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5 Key Principles of Restaurant Marketing

Thursday, 24 August 2017 2:52:57 pm Australia/Sydney

1. Marketing online has to pay for itself (it’s never an expense, it’s an investment) 

The whole idea of a “marketing budget” is wrong. Most restaurants define it as a percentage of their sales. Wrong, wrong, wrong! 

If you had a reliable & proven way of investing $20 & getting back $30, how many of these $20 food bills would you invest? I hope you answered, “All the $20 bills I could get my h&s on. & also all the $20 bills I could borrow!” 

Good! Then why would you cap your marketing at some - largely arbitrary - number? 

A-ha! You probably do that because you are NOT sure if a $20 bill invested in your restaurant marketing can reliably & predictably bring you back $30 or $15 or any money at all and if that’s the case, you need to change the way you approach restaurant marketing radically. There is always a way to measure & know how much money each marketing campaign is generating for you. 

2. If it isn’t broken, break it (to give a way to the new & better) 

In many locales, we see restaurant chains move in & it is believed that this happens because the chains have more money in their corporate offers & because they get better discounts from the distributors. 

These are largely not true. On both counts (I’ll leave this at that now & cover this topic in the future articles.) 

However, the main reason chains are more successful than the independent restaurant is because they always break what’s not broken. They regularly test new menu items, tweak their pricing, adjust their internal processes & marketing campaigns. & once they find something that works extremely well in one locale, they roll it out to all of the other stores. 

Most independents we know change. Aside from new paint on the walls every 5-7 years & the new menu covers every 3-5 years, most independent restaurants are frozen in time. Which brings us to the next point.

3. “The world doesn’t need another restaurant” (& it’s your job to prove them wrong!) 

I first heard this phrase from Bill Marvin (a.k.a. The Restaurant Doctor). Maybe he’s the one who coined it, or maybe he’s heard from someone else, but this is the one that you need to make your mantra. 

I have two huge questions for you: 

  • What makes your restaurant unique and extraordinary? 
  • Why should I, a customer, come to your restaurant versus all the other options I have (including doing nothing)? 

If you can’t answer these questions well, the world certainly can do without YOUR restaurant. Think about it. 

4. Restaurant business isn't easy (however it can be simple if you follow the right formula) 

Do you have an operations manual? If not, why not? How often do you & your staff refer to it? 

For how long can you afford not to be AT your restaurant? Is that one day? or A week? What about a month? 

If your business depends on your being there all the time, you don’t have a business. That simple. What you have is a job. & nobody wants to buy a job, especially yours.  

5. The biggest asset in business is relationships (& it’s better than cash because it can be turned into cash over & over again) 

You may be in love with the commercial kitchen equipment you have in the kitchen. Or with the building you’re in. Or with all the restaurant furniture & fixtures that you have purchased & installed. Or maybe you love your recipe book & the beautiful menus that your graphics designer created for you. 

This is all good. However, all that has very little to do with the real value of your business. 

What you need to be in love with are your customers. You also need to be a freak about maintaining an up-to-date list with all their contact information as well as birthdays & other important dates in their lives. 

It’s the new era in the restaurant business, the era of Relationship Marketing. We have arrived. If you have been slow in getting on the bandwagon, you need to do that now. 

Comments | Posted By F.E.D

Key Numbers to Watch in your Restaurant Business

Thursday, 24 August 2017 2:32:45 pm Australia/Sydney

Bain Marie

To build and maintain a successful restaurant business, you need to constantly keep your thumb on its pulse and know how fast its heart is beating. You need to be checking the key numbers. 

Obviously, your cash registers and your accounting system will provide you with some very important information. That’s the good news. The bad news is, knowing how you did last week or last month may not be a very good indicator of where your restaurant sales will be next week or next month. 

Any type of financial data that you can get from the accounting system is known as “lagging” indicators. These indicators tell you what happened. They won’t tell you much about what is about to happen. However, they are still important. 

Here are the most important numbers you need to monitor: 

  • Weekly sales, total per week/day and also by the hour (you can then create a simple Excel chart and see weekly and daily peaks and valley and also be able to identify over-staffing & capacity issues) 
  • Weekly profit (Many restaurant owners are mistaken “gross” for “net” and assume that the grosser you have the more money you make. Well, as the song goes, “it ain’t necessarily so.”) 
  • Weekly payroll 
  • Product group contributions (the percentages of your total sales attributed to drinks, entrees, appetizers, and desserts)

If you manage your restaurant business by relying just on the lagging indicators, you could be looking for trouble. It’s akin to driving a car by looking in the rear mirror all the time.  

If you want to have a way of predicting how your restaurant business is going to do in the near future, you need to implement and track a few “leading” indicators. 

  • The total number of VIP Club members 
  • The number of new VIP Club members added to the list over the last period 
  • The number of Birthday Club members on the list 
  • The number of catering sales calls made (if you do catering) 

Some of the leading indicators are much harder to measure. They tend to be “soft” and qualitative, rather than “hard” and quantitative like the lagging indicators. After all, how do you measure the morale of your staff and how much they enjoy working at your restaurant? How can you confidently know that this week they were greeting guests more cheerfully than a week ago? 

Well, these are certainly harder but not impossible to measure: 

  • You can use comment cards and evaluation forms that customers fill out at the request of your staff. 
  • You can hire a mystery shopping company or — better yet — turn you best customers into mystery shoppers. 
  • You can talk to the staff regularly and fill out a simple form at the end of the day, and then tabulate the results weekly and monthly. 

There you have it. 

Now, let’s get to work and start keeping track of the important things in your business. 

The list of indicators above is very short. However, if you implement just half of these indicators in your restaurant business and consistently track them, you will be in the top 5% of the most successful restaurants. 

Comments | Posted By F.E.D

Commercial Kitchen Designing

Monday, 21 August 2017 11:55:12 am Australia/Sydney

Commercial Kitchen Designing

commercial kitchen design

Designing your kitchen inside a restaurant you will consider opening is a must if you want to have a successful business. There are many different companies that offer design and consulting services you should consider before signing off on any blueprints to make your project finalized. Many restaurant owners who fail to plan, plan to fail. 

Don't make the mistake of trying to save money in the short-term, only to cause yourself more headaches in the long run. Restaurant equipment is one of the biggest expenses that food service industry owners incur, so you want to make sure it is done properly and professionally. 

Spent some time now designing your restaurant properly and consider what types of equipment you will need. 

Commercial Kitchen Design, Consulting and Planning For Your Restaurant 

When it comes to commercial kitchen design, you will need to talk with some consultants or get some commercial kitchen design software that allows you to see your kitchen in a 3-d model. It takes the correct engineering and planning for an industrial kitchen design to be carried out efficiently, allowing restaurant employees to work efficiently and serve the public. You will need the proper commercial kitchen layout and professional kitchen equipment to go together to make a successful restaurant business. 

There are various commercial kitchen designers that you can do business with to you design the interior of your restaurant kitchen, allowing all of your equipment and supplies to have its own place. The proper consulting and design plan would need to include many different variables such as plumbing and ventilation plans, along with the sanitary and health codes for your local DHEC. Going the most cost-effective route, while adhering to all health codes, will allow you the best chance to succeed in the food service industry. 

What Exactly Will You Need For Your Commercial Kitchen? 

Depending on if you’re opening a full-service restaurant or a small deli food service facility, you will have various equipment plans and custom designs for your kitchen. Your preliminary design that you have your kitchen designer work in the form of a blueprint should possibly contain the following pieces of restaurant equipment;  

  1. You must first make plans for your ventilation. You commercial kitchen hood design with being one of the most important pieces of planning your project correctly so everything else flows smoothly. 
  2. You will need commercial refrigeration equipment and freezer equipment, such as walk-in freezers and walk-in coolers. Many individuals also have smile ice bins and ice makers as part of a back bar storage that will allow quick and easy access to ice. This will save lots of time between going back and forth to huge commercial ice machines and create a smooth flowing work environment for employees. 
  3. There is a variety of refrigerators that you can choose. You can also choose to reach in refrigerators or roll in refrigerators if you opening a bar. 
  4. Your plumbing design and electrical blueprints will be essential to give all of your kitchen equipment such as stoves and ice machines the proper electricity they require to function. Without water and electricity, you cannot have a restaurant business. 
  5. You may also consider storage cabinets in your commercial kitchen design. Storing a variety of food supplies, power supplies, and other accessories is a must in the restaurant business. 
  6. If you’re opening a bar, you can find a variety of used bar equipment to help you along the way. Some items you should consider shopping for our bottle coolers, beer coolers, glass fosters for a cold beer, and other room for blenders to make exotic drinks. 
  7. If you’re opening a deli, you should consider room for all of your meats, vegetables, and cheeses. You will possibly need bread slicer, meat saws for cutting cold cuts and cheese, and hand sinks to adhere to all health codes. 
  8. You will need plenty of counter space for your food operation area. Food preparation normally begins 3 to 6 hours before restaurants of the, so you’ll need to make sure you have all food processors and anything else necessary to make your restaurant business. 

Should You Hire A Consultant or Do-It-Yourself? 

A consultant can help out with our commercial cooking equipment that you will need in this can be the most cost-effective route in the long term. There are many benefits to hiring a consulting and design service that offers a professional service to restaurant owners. Do not take your restaurant kitchen design likely, as your food service facility design needs to be top notch and 100% efficient. This is why you should consider hiring a professional company that offers to consult foodservice services. 

If you’re considering doing it yourself, it is recommended to talk to current restaurant owners and see if they can give you some tips to help you with your commercial kitchen design. Doing it yourself is not always the best route to go, but it may be the cheapest way to do your commercial kitchen. 

 

Comments | Posted By F.E.D

What they brew?

Friday, 18 August 2017 12:24:15 pm Australia/Sydney

beer dispenser

Beer can be defined as a low-alcohol beverage produced from the fermentation of sugars and starch from malted grain and water. This is a bare-bones definition of one of mankind's oldest processed foods.

Commercial brewing is at least 5,000 years old, dating back to the earliest days of Egypt and Sumeria. The Code of Hammurabi in Babylon, in addition to prescribing an eye for an eye as a punishment for wrong-doing, also set down strict quality standards for beer sold in taverns and food shops.

The techniques of brewing have been refined over the millennia, but the basic process has changed relatively little. Sprouted and dried grain ("malted" grain) is ground and mixed with hot water to extract the sugars and flavor elements from the grain "mash." This liquid extract, called "wort," is then boiled ("brewed") with the addition of such flavoring agents (such as hops) as the brewer may choose to add. The wort is then frozen, yeast is added, and it is allowed to ferment.

Yeast is a one-celled microorganism that feeds on sugar and converts it to alcohol and carbon dioxide. When the fermentation is complete, the resulting product is beer. The beer is then aged for a period varying from one week to three months.

What Goes Into Beer?

The four basic ingredients of beer are the following;

1. Malt - Grain that has been allowed to start sprouting, which converts the starch in the kernel into fermentable sugars. The grain is then quickly dried to stop root growth. Roasting the dried malt like coffee roasting creates various colored beers. Barley, & to a lesser extent wheat malt, are the simply two malted grain types used in new beer.

2. Water - The purity and trace minerals in brewing water influence the final taste of the beer.

3. Hops - Dried pine cone flowers from the hop vine. Bitter oils in the hop blossom contribute the "bite" in the taste of beer and balance against the sweetness of the malt sugars.

4. Yeast - A single-celled plant that feeds on the malt sugars during fermentation and converts them to alcohol and carbon dioxide.

In some European countries, such as Germany and Norway, brewers are mandated by law to use only these ingredients. The Bavarian Pure Beer Code of 1516, for example, is the oldest pure food law in the world that is still in force.

In most countries, including the United States, corners are frequently cut to speed up production and reduce costs. Cheaper unmalted grains, such as corn & rice, and straight sugars such as dextrose & sucrose ("adjuncts") are substituted for a percentage of the malted barley. Hop blossoms are replaced with treated hop extracts. An assortment of additives & preservatives is utilized to give the resulting beer a prolonged shelf life or other desired characteristics.

Brewers in microbrewers, including brewpubs, generally reject these shortcuts and compromises. Most microbreweries in the United States and Canada brew only "all-malt" beers that are free of additives. The price differential between an all-malt beer & an "adjunct" beer is minor and is not a significant consideration at the brewpub production level. Our brewpub will follow the strict quality standards of the Bavarian Beer Purity Code.

Nutritionists classify beer as a food. The ingredients that go into beer are necessary. A well-made, good quality beer contains carbohydrates, minerals, and vitamins, particularly from the B Complex group. A brewing manual from the 1600s once described the beer as "liquid bread." Real beer is indeed that.

If you looking for beer dispensing equipment for your hospitality business, please Call Us: 13000 659 409 (Federal Hospitality Equipment) one of our friendly consultants will be assisting you.

Comments | Posted By F.E.D

Restaurant Bar Stools

Wednesday, 2 August 2017 3:40:41 pm Australia/Sydney

bar stool

Restaurant Bar Stools

One of the most varied types of restaurant bar stools is those that fold. These can be found in numerous colours and designs. In fact, regardless of what your taste is, you will be able to find a lot of different types of restaurant bar stools to choose from. However, it is important to keep in mind your restaurant’s décor whenever you are purchasing them.

Deciding Upon The Right Restaurant Bar Stools

Having folding restaurant bar stools in your restaurant will provide your visitors with a good ambience.  You never know when you will need them but just knowing that they are there should put your mind at ease.  Such bar stools will provide you with a close ambience for those special events too.

The Way That Restaurant Bar stools Are Designed

Restaurant bar stools have a simple design that will fit well within any restaurant environment. They can be used for different purposes throughout your restaurant.  Even if your restaurant has a small outdoor courtyard, you can use your restaurant bar stools there as well. This is because they are lightweight, portable, and convenient to use.  You may even find that your employees will use them as a step stool whenever they want to reach something that is up on a high shelf.

Folding Restaurant Bar Stools

Folding restaurant bar stools are very convenient, as you can see, but this is especially true if you have a small restaurant. Whenever they are not being used, you can easily fold them up and store them away to help save space. Even if you have a meeting room or banquet hall where a lot of people are going to be gathered, you will find these folding restaurant bar stools comfortable and convenient to use. This is especially true if you cannot get a good head count before the meeting takes place. You will still be able to be organized, even if some extra people show up unexpectedly.

Where To Purchase Restaurant Bar Stools

Whenever you are ready to purchase restaurant bar stools, you can simply visit www.foodequipment.com.au online and search for them or Call Federal hospitality Equipment (F.E.D) at 1300 659 409. We have the F.E.D showroom in every state, please visit us so you can find best-suited bar stools for your restaurant needs. However, online stores also have their benefits such as being able to provide you with a lot more options to choose from and allowing you to comparison shop so that you can choose your bar stools based on the design and price that best fits your needs.

Knife Sharpeners

Wednesday, 2 August 2017 3:29:17 pm Australia/Sydney

bain marie

Knife Sharpeners

Often, commercial kitchen cutlery or knives are sometimes used to the point of bluntness, and they're never sharpened after constant usage. In fact, a knife ought to be occasionally sharpened so that it maintains its edge and likewise increases the longevity of the cutlery being used. Under are some benefits to proudly owning knowledgeable knife sharpener:

Save money - By adequately sustaining the blades in your restaurant kitchen, you will be able to keep your kitchen cutlery and avoid wasting money on buying new knives by restoring the edge on the previous thus restoring it to model new and adding some extra years to your knives. That is very true with regards to quality knives which could be an investment to maintain.

No skill necessary - except from studying the occasional manual or two at the start, most branded professional knife sharpeners come with directions included in the package. The instructions will contain where to slide your knife through and guarantee razor sharpness to your knives. Grab the best knife sharpener from our collection!

Understanding knife sharpeners mean understanding bevels – the shape and slope of the sharpened blade edge.

Most knives have double sided bevels: both sides of the knife are sharpened the same way. Chisel grind single sided bevels (one side of the knife is flat, has no bevel) are rare. The angle of the slope will manage the sharpness and strength of the knife edge. Most Western (American and European) kitchen knives are sharpened at 20 to 25 degrees. Japanese or Asian knives typically use a sharper 15-degree angle. They cut better, but the edge blunts more promptly and needs to be sharpened more often. Many manufacturers will sell both types of sharpeners.

Single Side and Double Side Sharpeners

The simplest designs sharpen both sides at the same time, using interlocking grinding wheels. The knife is placed between the vertical wheels, cutting edge down, and slowly pulled through as an electric motor turns the wheels. Other sharpeners will sharpen only one side of the knife at a time. There are two sharpening slots, one for each side of the knife.

Multi-stage Knife Sharpeners

More innovated knife sharpeners have multiple stages or slots:

  • The first stage has a coarse stone that quickly shapes the primary knife bevel. It is used for very blunt knives and will leave visible scratch marks on the bevel. 
  • The second stage has a medium stone that removes the scratches created by the first stage, for a smoother and sharper edge. The level now looks smooth but dull grey. Some sharpeners stop here.
  • A few sharpeners have a third finishing, polishing, buffing or stropping stage. Very fine stones, or plastic disks, polish the bevel to a mirror finish and create a razor-sharp cutting edge.

Some sharpeners increase the grind angle at each stage, creating a roughly convex bevel. The side is stronger, but the following steps don't cover up all the scratches from the first stage, so the cosmetic finish isn't as good. Single-stage sharpeners are equal to the second stage, using medium grit stones for shaping the bevel and creating the final cutting edge. For practical purposes, they can work just as well as multi-stage sharpeners.

Using your knife sharpener can save everyone a bunch of your restaurant cash because you may no longer need to send your blades out for knife sharpening. No matter what kind of knives or blades you use on an everyday basis, you will find a sharpening option that will enable you to sharpen them yourself.

In any case, it is a sure thing that keeping your kitchen knives sharp will save you a lot of energy and effort, will make your cooking experience much nicer and easier and that keeping the knives in good condition will make sure you will be able to use them for many more years to come. The one more thing you need to know about sharp knives is the fact that a sharp knife is also a cleaner knife, it might sound like a detail, but sometimes you need to make sure your knives are sharp and clean.

Comments | Posted in Catering Equipment By F.E.D

Know more about Display Fridge & Cake Display fridges

Friday, 28 July 2017 10:54:33 am Australia/Sydney

Know more about Display fridges & Cake fridges

cake display

These days, we all enjoy the luxury and convenience of Display and cake fridges for our food so that it keeps longer. But what if you want to store frozen food in bulk, perhaps for a large family, or you simply need greater storage capacity? Then you will need to look at the various types of freezer options that are currently available.

Type of display & cake fridges

The two most popular types of freezer widely available for commercial use today are Display and cake fridges. So what are the differences between these

Display and cake fridges freezer types?

What are their advantages and disadvantages? 

The first thing you will notice is that Display and cake fridges stand upright while chest freezers are oriented horizontally. These means that they will require more floor space. For this reason, they are usually placed in a garage or utility room.

Display and cake fridges can usually be placed with the rest of your kitchen units and are likely to be the better choice when space is at a premium. Their upright orientation also means that upright freezers can be more convenient regarding sorting food items into different compartments so that meat can be kept separate from vegetables for example. This kind of separation is not normally possible with chest freezers so it can be more difficult to organize your supplies effectively.

However, Display and cake fridges are cheaper to buy than upright freezers, and you will certainly get more storage capacity for the equivalent price. If you have sufficient space and are looking to save money, then a Display and cake fridges may be your best option. You should carefully weigh up the pros and cons and decide for yourself which is the best freezer type for your particular circumstances.

Additional Features

There are several extra features that you might want to look out for when considering Display and cake fridges for sale.

Frost-free freezers save you the chore of defrosting your freezer at regular intervals because they prevent the freezer from icing up.

Some models feature auto fast freeze, which is a safety measure that comes into play when the temperature in the freezer gets too high. It will automatically turn off when the food is properly frozen again.

Energy Efficiency and the Environment

Display and cake fridges are among the most energy-efficient of kitchen appliances. The reason for this is that cold air tends to sink and stay at the bottom of the freezer chest. This means that less cold air will be lost when you open your chest freezer lid compared to when you open the door to a conventional upright fridge or freezer. Therefore they need to consume less power and can maintain low temperatures more efficiently. This can be a great advantage if an unexpected power cut should occur because your food items will stay frozen for longer.

When you are looking for a cold unit , or considering purchasing any other kind of refrigeration unit, such as fridge freezers, table top freezer, Australian style fridge freezers or even if you are looking at commercial Display and cake fridges refrigeration, never buy appliances which release chlorofluorocarbons (CFC gases) which are potentially damaging to the ozone layer. Similarly, try to avoid HFCs (hydro fluorocarbons) which may help to accelerate global warming. Always look for the Energy Star seal to ensure that your new freezer is efficient, energy saving and environmentally friendly.

The energy efficiency of freezers is rated on a scale that ranges from A++ to G. Appliances with an A++ rating are the most energy-efficient and are therefore the cheapest to run. G-rated appliances are the least efficient and should be avoided.

Choosing A New Display and cake fridges

Here is a summary of the points you should bear in mind when deciding whether to buy a Display and cake fridges refrigeration unit:

  • How much space do you have? If you have limited space, a compact Display and cake fridges freezer may be more appropriate than a chest freezer.
  • Do you need to store large amounts of food in your freezer? Display and cake fridges have much greater capacity than an upright freezer that you could buy at an equivalent price.
  • Do you want extra features such as frost-free or auto fast freeze?
  • Is your new freezer energy-efficient and environmentally friendly?
Comments | Posted By F.E.D

Want to open a restaurant? Think about these things first!

Thursday, 27 July 2017 11:02:14 am Australia/Sydney

So, You Want To Open a Restaurant? Think About These Things First!

By the third year of operation, 50% of new restaurants have closed. Consider the following seven issues very carefully before you jump into the shark infested waters of restaurant ownership. Opening a restaurant is not an idea you want to enter into without thinking about these "real world" topics. I've created two original restaurant concepts from scratch. I can save you a lot of heartache by thinking about these things that are not talked about in a traditional business plan.

Why Do You Want To Open a Restaurant?

Are you sure about this?

I have been in the restaurant industry for 30 years. I researched and thought I knew what I was doing. Open the doors, and people would rush the place! I would be sold out every night and need an armored truck to take the cash to the bank. I was so wrong! My first restaurant struggled as most restaurants do.

Even when friends ask me to consult on new restaurant concepts, I talk to them about the very same things I am going to discuss with you.

Why do you want to open a restaurant?

Think it will be all fun and money? Think again. You can make great money in the restaurant business if you set it up correctly.

You have a great recipe for meatloaf that everyone asks you for the recipe? That's not enough to build a restaurant concept. Trust me; many have tried.

The restaurant industry can be brutal. Long hours and low returns are more common than the high-end lifestyle you see on the Food Network. Wolfgang Puck is a very talented chef. He is even better as a businessman. Done right you can make money and give back to your community in a variety of ways: charity events, supporting farm to table economy, a place for people to celebrate life events and create memories. You need to make sure you are going into this for the right reasons.

Know the Market & How Your Restaurant Fits

Does your market need another pizza place?

Please for the love of all that is holy.....do not open a restaurant just because you like "Greek" food and think it would be cool to open a restaurant so your friends can eat there.This tops my list of "The Stupidest Reasons To Open A Restaurant."

I help restaurant owners turn around operations that might have started on the rocky ground. The main reason people hire me to turn their concept around is that they did not understand the local market and now are drowning in their little nightmare. That means market research and for me to rebrand a concept based on what the market can use and support. Not because they came up with the idea for another general restaurant idea that never stood a chance.

Develop The Menu...First

This is more complicated than people think.

Okay you really, really, really want to be in the restaurant business. You have done market research and have a winning idea. Now comes the most critical part, designing a menu.

Your menu is your single biggest marketing and business development item you will have.

Your design is built around your menu. The number of staff you need is based on your menu. Your marketing and brand identity is all based on your list. Do you think this deserves some careful consideration? More than you realise.

I can write books on the menu brand identity matrix and menu engineering. There are so many variables to consider I strongly suggest you hire an experienced chef to help design a menu. Qualified means they understand these 14 key points to consider when planning a menu (there are about 75, these are the basics)

  1. Your brand.
  2. Your market.
  3. Your location.
  4. Your competition.
  5. Your staff (yes, this matters)
  6. Your vendors.
  7. Your payment cycle with those vendors. (Understanding this means positive cash flow).
  8. Seasonal menu availability. (heirloom tomatoes in February, not a good idea)
  9. Workflow of the kitchen and service.
  10. Menu psychology and structure.
  11. Pricing theory and food cost.
  12. Menu product mixes.
  13. Recipe development.
  14. Staff training.

Also, consider following points as well and put some time and effort here

  • Don't fall In Love With the location
  • You do not want to work for the landlord!
  • The location is critical, don't get me wrong. However, the right place on all levels is the best.

What do you look for?

  • high traffic
  • parking
  • zoning
  • construction issues (electrical, ability to install ventilation hoods and 50 other things)
  • a pleasant landlord
  • rent that is not over 6% of your estimated gross sales!

This is the NUMBER 1 thing that brings down new restaurants! They fell in love with the location so much; they just had to have it and signed a lease for gross rent and cannot make the numbers work. Six of-of ten restaurants that close are due to high rent that does not function within their budget.

Most new restaurants do not even have a budget, sad to say.

It is not a place for your family and friends to drink and eat for free. It is a business, and you are in business to make money.

Here is a fundamental concept you need to understand and plan for before starting a restaurant. All restaurants have a life cycle. Most restaurants are only six years! Very few make it to ten years, and even fewer make it past that....about 5%.

When I do new restaurant consulting, I tell clients to plan on an exit strategy around year 3. Two years to build the business and make it marketable, get a buyer at the peak and then get out before sales decline. Remember this is a business and investment! It is sad to see a restaurant go through the rise and fall of the life cycle, and then the owner tries and sells a restaurant on the decline. It will eat into any profits you had saved and slowly drain your life. I have seen it first hand. It is the worst. 

I was asked to help a family out who had a restaurant for 38 years. They should have sold it back in the 80's when they were at their peak. Now it is a slowly dying restaurant that has drained the family 's entire life saving and that of their daughter as well. I wish I would have known them ten years ago....maybe I could have saved them from the slow fate that is coming.

  • Plan your restaurant's life cycle. I beg you.
  • Hiring Right is Job Number One
  • Who you allow working for you is everything!
  • I hear it all the time, "there are no good employees out there." Really?

If you seriously think that you should go back and ask yourself if you want to open a restaurant. Good employees are drawn to good work atmospheres. That means you, my friend.

Culture flows down not up. You set the standards and mark of excellence for your business. You and you alone have this power; your team will grow that seed from the one you plant. Plant negativity, you'll get negative employees, unhappy customers, and a struggling business. This the second reason I get hired for consulting and coaching...team development.

Hiring in the restaurant business is a lot like mining for gold. You are going to have to dig through a bit of dirt to find the gold nuggets. However, once you find one treat it for what it is...GOLD.

I use behavioral based hiring system I created called The Hire Attitude. It ensures that you get only A & B players on your team. Most traditional interviewing and hiring systems methods get you mostly C & D players. Your restaurant will not survive the first three critical years with a team like that.

Buy Used catering equipment...If You Can?

Only fools buy everything new for a starting restaurant.

Of course, you can have that! Vendors and factory seconds catering equipment sales people are just that....sales people! Do you think they will talk you out of buying 200m plates when you only need 75? No way! They work on commission, and they will sell you all the shiny new objects.

I opened my first restaurant with 80% used the equipment. Used equipment goes from anywhere from 10 cents to 25 cents on the dollar. Maybe you could save that extra cash for operations? I bought a used exhaust hood for around $2000, paid a guy to put some metal on the front and used a sander to create a pattern on it. Underneath that thing was dented and damaged. You never could tell.

Now one thing I do recommend buying new is new commercial refrigeration units. You want the warranty for these. They tend to become your worst nightmare when you buy used. I have even bought used walk-in cooler panels from a local store that had renovated for around $75 dollars a piece. I bought new compressors for them, and they worked perfectly.

They are great used deals out there. Remember cash is king! I rented a big U-Haul and drove around in one day to all the used restaurant equipment places in a day. Having cash on hand got me some sweet deals.

Comments | Posted By F.E.D

Get right commercial catering equipments for your restaurant

Monday, 17 July 2017 1:01:30 pm Australia/Sydney

bain marie

How to select the correct commercial catering equipment for your restaurant

The choice of Catering equipment suitable for a bar, restaurant or coffee is essential to a profitable business. catering equipment must be functional and fits your kitchen design. 

Purchasing restaurant equipment starts with the desire of customers, based on a realistic assessment of what to buy and how much to spend.

On the one hand, the purchase of cheap catering equipment from an unknown brand can help the economy, but on the other hand, purchasing a reputable manufacturer can be more profitable in the long term. Another benefit of buying a product with a famous mark is a guarantee that it will comply with all regulations. Generally, you can also expect better customer service and warranty service.

Catering equipment must operate at full capacity all the time, that is why even the small cafe must use a computer categorised under only commercial specification. For example, a domestic refrigerator, unlike commercial,  is not designed for the constant opening of doors, commercial DishWasher has a fast (1-3 minutes) wash cycles and high output (up to 1000 plates per hour).

While buying catering equipment for your business, it is important to choose the right service design. Do not waste your money on the range of heavy duty, light commercial, but do not buy light commercial equipment for heavy use as well.

We recommend the following important factors, you need to think before buying any types of equipment.

Gas or electric catering equipment

The products for electrical equipment for catering are often cheaper to buy and easy to install.

Gas or LPG catering equipment products are more popular because of their lower operating costs and increased output power. Also don’t waste gas energy to heat and keep warm after use, as the electrical system. However, the gas equipment requires a qualified professional installer that influences the final cost of implementation. 

Warranty and spare parts

Suddenly, a broken machine can lead to loss of much money. To avoid this, always check the warranty details before purchasing. on-site parts and labor free services usually called creeks, change the broken pieces and sending an engineer to the customer, although the return to the base means that the customer must return the broken product for repair. Sometimes it can take much time and money to find a replacement for broken parts, including an imported bit of play. 

We provide the lowest priced Quality Equipment And the best Industry leading 24/7 Service.
- FED

Production Capacity 

Last but not least, it is important to ensure that the chosen model of catering equipment has required specifications as the capacity and output, and is easy to clean. To make the best return on your investment to ensure that the team has acquired the capacity for future business growth.

Comments | Posted By F.E.D

How to start a successful catering business?

Thursday, 13 July 2017 9:54:33 am Australia/Sydney

catering supplies

When you're looking to add more profits to your restaurant business, it only makes sense to try to get more customers to try out your food. But this is tricky when you only have so many tables in your location. To help drum up the business without having to find more tables, you might want to try restaurant business catering. Starting profitable is your first concern.

How to start a restaurant business with a profit

Starting off on the right foot

When you're ready to start a side business of catering, you will want to begin by creating a restaurant business plan as you did for the first start of your business. This will include the menu items that you plan to sell, the prices, and the hours that you will be doing catering services. You will also want to decide whether or not you will be catering large functions like weddings. Try to create as clear a plan as you can for your catering business and then follow that plan.

Slow and steady does it

You will want to make sure that you are starting off slowly with your catering business at first so that it does not interrupt with your regular restaurant responsibilities. Try to slowly take on new orders to see how popular it could be. Talk with your current customers to see what they think about your ideas and then offer coupons should they decide to try your catering business as well. 

When business begins to boom

If you want to make a catering business thrive, you will want to ensure you have more than enough staff to cover the responsibilities of handling the business. Hire more staff than you think is necessary for cooking and delivering the food in addition to your regular team. Of course, if some of your average team wants to work for the catering business in addition to their regular shifts, this is ideal. Also, make sure that you are ordering more than you think is necessary for the catering business so that you're never running out of stock. 

When it becomes a profitable venture

You might want to think of renting additional space to create a location for the catering business alone to use. This will allow your cooks for the catering to have their work areas and for the catering company to have its pick up point if you decide to offer that too.

Catering can be an excellent way to drum up new business for your restaurant as well. Try to advertise as much as you can with your catering delivery vehicle and your menus. Offer discounts to customers that use your catering service and encourage them to tell a friend to try the service too. The more word of mouth that spreads about your restaurant through the catering business, the more likely you are to have more profits in both areas.

The only thing you want to avoid when you are trying to start a catering business is to focus too much or too little attention on either part of your business venture. You need to give both still as much attention as you can so that they are both a success.

FED provides all your catering equipment which are required for your business. Please visit FED website for all available products also you can visit one or our showroom located in Sydney, Melbourne, Brisbane, AdelaidePerth Australia.

Comments | Posted in Catering Equipment By F.E.D

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