How to Prepare for a Recession in Your Restaurant Business

Описание: How to Start Planning for a Recession in Your Restaurant Business - Let’s talk about the recession. Are you asking, “What recession?” The talking heads and our government officials are all saying we are in a state of high inflation, and we could go into recession soon. How bad a recession or how long or short lived, no one knows. While I am not an economist and am not qualified to make this statement, I am going to tell you we are in a recession. I’ve been through enough of these cycles to feel confident in that statement. In this episode of my podcast, The Restaurant Prosperity Formula, I am going to define the terms and indicators of a recession, and how the lessons of the past should be informing our future, including how we handle what comes next. Listen here: https://dsp.coach/podcast-050

Add 13% to your bottom line and take 2 days off/week from your restaurant: https://dsp.coach/success
Sponsor – Repeat Returns: http://repeatreturns.com/dsp

📖 I wrote a book for restaurant owners and managers: https://amzn.to/2ZYlL7Y
🔔 Be sure to subscribe to this channel to get alerts when I post a new tip: http://bit.ly/2Yk484P
🎧 Take me on the go and listen to my podcast: https://dsp.coach/podcast
**********************************
Welcome to my YouTube Channel. I am David Scott Peters, a restaurant coach and speaker who teaches restaurant operators how to cut costs and increase profits with my trademark Restaurant Prosperity Formula. Known as THE expert in the restaurant industry, I apply my no-BS style to teach and motivate restaurant owners to take control of their businesses and finally realize their full potential. Thousands of restaurants have used my formula to transform their businesses. To learn more about me and my coaching program, visit http://www.davidscottpeters.com.

**********************************
If we can’t agree we are already in a recession, I know we can agree that there is high inflation. I know not everyone in the restaurant industry now was in business during the Great Recession between December 2007–June 2009, but for those who were, you vividly remember the lessons learned. The restaurant industry took a beating. Fine dining restaurants lost 50% of their sales overnight. Customers started buying down and quick service restaurants excelled because back then their menu items were less expensive and customers didn’t have to tip.

As an industry, we learned the importance of:
• Cash on hand
• Budgets
• The power of your menu
• Scheduling on budget

I’d argue many did not learn those lessons or remember them for long. When pandemic business restrictions went into place, 25% of independent restaurants closed their doors because they only had two weeks of cash flow on hand. Most restaurants weren’t operating on a budget, and they were slow to react to changing their menus. They kept people working even though there was no business, bleeding their bank accounts.

With inflation in full effect and a recession imminent, here is what I’ve been preaching to restaurant owners that still matters:
• Become an employer of choice (listen to this podcast episode to learn more about this).
• Step up your marketing to not only attract new customers but retain existing ones.
• Create and use a budget, use systems to achieve your budget goals, put management in place to ensure the process is working and attack your menu to eliminate inefficiencies and drains on your profits.

Also covered in this episode of my podcast is a short list of the many things the restaurant owners in my premium restaurant coaching group are doing to shore up their businesses to ride out the inevitable fallout of inflation:
• Signed up for my coaching group, Restaurant Transformation Intensive
• Created recipe costing cards and keep them updated to keep menu cost in line
• Training employees on importance of service to make sure the guest is having a great dining experience
• Many more ideas

While I market myself as the restaurant expert, the creator of the Restaurant Prosperity Formula and the systems guy, there is nothing more powerful than restaurant owners masterminding together, sharing their success, helping each other with their challenges and being there to support each other.

And that’s what makes this podcast so special. I let you get a glimpse of how my members are gearing up for what could be a knockout punch to our industry and instead of feeling sorry for themselves, they are putting plans in place to not only survive the hit but to thrive.
**********************************
Find more about how to run a restaurant business on my other platforms:
👍 Facebook:   / davidscottpetersbiz  
📸 Instagram:   / davidscottpeters  
📱 Twitter:   / restaurantxpert  
🔔 Subscribe to YouTube: http://bit.ly/2Yk484P
🎧 Podcast page: https://dsp.coach/podcast