Why do some restaurants fail

Going to the cinema the weekend coming and want to get something to eat first, so I looked up a cheap and cheerful burger restaurant that I like but its closed down, the place was always full and very popular, yet other restaurants that are mediocre seem to do well and stay in business.

Dr Crayfish

Most don't last, and even the ones that do eventually fizzle out, with a few rare exceptions. It's a fickle business, therefore I'm always amazed at how so many people are willing to invest their cash in it. I've seen so many places in town in the last few years, that even I who knows nothing about the restaurant business really, can never see it working, and they've closed down quickly enough.
Can you really see any of these trendy BBQ places still open in 10 years? I don't think so. It could be the type of business where you can get in for a few years, make your money, and then shut up shop when your time has passed. If that's the case, sounds like it could be a good way to make your money I guess.

Robsweezie

food served on shovels and slates in a fuucking abominable attempt to be....whatever tf they're trying to be?

Boggy Turf

Bad service will kill a restaurant. Poor waitresses or poor systems/processes will frustrate employees and customers.

Think of the restaurants that you avoid because the service is slow, unfriendly or prone to order mistakes.

Atlantic Dawn

Robsweezie wrote: »

food served on shovels and slates in a fuucking abominable attempt to be....whatever tf they're trying to be?

I won't have food in any place offering food on a slate, it's absolute filth.

SEPT 23 1989

Chefs with no head for numbers

And that's the way it should be

osarusan

I'm always surprised to see a restaurant open in a space where 2 or 3 other restaurants have already failed in the past.

Glenster

Dr Crayfish wrote: »

Most don't last, and even the ones that do eventually fizzle out, with a few rare exceptions. It's a fickle business, therefore I'm always amazed at how so many people are willing to invest their cash in it. I've seen so many places in town in the last few years, that even I who knows nothing about the restaurant business really, can never see it working, and they've closed down quickly enough.
Can you really see any of these trendy BBQ places still open in 10 years? I don't think so. It could be the type of business where you can get in for a few years, make your money, and then shut up shop when your time has passed. If that's the case, sounds like it could be a good way to make your money I guess.

2010? Is that you?

Graces7

osarusan wrote: »

I'm always surprised to see a restaurant open in a space where 2 or 3 other restaurants have already failed in the past.

Dreamers.. so many think they can succeed and set out with high ambitions. Sad to see so many crash.

whiskeyman

These days, upwards only rents can kill off even successful restaurants.

Dr Crayfish

Glenster wrote: »

2010? Is that you?

I don't think the ones I'm thinking of would have been open then!

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This post has been deleted.

Alun

osarusan wrote: »

I'm always surprised to see a restaurant open in a space where 2 or 3 other restaurants have already failed in the past.

We have a place like that in Bray on the main street that just seems to have a curse on it, with no restaurant apart from the one that originally occupied the site lasting more than 12-18 months. There was nothing wrong with the food in any of them, quite the opposite, it's just not in a very good location at one end of the town and has no direct frontage, just a door leading up to the first floor. The interior is quite large with a split level setup which is fine if it was busy, but just makes the place seem emptier than it is if there's only a handful of tables occupied, resulting in a lack of atmosphere meaning people don't go back.

There was a Greek restaurant that failed about 18 months ago, really nice owner, and it was sad to see him go, but try as as he might he couldn't make a go of it. I don't think it was more than a week after closing that the signs went up for the new place, a Lebanese restaurant, which has also closed.

It makes you wonder what research prospective new tenants do when they take on a premises like that. It wouldn't take much to just ask around local businesses in the area to learn the history of the place.

oppenheimer1

Most restaurants fail because they fail to attract repeat business. I could count the number of places I've been to twice on one hand - that's not because the places I've gone to are bad it's because the choice or there is so great. I doubt I'm alone.

Most places stars seem to fade after a year or two when the hype has gone and the trendy have moved on to the next place. The ones that survive are those that get corporate clients.

Princess Consuela Bananahammock

Bad business plans and an over-abundence of fast-food restatuants would be my guess.

Ubbquittious

They go through a bad few months, start skimping on ingredients, drive away more customers, skimp even more and then they close up.

There is a kebab shop near me and I'm sure the only reason he's open is because there is no alternative. He can't even serve up a proper bag of chips

GBX

Trends change, tastes differ, as stated rents make it a non profitable business to maintain. A lot of factors come into it its never just one thing.

Earthhorse

Cash flow can be a big problem for restaurants. If they go to markets and pay cash for their ingredients but then customers pay by credit it can leave them continually behind on that front. This may be less of a problem these days with debit cards around.

If you see a good, busy restaurant failing I would say it's because the owner understands how to run a restaurant but not how to run a business, if you follow.

http://www.irishtimes.com/life-and-style/food-and-drink/the-secret-life-of-a-michelin-starred-restaurant-

Interesting article got me thinking are Michelin starred restaurant very profitable as a business.?