A Stepping Stone for a Food Venture – A Basic Business Plan for a restaurant
One of the businesses flourishing in present times is the ‘Food Industry’. As long as humans exist, the need for food is the only recourse that is eternal and evolves with mankind. With different concepts coming up in the food industry and ideas that would turn this need into a flourishing business, fool proof business plans are sketched out every day for companies to put forth to investors and banking sectors that may invest or provide the monetary aspect for such ventures.
A good Business Plan is the best way to give a preview of the envisaged venture approach to such investors. With the restaurant business being the most competitive industry, it has its own variations ranging from small scale, family owned establishments to large scale, franchises with many years of experience and successes. For this to fall into place a good Business Plan has to be outlined which not only serves as a financial tool for one’s restaurant or food business but also serves as an analytical tool that sets the restaurant business apart from its competition. Some important aspects which are considered as a standard guideline while penning down a good Business Plan are:
Developing a business description for the Restaurant in mind
A detailed description with the name of the restaurant along with its logo, the address and contact details has to be included. A brief introduction to the owner/s with their experience or achievements and their contact information would be apt. The vision behind setting up the restaurant, outlining its short and long term goals and addressing the trends, methods and growth patterns within the food industry.
The Hierarchy of the Restaurant
- Give a detailed plan as to the manpower / employees to be employed in different departments such as Food & Beverage, Human resources, Administration, contracted etc.
- Clear Job responsibilities of the Department Heads to be drafted through an organizational chart to show the flow of responsibility.
- The costs of salaries, benefits and training costs should also be included into the summary.
Operational aspects, layouts and equipment of the restaurant
- Information in brief regarding the location of the restaurant in the food area with its concept, location and interiors giving an idea as to what the restaurant would be catering towards.
- Details of the equipment to be procured for various processes in different departments, including the costs of each and what type of purchase/lease it would be.
Ending the operations with vendor/supplier details and produces used
- Showcasing the inner details of the restaurant with products and services that will be procured from these suppliers, product costs, vendor contract information and skeletal details of contracts that would need to be formed.
- Inventory management and controls that the establishment will follow for smooth operations with the vendors.
How the establishment will contribute towards minimizing ‘Carbon footprints’, adhering to waste management and reuse-recycle concepts. With the growing trend of ‘Going Green’, this is considered as one of the most important aspect of a restaurant’s forte.
Analyze and survey of the food trends within the area. Restaurant portray for consumers
- Explain which consumers that the restaurant would target, how they would go about to do it through means of advertisements, commercials, audio/video ads with their approximation costs for each.
- Necessary permits, licensing requirements for the restaurant and how they will be obtained and adhered to.
The Menu, pricing forecast and USP of the restaurant
A proposed draft of the menu of the restaurant with details to the food being offered, pricing factors and special features that would make the restaurant stand out. Out of the menu offers such as festivals, specials of the day and various other concepts.
Identifying the Restaurant’s competition and comparatives for marketing strategies
Prepare a comparative of the restaurants in the area with similar food concepts, as well as other food establishments. How the restaurant would stand out with its stellar standards and services being offered.
Creating the financial statements for the restaurant and future projections
Attach documents and personal financial statements for each of the restaurant’s owners, along with a balance sheet and banking details. Accurate information to be provided with realistic future projections and plans.
Creating an Executive summary for the restaurant’s business plan
Keeping this entire summary of the entire plan to a minimal with introduction to the restaurant, its target customers and its competition, and how the restaurant will attract its customers and still be ahead in the competition.
Summary & an Appendix
Place a Summary at the beginning of the business plan with headings and sub headings and follow the business plan with an Appendix of documents that support the information within the plan.
The above brief points of a Business Plan should help draft an in depth version of it helping entrepreneurs and lead them in the right direction. The Business Plan is one of the important factors that go into setting up a food venture, one of the main stepping stone though.