tailieunhanh - Lecture The restaurant: From concept to operation (7th edition): Chapter 15 - Walker

Chapter 15 - Financing and leasing. After reading and studying this chapter, you should be able to: Forecast restaurant sales, prepare an income statement and a financial budget, identify requirements for obtaining a loan in order to start a restaurant, | Chapter 15 Financing and Leasing The Restaurant: From Concept to Operation, 7th edition Courtesy of Sysco Objectives After reading and studying this chapter, you should be able to: Forecast restaurant sales Prepare an income statement and a financial budget Identify requirements for obtaining a loan in order to start a restaurant Discuss the strengths and weaknesses of the various types of loans available to restaurant operators Objectives (cont’d.) List questions and the types of changes a lessee should consider before signing a lease Discuss the strengths and weaknesses of the various types of loans available to restaurant operators Describe the various forms of business ownership Recognize the legal aspects of doing business Discuss the various types of government regulations Financing Where does the money come from? Borrowing on property Relatives, friends Partnership Groups of investors Sufficient Capital Many try to start restaurants with only a few thousand . | Chapter 15 Financing and Leasing The Restaurant: From Concept to Operation, 7th edition Courtesy of Sysco Objectives After reading and studying this chapter, you should be able to: Forecast restaurant sales Prepare an income statement and a financial budget Identify requirements for obtaining a loan in order to start a restaurant Discuss the strengths and weaknesses of the various types of loans available to restaurant operators Objectives (cont’d.) List questions and the types of changes a lessee should consider before signing a lease Discuss the strengths and weaknesses of the various types of loans available to restaurant operators Describe the various forms of business ownership Recognize the legal aspects of doing business Discuss the various types of government regulations Financing Where does the money come from? Borrowing on property Relatives, friends Partnership Groups of investors Sufficient Capital Many try to start restaurants with only a few thousand dollars in capital Such ventures usually fail Number-one factor of failure Lack of management Second factor of failure Lack of finance and working capital Standby amount of cash to open the restaurant and get through unprofitable months of operation Sufficient Capital (cont’d.) Commercial banks Common source of funds Lending officers in the banks Paid employees, not owners Also limiting their risks Performance is largely judged by good loans Tend to be ultraconservative Want proof of income, debt, employment, and credit history Bank also wants collateral Assets they can take should the loan not be repaid Sufficient Capital (cont’d.) Types of loans Term loan Repaid in installments Usually over a period longer than 1 year Intermediate loans Made for up to 5 years Single-use real estate loans Typically run less than 20 years Preparing for the Loan Application Restaurateur bought furniture and fixtures from an existing restaurant for $30,000 Money is paid to previous person .