Whether you’re opening your first full-service restaurant, your second, or your 50th location, it’s important to know what to look for when choosing a new restaurant location. To begin with, you will want to know about your potential competitors and learn about the ease of accessibility for your potential customers. Take a look at some of the elements that you need to help you choose the right location! Let’s begin.
When choosing a space you want to be located somewhere that’s visible. There can be pros and cons of being tucked away on a side street, but your restaurant can ultimately suffer from having too little foot traffic. To determine visibility, look at foot and car traffic patterns. If people are walking by, determine what kind of customers they may be, for example, it is nannies with strollers? Are they older customers or children from a nearby school? Determine if the nearby pedestrians will be part of your target market.
2. Restaurant Size
The space that you end up settling in needs to fit your size requirements. To begin with, for every restaurant seat, you will need about five square feet of kitchen space, so if you have eighty seats in your restaurant, your kitchen will need to have a minimum of 400 square feet of space. The larger the workplace is, the more you reduce your workplace accidents. You’ll want to consider how many customers on average you receive per day or how many you expect to fit in your establishment to make the right choice for your restaurant size.
3. Surrounding Businesses and Competitor Analysis
Once you have considered a particular neighborhood or location for your establishment, you’d want to know what types of restaurants do well in the area. For example, you wouldn’t want to open a pizzeria if there are four in the area already. Certain areas can only support so many of the same type of restaurant. What will distinguish any new restaurant is excellent service and consistency in your quality. You may also want to do some background research on how the area works for surrounding businesses such as how many years other businesses have been around.
Similar to visibility, many restaurants find great success in being located near the main road. Depending on how your customers are traveling to your restaurant, you’d want to know if there is an adequate amount of parking space, make sure there are enough bike racks, or make sure that it is a good amount of walking distance for your customers.
Lastly, the cost is always a bottom-line consideration for any business. If the rent or purchase of the space is more than you’ll bring in each month in profits, then that location may not be suitable for you. However, if you know that you’ll generate business from that location, then you might consider it, but you’ll need to be able to afford the upfront costs before you turn profits. A great location may sometimes not be worth driving your restaurant out of business. So, make sure to gather enough financial information regarding how much you can afford and how much you expect to profit.
If you are thinking about expanding and opening a new location, let us know! We’d love to send you a proposal.