How to be Risk Free While Starting Your Own Restaurant

published by: Build Your Restaurant-12/27/2016 7:37:50 AM

Create your own Restaurant

Every business has its risks. There are many risks that are specifically associated with the restaurant business. Owning a restaurant is a proactive business and you should keep an eye out at all times to avoid risks to your restaurant. The secret to avoid the risks is by knowing what the risks are. We have categorized the major risks faced by restaurant owners and how to avoid them.

Inadequate Funding

A survey estimates that 1 in 4 new restaurants fail in the first year and the number increases to 3 in 5 within the first 3 years. This is a high number especially during the initial stages. It takes precise planning and deliberate execution to get your budget right. You should ensure there is enough capital funding to sustain your business in the beginning years till you have enough business self-sustain and break even. Minor tweaks to your menu and staffing could help you utilize your capital more efficiently.

Humungous Work Pressure

Some restaurant owners claim that they and their staff put in over 100 hours of work every week during the opening period to successfully run their restaurant and keep their customers happy. While you may be interested in working under high pressure, it is not wise for you to expect the same from your staff. Getting your staff aligned with your motives could save your restaurant. Playing more roles in the restaurant and helping your staff, being their when they need you boosts their morale and reduces the risk of failure.

Risk of Fire

In a restaurant, fire accidents are inevitable. Working in high temperatures and inflammable material fires are bound to happen. A risk of fire is more so in a restaurant because it doesn’t just comprise the property of the restaurant, but the lives of the customers dining there as well. It is important that your kitchen staff are trained enough to handle fires. Here again, you can avoid risk of fire with right staffing and proper firefighting equipment.   

Risk of Food Poisoning

Food poisoning doesn’t just mean that your food is poisoned or contaminated; serving a customer with allergies without warning could be just as disastrous. You could avoid such risks by paying proper attention to the hygiene of the food your serve and the kitchen staff preparing it. Adequate warning about food allergies could also prevent unfortunate incidents.

How to Avoid the Risks?

Most times to avoid risks in a restaurant business, Knowledge is Power! You should possess extensive knowledge about the risks that could ruin your restaurant and ways to avoid them. Gerody Murphy’s Book, ‘Opening a Restaurant’ is a comprehensive hand-book every restaurant owner should possess to avoid disastrous risks in their restaurant. The book contains chapters that could enlighten you on how to run a restaurant successfully without risks taking Gerody Murphy’s 2 decades of experience into account.  

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