In the past two or three years, the business emigration of entrepreneurs has become quite common. One of the best types of business for our man is a cafe or a restaurant. The picture is usually drawn such: you, all so happy, you sit yourself smiling on the sunny terrace, nod to the numerous visitors of your cafe, many of which you know personally, and consult your business over a cup of coffee. But to get it right, you must at least avoid the typical mistakes when opening a restaurant. Here we have noted ten typical mistakes when opening a restaurant you should avoid …
#1 – Incorrectly define your role
A restaurant is not a job where you can come and go on schedule or when you like. You will have to spend most of your time there, get into all the processes, and personally control everything – especially in the first months. Do you think where to spend the weekend, where to go on holidays? So, you know that these days you will definitely spend in business in your restaurant, because these are the most profitable days that the owner has no right to miss.
#2 – Underestimate the value of the business plan
A business plan is not just a document for pro forma, especially for beginners in the restaurant business. A business plan is actually the constitution of your restaurant, a set of laws and regulations, and actions. In it, all the pitfalls, for example, information about licenses, legislative acts, sanitary norms. Do not forget about the business model, which along with the business plan will help you stay afloat in the first months of your “gastro-brainchild” life.
#3 – Do not have a clear concept
It’s not just about the menu, but also about the “face” of the restaurant. Interior, staff, other features that should leave a trace in the client’s soul. Otherwise, you cannot remember about you, even if you tries very hard, and accordingly – you cannot return or recommend to friends or acquaintances. But the most important thing for a restaurateur is popularity. This is not a factory canteen.
#4 – To be guided by your own taste
It often happens like this: the menu starts to bring your favorite family meals with all the outgoing features. Because someone likes it more sharply, someone is more welcome, and someone likes a mixture of exotic spices in general and out of place. About the client it is thought in the last turn, because how can it not be delicious if this mother-in-law has been preparing for a hundred years, and no one has yet complained!
#5 – Incorrect selection of personnel
Here everything is in the complex. Firstly, if it is an average or small restaurant, you should not inflate the staff. Too many staff is one of the main mistakes when opening a new institution. Keep in mind that it is not rent, but salaries and deductions to the pension fund are the highest regular costs in this business, despite the fact that the minimum salary of a waiter is more than a thousand dollars. Now imagine that you just opened, the client has not gone yet, the waiters and cooks are bored, but the money at the end of each month should be received regularly. It turns out that from your personal wallet.
At first, and in the second and third pores, you can quite work yourself and the waiter, and in the kitchen. Forget about your tsarist habits, in the restaurant business, the owner cannot go to the institution once a month to punch the cuffs and show his genius by inventing a new dish or ordering to change the menu design, because “well, nothing can do without me”.
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Secondly, taking family and friends for work is a big risk. Of course, there are pluses – trust, because the waiters are masters in terms of appropriating money. But among the minuses – close relationships can interfere with work, because in you are not accustomed to see the boss. As a result, not only the normal work process, but also personal relationships, is threatened.
Well, and thirdly, the staff itself cannot work. You needs clear management and clearly set tasks. Take it seriously to the selection of people for the restaurant, pay more attention to the ability, not the experience, become a real leader.
#6 – Think that the client is just waiting for the opening
… And immediately it will be sold out in the morning and in the evening, before you have time to hold a presentation and cut the ribbon! Many even before the opening begin to dream of a franchise, because after all, “we are so cool, everyone must like it!”. Finding, attracting and retaining the client is the most difficult, you have to work hard on this. Someone neglects the features of the local mentality, for example, considers it optional to have a terrace or at least a couple of tables on the street, and this brings up to half the proceeds of the establishment. Develop a marketing strategy for working with clients and do not neglect advertising.
#7 – Neglect the location factor
About where your restaurant will be located, down to the street, you need to think before you create any business plans. Any factor has a value. You can be in the center, but even 20 meters can be decisive if at this distance you are from a busy street deep into a lifeless lane. You just will not notice.
How much has happened and, unfortunately, there are cases when people invested tens or hundreds of thousands of dollars in the purchase and organization of a restaurant, which was not even helped by a massive advertising campaign, it was so unsuccessfully located.
#8 – It’s bad to study competitors
Often the study of competitors is reduced to statements like “yes my meat will be the best in the city!”, “In my restaurant there will never be a TV”. Do not waste your time criticizing others, think about your own, otherwise you will not create your own concept. When studying competitors, the main thing is to look for answers to two simple questions: 1. Why do customers come here? 2. What exactly attracts them? And on the basis of these answers, develop your own approach and come up with your own “zest”.
#9 – Optimistic calculation of costs
Experienced people say that always the amount spent on running the restaurant, you must multiply at least twice to understand how much you still have to spend in the first months. It’s naive to think that for 50 thousand dollars you can become the owner of an ideal restaurant. Certainly, there will be something as if a breakdown of the air conditioner in the hot August, there will be advertising costs and sudden taxes.
If you saved on buying a license, then, fork out for repairing the ever-breaking inventory or for additional advertising because of the not-so-good location of the establishment. One of the main rules – a restaurant can be called profitable if the amount of expenses does not exceed 60-70 percent of income.
#10 – Underestimate the importance of interior layout
Anything can be anything. For example, you get for a great price a room with equipment in the resort area, and even a three-story one-store house! A trick is that the toilet is on the third floor, the only one, without an elevator. At the same time on the first floor can only fit a bar counter, and all tables – on the upper walled floors, where no foot steps, no matter how you ask. Or in general your room looks like a corridor where the entrance to the toilet is somewhere right in the meter from the dining visitor. Take into account the psychology of the client, put yourself in his place and think about all the disadvantages of the interior and layout.