{"id":3639,"date":"2025-11-21T19:11:00","date_gmt":"2025-11-22T00:11:00","guid":{"rendered":"https:\/\/www.gotable.com\/blog\/?p=3639"},"modified":"2026-01-18T09:04:22","modified_gmt":"2026-01-18T14:04:22","slug":"restaurant-startup-cost","status":"publish","type":"post","link":"https:\/\/www.gotable.com\/blog\/restaurant-startup-cost\/","title":{"rendered":"What is the Restaurant Startup Cost in The United States?"},"content":{"rendered":"\n

Starting and running any business requires money, energy, and time. However, not all businesses make it through the first couple years. According to the data compiled by the Bureau of Labor Statistics<\/a><\/strong><\/span> from 1995 to 2015, more than 20% of businesses failed within 1 year, and the business failure rate increases to over 50% in five years. <\/p>\n\n\n\n

So why do some businesses fail within years of launching? Well, there could be many reasons.\u00a0 Lack of planning and preparation, under-estimating the challenges, money crunch, or just plain bad luck are a few of the reasons.<\/p>\n\n\n\n

How Profitable is Owning a Restaurant?<\/strong><\/h2>\n\n\n\n
\"restaurant<\/figure>\n\n\n\n

The restaurant business, although competitive, can be a lucrative venture. With over 660K restaurants<\/a><\/strong><\/span> across the United States, the food and drinks industry generated over $799 billion in sales in 2021<\/a><\/strong><\/span>. <\/p>\n\n\n\n

Needless to say, owning a restaurant business can be a profitable affair if you get the business model right. How much does it cost to start up a restaurant? Read on to know about restaurant startup costs<\/strong> and how you can improve your chances of succeeding in the industry.<\/p>\n\n\n\n

List of Restaurant Startup Costs Every Owner Must Know<\/strong><\/h2>\n\n\n\n

Budgeting for a restaurant startup contains two items – initial costs and expenses. A restaurant start up cost is a one-time expense for the commercial space, renovation, equipment, kitchen utilities, etc. <\/p>\n\n\n\n

On the other hand, expenses are recurring charges you pay to keep your restaurant up and running, like rents, payroll, supplies, etc. <\/p>\n\n\n\n

Now you know the difference between these two, here is the restaurant startup costs breakdown <\/strong>that every restaurant owner must know:<\/p>\n\n\n\n

1. Premises, Equipment, and Resources<\/strong><\/h3>\n\n\n\n
\"restaurant<\/figure>\n\n\n\n

Planning for any restaurant startup budget<\/strong> begins with finding the perfect location. The area, location, resources, and equipment you will require depend on the size and type of your proposed restaurant. <\/p>\n\n\n\n

Rent is usually charged on a per square foot basis, and varies in different parts of cities. While some restaurant premises come fully equipped with furnishings, others require costly renovations that can shoot up the investment cost.<\/p>\n\n\n\n

Here are some of the crucial costs you must consider:<\/p>\n\n\n\n