The Pitfalls Of The Restaurant Business

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The Pitfalls Of The Restaurant Business
The Pitfalls Of The Restaurant Business

Video: The Pitfalls Of The Restaurant Business

Video: The Pitfalls Of The Restaurant Business
Video: 5 Alarming Reasons Why Restaurants & Food Businesses FAIL 2024, April
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To many aspiring entrepreneurs looking for a business to invest in, it seems that opening a restaurant is easy and profitable. It would seem that everything is simple - you need to find a busy place, come up with and implement the original design of the premises, find personnel and suppliers, and after that money will flow like a river. However, without taking into account the pitfalls of the restaurant business, you will quickly find yourself bankrupt; in terms of their number, this type of activity ranks second after the trade in photographic materials.

The pitfalls of the restaurant business
The pitfalls of the restaurant business

A stormy start and … a quick finish

The main reason for many bankruptcies associated with the fact that all the pitfalls were not taken into account is the lease of premises. About 90% of restaurants operate in rented premises and give a lot of money to tenants every month. Many people make the mistake of choosing expensive premises in the center, often while these areas are in a dilapidated state and they have to make major repairs, investing in something that does not belong to them. As a result, the stormy start ends with the fact that after a while the owners are trying to give the restaurant to management or sell in order to save at least some of the money that was invested in the walls. If equipment, dishes and furniture can still be sold at a discount, you will not be able to remove doors, windows and trimmings.

A business plan, in which all the nuances are taken into account and calculated and all development options are provided, must be mandatory.

But market research shows that people are willing to go to a good restaurant where they like, even when it's on the outskirts. If you choose a room farther from the center, you will have the opportunity to rent a suitable one, requiring minimal repairs and investments, and its rent will cost much less. You can use the saved money more profitably - invest it in development, interior design, advertising campaigns, in commercial terms, you will achieve even more than renting a room in the center.

Own original concept of development will make the establishment successful and in demand with minimal costs.

Lack of qualified personnel

When an entrepreneur has no experience in the restaurant business, it seems to him that it is possible to hire a manager. But there are very few experienced and qualified managers and they are reluctant to leave their previous jobs. There is a big problem with qualified and really good chefs, waiters, bartenders and marketing specialists.

There is a problem of staff turnover, it is known that after opening a restaurant, in the first two to three months, about 40% of employees hired at the beginning are fired. The reason for dismissal is not low salaries, in most cases it is a human factor. Therefore, it makes sense not to save on personnel and immediately hire experienced workers, albeit with high salaries. In this case, you will not have to train those who can still quit and, perhaps, in this case, you will even save money.

What else needs to be considered

Many successful restaurateurs note that it is not enough to create a cozy and comfortable environment in an institution that attracts a regular clientele; it must be preserved and provided so that there are no unwanted guests in it. There are some visitors who do not know how to behave, are rude, talk loudly on the phone. Some time after a successful start, you can enter club cards that will help solve this problem.

The criteria for evaluating a restaurant are standard all over the world: cuisine, wine, service, atmosphere. Russia still retains its own specificity and visitors appreciate the atmosphere, attention and service more than good cuisine. This does not mean that the kitchen can be so-so, but the design of the room and the quality of service is an important point.

In the case when there is no personal experience, and you cannot solve some specific issues, for example, about the choice of premises, its area, the manufacturer of equipment and kitchen appliances, you need to hire an assistant consultant and immediately discuss with him whether he will only advise you or also help in solving practical issues. Paying for his services will pay off by saving your time and nerves, as well as the absence of unnecessary mistakes.

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