Alameda County SBDC Berkeley Public Library April 1, 2015

Transcription

1 Successful Restaurants Alameda County SBDC Berkeley Public Library April 1, 2015

2 Thank you to Our Sponsors

3 Who is the SBDC?

4 Partnership SBDCs stimulate sustainable economic prosperity throughout coastal Northern California and the greater San Francisco Bay area. Through world class, transformative business counseling and training, we assist entrepreneurs with solutions for more profitable business management to thrive in today s global market The purpose of the Oakland Metropolitan Chamber of Commerce is to promote commerce and industry, to advance economic growth

5 Our Services Free One-on-One Consulting Free & Low cost Seminars

6 Seminar Examples Access to Capital Starting a Business Social Media Marketing Retailing Starting a Restaurant Starting a Food Business Finding Your Core Customer Website Development Successful Business Plans Meet the Lenders Government Contracts Law for Entrepreneurs Buying a Business Crowdfunding and Alternatives How to Pitch Your Company emarketing Home Based Businesses

7 ACSBDC Consultants Ron Barrett David Bokash FJ Cava Deb Doyle Loan Specialist Web Technology Generalist Branding Ed Duarte Construction David Gray Food and Restaurants Tara Lynn Gray Crowdfunding Carolyn Johnson Business Plans

8 ACSBDC Consultants Vaneese Johnson Marketing Bob Komoto Export/Import Mari Lovalvo Human Resources Paula Mattisonsierrra Retail David Mitroff Social Media Dorian Webb Operations Deagon Williams Food & Restaurants Tom Yeh Strategy

9 How to register for services

10 Technology Initiative o Focuses on qualified technology companies. o Assists with the commercialization of technology and preparing for fund raising o Nofees for its services and takes no ownership interest. o Goal is to help technology companies start, grow and thrive

11 Are we effective? SBDCs are required to track and measure results o New Business Starts o Jobs Created o Jobs Retained o Increases in Sales o New Loans Secured o New Equity Capital Secured

12 ACSBDC Economic Impact 1,490 Companies Counseled 5,118 Seminar Attendees 95 Business Starts 502 Jobs $20.1 MM Revenue Generated $27.6 MM Loans Secured $39.4 MM Equity Invested

13 Please complete the Evaluation form at the end

14 Presentation Download

15 Deagon B Williams o Classically trained chef with 20+ years industry experience. o Culinary Business Strategy- principal o SBDC since 2009 o Specializes in the bringing the business side to culinary ventures and organizations. 15

16 Successful Restaurants What do you want out of this seminar?

17 Successful Restaurants: Concept The most valuable component of a successful restaurant is creating, defining and refining your concept to ensure it works. RP5 Market Opportunity or Creating Market Opportunity The answer to this will determine how you get from A-Z 5 years backwards is a good start

18 Concept Specifics Design Décor Menu/Food Price Location Personnel etc. Financials Marketing How do all the ideal pieces fit? Can you afford to pay people to help you grow this business? Ultimately this becomes your brand.

19 Concept Components If someone were to lend you $100,000 tomorrow towards your business, would you be confident in knowing how to spend it and how to pay it back?

20 Concept: Price Price Research every element until you re sure this is worth devoting your life to: Recipes/Menu, Market and customer profiles, Operations (Front and Back of House systems), Sales goals, Competition, etc.

21 Concept: Product Product Based on research, based on passion? Infrastructure of building. TI, Façade, kitchen upgrades Do you have a designer and GC? Can you afford them now? Understanding and making use of financial statement in the food business

22 Concept: Place Place - Know the Target Market Demographics - Who are your customer types? What do they do, eat, drink, shop, wear and live? How do you reach them, sell to them, engage them and keep them coming back for more?

23 Concept: Promotion Promotion Is there a way to begin to create promotional campaigns before you get into a brick and mortar location? Pop-ups, catering, and food trucks and carts are a great way to get started with limited. Here is a great resource ( if you re interested in starting a mobile food business.

24 Positioning Statement A positioning statement has 3 components: 1. Defines the target audience 2. States the category in which brand competes 3. Points out the benefit over other brands Ex.: For upscale American families, Volvo is the family automobile that offers maximum safety.

25 Positioning Statement Formula If you are stuck building your statement, try this formula: For (target customer) who (statement of the need or opportunity), the (product name) is a (product category) that (statement of key benefit that is, compelling reason to buy).

26 Business Plan You don t build a house without architectural plans, why would you invest your life and savings into something without having the foundational piece.

27 B Plan Formula: Success Mission Customer Competition Costs Product Pricing Promotion Physical Distribution People Money

28 Business Plan Constantly tinker with your business plan. It is never completed. Rather, it s an evolving document which grows with your business. All Food Business ss.php BPlans n/executive_summary_fc.php#.ugndv0tgi7t

29 Success on the ground A plan that becomes a system Systems, Systems and Systems! Yes, really. Consistency and kindness- hand in hand Execute with a vision

30 Financial Success If you don t know your numbers, you don t know your business! If you aren t getting paid it s not a business it s a hobby. It is all about relationships to get the big picture. What are common problems? Inventory Hourly Labor Purchasing practices

31 Prime Cost Includes cost of sales (food, beverage and paper goods in quick-serve restaurants) Payroll costs (gross wages of management and hourly staff plus payroll taxes and employee benefits such as workers' compensation and employee insurance) primecostworksheet3.xls

32 Breakeven Point To calculate your Break Even Point you must know your total fixed expenses, your total planned variable expenses and your planned net sales. Let s talk about it Formula: Fixed Costs / (1-(Variable Costs/Sales)) Point-Calculation-Template-for-Restaurants

33 Monthly Profit and Loss Sales Cost of Sales Payroll Controllable Expenses (Variable Costs) Direct Operating Expenses (Fixed costs) End of month cash on hand does not equal profit.

34 Food Cost Also known as cost of goods sold (COGS) What does it cost to make each product you sell? PB&J Front load costs Yileds

35 And, it s ALL about the food Know your product better than anything: Consistency, Price, Taste, Quality, etc. Recipe book Secondary uses of product Portion Control Food Safety TASTE everything! Make it a standard.

36 Employees and People Let s talk about this Job descriptions HR manual Marketing starts here

37 Branded Marketing It s the air we breathe! It is not sales and marketing- sales AND marketing Marketing is also not a tactic- please know this. Please. Let s go back to the concept for a moment-

38 You. Pay yourself. Period. Schedule your time. Know every job in your business. Get help where you need it. Have a plan for your time and your business. Revisit your business plan and adjust it. Measure- what gets measured gets done.

39 Questions What do you want more of? What didn t get answered? What do you need? How are you going to get there?

40 THANKS EVERYONE