A Quick Guide to Start a Restaurant in India – 2019
Restaurant business in India was projected to grow at over 18% of CAGR (Compound Annual Growth Rate) between 2014 and 2020 according to India, it is pretty clear that planning to start a food service business in India, if done right, is a good targeting path to success. However, it is easier said than done. For a successful food service industry, you need realistic goals and adequate funds. This 9-step restaurant business guide will help you to learn how to start a restaurant business in India. Before we move to the 9 steps, let us take a look at India’s diverse markets and destinations.
Understanding the Distinct Indian Restaurant Market
If you not stay doubtful how to run a restaurant successfully in India, it is essential to acknowledge and learn more about the diversification that this country offers. Each and every of the leading restaurant markets in this country is different and has its own regional habits. Understanding this developmental differences and how they play out in the market is critical before thinking about how to run a successful restaurant and bar. Now, let us take a look at the 9 steps to start a restaurant successfully in India.
1. Decide on the Restaurant Service types and budget
Restaurants can be divided into various formats like fine dining, resto-bar, quick service restaurant, café, takeaway joints, and food carts. What services you are looking at and how much investment you can raise for your new business are important questions to answer. Outcome of investment could be your personal savings, or help from friends & family if the size of budget is small. However, for a larger project, you can approach banks, non-banking financial institutions, Investment capitalists or angel investors where you need a professional presentation to justify project feasibility.
2. Calculate startup investments and operational cost
It is always good to make a business reports that gives a clear idea of overheads you are going to encounter. Expenses involved to start a restaurant are renting a location, buying kitchen equipment, production items, doing interiors works, and setting up POS. License, Gas, Manpower, Food items, Electricity, advertisement and marketing are other expenses you need to consider while making restaurant business plan.
3. Acquire all the licenses you need
To start a restaurant in India, you need many licenses from multiple departments. It may take few months or a year to get all licenses in place, so start the process early. FSSAI does food licensing and registration in India. Other licenses procedure include GST registration, fire safety, liquor license, restaurant license, pollution control certificate, lift license (for food eateries using elevators), music/video license, insurance, signature license etc.
4. Choose the Right Location
Choosing the correct location is highly important for restaurant success. Accessibility, visibility and target customer base in the area are dire factors to consider while looking for a place. Analysis and understand competition in the area; find out what kind of food eateries are doing well. Food eateries on ground floor tend to be more visible than upper floors. Ensure you have enough parking space area around to avoid inconvenience to guests.
5. Acquire the kind of staff that will help you reach the stars
An experienced and ingenious master chef is the backbone of your restaurant that leads and trains others. Look for the better talent through referrals, newspaper ads, and hiring agencies. kitchen staff includes cooks and food preparation staff. Service staff including housekeeping, waiters, and delivery boys should be well-trained to face the customer and also recruit restaurant manager, store manager, and cashier to control all the operations within the restaurant to reach the stars.
6. Menu, logo, branding and interior design
Logo and Menu design’s plays an main role in restaurant success and requires due quickness. For menu content and design, seek the help of chef in naming dishes. Include food items that can be prepared easily with readily available ingredients. Price range should be based on competition in the area. Consultant designer who can suggest you with menu design as well logo design. Consider branding package for staffs uniform, paper napkins and tableware. Approach interior designer for restaurant to decide theme along with furniture, table views, seating arrangement, and lighting decoration.
7. Find good food Dealers
Have a link up with food suppliers who are reliable and able to meet your food supply requirement. Even if you use one dealer, have a back up in place for contingency. Your dealer must be a registered your business with a TIN number. Do a daily quantity and quality Make sure that you are not deceived in any form. Ensure a legal agreement with the dealer for safeguarding your interests.
8. Invest in Restaurant Technology
POS (Point of Sale) systems form an integral part of restaurant business plan and in 2019 you just cannot function without them. Some many Pos systems are available in the market that will help you to manage orders, billing, and delivery along with many other features. Plan to run a loyalty program or offers, use technology to connect it your POS. For advanced technology integration, you can consider revealing order management software to forecast demand and minimize wastage. Restaurant management software can also help to accept multiple payments via smart phones, e-wallets etc. Please recall to factor in the cost of licensing POS tools and while your estimating budget include the investment for restaurant management software.
9. Advertisement and marketing
Advertisement is essential when you start a restaurant to get your business name out in the market. Distribute menu brochure’s, pamphlets, stickers, and also provide T-shirt for delivery boys, advertise in local papers. Use social media like Face book and Instagram to promote your business. Have a website and write blogs. The positive words of mouth is very useful in spreading. Do a link up with food delivery apps like Food Panda, Zomato etc if you plan to deliver food in your area.
I hope all these steps that might improve your business often reviews all through distinctive options that ASIMOT Business Management Software provide. It help your business sales growth and move into profits.
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