Restaurant Business Plan

Are you planning to build a business? Building a business is not easy. It is very complicated, especially if you are doing it for the first time, but the work can be quite straightforward if you know what you are doing and you are backed-up by a formidable plan.

One of the things you need to plan for are the expenses. Apart from the initial investment you make, which you basically make at the start of it all, you have to consider looking into the monthly expenses. You have to prepare for this because you do not know how profitable you will be in the first few months, so you will really need to reserve money for this.

For a restaurant business, the expenses will more or less include the following items:

• Rent
• Building utilities (gas, electricity, water, internet, phone)
• Food supplies
• Insurance
• Petrol (for those with delivery services)
• Marketing, advertising and promotions
• Wages (restaurant manager, chef, executive chef (and other kitchen staff), FOH staff, barista, cashier, etc)
• Taxes and bookkeeping
• Miscellaneous expenses (repairs, upgrades and so forth)

For each item, you will need to carryout individual research and survey. You can visit websites or make calls to different companies, to obtain prices. You can also consult common businesses to get a better insight. It is important that you are familiar with this list through and through even before you begin. Can you cover this cost? How will you cover this cost? Will your business be profitable enough to support itself? To assist you with this, you can plot everything in an Excel file, that way you get to look after everything on your own.

Being in control in business is a must. It is important that you gain full control over your expenses and not the other way around. Many businesses fail because they fail to make ends meet. If you know how much money you need every month, you have a definite goal to meet. It is a smart move and if you are very careful, it will help you avoid incurring debts that will force you to close your company down.