Discussion Post: Real World Thoughts Restaurant Entrepreneurs Assume you are consuiting with a group of entrepreneurs who are starting a restaurant. They hive $1,000,000 to invest. The landlord is proposing 54,000 monthly rent on a fiveyear lease plus 746 of gross sales over $25.000. The builing is 3.000 square feet and your clients figure that approximately 60 percent of the square footage will be the dining area and 40 percent will be for everything else (ivitchen, common arra, bathrooms etc.). A general restaurant averages around 15 square feet per person in its dining area. The owners want to open for breakfast and lunch. from 7 AM to 2PM, with an averoge table tumover rate of 1 hour. During an average shift, the restaurant will need at least two cooks, a dishwather, five waitstalt/bussers, and a floor manager. Your clients want to know if it is possible to make monery at this venture before they rign the lease Without regard to the initial irivestment, what kinds of information do you need to gather to complete your analysis? For instance: What are some of the fused costs of such a venture? What are examples ot variable conts? Assume you are consulting with a group of entrepreneurs who are starting a restaurant. They have $1.000.000 to invest. The thisiont is ponpesing $4.000 monthly rent on a five-year lease plus 7% of gross sales over $25.000. The buldins b 3.000 spuare feer and your dienti fare that approximately 60 percent of the square footage will be the dining area and 40 peroont wif be for menthing elue pitchen. cominon ars. tuthooim. etc.). A general restaurant averages around 15 squave feet per person in its dining area. The owners want to open for bramatat and lunch, from 744 to 2PM, with an average table turnover rate of 1 hour. During an average shift, the retsurant will need at least fwo coois, a dishivahec, five waitstaft/bussers. and a floor manager. Your clients want to know if it is possible to make money at this venture before they sien the inase. Without regard to the initial investment, what kinds of information do you need to gather to conplete your atalyit? For instance: What are some of the fixed costs of such a venture? What are examples of variable costs? Are there any mixed costs, or costs that are hard to categoriae? What are they, and how would rey actount kr meme? In general how would you go about peepariug a cont-voluene tinotit analys for tee metairat