Running any kind of business is difficult, but running a family business in the F&B sector can be a real challenge. In Singapore, only 54% of all family businesses make it to the second generation, and only 12% to the third. This, in the context of a transitioning time in the economy of Singapore as well as a great Western influence, makes it more important to identify and fulfil the needs of a family business.
What are the key factors of running a family business?
To begin with, we can not overlook the importance of family values for family businesses. The relationship between generations, the care of not hurting the others and the understanding between the members of the family can be burdens or huge advantages.
When it comes to F&B businesses, everything tends to move very quickly. The clients that come in want to be served as soon as possible, and the food needs to be cooked very fast, but in a delicious way. This means that everyone needs to be able to put their personal problems aside, including the relationship they have with their family if it's not the best, and focus on the clients.
No matter how much they try, things can get difficult to manage at times. Everyone has their own priorities, and when your boss is your parent and not a complete stranger, you tend to be less aware of your work duties and expect them to be more flexible with your desires.
The main question to ask ourselves: Is there a solution to keep everyone happy and prevent family members from arguing about the financial aspects of the business?
How to make sure that a family business is successful?
There is a common mistake that many businesses make, especially family businesses. They rely and count on each other, and more often than not there is more than one generation involved. However, they forget that their actions need to be professional, along with the equipment they have in their establishment.
Although things may work fine without professional equipment, at some point it is absolutely necessary to use the same technologies to boost the efficiency of your operations. These technological upgrades will prevent mistakes, make the entire process much easier and eventually, bring more profit in the long run. Although the initial investment may seem pricey.
Investing in a software that makes ordering, paying and keeping track of the paperwork an easy task would lessen the burden of making mistakes in data-entry and calculations. By relying on technological tools to automate this instead of using the traditional pen and paper methods for taking orders and invoicing, it will remove operational roadblocks for the business in the long run.
With software such as FoodRazor, you can forget about making such menial mistakes. Almost every process in the management of the restaurant’s back-of-house can be digitized, from the moment the suppliers send in the invoice to the financial inventory at the end of each week. Things like not knowing that food prices have increased or even forgetting that you need to order more vegetables will never happen again.