For entrepreneurs and small business owners the adage of “location, location, location,” still rings true – especially in the restaurant world.
For many restaurateurs, the appeal of bringing your vision to life in a trendy, upscale city centre is undeniable. That said, it’s not always the most practical or feasible option for every business. In some cases, choosing to run your restaurant in the suburbs can not only help you bring your goals to fruition sooner but also lead to a smoother entrepreneurial journey overall.
This blog will touch on the perks of opening a restaurant in the suburbs and explore why it might just be the ideal setting for your culinary ambitions.
Lower Costs Upfront & Long Term
One of the most apparent advantages of launching a restaurant in the suburbs is the potential for reduced overhead costs. While it’s not uncommon for home buyers to venture out from the city centre in search of more affordable real estate, the commercial market sees trends like this too.
Unlike downtown areas where rents and real estate costs can climb sky-high, suburban commercial spaces often come at a comparatively lower price point. Of course, potential savings and costs will vary based on the exact location (and a wide range of other factors), however, choosing to buy or open a restaurant outside of the bustling core is generally more budget-friendly.
Plus, beyond just the upfront costs of starting a business, a move to the suburbs can also bring significant savings on monthly expenditures, allowing for more financial flexibility in other aspects of your business, such as menu development, marketing, staff training, or emergency funds.
Hoping to open a restaurant outside of the big city? Explore these other resources for more helpful advice.
- Opening a Restaurant in Cottage Country? Read This First
- Central Ontario Towns to Open Your Next Eatery In
- 5 Reasons to Take Your Business Beyond the Greater Toronto Area
Different Dynamics
While downtown districts may be saturated with dining options, suburban areas often present a more open playing field. With fewer competitors vying for the spotlight, there’s greater potential to carve out a niche and establish your restaurant as a destination of choice within the community – whatever your vision may look like. Whether you’re specializing in organic farm-to-table cuisine, classic comfort foods, or innovative vegan fare, the more laid-back business atmosphere of the suburbs can be a welcoming space for culinary experimentation and differentiation.
Opportunities For Buying a Franchise
Another unique perk of suburban markets is that they tend to be a great fit for franchise restaurants. Franchises offer a distinct set of advantages – all of which align perfectly with the suburban demographic, making them an attractive option for aspiring restaurateurs.
For instance, in suburban areas where residents may have limited exposure to independent eateries, a well-known brand can serve as a beacon of reliability and consistency, keeping customers satisfied and coming back. Not to mention, in suburban areas where local advertising budgets may be limited, the backing of an established marketing department can give franchises a competitive edge in capturing the attention of potential customers.
Another perk of franchises is that they come with a set business model that has been honed through years of experience and success. From standardized menus and operating procedures to comprehensive training programs for staff, this type of support can make a world of difference – especially in a smaller suburban market where there may be fewer resources available to small business owners.
Looking for industry-insider tips on opening a franchise restaurant? We’ve got you covered. Check out these blogs next.
- Buying a Restaurant Franchise? Here’s What You Should Know
- 5 Things You Should Know About Opening a Franchise
- Tips For Signing a Franchise Agreement
There’s More Space
Another positive aspect of commercial real estate in suburban areas is that it often comes with more space. Not only does this give you more opportunities to expand upon your vision as a restaurateur but it can also mean fewer headaches and hassles with everyday operations.
For instance, with extra space available, you could choose to add an outdoor dining area to your restaurant. Whether it’s a cozy pub-style patio or a few small tables around the perimeter of your business space, alfresco dining adds an extra element of charm to the customer experience.
Running your restaurant in a less-cramped area is also much more practical. While downtown restaurants can benefit from an abundance of density-driven foot traffic, the realities of running a business in an urban centre aren’t always glamorous. As an example, simply finding reliable parking can be a challenge – not to mention costly. This makes just getting to the restaurant more stressful for you, your staff, suppliers, business partners, delivery drivers, and of course – your customers. However, most suburban restaurants don’t experience these types of hurdles.
Opening a restaurant? As seasoned experts in Canadian restaurant real estate, we’re here to help. Send us an email or give us a ring at 416-618-0054 to get started.
