Starting your own business?

Question

I know this is a very complex question but how can I start my own business? By that I mean a night or a restaraurant.. Do I need a license, do I need to pay? Who do I contact?

Answer 1

Since you've never been in business before, I would strongly recommend that you talk to a business counselor before you do anything especially spend money. You have to determine whether you'll start a web based business or one with a store front. I'd call the local office of SCORE (go to http://www.score.org and input your zip code to find the chapter nearest you), the advice is FREE.

The counselor at SCORE will most likely advise you to write a business plan which is very good advice because it will force you to dig out all of the start up details and the costs of starting your own business and force you to also understand all of the aspects of this business including the customers you'll concentrate on (your market ) and how you'll go after them.

You'll need to register the business with your state controller's office and make sure that you have any city and county licenses if any are needed where you live. All of this will come out in a business plan.

Try this link :
http://www.ychange.com/small-business-consulting-articles.html and read some of the articles especially the ones about a business plan and starting a business.
Good Luck

Answer 2

You are right. The question is very complex and cannot be answered with just one line or paragraph.

You should know that most businesses (especially restaurants) fail in the first year.

The costs involved vary according to the amount of "build-out" that will be needed. If you are building from scratch, you need an architect to draw the plans. Hopefully the architect will have prior experience also so that he knows what equipment you need so he can properly locate the grease trap, gas lines, electrical and sewage. The plans need to be approved by local zoning and need to meet any state health department requirements.

You will need an occupational license for the city and or county that you are located in and will probably need a state health inspector or someone from a state agency overseeing restaurants to approve you prior to opening.

You will need food service equipment, a point of sale terminal, credit card authorization terminal and a bank who is going to process your transactions.

You need to have an excellent knowledge of operating the business, such as how to manage people, how to keep your food costs down. How to manage portion control how to determine a cost and price for your menu items, how to store food safely and how to avoid cross contamination.

You will probably have to pass a state exam in food safety or find a manager who can do this or has the certification already.

You have chosen a business that requires a LOT of knowledge to operate and maintain. If you already have at LEAST a few years of franchise restaurant management experience and a willingness to work even longer and harder hours to get your restaurant started, you are probably qualified to start your own business.

If you don't have this type of experience, you will save yourself a lot of financial risk and future pain if you learn this business first from a franchised operator or at least a successful operator. By learning this I don't mean scheduling a few employees, but by being actively involved in menu selection, food costs, payroll costs and everything else you will need to know to operate your own business.

One last thing, typically restaurants have a food cost of 28%, payroll should be about 30%. That leaves 42 cents of every dollar sold to pay for the lease or mortgage, electrical, equipment leases, pest control and other expenses that are incurred.

If you can correctly forecast your volume in sales as well as expenses and then still have enough to pay yourself at the end, you will be one of the fortunate few success stories and definitely will have earned a star in my book.

Answer 3

First you need to decide exactly on what kind of business you want to do. Then research the thing online, you can pick up a lot of information that way.

THEN check out your local SCORE or SBA (they're in the phone book) and talk with them - they're there to answer questions and help you get information.

A restaurant is a pretty big deal. I have no idea what a 'night' is. You need to be clearer on that.

The book store and large libraries have books on various businesses, you can do research that way also. But you FIRST have to decide exactly what it is you want to do. You can't be vague, nobody would think you're serious.

Answer 4

you dont need lots of money neccesarily. The government gives out grants and loans to women to start small businesses and also to minorities, and im sure other categories exist too.

Look it up on google im sure youll find something.\

as far as what to do make a business plan plan out your entire idea. once you get a loan or grant you then can search for a location invest in the equipment( google it) then set up the resturaunt. i know its not that simple but thats the basics. make sure you have a niche, something that will make people chose your place over others! environment is everything. choose a nice decoration scheme for the interior.

Answer 5

I own my own Mediterranean restaurant. Its easier than you think. You do need a license it is not that much. the only problem i had was that you have to follow all the laws. For example, 3 sinks in the kitchen that have to be divided. you also have to buy all commercial appilaces. When you have that ready the inspector will come on a random date to make sure everything is right. If not you will get fined like 50 bucks.

Answer 6

The most certain way to end up with one million dollars in restaurant business is to invest two millions into it.

Learn about business first, about leverage, etc, etc, etc, Get yourself a book E-Myth by Michael Gerber first, that will open your eyes. Go from there.

Answer 7

Pay? You needs LOTS of money to start a business and the knowledge of said business.