Are you starting a restaurant? Then it’s time to make a business plan! A business plan gives you a chance to evaluate the restaurant’s concept, decide on the target audience and perhaps most importantly – ensure there is demand in the area. In this blog post, we’ll look at some of the key points of the business plan!
1. Find the right concept
You may have already decided on the concept of your restaurant – whether you want to stand out for your upscale cuisine or affordable daily lunch. Whether you already have a clear idea of what kind of restaurant you want to start, or you’re still in the decision-making phase, the business plan is the perfect tool to really get to the heart of the concept. What is it that will make you stand out from the competition?
2. Identify competitors
On the road to a successful restaurant business, you need to do a thorough analysis of the market and competitors – which is one of the steps in the business plan. Should your USP be that you serve the best meatballs in town? Then it can be a problem if there are already two restaurants nearby with the same niche. Unless you really are the world’s best at meatballs and have the potential to completely outclass the competition. If so, go for it!
3. Find the guests
The business plan also gives you an opportunity to identify the restaurant’s target audience. Are you going to be a place to watch the game and have a beer after work? Or a restaurant where you eat a delicious three-course dinner on special occasions? You can’t be both a popular pub and the place where all the city’s pensioners eat their lunch. If you target too broad an audience – or choose too broad a concept, for that matter – you risk losing your identity. Instead, go all out for a specific group of guests and make yourself irreplaceable for them!
Reading tip: How to get more regulars in your restaurant
4. Make a proper budget!
What about that budget? Many people make the mistake of not making a budget at all, or making a light version that doesn’t serve its purpose. Now you may think that you already have all the prices and production costs in your head (or written down on a piece of paper somewhere…) – but for you who take your business seriously and plan to make a profit, it’s not enough! When writing a business plan, you also need to make a clear budget, specifying what the raw materials may cost at the supplier, how much you will sell them for and how much you expect to earn. It is important to be aware that the cost of goods consists of more than just the purchase price. For example, rent for the premises, staff salaries and electricity are also aspects that need to be taken into account!
Examples of points to include in the business plan:
- Restaurant concept
- Analysis of market demand and supply
- Identification of potential competitors
- Marketing and sales plan
- Thorough budget
- Objectives of the activity and a plan for achieving them