Restaurant Business Plan

BusinessZeal Staff Oct 6, 2018
Time to open a new restaurant? What you need for its smooth sailing is a good business plan; this information offers some help on the same.

Elements of a Restaurant Business Plan

Description

In the description you should talk about what kind of restaurant it is going to be, whether it is a small-time one or a medium one and about what kind of food will be served and the location. Besides this, this section should also include:
  • Mission statement
  • Development status
  • Future plans

Industry Analysis

Here you will talk about the restaurant industry. We know that this industry is a growing one and also highly competitive. This is because more and more people are relying on restaurants for their daily food, due to less time and busy schedule. You can also talk about:
  • The industry at present, its revenue and other data.
  • Future trends and chances of growth

Products and Service

Here you discuss what service and products are going to be a part of your business. Are you going to be a self-service restaurant, a fast food joint, a fine dining restaurant, or a family style casual restaurant? Will you be dealing with take-out and home delivery? These are important. Other details will be:
  • Menu
  • Production of food
  • Service
  • Future growth

Target Market

Here you mention what clientele you will target, it will be the target market. Will you cater to families, teenagers, people on the move, or social butterflies? It will rely on the restaurant and cuisine type. You have to ensure the stats you will cater to. Also needed are:
  • Location and people therein
  • Kind of customers you hope to attract
  • Future market trends

Competition

Healthy competition is good for every business; it keeps the venture fresh and on its toes. Just like any other business, you should always know about the competition. This section should also include:
  • Profile of competitors
  • Strategy to deal with competition

Marketing and Sales Strategy

Every business should have a strategy for marketing and sales efforts. This is important even for a restaurant business, because you must know how to attract clients and how to publicize the new venture. In this section, you should give a detailed report on:
  • Penetration in the market
  • Strategy used for marketing
  • Future plans and strategies related to marketing

Operations

This is where you should discuss the actual operations of the business. What should be included is:
  • Office space and facilities
  • Operating hours and days
  • Employee induction, training, and scope of duties
  • Systems
  • Production of food
  • Catering and delivery details

Management

This is where you should talk about the kind of management, the management style. You should also include:
  • Principals and core employees
  • Incentives, compensations, and salaries
  • Board of directors
  • Consultants
  • Future management
  • Management structure and style
  • Ownership and share holding

Future Development

Here you should talk about how you expect the restaurant to grow and develop, it could be in a five-year plan or however else it suits you. Key points should be:
  • Long-term goals
  • Strategies for growth and development
  • Evaluation of any and all risks
Drafting this plan isn't going to be easy. It is a detailed job, requiring extensive study. Make sure you go through your plan at least 10 times before you actually start working on it. Best of Luck!