It always catches me by surprise.
Whether it’s risking your personal savings, applying for a bank loan or looking for potential partners or investors, keep in mind that the means by which you will finance your business must match your status and lifestyle as an entrepreneur. Lifestyle coach and longtime entrepreneur Rad Pelayo, who worked for a well-known pharmaceutical company and ventured into managing a small chain of laundry shops before setting up online food delivery service“I didn’t go for loans with banks, financial institutions or with other people because I believe it will not help me decide the direction of my business,” Pelayo explains.in Sta. Cruz, Makati City, noted how her family—her first investors—helped finance her small but well-frequented cafe.
“We do our best not to overpurchase raw ingredients. It’s always based on the revenue that came in from the previous day. This allows us to take control over the costing of our products and it prevents us from spoilage,” Rods Escobar says. “Our first three months of operations are very important to preserve the trust and contentment of our clients. And in six months’ time, we can already determine the possible income. These first months are very important because this is the time when you can get immediatefrom your customers, when you can spot which works and which are lacking and needs improvement,” says Pelayo.
Being creative is also an important skill that restaurateurs must have. Looking for unconventional ways to cut down on expenses and making them work will not only make the venture survive but can also increase profit margin. Accepting the possibility of losses and working on the best courses of action when they come are the right attitudes. When lean months come, what shouldn’t change is the quality of food and service, even if it means tip-toeing the red line.