Food Franchise Business · Getting Started

Starting a Restaurant Business Legally

Getting Started with a Food Franchise

Is it your dream job to own your own restaurant? Don't waste any more time dreaming... start the process today so that you are on your way to restaurant ownership.

One of the first things that you need to do is create a startup checklist so that you know what you need to do first. A startup checklist will usually begin one year from opening day and is organized as a timeline up to the opening day. Everything on your startup list will be in some way related to the concept of development, financing and legal, administration and accounting, equipment, design and construction, site selection and planning, food and beverage, marketing and operations of your restaurant business.

On your startup list should be a list of permits and licenses that you need to have before you can open the doors of your restaurant. Some of the permits and licenses that you'll need include:

• Permit for general construction
• Permit for use change and Certificate of Occupancy change
• Permit for Public Assembly
• Permit for Fire suppression system
• Permit for Fire Alarm
• Permit for sprinkler work
• Permit for gas connection
• Permit for plumbing and cross control devises
• Permit for mechanical equipment
• Permit for sign age
• Liquor license

Other legal items that you'll need to make sure are securely in place before you can open your doors are: knowing what taxes you have to pay and having enough of the right insurance.

You'll be required to pay Federal taxes as well as State Taxes. State taxes will vary from state to state so be sure to find out what the current laws are. It's a Federal offense to withhold your taxes so be sure that you contact a tax consultant so that you know exactly which taxes you are responsible to pay and at what rate.

You'll need to have Worker's Compensation in place before you can hire any employees. This is so that if one of your employees is killed or injured on the job that you have been paying your premiums so that you can pay benefits to the beneficiary, or the employee. An insurance broker where you live can provide you with a list of the different types of insurance coverage that is available for restaurant owners. This can include liability insurance for you and your employees, as well as your customers.

Once you're past the legal issues of opening up your own restaurant, you'll be well on your way to success. The important thing is that you complete everything on your startup list so that you are prepared for anything. Of course, always keep in mind that anything can happen in the restaurant industry. Julee Wasserman, from Entrepreneur Magazine says:

"There are a lot of start-up costs-entrance fees to trade shows, gas and food when you spend your day meeting with people, having your Web site built and hosted, company vehicle, mailings, phone costs, business cards, brochures-that I don't think people even think about when they start a business."

Good luck finding the perfect food franchise opportunity!

PS - We'd like to hear from you!
Got a suggestion for a story, article, or hot trend? Do you have questions about buying a food franchise, or about this website? Let us know. john@foodfranchisebusiness.com