Was forwarded this presentation by Bhavish Sood which a must read
Some notes from the presentation
The restaurant business is a big gamble
Only 0.7% restaurants that have been in existence for at least three years ever paid Income Tax.
49% of restaurants are not profitable
restaurants that are bubbling all the time one can count on one hand
through Covid 41% restaurants permanently shut down; casual dining and pubs are worst affected
The current price arbitrage between casual restaurant/delivery meal and home cooked meal is 4.5 times
Work from Home – Home Chefs +18%, Home Bakers +260%
Scratch Cooking – India’s daily household ritual is America’s Innovation
10% price increase in the price of McAloo Tikki would cause a decline of 6.5% in its volume.
Get your first 150 Relationships Right; the number seems small but the challenge lies in finding fidelity, quality, and emotive connect in these relationships.
Businesses are undercapitalized because people completely underestimate what they’re going to need.
The new-age mathematics of India’s delivery machine is a multi-variable equation that only
investment bankers understand.. Domino’s is the only exception.
and much more ….