Starting a small business

Food truck is out the question. Can we please not talk about it?

Had to look it up.
UG (= Unternehmergesellschaft [sometimes called mini-GmbH] = ?entrepreneur company? )
They are the same as a GmbH except they start with basically nothing and then keep profits until they reach at least 25,000€ capital.

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If you have to do a build out for the store, buy used equipment, never new! There’s lots out there. In the build out,save everywhere. Reclaimed supplies, found objects etc. It adds ambiance and saves costs. Too many in building a restaurant spent far too much on the look and end up dry in actually running the store. You need a nest egg to cover the initial dry periods as you’re building the brand and getting popular. A big point; YOU are an employee too! Pay yourself! It’s too easy to sacrifice to make things easier to pay bills and you’ll find that your own finances become trash. Don’t do it! If your pay is the difference between life and death you’re not doing that well and need to make some changes. Also, communicate with your cousin. It sounds like he’s the money guy and you’re one to make it work. You’re not his slave. Don’t let him dictate you into an unhealthy work place. If you’re not having fun then the place will come crashing down, all your efforts wasted. Make sure he understands that.

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I’m looking for already equipped place. Basically I can’t afford to buy any sort of equipment. I need all to be available. There are places like that, but the rent is representing the fact you have everything done for you.

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This is a key point, don’t skip this step. Once written, review it on a regular basis. Set goals for the business and evaluate your progress and adjust the plan in order to meet your targets. If you’re in business with a partner, some sort of buy-sell agreement also should be in place.

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For sure, even the best of friends can end up mortal enemies when money is involved. Seen it first hand, and it really didn’t help they just said “We’ll figure it out as we go, won’t be a problem”. Today those two would claw each others eyes out if in left alone in the same room.

It’s also a good thing to have, for the sake of when it’s written, one is in a different mind set, goals are different, and if there are ever any issues in between, can refer to what’s written. The buy/sell part is also in the written contract when it comes to forming a corporation, and this one is legally binding, so if one party would be wanting to screw over the other, it’s reasonably straight forward to go through courts and make ones claim.

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Plan -> Do -> Check -> Act

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I would go to whatever you have in area that approximates a Department of Health, or Department of Food Safety, and get all the information you can on regulations. Like here you can not use ketchup/catsup/hot sauce bottles with caps (too hard to clean properly), and food preparation surfaces have to be certain materials, and of course some food equipment, is ok for pre-cook but not post cook. Then you can figure out a TOTAL list of equipment/supplies you’ll need. Then start pricing them. Figure out a lease/rental price. Electricity or gas? Do you need an additional vehicle, or what distributors deliver. (Food distributors can give you a list of what it would take to get started and prices for comparable businesses orders. Beyond that can you get set up with a supplier that can provide you a price on a “start up kit”. You know so many forks, glasses, pots, knives, and cleaning supplies?

I have owned several small businesses and have learned to go ask people in the business and get regulation documents and read them thoroughly ahead of time. Ask for everyones insight, even delivery drivers.

Do you need a food handlers license, a business license, food vendor permits? Is the location zoned properly that allows you to sell food there (Zoning, or Building Dept. of your county/district?) Most local governments want new business and want to succeed, so they compile information for first timers, is there something like a Chamber of Commerce or restaurant owners association?

I have found taxes, fees, permits, and even utilities often seem huge at first but if your business has a good idea, and your in the right location/time (is sure sounds like its the right spot and time for you) that these really are no big deal, governments generally do not want to make it prohibitive business with these things, because they want your continued taxes coming in. Often taxes and even permits can be postponed sometimes up to a year, you just might have to ask for the right form.

Sounds like its time for you to do this. Go for it. Really, you get one life. Do you want to keep eating other peoples shit forever. Just get informed as much as you possible can. People succeed when they refuse to fail. You can do it.

Also it’s always better to buy good used commercial grade equipment/supplies (yes even forks :smile: ) than using new consumer grade. Always use the right tool. Try finding business liquidators for that. Also keep the menu items down as low as possible and as simple as possible. Make those few items the best you can rather than trying to having a full menu, people get confused/discouraged easily by too much choice. Consistency counts, measure everything damn near, makes it easy to adjust when your figuring out your budget. Dial in the cost per serving as close as you can including labor, waste, clean up.

One more thing, insurance, if you need it dont forget it.
Do it!!!

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Not an issue.

Most places state if they already have the necessary documentation done. There are a couple licenses that are pain to obtaining, but once you have them - you are golden. So if the place don’t have alcohol license and food service license I’m not even…

That is his job. He is certified chef. Proper chef. That’s his thing.

Oh I’m working on that.
Slowly I’m gathering contacts and information on those things. It won’t hurt having it even if nothing happens with the restaurant.

I like that - people succeed when they refuse to fail :slight_smile: Thank you.

Oh I have thought about that long and hard. No 200 items menus. There are the local popular stuff, some of my favourite stuff, my guess is he would want some of his favourite stuff as well and we will finish around 50 food items all together.
Weekly specials, because this week they give me a good price on avocado, so I can make avocado week… Avocado salad, guacamole (proper one), bas with avocado puree… All blasted all over the restaurant…
I have all that in my mind. If that works people will come by just to see what the new weekly specials are.

That is so expensive dude … I know it’s good to have but so damn expensive…

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I think you got this! To bad your not here in hawaii, give you all the damn fruits and veggies you want for free. I literally have to use a tractor to push all the excess avocados, coconuts and others into the river so it doesn’t overwhelm the field.

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Y don’t you export? Those things can last a long time…

too much work, import/export can be a chore here. regulations on invasive species. I can only work a few hours a week, recent injury left me disabled. this whole state is covered in food.

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Hm… Sometimes it’s just not worth the effort I guess…

Very sorry to hear that…

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Just talked to my cousin… He told me some stuff, that is changing things drastically…

  1. He is serious about this thing… So that’s a positive.
  2. He have kitchen equipment. The previous restaurant he had - the building wasn’t his, but the equipment was and still is, so basically we have the kitchen equipment.
  3. He wants summer garden. He demands a summer garden…
  4. His goal is to open during the autumn season. We will push through the generally slow winter through the force of “a new restaurant”, and then during the summer we will use the eventual garden…

I really need to get to check different locations…

At least now I have some directions as to what to look for…

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Big red flag. I wouldn’t go into business with someone especially family I wasn’t that close with. Something to think about.

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So I guess that counts out the place by the schools?

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The place by the school doesn’t have a kitchen. It’s a bar…

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It’s a business.
The fact he is my cousin only means I can speak freely to him. Other than that - it’s a business. I will work for him the way I would for anyone.
If the things don’t work out well - I will not really wait for the bug fallout… I will just leave.

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Small update:
I may have just found the perfect place. Yes, it’s a bit too early for that, since the plan is to open late summer and somebody may take it, but if it stays free by then, it’s a large 200m2 restaurant with an outside garden in city center, meters away from the city football stadium and the sports arena where a recent World (or European, not sure) volleyball championship took place. It’s very busy location constantly full of people.

I will take a look at it at some point during the summer. We wont open even if I check it today, so I prefer not to regret missing on it…

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I would never go into business with someone close to me. I know of many cases where husband and wife or siblings have quarreled in doing business, which has had disastrous results.

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