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Investigation of Restaurant Finance - Essay Example

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This has made hospitality to be one of the prominent industries all over the world. Many entrepreneurs have risen and are now investing in hospitality to earn their living. With this in mind, it is clear that to…
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Investigation of Restaurant Finance
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Download file to see previous pages The restaurant has to offer high quality dishes as per cuisine menu because they are tested and people have gained trust to them.
In this restaurant, range of products will be offered including, POSTRES and DESSERTS, ALA KARTA dishes, PLANTAINS and FRIED TANGS, HOT and cold salads, SANDWICHES’, BEVERAGES among other acceptable dishes as per cuisine menu. Having decided on what type of the restaurant is needed, the remaining part is getting the funds from most effective sources that will facilitate in any way possible to the success of the restaurant.
Personal saving – in this, someone needs to think of the idea in quite reasonable time and develop an account of saving towards the venture. The magnitude of saving depends mostly on the size of restaurant one want to start and one will save proportionately towards the venture approximated cost. This type of funding is most convenient because one is assured that the fund is there. One may also save with the intention of getting more finance from a financial institution that offer loans on the basis of saving in the account. One of the challenges of this form of financing is that it may take centuries before one accumulates enough funds to start off the venture.
Bank loan- the second option available as a source of fund is acquiring loan at the bank. With bank loans, one can be able to acquire enough capital to start off at age. It also gives one ample time to repay the loan as per agreement. The challenge of this form of finance is that limited to the policy of the bank and in one case or another one may qualify under the policies, one may not be granted the funds. Some limiting factors in this form of finance are needed for a guarantor, the need for collaterals that can be taken to repay the loans and also one may be required to have saved with bank some amount and for a specific time. If one does not meet these entire requirements, automatically one disqualify from getting the ...Download file to see next pagesRead More
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