STARTING A RESTAURANT BUSINESS IN NIGERIA
The restaurant business is one of the most lucrative businesses in Nigeria. In recent times, the demand for food stores or restaurants has increased as individuals either do not have the time or just want a place where they can just eat in with ease. Eating is very essential to our everyday life, simply put, everyone eats. How they go about this is now up to them. And with this brings the idea of starting restaurants or fast foods. Different meals can be prepared and made available for customers. Restaurants in Nigeria is one of the common places people visit every day.
Restaurants are places where different kind of meals are served at a price. It is a business that can generate a lot of money for individuals willing to go into the business. This is mostly due to the high demand. The business comes in different forms and it could either be a fast food restaurant or a casual dining restaurant or a local restaurant where local delicacies are served. Regardless of the form of business ventured into, it could either be set up in a small scale or large scale pattern depending of the amount of capital available. It is always advised to start small and then look to expand after a couple of years of making profits.
Starting a business like this is not really difficult when the capital is available. No education or experience whatsoever is needed to start the business. All you might just need is a knowledge of how to cook and also knowledge of how to run a business. Most restaurant owners are people who love cooking and are quite versatile with a number of different delicacies. But it doesn’t really matter anyway. A restaurant can be started by almost anyone. And in cases where owners have no knowledge about how to cook and just move into the business, they can employ experts who will do the job well. This way, the individual can focus on the other aspects of the business and also monitor how things are done.
Location is always important for a business like this. It’s not only about just getting a place where the restaurant will be located and the cost of the location, it’s about locating the business in a place where you’ll have a high chance of succeeding. Selecting a place close to the target market will make the business goals achievable and also give you the opportunity to get customers easily. Capital, of course, depends on the capacity or size of the proposed business. It is from this capital that every money spent for the purpose of the business is gotten from, including equipments and cost of labor which is also an important part of the business.
In the next sub heads, I’ll be discussing the steps involved in starting a restaurant business in Nigeria and some of the important things to consider before you start the business and also to ensure the success of the business.
This line will probably never get old. The concept of researching a new business before starting it is one that is highly recommended for entrepreneurs. In a case where individuals don’t have enough information about the said business idea, they are most likely to find out enough when they do a well detailed and thorough investigation into the product, industry, competitors, risks and the business generally. Take for example the business we’re discussing, the restaurant business. The business is well known and practiced in the country so you’ll definitely be able to get people who will advise you and also give you insights regarding the restaurant business you’re about to start.
Use the internet properly. In recent times, the internet has proven to be man’s best friend when in need of information. You can be sure to get information about almost anything there, including the business you want to start. Pick what you need from the available tips for the business online and check out the different strategies used in the business. Carefully study what you see and put in mind that strategies differ and even at that, the strategy used by Mr A might not work for Mr B.
During your research, learn how restaurant owners operate their business and from there, decide how you want to do yours. Don’t hesitate to ask questions and take note of important details. The research will help you to understand if the business is something you can do and something you’re willing to dedicate your time into. It will also help you know how much is expected to be enough to serve as capital and all the necessary things that must be in place to achieve a successful restaurant business.
2. WRITE A BUSINESS PLAN
A business plan needs no introduction. It is equally as important as some of the other processes or things involved in the business. After a comprehensive and thorough research has been conducted, entrepreneurs must now put all their ideas into paper after, of course, deciding to start the business. The business plan will cover things like the way you plan to operate, the cost of several things, how you plan to market your business, future projections and also contingency plans.
The business plan serves a number of purposes. In cases where individuals might need to get investors or even get a loan, it will prove useful as it will contain all that needs to be known concerning the business. It is also going to serve as a point of reference for the proposed business.
3. CAPITAL, LOCATION AND LABOR
At this point, the business is one step away from establishment. The availability of capital helps to kick start the business. Certain things needs to be bought and even the delicacies to be prepared won’t just disappear from nowhere. They have to be gotten with money and that is when capital comes into use. If capital is not available, individuals can source for funds from friends or family members or rather secure a loan to start up.
Starting up can be small, which is always advisable to minimize cost. For a small scale restaurant, only a few things at a low cost can be gotten and that includes the location. The location is the place where the business will be operated. It has to be a low budget place which must then be made conducive for customers. Also, make sure your restaurant is not close to competitors. This might limit sales. Locate the restaurant in a place with high turnout of people and also distant from the nearest competitor.
You might also need some help for certain things in the business including cooking itself. You can’t really do everything yourself and even when you do, in the long run, it will turn out very stressful. You can just get a few employees that will help with cooking, washing, cleaning and every other thing that might require an extra hand.
4. EQUIPMENT AND SUPPLIES
The location is ready and capital, of course, is available, so the next things is to get the ingredients and other supplies needed to go about making the food. Equipments like chairs and tables, gas cooker, pots, plates, spoons and more can be gotten at this point as the business has already started.
5. MARKETING AND SALES
Now, you don’t just start the business and expect people to just start trooping into the restaurant just like that. Certain things need to be in place and one or infact the most important thing is marketing. Create a banner or a flyer for the restaurant and have them on display to lure in potential customers. Also, social media can be utilized for marketing in a business like this. Infact, most restaurants now have online pages where they even get customers who require home delivery for the food. It is an effective method of marketing and will surely help in winning you customers.
Once the business is properly set up, there will be no problem in making the profits and enjoying your success. After a couple of years of success, you can even decide to expand operations. The business is highly lucrative provided factors like location and adverts are well placed. Also, prices should be made affordable and of course, top notch meals with delicious taste should be served. With that, the business is on its way to making you steady profits.