Restaurant Feasibility Studies and Restaurant Business Plans

  • STEP ONE: THE RESTAURANT FEASIBILITY STUDY.    All restaurant operators agree that the location of their business is the #1 most important thing. You’ve heard the saying; location, location, location, and it’s true. The fist step in validating your possible location is to complete a restaurant feasibility study. What will your new business require relative to: general location, square footage, will it be a ground-up or re-branding of an existing space – commonly referred to as a “second generation” space, and many other considerations as well. In short, what are the particulars of the site and space you’ll need? When we do restaurant feasibility studies, we commonly include the following items:

  1. Concept discussion and overview.
  2. Profile of the trade area
  3. Issues related to traffic including in/out access, traffic patterns, intersections and time of day
  4. Photographs of the trade area
  5. Affordable space requirements available in your desired area
  6. Employment issues that will impact your business
  7. Rent structures for the immediate area
  8. Marketing availability and recommendations
  9. Creation of high-level financial projections to help you make good decisions
  10. Our final recommendations

  • STEP TWO: THE RESTAURANT BUSINESS PLAN.    When it comes to writing a restaurant business plan, you have to decide who will write it for you. Whoever does it needs to know the details about the concept, have a good working knowledge of accepted industry standards/benchmarks and most importantly, who is the plan being written for? An investor? The ownership group? Maybe it’s just you as the stakeholder. Regardless of who will be reading the plan, the bottom line is that a poorly written restaurant business plan will not get you funded nor will it result in a good project. Poorly written means that the financial projections don’t match the narrative resulting in a disconnect for the reader. Poorly written means that the writer did not know about industry standards, industry terminology, or lacked the ability to convey this information. At the end of the day, it’s not about the company that writes your plan, it’s about the PERSON that writes your plan. If your plan looks like the illustration below, we encourage you to give us a call and let’s have a talk. Our process of creating a business plan has been proven over the years to yield superior funding and project results for our clients. The contents of your restaurant business plan will include, at a minimum, the following:

  1. Confidentiality Agreement
  2. Executive Summary
  3. Mission Statement
  4. Background of the project
  5. Highly detailed business overview
  6. Restaurant systems plan
  7. Operations plan
  8. High-level menu
  9. Project assumptions
  10. Full set of financial projections including year one (by month) to year five, year one P&L’s by month, break even, and much more.Our restaurant business plans contain no less than 10 major sections and will provide all of the information you (and your investors) will need to make a “go or no-go” decision.
  11. In addition to receiving an outstanding business plan, you’ll also receive a FREE 10-slide PowerPoint presentation that you can send to investors and other interested parties. This complimentary presentation is yours at no additional cost and it will help you present your business plan in the most professional way possible.


Optional Consideration:  THE FEASIBILITY STUDY/RESTAURANT BUSINESS PLAN

  • If you're in the market for SBA-backed funding, a feasibility study is required (per the SBA checklist). Sure, you can engage us for both a feasibility study and a restaurant business plan, but why do that when a "combo plan" will be faster and less expensive in the long run? We've been crafting these combo plans for years now with outstanding funding results and this might be the best route for your project as well. Give us a call at 720-363-0164 to discuss what you've got in mind.


A feasibility study or a restaurant business plan (or "Combo plan") commonly takes 2-4 weeks to complete from start to finish and we’ll work closely with you to insure that all of the important details are included.