10 Common Mistakes When Opening a Café or Restaurant

1. Signing a lease before doing your homework

The rent clock starts ticking fast and it doesn’t care if the space turns out to be a permitting nightmare. We’ve seen clients fall in love with a location and rush to sign, only to discover major obstacles after the fact: insufficient infrastructure, zoning issues, moratoriums on new uses, or costly upgrades required to meet code.

That’s why we always recommend checking in with your architect before you commit. Even a short, informal conversation can help flag early red flags. At Studio BANAA, we’re always happy to offer that upfront, no strings attached. If the space looks promising, we can follow up with a focused predesign or feasibility study to confirm what’s possible. A small check-in now can save you tens of thousands and a lot of stress down the line.

2. Not setting a budget early on

It’s one of the most common scenarios: a client comes to us with a strong concept, a great location… but no idea what their project might cost. It’s understandable especially for first-time operators, but it puts the design team in a tough spot. Without at least a rough target, it’s easy to overdesign, under-budget, or burn time heading in the wrong direction.

We recommend starting with a basic pricing exercise, even before finalizing your space.

High-level cost-per-square-foot estimates based on similar projects can go a long way in setting expectations and helping you make smart early decisions. This is often part of a feasibility study, but even a ballpark range is better than flying blind. A clear budget doesn’t limit design.   It provides focus.

3. Choosing the wrong contractor

Hospitality construction is its own beast. A contractor who doesn’t specialize in food service may overlook critical details like equipment clearances, floor sinks, duct routing, or health department standards. These gaps often surface during inspections or late in the build, when fixes are most costly.

We always recommend working with a contractor who has real hospitality experience, communicates clearly, and is comfortable collaborating with the design team. The lowest bid might look appealing up front, but if it comes with cut corners, missing scope, or vague timelines, it can quickly lead to delays and change orders. The right contractor helps solve problems before they happen and keeps your project moving toward the finish line.

4. Hiring an architect without hospitality experience

Not all architects are the same. Designing cafés, restaurants, and bars involves a specific set of codes, workflows, and operational realities that don’t come up in office or retail projects—let alone residential ones. Things like floor sinks, grease traps, linear footage requirements for dry storage, and equipment ventilation are second nature to a hospitality architect, but might never cross the radar of someone who hasn’t worked in food service.

We’ve seen beautiful drawings from non-hospitality firms that look great—until they hit health review or fail to accommodate basic kitchen needs. It’s not a knock on those architects; it’s just a different world. We stick to what we know best, and we recommend you work with a team that knows food and beverage spaces inside and out.

5. Skipping due diligence on systems

That dream space might look turnkey, but if it doesn’t have enough electrical or gas capacity, you could be facing expensive utility upgrades and serious delays. Before signing anything, have your architect and engineers vet the space. It’s a quick check that can save months of headaches and thousands in unexpected costs.

Some of the biggest red flags to check for:

• Insufficient electrical service (most cafés need 200 – 400 amps)
  
• Undersized or outdated gas lines
  
• No existing make-up air system or grease ducting
  
• Low ceiling clearances for required exhaust or ductwork
  
• HVAC units that can’t meet code for ventilation or air changes
  
• Structural upgrades triggered by change of use or equipment loads
  

A quick walkthrough with the right team can tell you if the space is viable or a money pit in disguise.

6. Underestimating permit timelines (and hurdles)

Permitting isn’t just slow; it’s full of surprises if you don’t know what to look for. A space that seems ready for a café or restaurant may have hidden restrictions that can delay or derail your plans entirely. Before you sign a lease, have your architect or permit consultant flag any potential issues.

Things we often catch early:

• Zoning restrictions or use permits that don’t allow food service
  
• Moratoriums on certain business types (like bars or formula retail)
  
• Historic protections that limit exterior or interior changes
  
• Conditional Use requirements triggered by size or hours of operation
  
• ADA upgrades required by change of occupancy
  
• Fire/life safety upgrades for older buildings (e.g. sprinklers, egress)
  

Catching these early can save you months of delay and thousands in sunk costs or lease penalties.

7. Trying to DIY your team (or the build)

We’ve seen clients bring in their own consultants, engineers, permit expediters, kitchen designers with the goal of saving money or working with familiar faces. But when those team members aren’t aligned, experienced in hospitality, or used to collaborating, things start slipping through the cracks. Drawings need to be redone. Coordination falls apart. Communication gets messy.

The same applies to construction. Some clients try to take on pieces of the build themselves to cut costs, but it often ends up taking far longer and delivering less polished results than hiring experienced trades. What looks like savings up front can turn into schedule delays, inspection issues, or costly do-overs.

The team you build needs to work as a unit. Cohesion and trust go a long way toward getting your project built smoothly, on time, and at the level of quality your brand deserves.

8. Choosing the cheapest option instead of the right one

It’s tempting to go with the lowest bid whether it’s your architect, contractor, kitchen equipment supplier, or even furniture vendor. But in hospitality projects, price rarely tells the full story. A lower upfront cost often means missing details, cutting corners, or working with teams who don’t specialize in restaurants and cafés.

We’ve seen clients spend more fixing mistakes from “budget” decisions than they would’ve spent doing it right the first time. The architect who’s never done food service may design a beautiful space that fails health review. The lowest-bid contractor might not include key scope items or miss code requirements. That “deal” on used equipment could leave you without warranty support when something breaks before opening day.

Cost matters. But so does experience, clarity, and long-term value. The goal isn’t to spend the most; it’s to spend smart. And that usually means investing in the right team, not just the cheapest one.

9. Too many cooks in the kitchen (literally and figuratively)

We’ve seen projects where the owner hires one architect, a separate interiors team, an independent kitchen consultant, and their own engineer; each with a different approach. This often leads to a disjointed process, conflicting priorities, and unnecessary delays.

Sometimes owners also bring on a third-party project manager to help keep things organized. While this can be useful on larger or more complex builds, for small to mid-sized hospitality projects it often introduces extra layers of communication, redundant processes, and added time. In some cases, it can even drive up architecture and engineering fees due to re-coordination or overlapping scopes.

Having a lead architect who can guide the full process including interiors, kitchen planning, and coordination with consultants keeps things streamlined, efficient, and focused on delivering a space that actually works.

10. Not engaging in the design process fully

We understand restaurateurs and business owners are juggling a lot. But the design process isn’t something you just hand off and hope for the best. The best results come when clients are actively involved, especially at the beginning.

Our process starts with a bit of light homework: a short questionnaire to understand your goals and constraints, a precedent review session to clarify the look and feel, and a kickoff call to align on your vision, operations, and what success really looks like. These early steps aren’t just formalities. hey help us translate your brand, your workflow, and your customer experience into real spatial strategies.

The clients who get the most out of the design process are the ones who show up early, offer feedback, and treat it as a conversation, not just a deliverable. That early involvement leads to stronger outcomes: spaces that reflect your business, support your team, and set your concept up for success from day one.