The Common Stereotypes When It Comes to Restaurant Business 2020

The Common Stereotypes When It Comes to Restaurant Business 2020 - Thinking about opening a restaurant need lots of courage honestly. With running my own restaurant, I learnt some good and bad lessons over a period of 3 years. Keep in mind this industry runs 365 days and runs better on weekends. My lines may look discouraging, but I know it very well if you are able to pitch the taste, your inflows, sure brand value will mushroom like anything. At the same time I may have done some mistakes also, in this blog I am writing my experience. Hope it will be useful for any today’s entrepreneurs looking to start a career in food business. Remember it has extended hours and every order has to go perfect, that’s the rule to be followed. I am sure if you really work on the points which am gonna share here in this blog, at least you will on safe side in your Restaurant business journey.

We all know it’s an extremely competitive business especially related to food. You can ask anyone what business would they want to get in, they will mention Restaurant Business. Because chances are very high as people thinks cooking food is normal in every household. They also over estimate their sense of providing tasty food, when taste itself is not such subjective matter. 

Keep in mind the biggest factor that decides whether restaurant will be profitable, is the rent that paid for the place. Places with high footfalls demand higher rents and low footfalls lower rents. There you need to understand the logic between footfalls and places. If you don’t get this, for sure you have set yourself up for failure. 

Food business game changers like swiggy, zomato, uber and foodpanda has already rewritten the rules for restaurant industry. Now the customer demand is food with best quality and fairly priced along with being visible on the app. This app has already taken away the requirement of the costly space for opening up of restaurant. The best tip I learnt for everyone who wants to get into this business is never depend on single location to start. Start with multiple locations at any given point of time. I best idea would be close the ones which are not profitable and grow the profitable ones and keep opening further. It kinda reduces the risk. Depending on one restaurant to run, chances anyway are that it won’t work. Either you close it and never try again. Remember keeping eggs in multiple baskets gives hopes.

During start keep your investment very low as much as possible. Now a days second hand furniture and equipment or easily available for start. Once restaurant works anyways you can upgrade the stuff later. If it’s not making money in 6 months, don’t wait just close it. I know most of time people get emotional and keep holding it forever in the hope of turning around. Please don’t.

Overall Conclusion 

As far as I have seen best months for making money in food business are November, December, January and winters. If you’re not making money in these months, you will never make it. It’s time to shut down. Getting trust worthy staff now a day is highly impossible. People will disappear overnight without information, go on long leaves and with him goes your months of training on your specific menu. This is really a nightmare and impacts overall quality. 

Customers don’t want to pay for quality. They will dissect your whole dish and give you the MRP of each of its constituents. Even they will compare your prices with the roadside vendors. As result they don’t and never care about the hectic rents of places that you’re paying. 

Based on current food industry trends, the Restaurant business looks deceptively simple, but probably to all my dear Entrepreneurs. It is the most challenging business around today.