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Catering, Food Handling and Awareness *OnTopic* Forum to educate us on safe food handling. Not specifically for Catering or competition but overall health and keeping our families safe too.


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Old 06-21-2018, 03:54 PM   #1
work2play2
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Default Money in a bbq resteraunt

I love business. I've owned several small businesses and enjoy numbers. Since being obsessed with bbq I looked at the numbers for a bbq resteraunt. It doesn't seem very profitable. Food costs are crazy and then you have the store front and everything else that goes with it. Now I'm not talking catering but a resteraunt. I make around 150-170k a yr with 2 jobs depending on how good a year it is. Is it possible that a resteraunt can make that much Money?
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Old 06-21-2018, 06:21 PM   #2
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NO. Even if you work 80 yours a week and only employ your wife & kids you will be lucky to make above min wage per hour. I've had several FANS offered to set me up. But when we went over the numbers and added on the return on their investment they expected it doesn't add up. Kind of like selling $3.50 a bushel corn that cost you $3.75 to raise before you get paid.
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Old 06-21-2018, 07:11 PM   #3
dadsr4
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Read this.
Open a BBQ restaurant, they said. It will be fun, they said

https://www.bbq-brethren.com/forum/s...d.php?t=161123
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Old 06-22-2018, 08:24 AM   #4
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Quote:
Originally Posted by poorolddan View Post
NO. Even if you work 80 yours a week and only employ your wife & kids you will be lucky to make above min wage per hour. I've had several FANS offered to set me up. But when we went over the numbers and added on the return on their investment they expected it doesn't add up. Kind of like selling $3.50 a bushel corn that cost you $3.75 to raise before you get paid.
While that may be the case for some/many restaurant startups, the more popular barbecue restaurants here in KC are literally money printing machines....millions and millions of dollars in revenue.
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Old 06-22-2018, 08:39 AM   #5
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If you're making $150k a year, don't open a restaurant. Enjoy your life! LoL
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Old 06-22-2018, 12:46 PM   #6
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If you're opening a restaurant without catering you are losing a ton of revenue that allows much better cost control. You know pretty much exactly how much food you will need. A successful restaurant can help drive catering sales.
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Old 06-22-2018, 02:04 PM   #7
ynotfehc
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Yes it is possible. Is it going to happen right away? Not a chance! Profit margins for a restaurant range between 5 and 20%.
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Old 06-22-2018, 02:29 PM   #8
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Quote:
Originally Posted by Cook View Post
If you're making $150k a year, don't open a restaurant. Enjoy your life! LoL
^^THIS. Sure, you can do well in the restaurant biz, but it takes a TON of work. That thread linked to earlier is a great read!! Cured me of ever wanting to open a BBQ joint hahaha.
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Old 06-22-2018, 04:08 PM   #9
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If I could knock 30 years off my age I'd go for it,I could work 20 hrs a day back then and that's what it takes is a lot of man hrs
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Old 06-22-2018, 06:40 PM   #10
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I live out-of-state and commute to work in our family restaurant every week. I typically do 52+ hours in two full & two half days. An owner needs to be there every day, and preferably every hour. No one will look after the shop like a person who is financially invested. Foodservice is unlike any other business out there.
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Old 06-22-2018, 06:59 PM   #11
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Quote:
Originally Posted by Jousting Pigs View Post
If you're opening a restaurant without catering you are losing a ton of revenue that allows much better cost control. You know pretty much exactly how much food you will need. A successful restaurant can help drive catering sales.
Roger That! Here's what I call it: Vend for Show. Cater for Dough!
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Old 06-23-2018, 09:31 AM   #12
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I believe one old saying is "the way to make a million in food service is to start with 2 million" Also, unless a good franchise set up, 98% will be closed within the first year.
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Old 06-24-2018, 07:47 PM   #13
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According to Forbes, only 17% fail in the first year. No worse than any other business start up.
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