How to Open a BBQ Restaurant — Ultimate guide

FinModelsLab
6 min readApr 28, 2021

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START WITH A BUSINESS PLAN

Starting a BBQ shop might seem complicated if you do not have a clear plan and have never had any experience in a local business. It is good to start with a clear plan and plain to see instructions for each of the steps you have to take as a newborn entrepreneur.

The best way to start and define what do I need to open a BBQ restaurant is to design your business model step-by-step, including all the details about:

  • Type of the restaurant;
  • Location;
  • Size and capacity;
  • Funds to start a BBQ restaurant;
  • Equipment;
  • Staff;
  • Menu and ingredients;
  • Licence and permits;
  • Local regulations;
  • Marketing and social media;
  • External services to subcontract.

If you have trouble finding any of this information, it is better to contact someone who can provide you with assistance for this matter. For instance, you can contact a local marketing agency or business development agency.

HOW TO FIND A SUITABLE LOCATION

The easiest part of a BBQ restaurant is to find a location compared to the menu elaboration or client service, because you can open a BBQ restaurant literally anywhere, in places like the corner of a busy street or a mobile shop.

But, what you need to keep in mind in order to find a suitable location that will guarantee your income monthly is the size and type of people that live or visit that particular area. You should keep in mind that you need a large space to open a BBQ restaurant, as you will probably need some spacious dining area and a kitchen where you can prepare all the dishes on the menu.

WHAT PERMITS DO YOU NEED

To open a regular BBQ restaurant you will most probably need all the following:

  • Business Entity registration, which is usually granted by the local and state government and has different levels of liability depending on the modality you chose. A business license allows its owners to charge sales taxes and obliges your business to pay taxes to the central government, as well as gives protection against any claims from the discontent customers if you constitute an LLC, which is basically a legal entity through which you operate your business.
  • Name registration charge will be issued once you apply for the business registration at the local or central tax agency.
  • Building or reconstruction fees and permits, which you will have to pay in case you want to rebuild or redesign part of the new location. You will also need to hire a contractor who will submit the construction plans to the government and after works are finished pay for the building inspection in order to obtain the certificate of occupancy.
  • Food handling license, which you can obtain by completing a special course on safe food handling practices from the local agency. Most of these courses are sponsored by the government, so they will be at no cost to you. But you might need to go through a sanitary inspection at your place as part of it.
  • Liquor license is one of the toughest things to get in the restaurant business, it can influence very positively how much a BBQ restaurant makes a year.

Apart from the previous expenses, you will need to apply for insurance that will prevent unpleasant expenditures for claims from customers who suddenly got sick because of your food or simple theft. Many insurances protect your business from litigation on the grounds of sickness or injuries on your premises as well as from employee theft. Therefore, it is better to contact your local insurance agent to learn about the requirements to start a BBQ business.

WHAT EQUIPMENT DO YOU NEED

Once you figured out how much does it cost to start a BBQ restaurant in terms of location, permits, and licensing fees, the next step is to think about the equipment. It will totally depend on the type of restaurant you choose, its size, and the complexity of the menu.

Whatever is your decision you will need freezers and refrigerators to keep your food fresh, as well as a commercial dishwasher and a robust three-compartment sink to take care of the dishes in time and not cram your kitchen with unnecessary stuff.

A commercial smoker is a specific requirement to open a BBQ restaurant, so you might need to contact and even try out several providers before you decide to buy one because it will define the trend for your restaurant.

If you live in areas where barbecue is a long tradition and people know the “real taste” of grilled meat you might need to consider buying an outdoor grill barbecue or even build one by yourself. In this case, such an investment will surely reflect on how much a BBQ restaurant can make a month.

Apart from the main kitchenware and typical BBQ restaurant equipment, you will also need special cooking devices to prepare side dishes such as steamers, deep-frying machine, oven especially to cook potatoes or vegetables that will give your grilled meat an attractive touch and define how much a BBQ restaurant can make a day.

MARKET YOUR PLACE

In reality, opening a BBQ restaurant and running it is the easiest part of this business because when it comes to getting clients and marketing your products nothing is truly clear. One fatal mistake can cost you a lot of money and bring your business down when you have not even started yet, so take care of your marketing campaign from the very beginning.

First, make deep-down research of what are people in the area expecting from a place like yours, so you can make fair adjustments in your menu or the price list in order to achieve a higher average income on a daily basis

It is a good idea to involve the local media in your BBQ restaurant promotion, so as to raise awareness about your delicious dishes among locals. You can also use signs on the main roads or at the entrance to your town to indicate where you are, it will positively affect how much your BBQ restaurant can make a day.

Finally, to get more returning visitors and new clientele you need to design your own webpage, with full menu explanation, possible promotions, and philosophy or mission of your brand. So people would come to your place not only to eat but to have a nice experience.

GET YOUR NUMBERS UNDER CONTROL

It is always hard to keep track of how much does it cost to run a BBQ restaurant, because many newcomers or even mature BBQ owners delegate this task to an external specialist, such as an accounting firm or consultancy.

The truth is that even if you are not an accountant and have no idea about balance spreadsheets or how to deduce tax payments, you need to know at least how much your BBQ restaurant makes a year or a month. Because this knowledge will indicate you your growth or weak areas.

You need to be able to understand where your major source of income or expenditure is in order to potentiate or reduce it, as well as to plan your next move in terms of business profitability. There are specific accountancy software programs that you can learn to operate quickly and use every day to control your income and increase your profit.

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FinModelsLab
FinModelsLab

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