Three Important Considerations for Opening a Restaurant

Opening and maintain a successful restaurant is notoriously difficult. Many eateries close for obvious reasons, such as poor customer reviews and health code violations. Still, other dining spots which appear to be well-liked and popular can shutter abruptly. As an entrepreneur or an expert chef, you might still have a vision for a restaurant that could very well be a huge hit with some careful planning and consideration. Here are some things you should take into account.

Location Matters

It cannot be overstated how much location factors into a restaurant’s success. When a business is not in the right location, it can suffer from low foot traffic and low visibility. Your spot should be in a strategic location where visitors will want to check it out. You’ll need to do some research and investigation. Too much nearby competition may negatively impact your prospects for success; however, you don’t want to put your business in a place that most people don’t go to eat. The location should also influence the eatery itself. For example, a seafood joint in an area where most people don’t eat fish or getting fresh fish is difficult may not fare well.

Details Matter

It doesn’t matter how unique your concept is or how great of a chef you are. If you don’t have a detailed, thoughtful business plan, you’re setting yourself up for failure. What is your menu or dining concept? How will you initially fund operations? Have you secured financing? What type of business model will you follow? Will customers pay for their food at a counter and then seat themselves or do they pay at the end? You’ll need to have a plan for suppliers, vendors and business tools. Do you plan to serve alcohol? You should consult a company that can assist you with TABC licensing.

Your Presence Matters

Whether you’re the head chef or you don’t know the difference between sautéing and simmering, your involvement matters. Often owners are too hands-off, leading to issues such as bad customer service, poor decision-making and insufficient attention to details. You don’t need to micromanage your staff, but a consistent presence is likely to result in supervisors being more diligent about making sure that every detail is attended to. You should hire experienced leaders to shine in their areas of expertise, but if your money is on the line, you need to be involved.

Owning and operating a restaurant can be an exciting prospect. It can also be very lucrative, but so many factors can push your business towards failure. Be strategic about your location, pay attention to the details and stay connected to operations.