startups 'high-risk ventures' For restaurateurs, hours, odds long
It's tough to achieve success as small-restaurant owner
Date published: 8/23/2007
BY BILL FREEHLING
Amy Johnson has borrowed $60,000, lost 25 pounds and worked 14-hour days to get Amy's Cafe off the ground.
That kind of effort may not be unusual for a small-business owner starting up. What is somewhat unusual is the success Amy's Cafe has had in its first year.
The statistics say she has less than an even chance of lasting four years or more.
Restaurateurs such as Johnson, who owns and operates the Falmouth eatery, have higher failure rates than other small businesses.
Restaurants are "high-risk ventures," according to Brian Baker, executive director of the Rappahannock Region Small Business Development Center. Data show that just 30 percent make it 10 years or more. Franchise restaurants have a higher survival rate.
Johnson said it's a tough business for many reasons, including the large number of competitors.
"Unless you have that personal touch, what is going to make you stand out?" she said.
Amy's Cafe stands out as one of the more successful Stafford County independent restaurants to open of late, said Stafford Economic Development Director Tim Baroody.
Johnson said it's been a "huge undertaking," and they're far from raking in the dough. She said friends assume she must be a millionaire when they learn she owns her own business.
She said she's paying the bills, but it's been hard at times. The last month has been especially difficult, as "for sale" signs hang from the building she rents at 103 W. Cambridge St. She's had disputes with her landlord over hours and signage.
Getting started
Johnson, a single mother who spent nearly 15 years bartending and managing bars in the Fredericksburg area, signed her lease in early December. The restaurant opened Feb. 15.
In between, Johnson said she spent nearly every waking minute on the restaurant. It's located in a Falmouth building that dates back to the early 19th century, and it needed extensive repairs.
She and a group of volunteers built the bar, replaced the deck, scrubbed the floors and painted the walls in the 2,200-square-foot restaurant. They had to replace the stove and fryer. Johnson met with a long list of people: health inspectors, plumbers, electricians, food purveyors and the representative from the Virginia Department of Alcoholic Beverage Control.
Date published: 8/23/2007
Most recent reader comments:
May Chains keep the world the…same…always?
(posted by
BrendaPorter
, Sep. 25, 2007 2:41 pm)  
The beauty of a Local joint, around the world, is to get to know the local fare, through it, the people. The beauty of being a local with a place to go is finding good food and good friends in a comfortable environment. It’s a shame that a landlord would try to hamper what can only be an asset to all when an est. as Amy’s Café has such potential for success. As a visitor of the Café and personal victim of the landlord, I can say he makes a point to intimidated Ms. Johnson’s customers. Support your Locals.
Some of those CHains are franchised by locals, too!
(posted by
CaptainObvious
, Sep. 25, 2007 2:41 pm)  
Don't hate on the franchises. Lots of them are owned by local families as well. Franchises are less risky and that may be why local restauranteurs picked a franchise! Go to a restaurant that you like the food!
A word of advice
(posted by
werstenz
, Sep. 25, 2007 2:41 pm)  
Stay away from big box chain food and patronize our many locally ownered and operated small restaurants. You will be pleasantly surprised! I personnaly recommend Aladdins Hookah Lounge!
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