Starting a restaurant is exciting, but it can also be overwhelming. As a business owner, you’re responsible for managing many moving parts, from real estate to business plans to staffing and beyond — and you may find yourself wondering where to even begin.
Looking to optimize the process for starting a restaurant? Here, we’ve compiled some of our top tips into a new restaurant checklist. You’ll learn how to:
Choose a creative restaurant concept that's right for your target audience.
Craft a well-written business plan that attracts investors.
Conduct market research that uncovers valuable customer insights.
How to open a restaurant with the right mindset
If you're a first-time restaurant owner, some of your most valuable lessons will be learned on the job. While preparing for long hours and hard work is always a good idea, you can expect to pick up tricks of the trade related to streamlining operations, managing supply chain logistics, improving customer service, and more.
But if this isn't your first rodeo, take a moment to reflect on what you've learned so far. What's been successful, and what mistakes would you like to avoid making in the future? Even experienced owners and managers with many restaurant openings under their belts will need a resilient mindset to navigate the evolving challenges of starting a restaurant.
When developing your concept, think about how you can combine these insights with your unique vision to create a memorable experience. Start by asking yourself a few key questions: What type of restaurant do you want to open? Will it be a fast-casual restaurant or a gastropub with a legendary happy hour? Your concept should also extend beyond food to include the overall brand identity — everything from your restaurant's name and logo to the interior design and online ordering experience should reflect your core idea. A creative, well-researched concept can help build an emotional connection with customers, turning first-time visitors into loyal regulars.
By blending customer insights with your creativity and passion, you'll be well on your way to launching a restaurant that resonates with your community.
1. Conduct market research and develop your concept
It's important to conduct detailed market research to learn more about the community and determine what kind of business would thrive with locals. For example, you may learn that your neighborhood is home to many East Coast transplants who miss authentic bagels — which could inspire a winning restaurant concept like Rosenberg's Bagels in Denver, CO. Uncovering customer insights and reading up on restaurant industry trends will help ensure your offerings are as relevant to your target audience as possible.
2. Create a restaurant business plan
If you're seeking financing for your restaurant, a well-written business plan will be a crucial part of your loan application or investor pitch. Loan officers and investors will want to see that you've accounted for all overhead and operating expenses and thoroughly researched your market, allowing for accurate projections.
If you're just starting a restaurant business plan, make sure to include the following components:
Concept details: First, write a description of the brand as well as a sample menu.
Staffing information: Second, provide information about staffing, including the service staff, management staff, and other essential team members such as interior designers, accountants, and lawyers.
Market analysis: Next, describe your target market as well as the general market conditions in your local region. Include a marketing and publicity plan, as well.
Financial planning: Finally, create a thorough outline of your restaurant's business structure and finances. It may be helpful to bring on an accountant and lawyer to ensure your business plan makes sense.
3. Secure funding
Opening a restaurant requires steep startup costs, and many restaurateurs seek outside funding in the form of a bank loan or through partnerships with investors. If you're going the investor route, start thinking about your ideal investor and how you can share your story and restaurant plan in a concise and compelling way. Your passion will show investors that you're the right person to bring your vision to life and inspire them to take part in the restaurant's success. Next, create a restaurant pitch deck to encapsulate this investor profile and your go-to elevator pitch.
Wondering how to find restaurant investors? Your own network of family, friends, and colleagues is a natural place to start. But even if you don't have many investors in your personal sphere, there are still plenty of options. Try connecting with fellow restaurant owners who can share a few helpful pointers on securing financing, or even introduce you to their investors. You can also go the online route by conducting outreach to potential investors on LinkedIn, or launching a crowdfunding campaign.
4. Find the perfect location
First things first, you'll want to select a restaurant location. As they say, location is everything — and this certainly rings true in the restaurant business. Ask yourself: What kind of community do I want my restaurant to be in? What other businesses are already nearby, and what's missing? Are the locals in this neighborhood my target customers?
Another factor to consider is ease of access and parking. Are you aiming to attract foot traffic in a busy neighborhood, or will your restaurant be a destination that diners drive to? This may seem like a lot to think through up front, but putting in the work now will create a solid foundation that can serve your restaurant for years to come.
5. Secure permits and licenses
Once you've chosen the right location and negotiated your restaurant lease, it's time to secure the necessary permits and licenses. You will likely need authorization to run a restaurant in your chosen facility — as well as health and safety approvals, permission to sell alcohol, and other region-specific certifications. The following list outlines the general necessary permits and licenses, but be sure to check with your local municipality on specific paperwork needed:
Business Name Registry
Business License
Employer Identification Number (EIN)
Certificate of Occupancy
Food Handlers Permit
Building Health Permit
Employee Health Permit
Seller's Permit
Resale Permit
Live Entertainment License
Alcohol License
Music License
Dumpster Placement Permit
6. Step set up your space
When launching a new restaurant, your commercial kitchen layout will significantly affect how smoothly things run and, in turn, the experience. So, how do you optimize space to meet both demands? If you're starting from scratch, your first step is to determine the size and shape of your kitchen. Consider the space available, the number of employees working, your menu, and the volume of orders you anticipate. Once you have a basic floor plan, you can move on to your restaurant kitchen layout. Think about the equipment you'll need, the workflow of your kitchen, and how to optimize the space to create a well-thought-out and functional commercial kitchen design. Here are the key factors you need to know to improve your commercial kitchen floor plan.
7. Develop your menu
A mouthwatering menu helps your restaurant stand out from competitors and showcases your mission. Eating, preparing, and gathering around food has a lot to do with who we are and what we care about. Show customers your true colors with a mission-driven menu that highlights your core values and brand aspirations. For example, the California seafood restaurant, Pacific Catch, offers a wide range of delicious food while subtly weaving environmental responsibility into their menu. They advocate for sustainable seafood that has been thoughtfully sourced, "from wave to table." Once you've designed your menu, it's important to make sure it's optimized to generate profit and reduce waste. This is called menu engineering, and it's an integral part of designing an effective menu for your business.
8. Hire and train your team
Building a great team is essential for your restaurant's success. Start by defining roles and creating detailed job descriptions for chefs, servers, managers, and other key staff. Hire employees who align with your vision and bring the right mix of skills and enthusiasm. Once hired, implement a thorough training program that emphasizes customer service, food safety, and operational processes. Encourage open communication and foster a positive work culture to boost morale and retention. A well-trained, motivated team is the foundation of a memorable dining experience.
9. Get the word out with these restaurant marketing strategies
Your restaurant's marketing strategy is more than just a logo or color scheme — it's the personality and story that sets you apart from competitors. A strong brand builds customer loyalty and helps your business stand out in a crowded market. Start by defining your restaurant's mission statement, values, and unique selling points, then build out a strategy from there. Here are three key areas of effective restaurant marketing to grow your business:
Branding and positioning
A strong brand identity is key to standing out in a competitive restaurant market. Your restaurant's mission, logo, name, and ambiance communicate your business’ personality and story, and help customers recognize what makes your restaurant unique — whether it’s your commitment to eco-conscious dining, bold fusion flavors, or home-cooked family recipes.
Your logo is also an important component of your digital marketing strategy. When you set up your Google Business Profile, your logo will show up in search results and maps, helping to set your restaurant apart from competitors. Your restaurant logo will also help establish your brand across your social media and Online Ordering channels, which allow restaurants to customize their online store with their own branding. Discover more tips on how to design a restaurant logo.
Online presence and digital marketing
Social media is one of the most popular digital marketing channels for restaurants. Instagram has long been an important social channel, as its photo-focused interface lets restaurants easily show off the most tempting and exciting photos of their food and atmosphere. Restaurants are also creating short videos on TikTok that give potential diners an even clearer picture of what it's like to eat at their restaurant. And though it's less popular with Gen Z consumers, Facebook can also still be a useful channel for social media marketing for restaurants — especially paid ads.
You'll also want to strengthen your website menu and online ordering system. After all, 35% of consumers prefer ordering delivery directly from a restaurant's website or app, according to our latest Restaurant Online Ordering Trends Report. With DoorDash Online Ordering, you can add commission-free online ordering to your own website to drive customer loyalty. Grow your business with unique features like a Smart "Order Now" Button displayed on your website and item-level ratings. Personalized loyalty and gift card programs also encourage customers to come back again and again.
Customer engagement and retention
Building a loyal customer base requires more than great food — it’s about creating a lasting relationship with diners. Engaged customers are more likely to return, leave positive reviews, and recommend your restaurant to others. Personalized loyalty programs drive repeat orders with discounts or exclusive perks, increasing your incremental revenue while keeping customers engaged.
Put your restaurant checklist to the test
Opening a new restaurant is a lot of work — but with the right mindset, a unique restaurant concept, and a strong business plan, you can confidently start down the path to success. Just remember to follow this opening a restaurant checklist and surround yourself with the right team to support your journey. When you put all of these steps together and do your due diligence, the result will be a solid business plan that provides a stable foundation for your new business. Ready to launch your restaurant?
Ready to open your restaurant or coffee shop? Download our free restaurant business plan template and follow this step-by-step checklist to set yourself up for success.
