Restaurant biz

[kenlimks]

hello, I want to start a restaurant in BKK. Can anyone advise on what procedures I need to go thru' with the authorities. Anyone with experience in F&B in Thailand esp BKK will be in a gd position to share some problems setting up pls. Are there any market reports?

Last thing, is it difficult to get a work permit with investment? Anyone has recommendation of an agent who is good in this area? Cheers, KL

[Sunbelt Asia]

You can start up a restaurant but you would be fighting tough odds of being successful because of finding a good location, contactors, sourcing suppliers, obtaining good employees, communication problems, delays in opening and a host of other issues.

The odds of being successful go up dramatically if you acquire an existing business. The main advantage is you can see if the concept is working and get immediate cashflow the first day.  Depending how motivated the seller is to sell (divorce, relocating, retiring, etc) you can acquire the business for a lower price than you could even set it up. We have over 200 restaurant listings on our books.

Franchises also work. I would recommend Anna’s Café. They have a excellent brand name. We in fact have a press conference on August 6th to announce their franchise plans.  Anna’s will provide you with the following support :

Sourcing a location – or if you have a location, they will assess its potential as an Anna’s Cafe

Design, Fit-out, Project Management.

Purchasing and supplier lists

Menu Development to suit you location

Head Chef – either they can supply or your nominated chef can be trained.

Pre-opening work experience at an Anna’s branch and training for management and key staff (bartender / captain / cashier)

Pre-opening and ongoing marketing strategy and access to materials.

POS software programmed for your location.

WEB site presence

Supply (Purchase) of all Bakery Products and selected dishes

Option One - A total initial investment of approximately 4 million baht for a 150 seat shop in a stand alone building.

Option Two - A total initial investment of approximately 2.5 million baht for a 60 seat shop in a shopping mall.

Option Three - A total initial investment of approximately 1 million baht for a coffee and dessert shop.

You can find more about Anna’s here

http://www.annascafes.com/index.html

As for the work permit. We have a seperate law department of three regisaterd lawyers. The Head Lawyer has 15 years experience and  this should be no problem, obtaining it.

[Indo-Siam]

Hi -

The way things typically proceed here is that you first create a "holding company" by registering a Thai Private Co. Ltd., then use the legal entity of this holding company to purchase or lease a restaurant facility.  The holding company is also your employer, for purposes of your work permit.  Typically, the name of the holding company is NOT the same as the name of the restaurant(s) that you subsequently open.

My firm is another alternative source of start-up and regulatory processing assistance - that is our core business.

My firm does not get involved per se with acquisition or due diligence on property purchase or lease transactions, or with franchise licensing - which is what I perceive to be Sunbelt's core business.

Good luck!

Steve Sykes

Managing Director

Indo-Siam Group

Bangkok

www.indo-siam.com

[Sunbelt Asia]

Hi Steve,

Probably 95% of the acquisitions, our buyers do the transfer, on an asset purchase. They purchase the equipment, trade name and goodwill and put it into their own holding company.

The other 5% are done via share transfer agreement where the share ownership is changed. No need to form a corporation, it’s already been done.

Our core business is indeed acquisitions via existing companies or franchising. We have a separate law department simply to help our clients with a one stop service.

We in fact now have a separate office for a virtual business center. This serves as an address that you can use for the registration of your company until you have acquired the assets of another firm or started one up. With it comes free use of a meeting room and receptionist answering your phone. The fee is only 2,500 Baht a month. Must say this business center is stunning!

Our clients are free to use another law firm as well on obtaining a holding company, work permits, food licenses, etc. They do not have to use our lawyers if they acquire a business. Most do, others already had one.

[TRIPxCORE]

Option One - A total initial investment of approximately 4 million baht for a 150 seat shop in a stand alone building.

Option Two - A total initial investment of approximately 2.5 million baht for a 60 seat shop in a shopping mall.

Option Three - A total initial investment of approximately 1 million baht for a coffee and dessert shop.

You can find more about Anna’s here

I am interested in the coffee & dessert shop possibly.  Initial investment of one million baht- what does that contain?  How much do I have to put into it later?  What are total costs to me to have it up and running?

[Sunbelt Asia]

Total cost is aprox one million. Includes buildout, furniture, kitchen equipment, rent deposit, signage, two months operational costs and franchise fee.

More can be found about Anna's here...

http://www.annascafes.com/index.html

[mowlem]

hello, I want to start a restaurant in BKK. Can anyone advise on what procedures I need to go thru' with the authorities.

You walk through the tourist areas  of BKK, and see how many food/bar places have lost money, then put your wallet away.

Ask yourself this.....

exactly how many places make money, I mean real profits, not just break even.

Some places change ownership every six months.

A couple of years ago there was one street kebab place on Sukhumvit soi 3, now you can't move for them. Any profit thatwas made, isn't now.

It's not the good idea that makes money, it's the fending off of cheap imitations, for if you make money, they'll be copyig you in 6 months. Usually a dam site cheaper as well.

Sorry for the cynical post.