Abraham Zaiderman, a successful restaurant franchisee and founder of Abraham Zaiderman Consulting, is one of the most respected restaurant owners the U.S. With the stock market and employment at a record high, it’s a great time to be in the restaurant business. We sat down with Abraham Zaiderman to learn some valuable tips that help new restaurant owners find their way to success in a complex business.
Restaurant Industry Stats
Before we get deeper into the best practices for restaurant success from Abraham Zaiderman, it might help to take a look at some of the following restaurant statistics. These statistics can help owners with new business planning and how to maximize success with what they are already doing today.
- 10% of workers in the U.S. are currently working in the restaurant business.
- Restaurant statistics keepers report that 8 in 10 restaurant owners who started their industry careers started in entry-level positions.
- There are over one million restaurant locations in the United States.
- Restaurant industry sales topped almost $800 billion in 2017. (Source: 2017 State of the Industry)
The above statistics remind us of how important the restaurant industry is to the U.S. economy. However, the statistic about having over one million restaurants across the United States is a sober reminder of how challenging the competition can be if you are a new business owner starting a business today. With so many different restaurants that consumers have to choose from, what will make them choose your establishment over the others? How will you differentiate your business in such a way that will make people choose to dine at your establishment?
Abraham Zaiderman shares these statistics with others who are starting a restaurant business to illustrate how difficult the food business can be, but also to pinpoint areas of opportunity. For example, the failure rate of restaurants is around 57 percent during the first three years of business. The very fact that more restaurants fail than succeed in the early days is reason enough to find an experienced and qualified expert to advise you.
Helpful Tips for Restaurant Owners
Zaiderman offers the following tips for new restaurant owners to reduce the risk of failure:
1. Set a financial plan. Zaiderman focuses on the importance of creating a financial plan and sticking to it. He reminds business owners that you cannot afford to overextend and reminds them that this is one of the primary reasons businesses fail in the first stages.
2.Create a growth plan. Expanding your potential profit and curbing your expenses is the key to sound business growth. As a professional advisor to restauranteurs, Zaiderman discusses how having a plan for growth is essential to take your restaurant to the next level.
3. Create a cost-benefit analysis. Another important part of Zaiderman’s plan for his clients is to plan investments wisely. He advises clients not to invest more than they can afford to until they are financially stable. He explains that growth also requires attention to the bottom line.
4. Stay in compliance. Staying in compliance with food and federal, state, and local regulations are critical to keeping your business on the right track. By following regulations, you will avoid hefty fines and other legal problems that may arise from failing to do what is legally required. Knowledge is power, and the more owners know about local and state regulations, they will have an advantage over their competition.
About Abraham Zaiderman
The success or failure of any new business depends on a significant number of factors. But it all comes down to how well someone can use their resources (both financial and otherwise) to their most significant advantage. Abraham Zaiderman is known for his ability to help restaurant owners do just that. “Being an entrepreneur, I’ve always been driven and motivated by a certain amount of doubt, but I’ve always had confidence in my ability to succeed. The support of my wife and family has been a continual source of inspiration, especially during those moments when I am questioning my choices,” says Zaiderman.
That is why he is so successful, not only as a restaurant and franchise owner but as a business consultant. If you plan to start a restaurant business, you’ll want to bookmark this page to learn more about this inspiring influencer in the restaurant industry