Complete Guide on How to Start Your Own Restaurant Business

Are you a businessman thinking of starting a new restaurant? The food industry is always cherishing in the world. So, here were are providing you the details on how to start your own restaurant business. 

Steps Required to start a Restaurant Business

If we breakdown the process of setting up a restaurant, below are steps required to follow:-

  1. Choose the concept and brand for the restaurant.
  2. Make menu items.
  3. Make a business plan for the restaurant.
  4. Get funding.
  5. Pick a location and lease a commercial space.
  6. Take permits and licenses.
  7. Make arrangements for equipment and food suppliers.
  8. Layout design for the restaurant.
  9. Hire valuable staff.
  10. Advertise the restaurant
  11. Opening of the restaurant

Let’s discuss each step in detail:-

1. Choose the concept and brand for the restaurant

Before starting a restaurant, one must be clear about the concept of the restaurant. The concept includes the servicing style, the food you serve, and the ambiance of the restaurant. Have good research and look for unique style and brand.

2. List out menu items

After concept selection, design your menu items, what food you would serve. A single cuisine has multiple food items, but you need to research which item will make the profit more. Also, update your menu frequently on the routine observations of the selling inventory.

3. Make a business plan for the restaurant.

Undoubtedly the business plan is essential for attracting investors and applying for loans. 

Below listed are the important components of the restaurant business plan:

  1. Executive Summary
  2. Business Offerings
  3. Management
  4. Company Overview and Description
  5. Marketing and Public Relations Strategies
  6. Market Analysis
  7. Financial Projection

4. Get funding

Find out the cost required from buying or leasing a shop to licensing it to payments of the staff working. The business plan would help you to attract investors and also in applying for loans. So make sure the loan cover-up all the restaurant charges.

5. Pick a location and lease a commercial space

Choosing a location is wise man work, good research and observation are required. Following features are important for choosing a profitable location: 

  • Visibility and proper access to the restaurant, not in a remote place.
  • Proper demographic area
  • Minimum wage and labor cost
  • The Competition area which, would help in marketing.

6. Take permits and licenses

Register your restaurant by every legal step to avoid future hindrance.

7. Make arrangements for equipment and food suppliers

To smoothly run a restaurant, one needs proper equipment and a regular supply of raw materials. So, arrange for the trustable vendor who’ll provide the things at reasonable rates.

8. Layout design for the restaurant.

According to the concept and brand of the restaurant, you have to design the layout of the dining or eating place. Also, keeping in mind the efficiency of the work and easiness to the staff while designing the layout of the restaurant.

9. Hire valuable staff

Now, running a restaurant, you won’t need to hire an engineer, of course. You need to hire the main whole and soul of the restaurant chef and many other staff such as sous chefs, general manager, hosts, prep cooks, dishwashers,  servers, etc. 

10. Advertise the opening of the restaurant

In the world of the internet, you have to make sure your restaurant should reach to every corner of the city. So, make your website to attract more customers and advertise in the local paper, register your restaurant on the food-based apps. Now, its time for the opening, on the day-one give some giveaways, host some private parties as a marketing strategy, etc.


If someday you wish to open a restaurant, this article on how to start your own restaurant business would help you then. All the best!