9 Things to Know Before Opening a Restaurant


Sawai Jangid

Senior editor

Parul Saxena

Chief editor

Last updated: May 21, 2021

The restaurant business is blooming with pace. A new restaurant comes up each day in your neighborhood. Looking at these you might think it is an easy job to start a restaurant.

Looking for Restaurant Software? Check out SoftwareSuggest’s list of the best Restaurant software solutions.

Wait, it is not that easy as it looks. But you do not have to over worry either, as it is not rocket science. Moreover, we are there to help you. Before you start your restaurant business you need to know a few things.

Here are the 9 things to know before opening a Restaurant:

1. Chalk out business plans

The first and foremost thing you should pay attention is the business plan. No matter how big or small your restaurant is, chalk a plan first.

  • Define objectives.
  • Decide the name and style of the restaurant.
  • Run a market survey.
  • Decide the target consumers.
  • Decide the margins on your products.
  • Find out the licensing procedure.
  • Investigate the health codes.
  • Survey the marketing channels.
  • Study the tax laws.

…and so on.

You need to invest proper time in the planning procedure. Otherwise, you will land up in a mess.

Remember, proper planning will save you from the wrong decisions or wrong investments.

2. Say no to holidays

Restaurant business requires you to work almost all seven days a week. You do not get many holidays in this business.

It requires you to work even on public holidays or weekends. Remember, whenever it is a holiday for others they will come to enjoy your food to add to there holiday mood.

You might even not get a holiday to celebrate your special days like anniversary, birthdays, and so on.

Keep this in mind and be ready to say no to holidays.

say no

3. ‘Patience’ is the keyword

A restaurant business will flourish only if you will have a large number of dinners. Many times you will hear people say “We will surely visit your restaurant”, “Next weekend we will come here once again”, and so on. But you never know they will not show up.

You might have customers many customers on one day. And very less on others. So, be prepared for this.

Do not get disheartened if you do not get the expected number of customers, have patience. In fact, try to impress customers who have come in. this will help you get word of mouth advertisement from them.

4. Seek finance

Finance is a major issue for any restaurant business. It needs a good amount of finance, much in advance you start gaining from it.

  • Each and every procedure needs finance.
  • You need to spend on the place.
  • You need to spend to get yourself registered.
  • You need to spend on interior and furniture.
  • You need to spend on getting utensils and cutleries.
  • You need to spend on hiring staffs.
  • You need to invest in software, such as restaurant pos software, and others

… and so on.

Also, Read: Increase Revenue with Restaurant Management Software

Remember that the day you think to start your restaurant business, you need money to invest. So, think wisely. Procure finance skillfully. And invest tactfully.

5. Be specific about the restaurant type

The restaurant business is growing day-by-day. Nowadays you have so many different types of restaurant.

  • Few deals only in some specific type of food, like pizza, burger, sizzlers and so on.
  • Few are only for dine-in while few deals in home delivering also.
  • Few work throughout the day while few have specific working hours.
  • Few provide soft drinks and mocktails, while few serve hard drinks and cocktail as well.
  • Few restaurants are meant for common people, while few want to serve only the middle or upper class.

….and the list goes on.

So, before starting a restaurant, decide the restaurant type you want to own.

6. Keep an eagle eye on your competitors

It is a good practice to track your competitors, before opening a restaurant.

The best thing you could do is to walk into a few restaurants. Talk to its owners and customers. Track what the customer likes and dislikes.

Keep a watch at the various attributes of the restaurant.

  • It’s location.
  • It’s interior decoration.
  • It’s concepts.
  • It’s food.
  • It’s working staffs.
  • It’s customers

…and so on.

7. Hiring the right person for the right job

Taking the right person on board is very important. You cannot expect a  cashier to cook in the kitchen. Likewise, you cannot ask the cook to sit at the cash counter. So, hire skillfully.

Moreover, it is always advisable to keep your family and relative away. Though you can hire them if you are sure your personal relationship will not affect your business relations.

8. A tempting menu always works

The menu is one of the integral parts of the restaurant business. It should be appealing, attractive and tempting. Try to include the perfect blend of traditional dishes and innovative dishes.

For instance, if you are going to deal with pizza. Include the traditional cheese pizza. And add a modern and new touch to it by including Mexican or Tandoori Paneer Tikka pizza also.

You can also introduce some items which will be unique to your restaurant. You can add these as signature dishes. Promote it by discussing it with your customers when they are ordering the food.

You can also keep the names of the dishes according to your restaurant theme. You can get your menu card printed according to your theme. This will make it more interesting. For instance, if you are planning for a cinematic theme, get your menu designed with photos from the cinema field.

9. Location does matter

Choosing a strategic location for your upcoming restaurant is an important part. It requires you to decide intelligently.

location matters

  • You need to check for the cash available.
  • You need to have a look at the population base nearby.
  • You need to check the accessibility of the place.
  • Parking also needs to be given importance.
  • It should be located at a visible place

..and so on.

Final Words

Hope the above list will definitely help you before you start your restaurant. We wish you all the best for your new venture. Hope your restaurant keep flocking with satisfied diners.

Sawailal Jangid is a Content Analyst at SotwareSuggest. He does researches and analyzes software to educate and advice to the business managers to streamline their business. In his spare time, he loves to do sports activities.

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