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A Step-by-Step Guide to Start a Restaurant Business


The Indian Restaurant Market is one of the fastest-growing in the world. It is expected to reach INR 5.99 lakh crore by 2022-23. Every entrepreneur has a dream to open their own restaurant, but only a small percentage of those try to succeed. Starting a restaurant business is not easy. It requires your complete focus and attention to be profitable.

To successfully launch your restaurant, you must follow a series of steps. In this article, we’ll guide you on how to start your own restaurant business.

How do you start a restaurant business in India?

To start a restaurant business in India, follow the steps outlined below!

Choose a restaurant category.

The first step is to decide what kind of restaurant you want to open. There are numerous options available in the market, including QSR (Quick Service Restaurants), pizzerias, casual and fine dining restaurants, and so on. Further exploration will reveal additional category options, including Chinese, Italian, Indian, Turkish, and so forth.

Before making your decision, consider whether your customers will enjoy your restaurant’s food & concept. Choose the restaurant type that has the highest success rate.


Choosing the right location can make or break your business as it plays a significant role in the overall success of your restaurant.

The likelihood of becoming profitable in a short period is higher if you choose the ideal location with plenty of existing restaurants.

Starting the right restaurant in the right place will increase your sales.

Competitive research

Competitive research provides you with in-depth knowledge of their business, allowing you to identify their best-selling food items, core chefs, and so on. You can also find their market share, brand value, and shift timings.

This will give you a clear picture of the market. On the other hand, it will inspire you to start your own restaurant business.

Evaluate total expenses

Restaurant costs are a major part of running a restaurant and must be carefully evaluated and planned. 

It includes raw materials, staff and labour costs, overhead costs such as rent, interiors, kitchen equipment, license, POS, marketing, etc. We’ll go over each one in detail.


After evaluating the funds required for your business, the next step is to arrange the funds to be invested in your business.

Usually, people raise funds through self-funding, a partnership agreement, or a business loan.

Legal proceedings

The sixth step in establishing a restaurant is to complete all the legal proceedings needed to launch your restaurant.

Initially, a restaurant requires licenses and certificates such as an FSSAI certificate, a trade license, a GST certificate, a liquor license for bars, professional tax for salaried employees, and a business registration certificate.

Restaurant layout and theme

Your restaurant design should reflect the type of food you serve. Some restaurateurs take this lightly and place little emphasis on the restaurant theme.

A restaurant not only sells food but also allows you to experience its culture. However, some restaurants keep paintings and art items to give customers a good sense of the restaurant’s atmosphere.


Hiring good staff is the most important step in building a successful restaurant. Your staff includes managers, supervisors, chefs, waiters, cleaners, bartenders, etc.

Choosing the right person for the right job is a difficult task. If you properly appoint the right person to the right position, you can maximize your profits while promoting your business’s smooth operation.

Organize vendors and suppliers

A high-quality meal can only be made with high-quality ingredients. Make a list of all the suppliers and vendors close to your restaurant’s location.

Choose a supplier focusing on raw material quality, price, convenience, credit facility, etc.

DinO can assist you in managing your vendors and can manage all of your suppliers. With a few clicks, you can add new suppliers and remove unnecessary suppliers.

Marketing and promotion

Before promoting your restaurant, you must develop a unique selling proposition that sets you apart from your competitors. You should provide something only available at your restaurant.

Promote your restaurant online and offline, run promotional and launching campaigns, and use public display banners.

To get the most out of your marketing campaigns, work with food vloggers and bloggers, as well as with social media influencers (preferably Instagram influencers).

POS Billing System

Optimize and elevate your restaurant with smart new-age modern POS technology that allows you to do billing and manage your inventory, reports, marketing campaigns, low inventory tracking, and much more.

Dino manages your restaurant and simplifies your day-to-day operations by introducing smart Android-based POS solutions with cloud-connected servers.

It helps you in billing, inventory management, table management, kitchen management, menu management, analytics & insights, reports & projections, and so on.

Key takeaways

As a result, a pos device could streamline your restaurant’s operations and uncover new opportunities to grow your business.

If you want to start your own restaurant business and need a good POS system, I recommend DinO because it is simple to use and will help you to optimize your business operations.

Compared to restaurants that use traditional billing methods, POS billing machines can help you earn more profit and maximize your sales.

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