From Queso to Cash Flow: How to Start a Mexican Food Restaurant

Choosing to start a Mexican food restaurant, or any restaurant for that matter, isn’t as easy as just picking a location and firing up the grill; a carefully-considered roadmap is essential to your long-term success in the business. 
In this competitive market, taking the extra time to properly formulate a game plan at the beginning of your Mexican food franchise journey can set you apart from your competition and save you trouble down the road. Choosing a credible franchise with ample experience and a rock-solid track record, such as Ori’Zaba’s Scratch Mexican Grill, will ensure that you have everything you need to successfully open and operate your dream restaurant.

Ready to put together your ironclad gameplan? Below are 10 points to get you started! 

Building Your Best Business Plan

Developing a business plan is an excellent first step toward opening a Mexican restaurant. This crucial step will see you crafting a sketch of what you want your fully realized restaurant to one day be. Some questions to ask yourself while forming a business plan include:

• What will you name your business?
• What is your target demographic?
• What type of food do you want to serve?
• What design elements do you want to associate with your business? 
• What is your brand focus and how will you advertise?
• How would you decorate your restaurant? What is the general “vibe” you’re shooting for?

By no means an exhaustive list, these questions will help get your mind thinking in the right direction. Picking a concept, getting a clearer picture of your design assets, and establishing the types of feelings you’d like to evoke from guests will jumpstart your adventure and instill confidence in you.

Selecting Your Specialty

Now is a fine time to more closely examine the actual food you plan to serve. Sure, you’ve decided to open a Mexican restaurant, but how are you going to stand out from other eateries that serve similar items? One helpful way is to choose a specialty. Here are a few questions to get you started:

• Do you want to specialize in a particular dish? 
• What about a region-specific flavor? For example, choosing to focus on Mexican food from a particular region, such as Veracruz or Chihuahua
• What is a special item that guests could come to know you for?
• What do you feel the most confident in your ability to produce?

Thinking about your specialty will give you even more confidence in your concept and make you feel prepared to carve out a niche in the food industry.

Funding Your Food Fantasy

Whether you’re choosing the franchise route or starting a restaurant from scratch, you won’t get too far without proper funding. Doing a financial analysis and determining exactly how to pay for your venture is not to be taken lightly. If you want your business to stay out of the red? Consider these points:

• Where is the principal investment capital coming from? 
• Can you independently fund it, or will you require additional investors?
• Will you require a loan? What sort of interest rates do you qualify for, and do you have the requisite collateral? 
• What are your startup costs? After opening, what sort of day-to-day costs can you forecast?
• What is commercial rent like in your area?

Deciding how to fund your business will take time, but energy spent now can save you from heartache later. Franchises like Ori’Zaba’s offer operators a system of services and supplies in exchange for their investment, so several of the variables that are often present when starting a restaurant from the ground up are solved for you ahead of time. 

Location, Location, Location!

Some of the most successful Mexican food franchises experience significant success as a result of shrewd location choice. A restaurant can be located in a densely-packed, high traffic neighborhood or a rural, quiet street in a small town and still be successful; the key, again, is choosing the right location. Not only that, but the specific building you choose will greatly impact your business as well. You know your area best, so consider these points and how they apply to your situation:

• Where does your intended demographic congregate? For example, if you’re marketing to college students, a location close to campus would likely be wise
• Does the building have ample shipping and receiving outlets? Can you maintain business while shipping/receiving supplies simultaneously?

• Is there room for a kitchen? A dishwasher? A prep station, warming oven, and break room?
• Where in your community can you most adequately satisfy your guests’ desires?

Scouting and deciding on a location is one of the more exciting parts of the process; actually being inside of a prospective home for your burrito franchise can help you further develop a vision of your ideal restaurant. 

Mastering The Menu

With a better idea of the types of items you plan to serve and what your specialty will be, you can more confidently craft your perfect menu. Fleshing out your offerings will take time, so think about these points before you start printing and laminating menus: 

• How dense should your menu be? Do you want to offer a plethora of options or keep things tight?

• How can you diversify your more standard menu items and make them stand out?
• How can you incorporate your specialties into the menu? Are there other items you can serve that will pair well with them? 
• What sides will you offer? Appetizers? Desserts? Beverages? 

Getting into the nitty gritty of menu selection is a fun opportunity to further sharpen your plan. Food is your product, so choose your products wisely! Franchising with Ori’Zaba’s Scratch Mexican Grill grants you access to an excellent range of offerings that have been continually perfected and enjoyed by countless folks for over 20 years, meaning you won’t have to build and brainstorm an entire menu from scratch.

Excellence In Equipment

Mexican food franchises rely on specialty equipment to keep everything moving. A craftsperson is only as good as their tools, so think about this before shelling out for a down payment on an industrial fryer:

• In general terms, what are the basic tools and machines you’ll require day-to-day?
• How about specialty equipment? Are there supplies you need that require custom fabrication or construction?
• What is your equipment budget? Can you afford top-of-the-line tech, or do you require more economical options?
• What are the maintenance and repair schedules for your tools? How will you afford periodically-planned downtime?
• How long are the machines estimated to last? Will you need a replacement in 2 years? 5 years? 10?

The tools and equipment you choose will play a large role in your staff’s daily experiences, so try to buy with longevity and sturdiness in mind. This isn’t the time to go cheap! 

Vivid Vibe Curation

Determining the right decor, interior design elements, and general vibe for your restaurant is key.  You’ll want to create a welcoming environment that encourages your guests to relax and enjoy your menu, but here are a few other things to consider:

• How can the decor complement the food? If you’re opening a Mexican food franchise, for example, what are some possible regional accouterments you could have on display?
• What will the layout of the dining room(s) be? 
• What sort of dining tables will you use? Wood? Metal? 
• What about the bar? Do you want one, and how large should it be?
• Do you want candles at the tables? Lamps? 
• Will you have flowers? Real or fake? Do you want to have a water feature?
• From the moment a guest walks in, how can you convey to them that they are somewhere special? 

This is a great opportunity to express your creativity and create lasting visual memories in the minds of your guests. Keep your budget in mind, spend money on assets wisely, and create a unique environment that will have folks soaking up the scenery daily. 

Satisfactory Suppliers

Choosing sources for your foods and beverages is instrumental to your success. Quality food requires quality ingredients, so choosing a supplier you can trust to perpetually stock your kitchen shelves will bode well for you. Consider this:

• How fresh do you need your meat/produce to be? Is it okay if it’s frozen, or do you require unfrozen products?
• Will you invest in organic and/or small-farm suppliers? If so, can you afford the additional costs that are incumbent with that?
• Do you require harder-to-find ingredients for any of your dishes? What suppliers in your area could potentially meet that demand? 

A quality supplier will make all the difference, so take the time to make an informed decision and invest in a partner that can keep your burrito franchise sailing along smoothly. 

A LIst of Licenses

You’ll need various authorizations to legitimize your restaurant and keep everything above board. Every state varies with their requirements, but in general, a few licenses to keep in mind are:

• A business license
• A food service license
• A liquor license
• A music license

Additionally, don’t forget to establish:

• An EIN (Employee Identification Number)
• A sign permit
• A health permit

This is where the red tape gets pretty thick, so be certain to pay very close attention to your local requirements and double-check that you’ve met all of the necessary credentials. 

Satisfactory Staffing Solutions

An all-star team makes all the difference when you decide to open a Mexican restaurant, but you can’t just start hiring people at random; careful thought is required in order to form a winning team. Some things to think about:

• Approximately how many employees will you need during peak hours? What about when it’s likely to be slower?
• How many people do you need in the front? In the kitchen?
• Who will be the head chef? Where have they worked before, and how can their experience benefit this venture? 
• Will you offer full-time positions or part-time? Both?
• Where online will you advertise open positions? 
• Do you require candidates to have prior experience, or are you willing to teach eager entry-level employees? 

Your staff is the lifeblood of your Mexican food franchise, so vet prospective team members properly and ensure you assemble an enthusiastic, dedicated staff.

Starting Your Restaurant Adventure

Check out our franchise website to learn more about us and see if franchising is right for you!