We’ve all had dreams of opening up our first restaurant after cooking that perfect midweek meal, but what about turning those dreams into a reality? This can be an expensive and time-consuming task, especially if you are aiming to open abroad in Europe. Your costs can vary depending on factors such as the size of your restaurant, the area in which you are choosing to open, the cost of food and labor in that area, etc. Trying to wrap your head around the various factors that come into play with owning your restaurant can send you spinning, luckily below are some of the expectations you can have when choosing a country in Europe.
Italy
In cities such as Milan and Rome, real estate and labor costs can cost you a pretty penny. Restaurant start-up costs range from 175,500 euros to 750,000 euros with the two cities mentioned earlier being on the higher end. Chefs at the highest level are paid around 2000 euros to 4000 euros, with their skills being highly sought after. Sourcing food roughly costs around 28% – 35% of the restaurant’s average expenses and with Italians being known for their harsh opinions of food, you cannot afford to cut corners.
Italy is known for allowing foreigners to open a restaurant, or any business, in the country. There are teams of company formation agents who help guide new startups through the process and explain what is required to start a business as a foreigner. It is recommended to get specialized help when opening a bank and when paying your taxes. In order to open a business, a minimum of 1 shareholder is required to be greenlit, with 1 Euro being the minimum share capital for an SRL in Italy.
Netherlands
Horeca (Hotel, Restaurant, and Cafe) licenses are a major factor when looking to start a business within the Netherlands. The price for this license will vary depending on the size and location you are opening your restaurant, however, € 75 must be paid to the Dutch Business Register. If you are looking to supply alcohol on your premises, someone with a social hygiene diploma must always be present while your restaurant is open. There are many other small rules that must be adhered to but will require proper research into your area to find out what you must follow.
Monthly restaurant utilities cost around €3.75 per square foot annually, and the average cost to complete the whole process of completing your startup will cost around €3000. Electricians and plumbers are always at hand should anything go drastically wrong and the costs of hiring a plumber in the Netherlands can be seen here on the Plumb King website. The average salary for a Chef is €119,635 per year in Amsterdam, but outside the central cities costs can vary. Also, it is wise to take into consideration the type of food you will be serving, if you are serving local cuisine then you will need to take into account how your produce and meats will be sourced.
France
Opening up a restaurant in France can be a daunting task due to the city’s famed gourmet cuisine. There are also many different regulations and laws that must be taken into account, for example: if you are looking to play recorded or live music then you must purchase a license from SACEM which covers the artist’s copyright. Prices on the different licenses you may need for your business all vary depending on factors such as your opening hours and whether these are seasonal and your total number of staff. Alcohol licenses can range in price from €10,000 to €20,000, and this license has associated tiers that affect the types of alcohol you can serve. You will also be required to go on a basic training course which covers the dangers of overconsumption and laws against selling to minors.
When opening a restaurant in France, you must have every detail properly planned and laid out to ensure you are fully protected. It can be beneficial to seek out outside help in order to ensure you have all your documents in check. Luckily, both foreigners and locals have the same rights when it comes to starting up your business, however, they must all adhere to proper company law. It could also be wise to check out your local rivals in the area and see if they could be persuaded to provide any tips, there’s nothing wrong with some friendly competition.
Ireland
When looking to open up a restaurant in Ireland it is important to consider the location in which you will be placing your restaurant. It is important to note how visible your location will be and how easily accessible it may be to the general population of the area. Other important factors come into play such as how your restaurant may connect with the sewage and drainage systems of the local area. Ireland is built with very densely packed cities but spread out by sparse open lands. It is also important to keep in mind how big your kitchen space will be and how you will keep it in line with health and safety regulations. Your kitchen must allow for adequate ventilation when cooking and not reach unregulated room temperatures. These are all factors that you must consider when working with little space.
The first step to opening a business in Ireland as a foreigner is to have your name trademarked and registered with the Irish Trade Register. For local investors that you may have, they will need to submit any relevant documentation to the authorities and obtain a copy of the National Authority Standards of Irish Guidelines, and then register with the Environmental Health Office. These are all the important steps to ensuring your business is running legally and you are protected in case of any hiccups in your plans. There are also permits you must consider once again if you are considering the sale of alcohol and playing live music in your establishment.
Everyone can cook, but it doesn’t mean it will be tasty. Join me in my journey to find what would intrigue your tongue, and what would add spice to your life. Bon Appetit!
