Starting a restaurant in Philly

[Deidre Costello]

Paul best of luck to you on this venture! I couldn’t help but think as I was reading through your posts that you next venture could be to write one of those ‘self help’ books on opening a new concept restaurant! The information you shared on just these two pages alone is incredible and insightful.

I first started to think of the name you are going with for now ‘Sushi Nation’ and couldn’t quite wrap my brain around it in regards to advertising and marketing, of course I’m sure you already have ideas and concepts. I was struck by this line in your earlier post “C.B.S. is so new, consumers will probably not recognize C.B.S. as a distinct market segment,” So I thought that you really might want to work the conveyor belt into your name somehow or logo.

Without giving it as much detailed thought as you obviously have in regards to naming your place, I thought that perhaps the C.B.C is so new, that you might want to conjure up the image of movement and newness and tie this together ‘Continual Sushi’ with an image of the big C wrapping around the remaining letters forming a conveyor belt or perhaps ‘Sushi Revolution’. I have images of revolving images on a conveyor belt appearing on a web site someday.

Just some food for thought…when you get a chance keep us posted on more developments!

Again good luck!

Dee

[MarketStEl]

Chestnut St, between 13th:  the Goldman's area

I was too late to get in there.  Also, actually there will be a new sushi restaurant opening up there soon - right accross from El Vez in The Stetson building next to Capogiro.  They will have a sushi restaurant on the El Vez side and a deli on the Chestnut Street Side (one large space searated by a communal kitchen... two separate businesses) I heard.  I believe they will open within the next 2 months.

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Thanks for filling me in on what's going into that space.

The area in question is my stomping ground, so I take an interest in what's happening there.

I'm not surprised you had no trouble with the Civic, although your side of Walnut is (I believe) technically outside the territory of the Washington Square West Civic Association. The Civic loves restaurants; it's bars they can't stand.

You will have the potential added benefit of a sizable gay population with money to drop living within walking distance of your establishment. Not to mention the before- and after-theater crowd right at your doorstep.

Welcome, neighbor! I'm looking forward to your opening--and further transforming the 1100 block of Walnut into Wash West's Restaurant Row.

Edited to add: Though, speaking of "Subway," that name certainly won't fly in that location, as the sandwich shop down the block--and its franchiser--would definitely sue. Maybe "R7 Sushi" instead?

Edited June 8, 2005 by MarketStEl (log)

[Pan]

I like "Sushi Revolution." Catchy and punnish. "Revolutionary Sushi" is also worth considering, for similar reasons. "Continual Sushi" has an "Open 24 hours" connotation to me, though. For what it's worth, I also thought of "Sensational Sushi," and I think that if you stick with the "Nation" theme, "National Sushi" has a better ring to me than "Sushi Nation," somehow.

[philadining]

"Sushi Revolution" is really good...

[Lazrowp]

I just got back from L&I (License and Inspection) where I obtained a Philly Tax ID number (different than the federal tax number) and a Business License.

If anyone plans to open any business these are essential. This is my 2nd time at L&I going for these licenses. The 1st time the wait was too great. The advice I received from the people behind the counter is to wake up early and arrive at 7:30 am so that you can join the line. I arrived today at 9:30am and waited just over 3hrs. When I left the lines were still increasing.

It is easy to blame L&I for being slow, but in reality, their staff has been cut tremendously which is the main cause of the loooonnnnggggg wait.

I'm meeting with my architect today to discuss the look and feel and next week I will get back to choosing a name. Of course I have an LLC name, but that will be different from the trade name.

Paul

[Jinmyo]

As for a name, I like

REVOLVER: Kaiten Sushi

[Bond Girl]

Paul, can you tell us about funding the restaurant? I think it's one of the hardest part that every restauranteur must endure.

[glenn]

Paul, can you tell us about funding the restaurant? I think it's one of the hardest part that every restauranteur must endure.

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Ha, I just got through skimming this thread and that's the one thing that kept popping up in my mind. Paul, I wish I was as thorough as you when I opened my place! The only suggestion I have at the moment is to add a line item in your budget along the lines, "mindless expenses I never ever would have thought of in a gazillion years." And that amount should be equal to your total budget. :))

[rjwong]

Paul,

Thank you for telling about your restaurant plans.

First, as for a name, how about restaurant names like:

C.B. Sushi (for Conveyor Belt Sushi)

Mister Sushi (or, Sushi-san)

Phil(ly) Sushi

Penn Sushi

Civic Sushi

Second, in your research, have you looked into other CBS operations in the US (not Japan) and observe standard and local practices? Customer demographics (groups, solo diners, lively, low-key)? I can only recall one sushi place (in Los Angeles) with that concept. I can try and find the name of it later.

Edited June 12, 2005 by rjwong (log)

[Hiroyuki]

I will be working on the décor for the first time today with my architect/designer.  Allow me a couple of days to respond the “name” issue and I will also describe how our name will hopefully fit with our look/feel.  Briefly though, our main goal is to not “Asian-ize” the restaurant space.  Instead of something sleek and modern, I am hoping for a warm casual atmosphere, which should help balance out the modern equipment that we will be using.

Paul

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Fabulous thread! Thank you for sharing your experience with us.

A warm casual atmosphere... What a nice concept!

So, what has become of the "name" issue? And how about the look and feel?

[torakris]

I am another fan of the name 'Sushi Revolution'.

Does anyone know how many conveyer belt sushi places there are in the US?

[Lazrowp]

I am another fan of the name 'Sushi Revolution'.

Does anyone know how many conveyer belt sushi places there are in the US?

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Kristen, in Japan there are approximately 5,000 C.B.S., while here in the States we have between 2 & 3 dozen. On the East Coast there are about ½ dozen as the highest concentration is on the West Coast.

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I have not responded to the “Name” issue or the “look and feel” discussion yet as I want to have things more set before I throw it out there for the tough EGullet crowd. I will commit to saying that I don’t dislike like the name Sushi Revolution. By the end of this week I hope to post something on these topics.

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Regarding financing Bond Girl, for me right now it is all FFR. I do intend to apply for a SBA loan & line of credit as well as peruse some more local Philadelphia financing programs. My financing efforts are hopefully going to be directed at, as Glenn says in post #58, "mindless expenses I never ever would have thought of in a gazillion years." Am I concerned about financing? Of course I am!!!! I am fortunate that my land lords are willing to do a vanilla shell build-out for me as well as help me out with the coveted liquor license.

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Russell, I have looked at CBS operations in the US. In fact I worked for a year at what I consider to be the premier CBS operation on the East Coast in NYC (East @ 26th & 3rd Ave.) They have 2 CBS places and are building their 3rd now. On the left Coast I have established a nice dialogue with the owners of Blue C Sushi in Seattle. If you live in LA, check out the newest CBS that just opened up on the 3rd Street Promenade in Santa Monica. In O.C. they also have 2 CBS and soon to have 1 more.

Below is my incomplete list of CBS in America:

New York: East (26th & 3rd Ave. in NYC); Genki (46th & 5th Ave in Manhattan)

New York: Sushi King (in Queens)

New Jersey: East (in Teaneck)

Pennsylvania: POD (in Philly, not really “CBS” but they do have a conveyor belt)

Maryland: Matsuba (in Bethesda)

North Carolina: Kurama Sushi and Noodle (in Raleigh)

California: Frying Fish (in Los Angeles); A’ Float Sushi (in Pasadena) (**Sushi Boat)

California: Kura Sushi (Orange County); Kaisen Sushi Bar (Orange County)

California: Isonube (in San Francisco) (**Sushi Boat)

Washington Blue C Sushi (in Seattle)

Washington Azuma Sushi (in Seattle)

Oregon: Sushi Land = Marinpolis (in Seattle & Portland); Sushi Town (in Hillsboro)

Oregon: Umenoki Kaiten Sushi (Portland 503-255-9922); Star Sushi 503-626-6610

Texas Koi Kawa (in San Antonio) (w/Teppanyaki; 35p)

Illinois: Sushi World (near Chicago; 60p); Jurin Japanese Rest. (near Chicago; 35p)

Hawaii: Sushi Go (2 locations); Genki Sushi

Colorado: California Kaiten Sushi (in Denver)

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Paul

[stephenc]

As of today, which is still three months from opening, I am going with the name “Sushi Nation.”  What do you think of the name?  I have friends who love it and friends who hate the name. 

Paul

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honest opinion?

Hate that name.....

[stephenc]

NASCAR Sushi huh!?!  My head sushi chef, who is also my partner and friend, comes from Suzuka Japan, which is home to famous Grad Prix racetrack.  His dream was/is to create a conveyor belt design that mirrors the race course.  Of course, when you have a conveyor belt constructed, every curve and turn costs serious additional amounts of money so this design was not possible.  Our final conveyor belt design is not so interesting, as we were unable to incorporate any cool curves.   

Paul

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Oh man, Suzuka is a sweet name though....

in fact, with a name like that, I could imagine the reviews already...

First mention the name in the opening paragraph. Mention how Suzuka is a prominent seaside fishing town. Mention the famous Gran Prix race circuit in Japan. Make reference to the "sushi circuit" in the restaurant.

Now talk about the chef from the same town a little bit as well as the owner.

Now talk about the food. Keep making cute references to how fast the food comes around and keep on going with the race metaphor. Compare the chef's neverending sushi making capacity with an endurance racer.

Now make a cheesy "great for stopping in on a pitstop" joke to end the review.

Edited June 14, 2005 by stephenc (log)

[jmbrightman]

"sushi circuit" makes me like Circuit Sushi

[robertruelan]

For funding, have you looked into the Small Business Association (SBA) for loans? Their website for funding is here:

http://www.sba.gov/financing/index.html

As for names, I kinda agree sometimes a name is not 'too' important, but can be. I have a suggestion, though:

Black Belt Sushi

I know it might be too late and it's sorta corny, but conveys both the 'Belt' and Japanese themes in one.

Thanks again for sharing and hope we can help. Good Luck!

Edited June 15, 2005 by robertruelan (log)

[herbacidal]

As you mentioned, Paul, SBa is a good place to start.

There's other sources of borrowing that I'm fully confident you know about.

Look into extended credit terms from suppliers also.

I'm pretty sure that all lenders will want you to have 20% minimum of your own money invested in the business, "skin in the game".

[cstuart]

I am another fan of the name 'Sushi Revolution'.

Does anyone know how many conveyer belt sushi places there are in the US?

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...

California: Isonube (in San Francisco) (**Sushi Boat)

...

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i've never heard of isonube, but you might be talking about Warakubune which is a sushi boat restuaurant down the street from me. they always seem full of happy people despite being directly across the street from a cheap, b.y.o. sushi place and a few doors down from a "Traditional Inexpensive class sushi restaurant." actually, all three of the sushi restaurants right there always seem packed or at least mostly full, and i think warakubune is the most expensive of the three.

where does "cbs" sushi fit into your sushi segmentation list cost wise?

now that i think of it, i know there is at least one sushi boat place in sacramento as well.

why did you pick the conveyor belt over the sushi boat?

and another vote for Sushi Revolution.

good luck!

[Buckethead]

Suzuka is a great name for a place like this.

- It has actual meaning to the people making the sushi.

- It's a clever play on the conveyor belt sushi method (don't let the fact that you couldn't reproduce the track itself stop you).

- It's short and catchy, and a 'Suzuka Roll' sounds better than a 'Revolution Roll'.

I like 'C.B. Sushi' too, but it would look nicer on a sign as 'CeeBee Sushi'.

[Lazrowp]

Herb, extended credit from suppliers is a great idea. As a pessimist I have always thought that suppliers would not extend credit to a startup mom & pop-shop like me. What are good terms and what would be OK terms??? Obviously the worst terms are C.O.D. or I guess C.O.A.(prepay).

The harsh reality that I have learned about financing is that any SBA backed loan will require me to put up my house

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cstuart, woops!! That was a some dyslexia, the restaurant is “Isobune” and is located at 1735 Post St., Japan Center, SFr. I think that the founder of Isobune, Mr. Imanaka actually founded the sushi boat concept in America and owns the patent for water track system. In Japan they do not have the sushi boat style and use regular conveyor belts. The first conveyor belt sushi restaurant was opened in downtown Osaka Japan in 1958 by Yoshiaki Shiraishi. He got the idea for conveyor belt sushi when he went on a plant tour in a beer factory and saw the beer bottles on a moving conveyor belt. I feel there is more utility value with the conveyor belt, less cost, and less maintenance with the conveyor belt compared to the water track system (which I honestly never priced.) But I thought it was too gimmicky, which is why I also did not seriously consider using a small train set to pull plates of sushi like the do somewhere out west.

The CBS business model is basically “low price point, low margin, high volume.” I hope to have an average lunch price of $7.50 and average dinner price of $13.00 (not including drinks).

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Paul

[Lazrowp]

I attended a fascinating seminar yesterday sponsored by the "HRP" (Hospitality Resource Panel). The 3 hour panel discussion had senior people from the I.R.S., P.L.C.B., P.A. State Trooper Liquor Division, Philly City Planning Commission, Philly Depart. of L&I, S.B.A., M.B.A.T.(Phila. Mayor’s Business Action Team), Philly Health Department, the Philly Police Department, Head of the Philly Tavern & Bar Association, local area representatives, architects, and a prominent consultant. Each group gave a 5-10 minute presentation and the topic was:

"Providing the roadmap to a successful and profitable dining or entertainment business in Philadelphia."

I was the only person in the room trying to start up a restaurant so they used me as a sounding board. Jabs like, “Did we scare you off yet” were prevalent. It was great to see all the organizations acknowledge that the whole process was not easy.

For me, the highlight was when I had a 15-20 minute one-on-one conversation with Mr. George Zameska, the chief of Philly's Department of Health (I plan to submit my plan review to the Philly Health Department within the next 14 days and the health department has always been a fear of mine as that is an area of such importance and I can’t afford a food consultant to hold my hand through this process – unlike zoning where you are required to hire a lawyer who holds your hand). I told him honestly I hadn't picked out the exact make and model of the equipment and he was like “Don’t worry about it. We expect you to go window shopping, but you should submit with that aspect noted but submit now so that we can review your plans with the aim of helping your design pass our inspections.” I also was able to speak one-on-one with the IRS representative and the PA State Trooper. Everyone was so helpful and it was obvious that these organizations want to help. That said, without this chance to meet these people, going to these organizations without knowing the entire process was intimidating. I mean, the wait time alone was crazy. For example going to L&I to pay money for a business license tool over 2 hours. I learned that their department has been cut almost 50% over the past 10 year, while the activity has increased which means to me that the blame lies in the lack of a sufficient budget for these governmental organizations.

There is no one source that can give you a simple flowchart of the exact steps you need and the exact order you need take. The conclusion of the seminar was a proposal to come up with a flowchart for parties interested. That flowchart would have helped me tremendously. I mean, I had no idea that it would take a minimum of 6 months AFTER I had a leased signed before I could open. In Philly you need to conservatively figure (3 months for zoning), (1.5 months for a building permit), (1.5 months construction build-out), and then account somewhere for your liquor license time, health department plan & inspections, fire inspection... I suggested that in addition the proposed distribution channels of the flowchart, they include the real estate brokers. The brokers are one of the #1 street sources to distribute this type of flowchart as the brokers are the people that are the first contact point for parties looking to set-up a business in a new city.

Paul

[rjwong]

There is no one source that can give you a simple flowchart of the exact steps you need and the exact order you need take.

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Paul, welcome to government bureaucracy!

It seems to me that Philly is a little bit more business-friendly than LA. It's not unusual to wait about six months to get a building permit before your general contractor can start building/renovating your location site. And that doesn't include the building inspection that comes much later.

Have you considered hiring a consultant, or a project manager? Namely, someone who is very familiar with the ins & outs of each & every city/county/state govt. dept. needed to get the permits for your restaurant. Someone who knows which office to go to, which person to talk to, and the exact forms that need to be signed at the right time? Perhaps it may be worth your while to hire such a person so you can focus on ... your restaurant. Half the fun of government bureaucracy is figuring out what the rules are, ehh??

[Lazrowp]

There is no one source that can give you a simple flowchart of the exact steps you need and the exact order you need take.

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Paul, welcome to government bureaucracy!

Have you considered hiring a consultant, or a project manager? Namely, someone who is very familiar with the ins & outs of each & every city/county/state govt. dept. needed to get the permits for your restaurant. Someone who knows which office to go to, which person to talk to, and the exact forms that need to be signed at the right time? Perhaps it may be worth your while to hire such a person so you can focus on ... your restaurant. Half the fun of government bureaucracy is figuring out what the rules are, ehh??

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My project managers: my architect, my landlord, my construction team (which is a union crew), my hood people, my walk-in box company, and my wife.

Luckily I am on the tail end of this entire process and at this point I have a clear idea of what remains and the steps necessary.

If money were no object: I would still hire a kitchen consultant and a person who could design an incredible HACCP package and hold my hand going to the Health Department (my architect seems to be confident though going to the Heath Department).

Paul

[Yannii]

hi paul, have you given much thought to idea of trying to make your emerging restaurant environmentally and ecologically friendly. i know that you are aiming for a low price point / high volume business model, but i think you might still be able, if you are interested in such things, to incorporate some earth friendly products in your design. i am by no means, an expert, but i guess i was thinking about sustainable fishing and/or local/organic vegetables and such. In addition, i was recently turned on to the concept of using "fair trade" products (has anyone else seen that movie "life and debt"?) and know that one of your neighbors (on walnut st) is a store that specializes in such products.

In any case, i know your budget, and time, must be tight right now, and i'm sure you have plenty of other things to worry about right now, but in this initial period when so many long term directions are being established, it might be worth your time (and money, cc philly tends to be a pretty environmentally supportive population) to check out some of this stuff (there is a big conference on some related things which starts today called "bio democracy 2005"). anyway, thanks again for sharing this process with us (it must be hard not to get overwhelmed by all the input and criticism and such). best of luck...i really look forward to being a customer...

ps if you have already considered such matters, i apologize

pps i also like the name "sushi revolution", it has energy.

ppps do you think your sake selection will also be of the low price / high volume model, or will you have a broad range of quality / price on your sake list? i am a big sake fan!

Edited June 18, 2005 by Yannii (log)

[hathor]

Great thread Paul! Certainly seems as if you are doing all the research and planning and organizing and etc. etc. etc. that needs to be done. The "to do" list must seem endless!

I fall into the Suzuka camp, I like that name. For me, its interesting because I dont' have any associations with the word, so your restaurant defines the word gving it a unique identity, and as it has all the other conotations that Buckethead mentions, even better.

Best of luck, and keep us informed!

Warm regards,

Hathor