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1. Restaurant Management: Areas Of Consideration - (508 Words) 2. Restaurant Management: Booking Live Acts - (555 Words) 3. Restaurant Management: Dealing With Customers - (514 Words) 4. Restaurant Management: Doing A Redesign Or Re-Launch - (587 Words) 5. Restaurant Management: Managing The Kitchen - (523 Words) 6. Restaurant Management: The Dance Floor - (501 Words) 7. Restaurant Management: The Manager - (527 Words) 8. Restaurant Management Today - (512 Words) 9. Restaurant Management: Training - (529 Words) 10. Restaurant Management: Unique Challenges - (513 Words 11. oreword, Introduction, Target audience, Rationale and Layout of the Book 7 Section 1: THE CONTEXT 9-31

1. (What is in a RESTAURANT?) or WHY THE RESTAURANT BUSINESS? HOW TO MAKE MONEY SHOW ME THE PROFITS! Background And Introduction To The Restaurant Business Where Do Restaurants And Eating Out Establishments Come From? Nature And Scope Of The Industry And Types Of Restaurants Why In The Business Of Owning/Running A Restaurant? 2. IT IS TRULY ALL ABOUT LOCATION!LOCATION!LOCATION! (HOW TO MAKE IT HAPPEN, SUCCESSFULLY) Where Is The Establishment, Good, Bad And Ugly Truth About Locations, Importance, How To

Choose Competitors, Area Influencers, Costs And Related Considerations Investments And Profits A Delicate Balance THE GOAL INTO REALITY: Patience And Persistence, Determination To Succeed 3. THE BEST ROUTE TO TAKE SOMETHING OLD, SOMETHING NEW? (WHERE, WHAT AND HOW MUCH?) The Debate About Starting From Scratch, Renovation Or Revamp Of Existing Restaurant Properties Pros And Cons Key Things To Consider Before Commencing Or Pursuing Either Financial Matters And Considerations 4. GOING IT ALONE, BUSINESS PARTNERS, RELATED MATTERS REGARDING MANAGEMENT AND ORGANIZATION The Market And Competitiveness, Feasibility Of The Restaurant Size Of The Restaurant (Seating, Capacity, Staffing) Competitors, Market Share And Potential Sales Of Other Surrounding Restaurants Types Of Ownership Profit Decisions 5. THE INTRICACIES AND COMPLEXITIES OF FINANCING, CAPITAL AND CREDIT Financial Partners: Sources And Types Of Capital Banking Services And Documentation Loans And Collateral Considerations, Implications And Consequences 32-43

Section II: THE CHALLENGE 6.

SELECTING FOOD SERVICE EQUIPMENT (WHAT TO USE IN YOUR RESTAURANT? Why Wrong Equipment Choices And Decisions Can Ruin You! Features And Considerations When In Comes To Equipment Every Restaurant Owner/Operator, Manager Much Know! Equipment Needs Assessment And Evaluation Strategy 7. RESTAURANT LAYOUT Sensible, Functional, Scalable And Profitable Design Options Seating Capacity, Room To Move And Space To Spare! Helpful Tools And Guidelines Of The Trade: Menus And Templates Walk-Through, Flow And Other Traffic Solutions For Both The Kitchen And Dining Room Other Requirements To Consider When Designing, Equipping And Laying Out Your Restaurant

8. PROTECTING YOUR INTEREST AND INVESTMENTS: RESTAURANTS AND INSURANCE COVERAGE Types Of Insurance Protection (Selective And Mandatory) Categories Of Insurance Protections Labor Laws And Workers Compensation Accidents And Health Insurance Co-Insurance Other Considerations 9. SPREADING THE WORD, MARKETING AND ADVERTISING Creating The Character And Atmosphere Of Your Restaurant Trademarks And Themes, Menus And Special Touches Making The Most Of Publicity 44-54

Section III: THE ROADMAP

10. WHO GETS TO DO WHAT, WHEN AND WHERE AROUND HERE Resources And Staffing Management And Organization Structure, Departments And MORE! Chains, Jobs And Titles Compensation Costs Recruitment, Hiring And Staff Selection What To Look Out For And Hiring The Best The Details And Dynamics Of Employee Training

Managing Others In The Restaurant Environment 11. WHAT IS ON THE MENU AND HOW TO MAKE IT HAPPEN Menu-Planning, Purchases And Successful Profitable Execution The Relationship Between Purchasing, Sales, Costs And More 12. DEALING SAFELY WITH FOOD What To Do With Food That Arrives At The Restaurant (Receiving, Storage) Store-Room Fundamentals Industry Guidelines Section IV: THE VERDICT! 54-63

13. HOW TO TELL WHETHER YOUR RESTAURANT IS SUCCESSFUL USEFUL METRICS AND GUIDELINES Value, Format And Use Of Financial Statements Productivity And Gross Profits DEFINING EFFECTIVENSS: Metrics And Performance Standards In Your Business (Standards And Food Costs) 14. FINANCIAL STATEMENTS AND OTHER FISCAL REALITIES OF THE RESTAURANT BUSINESS: DEALING WITH AND SPEAKING CANDIDLY ABOUT PROFITS AND LOSSES Defining Profits And Losses Boundaries And Guidelines Break-Even Dealing With Increased Costs Planned Expenses And Budgets Other 15. FINANCIAL DISCIPLINE, ACCOUNTING PRACTICES, RECORD-KEEPING AND TAXES Systems And Documentation The Importance Of Having All Of The Above Work To Your Advantage Journals And Ledgers Financial Intricacies And How Best To Deal With Them In The Restaurant Business: Debits And Credits Depreciation Trial Balances Profit And Loss Statements Balance Sheet Other 16. AN EYE ON THE FUTURE ALWAYS LOOKING FORWARD Future Trends And Markets Convenience And Types Of Operation Nature And Scope Of Things To Come Basic Requirements To Survive And THRIVE! What It Will Take To Be A Successful Restaurant Business In Years To Come CONCLUSION 64

Appendix 1: A CLOSER LOOK - seventy-five basic causes of high food costs 66-68 12.

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13. Foreword, Introduction, Target audience, Rationale and Layout of the Book The restaurant industry is truly HUGE, bursting with potential, promise, great growth, vast business success and even wealth (if planned, managed and executed well). However, very few restaurant type businesses actually succeed. Most fail in their first year of operation. There are many opinions and reasons given as to why this is happening. Upward of 25-

33% of restaurant type establishments close their doors or declare bankruptcy in under 12 months or their opening them! This leaves us wondering why this is in fact happening at all and what we can do to better understand the risks, challenges, causes, realities and intricacies of opening, running and having a successful restaurant. This is the reason and rationale behind this guide. Much has been written and researched on the topic. This serves informational and general purposes of helping restaurant interest groups and entrepreneurs get the most from their business endeavors. The guide will offer useful practical advice and tips on avoiding key mistakes, oversights and errors made, stacking the odds in the favor of restaurant and business success, with good results, being the optimal outcome. There has also been increased growth in the restaurant sector. Understanding of the underlying philosophy and an appreciation for food and dining out in general are all essential for success. Every aspect of the business and operation, customer satisfaction, profit and loss equation, control measures, standards and pride of ownership all have to show, as well as persistence, resilience and meticulous attention to detail and execution of even the smallest items. Some of these aspects will include general business management, administration, organization, supervision, controls, accounting procedures, pricing, promotion, contracts and insurance protection, regulations taxation the community he is functioning in, contributing to and serving. There is some general consensus, why restaurants typically fail. Here are but a few reasons: -> Inability to adapt to changes and optimizing opportunities, competition. -> Lack of exposure and experience -> Lack of knowledge on business, food and operations. -> Lack of understanding of self and others, working relationship difficulties and social , leadership or interpersonal skills that need work. Restaurants are also very uniquely different. NO TWO ARE THE SAME! They are diverse, vary and there is no ONE-SIZE-FITS-ALL type solution for restaurant operations that could serve as a model. There are however lots of common ground and this is the departure point and perspective of this musing and discussion. This book is written in easy-to-follow expression and style to cater to a wide and diverse audience and interest groups, key stakeholders in the restaurant business who want to be successful and have a roadmap of sorts to follow, pitfalls to look out for and some hope and light at the end of the tunnel , that might seem a little dark and scary during the first 12 months after opening! Good luck on your journey of discovery. May these recommendations, insights and insider tips be of help and guidance to you. Comments ... 14.

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16. At one point in the citys 165-year history, when it came to a good restaurant Napa was sorely lacking. Visitors would have to drive for miles to get a really good bite to eat. These days, however, there are lots of great restaurants just a stones throw away from each other in downtown Napa. 17. Satisfy Any Craving You Have 18. Do you have a craving for Japanese cuisine? Or is fine dining more your speed? Or are you looking for traditional California dishes? Whatever kind of food you crave, downtown Napa is bound to have a restaurant that serves exactly what you want.

19. This neighborhood is famous for its excellent breakfasts and brunches, and you wont be able to turn your nose up at the fare they offer for lunch and dinner either. And given the proximity of the restaurants to the wineries, youll have a hard time pulling yourself away from downtown Napa during your stay! 20. Great Breaks During a Wine Walk 21. Napa offers wine walks for its visitors. These are whole or half-day walking tours that take people to several wineries in the neighborhood to sample the various wines they have for sale. Walking is hungry work, though, so many of the tours include lunch at one of the great restaurant Napa has to offer. 22. Great Wine and Great Food at Downtown Napa Wineries 23. Sometimes you wont even have to seek out a different place to eat while youre on your tour of the local wineries. Since the city-based wineries arent under the same zoning rules as the ones in agricultural areas, the establishments can actually double as restaurants. Many of the downtown Napa wineries serve their customers both great wine and great food. 24. St. Clair Brown Winery: A Promising Winery and Restaurant 25. One of the places that you should definitely check out is the St. Clair Brown Winery. This brainchild of Elaine St. Clair and Laina Brown already produces a range of great wines, from the elegantly layered Zinfadel to the wonderful and very popular Syrah. Once they open their garden restaurant, you can expect things to get even better. 26. The executive chef Norma Whitt will prepare meals using ingredients grown right there in the garden, and of course youll also be offered a selection of their excellent wines to go with your meal. The St. Clair Brown Winery is definitely a restaurant Napa visitors should watch out for! 27. 28. Otherwise you might find that you're stuck with going to a normal restaurant for those particular times, or for those times when you just... Organic restaurants are very nearly as difficult to find as natural foods were once upon an occasion (ten years ago!), to find. However not to worry, if you like eating dinner out once in a little while and enjoy a fine dining experience, you will still be able to find a couple of normal restaurants in your nearby location which you can visit when the mood strikes you. Otherwise you may find that you're stuck with going to a normal restaurant for those particular times, or for those times when you only want to escape the house. This is not a trouble in the slightest, but it does seriously reduce your organic food behaviors particularly if you eat out on a normal basis. Finding natural restaurants could be simple as looking in the yellow pages, or looking them up on the internet. The world wired net has definitely brought a brand new revitalization to the organic food market with the clear presence of organic food stores available on line for organic food consumers to easily get their organic ingredients. And it has also made organic restaurants to be found by it easier in your town. Without this energy at your hand it could become difficult to get good natural restaurants to dine out at. If on the other hand, you are a customer to a place, city or state, and

youre residing in a hotel, you may be able to find one or two natural restaurants by asking at the front desk. They are bound to have a listing of the better eating places, and you will dsicover that there are an excellent many normal restaurants in the area for you to go to. Great organic restaurants can be also found by you by recommendations, on another hand. Just ask around from your own friends should they know of worthwhile natural restaurants, and you might be surprised at the outcome. By now, and in this age and day, organic restaurants have certainly jumped up more and more usually, and while theyre maybe not copious in number, there are certainly more organic restaurants than you may be led to imagine. This is particularly true of the bigger towns, where trends such as for example going organic and changing life styles to accommodate these trends, is a tradition. If on the other hand you have yet to determine whether you want to go organic, and youre concerned that your days of eating dinner out and fine dining are over permanently if you do go organic, theres just one thing to say to that. Be afraid, be really afraid. Having said that, it is beyond a guarantee that normal restaurants will appear throughout the world before too long, en size! Selecting a terrific seafood restaurant is to attempt. Totally sure, there are actually a companies and then dining establishments claiming to give top notch seafood, and infrequently his / her dishes backpacks are actually great, nevertheless they nevertheless can not look when placed against brand new, original seafood. There's a chance you're itching to know in what way you're designed to identify these cafes. The position in restaurant is rather telling of its superior, this is especially true it's quality. In any resort metropolis really like Silicon valley, any seafood restaurant would become the some seafood like fish clean coming from the neighboring beach. For those who are in the landlocked city, a seafood are going to be a couple of outdated, and would get ended up freezing vegetables. While you could get great seafood off from a physique of water, it won't be allowed to completely overcome the new seafood restaurant outside of the atlantic ocean or just major ponds. Considering that you are in an urban center around the latest way to obtain fresh new seafood, it is best to take a look at how well just about every restaurant preps their very own seafood. How good complete chefs contain all the seafood in several foods? One fashion to figure out is to try to easily test each one restaurant. If you're only on a break for a holiday, an easier approach is to always request information from, or alternatively check online have trans fats just eating places many other seafood addicts absolutely love. As a final point, you'd like a seafood restaurant that could be a gratification to actually eat and drink in. This individuality of this support crew, the pieces of furniture, and perhaps this the amount of light creates usa actually feel either far better or alternatively even more serious a couple of restaurant option. Evolved relies upon personalized liking as expected. Do it yourself an increasingly high energy home restaurant, you need much brighter lighting style, though when searching for a romantic night out, look at dimly lit equipment and lighting.
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Today there are many different types of restaurants, from fast food to family casual. Here is a brief

overview of some of the more popular restaurant concepts.

Fast Food Restaurant Fast food is the most familiar restaurant to most people. Chains like McDonalds and Burger King became popular in the 1950s, and helped spawn countless other concepts like Taco Bell, KFC and In&Out Burger. Fast food service attracted customers for its speed and convenience. Fast food restaurants are typically chains. If you are thinking of opening a fast food franchise, keep in mind that the initial costs of franchising are more expensive than opening an independent restaurant.

Fast Casual Dining This is one of the biggest trends right now. Fast casual is slightly more upscale than fast food. Fast casual restaurants offer disposable dishes and flatware, but their food tends to be presented as more upscale, such as gourmet breads and organic ingredients. Open kitchens are popular with fast casual chains, where customers can see their food being prepared. Boston Market is classified as fast casual.

Caf A caf is a restaurant that does not offer table service. Customers order their food from a counter and serve themselves. A caf menu traditionally offers things such as coffee, espresso, pastries and sandwiches. Cafes originated in Europe and are strongly associated with France. They are known for their casual, unhurried atmosphere. Outdoor seating is another trademark of a caf. Panera Bread is an example of a popular bakery-caf chain. The term bistro is sometimes interchanged with caf. A bistro is actually a caf that offers full meals (albeit, cheaper than a full fledged sit down restaurant).

Pub Short for Public House, pubs date back hundred of years to Europe, especially Great Britain. Pubs have a timeless appeal, for their laid back atmosphere. Brewpubs offer beer made in house, as well as a wide selection of other beers and ales. Pubs can offer full menus, as well as appetizers. Many casual style restaurants have a separate pub side to their establishment.

Casual Style Dining Also known as family style dining in the United States. Casual style restaurants offer moderately priced entrees. This is one of the largest markets in the US right now. Causal style dining can be any number of themes, from Italian (Olive Garden) to seafood (Red Lobster) to Mexican (Chilis). Casual style restaurants offer table side service, non-disposable dishes, while still keeping the menu moderately priced.

Fine Dining Just as the name implies, fine dining is used to describe a much more upscale restaurant, one that offers diners an elegant atmosphere with high quality service. The chefs in fine dining restaurants are usually professionally trained, and the food is fairly expensive, but worth it. Suggested Reading Whenever I mention that I own a restaurant to someone Ive never met before, th ey almost always get a dreamy look in their eyes. Oh, Ive always wanted to own my own restaurant! Theyll say, with a knowing smile. It must be so fun! Well, I guess fun is all relative. Restauranting is more of a calling rather than a job. And even those who think they are called to it, are often times completely unprepared for the amount of work and stress that comes

with being a restaurant owner. Of course, there are a great many benefits to being your own boss, including the free food. There are a few key characteristics that define a good restaurant owner. 1. They like people. They enjoy chatting with their customers, and have no problem listening to complaints with a sympathetic ear. 2. They are good at multitasking. It seems like the term multitasking is everywhere these days. It is definitely in the restaurant business. As an owner you need to be able to answer the phone, take care of customers, fix broken equipment (or know who to call to fix it) track inventory and pay the vendors. And that is just in one morning! 3. They thrive on stress. If you cant handle stress, then dont even think about opening your own restaurant! Every job has some sort of stress, but owning a restaurant brings it to a whole new level. You find yourself worrying about everything thing that goes on in the restaurant, from the staff arguments to finding good cooks. When its busy you worry about the staffs service, when its slow you worry about money. When its snowing, you worry about getting customers in. Worry and stress go hand in hand. A good restaurant owner knows how to handle the stress of the job and not let it consume him or her.

Benefits of Being a Restaurant Owner Having your own restaurant is like raising a child. No one will take as much interest and pride in it as you will. When I get compliments on my restaurant, whether it is about the food or the service, I beam. I love, love, love hearing how people enjoy coming to my restaurant. I think there are few jobs (and this is just my humble opinion) that can offer as much personal

joy, as a successful business. Being you own boss is another wonderful benefit, so long as you are responsible. Ive been my own boss for so long, I actually cringe at the thought of having someone tell me what to do. Of course, being your own boss means that all decisions, good and bad, fall on your shoulders.

As a local business owner, you get to meet a lot of people. If your restaurant is in your hometown, you get to visit with friends and neighbors. A restaurant is a community gathering spot, and that sense of community can be very rewarding. Drawbacks of Being a Restaurant Owner I would not want to mislead you into thinking that being a restaurant owner is all fun and games and free food. There are many drawbacks to consider, including: Long Days and Nights- As the owner of a new restaurant you will be putting in very long days and evenings (if you are open for dinner) to make sure everything goes smoothly. And even when you are home, plan to be on the phone with the restaurant several times a day. Kiss Your Weekends Goodbye- Weekends are the busy time for the restaurant. If you have children in school, think long and hard about the time you will miss, if you work all weekend. Unstable Income- If business slows down, and your checkbook is in the red, guess who is first to go without a check? Yup, the owner. The person who does the most work, is the person who is often paid the least. Of course, having a nest egg saved up before you go into business can help you avoid this situation.

Lack of Benefits- Health insurance is a major concern for all small business owners. Not only will you have to buy private insurance (ouch!) you will need to figure out how you want to save for retirement and your kids college fund, since you wont have an employers 401K anymore. Again, preplanning for these expenses before you go into business can help a great deal.

So there it isthe pros and cons of owning your own restaurant. Like any career it has some great benefits, as well as some major drawbacks. Its up to you to decide if its the right path to take. I own a restaurant. Nothing will conjure up looks of envy and awe faster than those four words. People assume (which you should never do because it makes ASS out of U and Me) that owning a restaurant is fun and exciting, a great way to make money and perhaps even become famous. Well, I am here to tell you that owning a restaurant is a lot of hard work

more than anything else. While there are definite benefits to being your own boss, there are serious drawbacks as well. Lets clear the air and dispel some of those pesky restaurant myths that keep popping up.

Its a Wicked Fun Job! While fun is what you make of it, it would be a bit of a stretch to assume that the restaurant business is all fun and games. Its more like work and stress. Owning a restaurant means you will be at work a majority of the time, especially in the beginning. Do you like weekends, holidays, and your kids birthdays? Well too bad, because chances are you get to work those days. Case in point, my husband and I have never, ever, in the plus 13 years weve been together, gone out for Valentines Day or New Years Eve. Those are work days.

Ill be Rich! No. Stop right here. Do not pass go. Do not collect $200. In fact, youd better pay that $200 out to payroll, sales tax, insurance, rent, mortgage, food purchases, liquor purchases, utilities, repairs, ect Get the idea? Restaurants can earn a lot of money. However, they spend almost all that they make. A restaurant owner can earn a decent living (read= not rich) but only if he or she intends on working in the restaurant. Many people think they will open a restaurant and draw a paycheck, without actually cooking, managing or waiting tables. This may work in the beginning, but restaurants cant support dead weight for very long. If you dont plan on working, dont plan on getting paid.

I Love to Cook, so I Should Open My Own Restaurant, Right? Maybe. The fastest way to ruin a favorite hobby is to make it your living. Of course, doing something that you truly love can also inspire you to work harder. Keep in mind though, that cooking for close friends and family is not the same as cooking for strangers who are plunking down hard earned money for your food. Even if friends and family say you should open a restaurant, remember, they are your friends and family and not the most impartial of judges. Try catering a few small parties (for non-friends and family) before taking the leap into opening your own restaurant, to get a small taste of the food business.

I Will Have a Place to Hang Out With my Friends! Frankly, to me this is the most irritating of all myths. If you want to hang out youre your friends, build a bar in your basement or throw a party. Dont invest thousands of dollars into a business you have no intention of overseeing. And you wont be overseeing anything if you are hanging out with your friends, drinking and watching football. No one is going to care about your restaurant as much as you do. And if you dont care, then why should your staff?

I am Going to be Famous! I admit it. I totally fantasize about being the next Food Network Star. Move over Rachel Ray and Giada! I also fantasize about winning Powerball, buying a Scottish castle and keeping company with Charles and Camilla. Its a fantasy, not a reality. And Im not in the restaurant business to get famous. Im in it to make a living.

Celebrity chefs like Emeril, Paula Deen and Bobby Flay are everywhere these days. They have two or three network shows, cookware lines, commercials, food lines as well as popular

restaurants. But they didnt start out famous. They started out withhere it comeshard work! While its fun to pretend you might make it big in entertainment as well as with your restaurant, chances are, you will have to settle for being an everyday joe. And that is okay was watching another episode of Ramsays Kitchen Nightmares yesterday and I thought of another Restaurant Myth I need to add to my list: Just because you are a success in one business doesnt mean you will be successful as a restaurant owner. Gordon Ramsay pointed this out with the owner of an over-the-top rural English pub. The owner had been hugely successful in other ventures, (he took Gordon on a tour of the grounds in his private helicopter) but couldnt figure out why his restaurant was doing so poorly. Gordon, in his wonderful lack-of-tact style was quick to point out to most obvious flawsmenu, kitchen staff, wait staff. The owner didnt take kindly to any of Gordons criticisms at first. Eventually he came round and followed Gordons advice (like they do in every episode Ramsays Kitchen Nightmares) and he and his restaurant lived happily ever after. The big problem with this particular restaurant owner was his pride. He thought because he was successful in other areas, he would naturally be successful in the restaurant business, despite having zero experience in it. When suggestions were made to change his menu and his marketing approach, he balked. He took the suggestions as a personal affront, rather than much needed business advice. Its just another example of a popular restaurant myth that needs to be debunked! Do you have any restaurant myths of your own that youd like to share? Leave a comment or share them at the Restauranting Forum.

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During a recent viewing of Ramsay's Kitchen Nightmares, Gordon is getting the low down on the history of the restaurant he will be helping this week. The owner mentioned how successful his grand opening was. He said people, many of whom were friends, loved it and they all said they were coming back. He was very excited. Unfortunately his friends were big fat liars. Opening a restaurant isn't like the movie Field of Dreams. If you build it they might come. Or they might just say they will come. Or they might show up once and never come back. I don't mean to sound well...mean, but people will lie to you without thinking twice, if they think that is what you want to hear. I was speaking to a local business man at a wedding of a mutual friend this past winter and he said he was thinking of opening an Italian restaurant in a little run down mill town. "Oh yeah," he exclaimed, "Everyone has said they would be there every night for some good Italian cooking." And I am sure that people would show up the first couple of weeks, or months. But would the place have staying power in a economically depressed area? Maybe. Maybe not. Hopefully the business man realized that the idea, while popular with friends and families, may need a little more research before opening the doors. So this brings me to Restaurant Myth #7: Don't Always Believe What People Tell You. Friends, family, coworkers, even general acquaintances are great for support, but not a substitute for real demographic research and market analysis that is needed to open a successful restaurant.

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One of the first steps toward opening a new restaurant is defining the concept. This sounds easy enough, but have you ever eaten at a restaurant and felt confused? Like the menu didnt fit the overall ambience (too pricey for a casual restaurant or too casual for a fine dining restaurant)? When this happens, customers arent always enthusiastic about coming back. To help avoid new restaurant growing pains, check out these ten basic restaurant concepts and how to choose your own. 1. Buffet. Originating in 16th Century France, buffet dining has stood the test of time and continues to be a popular choice for many restaurant customers. By definition, a buffet is a meal where guests serve themselves from a variety of dishes set out on a table or sideboard (from Food Lovers Companion). Read more about restaurant buffets.

2. Fast Casual. This is one of the biggest trends right now. Fast casual is slightly more upscale than fast food. Fast casual restaurants offer disposable dishes and flatware, but their food tends to be presented as more upscale, such as gourmet breads and organic ingredients. Panera Bread would be an example of a fast casual restaurant.

3. Caf or Bistro. A caf is a restaurant that does not offer table service. Customers order their food from a counter and serve themselves. A bistro is sometimes interchanged with caf. A bistro is actually a caf that offers full meals. 4. Casual. Just as the name implies, a casual restaurant theme is wellcasual, from the food to the atmosphere to the prices. Many independent restaurants have a casual theme. A mom-and-pop diner would be a casual restaurant.

5. Fine Dining. The termFine Dining brings to mind all kinds of images, from crisp white table cloths to waiters in tuxedos. A fine dining restaurant offers patrons the finest in food, service and atmosphere. It is also the highest priced type of restaurant you can operate. Read more about fine dining. 6. Franchise. A restaurant franchise offers many benefits over independent restaurants, such as instant name recognition and a turn-key operation. However, buying a franchise can be costly. And there are many rules and regulations that come along with operating a franchise. Read more about buying a restaurant franchise.

7. Restaurant Food Truck. A food truck is like restaurant on wheels. It has several distinct advantages over a traditional eat-in restaurant. A food truck can go to the customers. It has low overhead, compared to a restaurant, and requires far less staff. However a food truck is still a business that requires a lot of work and attention- especially in the

first couple of years.Read more about starting your own food truck business. 8. Restaurant Catering. Restaurant catering offers you a chance to increase both your sales and your customer base. People already love your food, so why not capitalize on that and offer catering services as well? Read more restaurant catering.

9. Ethnic Cuisine. This is one of the simplest restaurant concepts, building around a specific type of food, such as Mexican, Chinese, Indian or Italian, to name a few. The menu, dcor and restaurant name should all reflect the ethnic cuisine. Read more about restaurant names. 10. Beware of mixing restaurant concepts. In an attempt to stand out from the competition, you may be tempted to design your own concept- perhaps fast food Italian or a fine dining food truck. While originality is important when opening a new restaurant, you want to make sure your restaurant concept is clear to the customer. Read more about restaurant concepts.

Readers Respond:

There are many differ types of restaurant concepts to choose from, when planning a new restaurant. It can be hard to decide which concept will be right for you. Before you settle on one particular concept, first consider the following: whos your audience? What is your price range? Are you thinking formal or casual? Do you have a particular type of food in mind that you can build a brand around? Below are eight distinct types of restaurant concepts, from fast food chains to fine dining. Keep in mind that your restaurant design theme can blur the line between concepts to make it unique. Fast Casual

Jitze

One of the hottest trends at the moment is fast casual, which is a slightly more upscale (and therefore more expensive) than fast food. Fast casual restaurants offer disposable dishes and flatware, but their food tends to be presented as more upscale, such as gourmet breads and organic ingredients. Open kitchens are popular with fast casual chains, where customers can see their food being prepared. Panera Bread is a good example of fast casual. Ads Restaurant Franchise Salewww.TheYellowChilli.comYellow Chilli Franchise Business Opportunity. Contact Us For Info! Order McD Burger Onlinewww.mcdelivery.co.inGet Additional Burger Absolutely Free. Input code MCDW01/02 & enjoy. Colours, textures & moreasianpaints.com/ColourConsultancyEven when you're spoilt for choice We make the selection effortless Family Style

Sacredy_Kat

Family style dining, also known as casual style dining in the United States, offers moderately priced entrees from menus featuring a mix of classics cuisines, individualized with signature sauces, dips or other toppings cuisine. Causal style dining can be any number of themes, from barbeque (Long Horns) to Americana (Ruby Tuesdays) to Mexican (On the Border). Casual style restaurants offer table side service, non-disposable dishes, while still keeping the menu moderately priced.Inexpensive, low key setting.

Fine Dining

Hugo90

The term Fine Dining brings to mind all kinds of images, from crisp white table cloths to waiters in tuxedos. Fine dining, just as the name suggests, offers patrons the finest in food, service and atmosphere. It is also the highest priced type of restaurant you can operate. Fine dining restaurants are usually are unique, even if they are owned by the same person or company. Caf or Bistro

Checco

A caf is a restaurant that does not offer table service. Customers order their food from a counter and serve themselves. A caf menu traditionally offers things such as coffee, espresso, pastries and sandwiches. Cafes originated in Europe and are strongly associated with France. They are known for their intimate, relaxed atmosphere. Outdoor seating is another trademark of a caf. A bistro is similar top a caf, in that the food is simple, basic fare served in a casual setting. However, where a caf may only serve coffee, breads, and pastries, a bistro may offer entire meals. Fast Food

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Fast food is the most familiar restaurant to most people. Chains like McDonalds and Burger King became popular in the 1950s, and helped spawn countless other concepts like Taco Bell, KFC and In-n-Out Burger. Fast food service attracted customers for its speed, convenience, and cheap prices. Fast food restaurants are typically chains. If you are thinking of opening a fast food franchise, keep in mind that the initial costs of franchising are more expensive than opening an independent restaurant. Food Truck

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A popular food trend across the country are mobile food truck restaurants. The benefits of food trucks include low cost and low overhead, making it one of the easier ways to open a new restaurant. Other advantages of a food truck business include its mobility- it can go to where the customers are. It also requires far less staff. However a food truck is still a business that requires a lot of work and attention- especially in the first couple of years. Read more about starting a food truck business.

Restaurant Buffet

Basykeys

Around since the Middle Ages, the buffet dining concept has stood the test of time and continues to be a popular choice for many restaurant customers. By definition, a buffet is a meal where guests serve themselves from a variety of dishes set out on a table or sideboard. Restaurant buffets are one type of restaurant concept that includes self-service and catering services. If you are opening a new restaurant, you can offer a buffet for special occasions or as a restaurant promotion. Pop Up Restaurant

mastermaq

Like food trucks, another growing trend in the hospitality industry are pop up restaurants. Read more about how to open a pop up restaurant. According to the National Restaurant Associations Whats Hot survey, one of the biggest trends for 2012 are pop up restaurants. While popular now, pop-up restaurants are not a new concept. They originated as super clubs in the 1960s and 1970s. Todays pop up restaurants has many different looks and functions. They can appear in an unlikely place, such as an old warehouse or building rooftop. The allure of the pop up restaurant is the minimal investment of both time and money. Related Articles

10 Things You Should Know About Restaurant Concepts Understanding Different... Restaurant Concepts - Types Of Restaurant Concepts Four Popular Restaurant Concepts Restaurant Concepts With Staying Power Q&A Whats A Good Food Truck Concept?Reader asks what type of food tr... Top 50 Fast Casual Restaurants Movers & Shakers Comparison 2011-2012 - Best...

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The food and drink is great, the service fabulous and the restaurant is busier than ever
- but are you wondering why the bottom-line isn't all it should be? Alcohol sales (beverage sales) are an easy way to increase profitability because the costs are lower and the gross margin is far greater for beverage than for food. However, beverage costs must be controlled if an operation is to reach maximum potential of gross profit from beverage sales. Every reduction in beverage cost percentage renders a higher gross profit. Beverage costs that are above industry averages can negatively impact your profitability. A profitable restaurant typically generates a 22% to 28% beverage cost. Because of the impact beverage costs can make on an operation, it is important to know where beverage cost falls in relation to total sales on a daily or weekly basis. Beyond the bottom line, beverage costs also reflect an operation's control systems, management skill level, and value provided to the customers.

Despite its importance, we find many restaurant managers do not calculate beverage cost correctly, or if they do, they do not fully understand the process. If calculated correctly, the ratio can be compared to industry averages and previous performance. Alcoholic beverages are included in beverage cost calculations. Soft drinks, juices, coffees, and other non-alcoholic beverage sales are included in food cost calculations. With an accurate beverage cost, steps can be taken to improve the operation and ultimately improve the bottom line. The following is a

step-by-step method for calculating beverage cost including an example and a worksheet to calculate your own beverage cost.

CALCULATING BEVERAGE COST Keeping in mind that eventually you want to compare your beverage cost with industry averages, how you determine the numbers must be consistent with industry practices. The industry standard is based on the Uniform System of Accounts for Restaurants (a handbook available from the National Restaurant Association). This system clearly identifies what items are included in each part of the beverage cost formula and is briefly outlined below. Beverage Cost = Cost of Beverage Sales / Total Beverage Sales GENERAL GUIDELINES Establish a specific time period for analysis. The beverage sales and costs should be generated during a set accounting time period of at least two weeks or more typically, every 28 days, or monthly. Soft drinks, juices, coffee, and other non-alcoholic beverage sales are included in food cost calculations, not beverage cost calculations. STEP BY STEP - CALCULATING BEVERAGE COST 1. TIME FRAME Working with your accountant and managers, set up a regular time frame to analyze beverage cost. It is critical that the elements of the beverage cost calculation (sales, inventories and purchases) are representative of this time period. 2. BEVERAGE SALES This is the relatively easy part - total the customer checks or reports from point-of-sale registers - making sure to only include sales generated from beverage sources (sources other than beverage should be allocated to a "food" or "other income" account). Remember to use sales generated only within the allotted time frame. Example: Beverage Sales (Liquor, Beer, Wine) $1,850 3. COST OF BEVERAGE SALES The costs associated with beverage sales are comprised of purchasesand inventory level adjustments. In our experience, this part of the calculation is often computed incorrectly. Determining the amount of purchases for the time period is straightforward:

Total all beverage purchases (include delivery charges) Example: Beverage Purchases in past 28 days $500 Equally important, and often not included in determining cost of beverage sales, is the inventory adjustment. Many restaurants consider only purchases in determining beverage cost. This does not create an accurate beverage cost percentage - depending on the day purchases are made and what the cut-off date is for including sales in the beverage cost calculation, your beverage cost could appear higher or lower than it actually is. Additionally, this discrepancy makes it difficult to compare and track beverage costs. For example, suppose you receive (purchase) all your spirits and wine products on Thursday to prepare for the weekend. The time period for determining beverage cost ends on Friday (the next day). In calculating your beverage cost, it appears much higher than last month. While the increase may be due to theft or another operational issue, most likely it is due to calculating your beverage cost inconsistently and incorrectly. Your purchases reflect a large Thursday delivery, however, you do not log the sales from the weekend to offset these purchases, making your beverage cost appear out of line. Additionally, you have not factored in the inventory adjustment. Determine Inventory Adjustment To properly determine beverage cost, a physical inventory of the main bar, service bar and storeroom areas must be conducted at the end of each period.Once you have your ending period inventory level, look at thechange from your beginning (start of time period) inventories (bars and storerooms). The key to accurate cost determination is understanding the role inventory levels play. For example, if the beginning inventory level is valued at $100 and four weeks later the ending inventory for the period is valued at $75, the inventory adjustment is the $25 difference - an increase in cost of beverage sales because you used $25 worth of inventory and did not replace it with new purchases. Considering this change and its effect on cost of beverage sales, apply the difference to the total purchases for the time period, giving you the total cost of beverage sales. Cost of Beverage Sales =Purchases+/- Inventory Adjustment (ADD if Beginning Inventory > Ending Inventory, SUBTRACT if Beginning Inventory < Ending Inventory) Example: Purchases $500 Beginning Inventory $750 Ending Inventory $625 Total = $125 Cost of Beverage Sales =$500+$125 Cost of Beverage Sales =$625

4. BEVERAGE COST PERCENTAGE The final step - putting the numbers together! Beverage Cost = Cost of Beverage Sales / Beverage Sales Example Beverage Cost = $625 / $1,850 = 33.8%

ANALYZING YOUR BEVERAGE COST

What should your beverage cost percentage be? Successful restaurants generate beverage costs in the mid 20% range. However, different types of operations typically run higher or lower percentages - fine dining may run up to 35% (sales of bottles of wine are usually less profitable other alcoholic beverages) whereas brewpub restaurants may run about 15%. Comparing your cost percentage to restaurants with similar menus and service levels provides a more accurate perspective. For example, the average beverage cost is 32.1% for American/Regional menu themed restaurants and 30.8% for a restaurant in a multi-unit organization. How can you use your beverage cost percentage? The next step requires compiling the sales and costs consistently and regularly, as comparisons to previous performance can prove very helpful, identifying problems and trends - remembering that a decrease in beverage cost is as important to investigate as an increase. From here, your operation is positioned to tighten its beverage cost by looking closely at various methods used to control beverage cost - with the ultimate goal of positively impacting your bottom line. CONTROLLING YOUR BEVERAGE COST There are many methods used to control liquor costs and every operator needs to determine which methods should be implemented. The following are some basic methods that could be applied. A combination of several different controls is the best way to ensure tight control and therefore see the maximum potential liquor sales offer. 1. Par stocked bar
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The bar should be stocked based on a number of bottles of each brand sold on the busiest day plus a margin for safety. Bottles should only be restocked by managers and only on a bottle for bottle basis.

2. Receiving and storing

Purchasing and receiving functions should be undertaken by separate individuals. The beverage buyer should not be the same person receiving the merchandise. A receiving report is generated by the purchasing manager stating the quantities, sizes, and agreed upon prices for the order. The receiver is responsible for inspecting the order when it comes in and making sure it matches the report. All bottles received should be marked in a way that makes the bottle identifiable as a house bottle (to prevent bartenders from bringing in their own bottles and keeping the profits) All received merchandise should then be stored in a locked area where access is limited to as few people as possible (ideally just one), as this allows shortages to be traced.

3. Maintenance
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A perpetual inventory should be maintained for each time period with adjustments for purchases and requisitions. This perpetual inventory should be compared against a physical inventory at the close of every period and variances should be noted and investigated.

4. Bartending standards
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All bartenders should be required to complete all transactions for sales immediately, either by opening a tab or accepting payment. Any delay in this makes it easier to "forget" to ring in a sale. Some method of recording sales should be employed in a consistent way. Either red lining a dupe once payment is made or filing copied dupes for each shift. An accurate pouring method should be utilized. Drink recipes should be consistent and readily available.

These methods of control and properly calculating your beverage cost will go a long way in assisting you, the restaurateur, to manage beverage costs and increase profitability.

Restaurant Advisory Services provides full-service consulting services to the restaurant and hospitality industries. The firm offers a full menu of advisory services focusing on every aspect of the life cycle of restaurants and other hospitality organizations, from pre-opening and conceptual planning, to day-to-day operations, to design and brokerage.

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