Being a successful restaurateur is not a child's play. It requires a lot of hard work, patience and ability to take right decisions at the right time. Initially, you may not do well in your business as a restaurateur as competing with established restaurants in your locality might eat up your business. Do not get disheartened over these initial failures as the one who will keep trying sincerely is bound to succeed. Many people are confused about how to start a restaurant business. Given below are some tips to start a restaurant business.
Arranging for Capital and Completing Legal Formalities
Arranging for sufficient capital to start a restaurant business is the main problem for most of the budding restaurateurs. You can take a business loan from a reputed bank, which offers cash credit facility on a low rate of interest. Take advantage of the various new and attractive schemes floated by the banks for start-up businessmen. You can also consider starting a restaurant on a partnership basis, wherein you will share the costs and profits with your business partner. If you are opting for a partnership, do sign an agreement with your partner before starting the business. You should have a license and a no-objection certificate from the local authorities to start your dream restaurant. Failing to do so may lead to serious legal complications. Design your business plans as per your budget. You should also consider the idea of franchise buying of a chain of restaurants.
Choosing Location and Designing Infrastructure of the Restaurant
The location of the restaurant is very important, as restaurants in prime city locations do much more business than those in the outskirts of the city. Remember that your restaurant should be easily accessible from all regions of your city. If you do not have money to start a restaurant business in the suburbs, you should start it in an area which is developing rapidly, so that you get excellent returns for your investment after a few years.
The look of the restaurant should be such that people should be impressed at the first sight, as first impression is the last impression! If your budget is high, you can go for marble flooring, attractive pictures, plush interiors like POP's, in-built lights and a discotheque and a bar. However, it is possible to lure the customers even with a simple and systematic look of the restaurant. Use good quality chairs, tables, spoons, dishes, etc. to give the customers a nice experience for their expenditure. Hospitality is an important factor of this business. You should appoint good waiters and kitchen staff and train them well in the areas of cleanliness, professionalism and politeness. Make sure that your visitors feel comfortable and happy in your restaurant. Ensure that your restaurant has ample and good water supply, gas supply, exhausts and efficient security systems. Try and include all the popular food items to avoid limitations for your business. It is recommended that you should be present at the cash counter everyday, at least till the time your business gets settled, to ensure that everything is going as per the planning.
Proper Advertising and Quality Check
Advertising about your restaurant in the local newspapers, in a proper way, can draw the attention of people and generate interest in them about your new venture. If affordable, invite a celebrity to inaugurate your restaurant. Maintaining the quality of food is very important, if you want to survive in these days of cut-throat competition. Take every possible care to satisfy your customers. Hopefully, the above suggestions will answer your basic question - how to start a restaurant business.
It is wise to revise the business growth strategies as per the changing situations. Also, be aware of the latest trends in the industry. For example, include extra food items in your menu card specially for occasions like Christmas. Take some useful advise from other restaurant owners and implement their creative suggestions.