How to Start a Restaurant In Nigeria

Want to know how much capital you need to start a restaurant business in Nigeria? We will take you through the cost of starting a restaurant business in Nigeria and how you can actually start up with every necessary step you need to take.

It isn’t news that a canteen or restaurant is one of the businesses in the world that had birthed many millionaires and one thing I discovered about this is that most people don’t have an interest in such jobs because it isn’t an office job.

Mind you, we have many businesses that fetch huge money than what an office worker earns of which restaurant business is among. To back up my claim you should check out the “Lucrative Business To Start With 100k in Nigeria.”

There will always be the need to eat, even if you won’t be filled like the meals in your home it is certain you will definitely eat from a restaurant either due to your work schedule or stress of cooking.

Most especially the bachelors or single men in general, including women, most especially the working class, they cannot do without visiting a restaurant.

So if your passion aligns in the area of cooking then this is a hot cake that most people do run away from, just cook good and be neat.

As we forge ahead in this article, we are going to put our focus on “how to start a restaurant business? what is the cost of starting a restaurant business in Nigeria? possible difficulties restaurant owners do face”.

How Much Does It Cost To Start A Restaurant In Nigeria?

Your passion is not enough to push you forward not until you take a step. The fact that you have the ambition or ideas creeping into your brain on food business doesn’t sort it out, you definitely need money, in order words you need to save, and also take a step in executing your ideas and with the help of your passion the sky will be your starting point.

How much does it cost to start a restaurant? To start a standard and modern restaurant in Nigeria, you need at least up to ₦800,000 just on the average scale.

Let me remind you that this business just like every other business is a bit stressful but it pays a lot.

How To Start A Successful Restaurant In Nigeria

1. Choose Your Type Of Restaurant

You need to take the first step which is choosing your type of restaurant, you need to focus on the type of meals you are good at preparing and how swift you are with them.

Here are different types of restaurants that can accrue a lot of profit for you in Nigeria;

  • Casual dining restaurant
  • Fast-food Restaurants
  • Fine Dining restaurants
  • Ethnic restaurants
  • Quick service restaurant

2. Write A Business Plan & Raise Some Capital

Now that you know what you really want to do, the next step is for you to write out your business plan in a formal way and well documented outlining your goals, aims, and objectives and how to achieve them. With this, you will have a well-organized process for your new restaurant.

This can also help you in securing a loan and even get sponsors because your business plan is what will actually attract sponsors and make banks approve you a loan with the nice business plan you’ve got then certainly to payback won’t be a problem.

When writing your business plan, make sure you highlight how you intend to run your restaurant, a clear estimate of your monthly or annual profit expansion, your targeted audience, and every other important detail.

Also, you should state your marketing strategy, financial strength, or factors that would act as a stream of stability when running the business, etc.

3. Get A Good Location

Another important factor for the speedy growth of any business is the location, you should know the location to target for the type of meals you are good at or the one you intend to make.

For instance, if you are targeting youths then it is advisable you site your restaurant in an academic environment like schools, then you know you are targeting students.

If you want to target the working class, then you need a location in the metropolis area mostly cities.

You should know that your restaurant location will affect your sales either positively or negatively, so it is advisable you think well before executing your plan.

4. Get Your Needed Equipment

This like every other point we’ve mentioned on how to start a restaurant business is also very important, you need to get all the necessary kitchen appliances and equipment like your grill, ovens, steamers, fryers, and so on.

If you cannot afford all then you go with the ones you have and as time goes you purchase them and expand.

After all, these have been put in place you also need to set up the menu that fits your restaurant type.

5. Employ Good And Experienced Staff

Hardworking and jovial staffs are a bonus when you have staff that is friendly and always smiling then be assured of an increase in sales as the kind of hospitality your customers get from your staff will make them always come by.

Note that this doesn’t stop you from being directly involved in the restaurant operation as your presence there will motivate your staff and also the way you do your thing can’t be the same way others will do it for you, you are the boss.

You should also mind the size of employees, you have to operate according to budget and what you make at the end of the month, so you can start with 2-5 workers though more will be needed in a large scale restaurant.

Difficulties You Might Face When Running Your Restaurant Business

There are some difficulties attached to every business so yours won’t be an exception, running a restaurant also has its difficulties;

1. It Is a Stressful Venture

It is a stressful thing when working in a Nigerian restaurant, you need to wake up very early to prepare food mostly for those that don’t eat their breakfast at home.

2. Dealing With Rude Customers

This one here is one of the most difficult of them all because “customers are always right”, even when he or she is wrong, turning such a person out can affect your sales negatively because such person will talk bad about your business.

You should learn to control yourself when something of such happens, let us give you some tips on how to handle such customers;

3. Be Kindness

It is very tempting to let lose of your temper when you are faced with such a customer because you might want to pay the person back in the same manner but that will be very bad for business.

Do not forget that the customer came there to patronize you, he might find something of no relevance annoying and you should be very calm when addressing the customer even when he/she insults you.

Kindly stay professional and ignore any form of a heated argument.

4.Recognize The Needs of Your Customer

Your customer might be wrong and you do not agree with him in any way, kindly allow him to finish with his own story before you come in.

Try to let him know that you can fix the problem and also let him know you understand him.

The manner in which you respond determines your success, a satisfied customer will one day bring his friends and family to your restaurant.

5. Don’t forget to Apologize

Saying “Sorry” isn’t hard, doesn’t hurt, it doesn’t deduct your money from your bank account.

So whether your customer is right or wrong, try to always apologize. You will definitely do good in your business within a short time frame.

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Ayodeji Kolawole

My name is Ayodeji Kolawole. Please note that I am not in any way affiliated with any company you read about on this blog. For more info email me on

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