Businesses are a cornerstone of localized communities in a challenging socio-economic situation. The restaurant business promotes regional employment development, benefits local farmers as their agricultural products are purchased, and retains customer money in the neighborhood. This is a business plan for a restaurant preparing and serving meals and beverages to clients. Although most meals are prepared and consumed in the establishment, this restaurant additionally provides take-out and food delivery. Furthermore, neighborhood restaurants aspire to assist clients in creating memories and forming reliable relationships with community members. The establishment’s name is Lake Side restaurant, and it will be situated in Washington’s Chelan County.
Company’s Strengths and Weaknesses
Entrepreneurs must constantly scale out and assess their company’s core strengths and shortcomings in comparison to rivals and customer requirements. That is the only approach for business owners to prepare their companies for long-term sustainability. The Lake Side restaurant will have several advantages since it will recruit trustworthy staff, including waiters, who will connect with clients and assist in building consumer allegiance. High priority will be placed on keeping the establishment well-organized and clean to attract the elite and middle class of the community. The restaurant will serve high-quality, one-of-a-kind cuisine with meal and beverage pairings. Furthermore, the selection will be reasonably and appropriately priced to preserve customers and avoid losing money. Despite the strengths, not every consumer feedback will be good, resulting in flaws. Some weaknesses will result from the high noise levels in the locality and overcrowding during peak hours due to the lack of outdoor seating making the establishment uncomfortable.
Opportunity Identification
Operating a restaurant business is a comprehensive endeavor that demands complete focus and attention to detail. Although it appears to be a fascinating undertaking to others, understanding to operate an eatery is a skill that cannot be learned in a few sessions. Local agricultural products continue to suffer as foodstuffs become shipped from foreign nations, and the American agricultural industry faces challenges. The Lake Side restaurant will take advantage of the chance to encourage area food agricultural output and assist farmers in selling their products. Since most people in Chelan County are unemployed, the restaurant has an opportunity to hire locals. Chelan’s local taxes are business-friendly, giving Lake Side a greater chance to grow and succeed.
Financial Resource Analysis
The financial assessment aims to discover whether or not an organization is worthwhile, solvent, efficient, or profitable enough to justify a fiscal venture. It evaluates market measures, puts together financial strategies, creates long-term firm objectives, and locates possible investing companies. The income statement will include sales from foodstuffs, beverages such as wine and beer, and additional operating income at the Lake Side restaurant. Sales from meals are expected to top the list with approximately one hundred and ninety thousand dollars within the first month. Sales from beverages will be around $20,000, making the overall amount from sales in the initial month $210,000. The cost of purchasing agricultural products, drinks, and bar consumables will be approximately $45,000, and the salaries for the staff and management accumulate to $48,000.
Potential Market Trends and Demand
Staying prepared for a changing market is essential for expanding a dining operation. There are several opportunities for restaurant players on the horizon; however, there are certain instances where creativity is required. Lake Side can position itself for development by considering alternate loan and funding options. Contactless technology and meal delivery services may remain significant initiatives in the long term, from gourmet dining to ready meals. Restaurants strive to enhance client interaction while keeping up with changing demands. Technology assists eatery operators in navigating worker scarcity. Diversifying income sources by shifting from main products and venturing out to new segments, such as retail, is significant for several restaurants.
Competitive Analysis
Many areas have a vast number of ventures, each of which is distinctive, and entrance and exit are uncomplicated. Similar restaurants, fast-food establishments, and the cafeteria and frozen-food sectors of local grocery stores are excellent options for each eatery. Since cuisine is the most incredibly potent resource, Lake Side will feature an adequately designed and displayed menu to beat the competition as it may raise a restaurant’s profitability by 15% (Lai et al. 207). Furthermore, the employees must be well-trained to provide outstanding service, including regular briefings with the workforce to reinforce the regulations. Lake Side’s meals will be attractive, flavorful, and consistent to maintain the target customer return. Staying ahead of the rivals will help Lake Side restaurant to an upward demand curve resulting in increased profits.
Marketing Plan
In current times, eatery advertising has gotten significantly revolutionary. Persons in charge of dinner marketing and new revenue generation techniques experience challenging and fascinating situations. Individuals trying to satisfy their hunger now have a perplexing variety of options, and restaurants should compete for customer interest in ways other than location. Lake Side will create a diner’s brand recognition, reflecting the eatery’s character, style of content, and the feelings it wants to evoke in its consumers. Additionally, the establishment will acquire a webpage with increased local identification to aid marketing. Another marketing strategy Lake Side will use is to create a mission statement that expresses the service provider’s purpose. The Lake Side mission statement will lead the dinner’s expansion and presents an optimal perspective for its progress. Workers are encouraged to consider how their activities may affect future restaurant performance and a healthy corporate culture by using mission statements.
Lake Side may obtain excellent outcomes by establishing an account and updating it regularly because of the enormous exposure of digital platforms like Facebook and Instagram. Uploading frequent photos of the weekly specialties and sustaining restaurant promotion will appeal to guests. Lake Side will also provide a routine happy hour or reductions on mid-week meals, which is an effective approach to attract new clients while captivating the regulars. The dinner will include coupons and other giveaways to entice new visitors and keep the regulars intrigued. Email promotion for eateries is still a potent tool, especially in the age of social media, and Lake Side will employ it in the marketing plan.
Staffing Analysis
Among the most critical administration roles is staffing, which is responsible for recruiting, hiring, training, encouraging, and keeping the most exemplary employees for the company’s objectives. The personnel assessment will assist the Lake Side diner in addressing the problem of workforce replacement rate that plagues many organizations. The restaurant will prepare ahead of time for seasonal staff turnover so that recruitment and training can begin sooner. Furthermore, fostering a healthy business culture will reduce employee conflict, thus reducing staff resignation rates. Lake Side will prioritize staff morale to keep a committed and satisfied workforce. Workers will not be regarded as field laborers, but as internal clients, since happy personnel generates loyal consumers.
Lake Side will set strong workplace expectations for its employees since a high-standard environment attracts more experienced employees. Personnel will find a more innovative supporting system that encourages them to try to improve and succeed in their jobs constantly. Additionally, each Lake Side staff member will receive a professional card. Business cards are affordable, and this simple approach will elevate staff morale and increase work satisfaction. After six months of service with Lake Side Dinner, workers will be rewarded with a complimentary lunch for their families. In addition, after a shift, the worker may invite numerous acquaintances in for a half-price dinner. Lake Side will benefit from nutritionists with competence in advertising and public interactions. Professionals in consumer engagement management, for example, employ digital networking technologies and social influencing advertising techniques.
Impact of Economic Trends
An indication of a state’s or nation’s financial health is the economic trend. During the COVID-19 epidemic, the market’s revenue stream was significantly impacted, impeding sales development in the United States. As businesses have closed, hundreds of people have lost their employment. Many countries’ gross domestic product (GDP) has been harmed as a result of disruptions in industry operations. The influence of COVID-19 on the American economy has prompted many restaurants, large or small, to modify their organizational practices. Small firms often experience harsh impacts since they lack a committed safety consultant (Dube et al. 1488). Without one, the proprietor or management is solely responsible for occupational security. Limited-service eatery revenues may grow during a recession because people choose comparatively affordable eating choices such as fast food. Due to higher menu costs, full-service restaurants’ earnings are more susceptible to suffering.
If the country undergoes an economic slump, restaurants should be prepared for the worst. During a recession, restaurants should implement effective measures that will keep the business more straightforward, stronger, and more economically secure in the long run. Lake Side will take the opportunity of the current economic situation and utilize its income to settle any huge debts it may have accumulated. A firm that enters a recession with lower business expenses is ahead of the situation. Diversifying the client base, particularly by attracting the younger demographic, will enable Lake Side to cope with difficult situations. Even when finances are scarce, millennials spend more cash on eating out than they save, which would be a complex pattern to change.
Selection of Type of Business Entity
The legal framework of the restaurant is an essential stage in bringing it up and operating. Lake Side will run its operations as a partnership. Any organization’s activity progress relies on its capability to create partnerships. It is critical to find a suitable collaboration arrangement that satisfies both parties before Lake Side begins operating. Compared to running a limited company, the reduction of bureaucracy is one of the reasons for choosing the partnership formation. Participating in a business partnership instead of functioning as a lone owner provides emotional support and mutual encouragement. Significantly, every partner will add their expertise, talents, experience, and connections to the firm, perhaps giving it a higher opportunity to succeed than each of the participants operating alone.
Works Cited
Dube, Kaitano, et al. “COVID-19 Cripples Global Restaurant and Hospitality Industry.” Current Issues in Tourism, vol. 24, no. 11, 2021, pp. 1487-1490.
Lai, Hao, et al. “Can Restaurant Revenue Management Work with Menu Analysis? Journal of Revenue and Pricing Management, vol. 18, 2019, pp. 204-212.