How to start eatery business in Nigeria
Eatery business or restaurant business as it is iften called is one of the most lucrative businesses in Nigeria. One basic necessity for every individual irrespective of financial status is food. Nowadays, citizens are no longer dependent on the government for jobs, many have been forced to tow the path of self employment which is clearly a more viable path towards financial empowerment especially when done with excellence.
Restaurant business or eatery business is one of the very lucrative businesses in Nigeria and research has proven that the profit margin for standard eatery outlets range from N200,000 to N700,000-naira monthly and about N10,000 to N50,000 naira profit on a daily basis. Any idea on how much oulets like Mr. Biggs, crunches, food affairs, Oliver Twist and others turn in daily as income?
A large capital is not a necessity. The restaurant business also does not also place specific requirements on the personality or status of individuals involved in it, it is available to everyone, educated or not. You can start with as low as N300,000 naira and be assured of making profits as long as you pursue your business with dedication.
Basic Requirements for Starting Eatery Business in Nigeria
Here are some steps on how to get started:
- Rent a Space
- Get Proper Training
- Employ of a Good Cook
- Market Survey
- Feasibility Study
- Good Attitude/Character
1) Rent a Space:
Business location determines accessibility. A restaurant situated within a business environment like offices is more likely to experience more turn in compared to one situated in a remote location. Hygeine is also important, customers want to have an impression that the food they eat is properly prepared, the environment should be kept tidy at all times.
With N100,000 you can get a decent location for a year, space is an important factor to consider when choosing a location. There are other things that can be included to entertain customers while they eat their meals, music, dstv etc. As the business expands you can purchase canopies to accommodate more people.
2) Get Proper Training:
Get trained and retrained, the restaurant business is ever evolving. There are trends you might need to learn, if you have to attend a training class or catering school then do that. On hands experience is of great advantage in running this business.
Develop creative ways to retain customers. Offer incentives, promos, giveaways, special offers for a particular day of each week, special recipes on holidays and so on.
This will be used to purchase all the necessary equipments needed to start up your business. This will also cater for renting of space, business registration, staff salaries, tax payments and other needs as they arise.
Running a restaurant business requires a good capital base, loans from banks or from a coooerative society can also be considered because the business yields returns within a short time frame.
4) Employ a Good Cook:
People visit a restaurant because they want to eat good food. If you want to be the best in the restaurant business then employ the best staffs. As much as possible, avoid owing staff salary so as to avoid decline in level of productivity.
It is often said that variety is the spice of life, It will be an additional advantage If your cook can prepare a wide range of dishes as that will attract more customers.
5) Market Survey:
For every intending entrepreneur, conducting a market survey in your area of interest becomes necessary. The purpose of survey is to ensure you measure up to the required standard for your business as well as the expectations of your customers.
Questions to include in your survey are; Customer needs in a restaurant that are usually not present or overlooked, Pricing in selected area, preferred dishes, frequent complaints among other things. Document their responses and improve it to build your business. Market survey can be carried out either using online or offline means depending on preference.
6) Feasibility Study:
Nobody gets lost by asking questions, ask a lot of questions from people currently in the business, get to know and learn from their challenges. If you are not conversant with the environment, ask people who reside in the area. Has a business like that been in existence there before? Why is it no longer in existence? What are the major challenges businesses suffer in the environment? and so on. In summary, ask many questions.
Having a form of security system in place is of essence for your business. You can employ the services of a security personnel as well security cameras when you can afford one because customers derive more comfort knowing that their safety is guaranteed.
Advertising is vital for every business. It is of no use to be able to cook tasty meals when no one knows about it. Advertising can be done using various media resources like flyers, radio, magazines, etc. in order to create awareness and boost sales.
9) Good Attitude/Character:
Character they say is like perfume, it either emits a pleasant scent or a foul odour. In business, being of good character at all times is necessary to retain customers and also attract new ones.