Updated: Oct 12, 2019
A week ago, we were contacted by a lady looking to sell her pizzeria quickly. She had only been open 3-4 months and couldn't afford to keep it any longer.
Our first impression when we saw it was that it was neat, clean and had everything we needed. She explained that she and her uncle had purchased this as a partnership. He wanted to have the best of everything and spent a lot of money that they didn't have coming in yet.
She, on the other hand, wanted to be conservative. They didn't have a plan in place and didn't see eye to eye on how to run the business successfully. She was having to cut her losses and get rid of the business at a drastically reduced price.
Her restaurant dream was gone!
This kind of situation is we extremely don't want to happen with us on our business. To avoid such terrible things I have here some tips to help you.
1) Everyone has a passion for something.
We have a passion for food. Our dream is to own a successful restaurant. We looked at other establishments and said..
"If we owned this place we would do it this way or that way".
"We could do it so much better."
As a beginning restaurant owner, without a plan of action in place, you will be in over your head before you even open your doors. You need to have a budget in place.
Decide on a budget, training, set boundaries and guidelines and marketing strategies all before opening your doors.
Partners need to be on the same page and see things the same way. Do the simple math.
Money will be tight in the beginning, so decisions need to be carefully thought out and made together. What is the break even point? What is it going to take to make a profit? How much profit do I need to run successfully?
By being proactive and setting goals together, you can make it work.
2) You and your partners must have scheduled daily meetings.
These are intentional meetings to discuss issues and make decisions together that affect the business.
My husband and I are partners in our business. Yes, I know him well and see him daily, but we still set aside time to meet and discuss all aspects of our business and discuss ways to improve it.
3) Have a budget for everything!
You and your partners need to agree on what is to be spent in all areas of your business. Decide on the amount, stick to it and enforce it. Again, be proactive, not reactive later.
Emotional decisions are usually poor ones.
Daily check ins and weekly action review is so important. Your daily meeting should have a purpose and a format. Keep notes on everything discussed.
If you don't agree on something, table it and come back to it later after more research has been done. Review sales data from the previous week and look at the coming week for special events or other pressing issues.
Make sure to set up individual meetings with your managers so they understand your vision and goals.
4) Most importantly, always have an exit strategy in place in case things do not work out.
Discuss with your partners how things will be handled if you have to sell.
Through good communication, setting boundaries and making decisions together, you can ensure that your business will have a good chance of success. #overcommunicate!