Introduction
Opening a new restaurant requires conceptualizing the idea robustly by researching how the industry operates. In this case, the restaurant industry is quite competitive and requires proper planning to get the right framework within which the new business will operate. If the startup is not well managed, it will be doomed to failure, and the business plan becomes essential at this stage.
General Background
Starting a new business is usually an arduous task in most cases, particularly when there is no proper planning or management. A restaurant business is quite competitive because it involves handling constant customer issues that can make or break the new business. Therefore, a restaurant business plan framework is relevant to act as a guiding principle in the new initiative (Kryukova et al., 2019). Some of the crucial parameters in the new restaurant business regarding operations and management include employee training, financials, location, and menu design. The business plan will enable the new business to turn its ideas into reality.
Statement of Problem
In contemporary society, the restaurant industry or the hospitality sector is quite competitive and requires a robust approach to succeed in the field. In many cases, there are mismanagement of the business and a lack of a business plan approach that would enable the new business to move forward (Madeira et al., 2021). Planning for the new restaurant business matters a lot because it will help chart the way forward for the new business, eventually leading to success.
Objectives
This business plan seeks to identify and analyze business opportunities for the new restaurant business. In this case, there is a need to focus on or evaluate the new restaurant business’s financial, economic, and technical feasibility (Madeira et al., 2021). In addition, there is a need to assess the primary considerations in investing in the new business.
Sources of Data
Some data sources should entail tertiary, secondary, and primary forms of data. In this case, the specific data sources should include focus groups, questionnaires, and personal interviews. The new restaurant business plan should always incorporate parameters such as area of operation, niche market to be filled or targeted, the goals and objectives of the new business, and the types of foods or cuisine that the new restaurant will focus on (Kryukova et al., 2019). Having a company or restaurant overview will be crucial because it will highlight some particulars of the new business, the kind of restaurant, and how to accomplish the initiative.
Needs
In the present society, having a startup is quite challenging, and a winning business plan is a necessity that helps to ensure the success of the new business (Madeira et al., 2021). If the new business has a plan and is well managed, then the enterprise will be successful. Some of the elements to consider in the new business include excellent customer service and financial strength.
Material and Cost
In the new restaurant business, it is relevant to ensure enough finances to boost the plan. Some of the materials and costs of the new business include supporting documents, experience in running a restaurant business, a budget, operating costs, startup costs, projections, marketing plan, marketing research, and new concepts (Kryukova et al., 2019). For example, calculating financial projections for the new business will be essential.
Benefits
The new restaurant business plan is essential because it could help the business access some finances from lenders in the market. In addition, the plan will enable the new business to comprehend what and how the market is and the expectations (Madeira et al., 2021). In this case, a new business plan would let the new business know what to expect.
Proposed Plan
Personnel
The new business will need personnel to run the venture, such as waiters, cooks, cashiers, sales executives, and junior and senior managers and supervisors. Hiring staff for the business is essential because it will help run the enterprise. No business can operate without the necessary because they are the ones to decide whether the new business will succeed or not. The personnel will include bartenders, hosts, servers, cooks, and managers (Kryukova et al., 2019). Each personnel has a particular function and ensures that operating the restaurant is successful. When the restaurant is still new, some duties may overlap from one section to another. For example, the restaurant host could be as well as the person who manages the restaurant. In addition, a family business may have some personnel who double up with other roles, such as cashiers and supervisors.
Plan Phases
Some of the plan phases of a new restaurant business will entail expansion and sustainability, pre-opening, restaurant building, product development, concept development, and business feasibility (Madeira et al., 2021). The new business plan will be like a well-organized recipe that ensures the preparation of the best food in the restaurant industry. A new restaurant’s successful launch will entail sustainability for the future and ensure some efficient energy and meticulous planning. In addition, a viable planning strategy will be the one that sustains itself and will turn out to be an expandable and profitable business enterprise. In product development, there is a need for the new business to come up with a menu that will suit the customer’s needs. Some things that should guide the menu include competitor offerings, market research, and service style, among others. The restaurant building phase is one of the most crucial in a sustainable business.
Expected Problems
Like any other business, starting a new restaurant business has various problems. Some of the problems include hiring permanent and temporary staff, menu pricing and inventory management, provision of healthcare cover, enough capital, and meeting market trends, among others. For example, the owner of the new business has to keep up with the new market trends in distribution. In this case, market familiarity is of utmost consideration because it will determine the new venture’s success (Kryukova et al., 2019). Periodic research will be essential because it will help have projections of the future. In addition, having adequate capital will be essential and, if not well managed, could be the primary issue that may make the new business collapse. Hiring staff for the new business is also a challenge because of the cost implications. Both temporary and permanent staff have various needs that the new business offers and could pose a threat to the venture.
Expected Results
It is the goal of every person to expect the best for starting a new restaurant business. Although many business startups fail within the first year of their formation, the new business expects to make considerable sales and profitability (Kryukova et al., 2019). Turning the existing clientele will facilitate enhanced sales and profitability. Promoting the business on social media platforms will be the most relevant way of advertising the business in the 21st century.
Conclusion
Summary of Key Points
Starting a new restaurant business is quite competitive because of the extreme rivalry within the hospitality industry. In this case, the new business will face stiff competition from other similar players in the industry (Kryukova et al., 2019). However, the new restaurant business is expected to have some problems or pitfalls, just like any other business venture. For example, some of the problems will relate to hiring new staff and having enough capital to run the business.
Reemphasis of Need
There is a need for a viable business plan that is relevant to beat the competition and ensure the new business venture is successful. It is necessary to ensure the business is competitive from the onset (Madeira et al., 2021). A business plan will assist in conceptualizing the idea and finding more regarding the industry. Proper planning is the only surest way to ensure the new business is successful.
Request for Action
Hiring the best staff and product development will ensure the success of the new restaurant business. The restaurant will need the best staff because they will offer professionalism to the business leading to success. For example, the restaurant will need a manager, chef, cooks, and waiters, among other staff, who are well trained (Kryukova et al., 2019). In addition, the new business needs an enhanced product development to ensure that it has a wide variety of products and services on offer. The menu needs to fit the customer’s aspirations regarding what is on offer. Robust financial analysis is also necessary for the new business and hiring professional assistance would be ideal. The restaurant should hire a trained accountant to handle this docket to assist in having financial estimates.
References
Kryukova, E., Bodneva, N., Sribnaya, T., Filimonova, N., & Vershinina, O. (2019). The Development of the Restaurant Business in Russia. Journal of Environmental Management and Tourism, 10 (3), pp. 412-419.
Madeira, A., Palrao, T., & Mendes, A. (2021). The Impact of Pandemic Crisis on the Restaurant Business.Sustainability, 13 (1).