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Facilities Management and Design

Restaurant Concept Development
Start Up Costs

January 29, 2014

Presented by:
William H. Bender, FCSI
Facilities Management and Design

@WmBender
Facilities Management and Design

WHY CHOOSE AN FCSI MEMBER
AS YOUR CONSULTANT?
FCSI is the only such consulting society that operates in 45
countries worldwide. FCSI consultant members must abide by a
strict Code of Ethics and Professional Conduct. We efficiently to
achieve total client satisfaction and always maintain
independence from the supply side of the industry.
Facilities Management and Design

WHAT IS A FOODSERVICE CONSULTANT?
Generally speaking, a foodservice consultant:
• Is an independent professional advisor
• Works on a defined scope of work and related fee
• Works as an advocate for their client in achieving their goals
Design and implementation of foodservice facilities
and/or
Management Advisory Services (MAS)
As independent professionals their primary focus is the welfare of the client
organization that they serve.
Facilities Management and Design

Specialties:
• Accounting & Finance
• Beverage System design
• Capital Budgeting
• Compliance Certification
• Contract Management
• Dietary & Nutrition
• Due Diligence
• Equipment Surveys
• Facility Assessments
• Finance Raising
• Food Safety & Hygiene
• Human Resources
• Interior Design
• Kitchen Design
• LEED Planning/Design
• Mgt Recruitment & Development
• Master Planning
• Operating Procedures & Systems
• Operator RFP Selection/Monitoring
• Revenue Generation
• Strategic Financial Analysis
• Training
• Workshops and Education

• Architectural Design
• Business Strategy
• Code Compliance
• Concept Development
• Culinary Development
• Distribution/Procurement
• Energy & Environment
• Executive Coaching
• Feasibility Studies
• Food Production Systems Design
• Franchising
• Imagineering
• IT Systems, Sourcing/Mgt
• Laundry Design
• Legal Advice/Litigation Support
• Marketing & Promotion
• Menu Development/Engineering
• Operations Review & Re-Engineering
• Quality Management
• Space Planning
• Sustainability
• Waste Management Design
• Workstation Ergonomics/Design
Facilities Management and Design

Mission Statement:
To promote professionalism in foodservice and hospitality
consulting while returning maximum benefits to all members.
www.fcsi.org
Facilities Management and Design
Facilities Management and Design

1967 - First Gratuity
.50¢
Facilities Management and Design

The trades pay off!
Facilities Management and Design
Facilities Management and Design

SYSTEM = SYR-O-MATIC
Facilities Management and Design

2014-15 Restaurant Industry Challenges
• Hypercompetitive Market Elements - (Growing daily)
• Market of People - (Lack of qualified employees and applicants)
• Generation of People - (Poor education nationwide with almost
Ø parental oversight)
• National & Global Economic Crisis (Slow Recovery)
• Cost of Obama Health Care Plan???

$ 10.15 San Jose Minimum Wage
$ 10.74 San Francisco Minimum Wage
Facilities Management and Design

Starting a Restaurant Calls
Hi Bill, My _______ and I are starting a restaurant. We have a great
recipe, product and want to open up a location(s) and then we want to
franchise. How much do your services cost? We have money and need
help with……
Hi Bill, My _______ and I are starting a restaurant. We have a great
location and want to open up in May 2014. How much do your services
cost? We have money and need help with……
Facilities Management and Design

Start Up Development Costs
!  Costs vary according to type, size/scale of restaurant with “first
units” costing more
!  Large restaurants/full service have greater costs
!  Urban projects cost more than suburban
!  Mall sites have higher costs than small neighborhood centers
!  Proven concepts cost less that “new” concepts
!  Complicated menus/service concepts have higher costs
!  Next Generation Prototypes have a tendency to increase in
size/square feet
Facilities Management and Design

Start-Up Costs
Expenses incurred for the acquisition or creation of your restaurant
business. Start-up costs are comprised as any incurred amounts or
outgoing capital in relation with your restaurant’s activity for income
generation before your restaurant business starts.
Facilities Management and Design

Start Up Development Expenses
• Potential Market Surveys
• Evaluation of site, locations, facilities, labor market
• Concept creation and development
• Brand and Marketing development
• Design and building or remodeling fees
• Interior design and decorating
• Permits and Licenses
• Construction and Engineering Fees
• Fixture, Furnishings, and Equipment
• Equipment and Fixture Installation
• Pre-opening salaries for management training and their trainers
• Salaries, fees for owners, executives, consultants, or similar services
• Costs of travel for acquiring prospective suppliers or distributors
• Pre-opening Training of Team Members
• Team Member Uniforms
Facilities Management and Design
Facilities Management and Design
Facilities Management and Design
Facilities Management and Design
Facilities Management and Design
Facilities Management and Design
Facilities Management and Design
Facilities Management and Design
Facilities Management and Design

Team Member Experience

Guest Experience
Facilities Management and Design

Branding
BrandRight
The whole process of branding
is to differentiate your product
In the marketplace and to get
consumers to identify it as
different, better and special.
~ Sergio Zyman
The End of Marketing As We Know It
Facilities Management and Design

Closing Thoughts
1. View yourself as a professional.
2. Be proud of the foodservice industry.
3. Continue to educate yourself (Network).
4. Keep your life balanced.
5. Make some friends and have some fun.
We’re based in San Jose, California - Learn how we can assist you create or improve your
Facilities Management and Design
business. There is no charge for the first call and we love Silicon Valley Technology!
Contact Information
408.784.7371

Apple FaceTime

www.whbender.com
whb@whbender.com

Skype ID WHBender

1430 Norman Avenue
San Jose, CA 95125-5217

Get Social and Network with Bill Today to Get Started.

@WmBender

William H. Bender

William H. Bender
W.H. Bender & Associates

WHBender

W.H. Bender & Associates

WHBender

Blog – WHBender.com

W.H. Bender & Associates
Facilities Management and Design

Questions or Information?

whb@whbender.com
@WmBender

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Restaurant Concept Development Start-Up Costs by William Bender, FCSI, @WmBender @RockMyRestoTV

  • 1. Facilities Management and Design Restaurant Concept Development Start Up Costs January 29, 2014 Presented by: William H. Bender, FCSI
  • 2. Facilities Management and Design @WmBender
  • 3. Facilities Management and Design WHY CHOOSE AN FCSI MEMBER AS YOUR CONSULTANT? FCSI is the only such consulting society that operates in 45 countries worldwide. FCSI consultant members must abide by a strict Code of Ethics and Professional Conduct. We efficiently to achieve total client satisfaction and always maintain independence from the supply side of the industry.
  • 4. Facilities Management and Design WHAT IS A FOODSERVICE CONSULTANT? Generally speaking, a foodservice consultant: • Is an independent professional advisor • Works on a defined scope of work and related fee • Works as an advocate for their client in achieving their goals Design and implementation of foodservice facilities and/or Management Advisory Services (MAS) As independent professionals their primary focus is the welfare of the client organization that they serve.
  • 5. Facilities Management and Design Specialties: • Accounting & Finance • Beverage System design • Capital Budgeting • Compliance Certification • Contract Management • Dietary & Nutrition • Due Diligence • Equipment Surveys • Facility Assessments • Finance Raising • Food Safety & Hygiene • Human Resources • Interior Design • Kitchen Design • LEED Planning/Design • Mgt Recruitment & Development • Master Planning • Operating Procedures & Systems • Operator RFP Selection/Monitoring • Revenue Generation • Strategic Financial Analysis • Training • Workshops and Education • Architectural Design • Business Strategy • Code Compliance • Concept Development • Culinary Development • Distribution/Procurement • Energy & Environment • Executive Coaching • Feasibility Studies • Food Production Systems Design • Franchising • Imagineering • IT Systems, Sourcing/Mgt • Laundry Design • Legal Advice/Litigation Support • Marketing & Promotion • Menu Development/Engineering • Operations Review & Re-Engineering • Quality Management • Space Planning • Sustainability • Waste Management Design • Workstation Ergonomics/Design
  • 6. Facilities Management and Design Mission Statement: To promote professionalism in foodservice and hospitality consulting while returning maximum benefits to all members. www.fcsi.org
  • 8. Facilities Management and Design 1967 - First Gratuity .50¢
  • 9. Facilities Management and Design The trades pay off!
  • 11. Facilities Management and Design SYSTEM = SYR-O-MATIC
  • 12. Facilities Management and Design 2014-15 Restaurant Industry Challenges • Hypercompetitive Market Elements - (Growing daily) • Market of People - (Lack of qualified employees and applicants) • Generation of People - (Poor education nationwide with almost Ø parental oversight) • National & Global Economic Crisis (Slow Recovery) • Cost of Obama Health Care Plan??? $ 10.15 San Jose Minimum Wage $ 10.74 San Francisco Minimum Wage
  • 13. Facilities Management and Design Starting a Restaurant Calls Hi Bill, My _______ and I are starting a restaurant. We have a great recipe, product and want to open up a location(s) and then we want to franchise. How much do your services cost? We have money and need help with…… Hi Bill, My _______ and I are starting a restaurant. We have a great location and want to open up in May 2014. How much do your services cost? We have money and need help with……
  • 14. Facilities Management and Design Start Up Development Costs !  Costs vary according to type, size/scale of restaurant with “first units” costing more !  Large restaurants/full service have greater costs !  Urban projects cost more than suburban !  Mall sites have higher costs than small neighborhood centers !  Proven concepts cost less that “new” concepts !  Complicated menus/service concepts have higher costs !  Next Generation Prototypes have a tendency to increase in size/square feet
  • 15. Facilities Management and Design Start-Up Costs Expenses incurred for the acquisition or creation of your restaurant business. Start-up costs are comprised as any incurred amounts or outgoing capital in relation with your restaurant’s activity for income generation before your restaurant business starts.
  • 16. Facilities Management and Design Start Up Development Expenses • Potential Market Surveys • Evaluation of site, locations, facilities, labor market • Concept creation and development • Brand and Marketing development • Design and building or remodeling fees • Interior design and decorating • Permits and Licenses • Construction and Engineering Fees • Fixture, Furnishings, and Equipment • Equipment and Fixture Installation • Pre-opening salaries for management training and their trainers • Salaries, fees for owners, executives, consultants, or similar services • Costs of travel for acquiring prospective suppliers or distributors • Pre-opening Training of Team Members • Team Member Uniforms
  • 25. Facilities Management and Design Team Member Experience Guest Experience
  • 26. Facilities Management and Design Branding BrandRight The whole process of branding is to differentiate your product In the marketplace and to get consumers to identify it as different, better and special. ~ Sergio Zyman The End of Marketing As We Know It
  • 27. Facilities Management and Design Closing Thoughts 1. View yourself as a professional. 2. Be proud of the foodservice industry. 3. Continue to educate yourself (Network). 4. Keep your life balanced. 5. Make some friends and have some fun.
  • 28. We’re based in San Jose, California - Learn how we can assist you create or improve your Facilities Management and Design business. There is no charge for the first call and we love Silicon Valley Technology! Contact Information 408.784.7371 Apple FaceTime www.whbender.com whb@whbender.com Skype ID WHBender 1430 Norman Avenue San Jose, CA 95125-5217 Get Social and Network with Bill Today to Get Started. @WmBender William H. Bender William H. Bender W.H. Bender & Associates WHBender W.H. Bender & Associates WHBender Blog – WHBender.com W.H. Bender & Associates
  • 29. Facilities Management and Design Questions or Information? whb@whbender.com @WmBender