Jims crust and thin pizza. It’s different to others that I’ve tried, ingredients are excellent and the pizza is done right every time I order. 5 Guys has a very simple setup and an open kitchen. I like the open kitchen concept because I can see how my food is being prepared. This is one of two reasons I opened a Crepemaker. First the food was unique no one in the area had anything close to what we were making and if they did you couldn’t compare the food. They have perfected the crepe with an awesome American twist. The second reason was the open kitchen. It was like doing a cooking show. People would surround our kiosk just to see us cook. We took that opportunity to sample our product and we were off selling crepes!
Here are some steps to start building your concept:
Start collecting information on concepts that appeal to you. Collect menus and go online.
Visit the locations you’re interested in and take notes of things you like and dislike. If the location you are looking at is a busy location, try to determine why it’s busy.
Look for opportunities or concept gaps in your market or the location you’re intending to open. For example, does the neighborhood need a pizza or burger concept?
Take notes of the prices and specials; for example, if you’re looking at a burger concept, what are the prices for a burger, a cheese burger or a bacon cheese burger?