Restaurant Question?

Question

I have a restaurant and we have been open for 7 month. We are doing OK for a restaurant that just stared. The problem is I did not have so much working capital and some months is difficult to pay the bills and also is more work then I though. So my question is: I am afraid of not been able to pay the bills in the future. I am afraid of the risk, that is the thuth...what shoud I do?

Answer 1

Business is not easy. Food service is even harder, because you rely on customers who can change their minds on a moment's notice, and a pretty salad bar and a couple of big pots of soup can go to waste if you have unexpected bad weather.

Any business, and especially a food business, needs a solid five year plan. The business plan should outline what you'll do when the times are lean, when the cash flow isn't high enough, and when you have to think about adding staff to handle the work.

If you got into the business without a solid five year business plan, here's the best advice you'll ever get: sell out now, while you can still make most of your original investment back.

Say out of the business until you sit down with a financial planner and come up with exactly how you're going to handle every financial hurdle for at least the next five years. Then, and only then, you can give it another try.

Remember, you may be in love with the food business, but it is a business. You're there to make a profit. And that profit happens after all of the overhead.

Answer 2

Ok this is the key to business and you will be successfull!

Every customer that comes in kiss thier but be real nice give them lots of attention most people now a days are very lonely they will cling to you and your business and help it grow.
Do not spend any money on anything suffer eat roman noodles if you have too.
What ever money you make the first year re-invest.

You will make it your in the first year and your still open your going to make it!
I suffered my first year but I did not spend and kiss everyones butt.
And it worked.
Other business owners came and went I am still here.
It is all about customer service

Good luck!

Answer 3

Drive more crowd and make more profit. If you believe you have some great food to offer here is an solution that paves you the way for word-of-mouth recommendations boost.

Get top influencers from your local area talk about your restaurant.

The below site is free and it just gets you to the most influential people that are most capable to generate word-of-mouth.

http://www.beesandpollen.com/st/u.aspx

Answer 4

best i can say is to keep your overhead down,watch your labor cost,watch your utilities,they will kill you! if that don"t help,you may need a loan! a rule of thumb is you don"t make money the first year! also watch your back door and trash cans. know whats in them? i can help you more,but i need to know where you are and what kind of restaurant?