7 Licenses and Permits Required to Open a New Restaurant

7 Licenses and Permits Required to Open a New Restaurant

by | Nov 28, 2016 | Business Toolkit, Management

Opening a new restaurant is no easy task and the restaurant industry is highly regulated. New eateries face all of the typical new business hurdles, as well as complying with a web of local, state and federal regulations. To ensure that your new restaurant gets off to a good start, find out exactly what licenses and permits it needs to operate.

Business License

The city or state where your new restaurant resides issues you a business license. This license is what gives you the authorization to operate within a particular geographic jurisdiction. Getting a business license usually involves filling out some paperwork (i.e. registering your business name) and paying an application fee.

Employer Identification Number (EIN)

An EIN number is what tells the federal government that you are an employer. It is essentially a tax identification number, and you obtain it by visiting the IRS website, filling out a form and paying a fee. You can also apply by mail or by phone. Your EIN is the number under which you file your business taxes each year.

…the restaurant industry is highly regulated…

Certificate of Occupancy

A new restaurant must have a certificate of occupancy to show that the building it is safe for employees and customers. The town or city that your restaurant resides issues the certificate and usually requires a building inspection by local authorities. Most restaurants must have a certificate of occupancy before opening their doors to the public.

Food Service License

No restaurant can operate without a food service license. This license usually involves and on site visit by city or county health department officials and ensures that your restaurant meets all food preparation, food storage and food safety regulations and laws. In some cases, employees must complete a food safety training program and have a food handler’s permit.

With the right licenses and permits, you will get off to a flying start and a whole new culinary adventure.

Liquor License

If you plan to sell liquor at your restaurant, then you need a liquor license. Liquor laws vary from state to state and sometimes from city to city. Local authorities do not want just anyone selling liquor, so most liquor laws are fairly strict and regulate everything from when and where to serve liquor to how much it costs. Depending on your restaurant’s location, you might need both a beer and wine license and a liquor license.

No matter what type of liquor license you need, apply for it early because it can take up to a year to receive it. Application fees can range from a few hundred dollars to many thousands of dollars, and you must renew the license each year.

Music License

Music in the background of any public eating establishment helps create atmosphere. Copyright law, however, protects music, so if you plan to play it in your restaurant, then make sure you have a music license.

Check out Sirvo’s Business Owner’s Toolkit for more information on operating your own place in the hospitality industry.

Get the license from companies that hold performance rights for copyrighted musical works. Two of the largest such companies are the American Society of Composers, Authors and Publishers (ASCAP) and Broadcast Music Incorporated (BMI). You can face some pretty stiff fines without a music licence.

You can also opt for a restaurant music streaming service that covers all your bases like, Soundtrack Your Brand.

Sign Permit

You need signage to draw attention to your new restaurant. So before you put up that placard, sandwich board or illuminated banner, make sure that you have a sign permit from the city or town where your new restaurant resides. This permit allows you to use signage, but it also regulates the size and location of your signs.

Opening a new restaurant is exciting! With the right licenses and permits, you will get off to a flying start and a whole new culinary adventure. Check out Sirvo’s Business Owner’s Toolkit for more information on operating your own place in the hospitality industry. 

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Seelbach Cocktail Known as “Rescued Classic” is Anything But Classic

Seelbach Cocktail Known as “Rescued Classic” is Anything But Classic

by | Nov 7, 2016 | IndiNews

For the last 20 years, if you were in the bar business and knew one thing about the bartender Adam Seger, it was that he was the man behind the Seelbach cocktail.

The Seelbach is named after the Seelbach Hotel (today the Seelbach Hilton), a storied century-old lodging in downtown Louisville, Ky., that is mentioned briefly in “The Great Gatsby.” Shortly after being put in charge of the hotel’s bar and restaurant operations in 1995, Mr. Seger declared that he had discovered a recipe for a pre-Prohibition cocktail that was once the hotel’s signature drink. He tested it, liked it and put it back on the menu.

The news media soon picked up on the tale, and within a few years, the Seelbach cocktail was regarded as a rescued classic. It’s a tantalizing back story, one that has charmed cocktail writers and aficionados for years, and there’s only one thing wrong with it: None of it is true.

There’s only one thing wrong with it: None of it is true.

After two decades of yarn-spinning, Mr. Seger, 47, who left the hotel in 2001 and recently helped open the Tuck Room in downtown Manhattan, has decided to come clean that he concocted not only the drink but also the story behind it.

“I was nobody,” Mr. Seger said of his standing as a bartender then. “I had no previous accolades in the bar world. I knew I could make a great drink. I wanted it to be this promotion for the hotel, and I felt the hotel needed a signature cocktail. How could you have a place that F. Scott Fitzgerald hung out in that doesn’t have a damn cocktail?”

Mr. Seger’s sin is hardly an original one; bartenders have been telling self-aggrandizing tales since there have been bars to tend. It is, however, an unusual instance of old-school legerdemain in an era when mixologists have made an effort to be more scrupulous about cocktail history.

“How could you have a place that F. Scott Fitzgerald hung out in that doesn’t have a damn cocktail?”

The Seelbach cocktail story began when Mr. Seger started digging into the hotel’s history. “We found old menus,” he said. “I was convinced there had to be a Seelbach cocktail.”

Except there wasn’t. So he created one, mixing bourbon, triple sec and Angostura and Peychaud’s bitters, and topping it all with sparkling white wine.

He then came up with an elaborate origin story involving a couple from New Orleans who had honeymooned at the hotel in 1912. The man ordered a manhattan, the woman a Champagne cocktail. The clumsy bartender, spilling the bubbly into the manhattan, set the mess aside and made the drinks anew. But the accidental mélange got the barman thinking. Soon, the Seelbach cocktail was born.

Soon, the Seelbach cocktail was born.

The Louisville Courier-Journal was the first to write about the new/old drink. Soon, it was included in “New Classic Cocktails,” a 1997 book by Gaz Regan and Mardee Haidin Regan. Later, it found its way into “Vintage Spirits and Forgotten Cocktails,” an influential book by the drinks historian Ted Haigh, known as Dr. Cocktail.

To Mr. Seger’s amazement, no one ever asked him to produce an old menu with the drink on it. “When Ted’s book came out, I thought, ‘Oh, now this is getting too serious, because this is a history book,'” Mr. Seger said.

Mr. Seger, who talked of how he had “carried this around” for years, recently confessed his transgression to Mr. Regan. “To be honest,” Mr. Regan said, “I always suspected that Adam had created the drink, but I really, really loved it, his story was almost plausible, and I needed recipes for ‘New Classic Cocktails.'”

“I always suspected that Adam had created the drink, but I really, really loved it.”

When informed by a reporter of the cocktail’s new birth date, Matthew Willinger, the hotel’s director of public relations, replied that the cocktail “has certainly been a tradition of the hotel and will remain part of its future.”

Originally published on The New York Times

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How to Interview Hospitality Candidates From Start to Hire

How to Interview Hospitality Candidates From Start to Hire

by | Oct 31, 2016 | Business Toolkit, IndiTips

Why did we hire that person? I’m sure that’s a question you’ve asked yourself in the past about a new hire. The truth is, hiring can often be a frustrating experience for the management team as a whole. So what can we do to ensure that the candidates we hire turn out to be the great employees we’d hope for? Use the interview as your final test, and make it one that can only be passed by those that have the skills and personality for which you’re looking.

Defining the Interview Process

In order for your interviews to be successful, a standard procedure must be in place. After all, we all know how easy it is to mismanage this integral step in the hiring process. From crossed lines of communication to scheduling mishaps, there are so many places to take a wrong turn. So, avoid the disorder and create an outline to be used each and every time your group needs to hire.

Here are a few things your procedure must address:

  • An accessible and universal interview schedule template (interviewing with who and when).
  • Effective interview questions that your management team can reference if necessary.
  • Access to current job postings so that everyone is on the same page as to job requirements, necessary qualifications and experience level.
  • The number of interview rounds required before a decision can be made.
  • The review process in which the management team communicates the pros and cons of each candidate

Once the process has been created, stick to it! Make revisions when necessary, but be consistent in following the guidelines. This will not only reduce stress but also lead to better hiring decisions in the end.

Time to Interview

Once you’ve decided on the standard operating procedure in terms of logistics, it’s time to get to the good stuff – the actual interview. Of course, asking the right questions is crucial.

While there will have to be some clear cut questions asked (about experience and such), the most revealing questions are those that are open-ended. Questions that require candidates to think through their answers will give you a broader understanding of who they are and what they can bring to the table.

It’s also imperative that different questions are asked in every interview round so that as much information about the candidate can be gathered. This is where communication between managers is necessary. Best practice is to have all managers involved in the decision-making process briefed following each interview.

Last but not least, don’t forget that the interview is not one-sided. Candidates are also interviewing us, so just as they have to prepare, we do too. Ensure that the management team is ready to answer any questions that candidates may ask and that the rest of the staff is aware that an interview is taking place.

Decisions, Decisions

Now that the interviews are completed, it’s time to hire. Ideally, before any decisions are made, the pros and cons of each candidate should be discussed at management meetings so that everyone who took part in the interview process can give their input.

However, this may not always be an option, so then it’s up to the owners, chefs or GM’s to collect the information and communicate with the rest of the team. If that person is you, consider every piece of information you’re given and don’t be hasty in deciding who to hire because it will do more harm than good.

The main takeaways here are that a consistent and organized hiring process is essential to making the right additions to your staff. Take the necessary steps throughout this vetting process even if that means committing more time to this stage because, in the end, the interview really should be a test that only the best employees pass.

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18 Marketing Ideas to Bring More Customers to Your Restaurant

18 Marketing Ideas to Bring More Customers to Your Restaurant

by | Oct 19, 2016 | Business Toolkit, Management

With sales on the rise, restaurants are expecting to see an influx in business. To make sure some of those customers visit your restaurant, you’ll need to hone your marketing skills. Advertising isn’t always cheap, so here are some inexpensive marketing ideas to use instead.

1. Sponsor a local team

There’s a lot you can do on the local level to get word out about your restaurant. To start, consider sponsoring a local team, whether it’s adult volleyball or kid’s hockey. The team could be named after your business or, if they’re already established, your logo could be added to their uniforms and equipment.

Not only will this increase exposure, but you’ll also be supporting your community. And if you’re really crafty, make sure to offer drink specials or happy hour on the day of the week they play so they’ll celebrate their wins with you after the game.

2. Join the local Chamber of Commerce

Pretty much every community has a chamber of commerce that promotes local businesses. Joining it will expand your network as well as open the doors for catering or hosting chamber events.

If your restaurant has just opened its doors, a grand opening is a great way to generate publicity.

3. Donate to charities

With a little searching, you’ll find local charities that might be willing to team up with your restaurant. You could provide food for the organization’s events or schedule your employees to volunteer. If that’s too big of a commitment, donating to smaller fundraisers accomplishes the same end.

4. Have a grand opening

If your restaurant has just opened its doors, a grand opening is a great way to generate publicity. You might offer some sort of special, like a deal on a sampler dish, to encourage visitors to try several foods.

5. Host a holiday party

Make plans to decorate and host a dinner party during an upcoming holiday or event. You can even create a theme centered on local culture or a popular television show just for the fun of it.

Occasionally bringing in local musical talent is a surefire way to entertain your customers.

6. Hold a customer appreciation dinner

This will get the message across that you appreciate the support of your guests. Again, try offering deals on various foods and drinks.

7. Offer live music

Everyone loves dinner and a show. Occasionally bringing in local musical talent is a surefire way to entertain your customers. Include the community by asking them to vote for the next performer on your social media pages.

8. Twitter

Twitter is a good platform for those who are new to social media advertising. It offers ad options that are simple to understand, and users can select a target audience and budget that works for them.

9. Facebook

Facebook ads also allow users to set a target audience and budget, but they can seem a bit more complicated because there are more options to choose from. So designate someone who understands social media marketing to put together some ads for a particular demographic.

Write up a press release and send it to local media whenever you’re hosting an event or teaming up with another organization.

10. Email marketing

You may feel like you’d be spamming your customers this way, but don’t underestimate its reach. Collect emails wherever you can on a sign-up sheet or through your website. The emails can be discounts on specific items and holiday deals, and they can also include invitations to events where you’ll be catering or hosting.

11. Yelp

This is a popular online directory for restaurants because of its review system. It provides potential customers with business information as well as offer a venue to leave reviews and feedback.

12. Restavista

Restavista is a directory that allows customers to find restaurants in the area based on their specific needs, whether its dietary or they just have a craving for a specific food.

13. Foursquare

This is kind of like the “check-in” option on Facebook. By having an account, your guests can check-in while they eat. This info is shared with their connections and extends exposure to those who otherwise would be unaware of your establishment.

By establishing your social media presence on social media channels, you help your business get a better online exposition and spread the word about your restaurant among users.

14. Whitepages

Yes, these still exist. Having a Whitepages account offers information about your restaurant, but there’s no rating or review option. Think of it as an electronic phone book listing that people can access it from their mobile devices.

15. Write a press release

Write up a press release and send it to local media whenever you’re hosting an event or teaming up with another organization. Make sure it’s sent directly to the reporter or their assignment editor so it doesn’t get lost in the shuffle.

16. Sign up for HARO

“Help a Reporter Out” is a way to get media attention outside your community. Those who sign up receive daily emails on upcoming news stories that need sources. When one pops up that’s relevant to your restaurant, contact the reporter. It may lead to an interview that will increase exposure for your business.

17. Contact reporters with your opinions

Reporters often search for local angles on a story. If, for example, the city is changing liquor license requirements and you have an opinion about its impact on the restaurant sector, reach out to local media and tell them what you think. Who knows – you just might land the lead story.

18. Get found on Google

Last, but not least, make sure your business address is set up correctly on Google. You will need to create or claim your Google for Business Page. Make sure ALL the information is filled out wherever you can, including phone number and website. Test to make sure your restaurant shows up by searching for it in Google Maps or Waze on your phone.

Happy Marketing!

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How to Prevent Employee Theft at a Restaurant

How to Prevent Employee Theft at a Restaurant

by | Oct 10, 2016 | IndiTips

Employee theft is something that most restaurant owners encounter at one time or another. No matter how well you think you know your employees there is always a possibility of theft. Employee theft in restaurants takes many forms, including giving away free food and drinks to customers without authorization, stealing customer’s credit card information and stealing food or alcohol for themselves. If employees know you have a system in place to trace theft, then most will respect that and not try to steal. Here’s how to prevent employee thefts at your restaurant! 

Track all sales

As the restaurant owner, it is hard to be everywhere at once, therefore, it is important to have a good tracking system for food and beverage sales. Tracking food and drink orders through a POS system, you can cut down on the amount of “freebies” that staff might give out without your knowledge. Once an order is placed and sent to the kitchen or bar, the ticket cannot be changed without the manager/owner password. Of course, a POS system used for security purposes only works if the kitchen staff and bartender know not to give out orders without a ticket.

Track food inventory

Stealing food can be as simple as eating a forbidden piece of dessert while on break or it can be more serious, such as taking cases of food right off the delivery truck. Prevent food theft by closely monitoring orders, usage, and waste. Set up a system where at the end of each shift, inventory is taken and waste should always be written down. If the kitchen staff knows they are accountable for the food inventory, they will be careful to keep track of it.

Tracking food and drink orders through a POS system, you can cut down on the amount of “freebies” that staff might give out without your knowledge

Keep all alcohol under lock and key

Alcohol will vanish like magic if left unattended, so the best way to keep employees from stealing alcohol is to keep it locked up. Only the restaurant owner, manager and perhaps bartender, have access to the supply. Like food, you should keep a running inventory of alcohol and check your POS system if a certain type of alcohol is consistently running low. If there are no sales to account for the alcohol use, you can assume that employees are helping themselves to it.

Update your PCI for handling customer credit and debit cards

PCI stands for Payment card industry data security standards. It means the rules that any business, including restaurants, agree to follow if they accept credit cards. PCI standards are administered through banks that handle credit card transactions. A major liability of using a POS system as a credit card processor is that transactions are via the Internet and could be hacked and your customer’s credit card information stolen. It is important to make sure all your computer firewalls and other safety precautions are periodically updated.

You should keep a running inventory of alcohol and check your POS system if a certain type of alcohol is consistently running low.

Limit access to cash drawers and the safe

Only the restaurant owner, manager or head server during their shift should have access to the cash drawer, register or safe. In some instances, only the owner knows the combination to the safe. The fewer hands that touch the cash, the less chance of it being stolen.

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