That's going to be a tough sell. Restaurants have a very high failure rate, and
are very costly to set up and run. If you have no collateral, you have no risk!
Investors will not likely invest with someone who has no risk of loss them selves.

Good luck with this. My advice is to start saving some cash, so you can invest
into the business as well. edit

Thanks Jason,
I will some how get it done it will take some time for me to do I plan on investing also. As far as restaurants having a high risk, well look at the ones that have failed: they get the big head don't put their heart and soul or really have the passion for wahat they are doing. Plus they think going into it is easy, its a lot of hard work. Some think oh I will just open a restaurnt knowing nothing. Then theres Cleaning issuses, food quality, controling your cost and still delivering a quality product. And of course there is how you treat your customers and your staff. food safety. most whom open restaurants have no ideal what is ahead. I grew up in the restaurant business and I do know. Oh my I have worked in some really bad ones. I worked for one company that the dining room looked good but get to the kitchen a roach wouldn't even go in it was so bad I cried all the way home and quit the next day. Any way thank you for your comment. P.S I wouldn't let some one take all the risk. Have a great Holiday. :).
Thanks Cheryl edit

Cheryl:

I admire your passion and experience. But, I believe that Jason has a strong point.

The best way to create a possible interest with investors is to have a strong business plan. You need to clearly define how the business that you want to buy has been failing and how you can turn it around. You will need to address the current economy and how you can succeed while many others are failing (and it needs to be more than your passion and experience).

Are you just looking for money or a partner? You may have some luck with another experienced restaurateur that has weaknesses where you have strengths.

I bought an existing restaurant 3 years ago and know the hard work that is involved. Buying a restaurant that has a decent reputation is less costly than starting one from scratch. I hope that when you have the capital to purchase that you work with a business broker to navigate you through the process to minimize your exposure and help negotiate the best deal for you.

Good luck.

Douglas Dolan
The Solopreneurs Guide
http://thesologuide.com edit

To Joe in MI
I have a garden center and need additional capital for a 3rd shop I want to open this spring. I have inventory in the other shops and 14 years experience. Will your private investor be interested in me?
email me reevesdlee@bellsouth.net edit

Thank you all for responding. Means alot. This restaurant has been closed for about 1 year. it had a good breakfast business but the owner spent no time in there there and run it down. The restaurant has everything in it. No huge equiptment to buy its all there.I have talk to the owner about leasing it to me and he is willing to work with me and give me a lease as long as i want. The place sits across from wal-mart super store and the outlet mall right in the heart of Osage Beach. Also there is the new highway going in to come out about 1/4 mile to come in to. There is a bob evans and a bandanas next door. There is no good family restaurant here. With the places I have worked I know from exp. that you have to take care of your customers, and it has to be clean. I can do that. With good food clean and friendly. I know you have to keep your cost in control. I also know you have to be the one to work the hardest and be willing to do whatever it takes. have made a menu and figured out the cost and the labor it will take. The season here starts in a couple of months and with a little paint and cleaning and knowing the vendors here I can have it ready right befor the season starts. I know it will make money. And it will create som jobs. edit

Cheryl,

There are many ways to start up a business. Have you tried financing through other avenues. I believe we can help you. We are hosting a live event soon. You should come and get your questions answered. Go to www.makeaclearchoice.blogspot.com. Fill out the info and sign up for the event. Space is limited though so don't wait long. We specialize in helping businesses. edit

hey cheryl. I just wanted to say keep working hard. I have been a part of SCORE for a while now and it seems as if most are all negative and don't give you much hope but, yet they were once where we are.. at the start of coarse. you'll make it if you keep fighting and working hard. I would def suggest a business plan tho for sure it will be a great help for ur business and for whoever chooses to invest in you and what you can do! that's the chance you want well, then you have to show it in ur plan then maybe you can prove it! but, just keep working and don't give up! edit

You may want to read a specific article about how to write business plan for your restaurant:
http://www.iplanner.net/iplanner2007/public/how-to-articles.aspx?article_id=restaurant-business-plan edit

People many tell 1000 things and that might be true also. but not always, don give up... Try for it :) edit

Hi Cheryl,

I just want to encourage you to do a lot of research on this project. I can tell you from experiences with other clients, the restaurant business is one of the hardest business to remain successful - many variables.

On the other hand, there are a few things to consider when entering the restaurant business, so extensive research on your market is key.

Good luck with your venture and please touch base with me, if you require any assistance.

Blair Brown
www.thedestinygroup.ca

"Helping People...Changing Lives!"

"When someone shares something of value with you and you have benefit from it, you have a moral obligation to share it with others"

Chinese Proverb edit

Cheryl, I would also point out that it is important to have relevant and accurate management reporting in place. With your experience, I am sure that you have a very well rounded base of knowledge regarding the operations of a restaurant. However, I know from experience that focusing on the wants/needs of the customer - costs be damned, can be detrimental. Best to have a good understanding of what is beneficial for both you and your customer and strive to achieve that.

Here comes the shameless self-promotion: http://www.imperoco.com . This is my site, on it you will find tools and information to help you succeed.

Also, based on my personal experience, marketing via coupons is the best way to get me to try a restaurant... If you have a thorough financial understanding of your business along with your operational understanding, you should be able to put together a marketing plan that will get people to try your restaurant and, most importantly, get them coming back. edit

How are the other nearby restaurants doing? Places I normally (one a home cooking) eat at, the number of people eating there has dropped dramatically. I noticed one of the big marinas at The Ozarks failed. With this economy, it's a tough time to start any business. Even places in the new, hot Power & Light district in KC are closing.
You do have a great location and that's important.
My wife owned a Country Kitchen for 10+ years. She says if you're doing breakfast. Give away the pancakes, nail them on the OJ.
From what I heard from severs, when I ate out 365 lunch & suppers a year, coupon users come once, buy no extras and tip poor. The take the 2 for 1 special and drink water. edit

Above all marketing will be something you need. Consider using a press release, social media marketing, e-mail for birthday club and a website edit

If you still need help with your restaurant , contact me at Texas Business Centers because we have all kinds of resources you can use - access to business development, financing sources, planning, office and administrative service solutions,etc.. email me at ajones@texasbizcenters.com or call 888-548-1138 edit

Don't do business with anyone who will get you financing, but you have to put up money. It's a very old scam. edit

Cheryl,
I admire your ambition, but as a CPA I have seen many entrepreneurs with your level of passion, work ethic, and business experience lose their life savings and more in an attempt at operating their own restaurant. Not only will you be competing with the well known chain restaruarants for customers, but you also have to compete with them on prices. They have the edge over you with volume purchases and food distribution costs. It's a very challanging equation for the independent restaurant owner. You have received some good advice on these posts. Proceed with caution, and never gamble more than you can afford to lose! j edit

This isn't about giving you hope (hope isn't a plan) it's about giving you real-world advice about your business opportunity. Working as a manager in a restaurant does not prepare you for ownership. While you're opinions about taking care of employees and cleanliness are good, they are just the top layer of variables and issues you will have to deal with in order to create a success - not the least of which is understanding that highways don't bring guests into your restaurant. You're going to need a much better understanding of restaurant marketing if you're going to make this work.

Outside of winning the lottery, you need to work for a successful owner and learn the business of restaurant ownership while you save money and build up your credit and any other investment you can for your business (Jason Nagel is right). Also, listening to people on an internet Q&A forum who have no successful experience at doing what it is you want to do is also not helpful.

The world doesn't need another restaurant and unless you can come up with some type of meaningfully differentiated value, your idea and concept is just another commodity looking to become a statistic. Having better food or better service or being better at cleanliness or employee relations isn't it. That's the price of admission. edit