Opening A Restaurant May Require Administrative Authorizations, But Above All, It Requires Careful Preparation. So how To Proceed Step By Step? How To Write A Business Plan For Your Restaurant?
How to make a business plan for a restaurant?
First, many business creators wonder why to make a business plan, and restaurateurs are no exception. There are several reasons, but the main ones are 1. to clarify your ideas; 2. to convince or reassure your potential financial partners. So, consider that this step is not an option in developing your plan to open or take over a restaurant. The steps to carry out your Business plan are the usual steps. Still, the specificity of this sector requires you to pay particular attention to certain points to avoid encountering difficulties.
Restaurant business plan: Which customers are you targeting?
Catering business plan Before embarking on your business plan, specify what catering style you plan to set up and for whom you intend it: is it a themed restaurant? A fast-food formula? Are you targeting an office clientele with little time for lunch? Or, would you rather focus on high-end business catering? Are you targeting a young clientele wishing to eat a balanced diet? Or rather a clientele looking for a festive atmosphere? You must have concrete elements confirming that a market exists for your concept; a market study, for example, will present in the Market chapter of your Business plan.
You have understood it: your Business plan allows you to specify your concept as precisely as possible and draw up a “robot portrait” of your customers. This work is essential before moving on to the next step: choosing the location.
How to choose the location?
This step is not very complicated because it responds logically to your previous reflection. Keep this in mind. However, that location is one of the key success factors for your project. Depending on the marketing positioning of your restaurant and the customers you are targeting, which catchment area in your sector has the most potential? The environment and the atmosphere are important but also think about the reception capacity and all the elements that can intervene in your ability to quickly make the business profitable (purchasing power of the customers, number of services, possible opening in the evening, etc.). The choice of location naturally considers the presence (or absence) of direct or indirect competition.
How to choose the right team for your restaurant?
The 2nd very important point to study closely concerns human resources. The quality of your customer service depends on effective recruiting: you can have a very good location for your restaurant and not recruit customers or lose them because your service is not of good quality or is not appropriate for the clientele you are targeting. This customer needs analysis is also based on market research (or field surveys).
Business plan Restaurant: Which indicators to monitor?
Two main indicators (these are not the only ones) must appear clearly in your Business plan and be monitored to ensure the profitability of your restaurant project: your material cost and your hourly production rate. The material cost is equal to the ratio between the monthly consumption of materials and the monthly turnover excluding tax. On average, this ratio should be around 30%.
So as not to forget anything during the design of your Restaurant Business plan, follow a framework (for example, that proposed by start my story) and do not hesitate to have it read (and re-read) by professionals in the sector. They will be able to identify the gaps or the clarifications to be made and help you go in the right direction.
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