restaurants and bars
Restaurants seem to be the riskiest industry to go into and have some of the highest turnover rates. Moreover, restaurants have to worry about their food inventory, their kitchen equipment, their dining furniture, their employee’s pay, marketing efforts, paying rent and other bills, and seasonality. Employees in the restaurant industry have high turnover rates. In the restaurant industry, most servers are people working part-time while pursuing other goals.
Kitchen equipment has to be maintained and constantly updated to keep up with efficiency. Rent is constantly increasing in some neighborhoods. In addition, having high-quality ingredients that customers prefer can increase costs. With all of these factors to keep track of, the factor with the largest effect is Seasonality. Therefore, seasonality can seriously tie up a restaurant/bar’s cashflow. So, having high and low seasons makes it difficult for restaurants/bars to maintain enough cash throughout the low seasons to keep the operations going smoothly.
Troy Business Group & Restaurant Industry Financing:
Troy Business Group knows what the food servicing industry has to deal with and is here to help. We have a few key ways we have been able to help restaurants grow and expand.
Let one of our representatives at Troy Business Group walk you through all of the options available.