Neighborhood Tapas Restaurant

Couples, friend groups and after-work crowds in your neighborhood, plus people booking small celebrations.

Food and drink sales per table. Shared plates and drinks encourage several orders per guest, so busy evenings and a good drinks menu matter a lot.

• Cooking or a trusted head chef
• Managing costs and portions
• Hiring and leading staff
• Hospitality and customer service

• Health department permit and inspections, check your county's plan review rules before building out
• Liquor license, which varies a lot by state and city and can take months, check with your state alcohol board
• General liability, liquor liability and workers' compensation insurance once you hire
• Food safety certification requirements for managers and staff in your state
• High fixed costs such as rent and payroll, and tight margins, so build in a cash buffer
• Zoning, ventilation and fire code requirements for the space

Startup costs are typically around $70,000 to $350,000, depending on the space, build-out, kitchen equipment, licenses and your opening cash buffer. Rent and payroll are high fixed costs, so budget for slower months.

Monthly revenue is typically estimated at around $25,000 to $120,000, depending on seat count, location, menu pricing and how often you fill tables. Food, rent and payroll costs come out of that.

Things to check: your county's health department permit and plan review, a liquor license from your state alcohol board, food safety certification for managers and staff, insurance, and zoning, ventilation and fire code for the space.