Licenses and permits
- Health permit from your county or city health department. Many ask for a plan review before you build or remodel.
- Business license from your city or county, and a sales tax permit from your state if it has sales tax.
- Building permits and a certificate of occupancy for any construction or change of use. The fire marshal inspects too.
- Liquor license if you serve alcohol. It can take months, so apply early.
- A certified food protection manager (ServSafe or similar). Many states require one; some cities also want food handler cards for staff.
- Register the business with your state and get an EIN. The EIN is free at irs.gov.
- Get your landlord's insurance requirements in writing first.
- Usual policies: general liability, property, workers' comp (required in most states once you hire) and liquor liability if you serve alcohol.
- Compare at least two quotes: deductibles and exclusions, not only the price.
- Compare the real processing rate, hardware cost, contract length and cancellation fee.
- Ask whether the hardware is yours and works with another processor.
- Check online ordering, delivery apps, tips and payroll before you sign.
- Inspectors usually expect commercial, NSF-certified equipment.
- New, used or leased: compare warranties and who services it near you.
- Measure doors and check gas, power and water before delivery day.
- The hood's fire suppression system needs an inspection every six months.
- Hood and duct cleaning: how often depends on how much you cook (NFPA 96). Keep the certificate on site.
- A Class K extinguisher near the fryers, and a yearly extinguisher check.
- Many cities require a grease trap and regular pumping.
- Open accounts two to four weeks before opening. Expect a credit application and your sales tax permit.
- Compare delivery days, order minimums and payment terms, not only prices.
- In most states, alcohol must be bought from a licensed wholesaler.
- Book a licensed pest control company before opening. Inspectors look for pests and service records.
- Monthly service with a written log is common for restaurants.
- Rent or buy towels, aprons, mats and uniforms.
- Renting? Read the contract length, auto-renewal and lost-item charges before you sign.
- Most cities require a sign permit, and your landlord may need to approve the design.
- Allow several weeks to make and install a sign.
- Claim your Google Business Profile, Apple Maps and Yelp listings with the right hours.
- Put your menu and prices on your own website.
- Plan a soft opening before the grand opening.
Buying an existing restaurant
- Permits are usually in the seller's name. Ask the health department what you need before closing.
- Ask the seller for the last health inspection, the hood cleaning certificate and the equipment list.
- Find out which equipment and POS are leased, and which vendor contracts you take over.
- Get the logins for the website, social accounts and listings at closing.
This list is general. Rules differ by state, county and city, so check with your local health department and city hall. Bought a franchise? Your franchisor may require approved vendors for POS, food and signs. Check your manual before you ask for quotes.
Restaurant Intel