I'm a college student and I'm looking into opening my own business: restaurant delivery service. In my town there is just about every restaurant you can think of, but there isn't any type of business that offers delivery from the restuarant to the customer.
I am looking for as much advice as I can get! I would truly appreciate it!
I know a guy who has a service like this and to be honest he doesn't do that well with it. I will however tell you a little about his business so that if it is something you want to do you have a bit more knowledge.
He gets $6.00 per delivery which $5.00 goes to the driver, the drivers work for the $5.00 and tips only. He gets 30% of the food cost (which is where he makes his money) He charges $25.00 - $100.00 per restaurant per week for advertising and printing. He has bags to keep the food warm just like the pizza guys but he always gets complaints about cold food. Oh ya he also charges a fee to take checks and a fee to take credit cards, I’m not sure what those fee’s are off the top of my head.
Do you know why he struggles with this business?
How many restaurants does he have agreements with?
How did he go about proposing his idea to the restaurants?
He has agreements with many restaurants (20+) but the time it takes deliver is high and that makes the food cold so people don't become repeat customers. He also have very high advertising costs.
restaurant delivery business
