To me, the restaurant Business Model, is the foundation of any good restaurant business, but unfortunately, it is where most seem to fall short. There are myths out there that claim, 60%, 70% some even say up to 90% of restaurants fail within the first year of operation. I have yet to see concrete data on this. Regardless of whether these figures are accurate, any failure is heart-breaking and means someone’s life dream has been shattered. In most cases, this mainly happens because of one or a combination of missteps in the Business Model building blocks.
I cannot tell you how many people I have come across that say “I’m not a numbers person”, “I’m the creative type”. The more recent one I keep hearing is “I am an entrepreneur, I don’t enjoy diving into the detail”. The bad news is, this is a numbers business and your profits lie in the details. The good news is, these numbers are not rocket science and are easily digestible, which is what I will attempt to do in this series of articles that address the Restaurant Business Model.