By David Scott Peters

Location, Location, Location…
What does that mean for your restaurant?

How do you find the right location for your new restaurant? How much rent can you afford? Who do you turn to for help?

These are important questions that require serious attention when finding that perfect location for your dream restaurant.

To find the right location, you must first know the details about your potential customer, otherwise known as their demographics. Things to consider include where they live and work, or whether they are retired? You need to know how much money they make a year and what kinds of jobs they have. You also need to know whether they live in an apartment or a house, own or rent, own a car or take public transportation. Also, does race or gender play a role for your business’ success?

When looking for that perfect location, price per square foot is the major factor. Getting in over your head with real estate will start your business down the road to failure. A good rule of thumb is to try to keep your total debt service and occupancy cost down to 8 percent of sales and no more than 12 percent for a multimillion dollar business.

Once you know this critical data, you need to hire real estate professionals. You will want to make the investment in hiring both a commercial real estate broker and a real estate attorney. They each play an important role in finding and negotiating a lease or purchasing a property.

A good commercial real estate broker is going to save you time and money. He or she will ask you a series of questions about who your customer is and most importantly what kind of revenue your restaurant is projected to bring in a year.

When it’s time to negotiate a lease or buy a property, the money you invest in your attorney can be priceless. Their job is to help you navigate through the one sided leases landlords have and if you’re buying the property they make sure the appropriate environment studies have been done so that you’re not stuck with a piece of property where a restaurant can’t be built.

So before you go out looking for that perfect location, make sure you know who your customer is, what you can afford and then hire the best commercial real estate broker and attorney you can find. Don’t try to do it all yourself — leave it to the experts and focus on what you know.

David Scott Peters is a restaurant expert, coach, trainer and speaker, specializing in systems for independent restaurant owners. He is the nationally acclaimed restaurant coach whose unique “SMART Systems” approach to boosting profits has earned him the title of, “The man who can walk into any restaurant in America and find $10,000 in undiscovered cash before he hits the back door – Guaranteed!” Visit www.TheRestaurantExpert.com for more. Learn more tips, tricks and secrets in David’s free five-part e-course, “How to Explode Your Restaurant Profits NOW!” Simply sign up to receive the e-course at TheRestaurantExpert.com.

By David Scott Peters

From the IRS: Haiti Relief Donations Qualify for Immediate Tax Relief

People who give to charities providing earthquake relief in Haiti can claim these donations on the tax return they are completing this season, according to the Internal Revenue Service.

Taxpayers who itemize deductions on their 2009 return qualify for this special tax relief provision, enacted Jan. 22. Only cash contributions made to these charities after Jan. 11, 2010, and before March 1, 2010, are eligible. This includes contributions made by text message, check, credit card or debit card.

“Americans have opened their hearts to help those affected by the Haiti earthquake,” said IRS Commissioner Doug Shulman.” This new law provides an immediate tax benefit for the many taxpayers who have made generous donations.”

The new law only applies to cash (as opposed to property) contributions. The contributions must be made specifically for the relief of victims in areas affected by the Jan. 12 earthquake in Haiti. Taxpayers have the option of deducting these contributions on either their 2009 or 2010 returns, but not both.

To get a tax benefit, taxpayers must itemize their deductions on Schedule A. Those who claim the standard deduction, including all short-form filers, are not eligible.

Taxpayers should be sure their contributions go to qualified charities. Most organizations eligible to receive tax-deductible donations are listed in a searchable online database available on IRS.gov under Search for Charities. Some organizations, such as churches or governments, may be qualified even though they are not listed on IRS.gov. Donors can find out more about organizations helping Haitian earthquake victims from agencies such as USAID.

The IRS reminds donors that contributions to foreign organizations generally are not deductible. IRS Publication 526, Charitable Contributions, provides information on making contributions to charities.

Federal law requires that taxpayers keep a record of any deductible donations they make. For donations by text message, a telephone bill will meet the recordkeeping requirement if it shows the name of the donee organization, the date of the contribution and the amount of the contribution. For cash contributions made by other means, be sure to keep a bank record, such as a cancelled check, or a receipt from the charity showing the name of the charity and the date and amount of the contribution. Publication 526 has further details on the recordkeeping rules for cash contributions.

David Scott Peters is a restaurant expert, coach, trainer and speaker, specializing in systems for independent restaurant owners. He is the nationally acclaimed restaurant coach whose unique “SMART Systems” approach to boosting profits has earned him the title of, “The man who can walk into any restaurant in America and find $10,000 in undiscovered cash before he hits the back door – Guaranteed!” Visit www.TheRestaurantExpert.com for more. Learn more tips, tricks and secrets in David’s free five-part e-course, “How to Explode Your Restaurant Profits NOW!” Simply sign up to receive the e-course at TheRestaurantExpert.com.

By David Scott Peters

I was recently interviewed for an article in Nation’s Restaurant News about steps independent restaurants can take to compete with the likes of the chain restaurants. To read what I had to say and what other independent restaurants are doing to operate with the mind of a chain but the body of an independent, you can go here.

If you’ve ever wondered what it is I preach to independent restaurant owners, then this article is a great one to read. Not only do I describe here what I focus on, but there are other restaurant owners who validate that it really works.

This is the best piece I have that really captures what I’m about as the restaurant expert and provides real-life examples from independent restaurant owners who have used the systems I teach.

If what you read in this article is something you want to apply in your restaurant, please contact me. You can reach me at 623-266-9611, ext. 1 or 877-457-6278, ext. 1. You can also email me.

David Scott Peters is a restaurant expert, coach, trainer and speaker, specializing in systems for independent restaurant owners. He is the nationally acclaimed restaurant coach whose unique “SMART Systems” approach to boosting profits has earned him the title of, “The man who can walk into any restaurant in America and find $10,000 in undiscovered cash before he hits the back door – Guaranteed!” Visit www.TheRestaurantExpert.com for more.

Headed for Chicago today for the restaurant show in Chicago.

I’m planning a Tweetup for independent restaurant owners on Saturday from 6-8 p.m. Did you RSVP? Can I put a Tweetup on my blog? Is that against the Twitter rules? Oh well. The more the merrier, I say.

Remember to say hello to me if you see me at the Show.

And don’t forget my education session – 5 Systems for Controlling Labor Costs - Monday, May 18 at 12 p.m. at the show in room S403b.

While you’re walking through the booths and tasting and touching and feeling products, please be sure to swing by Tracy Yandow’s booth. She’s booth #1450. Tracy and I partnered a couple of years ago to create restaurant-specific training manuals that knock the socks off of most franchise-quality materials. Tracy is gifted at writing instructional manuals and together we put together a product that is completely customizable for every indpendent restaurant owner. If you stop by the booth, you’ll be able to see the quality and the contents. It’s top notch.

If you’re not going this year, check out Nation’s Restaurant News’ blog coverage of the show.

By David Scott Peters

If you’re in the restaurant world, then you probably know that May 16-19 is the National Restaurant Association’s annual trade show and exhibition.

This year, I’m going to check out what’s new, but also because I get to present in one of the education session. My topic? “Five Systems for Controlling Labor Costs.” It’s scheduled for Monday, May 18 at 12 p.m. Since labor is one of the biggest expenses in a restaurant, and most independent restaurant owners struggle with controlling labor costs, I hope the session will be a popular one. If you’re going to the show, please come to my session. I promise you’ll learn something, and – BONUS – you’ll get a chance to receive a free restaurant evaluation for your restaurant courtesy of me.

But more on the session and what you’ll learn in a later post.

The National Restaurant Association’s show is an energizing, fun and overwhelming event. Hosted in a city with the same attributes, Chicago, it’s teeming with products and services you would otherwise never know about.

That’s what makes the trip worthwhile, in addition to connecting with people I only get to see once or twice per year, I get to see what’s out there for independent restaurant owners like you.

It’s an opportunity to see what’s new in the industry. The items, services, products for your business range from sanitation products to profit-building services to a product that will level your tables.

There isn’t anything in your business that you can’t find a solution for at this event.

I like to go to touch, talk and feel the products. And the beauty of it is, you can just walk away. You’re not beholden to a sales person, trapped in your kitchen with someone trying to sell you a gimmick. You’re free to roam and can compare what you find to someone else offering something similar somewhere else on the floor. It’s a great way to explore new products and services for your independent restaurant.

I go as the eyes and ears of my members and my future members. To go would be a major expense for many independent restaurant owners, but for me it’s a major expense that I can justify because I can share so much with my members after going. It keeps me on my game and ensures I’m offering you the latest and greatest in resources. It also connects me with more people I can use to help me help you with my SMART Systems. A new and improved SMART System is always welcome, isn’t it?

If you’ll be there, please check out Tracy Yandow’s booth on the exhibition floor. She’ll be offering our co-created restaurant training products that are completely customizable. Come touch and feel them for yourself. Training is a key to saving on labor costs, as well as turnover, and most of my members who have implemented these training manuals find them to be priceless.

Expect a full report upon my return from the event. I’m excited about what I’ll be able to bring back to you.

David Scott Peters is a restaurant expert, coach, trainer and speaker, specializing in systems for independent restaurant owners. He is known as the SMART Systems guy who can walk into any restaurant in the United Stated and find you $10,000 in undiscovered cash before he hits the back door … Guaranteed! Visit www.TheRestaurantExpert.com for more.