What Do You Need To Open A Restaurant?
Just so you have an idea of what you will encounter in your attempt to open a restaurant, here are some of the legal requirements you have to fulfill.
Business FormationThe first thing you have to do is to decide what type of business you want the restaurant to be. It could be a partnership, corporation or an LLC. Your attorney will be able to advise you on the specific business formation that will be suitable for the restaurant you have in mind.
If the restaurant you want to establish is part of a franchise, you will need a skilled franchise lawyer to help you with drafting the agreement. Your attorney will also help you understand your rights, and obligations within the franchise.
FundraisingRaising funds for your restaurant is not a walk in the park. If you do not already have personal funds you want to invest, you will have to convince investors to raise funds for your restaurant. Investors are usually reluctant to invest in the early stage of a restaurant because of the high upfront costs.
Fortunately, a restaurant lawyer can help you structure your restaurant business in a way that will encourage investors to raise funds for you.
Real EstateWhen you find the dream location for your restaurant, you will have to check with local zoning ordinances to be sure the place is right. After determining this, you have to decide if you want to purchase the property or take a lease. Your restaurant attorney can help you with drafting the lease agreement or purchase contract.
Restaurant LicensesTo operate a restaurant, you will need a food license, a business license, and if you plan on selling alcohol, a liquor license. Your attorney can help you apply for all the required license while you focus on delivering the meal.
It is usually harder to get and maintain a liquor license. You could lose your liquor license if you flout the regulations like when you sell liquor to a minor. Your attorney can help you get the license and advise you on policies you can effect to maintain it.
Intellectual PropertyYou also need to protect your intellectual property when establishing a restaurant. A restaurant attorney can help you register your restaurant name and logo as a trademark. You can also patent the recipes you develop in your restaurant.
You might need to draft non-compete and non-disclosure agreements to prevent your employees from leaking your vital trade secrets.