Result Summary for Survey:How Did You Finance Your First Restaurant?

How Did You Finance Your First Restaurant?

1. How many years ago did you open your first restaurant?
	answered question		805
	skipped question		4
		Response Percent	Response Count
not open yet		11.3%	91
less than 1		10.8%	87
2 to 3		17.6%	142
4 - 5		12.7%	102
6 - 10		16.8%	135
over 10		31.1%	250

2. What was the main reason(s) you wanted to own a restaurant?
	answered question		804
	skipped question		5
		Response Percent	Response Count
Work for yourself		48.5%	390
Financial rewards		24.3%	195
Passion for food		27.1%	218
Pursue a dream		34.8%	280
Create a family business		28.2%	227
Other, please explain below. view		13.4%	108

3. How much restaurant experience did you have prior to becoming an owner?
	answered question		802
	skipped question		7
		Response Percent	Response Count
None		30.4%	244
Less than 2 years		10.2%	82
3 - 5 years		12.6%	101
6 - 10 years		12.3%	99
Over 10 years		34.4%	276
Please describe the type of work you did or positions you had prior to starting your restaurant. view			467

4. What were your restaurant's total startup cost? (total investment)
	answered question		653
	skipped question		156
		Response Percent	Response Count
Less than $50,000		15.8%	103
$50,000 to $100,000		18.8%	123
$100,000 to $200,000		22.8%	149
$300,000 to $400,000		15.6%	102
$400,000 to $500,000		5.7%	37
$500,000 to $750,000		9.3%	61
$750,000 to $1,000,000		5.4%	35
$1,000,000 to $1,500,000		2.9%	19
$1,500,000 to $2,000,000		1.4%	9
Greater than $2,000,000		2.3%	15

5. What were the major sources of funding for your first restaurant?
	answered question				712
	skipped question				97
	All	Most	Some	None	Response Count
Personal savings	18.4% (106)	26.3% (152)	50.3% (290)	5.2% (30)	577
Bank, financial institution	7.1% (29)	36.8% (150)	33.3% (136)	23.3% (95)	408
Family / friends	10.0% (36)	19.5% (70)	48.2% (173)	22.3% (80)	359
Private investors	6.9% (18)	11.5% (30)	27.3% (71)	54.2% (141)	260
One partner/investor	11.2% (28)	9.6% (24)	27.7% (69)	51.4% (128)	249
Credit cards	6.3% (17)	8.9% (24)	48.3% (130)	36.4% (98)	269
Home equity loan	8.6% (21)	10.6% (26)	29.8% (73)	51.0% (125)	245
Other, please explain below. view					80

6. What were the most important factors in obtaining financing from either a bank or investors (non-family)?
	answered question					580
	skipped question					229
	Most Important	Very Important	Important	Slightly Important	Not a Factor	Response Count
Owner's past experience, accomplishments	30.0% (146)	33.5% (163)	16.3% (79)	4.3% (21)	16.0% (78)	486
Well developed business plan	23.0% (109)	32.8% (155)	20.3% (96)	6.6% (31)	17.5% (83)	473
Unique / viable restaurant concept	17.0% (78)	33.6% (154)	22.9% (105)	9.2% (42)	17.6% (81)	459
Convincing financial projections	17.2% (77)	33.3% (149)	23.9% (107)	7.6% (34)	17.9% (80)	447
Owner's personal connections / business relationships	25.5% (126)	28.5% (141)	21.0% (104)	11.1% (55)	14.7% (73)	495
Other	22.6% (30)	8.3% (11)	3.0% (4)	3.0% (4)	63.2% (84)	133
If other, please describe below. view						74

7. Who prepared your business plan?
	answered question		711
	skipped question		98
		Response Percent	Response Count
Self		75.4%	536
Consultant		4.9%	35
Didn't prepare a business plan		19.7%	140
Other (please specify) view			25

8. Did you use a business plan template or program?
	answered question		695
	skipped question		114
		Response Percent	Response Count
Yes, RestaurantOwner.com templates		18.7%	130
Yes, other than RO.com templates		23.3%	162
No		58.0%	403
Other (please specify) view			63

9. What were your total sales in your first full year in business?
	answered question		645
	skipped question		164
		Response Percent	Response Count
Less than $200,000		19.5%	126
$300,000 to $400,000		23.9%	154
$400,000 to $500,000		11.0%	71
$500,000 to $750,000		13.2%	85
$750,000 to $1,000,000		11.6%	75
$1,000,000 to $1,500,000		10.4%	67
$1,500,000 to $2,000,000		5.4%	35
Greater than $2,000,000		5.0%	32

10. How long did it take this restaurant to began making a profit? (Skip if not profitable)
	answered question			503
	skipped question			306
		Response Average	Response Total	Response Count
Years view		2.16	756	350
Months view		4.12	980	238

11. Is being a restaurant more or less challenging than you imagined?
	answered question		652
	skipped question		157
		Response Percent	Response Count
Much more		35.3%	230
More		25.8%	168
About what I expected		39.4%	257
Less		0.8%	5
If more, please explain view			207

12. Is there anything that you wish you knew or were more aware of before getting into the business?
	answered question	442
	skipped question	367
		Response Count
view		442

13. What's the best decision you made during the planning and startup phase of your first restaurant?
	answered question	477
	skipped question	332
		Response Count
view		477

14. What's one thing you wish you had done differently in starting your first restaurant?
	answered question	467
	skipped question	342
		Response Count
view		467

15. What advice would you give someone who is thinking about getting into the restaurant business today?
	answered question	503
	skipped question	306
		Response Count
view		503