ISO Restaurant Information

So the family has been passing around the idea of wanting to open a restaurant/saloon for a while now and are trying to make a move on it if we can get the financial ability to do so. Was wondering if anyone experienced on this topic would mind dropping some information/ details on what it takes to actually get started? Thanks!

High % fail. Food and labor cost are huge variables. Location brings another headache from either a rent or traffic standpoint. Working with family (I have experience) is a struggle. Paycheck guarantee is out the window.

On the positive side, being your own boss is great. Yes, you wear all of the hats, but there is satisfaction from making it all come together successfully.

Best advice: Get all of your ducks in a row and overthink the business plan.

Talk with Tritonman, Happykamper or WAWI on here. They know their stuff. T-man started from a trailer on the side of the road and moved to a building within two years. Quality product was the key.

It takes a lot of money and a strong desire to lose that money.

I look at restaurants as like being a Realtor:

No customers + lots of overhead = Failure

It's not for the faint of heart. Scared money has no home.

About 60% of restaurants fail in the first 3 years. Opening one isn't cheap. I'd find a better place to invest that money. Also, a failing family business could tear apart a family

We just got our final permit from the Fire Marshall yesterday to finally start work on our new location.

As for advice, I'd say follow your dream, but don't mortgage your future. I started out in a food trailer with 5 picnic tables 2 years ago. I did not grow the business unless we could afford it, and still remain debt free today. We only grow when the business dictates, and when we can afford it. Our new place will be 4,000 sq ft, plus outdoor seating, and will be about 80% paid for when we open.
Is it an azz whipping? Some days it really is, but you just keep doing what you love, and it'll work itself out. I'm scared to death of opening this new place, but you have to put a lot of trust into the guy upstairs. The business will tell you what it wants.

I remember this advice from about 3 years ago. I didn't fully understand it then, but I do now. You've provided a lot of great advice along the way, and I'm very appreciative.

My advice from years of observation, but no restaurant experience. Do Not put a restaurant in a location that has already failed as a restaurant - even if the failed restaurant was a completely different concept or food type. I have almost never seen a successful restaurant that took over a lease from a failed restaurant. One exception is Babe's in Carrollton.

JR

Overall I agree with this, but maybe with a slight change in the formula. My opinion is that there are 2 reasons that restaurants fail. Bad food, and bad location. Regarding JR's advice above, if you have been to a place that actually had good food and they didn't make it... it is most definitely a bad location. However I've seen several places take over a restaurant that closed because of just bad food and they were successful.

That said, I'm not in the business either, so my advice is worth exactly what you paid for it. Good luck to you either way!

You're getting good advice here. I've never tried to run a restaurant, but we've had many as tenants through the years. Most fail, for the reasons you see in the Chef Ramsey show ... oh, what's it called? Oh yeah, "Kitchen Nightmares". Watch a couple seasons of that show to pick up on do's and dont's (without the yelling and cussing of course).

Start with a food truck. See if what you're making is what the masses want. Or just open a bar. Higher margins than food.

Appreciate all the advise! Thanks y'all

I thought you were in high school?

Another piece of possibly worthless advice from a non-restaurateur: LIMITED MENU. Decide what you can do well, and then improve it and make it better than anybody else. Zeek reminded me with his Gordon Ramsey reference. He never wanted more than 3 or 4 entree selections on the menu.

I also think of some of the most successful chains - Raisin Canes sells chicken strips, fries and slaw. In-N-Out sells burgers, fries and shakes. Freddy's sells burgers, fries, hotdogs, and ice cream. Most mexican restaurants make different combinations of ground beef, grilled beef, grilled chicken, tortillas, rice and beans.

The limited menu concept makes it easier and quicker to prepare orders. But even more importantly to you as an owner is that it limits the amount of inventory items you have to stock and use before it spoils.

Which is while he'll be Bus Boy #1 at his family's new restaurant/saloon once we give him advice. Pay attention, Jay.

My son opened a place in Dallas. It did really well, but it will beat you down over time. I think the people that do well are generally people that grew up in the business and understand all the goods and bads. Recently he sold the business. He will make far more money when he sells the real estate than he ever did operating the restaurant.

See if you can intern in a commercial kitchen somewhere. Get your food handling license first. It�s damn hard work, think KP in the service.

How many bars last more than 5 years, you can count them on one hand pretty much, most bars are open about 7 minutes give or take.

We opened one that had been 3 different concepts prior and all failed. Wasn't ideal, but we had no money for anything better. Absolutely horrible location too! Barely made it the first year and with hard work, great people with tons of passion for what we were doing... we made it work. Took that location from 25k a week to 120k a week in a little over 3 years. That [censored] location was the springboard to 20 locations today. It can be done with the right people, right plan and a chit ton of luck!!!

What�s the name of your restaurants?

A lot of the time this is correct but Jake's in Flower Mound opened in location where 3-4 restaurants failed and they are doing quite well.

Correction; *Server #1*

Razzoos.

I left that group after 11 years with another partner to development a concept called Bone Daddys. Still doing it today along with two other developing concepts.

Excellent! I�ve always liked Razzoos.

I like to hear success stories like that, especially in the bar and restaurant business

Thanks. I can tell you some painful stories too unfortunately. Last 2 1/2 years have been brutal with BD's , but things are slowly improving thank goodness!

love love love the rat toes. I wish they still had pan seared frog legs on the menu. they were to die for.

After spending almost 5 years in Iraq working for a defense contractor all my drinking buddies tried talking me into opening a bar but there�s one thing I learned while earning my business management degree, bars and restaurants have a 100% failure rate. It may be a year, decade, or a century but they all fail eventually

I'll go to Razzoo's just for rat toes and cold beer, so good

Good bar scene too

One time we went to Razzoo's a buddy of mine drank a little too much. He woke up the next morning and had puked gator punch all over his white carpet. Doesn't remember doing it. Good times.

Rattoes are one of my favorites, I played golf with you guys buyer years back. John Jessup I believe. Retired football player. Tom Laundry classic over at Glenn Eagles.

John is a great guy. Knows his stuff too.

look into KFC, apparently the demand is high in the Greenville/Quilan area and the doctors are prescribing it, win for everyone

It�s too late, I closed today on two locations in that area and free chicken legs during the grand opening!