So your friend wants to open a restaurant – 20 tips

20 Tips to start building a restaurant

Tips on what to consider when opening a restaurant

The Today’s Restaurant News Networking Group www.trnusa.com/network-group is comprised of members who are experts in their fields and have hundreds of years of experience collectively.

The question was posed to them “What advice would you give to a close friend or relative that wants to open a restaurant? What should they consider.  The answers were recorded and posted on our YouTube Channel Today’s Restaurant https://www.youtube.com/channel/UC8Xj11-qjHSX9xxAEZEHqOQ

Here are the suggestions, recommendations and tips.

1. TRN -Write a business plan. Form goals and objectives for your new company. A successful start to any business requires a detailed outline of what you plan to accomplish.
2. Darin Gull, TRACI.net – Check phone service to see if it is suitable (before you get the key)  Know what bandwidth is available. Don’t get stuck on DSL, it’s not good enough to run a business, extremely important, for security cameras. Hire experts, lawyer, interior designer, kitchen designer
3. TRN – Obtain start-up capital. Whether you use your own savings or obtain loans, starting a business requires money. The loan process can take months to complete, so start early. Lenders often request a completed business plan prior to approval of funding
4. Chris Kauffman, Restaurant Recruiters of America – build from the menu An Italian restaurant needs different types of equipment than a Chinese restaurant Management by Menu, what type of people you hire, what kind of equipment you buy. The Menu is the governing document for everything that takes place in the restaurant or any establishment
5. John Marenic, Marenic Foodservice Consulting – Can’t even get in a door to buy a restaurant if you have no menu and concept in place
6. Chris Rodrigue, Strategic Supply Chain – Better know the concept for what you are going to before anything.
7. Azalea Cristobal, Real Estate Sales Force – Get the key, it’s yours. Display a sign on the window for Coming Soon, it’s free marketing Take advantage of your own space and give folks something to look forward to.
8. Stephanie Brilliant, Brilliant Computers – Communications/business email in place with phones and domain along with website.
9. Brian Josselson, Rogue Leasing – Business license and or liquor license or construction loan / If you are taking over an existing location, be sure the previous business has paid all of their taxes because you will be responsible to pay them.  Be prepared to pay the prior tenants bills
10. Steve Whitehill, Anchor Business Brokers – Sales Tax runs with the property, if the prior tenant hasn’t paid the sales tax, the state can come after you for the sales tax/liability. Steve Whitehill – Hire an Architect / Gen contractor must know how to build a restaurant not just a regular building. Planning in zoning so that licensing is allowed.  Liquor license not easy to get, there are many types.
11. Bahia Erol, The Holmes Organization – Have General Liability Insurance in place before you start. Business Interruption Coverage covers loss such as fire income. Extra expense such as expiditing shipment or loss of equipment during delivery. Make sure you are covered and have extra money in place. Insurance policy there are exclusions for deadly virus and things you never think will happen. Many people lost out from not having health insurance. Like with COVID.
12. Rick Israel, Anchii Agency – We must take have of insurance prior to even using the key to open the door. Costs of materials going up and allow for that because insurance goes up as well.
13. Gabi Rolon, Worksite Employee – As soon as you open the door you should have an employee retention program in place.
14. Terry Arke, Creative Business Impressions – Check different costs on advertising/FB. Get your name out there. Get attention prior to opening.
15. Gary Gridley ll, SpotOn – Hire a well trained Chef for the cuisine you will have.
16. Chris Rodrigue, Strategic Supply Chain – 90% of things should be done before you open a door/ plans, conceptual plan, then find a space, then kitchen figured out.
17. Ed Guertin, Seacoast Sales – Location, location, location `you have to have a place where there is traffic going through. No traffic can close it before it starts.
18. TRN Identify where to get help. Smart business owners know where and when to seek advice from other sources. Identify attorneys, accountants and commercial real estate agents in your area who can assist you with specific questions about your business.
19. Get started. Schedule an opening day for your business. Giving yourself a goal helps keep things on track and can increase your productivity.
20. TRN – Set up a legal business structure. Forming a corporation or LLC can protect owners’ personal assets from business debts. Additionally, incorporating can provide credibility and tax benefits.

New businesses face many challenges, from planning and licensing to opening bank accounts and creating a company website. Follow each step on the checklist to stay on the right track.

To contact any of our members visit www.trnusa.com/network-group

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