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Technomic forecasts a 4.25% increase in restaurant revenue for 2025 – with 4% of that coming from menu price inflation. So, as you protect yourself in 2025, you will raise your menu prices, taking price in small increments. Because you can’t afford to let margins erode.  More Carefully and Less Often Even with inflation currently … Continued

At QSRs, they call it a “value meal”: a group of items bundled at a lower price than the price paid for buying each item separately. That whole concept messes with your head—because it defines value as price, and nothing could be further than the truth with the restaurants I work with. With my clients … Continued

10 years ago, I worked with a couple of burger clients, one of whom would not do delivery because of “the quality of the burgers by the time they travel” – and another who, for the same reason, did not even offer to-go orders.  Flash forward to today and that thinking has vanished, like talking … Continued

It used to be that a restaurant could be packed all the time even if its food and service were just OK. Not anymore. This example turns out to be a permanent change in our industry, and the sooner you accept that the days of punch-card loyalty programs, dried flower arrangements, and old consumer behaviors … Continued

It may seem like “a riddle wrapped in a mystery inside an enigma” (thank you, Winston Churchill, for the quote), but one of the great advantages you have as an owner of a small (or even medium-sized) business remains making big moves quickly. And in times like these, big moves are what you need if … Continued

It turns out that the turbo-charged technology boost that independent restaurateurs experienced in the pandemic era now looks like a dress rehearsal for the next wave.  Today, my clients ask when the bells and whistles they have read about chains developing will become available at their level.  They’ve paid attention to reports of BJ’s AI-powered … Continued

Only in a presidential election year would both major candidates be supporting a fiscal policy of no tax on tips. I understand why this excites people in the industry and our associations.    But I’m not one of those people . I get it. When we’re trying to attract employees, exploring every possibility makes sense. … Continued

Next year, passengers on Southwest Airlines flights will be able to find their assigned seat and, for an upcharge, get to luxuriate in an extra 5 inches of legroom – just like they do now on Delta, American, and United. The days of open seating and “one class” cabins, like on the flight I’m on … Continued

Wow! It’s already that time of year again: with your kids either excited for or dreading going back to school. While kids and teachers face the results of their “summer brain drain,” now’s a good time to remember that learning happens outside of school, too. For restaurateurs, that means it’s time to pay attention to … Continued

I am just back from another great Texas Restaurant Show where I spoke Saturday at the TRA/Morgan Stanley pre show Investment Boot Camp about 5 ways to finance restaurant company growth and on Sunday on the show floor Innovation Stage about the Silver Tsunami, unlocking opportunities with restaurant owners who want to sell or step back.  A lot … Continued

At the Texas Restaurant Show this weekend at the Henry B. Gonzalez convention center in San Antonio – on Sunday, July 14, I will be part of an all-star team talking about “Silver Tsunami: Unlocking Opportunities With Restaurant Owners Who Want to Sell of Step Back”. It takes place on the show floor’s Innovation Stage at 12:30 … Continued

I admit it: I’m fascinated by Salad and Go’s business. It’s a QSR with no dining rooms, a footprint as small as 750 square feet, core menu items in the $6-$7 range, and an AUV north of $1MM. In all, they’re about as different as possible from the restaurants I work with. Their idea of offering people … Continued

Every restaurateur I know wants to either make 20% profit at the unit level or, if they don’t, they want to know why their restaurants don’t make profit at that level. They have heard the overworked saying that restaurants operate on “razor-thin margins.” Of course, that saying refers to the industry as a whole, so … Continued

What’s your plan as the “Silver Tsunami” hits? We can figure that out together when I speak at the Texas Restaurant Show on Sunday, July 14. What’s the “Silver Tsunami”? It’s the mass sell-off (or reimagining) of great companies that were started by baby boomers in the 70s, 80s, 90s and even the beginning of this century. These owners … Continued

I have never heard any of my clients (or anyone I know) say, “I took too many vacations this year and my business really suffered.” What I have heard:  Your Summer Vacation Season 2024 This week marks the kickoff for summer vacation season, and, if my own block is an indicator, a lot of people … Continued

Restaurant Owners Success Club is a connected group of multi-unit restaurant owners who meet with me virtually to gain from my overview of what is happening in the industry, learn things to do now, compare notes on revenue and employee retention trends, and dive deeply and share stories on topics that make an impact.   The … Continued

Wow! Next week’s calendar says, “Texas Spring Break” already.  That means the time for owners of successful independent restaurant companies to get out and enjoy the success they have earned is NOW – not when they retire or sell (if they ever do). Last month, I met a restaurateur who has five units and had … Continued

I was having a drink with one of my clients and we were talking about the roles he and his wife were taking in their own business—which was very successful by any measure. They were working a lot. A lot. And seemingly forever. “We’ve decided we will work like dogs until we turn 50. Then … Continued

Every restaurant closing or personnel change has a backstory you never read about in a magazine. So much goes unsaid and unprinted. As an insider, I know. You may, too. Challenges in the Restaurant Industry I have heard a lot of talk and read a lot of texts lately about Brian Reinhart’s D Magazine article, … Continued

Are you working hard this holiday season – feeling the frustrated pull of your family asking you to peel a few days here or there so everyone can be together? Or are you more like many of my clients, who have structured their business so that trusted and responsible people are able to run it … Continued

Live your own life, not someone else’s. Customize your life. You have the power to do that.  Most people who don’t feel they have that option would be shocked that you don’t choose to take advantage of it.   Do This Now  I can hear you laughing when I say that our industry is stable … Continued

If you want to really improve your restaurants and your restaurant company, act like you just bought it.  Instead of looking at it like the founder, developer, and shepherd you have been for years (or decades), look at everything with new eyes. When I begin working with new clients, I observe, learn, and respectfully question … Continued

If I asked you, “What kind of company do you own and operate?” how would you answer?  Would you say, “A restaurant company”? Maybe if you’re a wise guy, but it doesn’t give me or you a whole lot to work with.  It reminds me of when I ask my daughter what happened in school … Continued

For many of my most successful clients, it might have been several years – or even several decades – since they’ve worked in a company that wasn’t their own. That can result in a lack of perspective that holds them back. And sometimes, “It’s lonely at the top” is more than just a saying. The … Continued

In the history-spanning and never-ending competition between chain restaurants and independents, the conditions for independents today look more favorable than at any time since before the pandemic. Why? Because chains can’t create the memorable and authentic experiences the independents can. And those are the experiences customers want. Chain restaurants’ advantages – those attained through capitalization, … Continued

It turns out the roller coaster CAN go up! My clients are starting to feel like the economy and the restaurant industry are finally stable for the first time after recent years where the roller-coaster only seemed to go down. This is leading to (dare I type the word?) optimism. The challenges of recent years … Continued

While you still have the power to impact restaurant results in 2023, use it. At this point in July, you’ve had enough time to digest your company’s results for the first half of the year. Did you exceed plan? Did you fail to meet plan? Did you even have a plan to measure against? Whatever … Continued

Everyone at the recent Texas Restaurant Show in Houston produced by the Texas Restaurant Association wanted to know how to find, keep, and grow managers.  Why? Because it’s vital – especially when operators are forced to fish out of a talent pool that’s even shallower than the kiddie pool at the resort you visit this summer.  I was … Continued

As a young nightclub owner, I would get a physical feeling of excitement and adrenaline every year after Christmas – along with a sense memory reminding me that New Year’s Eve, the biggest night of the year, was about to happen. Now, after decades of advising successful owners of growing restaurant companies here in Texas, … Continued

Part of our DNA can also become a dilemma.  In the dining room, we have the superpower of peripheral vision: a hyper-awareness when a guest is in peril.  At Brinker International, they call it “GWAP” (guest with a problem). Over time, we learn how to correct the problem without that guest – or the team … Continued

I nearly spit out my cornflakes, sitting at the breakfast table on my deck recently, as I read the headline on the home page of the New York Times: “For Diners With Deep Pockets, Dallas Is the New Dubai.” First of all, Dallas is not the new Dubai. But still, it made me think. A … Continued

One of the most important and underrated aspects of success? Your ability to get away.  Even before we start working together, my clients tend to already be successful beyond their wildest dreams. Together, however, we make their businesses and lives even better.  Birth of the American Vacation The Puritans were not big on vacations. Idle time … Continued

The most successful restaurant owners I know use three different methods to move initiatives forward. Which one to use? That’s the question. Figuring out the answer to that question demonstrates a leader’s greatest value, since everyone and every issue has its own set of requirements, talents, disciplines, and demands. The best leaders customize their methodology … Continued

Once, at a client’s weekly operations meeting, I waited and waited to hear someone speak the word “guest.” I heard about production, maintenance, organization, policies, personnel, money, and training. Surely, one of the 10 experienced managers at this mature, legacy-brand, high-volume unit would talk about something they had done for a guest, something they had … Continued

Take a look back all the way back to the beginning of the year. With the first quarter just ending, my best clients take stock of what they’ve achieved. Then, they adjust to ensure they have a great 2023 – no matter how they started the year. Did you exceed plan? Did you fail to … Continued

Where do you go for advice on building confidence, concepts, loyalty, professionalism, and taking smart risks? You go back to high school.  The Texas ProStart High School Competition Recently, as part of a team of 25 restaurant industry leaders, I continued my streak of judging critical thinking skills at the annual Texas ProStart statewide competition … Continued

Chains beat independents on a cycle of refreshing their concepts, décor packages, signage, logos, menu design, and offerings. Unfortunately, independents who ought to go big tend to go small. The consequences? Results that are obviously insufficient. Don’t let the chains beat you.  Investing in upgrades activates your guests, enticing them to visit your dining room … Continued

For a large part of their days, restaurant owners try to figure out ways to give hourlies and managers more flexible lives. That’s just part of the world now: offering flexible scheduling for hourlies and groundbreaking benefit packages for managers. When you do this quality people want to work with you, and feel happy to … Continued

I have new clients in the startup phase complaining that not all their new managers are getting the job done. I also have longtime clients worried their best people may leave for that hot new brand. The best strategy for both these clients is the same: Keep the good people you already have. There is … Continued

Walt Disney did not say, “If you can dream it, you can do it” – no matter how many Web posts and truckloads of World Market, hardware store and Etsy-sold canvas wall art attribute that to him. The saying, “If we can dream it, we can do it” appeared at the entrance of Epcot Center’s … Continued

I’ve gone back and chosen five especially popular or meaningful posts from 2022 – a year of adjustment to new challenges and, on the whole, a successful year for the restaurants I work with.     My clients and my readers told me that these messages turned out to be the ones that most helped them and … Continued

Often (unfortunately), when they’re asked to solve problems, too many management teams don’t have the information or education they need to solve them. If your managers remain P&L illiterate, don’t defend their P&L in a meeting of their peers and then go right back to their stores to make the next one better, you’ve failed … Continued

When you spend your whole day dealing with rising costs and a soft market, leadership development might be the last thing on your schedule.  That’s a huge mistake.  Why? Because leadership development applies to everything you do in operations.  Restaurants really live in the branding business, while operations exists in the leadership development business.  Matthew’s … Continued

The less qualified people available to work in your restaurants earn more money than ever before. So you only have two choices: I can’t make this any simpler.   Matthew’s 5 Key Training and Education Concepts Recently I wrote to you about planning for 2023 and the five critical topics to handle next year, with … Continued

Don’t waste another year not handling chronic issues in your organization.  Look at your calendar. The end of the year dictates that you have a plan in place for your company for next year. In a world that’s rapidly changing and uncertain, shorter ranges of strategy – quarterly and annually – become even more meaningful … Continued

Last week, Restaurantowner.com asked me to do a webinar on 2022’s five most valuable multi-location initiatives. You can view the webinar here.  In a hurry? Short attention span? Read this summary of my message.  Over to you. Which one of this Top 5 offers the most benefit to you and your organization? How will you start?

If you’re feeling stuck, frozen, or worried about what happens next in the economy, you’re in danger of succumbing to short-term fears. Don’t do it! Stay focused on the big picture. Continue to build your company to support your long-term vision.   Win the Marathon During the summer restaurants were concerned when sales declined 5-10% … Continued

Success creates the time for you to work on only those things you like to do – and what no one else can do.  So it pains me to see restaurateurs who don’t take advantage of their success.  Why do people miss this opportunity to transform their professional life? Do they not notice their surroundings, … Continued

Top restaurateurs spend less of their precious time knowing their organization’s numbers and more time ensuring that the people who run their restaurants have financial acuity. They develop people who tell them (their boss) about prideful action undertaken to provide great guest experiences, loyal and talented employees, and numbers that meet or exceed budget. The … Continued

Why do entrepreneurs in the incubation stage understand the need for strategy more than many successful owners of independent multi-unit restaurant companies?  Recently I spoke at the DEC@Redbird part of The DEC Network in Dallas, which is dedicated to delivering access to resources, education, and guidance to give a boost to those small businesses and startups who might benefit from them.  … Continued

People can work for years creating a healthy culture in their restaurants – then one false move destroys it all. On a recent Monday morning, Texas Rangers President of Baseball Operations Jon Daniels called a press conference to announce he was firing his direct report: manager Chris Woodward.  Two days later, Ray Davis, the normally reclusive team … Continued

Do your guests smile, feel happy, enjoy their meals, and tell their friends about that? Do your financial statements appear predictable and healthy – making you proud? Does your culture deeply permeate your restaurants every unit, every shift, every table, every time? Do your people demonstrably improve – doing things today that they couldn’t do … Continued

By the time I start working with most of my clients, they’re already successful – making more money than they’d ever imagined. The reason they’ve brought me in, though, is that they know there’s an opportunity for so much more.   What the Airport Reminded Me Recently I was waiting for baggage at Denver International … Continued

You miss out if you return from summer vacation with only lifetime of memories, and cool photos on your Instagram. Yesterday was my first day back in the office after two weeks in the Pacific Northwest and Colorado – two weeks of being with family and friends, enjoying nature, eating great food, and living with … Continued

Many of the restaurateurs I talk to every day often make assumptions that send them in absolutely wrong directions. When this happens in your brain, let me help you neutralize them with Matthew’s Top 10 Course Corrections – the cure for the faulty assumptions that rattle around in restaurant owners’ heads. When you… Think you … Continued

A lot of restaurateurs forget to ask for the results they want – then feel puzzled when they don’t get those results. If you suffer from lack of specificity, learn to ask “why” over and over. Borrow a three-year-old or remember when you raised a three-year-old. You want people to develop managers, boost service, comb … Continued

Chains won the pandemic – independent restaurants lost.  Chains leveraged their financial and resource superiority and, in a frightening (for us in the independent world) turn of events, learned to act quickly.  Chili’s created a virtual brand across 1,000 units in a few months. Chipotle waved what looked like a magic technology wand, and built … Continued

We live in uncertain times – in a maybe-recession, maybe-not recession, maybe-shallow recession.  In the big cities where most of my clients operate, restaurants experience softer sales. Guests are spending, but that spending happens while on vacation in France, Spain, the Bahamas, Florida, Colorado, California, Galveston, the Gulf Shores, or Padre Island.  When school goes … Continued

Right now, the kiddie pool in the hotel your family visits this summer is deeper than the management pool in the restaurant industry. Every few days I have a conversation where one of my clients complains that the management talent in their organization is not prepared to operate up to standards.  Owners are frustrated about … Continued

Haruki Murakami wrote in his novel, The Wind-Up Bird Chronicle, “If people lived forever…they’d probably just figure, ‘Oh well, I’ve got plenty of time for that. I’ll think about it later.’” Stop operating your company with immortality in mind, like you have unlimited time to handle the issues that can make a huge difference for … Continued

Former Labor Secretary Robert Reich once said, “Economic forecasters exist to make astrologers look good.” There is no time like June 2022 to remember that. Winners exist in any economic condition. You don’t have to worry about all restaurants; just focus on yours. Then win. Whatever happens with our economy, the premium tools you use … Continued

The smartest operators know not to let their business become a clinical trial for an experienced senior chain restaurant person who works for an independent for the first time.  Instead, they leave that risk to someone else. NEVER hire senior management unless they’ve had at least one successful stint at an independent company.   This … Continued

David M. Solomon, the CEO of investment bank Goldman Sachs, surprised the world by offering senior bankers unlimited vacation time. He wants his people to “take the vacation they need so they can continue to run hard, be competitive, run productively, but take care of their families.” He sounds like me: One of my long-standing … Continued

Expecting managers to perform because, 1) You told them to, and 2) You pay them a lot, identifies as disappointing fantasy. Instead, stick to reality. And in reality, the management shortage actually looks worse this year. People have landed in their post-COVID-crisis spots in and out of the industry and don’t want to budge. And … Continued

A lot of restaurant owners have that tired old American dream: Work your whole life, then sell your business and retire for good. When my clients figure out the high cost of selling now, many see that dream as a nightmare. You have another option. Rather than selling your company, keep it – and let … Continued

By now, we’ve all shared the February New York Times article “Restaurants to Customers: Don’t Call Us, We Won’t Call You.” It’s about a growing trend in restaurants – of communicating only by email or text, not phone. In the article, one restaurant owner complains that, to talk to guests, “to pay someone $15 an hour or … Continued

What is one thing in your organization that, when improved, would be a breakthrough for your guests, employees, brand, and net worth? Look in the mirror – it’s you. Since you’re always quick to improve other things in your business, how long are you willing to stay the same?  Vulnerable or Cut Off? Some of … Continued

I talk to so many restaurateurs who have a restaurant detail voice in their head and stress about how their managers handle many issues.  Instead of thinking about how to create and grow, they reside in someone else’s details. I remember an image, an old greeting card or New Yorker cartoon, with a picture of a patient … Continued

The pandemic changed what people tolerate. Today, after all they’ve lived through; owners of successful independent multi-unit restaurant companies have less tolerance for organizational blind spots. They’re not content to just let initiatives be like conversations that go on year after year with no tangible result. Companies return to investing beyond existing and future units … Continued

Non-cash adjustment moves the credit card processing cost away from your P&L and onto your guests’ credit or debit card – in small increments they do not mind.   Plastic-wielding guests will see this cost itemized on the guest check, or will see a reduced price if they pay with cash. On a $45 check, that … Continued

Last week, for the first time in two years, I went to a concert – me and 10,000 of my closest friends. Until the pandemic, that’s something I had been regularly doing my whole life.  At first, it felt otherworldly and weird.   And I have to admit that, at the load-in entrance, when I … Continued

Sure, listen to your family and friends, employees, and co-owners – they love to speak up. Direct, honest communication and encouragement inspires all of us, especially when it comes from people who have nothing but our best interests truly at heart. But nothing equals advice from experienced smart people who just want you to do … Continued

Recently I went to a KFC drive-through. If you know me well, before you fall out of your chair wondering why, know that I wanted to try their new plant-based product. I was curious about it since I’ve been watching that trend and had seen the TV ad – plus, they have a unit next … Continued

Today, we have to live with a lot of odd pairings – such as guidelines we need to follow that might (at first) seem contradictory. An example? The need to be flexible and tolerant with our people (so they stick with us like lifelong fans of a local sports team), yet still be able to … Continued

Last week I spoke to an Operations Director who had beefed up their management roster and had “one on the bench.” A heroic accomplishment in the current labor market! They also lamented that young managers too often have an attitude of, “I am doing you a favor,” as they go through their day. People read … Continued

Welcome to an inflationary time, where cash on hand not put to work becomes a depreciating asset. Back when the pandemic started, my first and most important question to all the operators I helped was: What is cash? At that horrible and scary time, instant clarity told me cash on hand would be the single most … Continued

Looking into 2022, the greatest thing top restaurant companies have going for them is that – after experiencing all those previously unimaginable things over the past two years – they have now figured out their strengths, identity, branding, and plans. The future now looks much clearer to them, even though the headlines can be distracting … Continued

Our strength was tested in 2021. Good news: We passed.  One of the best coping mechanisms remains laughter.   Above find my two favorite iconic pictures from 2021: The restaurant I drove by that put a hot-air balloon on the roof to attract talent, and The menu I found in my mailbox stamped with the … Continued

My clients’ activity over the next two weeks varies from taking time off with friends and family at home (or traveling), to going to a mostly empty office for some time to think – to spending mealtimes at their restaurants to greet and appreciate guests and staff. However you decide to spend special time, my … Continued

If you missed the workshop I conducted last week, “Beat the Labor Shortage – How to Attract and Retain Talent Without Breaking the Bank,” I’m sharing six key takeaways discovered by the diverse group of owners, operators, educators, and corporate team members who collaborated with me there.   You’ve Got This: Every crisis seems insurmountable (think … Continued

During the empty-dining-room days of the pandemic, many owners of successful multi-unit restaurant companies got in the habit of dealing only with the new things directly in front of them. Those who fall into that trap now, though, are missing out on the fundamentals that make a restaurant business excel. I recently pointed out that training falls … Continued

Many of my clients operate more than one brand.  These operators of multi-unit, multi-concept organizations have challenges that never even show up on the radar for single-concept operators.  Still, few yearn for a simpler life. That’s just how the personalities of these owners work. These multi-concept companies evolve with a high level of creativity and … Continued

Car dealers don’t have cars to sell; we’re waiting until October for the furniture and equipment we ordered back in April. And your trainers can’t find time to train. Welcome to 2021. Training and education are one of the many unanticipated down-line issues associated with the current labor shortage.   It’s making it a lot harder … Continued

What did you do over the summer to take time away from your business and enjoy your success? Do you want to be able to do more of that? If so, how can you set up your company in a way to let you do that? Those three simple questions may not be on your … Continued

Any conscious operator who wants to ace the everyday test of business knows the answers to these two questions: What about your competitors makes you admire them – and makes you work harder to improve? What makes your own business stand out from your competitive set? Most owners of successful independent restaurant companies will tell … Continued

My clients in Louisiana have a before-and-after story that’s part of their constant inner dialogue: “before Hurricane Katrina (or Rita or Ike) and after it.”  But never before has there been such a nationwide, clear-cut break/delineation/before-and-after line in our industry. Now we have “before the lockdowns and after the lockdowns” – before COVID-19 and after/learning … Continued

In my Restaurant Owners Success Club last week, we spoke about how, last year, retention simply meant, “I hope I don’t lose my business.” This year it means keeping employees. One of my clients told me, “Being an owner of an independent restaurant company looks like riding a see-saw.” One month you feel down on … Continued

At Texas Restaurant Association Marketplace this weekend – on Sunday, July 11, I will present a rapid-fire brainstorming education session: “I’m Still Standing. The Pandemic Kicked My Restaurant’s Ass.” I will be on the show floor’s Big Bend Ideas Stage at 10:30 AM on Sunday, July 11, with a great group who are coming together to share … Continued

At Texas Restaurant Association Marketplace in three weeks – on Sunday, July 11, I will present a rapid-fire brainstorming education session: “I’m Still Standing. The Pandemic Kicked My Restaurant’s Ass.” I will be on the show floor’s Big Bend Ideas stage at 10:30 AM on Sunday, July 11, with a great group who are coming together to trade … Continued

I recently talked to a restaurateur who had just taken his first plane trip in 15 months – and he told me incredulously that it felt “almost like normal.” I’m taking my first one in a few weeks. Last year, the year of oddness and panic, a lot of summer vacations were canceled. Or substituted … Continued

One of my peers in my international consulting community sent me the results of a small business owner poll taken by Alignable, the small business referral network, about reasons for the hiring shortage. It was interesting…and predictable, with unemployment presented as the #1 reason and stimulus checks as #2. But then the poll’s fatal flaw flashed … Continued

Said no one ever: “Honey, I feel hungry. What corporation do you want to dine at tonight?” One of the myriad changes forced on your multi-unit restaurant company during the crisis phase of the pandemic? Spending your corporate office budget much more wisely. No sacred cows. You made smart cuts to your overhead at a … Continued

In Texas, from time to time, a bumper sticker appears that says, “Lord, grant me one more oil boom and I promise not to screw it up.” Welcome to our oil boom. Last week I dined with a group of experienced restaurateurs who I noticed walking around our private dining room in a daze. It … Continued

Attention procrastinators! There is still time to register for the webinar “Let’s Eat – How Restaurants Should Respond as Nighttime Diners Return.” This event takes place at 4 PM CDT today. Register free here.  You will hear success stories about my clients and the plans I currently advise them to implement. See Ron Ruggless, senior … Continued

The latest release in horror movies our industry is part of – our three-pronged labor shortage disaster. When I speak with operators, our first words are usually the zeitgeist pleasantries about Pfizer, Moderna, or J&J, and our next words are always about staffing our restaurants. We’re starting to breathe out, having just evaded the COVID … Continued

The not-so-secret formula to exceeding your 2019 revenue by double digits? Getting to see friendly faces again. With capacity restrictions on your dining room removed as if by magic, you’ll see lots of customers you recognize from a long time ago.   Now that they’re vaccinated, even former guests who had been gravely concerned or … Continued

With Texas allowing 100% capacity, the honeymoon with our guests is on.   But honeymoons don’t last forever. And what about this crisis? It won’t really be over until the case load is low, we understand new post-COVID guest behavior, when the unready or hesitant guest returns – and work our way through all the … Continued

You live your restaurant brand – treating it as your precious, much-loved baby.  To you, every tiny change and improvement you make to your restaurant is obvious, just like parents notice their kids changing every few days when they are young. Unfortunately, what is great parenting turns out to be a trap for a restaurant … Continued

Give yourself credit.  You made it through the past year. You will never forget it, and definitely never want to repeat anything like it. A year and a week ago yesterday, my daughter and I were at a Dallas Mavericks game, and the person who had sat in front of me for years – a … Continued

The great Texas Experiment begins next Wednesday. That’s when Governor Greg Abbott has announced he will rescind his statewide mask mandate and capacity limits on businesses. The governor also said, “Personal vigilance to follow the safe standards is still needed to contain COVID.  To stay safe, Texans should continue to follow medical advice on preventing … Continued

They run restaurants and are an organization’s highest VIPs. So it’s not unreasonable that my best clients are continually growing the capability of their general managers. You want them to act like they have ownership, or spend less time on task, or take on activities you currently undertake – involving them in menu development, education … Continued

At first, it was a surprise that the younger entrepreneurs I work with today – people in their 30s and 40s, building great brands and futures for themselves and their families – don’t suffer from the ego problems that obstructed their predecessors. They are much clearer on the advantages of learning from others, and they … Continued

During the pandemic, the pendulum swung in the battle between independent and chain restaurants – now favoring chains. Over time, supremacy has switched from one to the other – and back again. Like between Federer and Nadal Republicans and Democrats The Avengers and Thanos At the beginning of this crisis, chain restaurant companies were better … Continued

At breakfast before school one day last week, my eight-year-old daughter looked at me over her yogurt-covered waffles (her self-created entrée) and asked me a great question. She asked what would make COVID-19 go away. We’ve all asked the same thing. As we usher in a new administration in Washington we can see (regardless of … Continued

We now exist in the planning range for what happens to your successful multi-unit restaurant company after the pandemic ends. Write that down on a post it note, or take a picture of it on your phone and look at it every day. Take action on this every day.  Pay Attention and Don’t Forget When … Continued

If you’ve watched the most recent season of The Crown on Netflix, you probably remember the episode when Prime Minister Thatcher and her husband spent a social weekend with the royal family at Scotland’s Balmoral Castle. However, even though it was supposed to be a social weekend, Thatcher couldn’t stop working – and even declined encouragement from … Continued

For the generation of restaurant companies growing up over the past 30 years, two things remain clear today that were not so evident in, say, 1991: 1. How you master professionalization, and2. How you master culture will determine your restaurant company’s results. One way or the other, you will prove this when we recover from … Continued

I’ve gone back and chosen five especially popular or meaningful posts from this year – a year when, just like you, I’ve pivoted to help people in a different way. It’s astonishing that, if you had shown me these five subjects a year ago, I would not have known what the heck you were talking … Continued

After nine months, no one wants to hear about what we’ve learned from this mess. They just want to know what to do. I can’t tell you how many times throughout this crisis I have had to quiet my brain every time I thought, “lesson learned, lesson learned, lesson learned.” That is how I am … Continued

Welcome to the re-beginning. Last March, we felt shock as we walked through empty dining rooms, establishing tactics and strategy as we went along. In the background we heard health authorities warn us there would be a spike “next winter” – but we sort of just filed that in the back of our minds, distracted … Continued

At the risk of going all Winston Churchill on you, forecasting and planning for 2021 looks like “a riddle wrapped in a mystery inside an enigma.” Increased COVID cases may have a negative impact on revenue. Availability and acceptance of a vaccine may have a positive impact on revenue. Meanwhile, the regrettable truth is the … Continued

Remember the days leading up to the presidential election? And the days after it? World-championship LeBron James levels of uncertainty – like much of the year 2020. Reminds me of a telephone negotiation I just completed.  The person on the other end of the call said to me, “What we really need on this is … Continued

Earlier in the year, I expected to be writing by now about the lessons we learned during the COVID crisis. I mean, we knew going into this that it wasn’t going to be a sprint. We always thought it would be a marathon. But it turns out we’re in an ultra-marathon. When the COVID-19 crisis … Continued

In 2020 you need all the help you can get. Here is help for you that takes next Monday at 2 PM CDT (registration link at the bottom of the page). Read below about Denny Law Group’s annual industry event, free and this year, virtual. David Denney hosts me and a panel of other experts … Continued

Last week I spoke to multiple operators who reflected on the process they used a year ago to set their goals for 2020 – and how those goals currently lie in a hundred pieces on the floor due to COVID-19. Usually around this time of year, I talk to my clients about planning for next … Continued

Remember your former long-time guests? The ones you have not seen since March? Think of all their names and faces now. While they may seem like just a memory at this point, they’re more than that – they represent your life’s work…and your future profit. So surprise them; get in touch with them to revive … Continued

Restaurateurs who barely gave a thought to to-go and delivery before this year are now relying on them to help their restaurants produce any kind of revenue approaching historical norms. For that to happen, though, customers need to perceive your to-go and delivery as fast, efficient, accurate, and safe – from easy online ordering to … Continued

When you log on to your favorite news site to see that 25% or 40% or 85% of restaurants will not survive this mess, you feel depressed and downright disturbed. (By the way, I predict the lower number.) As of today here in Texas, though, most restaurants can go back to 75% capacity – up … Continued

Qualifying for a potential PPP2 loan is critical to survival planning. Congress is working with a formula where  PPP2 loans, if they happen, reward people who could not (or did not) open after the shelter-in-place orders – or had central business district or tourist locations. Those restaurants need the help. On the flip side, qualifying … Continued

2020 has taken its place as the best year of our lifetimes to honor the American worker.  Like everything else, Labor Day has taken on the personality of what we got this year-not what we typically encounter.   With no experience to fall back on, we expect there will never be anything like it again, … Continued

Any restaurant owners out there who want to feel better? If so, I recommend spending some time right now improving your restaurant company with the future in mind. Restaurant owners who live in the middle (or wherever we exist now) of this pandemic feel a lot better when they focus on the future, remember that … Continued

Welcome to a new phase of dealing with the pandemic. More and more lately, owners of multi-unit restaurant groups tell me about how they spend their time – and what that time yields right now.  When this all started in March, restaurateurs were shocked into action and didn’t understand that this would be a new … Continued

TRA Marketplace started yesterday. If you missed the first day, don’t panic! This year, it runs for six days – and, even better, it’s virtual and free. You can still register here so you get to log on, explore, and learn. Participate this year – don’t be a proud, rugged individual. While rugged individuals may retain their pride, … Continued

If you could take a time machine back to early March, you probably wouldn’t recognize yourself, your guests, or your employees. Remember that carefree childhood? The COVID-19 crisis has changed us all. We are living through one of the toughest times we will ever face (as grownups). We have new concerns, perspectives, and needs that … Continued

You may have heard the opinion that, when this crisis ends, chain restaurants will still be standing, but independents will be gone. That idea is supported by the Independent Restaurant Coalition (IRC), which says 85% of independent restaurants will fail.   That 85% number may generate headlines but, while the IRC does a lot of … Continued

You’ve just finished the weirdest July 4 of your life. In a normal year, all you would have had to deal with was Independence Day falling on a Saturday – something that wreaks havoc with your sales even in a good year. But on top of that, you have a crescendo of COVID-19 cases being … Continued

The pandemic has completely changed the mindset of restaurant guests. It’s like you went to sleep on a beautiful summer night and woke up in the middle of the winter and there is frost on the ground.  The restaurant groups that listen to and react quickly to their guests during this crisis will be the … Continued

These days, owning restaurants feels like the scene in the horror movie where the most dangerous demon has been vanquished. For the first time, the protagonist sees an inkling that better days are coming. But they just can’t forget about that demon. An essential aspect of owning restaurants now has nothing to do with food, … Continued

Some of my friends were asking me about the restaurateurs who have joined my Restaurant Survival and Success Club – the group coaching offering I started to make sure restaurant owners can survive, stabilize, and dominate their segments when this mess is all over. “How will you move a bunch of inexperienced, scared, confused, challenged business … Continued

Quick, what does a square foot of restaurant space in a major market in America lease for right now? Bet you never thought you would be unable to answer that question – but no one knows. But everyone will find out soon. Just another one of a million new subjects the COVID-19 crisis has forced you … Continued

This COVID-19 crisis constantly throws new things at you that you’ve never even thought about. The most successful operators – the ones who will navigate through this and dominate their segment – listen to employees and guests every day to understand the smart next move.  Treat All Your Guests Like They Are New Here in … Continued

Restaurants that were just doing OK (or worse) before the COVID-19 crisis will probably end up closing for good – and I don’t think we can save them. It saddens me to write that. Conversely, restaurants that entered this crisis producing great results, and had meaningful brands and culture, will dominate their segments in the … Continued

COVID-19 has exposed weaknesses in our society: the lack of a coordinated national health care policy, no national sick leave program, and two political tribes that don’t even see the same facts – let alone work together on solutions to our problems. Similarly, if you pay attention as you sweat out the survival of your … Continued

What will the rules be when our dining rooms, partially at first, open? We don’t know. But we’ve got to be ready. Whoa! Looks like an exercise in planning from business school. Correct. This pandemic schools you.    Public Health Comes First I watch California and Washington state – two of the first states that … Continued

During this crisis, how well you connect to your active and furloughed employees will define your culture for years.  It will make the difference between having a bonded and enthusiastic workforce rather than one that feels bitter and neglected – and then looks elsewhere for employment. The people who run to-go and delivery in your … Continued

When the day comes – when you can legally operate your dining room again – you’ll be relieved, exhausted, and excited. Focus on that day now. Really. Now.  The Opportunity of a Lifetime  How you re-open your restaurants will dictate how much success you experience in the future. Like everything else you have dealt with … Continued

It started with the feelings we share with people around the world about the COVID-19 threat: shock, grief, disbelief, and fear. And it continued with the undercutting of our belief that working hard, staying smart, and continually improving our businesses would mean continued success. It is more than enough for anyone to handle. Every day, … Continued

Here is what I am telling my clients now about surviving this crisis and keeping people working when it passes.  If you operate in an area where you can only offer to-go and delivery, take a short period of 10 days (over two weekends) to determine whether you can generate enough revenue to keep some … Continued

In normal times, we avoid talking about safety. After all, why would we want to take guests’ mindset away from the positivity of their experience in our restaurants? But now, with no basketball games? No flights to Europe? And your college kid learning online because classrooms are closed? These are not normal times – and … Continued

I have never met a restaurateur who does not want people to take more ownership, action, and responsibility. But I have met plenty who sabotage themselves every day by actively working against that goal. Many owners of successful independent multi-unit restaurant companies do not yet know how to harness the power of the people they’ve … Continued

You don’t win an NBA championship without superstars. You don’t expect a movie to open strong and gross $500 million or more without the most popular actors. And you won’t ever own the best restaurant company without a few superstars of your own. Only the best operators, however, stop and think about how much of … Continued

The best way to run your second (or third of fourth) concept? Not the way you ran your first. The number one thing restaurateurs get wrong when operating multiple concepts? They superimpose their original concept’s corporate team onto their new one – when maximizing the success of each requires unique leadership, culture, and attitude. It’s … Continued

In our industry, there’s a lot of talk about brands that grow too fast. I recently wrote about that here. Meanwhile, we don’t talk nearly as much about brands that have the opportunity to grow, but grow too slowly – or don’t grow at all. Those aren’t as prevalent as the grow-too-fast brands, but they are … Continued

When I was growing up, my family ate in a lot of restaurants. A lot. And to me, those restaurants were organized and efficient businesses where everyone knew what to do and things ran smoothly.  Like where my father, an officer in a Fortune 500 company, worked. In my 11-year-old mind, that is. Then I … Continued

What is it that kills great plans? Organizations with a lack of accountability. Restaurateurs often start off with big and exciting ideas, fantastic talent, and a great grasp of what they need to grow their business. Ideas, plans, and programs become the wish/vision/dream boards of business – creating infinite possibility and the belief in a … Continued

Since the Great Recession, we’ve seen over 10 years of economic expansion. That means there are a lot of successful operators out there who have never known anything but good financial times. But they’re like the doctors who graduate from medical school without a business course – they’re missing a big piece of what they … Continued

“Why isn’t my restaurant making 20 percent?” I hear this plaintive cry from many frustrated restaurateurs who have heard about that number and – since they’ve heard about it – think they must be entitled to it. Some of my clients’ own restaurants make over 20 percent, or even 25 percent or more. They achieve … Continued

You’re out over your skis – going too fast and getting ahead of yourself. You own a successful independent multi-unit restaurant group and your ability to sign leases is outpacing your organization’s ability to perform. Future projections? Dazzling. But you have zero track record at the forecasted level to support them. The Difference Between Praying … Continued

Welcome to the 2020s!   If you want to make outstanding business decisions, you need to know what’s coming next. So, what will we be dealing with over the next 10 years? I have a few predictions.  1. Rent and Food Delivery Expenses Will Go Down The 2010s will be remembered as the golden age … Continued

I’ve gone back and chosen five especially popular or meaningful posts from this year – the ones my clients, owners of successful multi-unit independent restaurant companies, said benefited them the most.   So, as 2019 turns into 2020, take a moment to see how they apply to you and your business.  1.  The Biggest Restaurant Company … Continued

My clients’ DNA must be filled with a longing for growth. At best, this growth adheres to a plan. At worst, owners act like hungry, unruly, science-fiction monsters who can never be satisfied, and grow haphazardly because of it. All of the best restaurateurs I work with – owners of successful multi-unit organizations – focus … Continued

Restaurateurs often contact me, thrilled they have one or two promising-looking units. In their mind they have made a fantastic leap toward having a national group of franchisees that provides them incredible mailbox money with lots of zeros they no longer have to work for. Sure, their franchising dream looks attractive, but even if you … Continued

Compared to where restaurateurs from my generation were when they were in their 30s and 40s, today’s restaurateurs at that age are crushing it! When I work with them, I convince them to move with higher velocity and take advantage of all their ideas, experiences, information, and possibilities. That contrasts with my general advice when … Continued

If the only way you prove your restaurant’s continued success and competitive advantage comes through using data, that’s perilous.    That’s because the most important things in our industry are hard to measure: Culture Morale Guest happiness Service Sure, we have spent a lot of time creating metrics for each of these topics – honestly, … Continued

The thing about procrastinators, commitment-phobes, and last-minute people? They don’t know what they are missing. Many of my clients – successful owners of independent restaurant companies – take more than their time in making decisions. Some of them simply hate to make decisions, because making a final decision eliminates all those other amazing options they … Continued

Your grill cook – the person who prepares that steak exactly to temperature – has a better sense of balance on the grill than you do on accountability in your restaurant. To the visionaries who start their organizations and become the successful multi-unit independent restaurateurs that I work with, accountability does not usually come naturally. … Continued

Always run your restaurants like you are planning to sell them. When someone sells their house, they prepare it to appeal to buyers. They touch up chipping paint, clean stains off the hardwood floors, and plant the nicest flowers in the front yard. That cracked toilet in the third bathroom nobody ever uses? Replaced. The … Continued

“Believe me: I’m extremely aware that I compete with everyone in my segment—and most of the people in the other segments, too!” I often hear those words from people like you: successful owners of multi-unit independent restaurant companies. They live their lives as if everyone competes with them. So a burger concept owner thinks his company competes … Continued

If you worked a 30-hour week, what would you do with the extra 10 or 20 hours you just gave yourself?  “Oh, I have a big list – can’t wait to be there. And I’m thinking about calling Matthew so I can be there sooner.”  “Nothing comes to mind, so I’m thinking about not reading … Continued

When was the last time you gave yourself a raise? The one you earned for increased performance. I meet a lot of well-known restaurateurs who proudly and confidently identify their businesses as “great.” They’re so great that, at first, they don’t even know why they are talking to me – someone who works to improve … Continued

It’s Labor Day – the holiday dedicated to the American worker. Many people don’t think about the meaning of the day (if they ever knew it in the first place). And that’s what happens to a lot of our holidays. They morph into days of general relaxation and fun. They lose their meaning. And they … Continued

People think that what got them started will continue to be a foundation of their future scaled success. Those people are wrong. When you add something you did not have at the beginning – when everything was new and exciting – you create phenomenal success in your life that you may not even be able … Continued

Are you overly dissatisfied – feeling things could be better, but not quite sure how to make them better? Or are you overly satisfied – so happy with the great life you have built for yourself that you don’t pay enough attention to making your restaurants even better? Essentially, both suffer from the same problem: They don’t … Continued

When you reach a certain level of success, it’s OK to run that victory lap and settle in to being an owner, not an operator. One multi-unit owner I know has done this so well they consider their job “playing restaurateur.”  Be more like them. This transformation is critical for professional restaurant group owners; unfortunately, … Continued

For successful restaurateurs, there was a grueling period at the beginning when they really did have to work all the time. The most debilitating mistake people make? They don’t even notice when that time ends, so they keep running that schedule out of habit. Life is full of compromise. If you marry, have a family, … Continued

If you are anybody in our business in and around Texas, your usual mid-July habit is to head to Texas Restaurant Marketplace. That is where you’ll see new products and hear a wide range of speakers (including me) present new ideas about how to operate your company. Or you might even learn the most by … Continued

Sitting in the dining room of one of my clients, we tried to figure out what this super-successful business leader had in common with some of my other clients. Then it hit me – he had never worked in a company he didn’t own! I’ve been running my business for almost 30 years, and it … Continued

In the past I have proven why culture provides 100% of your profits. That’s a lot. I constantly work with my clients – successful owners of independent restaurant companies – to define their culture in a permanent way. This lets them direct the behavior of their people (i.e., everybody) who serve guests and the people … Continued

Proof of concept. Knowing your restaurant brand has legs – that its single-unit economics can be repeated and repeated and repeated – is like that can’t-fail feeling Hillary Clinton felt the night before the election.   In the end, proof of concept doesn’t prove that success will follow, because no concept has permanent proof. That’s … Continued

Break old habits. Start new ones. That first day back from vacation offers you an incredible opportunity to do both – to adopt new behaviors and see breakthrough ideas and initiatives you definitely want to take advantage of. If you tend to rush into a skyscraper-sized group of e-mails, and don’t stop and think about … Continued

Many restaurateurs sleepwalk through writing their budget every year – forecasting menu price growth, inflation, or market growth as a revenue target. The best ones choose to wake up, and do a lot better than that. Revenue can always go up – faster than you expect. Recently, a well-respected restaurant group came to me with … Continued

You already know about the missing pieces in your organization. You experience nagging discomfort like a pebble in your running shoe or worse, a self-critical voice that hounds you about addressing them. This will impact you especially if you have a lot of pride in what you have accomplished. Before working with me, some of … Continued

Most of my clients guide teams in their multi-unit organizations through their next stage of growth, management development, concept development, branding, or culture. However, a few still are hands-on operators of their own restaurants. When that changes – when we improve everything by hiring the right director of operations  and I educate this new owner/operator … Continued

If you are in the restaurant business, you have to pay attention to the problems (and solutions) at Subway. You can learn two gigantic things from this amazing business story. First, for those of you on the top, pay attention: When there’s innovation in your segment, take it seriously and respond to it no matter … Continued

The smartest restaurateurs know that they are not in the restaurant business—they are in the branding business. According to the Forbes 2018 World’s Most Valuable Brands list, the top five brands are Apple, Google, Microsoft, Facebook, and Amazon. However, these brands all experience a red-faced love/hate relationship with the general public. The same people swing wildly … Continued

What do your experienced eyes see when you walk through your dining rooms? The staff fastidiously on task? Dreaded empty tables when you’re on a wait? Your trusted long-time expeditor making sure food does not sit in the window too long? Craving data and KPIs, do you jump on your phone to see how revenue … Continued

Most of my clients are in a conscious evolution phase – having realized a portion of their growth potential when I start with them. But some – high volume single units ready to start growing – are anticipating that exciting and initially mysterious time. One of these clients has committed to taking on long-anticipated growth. … Continued

Google the term “work life balance.”  You will get two billion results. That’s fast—and a reminder of why we need work/life balance. Forty years ago, when the term “work/life balance” began to pop up in our conversations, people lived in a telex, mainframe, and WATS line world. So, when people left work, they left work. Today, what … Continued

We’re used to talking to management teams about store-level profit, restaurant profit, restaurant operation profit, or whatever term we use. You know, the number before occupancy, A&G, depreciation, and amortization. It’s what these people master, your bonus program may be based on, and something they can understand. And it is the wrong thing to do. … Continued

“Can you believe my company? I bet you’ve never seen anything like it.” I hear that all the time. “We have things we have not addressed for years. We are successful, but we could be doing so much better.” After almost three decades advising owners of successful multi-unit independent restaurant companies, I don’t see much … Continued