The hospitality has come a long way over the last few years since covid, many people who faced career shifts in the aftermath or with more recent economic challenges may now be considering joining the ranks of restaurant owners. If this is you, read on!
Those of us in the trade would, if given the chance, warn them of the hard work, long hours and unpredictable nature of the business. However, how many of us when pushed, would really want to do anything else? Being an owner/manager of a restaurant is one of those businesses that is without a doubt a way of life, whilst it can be rewarding, it can also be very demanding and all consuming. A way of life that, when it comes down to it, many of us would not change.
To anyone thinking of joining the ranks of catering business owners and owning a restaurant, the main piece of advice is to gain hands-on experience before taking the leap. Those who have a catering background or experience of the hospitality industry will know what to expect. But remember, everything changes when it’s your name above the door and your money on the line.
That said, owning your first restaurant in today’s market still brings a thrill like no other. Turning the key, opening the doors, and welcoming your first customers is a feeling that can’t be matched.
Post covid, the industry has seen some dramatic shifts. Post-covid, the industry has seen a dramatic reshaping. The hardships of the last few years, with lockdown and the rise in living costs, whilst have been challenging, have also created new opportunities. Remote working, lifestyle changes, and a renewed focus on local and experiential dining have opened fresh gaps in the market. As a result, aspiring restaurant owners or existing business owners looking to expand may find this to be the right time to do so, provided they approach with caution and a clear plan.
While the forecast back in 2020 was bleak, with income predicted to drop to 53% of normal trading levels, the industry has since shown resilience. However, not without lasting impact. Consumer habits have evolved permanently. Many people now eat out less frequently but expect more when they do. There’s a greater emphasis on quality, atmosphere, sustainability, and customer experience.
If you’re serious about launching your own restaurant, you may find some great deals available as some owners, exhausted by the post-pandemic challenges and economic uncertainty, decide to move on. But beware: if someone is walking away from a business, it may not just be because of Covid. Do your due diligence. There could be deeper-rooted issues, such as:
- Location
- Structural condition of the building
- Outdated or failing equipment
- Poor reputation or brand damage
Location is always going to be crucial when opening a restaurant, it is not just a case of “open it and they will come”. The location must be the right one for the type of restaurant you are opening factoring in target market, pricing and concept. Foot traffic, accessibility, nearby competition, and local demographics also matter more than ever in 2025.
Consider the condition of the building and make sure you get a full survey. If you still want to go ahead, use may be able to use it as a bargaining tool. Remember, any repairs can delay your opening date aswell and eating in your budget.
Even the best quality catering equipment wears down over time. If you’re taking over an existing site, assess whether the kitchen setup is salvageable or if a full refit is needed, if so, budget accordingly.
Reputation is a key component in making a living by owning a restaurant and one of the hardest things to repair. In the age of online reviews, local Facebook groups, and Google ratings, a poor reputation can haunt a business. Check out the reputation of your chosen business carefully. If the brand is damaged beyond repair and your plan was to take over as a going concern, think again, in fact, run in the other direction.
Give all of the above careful consideration before getting too far into the purchase or too far into the dream. Wherever you end up buying, I hope it’s in the right place and at the right time and that it serves you well
And don’t forget you’ll need specialist restaurant insurance, tailored to the unique risks of today’s food service industry. That’s where the expert team at Catering Insurance can help you protect your dream from day one.
Get in touch today to find out how our experts can ensure that your dream, your passion, your restaurant, stays protected.
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