Wanted To Start A Restaurant But Have NO MONEY. What Can I Do?

by Chauncy
(Thornton, Colorado)

I want to start a family run restaurant that I know will be successful. Problem is I have no money to do so. Are there any loans available to help me get up and going?

Answer
Chauncy, the short answer is NO, there are no loans available for someone with no money at all. That being said, you have some alternatives.

GRANTS. Grants are not usually given out for restaurants. However, if you can turn that restaurant into a training ground for underprivileged or underserved workers, you may have a crack at it. I know one start up restaurant that got grant money by hiring all ex-convicts (and they did a heck of a good job, incidentally!).

MONEY FROM MANY SOURCES. You are talking now of just a "loan". When you start a restaurant, or any business, you need to look at all the possible avenues for funding. This is one of our major chapters in the Start Up Right Now series. Funding your business is likely the most challenging task you will have to complete, and it takes real skill.

PLAN B. Sometimes the start up funding just isn't there. If that is the case for your business, I would strongly recommend that you simply go to work for a restaurant similar to the one you want to open, perhaps in a different geographical area so you won't be competing with them. Learn everything you can, from cleaning pots and pans to advertising to serving customers. A recommendation from that business owner will go a long way to helping you get the loan you want.

Best,
CJ and the Business Plan Master Team