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RESTAURANT BUSINESS PLAN – Narrative Outline & Sample

This product contains a detailed outline and complete set of sample pages of a restaurant business plan. The outline is a topical guide designed to facilitate the writing of the narrative section. It lays out an easy way to create a comprehensive and powerful document that explains your business concept, structure, and performance. The sample pages show a finished plan, complete with a cover letter, pro forma financial statements, and supporting documents. The links below show sample pages from the sample plan. Clicking on the link will bring you to page below. to 5stardoodlereturn to the top, click on the up-arrow icon.

From the Table of Contents:

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Note: While this product provides the tools needed to write the narrative portion of the plan, we recommend using our Restaurant Business Plan – Financial Modeling Spreadsheets to help write the financial section.

“I went with this plan because it was written and supported by an ex-restaurant guy. The method didn’t make sense at first, I had to do a lot of writing and research, but he was right, I learned a lot in the process. Looking forward to presenting my finished plan to the bank next week.”
-R. Fitzgerald, 2012

To read more about writing a restaurant business plan, click here.


Vivando Restaurant

Vivando, Inc., a Massachusetts based corporation, will operate Vivando, a single unit, medium-size restaurant serving healthy, contemporary style food and alcoholic and non-alcoholic beverages. The restaurant will be located at 645 Deacon Street in Cambridge, Massachusetts.

Mission Statement
The company’s goal is that of a multi-faceted success. Our first responsibility is to the financial well being of the restaurant. We will meet this goal while trying to consider; 1) the effect of our products on the health and well being of our customers (and our staff), 2) the impact that our business practices and choices will have on the environment, and 3) the high quality of attitude, fairness, understanding, and generosity between management, staff, customers, and vendors. Awareness of all these factors and the responsible actions that result will give our efforts a sense of purpose and meaning beyond our basic financial goals.

Development & Status
The company was incorporated in September of 2004 and elected sub-chapter S. The founders are Elliot Davies and Myrna Mason. Elliot is the President and Myrna the Vice President. There are a total of 10,000 shares of common stock issued. Myrna and Elliot each own 3,000 and the remainder are retained by the company for future distribution. In addition they have loaned the company $25,000 of their own money for research and start-up costs.

A suitable site for the first restaurant was found last month and lease negotiations are in the final stages. The location will be on Deacon Street, just outside Harvard Square and close to a dense population of the target market. When the lease is signed there will be three months of free rent for construction and in that time the balance of the start-up funds must be raised. With that phase completed, Vivando Restaurant can then open and the operations phase of the project can begin.

Future Plans
If the business is meeting its projections by month nine, we will start scouting for a second location and develop plans for the next unit. Our five-year goal is to have 3 restaurants in the greater Boston area with a combined annual profit of between $500,000 and $1,000,000.

Vivando Restaurant

There are over two dozen restaurants in the Harvard Square area that sell food at similar prices. Although this presents an obvious challenge in terms of market share, it also indicates the presence of a large, strong potential. The newest competitors have made their successful entry based on an innovative concept or novelty. Vivando will offer an innovative product in a familiar style at a competitive price. Our aggressive plans of take-out and delivery will also give us an advantage to create a good market share before the competition can adjust or similar concepts appear.

Competitor’s Profile
Competing with Vivando for the target market are these categories of food providers:

  • Independent table service restaurants of similar menu and price structure.
  • Chain restaurants of similar menu and price structure
  • Commercial foodservice companies serving students directly.

Independent operators include Grendel’s Den, Iako, Bombay Club, Iruna, and The Border Cafe. Most are ethnic based and will carry at least two similar menu items. Grendel’s and Iruna are long-standing businesses while the others are fairly new. They all are doing very well.

The major chain restaurants are House of Blues, Chili’s and Bertucci’s. All are relatively new but well established and profitable. They have big resources of marketing and/or a specialty product or attraction (House of Blues is also a live music club). Ogden Foods and Cysco both service 24,000 Harvard students but their product is not appealing enough to prevent students from eating out 5 to 7 meals a week. In addition there are two local catering companies that deliver prepared meals daily to offices.

Competitive Strategy
There are three major ways in which we will create an advantage over our competitors:

  • Product identity, quality, and novelty
  • High employee motivation and good sales attitude
  • Innovative and aggressive service options.

Vivando will be the only restaurant among all the competition, which focuses the entire menu on healthy, low-fat cooking. Each of the competitors offers at least one “healthy” selection on their menu. Grendel’s Den even has an entire section called “On the Lighter Side” but in all cases they are always seen as alternatives to the main style being offered. The target market will perceive Vivando as the destination location for healthy, low-fat cooking.

Once they have tried the restaurant, their experience will be reinforced by friendly, efficient, knowledgeable service. Return and repeat business will be facilitated by accessible take-out and delivery options. At the time of this writing all of the competitors offered take-out but only two (Bertucci”s & Chili’s).

Vivando Restaurant

Key Employees & Principals
Elliot Davies, President. Elliot Davies is also the owner and manager of Grains & Beans, a local natural food wholesaler and retail store. Since 1997 his company has created a high-profile mainstream image for natural foods. In 2002 Grains & Beans opened a small cafe within the retail store that became so popular and profitable, he decided to expand the concept into a full service restaurant. Elliot brings with him a track record of success in the natural foods industry. His management style is innovative and in keeping with the corporate style outlined in the mission statement.

Compensation & Incentives
Vivando will offer competitive wages and salaries to all employees with benefit packages available to key personnel only.

Board of Directors
An impressive board of directors has been assembled that represents some top professional from the area. They will be a great asset to the development of the company.

Consultants & Professional Support Resources
At the present, no outside consults have been retained, excepting the design department at Best Equipment.

Management to be Added
We are presently searching for a general manager and executive chef. These key employees will be well chosen and given incentives for performance and growth.

Management Structure & Style
Elliot Davies will be the President and Chief Operating Officer. The general manager and chef will report to him. The assistant manager and sous-chef will report to their respective managers, and all other employees will be subordinate to them.

Elliot Davies and the stockholders will retain ownership with the possibility of offering stock to key employees if deemed appropriate.


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