We have worked with several restaurants over the years. After a very bumpy start with a lot of overspending, one learned how to keep their overhead as low as possible. Talking to one owner they could cover their annual fixed costs within 5 to 6 months. But only family worked the restaurant, the mother doing the main cooking throughout the week and the son running the day to day. With no one getting paid. This worked only so long.
But having done some reading and watching various restaurants, I have some ideas that I would love to test out. But I know that most restaurants die within three years. The current environment will be killing them sooner and taking established restaurants with them.
I was talking to another client and was told that their municipality took over six months to allow the permits be passed so the changes could start restructuring the building. This does nothing but drain start-up capital. But government is never a real friend to small businesses.
My ideas are a specialized limited menu of a few select gourmet items. A small stand alone location, catering to the carryout market versus the dine in. No liquor laws to contend with then. Essentially a gourmet fast food carry out restaurant.
There would need to be a social media blitz before the grand opening, while building the business and when growing the business, as well as an interactive website. Most of all food worth the trip.
In my mind if the food is fantastic people will drive a bit out of their way. I have done this for Pizza, burgers, Italian Beefs, Italian Ices. If it was worth the effort the effort was easy. I still frequent some of the same places I have as a teen. I have introduced my kids to theses places.
Unfortunately ownership changes, then the quality. We had a burger place downtown that I would drop off the wife or kids and circle the block while they picked up the orders. Now I only remember it fondly, the new owners made changes to improve profit at the cost of quality. I am not even sure if it is still open.
Yes, I’m a bit crazy, I probably will never find the right person to open a restaurant with. I may know the business side, but the recipes, the ordering, the spoilage rates the health codes. Those are foreign to me, so I would need someone with those skills.
But again, just about all restaurants die within the first three years. Even McDonald’s the guy paying for that brand-new building at a brand new location usually is not the one owning it in year four. They don’t close, McDonald’s Corporate owns the land and now has a free new building on the land. They just resell the franchise.