Opening a Restaurant in Australia: What the Experts Know That You Don’t

Most people who open a restaurant for the first time do so with passion, a great idea and not enough of the right information. Most people who open a second one do it completely differently.

Here is what experienced operators know before they start that most first-timers find out the hard way.

The location is a business decision, not an emotional one

The right location is not the one that feels exciting or looks beautiful. It is the one that has the right foot traffic for your concept, the right demographics for your price point, the right visibility and the right terms on the lease. Signing a lease based on instinct is one of the most expensive mistakes you can make.

Your build cost will be higher than the quote

Every single time. Budget a contingency of at least 15 to 20 percent on top of your fit-out quote. Delays, variations and unforeseen conditions are the rule in commercial fit-outs, not the exception. If you have not planned for them financially, they will cause serious problems.

You will not be profitable immediately

Plan for three to six months of operating at a loss while you build your customer base, refine your systems and establish your reputation. This means having enough cash reserve to cover your fixed costs for that period without relying on revenue. Venues that open without this buffer are constantly stressed and it shows in the experience they deliver.

Your kitchen design determines your labour efficiency forever

A kitchen designed poorly costs you money on every single service for the life of the business. Get someone with real operational experience to review your kitchen design before construction begins. It is one of the highest value interventions available before you open.

Systems beat talent every time

A venue that depends on one great chef or one great manager is fragile. Build systems, document everything and train your team to work within them. The best operators are not the ones with the best staff — they are the ones whose venues run well regardless of who is on shift.

Pestle and Mortar helps venues across Australia open properly — from concept through to opening day and beyond.