A menu is the foundation of any restaurant; Guests will support or avoid a restaurant for its food. Starting with a preliminary menu is a simple and basic approach to restaurant development. Begin with a menu, and you are light years ahead in the restaurant development process. A menu will tell you and your Guest what you are trying to be as a business, and greatly enhance your chances for success.
I view a menu for content, image and pricing. Content (the actual items on the menu) will dictate service staffing needs, level of culinary experience and type of management required. Who will be doing the cooking, do they have experience in this type of food, and how much are you paying them?
Image is how the Guest will perceive the menu. Menu image helps define the targeted clientele and which other restaurants this operation would be competing with. Are the content and image of the menu appealing to your desired clientele? Pricing helps determine a potential restaurant's competitive placement. Is the pricing for the type of food offered competitive with other's in the market area, and does it permit the ability to manage a profitable food cost? Pricing sets the Guest's expectations in terms of food and service quality. This perception will, in turn, help define appropriate staffing levels. The budgeting process can now begin. Analysis of menu content, image and pricing will tell prospective restaurant operators whether their concept is appropriate for a certain market area.
With a preliminary menu in hand, a prospective operator can target a location that will be convenient and appropriate for their desired clientele. Once a site or facility is selected, sales volumes can be projected based on number of seats, menu pricing and the competitive business analysis. With projected sales volumes, how much an operator can spend to acquire, remodel or build a facility is determined. Leases and/or purchase agreements can now be negotiated.
With a clear menu, competitive analysis, sales forecast and development budget, financing can realistically be sought. A business plan can be derived which, if taken to potential investors will demonstrate what type of return they can anticipate on their investment.
Any restaurant business plan must begin with a menu. A proposed menu provides the basics for many questions that must be answered during the restaurant development process. It creates an image of the restaurant, identifies targeted clientele, and defines the proposed restaurant's competition. A preliminary menu allows a sound basis for business budgeting, tests potential profitability, and dictates the development dollars required for a facility. Most importantly, beginning the business planning process with a menu maintains the focus of ownership on the importance of food and the impact it has on the success of the restaurant.
Written by Monte Zwang of Steele Development Corporation, a consulting firm specializing in business development and financial strategies. You can reach Steele Development by calling 206.878.9666 or online at http://www.steeledevelopment.com.
Barrington South Lincoln Stretch rentals .. Lockport Chicago limo O’HareThe boom of the dot-com era in 1999 brought the... Read More
The trick is to determine what uniquely identifies your best... Read More
When you start your program to purchase your "ideal" company,... Read More
Every business experiences slower periods. For some, they sell more... Read More
How important is a vision statement to your company or... Read More
Q: A key investor in my business has suggested that... Read More
Many companies are reluctant to dive into outsourcing ocean because... Read More
Business planning is widely acknowledged as one of the keys... Read More
Strategic planning is vital while starting a new business or... Read More
Succession planning, like any business acumen, is both an art... Read More
Ask Yourself three simple questions that affect your strategy planning...... Read More
In 1989, Sony founded its Institute of Wisdom at the... Read More
Richard L. Daft one of the country's recognized academic leadership... Read More
Many business start-up kits or consultants will tell you one... Read More
Many cities have home pages on the Internet. Many of... Read More
Business plan financial projections seem daunting because they are so... Read More
Every new business owner knows that a business plan is... Read More
Too much goal setting and strategic planning can leave you... Read More
It's easy to lose sight of what needs to be... Read More
There's nothing automatic about corporate growth, particularly in the information... Read More
"Bozo" ? A clown with a forlorn look, always finding... Read More
Why do so many companies languish and watch as their... Read More
These may sound like no brainers, but you'd be surprised.... Read More
This week I coached a wonderfully lovely woman I'll call... Read More
As a franchisor it is imperative that you seek, find... Read More
Downers Grove limo Chicago ..Building a dynamic small business is a constantly evolving, increasingly... Read More
Writing a business plan can be tricky when all the... Read More
No "meme" isn't a typo and Got Milk, the more... Read More
Human beings are rational agents. Rationality endorses one to take... Read More
Writing a business plan is no easy task, sure you... Read More
In 1989, Sony founded its Institute of Wisdom at the... Read More
Most companies that are worthy of raising venture capital have... Read More
When developing the competition section of your business plan, companies... Read More
A recent conversation started with a typical question, "How's business?"... Read More
In most business plans, no matter how striking the idea,... Read More
The day you decide to take the plunge and work... Read More
Many companies are reluctant to dive into outsourcing ocean because... Read More
The format of a Business Plan is something that has... Read More
What gets measured gets done.How do you keep your business... Read More
In this small article we'll concentrate on farmers associations and... Read More
As a franchisor it is imperative that you seek, find... Read More
When you start your program to purchase your "ideal" company,... Read More
Succession planning requires the owner of a small or medium-sized... Read More
If you own a mobile franchise business and wish to... Read More
I am not a big fisherman, but I do enjoy... Read More
A menu is the foundation of any restaurant; Guests will... Read More
Conventional wisdom has it that there are only three ways... Read More
Remember reading "Alice in Wonderland?"She asks the Cheshire Cat, "which... Read More
There are no "rules of thumb" in the pursuit of... Read More
A survey released by the American Institute of Certified Public... Read More
Strategic Planning |