Restaurant Start Up Guide: Tips on How to Start Restaurant Business

Question: I’m from USA. I and my two other friends want to start a restaurant in US. Please kindly advice where it will be profitable to start and how can we avail finance for it. We have a working capital of  nearly 10,000 USD at the moment. Please guide me on how to start restaurant business in America with minimum overheads.

Answer: What are you planning is very good and profitable business once established. Restaurant business is very profitable according to the current cultural and social scenario.

It is cash oriented business and liquidity ratio is also high. But the capital you have mentioned may not be adequate. But there are many ways to get a loan from the bank. For that you have to prepare a project report that should be mentioning each and every detail in terms of numbers and future profits.

According to the current scenario, social condition is such that in hectic life, craze of fast food is increasing day by day.

And currently 95% restaurants and fast food corners are making handsome profit.

So the plan is excellent and should not be missed out. Think on this and take decision. If you need any further guidance, you can ask as many questions as you want. We are always here to guide you.

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7 Responses to Restaurant Start Up Guide: Tips on How to Start Restaurant Business

  1. pereira says:

    Hi

    We are intrested in opening a fast food out let similar to kfc and mc donald , but our brand in India

    kindly advice who do we contact for outlet setup and design implementation
    regardsm,

    spereira

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  2. S D says:

    Dear sir
    I am looking to set up a small restaurant. I have identified a place in an campus with 800 housing units (Builder apartment, gated community )which houses a Club house.

    I do not have any prior experience of doing any business. What are the formalities (in terms of permissions from various authorities)to be done to start a small catering unit ? (Legal and others). If it is to be planned as a partnership (third party) or as a propritrix unit (give me both options).

    What is the aprox investment to be done, and initial charges? The basic infra is already in place there. The pitfall if any that needs to be taken care. There are also other restaurants (very popular and branded ones) nearby outside the campus. Should it be restricted to only evening snack/chat items what needs to be done?
    What facilities (finance) and assistance can I expect from banks and government?

    Thanks

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  3. DS says:

    Hi,

    I want to open up a small restaurant in Mumbai- either in town or in Bandra. Please let me know the following:

    1. How to get into this business?
    2. What will be the capital and the operating cost required for the business?
    3. Where should i get all the employees to be appointed?
    4. What are the contacts to be established & all types of legal permits to be taken?
    5. Should i do it in partnership or sole proprietorship?
    If i have left out on something, please do let me know about it as well?

    Regards,
    DS

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    Scott Wilson Reply:

    DS,
    Without experience, you can not enter in to this business. Since the investment is big, you should have proper preparation and enough experience to make it big. So I would advise you to take some experience in this field and then start.
    Thank you.

    Reply This Comment

  4. Scott Wilson says:

    Mr. Sanjay,
    Before going ahead, just take care of these aspects,
    1. Place
    2. Culture
    3. Society
    4. Availability
    5. Approach
    6. Price
    7. Competitive prices
    8. Contacts
    9. Quality
    10. Service
    Please take care of each aspect mentioned above and analyze these points.
    I hope this answers your question. If you need any further assistance, you can surely ask your questions here.
    Thank you.

    Reply This Comment

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