Opening a restaurant can be a significant task. Starting with a perfect and realistic business plan will give you confidence in your ideas. An excellent business plan is crucial since it will help you if you want to obtain a loan or other investment in your business. You may also require having a perfect restaurant business plan for you to be in a position to lease space to put up your business.
If the identified space of your interest is not designed or already a restaurant, few landlord/lady are not willing to make the changes that suit the restaurant unless they know the features and survival of your restaurant. It will be achieved if only you have a perfect business plan.Even if these appear unnecessary for you, constructing a business plan for your restaurant is still a superb idea since it outlines how organized your thoughts are, and sends a signal that you are ready to open and start operating.
Components of a Restaurant Business Plan:
Begin with the executive summary. An executive summary acts like the introduction of your business plan and at the same time as a summary of the entire idea of your business. A benefit of the executive summary is to draw the investor into the whole business plan. This section entails several elements: mission statements, proposed idea, execution of the ideas, a brief look at the potential costs and the expected returns from the business.
Describe your company in details. Details you should include in this section; Name of the restaurant and the location of the expected restaurant, contacts and other information relating to the restaurant. Also, you may include owner’s brief description and add details of their experience. Legality of the company should also include in this section.
The section contains three parts which are;
Industry analysis: here you discuss what are your target market and give a reason why you think investors or customers will choose your restaurant and leave other restaurants.
Competition analysis: competition analysis will involve doing descriptive research about your competitor's restaurants; check on their menu design, prices, hours, and interior design of the restaurants. From your research, you will be in a position to explain to your investor why the restaurant will be distinct
Marketing analysis: the critical point in this part is to identify how you will market your restaurant, how different your market campaigns will be, compared to those already done by your competitors, the plan you have in securing your targeted market and the kind of offer you have planned to give to your guests.
Market overview section
In restaurant business plan, marketing analysis serves as the vital area. In this part, you should give more details about both macro and micro-factors in the location you want to put up the restaurant. Expound on the economic situations that may hinder you from opening the restaurant, and explain how you may handle that. List down the restaurants that prove to be competitors and plans on how your restaurant will be unique.
The menu is the most crucial element you may think of before launching a restaurant. Missing a list in your restaurant shows you have nothing to offer! You should have a draft menu while preparing the restaurant business plan. While designing your restaurant menu, add a logo that you think you will be using.
Restaurant management team should be thoroughly discussed in this section as they discussed earlier in the company descriptive part. At this point, you are supposed to highlight the critical employees with their experience and talent that will add up to achieving the restaurant objectives.
Design of the restaurant
At this juncture, your thoughts and ideas about the restaurant are exposed, especially to the investors. Sometimes it happens when writing your business plan, that you don’t have the exact design you may wish to have in your restaurant, you supposed to do research and consult professional on the model.
Financial analysis section is the most critical part of a restaurant business plan. You need to hire a finance professional to help you out. By utilizing a trained financial accountant will not only help you obtain your financial estimates but also a realistic figure looking forward to your own a restaurant. You should have a sketch that outline number of seats your restaurant has, check average in each table and number of guests target per day. The information will help your accountant in financial forecasting.
Some of these sections overlap each other such that, if you are writing a marketing plan, competitive analysis section will demand you to go an extra mile and research on other restaurants in your area which especially have your feelings. Marketing plan section and your marketing strategies section will require you to involve a critical thinking aspect and evaluate carefully whom you expect to be your target customers and how to deliver services to them.
The management plan and operations section will require you to engage thinking about your central staff personnel’s before you decide to open the doors. You may need an expert business plan consultant to help you write a perfect and detailed business plan. It is very crucial to note that if you are using your restaurant business plan to secure a loan, it must be 100% perfect and accurate, inaccurate information may attract legal consequences for fake information on a business plan.