Restaurants are closing in record numbers in the United States, and we all know why. The big E. The sluggish economy is why a lot of eateries are closing. By observing what is happening to the closings of restaurants there are several factors where if the owners or operators could shift with the times, I honestly believe they could be in business today.
One of the factors I have noticed is this, the owners and operators are not food service professionals, though they have business skills and management skills, they do not understand the food concept, what sells and what doesn't. When owners believe in a certain style or cuisine that doesn't work is when these people can kiss their restaurants good bye forever.
Example, people don't understand the word demographics, which means what a certain group of people are into, or their buying habits, in a particular town or city. There's a few restaurants I've seen that have wonderful food, say Spanish. But, is this type of food a money maker, or a type of food that will just be a lukewarm thing. And are these folks selling it as a product that is value driven for the customer, or is it a high end type of thing with a wait staff taking the order creating higher overhead. For instance, a 1 pound beef burrito in a full serve restaurant might go for 18.99 with the fixings, then the customer needs to factor in a tip. This is where a lot of restaurant owners are sucking shit, overheads are too high and their profits aren't there. Now that same burrito in a hole in the wall, where there's a counter helper and a cook, this burrito can be sold for 7.99 with the fixings because of the lower overhead creating a wider profit margin. Too many idiots are going too big too fast in these times, simply put, they haven't done their home work.
And there's the egotistical chef that won't listen to customers or his own staff, he may be a world traveler and feel that his way is the only way because he's seen it all, and cooked it all. Bad kind of business partner if you have one like this dude get out, plan that exit strategy get out! These guys may have had success in the past, but that's the past, now is now. I've seen it myself first hand, a chef will say, "I got this awesome concept, there's nothing like it, homemade fresh everything, with a classic French touch with hints of Asia." Well? Great. Who the fuck is going to eat your shit Einstein? Huh?
So the chef opens up his fusion place, it does great in the beginning, but his prices are too high because he's using all those ingredients that cost too damned much. Again, he did not do his homework. I'd say to this Bozo, "Look, I can appreciate your skill level chef, but if you wanna be a successful fucking businessman, look around you where you have this eatery, what do people here want? And you gotta give it to them, you're new, in this town, get to know what the locals love and cater to them, and then add in your own thing. Chef brother man, look, see, talk to people, find out what the average salary is like. And by the way, your concept isn't new man, look around you, there's like five famous chefs that did this shit twenty years ago, so this ain't new man!"
Yeah rents or leases are high in lots of areas, so with that said, shouldn't these people try and find a better place to stick their eateries so they can make money and not lose it? I'd say, wait don't just jump in and open up a place because you have an awesome idea. Wait and see first, be of a strategic nature. A friend of mine told me this story of this local guy on Oahu that wanted to open up a fine dining restaurant, he mortgaged his home, and in these times of economic roller coaster rides. Long story short, he opened his restaurant, and it failed, because most people aren't looking for fine dining these days, especially a new fine dining dig, not now junior, not yet. Why? The established fine dining restaurants in certain locales have their roots secure and any new competition in that arena, well, let's just say the odds are not in favor of the newbie succeeding.
Do your homework if you are itching to show off your foods. You may have a great concept and great recipes, but the plan is for success period. If you don't have deep pockets, or a team of investors to make your dream come true, I'd say chill out first. Do not mortgage your home yet junior. Find a hole in the wall kind of place, make your food rock, start simple, give the people what they want, and build from there, Don't get into business so you can be a fucking tax write-off, be in business to make fucking bank! Fools never succeed, wise people do. Do your homework before venturing in the restaurant business. Remember, even if you graduated out of Le Cordon Bleu, and traveled the world and cooked every kind of food known to man, people will still buy a juicy cheese burger. Get it? Make money and put your egos and stupidity away, unless you got a huge bank to back your ass up for the next 5 years, do your homework and chill out.
One of the factors I have noticed is this, the owners and operators are not food service professionals, though they have business skills and management skills, they do not understand the food concept, what sells and what doesn't. When owners believe in a certain style or cuisine that doesn't work is when these people can kiss their restaurants good bye forever.
Example, people don't understand the word demographics, which means what a certain group of people are into, or their buying habits, in a particular town or city. There's a few restaurants I've seen that have wonderful food, say Spanish. But, is this type of food a money maker, or a type of food that will just be a lukewarm thing. And are these folks selling it as a product that is value driven for the customer, or is it a high end type of thing with a wait staff taking the order creating higher overhead. For instance, a 1 pound beef burrito in a full serve restaurant might go for 18.99 with the fixings, then the customer needs to factor in a tip. This is where a lot of restaurant owners are sucking shit, overheads are too high and their profits aren't there. Now that same burrito in a hole in the wall, where there's a counter helper and a cook, this burrito can be sold for 7.99 with the fixings because of the lower overhead creating a wider profit margin. Too many idiots are going too big too fast in these times, simply put, they haven't done their home work.
And there's the egotistical chef that won't listen to customers or his own staff, he may be a world traveler and feel that his way is the only way because he's seen it all, and cooked it all. Bad kind of business partner if you have one like this dude get out, plan that exit strategy get out! These guys may have had success in the past, but that's the past, now is now. I've seen it myself first hand, a chef will say, "I got this awesome concept, there's nothing like it, homemade fresh everything, with a classic French touch with hints of Asia." Well? Great. Who the fuck is going to eat your shit Einstein? Huh?
So the chef opens up his fusion place, it does great in the beginning, but his prices are too high because he's using all those ingredients that cost too damned much. Again, he did not do his homework. I'd say to this Bozo, "Look, I can appreciate your skill level chef, but if you wanna be a successful fucking businessman, look around you where you have this eatery, what do people here want? And you gotta give it to them, you're new, in this town, get to know what the locals love and cater to them, and then add in your own thing. Chef brother man, look, see, talk to people, find out what the average salary is like. And by the way, your concept isn't new man, look around you, there's like five famous chefs that did this shit twenty years ago, so this ain't new man!"
Yeah rents or leases are high in lots of areas, so with that said, shouldn't these people try and find a better place to stick their eateries so they can make money and not lose it? I'd say, wait don't just jump in and open up a place because you have an awesome idea. Wait and see first, be of a strategic nature. A friend of mine told me this story of this local guy on Oahu that wanted to open up a fine dining restaurant, he mortgaged his home, and in these times of economic roller coaster rides. Long story short, he opened his restaurant, and it failed, because most people aren't looking for fine dining these days, especially a new fine dining dig, not now junior, not yet. Why? The established fine dining restaurants in certain locales have their roots secure and any new competition in that arena, well, let's just say the odds are not in favor of the newbie succeeding.
Do your homework if you are itching to show off your foods. You may have a great concept and great recipes, but the plan is for success period. If you don't have deep pockets, or a team of investors to make your dream come true, I'd say chill out first. Do not mortgage your home yet junior. Find a hole in the wall kind of place, make your food rock, start simple, give the people what they want, and build from there, Don't get into business so you can be a fucking tax write-off, be in business to make fucking bank! Fools never succeed, wise people do. Do your homework before venturing in the restaurant business. Remember, even if you graduated out of Le Cordon Bleu, and traveled the world and cooked every kind of food known to man, people will still buy a juicy cheese burger. Get it? Make money and put your egos and stupidity away, unless you got a huge bank to back your ass up for the next 5 years, do your homework and chill out.
Howzit!! Saw the write up they did on you in the Maui News it was a nice piece and I wish you all the success with it.
ReplyDeleteSpeaking of closed restaurants any chance of doing a retro on either your blog or show about Cupie's Drive in (pre Bento's and Banquets)?
I'd love to see how some of the magic was done in that kitchen back in the day. Most of it was simple local plate lunch fare but man it tasted ono! I still dream about their hamburger steak, and breaded teriyaki sometimes with that ono classic mac salad.
I would be happy with just knowing how they did the mac salad and brown gravy.
I'd love to see a show on it but I don't live there anymore. So a blog entry would be awesome to.
I'm gonna try that Meat Jun article you have. Only thing better would be to get that recipe for that red sauce they got at Yummy Korean BBQ!! Oh well cannot have everything.
Mahalo,
Keoki