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Running a Restaurant/P&L, Capital Budget, Opening

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Question
Hello,

I am putting together my own business plan. I have reached the portion where in need to do the financials. There are so many sites out there that have templates regarding how the information should be entered but I cant find anything to help with standard amounts for NYC. For an example..telephone, carting, cleaning & office supplies, con ed...how does one not currently in a restaurant know what these numbers can possible estimate to be. Is there a standard list of what utilities and/or supplies should be for a year in NYC. Any help would be amazing. Thank you

Answer
Congratulations for working on a business plan for opening a restaurant. Many people try to open and operate a restaurant without a clue of what capital and assets they need.

Your question is difficult for many reasons. There are no standards for any major metropolitan area. Each is slightly different. Your business is different. How many square feet? How many people? What type of equipment? What type of cuisine? Each of these questions affect the answers to your questions.

You have two choices.

1) Do more research by calling the utility companies, office supply, food distributors and all other purveyors you plan to use. Discuss your plan and ask their assistance. It will be time consuming, but you may learn a lot and your results will be accurate.
2) Your other option is to use industry percentages (averages) for each of the categories in doubt. For instance utilities will be in the 4 to 5 percent of revenue range. Office supplies and non-food related paper goods will be about 1 percent. Obviously, there could be varying reasons to increase or decrease a particular category based on your concept.

Remember that a business plan is a working document. It will change based on real world changes and differences as you get closer to opening your restaurant.

Take your time. This is a valuable step and can increase your odds of surviving. Let me know if I can be of more assistance.  

Running a Restaurant

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Larry Edger

Expertise

Multi concept restaurant owner. Just finished fourth restaurant. Can answer questions on all aspects of running, owning and starting a restaurant, cafe or hospitality operation. Enjoy helping other restaurant owners. Most "consultants" have no idea what a restaurant operator needs to be successful. Let me know if I can assist you finding answers to your operating and marketing questions. Accomplished chef and menu development a particular talent for upscale casual restaurants.

Experience

Owner and operator of several multi-concept restaurants. Successful entrepreneur, started businesses from scratch on many occasions. Know the problems with planning and running a restaurant. Always independent operations and not the product of chain restaurants.

Publications
As an author of The Restaurant Ebook, A Guide to Keeping Your Dream Off the Chopping Block, I have helped hundreds of restaurateurs to market and run a better restaurant.For more information visit http://www.therestaurantebook.com or http://www.onawait.com

Education/Credentials
Attended Ohio State University and have gone through many extended classes relating to marketing and management. Written many courses and training manuals.
Currently building fourth restaurant and created a blog to keep track of daily activities. Readers can see the various steps from leasing to opening. Visit http://www.startingarestaurantblog.com

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