An estimated 58 percent of American adults eat at least once a week. Another growing economic superpower, China, is also showing a great desire to eat out. Driven by rising revenues, the country is also experiencing rapid growth in the restaurant industry, with record sales of nearly US$628 billion, or 4.28 trillion yuan, in 2018. This is a significant increase of 9.5 percent from 2017, and the figures are clear. Correct. .
Chinese people are known to like to eat out and according to the World Bank in 2016; The amount spent in luxury restaurants and fast food restaurants (QSR) is twice the GDP of countries like Norway and Sweden. In such an atmosphere, opening your own restaurant is a great way to get a significant share of the sales pie. However, you must take a strategic approach to ensure your business is not overshadowed by the competition.
Here are 10 steps on how to start your own restaurant
1. Choose a brand
Restaurant brands should be driven by clear concepts such as the food you serve and impeccable service. Branding shapes your restaurant’s identity and defines your mission. It is the intangible force that drives your restaurant concept.
2. Find menu items
Determine the main food that you will sell in your restaurant. Browsing through the menu items will give you a clear idea of the type of cooking utensils and staff you will need. The choice of food also shows your customers will be the host. As your business progresses, you may need to remove some elements and add some extras, but it’s important to find the core elements that you specialize in.
3. You have a restaurant business plan
A business plan will help you reach out to investors. It also helps when applying for a business loan. A plan is essential when developing your business strategy and outlining the viability of the business.
4. Get funds
Have an estimate of the total start-up costs required to open a restaurant. Calculate the amount needed to keep the catering business running on a daily basis. Use your savings to determine the loan amount you need and apply accordingly.
5. Choose a location
You want to set up your restaurant in an ideal and easily accessible location. When deciding on a location, pay attention to demographics. After you determine the location, rent the commercial space.
6. Getting Licenses and Permissions
Opening a new restaurant requires state and local licenses and permits. Legal Counsel can be engaged to submit documentation for permits and licenses. This ensures that you follow the steps required by law.
7. Find equipment and food suppliers
To run a restaurant, you need the right equipment. You should also have quality food that your guests will love. Whether it’s a grill, grill oven, or even a batch of seafood ingredients, you need to prepare it by finding a vendor.
8. You have the layout of the restaurant area
Get someone experienced in interior design to help you with the restaurant layout design. The layout should match your theme and menu. Make sure the restaurant area offers a systematic flow from back to front of the house.
9. Hire workers
Get the right staff to turn the wheels of your catering business. Make sure you have staff who are knowledgeable about customer support. You need to consider the role you are filling to know which people to hire.
10. Advertise the restaurant
They want customers to know that a new restaurant has opened in town. So use different channels to reach them including social media and well optimized websites. There are now multiple streams of income through online grocery delivery apps. So make sure your business is included. Offer discounts on some products and get special offers on different days to attract visitors.
These are some of the things you need to plan for when opening a new restaurant. By following these steps, your restaurant brand will be up and running in no time.