How Hard Is Running A Restaurant? The Hardest Part Of Running A Restaurant?
But how easy is it to take out a 3 to 10% profit margin every year from a restaurant? I mean, is running a restaurant business easy or difficult? If difficult, how difficult? And what is the most difficult part of managing a restaurant?
I am going to take this discussion forward by answering these questions, I hope you will also accompany me throughout the article.
Is Running A Restaurant So Hard?
Currently, new restaurants are being established in the market at a rapid rate, so competition and challenges are gradually increasing in this market. It is a harsh reality in every business, that the challenges in this field are constantly increasing.
Because of this, most of the restaurants fail within the first year of starting. You may have heard a saying that 9 out of 10 restaurant businesses fail in the first year, although this is not true.
Philip B Stark, in a study in 2014 presented the correct information about this and that is, only 17% of restaurant businesses fail in the first year.
But regardless of the number of restaurant business failures in the first year, running a restaurant business is undoubtedly a very difficult task, which if not completed successfully, the restaurant is also prone to failure.
How hard is running a restaurant?
Many people dream of setting up a restaurant business successfully, but making this dream a reality requires a lot of hard work, patience and dedication. To put it simply, I must say that running a restaurant successfully is a troublesome task.
A restaurant owner or manager has to take care of many other things including providing proper service to the customers, managing the quality and taste of the food, giving proper direction to the staff and facing financial challenges, which makes the job of restaurant management more difficult.
Another challenge is managing the day-to-day operations of the restaurant, including ordering supplies, keeping track of inventory, and ensuring that equipment is properly maintained.
Recently, a British restaurant owner told The Guardian in an interview that it is a miracle that their small restaurant business is still surviving. So tell me, what do you think? How hard is it to keep a restaurant running?
What is the hardest part of running a restaurant?
So, by now you have understood that running a restaurant is really a tough job. Because the owners have to face a lot of hassles to run such an organization every day. But among all these hassles and challenges, the most difficult part is highlighted below.
Building a Team
The restaurant business is a team work. The more well-organized and systematically you can manage your staff, the more likely your business will succeed.
But the unfortunate truth is that building a well-organized team in a restaurant is one of the most difficult tasks. The staff you bring in at the beginning will have to be fired within a few months or some will leave on their own.
It takes quite a while to build a good team with the staff in a restaurant for this type of visit. That is why it is one of the most difficult tasks in running a restaurant.
Financial Challenges
Restaurant business is all money game, a lot of cash is required to start the business. Without money you cannot face the challenges that are sure to come in this business.
The entire restaurant business runs on money, including staff payroll, rent, legal papers, taxes, decorations, and the supply of food and ingredients.
And if you can't collect this money from sales every day and can't monitor the day-to-day operations well, then the downfall of the business will start.
Stocks and Ingredients Supply
To keep your business stable, you need to stabilize your supply chain. Ensuring restaurant supplies of fresh ingredients and accessories on time is a very difficult task.
If the necessary ingredients do not reach the kitchen on time, the overall balance of the restaurant is disrupted. Balancing the supply chain of kitchen requirements becomes a troublesome task for the owners.
High competition
Another silent obstacle restaurant owners face is high competition. Restaurant business is one of the most competitive business in the populated cities of every country of the world.
Every restaurant owner has to face this high competition to survive in the market despite keeping all the other things in place in managing the restaurant.
Many restaurant owners cannot survive in this high competition due to which the possibility of closing the restaurants increases in the first or second year of the start.