As a perspective from far off, running a restaurant comes off as an easy task. In the Indian market many restaurants open and close on a daily basis. Fighting for survival in such a market is mostly a tough  job to do. We provide you with five common wrong doings that restaurants must keep in mind and avoid at all costs.

  • Providing the best quality food and atmosphere.
  • Service that is focused on customer satisfaction.
  • Marketing correctly and across various media platforms.

The question that arises here is that why do so many restaurants fail? To be honest it’s pretty simple as most of them tend to ignore the five points listed below, at some point or the other. Which leads to an unfriendly situation and mismanagement for the restaurant resulting in them shutting down.

Theoretically, running a restaurant is relatively simple. But, it’s the mindset of the owner that is the main reason for a restaurant’s success or failure. In the case of your restaurant not operating at its maximum potential, we give you the following points to look at, analyze and follow:

1. Being Ignorant

The saying goes ‘ ignorance is bliss’, but trust me in this case it is the worst thing that you can do to your restaurant. Ignorance is just ignorance. Running a restaurant comes with a lot of duties and responsibilities. Many managers and owners only aim at the things they like to do. The easiest way to identify the problematic areas in any restaurant operation is by the using the word “should.”

“I know I should cost out my menu.”

“I know I should start an Instagram account.”

“I know I should fire the manager who drinks in the office.”

The tipping point in a restaurant comes when the owner or the manager turns their “should” into must.

2. Being Mediocre

Adjusting and trying to be mediocre is something that most of the people in the current times aim at and are happy with it. Remember the bell curve in school? It was based on law of average. Most of the restaurants in today’s market live and prefer living in the middle of that bell curve. It is the easiness of being average that is killing most restaurants. Though most restaurants are definitely capable of becoming outstanding. Every restaurant in a particular market has the ease and access to the same set of products, labor pool and other resources. Then why is it that your restaurant has to be mediocre when other restaurants can be excellent?

The difference here is that some restaurants thrive and others just end up surviving. Whomsoever opens a restaurant never thinks that they want their restaurant to be an average business. They want it to be great. But, when it comes to facing the challenges and hurdles that come in the way, they give up. Simply, they just stop pushing themselves. This is when they start their descent on the road of mediocrity.

The simplest way to stop this descent is to set your standards clear and straight. Set the bar high for yourself, and be clear of what you expect and what you will not tolerate. Only sell yourself big.

3. Being a Braggart

This point undoubtedly has been one of the biggest reasons behind the closing down of many restaurants. It’s impact is stronger than that of a bad economy. What has to noted is that being too proud and ignorance go hand in hand and can highly affect the growth of your restaurant.

Managers and owners of successful restaurants are on a continuous look out for any opportunity that would increase its production, quality, efficiency, operations, and profitability. But, this requires continuous conviction, confidence, and respect.

Being proud is a phenomenon that works both ways. Pride, when inwardly directed, is a negative impact on your business. But the other way round it helps build teams and communities, and pulls people together. The main problem arises when our pride becomes the hurdle in the way of the door to opportunity and growth.

4. Being Afraid

Being afraid or fearful is another thing that every restaurant owner should look at. Fear is defined as a “perceived danger or threat.” There is a common acronym for the word fear: False Emotions Appearing Real.

It is a deadly sin that restricts restaurants from optimizing and growing as per their strengths. Thus, it is a must for all restaurant owners to face their fears boldly and act accordingly to maximize their potential.

Here are some statements I’ve heard from restaurant owners based on fear:

“I can’t fire that person because I’ll have no one to work.”

“I can’t change my menu without losing customers.”

All you need to remember here is that you have to recognize your fears and then successfully acknowledge them. Be it firing an employee or absolutely anything for that matter.

When you surrender to fear, it becomes your master. It ends up controlling everything, your business decisions, your view of things and a lot of other things. Then again, the only thing you need to remember is that fear is a choice.

5. Being Selfish And Greedy

Defined as the ‘intense and selfish desire for something’, greed can make a person do things that might just be un-imaginable. Though, successful restaurant owners understand that you truly get what you pay for, both in product and talent.

If you are a good restaurant manager/owner and have your restaurant set up properly you can pay all the overheads, staff salaries, vendor payments and still walk away with a good profit in hand. Owners who prefer paying their staff higher than average wages have less turnover, increased productivity, higher guest satisfaction scores, and less waste and theft.

Efficient restaurant owners always plan ahead with yearly budgets and do not focus on small achievements and profits. They then manage their team to reach those financial outcomes. The old saying is quite true, “if you fail to plan then you are planning to fail.”


After all the above mentioned points we can conclude, that running a restaurant is relatively easy as long as you are cautious and plan well. But, it’s the people puzzle that makes it complex. All our emotions and biases that we have can many a times become the unwanted hurdles.