Depending on how much "wiggle room" (financially) you have to be "off" in your numbers, will depend on whether taking "averages" from vastly different regions and then making a "fair" estimate of that average is a big risk or not. I don't know how much money these micro lenders are willing to put up. But if the financing is "tight" then your fair estimates of averages better be dang close or you could very well find yourself leveraged in debt pretty quick or having to deal with some ticked off investors.
I'm not trying to tell you what to do but if it was me. I'd first guage the demand of bbq in my area. This can be attained by looking around. Are there a lot of Q restaurants in Lafayette? If not then why not? What's the "word on the street" by the natives? Do you ever hear people saying "Man, I wish we had more bbq places to pick from 'round here." If there's no demand is your product good enough to create one? Is BBQ a part of the culture around there? There's a lot of non-financial information that in many ways may be more accurate and more reliable than taking averages of markets in totally different regions.
Living in Shreveport for 15 years I know that BBQ is big enough here that we've got numerous Q restaurants and all do very well. Now, you could look at that and say "It sounds like the market is flooded with BBQ restaurants" or you could look at it as "There's obviously a demand so how can I cut in to the demand with my business?"
I'd just be very leery of basing my numbers off of an average that consist of businesses' performance in different regions and markets, then a fair estimate of that average to get a local (which is more specific) estimate.
Originally Posted by jbrodgers
That makes perfectly good sence to me too... however, if I were in Sherevport rather than Lafayette, would I be your competition? Even now... If you bid a catering and I bid the same catering say, halfway between me and you... am Im still in your region, and would I still not be competition?
Therefore, I can take the numbers I greatfully receive...nation wide and come up with a fair
national average, and then tweek that to area specific.
BUT... if you have a way to do that, then Im all ears.