When should restaurants upgrade?
The life cycle of a restaurant is tough. The data is that 90% of restaurants fail in their first year. 5 years is the average life span.
We have been invested in restaurants so I understand the numbers. But hospitality is more than numbers. It is also about creating a vibe, serving up good food and trying to make ends meet. It is hard work and the financial upside can be great but generally just good. It is an easy industry to burn out in because the hours are nuts.
There are many restaurants that I really enjoyed for a year or two but then the food begins to not taste as good and the menu seems staid. Is it because everything has aligned and no reason to shake it up? Maybe just add some specials?
It is pure curiosity on my end. Being a restauranteur is really tough hard work. I’d love to talk to some to see the thought process behind the decisions made when it comes to having a gut decision and/or about when is the time to shake things up or not.