Budgeting for a Restaurant Remodel
Restaurant renovations are essential, but risky, endeavors. Take a look at these tips, presented by the National Restaurant Association, and keep them in mind when you go to plan for your next remodel:
- Prioritize your goals—Divide remodeling ideas into “needs” and “wants” and go from there.
- Choose high-impact elements that deliver a big bang for your buck—Seek out low-investment high-return projects, such as painting, landscaping, or even deep cleaning.
- Limit infrastructure changes—Stay within your budget by avoiding big-ticket remodel projects, such as changes to plumbing or mechanics, unless absolutely necessary.
- Keep your décor in line with your price point—Put your personal preferences aside and choose accoutrement that are in keeping with the standard of your restaurant.
- Consider revenue-generating investments—Focus the brunt of your budget on pursuits that offer a big return, such as installing a private dining room or obtaining a liquor license.
- Factor in your closure—Schedule your renovation for a slow business time, be sure to account for the loss of sales due to closure during the remodel and keep in mind that schedules are often delayed.
- Leave some wiggle room—Be aware that remodels often exceed their projected costs. Aim to come in below your budgeted amount, that way you’ll be prepared when unforeseen expenses crop up.
For more information, contact your Scott and Company advisor. To read the entire article, visit the National Restaurant Association.