Restaurant costs

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KRG Unveils 2023 Start-Up Guide

KRG Hospitality Unveils 2023 Restaurant Start-Up Cost Report + Checklist

2023 KRG Hospitality Start-up Costs Guide

KRG HOSPITALITY RELEASES FIFTH ANNUAL RESTAURANT START-UP COST REPORT + CHECKLIST

Toronto-based hospitality industry consulting firm with offices in key markets throughout Canada and the United States of America unveils their latest restaurant cost report, milestone checklist, and interactive hospitality calculator.

December 15, 2023 (TORONTO)—Today, KRG Hospitality unveils their 2023 Restaurant Start-up Cost Report + Checklist. The Toronto-based consulting firm specializes in startup restaurant and bar projects along with boutique hotels, experiential concepts, and entertainment venues. KRG also has offices in key markets throughout the United States of America.

For the past five years KRG has researched, reviewed, and published the annual start-up cost guide, one of the industry’s leading resources dedicated to restaurant project costing.

And each year this informative and transparent guide is used as a trusted budgeting tool by developers, lenders, contractors, consultants, and aspiring restaurateurs. The guide is founded upon KRG Hospitality’s proprietary database of previous project costs, which includes project data from restaurants, bars, and cafes developed over the past 24 months.

Further, this annual KRG Hospitality also includes a start-up checklist that identifies an array of crucial milestones: KRG president Doug Radkey has identified 500 unique tasks that must be completed for a successful restaurant opening.

This year’s checklist reveals a number of these crucial tasks. Updated for 2023, the guide also includes the interactive KRG Hospitality Calculator.

The costs to start a restaurant have been on a steady rise over the past 5 years. Major drivers are increases in inflation, interest, labor, construction, equipment. Of course, there are also the unique materials required to deliver a scalable, sustainable, memorable, profitable, and consistent on-premise, off-premise, or hybrid-style concept.

Drawing upon this comprehensive guide, an industry-leading expert has analyzed the information and provided a succinct and user-friendly summary of the findings for each major start-up category. This isn’t simply a couple of pages identifying a few costs. Rather, the fifth annual guide is a deep dive that provides real insight into what to expect in 2023.

The Checklist

As stated, there are 500 unique tasks an operator needs to complete over the course of developing and opening the doors to their concept.

To make it simple to navigate, the 2023 checklist is organized into sections: Planning & Admin, the Support Team, Site Development, Operations Development, Brand Development, and Team Development.

From starting off with the targeted, customized, and in-depth feasibility to planning and executing the soft opening, KRG identifies dozens of key milestones in this year’s guide.

Download your copy of the 2023 KRG Hospitality Restaurant Start-up Cost Report + Checklist today! Click here.

About KRG Hospitality

KRG Hospitality is a storied and respected agency with proven success over the past decade, delivering exceptional and award-winning concepts throughout a variety of markets found within Canada, the United States, and abroad since 2009. Specializing in startups, KRG is known for originality and innovation, rejecting cookie-cutter approaches to client projects. The agency provides clients with a clear framework tailored to their specific projects, helping to realize their vision for a scalable, sustainable, profitable, memorable, and consistent business. Learn more at KRGHospitality.com. Connect with KRG Hospitality and the Bar Hacks podcast on social: KRG Twitter, Bar Hacks Twitter, KRG Media Twitter, KRG LinkedIn.

Disclaimer

While using this guide helps develop a rough preliminary financial and strategic milestone plan, it is strongly recommended that you seek professional expert advice to provide you with a more precise, project specific estimate as each concept and market will be slightly different. KRG Hospitality Inc. is not responsible for any project that is not currently under contract within the company.

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by David Klemt David Klemt No Comments

Merchants Support Credit Card Act

100s of Merchants Support Credit Card Competition Act

by David Klemt

Customer paying via Square terminal

Perhaps at least somewhat unsurprisingly, support for the Credit Card Competition Act is growing rapidly among merchants.

In fact, 1,802 merchants are making their position on the bill clear. Those hundreds of merchants drafted, signed, and set a letter to the House and Senate.

The crux of that letter? To tell our lawmakers to support and pass the Credit Card Competition Act.

To view the letter, sent by the Merchants Payments Coalition (MPC), please click here. For the bill and its status, follow this link.

The Credit Card Competition Act: A Quick Summary

According to the MPC, credit and debit card transactions just in the US reached $3.49 trillion in 2021. Along with those transactions came $77.48 billion in merchant fees—just for Visa and MasterCard.

Why call those out those two processors in particular? Well, it’s because they’re behind about 576 million credit cards. Oh, and they also control 87 percent of the processing market.

In the span of just one decade, Visa and MasterCard swipe fees have risen 137 percent. So, it’s not surprising that merchants are supportive of the Credit Card Competition Act.

There are, indeed, restaurant and hospitality groups attached to the MPC’s letter to Congress. Taking a quick glance, Denny’s franchisees, Dutchman Hospitality Group, and Mandalay Hospitality Group are among the signees.

Obviously, this makes sense—swipe fees are among the highest costs operators face every day.

Where’s this Bill Currently?

It shouldn’t be too shocking to find that this has yet to make much progress. The bill’s sponsors, Sens. Richard Durbin (D-IL) and Richard Marshall (R-KS), introduced it in the senate at the end of July.

Three months later, October 28, an attempt was made to include the bill in the National Defense Authorization Act (NDAA). For those who are unfamiliar, the NDAA is known as a “must-pass” bill. After all, it specifies the US Department of Defense’s (DoD) budget and expenditures each year.

Along with a reported 900 other “riders,” Sens. Durbin and Marshall tried to get their bill passed within the NDAA. Unfortunately for the senators and supporters of the bill, the NDAA vote was pushed until the middle of November…which we’re now past.

Of course, the US did just undergo a mid-term election cycle. So, I suppose it’s reasonable to be a bit more patient with the Senate and the progress of this bill.

Those who work in or support our industry can make their opinion of this bill known. Just follow this link to the National Restaurant Association Credit Card Competition Act portal.

Image: Clay Banks on Unsplash

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