The last time you walked by that street, there was not a single eatery. Now in that lane, there are not just one but three restaurants, all of them doing great to average businesses. As a startup venture by itself, the restaurant business today is high in demand. Though the business is taxing especially in the first few months of setting up, eventually, you’ll find your bearings. That said, what does it require starting a small restaurant in India?
How to Start a Small Restaurant in India?
Let us check the steps to follow to have your eatery in India:
Fix the Concept or Theme:
You must have a vision, and it starts right from the time you come up with the idea to start a restaurant. Will it be offering multi-cuisine dishes or Indian dishes? Will it have a funky art deco theme or a bookshop turned café theme? These play a vital role in your picking the colors to suit the theme indoors and even designing the restaurant’s menu and feel.
Know Your True Calling:
If this is the first time anyone in your family has started a restaurant, see if it works for you or not. If yes, then proceed with the next step of arranging for the capital. If you find yourself to possess all the traits of a restaurateur, and are ready to face the challenges daily, then you can go ahead.
Get Necessary Licenses:
Start by getting the licenses for your business. This will be helpful for you to get loans and even have all the certificates from reputed organizations. There is a Trade license from the Municipal corporations that you will need to start with. Next in the list is the need to get the Food Safety and Standards Authority of India FSSAI to operate the restaurant. Additionally, get the GST and business registration.
Get Funds and Capital:
This is one of the most important factors to consider while starting a restaurant business. Why just restaurant business, you ask? When you seek funds, remember you are not only getting the first capital for the business. You also have to consider funds for at least the first three months to bear the operation cost. There will be daily expenses to take care of, including maintenance. Whether you are seeking loans from a bank or other financial institutions or going for self-funding, you have to calculate all these numbers and then proceed.
Costs to Incur:
As we have already stated, there is a need to remember that there is a cost for maintaining and running a restaurant. You need capital for the rent, interiors, and the furniture in the dining area, as well. Do you have staff members for the same? If not, there will be cost for paying them too. You may need to set up a POS for cash counter and even a surveillance camera. Furthermore, you will need money for kitchen equipment and even for gaining the licenses of the place. The final big expense you might incur will be for marketing your restaurant online and also in print media.
Be a Franchise Owner:
Many entrepreneurs see the immense potential of being a franchisee of a famous brand. Whether it is a national brand or an international one, look out for these opportunities if you are want to start on a lesser budget. However, learn about how the profits will be shared and how you will benefit from these partnerships.
This said, invest your time to learn about the regular challenges from established restaurateurs. Talk to them and get inspiration before you even proceed on the first step to start the restaurant.