Case Study

Whatdjamacallit's Diner*

(* The name has been changed for confidentiality)

Problem:

Whatdjamacallit's Diner is an independently owned family restaurant in business only six months. It opened with a skillful marketing campaign helped by a catchy new concept and has been doing a brisk business. The owners, however, found they were having trouble paying their bills including the business loan which has necessitated putting more of their limited personal funds into the business to cover expenses.

Solution:

Eckstut Consulting was brought in to see why the business was operating at a loss in spite the booming business. First, the firm carried out an analysis of the business as it was operating. They found that food and labor costs were too high and that operations were inefficient and at times, counter-productive.

With continual oversight, Eckstut Consulting helped the owners address these issues and strategized with them for successful solutions - immediate and long term.

Outcome:

• Menu changed to increase efficiency and profitability.
• Restructured management for better day-to-day operations.
• Reorganized procedures for greater efficiency.
• Realistic and functional day-to-day operational budgets.
• Developed realistic and functional day-to-day operational budgets.
• Organized relief from new vendor debt.
• Coordinated a re-structuring of debt service with lending institution.