How to Start a Fast Food Restaurant Business in Nigeria (Business Plan)

If you want to start a restaurant business in Nigeria, this article covers every aspect you need to know.

It is no longer news that most people prefer to own their business place because of the freedom it offers and the vast opportunity to become a millionaire, unlike some salary jobs where you probably spend the whole day and still not earn enough to meet your needs.

Foodservice business worldwide is absolutely a win-win business and more especially in this part of the continent, Nigeria.

Sorry to deviate a little, since you are planning on starting a food business in Nigeria, we think you might also want to see how to start a fish farming business in Nigeria As food is the most basic need of man, everyone no matter how rich or poor must eat to survive, so providing feeding services would make profitable sales any day any time although this still depends on your approach to the food business.

The demand for prepared food is rampant in cities, and this is because most of the city dwellers are working class, therefore, there would be little or no time to make food especially during the week, so they tend to purchase more of already prepared food.

Some others who do not possess culinary skills prefer to eat out and so the demand for fast food is on a rapid rise.

A restaurant is a place where people pay to eat meals that are served on the premises. With this definition in mind, when planning to start a restaurant business, you consider not just the cost but also the location of the restaurant, its immediate environment and the quality of service you are willing to render.

Types of Restaurants

The type of restaurant you plan on opening would go a long way in determining the cost of starting up, so you should also consider the type of restaurant you plan on opening. Here are the various types of restaurants you should put into consideration, depending on your capital.

  • Fast food and quick service restaurant
  • Casual dining restaurants
  • Fine dining restaurants
  • Ethnic restaurants

1. Fast Food or Quick Service Restaurants

This is the most common kind of restaurant in Africa. It is also known as a quick-service restaurant [ QSR]. It is further sub-divided into two, which are the low scale fast food restaurant and the upper scale fast-food restaurant.

The low-scale fast food restaurant consists of corner booths and small stalls to attend to the needs of the common man with small pocket sizes while the upper-scale fast-food restaurants like Mr. Biggs, Genesis, and the likes are there to satisfy the needs of people with larger pocket size.

With these two, it is every man, according to his pocket. QSR mostly provides a minimal menu. Also, the food is usually prepared in bulk and kept warm throughout the day.

In a fast-food service system, customers are likely to place their orders on a counter, and when served they either eat around the premises provided by the restaurant or order in a takeaway form to take home.

Some fast-food restaurants particularize only on snacks likes pizza, hamburger, meat pie, and the likes.

2. Casual Dining Restaurants

A casual dining outlet is a kind of restaurant that allows customers to choose meals from a flexible menu and table service is provided. 

This kind of restaurant is a step higher than the fast-food restaurant. The atmosphere here is much more relaxed. Customers who patronize this restaurant prefer to sit there and enjoy their meal rather than taking them away to eat elsewhere.

3. Fine Dining Restaurant

Again, this type of restaurant is a step higher than the casual dining restaurant. It is targeted at the elite group in the economy who do not mind paying for a superior dining experience with expensive meals.

This kind of restaurant offers the finest atmosphere, food, and services. They are also the highest-priced type of restaurant and can be very expensive to operate. They have specific and constant meal courses.

They also have professional and well-trained personnel who serve as waiters. In this type of restaurant, a lot of attention is given to detail, from the table setting to the interior decorations, to door service, kitchen service, and more especially customer service.

4. Ethnic Restaurants

This type of restaurant focuses on meals from specific cultures, countries, or regions. Ethnic restaurants are mainly established to satisfy the needs of travelers, tourists, and indigenes of one country dwelling as foreigners in another land. Ethnic restaurants give foreigners an exceptional pleasure as it gives them a taste from home.

Having put the types of restaurants in mind, here are other steps to follow in the startup of a restaurant business to know what your capital should roughly look like.

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How to Start a Restaurant Business in Nigeria

1. Choose a unique Concept

While this type of business might be new to you, other people are already in business before you so you need to have an eye-catching concept that will draw people’s attention to your brand.  You might need to pay a professional to draw out a plan for you.

2. Get a Good Site/Location

In this line of business, location is the one thing that could build or break your business. When picking a location, you should remember the type of restaurant concept you have in mind.

For example, you don’t open up a Chinese restaurant in a rural area and expect to make gains; it is not in any way possible unless you’re in China.

If you are interested in a fine dining restaurant, your location should be an urban residential or working area because that is where to find your targeted clients. The site is also put into consideration because it consumes a considerable part of your budget when starting up.

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3. Prepare Your Business plan

After having an idea of the kind of restaurant you wish to establish and a sense of the location where you want to set up, you should start drawing up a business plan. You need to find out if you need a business permit of any kind or a special kind of endorsement of any kind. These requirements differ from city to city and state to state.

Draw a layout of your restaurant, which includes the sitting arrangement, the size of the restaurant, the capacity then list out the cost of each sitting arrangement. Then go ahead to listing the cost of each utensil and equipment you would need.

After that, you list out the number of staff you wish to hire and how much you are willing to pay. You must also decide on the suppliers you want to purchase your foodstuffs from and the cost of food items.

Having listed all these and their costs respectively, you have successfully drawn a business plan. Now compare this with your capital and find out if you would need to source for a loan.


On getting through all this, you are pretty much good to go. If this article was beneficial to you, do well to share it with your friends. Also, make sure you drop a comment in the comment section if you have any questions, and we will be glad to reply to you.

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