Opening a restaurant is a dream for several people with entrepreneurial ambitions. However, only a handful of them eventually starts a restaurant, and a even few turns successful as more than 80% of restaurants are known to get closed within a year of their operation. The difference is in the way a restaurant is run and manages its working capital.
Here are 6 helpful tips for future restaurant owners:
- Keep doing Local Marketing
Continuing local marketing is a very critical requirement which a lot of small restaurants ignore, as people are more and more searching for restaurants on their smartphones, the restaurants need to ensure they show up in those searches. Thus listing on top search engines, using dedicated resources for optimising search results, running local search ads, listing on local listing platforms and listing and promoting on food delivery platforms is a must. However, a lot of restaurants stop investing during lean season which results in a downwards sales spiral. Opting for business loans based on business transactions helps restaurants to keep doing local marketing and driving footfalls.
- Refresh Menu and Ambience Regularly
Customers like to visit restaurants that offer a great experience and look inviting to them. Also, it is important for these restaurants to keep refreshing the Menu and ambiance regularly. However, refreshing the menu and investing in ambiance is a cost and might also involve using the services of restaurant consultants. The best restaurants opt for loans for restaurants from digital lenders like Indifi who offer business loans on the basis of their transactions with the food delivery apps.
- Attract Reviews
Customer Reviews are today a very important factor which potential customers go through before visiting a new restaurant. While good reviews drive sales, the bad reviews scare the potential customers away. Thus, a young restaurant needs to request all customers to post reviews on platforms like search engines and top delivery apps and food discovery platforms. Also, the service staff needs to be trained to request for good reviews from all customers. Giving the customers a free drink or dessert for a review might get the magic done. Also the restaurants need to invest in a reputation management tool to be able to track all reviews and feedbacks.
- Open Cloud Kitchens
It is not just the walk-in customer today that drive the revenues for a restaurant. Gradually, more orders are today coming for the food delivery at home or offices and in order to keep the prices for food delivery lower and also operate at a economic scale, it is important to open cloud kitchens that offer a cost effective presence as cloud kitchens can be a basic kitchen setup at a comparatively cheaper rent locations and also one needs not invest in ambience and seating arrangements. Cloud Kitchen offers a restaurant the opportunity to invest in promoting themselves on food delivery apps and stay competitive with lower costs than a regular restaurant. The digital lenders like Indifi offer restaurant business loans to help restaurants achieve this goal.
- Upgrade Kitchen Equipments
In this age of social media, people look for new food items and experimental foods that not only taste good but also look good on social networking platforms. Thus, it is important for restaurants to invest in the latest kitchen equipment that can help them present new food items that are in rave across the globe and their customers will love to talk about and share, this gets them great reviews and eventually more customers.
- Switch to Digital Lenders
While the traditional lenders ask for collaterals to offer business loans and since the smallest restaurants operate on a rented premise, it becomes almost impossible for them to go for loans for restaurants to be able to invest in the above-mentioned use cases. This is where the digital lenders come in handy as they offer loans on the basis of the business transactions of the restaurants, these can be basis the transactions with the food delivery apps or the customer transactions against the card swipe machines or payment wallets. Also, the business loans offered by digital lenders like Indifi have flexible repayment options that are connected with the transactions ensuring they don’t have to bother about the regular EMIs