Beginning of Chinese restoration

Are you looking to open a Chinese restaurant?  here is a complete guide to start a Chinese restaurant business with no money or experience.

If there is a niche restaurant from a country that has established itself successfully in the world, it must be a Chinese restaurant. If you are based in the United States of America or most parts of the world, you will notice that Chinese restaurants are among the most profitable restaurants. The good thing about this business is that you don’t have to be Chinese before opening a Chinese restaurant; you can learn how to prepare and serve Chinese menus.

Basically, if you are a Chinese living in the United States and strive to use the huge Chinese population in the United States to generate income, one of the best options is to open a Chinese restaurant. The truth is if you are successful in opening a Chinese restaurant in the United States. USA, your customers will not only be Chinese, but all the people in your area who love to explore specialties from different parts of the world.

Please note that before starting this type of business it will pay you. Do your due diligence with regard to market research, economic and cost analyzes, and of course feasibility studies. The good part of this is that if you are successful before you start your Chinese restaurant business, it won’t be long before you break even and start smiling in the bank.

So, if you want to own a Chinese catering business in USA, just read this article and you will be well prepared to start a business. a brand that can outlive you.

The beginning of the Chinese restoration. The Complete Guide

• Industry overview

Chinese restaurants generate huge income even in the United States of America, so you need to build your own industry. Chinese restaurants are made up of a chain of restaurants and franchised restaurants that serve Chinese food to diners, while alcoholic and other drinks can be found in Chinese restaurants.

A recent report published by IBISWORLD shows that Chinese restaurant franchises are dominated by well-known brands such as Panda Express, PF Changs and Pick Up Stix. The industry includes quick and full service Chinese restaurants. Industrial demand is driven by economic trends in consumer spending, nutritional trends, healthy eating trends and the relative price of substitutes such as other fast food and full-service foods.

The Chinese restaurant industry is a thriving sector of the US economy, and the industry generates more than $ 2 billion annually from more than 3,381 registered Chinese restaurants across the country. The industry employs more than 29,968 people. Experts predict that the industry will grow by 3.3% per year between 2012 and 2021. Panda Express, PF Changs and Pick Up Stix hold the lion’s share of the industry’s market.

The Chinese restaurant industry has minimal barriers to entry, with minimal start-up capital and no special licensing requirements, while high levels of competition and market saturation in a declining industry can be difficult for budding entrepreneurs looking to open their own restaurant. Most Chinese catering players are small and medium-sized establishments serving the local and international community.

The Chinese restaurant industry will continue to thrive and is quite good; there is still plenty of room to accommodate budding entrepreneurs looking to open their own Chinese catering business in the United States of America.

Some of the factors that motivate entrepreneurs to start their own Chinese catering business may be that they are easy to set up and manage with minimal start-up capital and labor, especially if you choose to work. in a small community.

Beginning of market and feasibility studies for Chinese restaurants

• Demography and psychography

The demographic and psychographic makeup of those who eat food served in Chinese restaurants covers all age and gender groups, so the Chinese dining demographics covers it all. The truth is, when it comes to selling Chinese food, there is indeed a wide range of buyers available.

Basically, your target market may not be limited to just migrants from China, but only those who live in places where you have a restaurant.

The level of competition in the Chinese restaurant industry

The competition that exists in the Chinese restaurant industry goes beyond the competition between Chinese restaurants in your area; You have to compete with intercontinental restaurants and all the other stores that also sell Chinese food. So, it would be fair to say that the competition in the Chinese restaurant industry is fierce.

The truth is, no matter how competitive the industry is, if you have done your due diligence and promote your brand and products or business in the right way, you will always get ahead. in industry. Just make sure you cook well the variety of Chinese dishes you have on your menu; You can provide great customer service and know how to reach and reach your target market.

List of famous brands in the industry

Think about it, in every industry there are always brands that perform better or are viewed better by customers and the general public than others. Some of these brands have been around the industry for a long time, while others are best known for the way they run their businesses and the results they have achieved over the years.

Here are some of the top Chinese restaurants in the United States of America and around the world;

• Panda Express
• PF Changs
• Pick up Stix
• Peking Pie, Monterey Park
• Chinese Magic Noodle House, Chandler
• Chef Chus, Los Altos
• Class 302, Rowland Heights
• Date Del Mar, Del Mar
• Enjoy a vegetarian restaurant, San Francisco
• Mongolian hot lamb, San Mateo
• Chinese restaurant San Tung, San Francisco
• Sea Harbor Seafood Restaurant, Rosemead
• New Tang Tang Tsang Seafood Restaurant, San Gabriel
• Tropical Chinese, Miami
• RG Lounge, San Francisco
• Canton House Chinese Restaurant, Atlanta
• Delicious China, Marietta
• Legend Seafood Restaurant, Honolulu
• Sweet Home Cafe, Honolulu
• Sun Shui, Arlington Heights

Economic analysis

When will he successfully launch your business? If you are making profits and maximizing your profits, you will have no choice but to do the right economic analysis and cost analysis and try to adopt as much as possible the global best practices in the industry in which you decide to build Enterprise.

Chinese food service in the United States is not really a green business; You will come across a few Chinese restaurants, intercontinental restaurants, and other retail outlets that serve Chinese food as you drive around town.

So if you are planning your economic and value analysis, you need to do a thorough analysis. Market overview of the amount required to rent the premises where you need to build a standard Chinese restaurant, the amount required to purchase furniture, flat-screen TVs, sound systems, gas stoves, microwave ovens, kitchen utensils and equipment, the table and other materials, and also the costs of running a successful business.

Ultimately, if you are considering opening a Chinese restaurant business in the United States, your concern shouldn’t be limited to the cost of buying furniture. and other materials, but also on branding and building a solid customer base. The truth is, if you can successfully build a solid customer base, you will be maximizing your profits in this business.

Start your Chinese restaurant business from scratch or by purchasing a franchise

When it comes to starting such a business, you have to pay to buy a successful and established Chinese restaurant brand franchise, not start from scratch. While buying a franchise from a well-known Chinese restaurant brand is relatively expensive, it will definitely pay off in the long run. perspective.

But if you want to build your own brand, after proving your worth in the restaurant business, you can simply start your own restaurant business in China from scratch. The truth is, in the long run, you have to pay to start your Chinese restaurant business from scratch. Starting from scratch will give you the opportunity to conduct in-depth market research and feasibility studies for your business.

Note that a significant percentage of successful Chinese restaurants in the United States started from scratch and were able to build a strong business brand. Success in business requires dedication, hard work and determination.

Threats and potential challenges you will face when starting a Chinese restaurant business

If you decide to start your own Chinese catering business today, one of the main issues you are likely to face is having well-known Chinese restaurants and other food retailers that also sell Chinese food. . The only way to avoid this problem is to create your own market.

Some other problems and threats you are likely to face are the economic downturn; if the economy is in bad shape, chinese restaurants and niche restaurants generally have difficulty supporting their old customers or even welcoming new customers. In addition, adverse government policies can also hamper the growth of your Chinese restaurant business.

Establishment of a Chinese restaurant business, legal issues

• The best legal entity to use for this type of business

When it comes to starting a Chinese restaurant business, the entity you choose will go a long way in determining the size of the business you can grow.

In general, you can choose a limited liability company, a limited liability company or even a sole proprietorship for your Chinese catering business. Usually, the sole proprietorship should have been the ideal business structure for a small Chinese catering business, especially if you are starting out with little start-up capital in a small area and with only one outlet.

But if your intention is to grow your business and open Chinese restaurant chains in the United States of America and other countries around the world through franchising, choosing a sole proprietorship is not an option for you. you. A limited liability company, LLC, or even a general partnership will do this for you.

Setting up an LLC protects you from personal liability, so if something goes wrong in the business, only the money you put into the limited liability company is at risk. This is not the case for sole proprietorships and partnerships. Limited liability companies are simpler and more flexible to manage, and you don’t need a board of directors, shareholder meetings or other management formalities.

Here are some of the factors to consider before choosing a legal entity for your Chinese catering business; limitation of personal liability, ease of transfer, acceptance of new owners and investor expectations, and of course taxes.

If you are in no rush to research the various legal entities available for use in your Chinese catering business with the option of selling a franchise, you agree that a limited liability company; LLC is the most appropriate. You can start this type of business as a Limited Liability Company (LLC) and turn it into a “C” or “S” corporation in the future, especially when you plan to go public.

Interestingly, when you go to a C or S company, you will have the opportunity to expand your Chinese catering business to compete with the major players in the industry; You will be able to generate capital from venture capital firms, you will have a separate tax structure, and you can easily transfer the ownership of the business.

Attractive business name ideas suitable for Chinese catering

When it comes to choosing a name for your business, you have to get creative because whatever name you choose for your business, you will get a feel for what the business is. If you are thinking of starting your own Chinese restaurant business, here are some catchy names to choose from:

• • Chinese Restaurant Stan LEE® Co., Ltd
  • China Town ™ Chinese Restaurant, LLC
  • Cho Cho © Chinese Restaurant, Inc.
  • Chinese Restaurant Chang Sandra®, Inc.
  • Chinese Restaurant Lee Kin Cho ™, Inc.

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• Yuen Shui ™ Chinese Restaurant, Inc.
• New China Restaurant ©, Inc.
• Chinese Sisters® Restaurants, LLC
• Xi Li® Chinese Restaurant, Inc.
• Chef © Chinese Restaurant, Inc.

Insurance conditions

In the US and most countries around the world, you can’t run a business without some of the basic insurance policies required by the industry you want to work in. Therefore, it is important to budget for insurance and perhaps consult an insurance broker to help you choose the most suitable insurance policies for your Chinese restaurant business.

Here are some of the basic insurance policies to consider when buying if you want to start your own Chinese catering business in the United States of America;

• General insurance
• Medical / health insurance
• Liability insurance
• Workers compensation
• Building / property insurance
• General disability insurance
• group insurance for business owners
• payment protection insurance

intellectual property / trademark protection

If you are planning to start your own Chinese restaurant business in the US, you generally will not need to apply for IP / Trademark protection. This is because the nature of the business allows you to run it successfully without having any reason to challenge anyone in court for illegal use of your business’s intellectual property.

But if you just want to protect your unique recipe, your company logo and other documents or software that are unique to you, or even jingles and multimedia production concepts, you can apply for intellectual property protection. If you want to register your trademark, you must initiate the process by filing an application with the USPTO.

Do i need professional certification to start a Chinese catering business?

Besides preparing a variety of delicious Chinese food, professional certification is one of the main reasons why most Chinese restaurant brands stand out. If you want to make an impact on the Chinese restaurant industry, you should strive to get all the necessary certifications in your field.

Certification validates your competence and shows that you are highly qualified and committed to your career. and modern in this competitive market. Here are some of the certifications you can aspire to if you want to start your own Chinese restaurant;

• Pure health certificate
• Food processor certificate
• Restaurant training certificate

Please note that you can successfully run a Chinese restaurant in the United States and most countries around the world without necessarily gaining professional certifications if you have sufficient experience in the field. catering industry.

List of legal documents required to run a Chinese catering business

The essence of having the necessary documentation before starting to work in the United States cannot be overstated. It is a fact that you cannot successfully conduct business in the United States without proper documentation.

If you do, it won’t be long before the long arm of the law catches up with you.These are some of the basic legal documents you need to have in place if you want to legally run your own Chinese restaurant business in the United States. United States of America;

• Registration certificate
• Business license
• Tax identification number / Tax identification number
• Food and Beverage Supplier Certificate
• Sanitary inspection certificate
• County Food and Beverage Officer ID Confirmation
• Copy of the service center license and / or recent inspection report
• Business plan
• Undisclosed agreement
• Employee Handbook
• Employment contract (letters with proposals)
• Operating Agreement for LLC
• Insurance policy
• Online Terms of Service (if you also surf the Internet)
• Online privacy policy document (mainly for an online payment portal)
• Company charter
• Memorandum of Understanding (MoU))
• Construction license
• Franchise or trademark license (optional)

Financing of a Chinese catering company

Interestingly, starting a Chinese restaurant business can be profitable, especially if you choose to start small by running a corner business. Providing a standard and well-located facility, as well as purchasing food to cook and serve food, etc., is part of what will require a significant portion of your start-up capital.

If you decide to start a large-scale business, you will need to find the funds to finance the business, as starting a large standard Chinese catering business is expensive. When it comes to financing a business, one of the first and perhaps the most important factors to consider is writing a good business plan.

If you have a good, achievable business plan document, you might not have to work hard before convincing your bank, investors, and friends to invest in your business. Here are some of the options you can explore when looking for start-up capital for your Chinese restaurant business;

• Collect money from personal savings and sell personal stocks and property
• Collect money from investors and business partners
• Sell ​​shares to interested investors
• Apply for a loan from your bank
• Submit your business idea and apply for business grants and seed funding from donor organizations and angel investors
• Source of loans on favorable terms from your family and friends.

Choosing the right location for your Chinese catering business

When it comes to choosing a location for your Chinese catering business, a rule of thumb is demand for Chinese food and easy access to bulk food purchases directly from farmers, food centers, or food distributors. basically. Of course, if you can make sure your Chinese restaurant is centrally located, it will help people find your restaurant.

It cannot be overstated that the location you choose to start your Chinese catering business is the key to business success, therefore entrepreneurs are willing to rent or lease a facility in a visible location; a place where the demographics are made up of people with the necessary purchasing power and lifestyle.

Most importantly, before choosing a location for your Chinese catering business, be sure to do a thorough feasibility study and market research first. It cannot be excluded that you will come across a similar business that will simply close the store in the place where you want to open yours.

Here are some of the key factors to consider before choosing a location for your Chinese catering business;

• Location demography
• Chinese food demand in this place
• the purchasing power of the inhabitants of this place
• availability of the site and the road network
• number of Chinese restaurants and any other retail outlet that also sell Chinese inspired food at this location
• Local community / state laws and regulations
• Traffic, parking and security, etc.

The beginning of the Chinese restoration. Technical and personal data

This type of business does not require any special technology or equipment, except dishes, dishes, food. auxiliary equipment (microwave oven, toaster, dishwasher, refrigerator, blender, etc.), storage equipment (bins, drainer, shelves, food crate), countertop equipment, sink, ice maker and etc.), computers and receipts, sound systems (for playing music) and point of sale machines.

You will also need computers / laptops, internet equipment, fax machines and office furniture (chairs, tables and shelves) and more, all of which can be used as a living room.

When it comes to renting or buying a restaurant, the choice depends on your financial situation, but the truth is that, to be on the safe side, it is advisable to start with a short term lease / lease during the period of time. commercial test on site. If everything works as planned, you take a long term lease or a full purchase of real estate, and if not, go find another ideal location / object for such a business.

When it comes to hiring employees for a standard Chinese restaurant, you should plan to hire a competent CEO (you can take this position), administrator and personnel manager, cook / chef, restaurant manager, waiters and waitresses, accountant and housekeepers. On average, you will need at least 10-15 key employees to run a small, standard Chinese catering business.

The commercial service process associated with Chinese catering

When it comes to the business service process in the Chinese restaurant business, there are no hard and fast rules. Basically, it is the responsibility of the product manager to help the organization purchase food ingredients and packaging / serving materials.

Once the Chinese catering business is operational, Chinese specialties such as; Cajun-influenced dishes, a variety of seafood such as shrimp with basil and nuts, Hainan chicken rice, Americanized Chinese cuisine like sweet and sour chicken, etc. are prepared and they are listed on the menu. Food purchased from a Chinese restaurant can be eaten in the restaurant or can be recovered.

It is important to clarify that Chinese catering can choose to improvise or adopt a business process and structure that will ensure its effectiveness. and flexibility; The above business process in Chinese restaurant business is not made in stone.

The beginning of the Chinese restoration. Marketing plan

• Marketing ideas and strategies

Generally, running a business requires you to be proactive in marketing your products or services. If you decide to start a Chinese catering business, then you need to make every effort to employ strategies that will help you attract customers, otherwise you will probably have a hard time with the business as there are some well-known brands that determine the market orientation for industry.

Nowadays, businesses are aware of the power of the Internet and that is why they will do their best to make the most of the Internet (video / YouTube) to promote their services and products. In other words, a greater percentage of your marketing efforts will be directed to internet users.

Here are some of the ideas and marketing strategies you can use for your Chinese restaurant business;

• Introduce your Chinese restaurant by sending cover letters along with your brochure to residents and other key stakeholders in the city where your Chinese restaurant is located.
• Internet advertising on blogs and forums, as well as on social networks. media such as Twitter, Facebook, LinkedIn to get your message across
• Create a basic website for your business to be present online
• Direct marketing of your products.
• Take part in roadshows from time to time in targeted communities to promote your Chinese restaurant business.
• Join local Chinese restaurant associations for industry trends and advice.
• Offer discount days to your customers
• Promote your business in community newspapers, local TV and radio stations
• List your business on the yellow pages (in local directories)
• Encourage the use of word of mouth marketing (referrals)

Factors to Help You Get the Right Product Price for Your Chinese Restaurant Business

A key factor in helping you to sell your Chinese food at the lowest prices is to make sure that you buy food directly from farmers or wholesale food ingredient suppliers in large enough quantities. The truth is, the more produce you buy directly from farmers, food hubs and wholesalers, the less you buy.

Another strategy to help you sell your Chinese food at a reasonable price. This means that you will keep your operating costs to a minimum and focus your efforts on marketing and promoting your brand. Besides the fact that this strategy will help you save money, it will also help you get the right price for your menu.

You can also try to work with independent contractors and marketers as much as possible; this will help you save on the salaries of sales and marketing managers.

Possible competitive strategies to win over your competitors

Having a variety of delicious Chinese food in your restaurant Restaurant, your business process and of course your pricing model are all part of what you need to stay competitive in the industry.

Another possible competitive strategy to win your competition in this particular industry is to build a strong customer base. Also make sure that your organization is well positioned, that the key members of your team are highly knowledgeable, and that the Chinese cuisine on your menu can compete favorably with some of the best in the Chinese restaurant industry, not only in your city. , but all over the world. …

Strategies to increase your brand awareness and create a corporate identity

If you are in business and have no intention of building brand awareness and communicating with your corporate identity, you should be prepared to take on the role of a company representing your business. One of the secrets of great companies is that they are willing to spend a fortune to increase their brand awareness and continue to convey their corporate identity the way they want people to see it.

If you intend to start a catering business in China to take the business out of the city where you intend to set up your first catering store to become a national and international brand by owning Chinese restaurant chains and franchises, you need to be prepared to spend the money on promotion and advertising. your brand.

No matter what industry you belong to, the truth is that the market is dynamic and requires constant brand awareness and stimulation. continue to attract your target market. Here are the platforms you can use to build your brand awareness and brand identity for your Chinese restaurant business;

• Advertise on print (food newspapers and magazines) and electronic media platforms
• Sponsor relevant community events / programs
• Use on the Internet and social networks such as; Instagram, Facebook, Twitter, YouTube, Google + and more. To promote your Chinese restaurant business
• Install billboards in strategic locations in your city or state
• Take part in roadshows from time to time in targeted areas to market your Chinese catering business
• Distribute flyers and flyers to targeted areas
• List your Chinese catering business in local directories / yellow pages
• Promote your Chinese restaurant business on your official website and use strategies to help drive traffic to the site.
• Place the Flexi banners in strategic positions where the Chinese restaurant business is located.
• Make sure all of your employees are wearing your branded shirts and that all your cars, trucks and vans are properly branded with your company logo.