- You are a start up and have no idea what it takes for your concept to make numbers.
- You are investor in a franchise or partnership and want a reality check on the proposal given to you.
- You have one restaurant and need to open another and want to review if your numbers add up.
- You have trouble creating budgets for your restaurants.
- You have no framework to compare multiple restaurants and multiple brands.
- You have not factored inflation in your projection.
- Your idea to assume a food or beverage cost is a percentage of revenue.
- Your idea of labour cost is a percentage of revenue.
- You have trouble reconciling ROI, NPV, IRR and payback.
- You run a great restaurant and have no idea how to make a capital budget.
You have no idea how to make a 5 year or ten year projection. Plans are not important but planning is.
Restaurant Financial Planning can give insights to a startup or existing restaurant as to what it take to achieve their goals. It will help you to recognise patterns which you need to identify. A start up can identify scenarios projection differing revenue and expense projection or differing expenses on similar revenue projections.
An existing restaurant can set restaurant budgets and identify the various drivers which affect it. Plans give you a roadmap to reach your goals. There will be changes, there will be slip ups, its guaranteed. It is of less significance that your plans did not add up but what is more relevance that you know in time where you are going wrong and can KNOW where to take corrective actions. Knowing is vital.
Dont plan….. and any road will get you there!!
Restaurant Financial Planning will cover:
Restaurant and Kitchen Capital Budget
- Space allocation for all your functional areas.
- Interior cost assumption
- Restaurant, Bar, Kitchen equipment and machinery costs budget.
- Pre-opening expenses, admin expenses
Restaurant and Kitchen profit loss account
- Revenue projection and play of key drivers of occupancy and costs.
- Inflation adjusted.
- Uniform system of accounting for restaurants
- Identify index of variability for all drivers of your cost.
- Identifying depreciation.
A simple cash flow statement
- Cost of Capital- creation of your restaurant WACC.
- Review of your restaurant project using tolls like IRR, NPV, ARR, ROI, Payback.
- Staffing plan and their salary projections.
Restaurant Financial Planning for a startup will answer what does it take get a return of investment and return on investment.
Restaurant Financial Planning for an existing restaurant will create budgets by identifying key drivers and their index of variability for each item. Budgeting works well with our Planning for profits process.