Restaurant Business Plans
Why is a business plan important for a restaurant?
Many new restaurant owners create plans that are lacking in depth, as the process of planning a restaurant can be a bit difficult and time-consuming. But without a proper plan, it’s unlikely that you would be able to secure an investor to help fund your dream of opening a restaurant. And even if you do, regulatory requirements, planning and forecasts will set your business up for failure.
Your business plan will help you determine how to make a profit from your restaurant, as well as where your restaurant fits into the competitive market, and how you will stand out from competitors.
How do you write a business plan for a restaurant?
When creating a business plan for a restaurant, it’s important to evaluate your target market, location and style. If you’re new to the restaurant scene, creating a business plan can seem overwhelming. To help you get started, we’ve highlighted the key elements you need to include in your restaurant business plan.
Executive Summary: An executive summary is a short and concise introduction to a business plan. It is aimed at potential investors and should include a synopsis of the business idea and its expected costs, along with an assessment of possible returns.
Company Description: This section of the business plan you cover all the details of the restaurant from location, contacts, owners’ details, target market, unique selling position and a range of details.
Management & Experience: This section of the plan should include the owners’ experience, skills and roles/responsibilities in the new role. It should also include current staff in the business and future staff required.
Menu: The most important element to launching your restaurant is the menu. Without it, your restaurant has nothing to serve. At this point, you probably don’t have a final version, but for a restaurant business plan, you should at least try to have a mock-up.
Add your logo to the mock-up and choose a design that you can see yourself actually using. If you are having trouble coming up with a menu design or don’t want to pay a designer, there are plenty of resources online to help.
Restaurant Design & Location: The design portion of your restaurant business plan is where you can show potential investors your ideas for the restaurant. If you don’t have professional mock-ups of your restaurant, that’s fine. Instead, put together a mood board to get the investors’ vision across. Find pictures of a similar aesthetic to what you are looking for in your restaurant.
The location you end up choosing for your restaurant should definitely be in line with your target market. At this point, you might not have a precise location set aside, but you should have a few to choose from
Industry Report – Restaurants in Australia: The report will cover key elements such as Key Success Factors, Key Trends, Major Players, Regulation & Policy and everything you need to know about your industry.
Market Snapshot: Key statistics and details about your suburb and the demographic.
Competitor Comparison: It is important to research your competition when starting a business. What restaurants have already established a customer base in the area? Take note of everything from their prices, hours, and menu design to the restaurant interior. Then explain to your investors how your restaurant will be different from these businesses.
Strategic Goals & Marketing Plan: Investors will ask you how you plan to market your restaurant, including questions about your strategies for securing a target market and what offers you intend to provide guests. You will need to prepare short-term and long-term goals with actions to achieve those goals. You should have thorough answers ready.
Start-up Costs: This part of the business plan will cover all the costs involved with starting the business such as lease/rent costs, wages, equipment costs, licencing costs, purchases and a range of other expenses that you will need to understand to obtain the correct amount of capital.
Assumptions & Cashflow Forecast: The financial section of your restaurant business plan is the most important, because it will determine how much you will need to borrow and how much profit you can expect to make.
The Business Plan Writers team of consultants are here to help you write your business plan and acquire the finance or investment you need to start your business.
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