Challenges in Starting a Restaurant Business

In our previous article, we talked on how to start up a restaurant. This article is about the challenges in starting a restaurant business. As we all know that all businesses have their own shortcomings but the ability to plan in order to overcome this obstacles is what makes us business owners.

Challenges in Starting a Restaurant Business

Challenges of a Restaurant Business for Start-ups

Starting up a business is not easy no matter how big or small it is. One would still go through some challenges before it becomes stable. Below are the obstacles that are likely to be faced when starting up a restaurant:


The competition in restaurant business is very strong because the demand for food is continuous and there is need for hunger to be satisfied, that is the reason for the existence of many restaurants today. You can find as many restaurants as possible in just one street so you need to be creative and unique, make your restaurant different from your competitors, let there be something that would make people want to always patronize you.

High Tax Rate

Tax is the amount of money imposed on the citizens of a country, goods and services as well as businesses. Most times,people are reluctant to set up businesses because of the huge amount of tax that would be imposed on them by the government. they would rather prefer to establish small business that won’t need to be registered.

Irregular Power Supply

This has become a general problem in Nigeria as most companies do not even rely on electricity again, they rather fuel and put on their generator to avoid disrupt during operation. Even at that, they still have to put up with the huge amount of electricity bill at the end of every month. So when starting your business you can get a standby generator that would run from morning till the end of work.

Risk Management

There are several risk attached to running a restaurant such as fire, employee Injuries, business Vehicle Damage, property damage, personal Injuries, flood and water damage, slip and falls, broken doors and lock, theft, cut, burns and many more. It is advisable to practice safety procedures and to also safeguard your restaurant from all these damages by insuring it with the help of an insurance company.

Getting the Right Suppliers

It may be difficult to get the right suppliers to deliver quality products at first, but with time and proper market survey you would eventually get some as you would need trusted suppliers that won’t disappoint you anytime you need their service.

Sustainability Challenges

To sustain a restaurant requires a lot of hard work and dedication. Isn’t it always funny when you hear someone say ” I inherited this restaurant from my grandparents or our business has been in existence for about 60 years? Sustainability means the ability to maintain something to being into existence.

As a business owner, you should always think of innovative ideas that would bring about positive change to your business which will make it last for a very long period.

Hope you enjoyed reading this guide on Challenges in Starting a Restaurant Business? Also the recommended articles below:

Leave a Reply

Your email address will not be published.

You May Also Like