In general, you should plan to budget between $100 and $1000 to get all of your paperwork in order. Schedule a call with the health inspector and code enforcement officer in the municipality you plan to open, to find out more about specific requirements. In general, you should plan on obtaining city and state operating licenses, a food handler’s safety license (such as those offered by ServSafe), and a liquor license. Again, this will vary depending on the location and type of establishment you want to open, and may be based on additional factors including whether or not you plan to serve alcohol, your hours of operation, and your location. For most commercial tenants, the total amount you’ll need to come up with will range from $3,000 to $30,000, and that’s just to get the keys.īusiness Licensing and Permits. The amount of money you’ll need to come up with may vary slightly depending on where you live, and some brokers or landlords describe these costs differently some may refer to “first, last, and security,” while others may ask for the first month’s rent plus a security deposit equal to one or two month’s rent, which is refundable at the end of your lease term, provided the space is undamaged. Plates break, silverware gets thrown away, and table linens get soiled these are all technically one-time costs needed for getting the doors open, but which may come up again at some point in the future.įirst/Last Month’s Rent and Security Deposit. Obviously, there are some caveats here for example, spending 10k on a commercial kitchen range may seem like a one time cost, but as the years wear on, it may need to be replaced. These costs represent one-time expenses that you’ll need to expect to pay when you’re getting started, which may not necessarily arise again in the life of your business. Let’s begin by organizing our expenses into two main categories: One-time costs, and recurring or ongoing expenses. Download the restaurant startup cost spreadsheet.If you simply want to download the cost analysis spreadsheet so you can get busy figuring your own numbers, you can jump straight to that section below. I’ve added details about the main costs associated with opening an ma-and-pa restaurant below, including the wildly variable costs to consider. But you’re probably here to estimate the cost of opening your own restaurant, not read my personal story. But things like a new coat of paint, you can probably figure out on your own.Īhh. You’ll need to hire out some aspects like plumbing and electrical to the professionals. One of the biggest expenses can is contracting out paid labor. To reduce startup costs, you’ll want beg for help from friends and family too. I called in literally every favor I could to help get my external sign made, painting walls, and getting door resized. I should point out that I put in more than a fair share of sweat equity to get this business off the ground. I live in a coastal town that is extremely busy in the summer months due to tourism, but only locals during the long winters. The rents here are also extremely low too. I live in a tiny fishing village in coastal Maine and found a location that was pretty turnkey. You probably won’t be able to open a business for that small of an investment.
0 Comments
Leave a Reply. |