Anonymous
Anonymous asked in Business & FinanceOther - Business & Finance · 1 month ago

Opening a value chinese buffet in busy area, £200K a year profit likely?

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  • Anonymous
    1 month ago
    Favorite Answer

    My boss used to own a buffet (not Chinese food though), which I worked at for a short time. It was a money pit. It’s hard to make a profit when very obese people come in and eat enough food to feed a small country. They used to come in and take heaping plates full of crab legs. They used to come in at 3:45 and pay the lunch price, and just hang out till the dinner menu got put out at 4-4:30. 

    Chinese buffets make money by using very cheap, low quality ingredients, and adding a LOT of salt. It makes people thirsty, and they can’t eat too much of the salty, greasy food. They charge for the drinks. My boss was foolish and included free soft drinks. Portion control is a very important concept in restaurant management, because it keeps food costs down. It’s impossible to control portions in a buffet. You also have to be able to control the amount of wasted product. 

    Before you open a buffet, make sure you’re fully aware of what you’re getting yourself into. You also have to wait till people feel comfortable eating in buffets again. The pandemic pretty much squashed that. Restaurants are extremely hard to succeed at, so make sure you know your shît. My boss made an impulsive decision based on some vision he had for his restaurant. He dumped a lot of money into his vision, but didn’t really stop to find out what his potential customers wanted. You have to do some market research. And I don’t know how things work in the UK, but in the US, you wouldn’t have a chance in hell of making that much profit on a Chinese buffet. Even restaurants with strict portion controls usually lose money the first couple years. Restaurants are not typically a very lucrative business. There’s a lot of risk, huge overhead, and massive labor costs. Do your research. 

  • 1 month ago

    I would not be opening any kind of buffet restaurant in a pandemic, and in a post-pandemic world, I do not see them getting back to anywhere near the popularity they once had. 

  • Tavy
    Lv 7
    1 month ago

    Deduct your loan for the business. Rent, insurance, utilities, food, drink, staff wages, equipment, cleaning, 

    Is there anything left?

    U.K.

  • Matt
    Lv 7
    1 month ago

    do you mean profit or turnover (sales)?

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