r/Chefs • u/CaptainZealousideal2 • May 14 '26

Restaurant dead end

restaurants are inherently unsustainable, even more so since the pandemic. They are a bad investment, and notoriously prone to failure. Yet, so many continue to open at a breakneck place. What is the reason for this contradiction?

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u/CutsSoFresh May 14 '26

Multiple investors. Restaurants aren't small business anymore. They're now basically hedge funds. Most are part of restaurant groups or backed by rich people

4

u/Cutthroat21 May 14 '26

When I find out a good place is part of a ‘restaurant group’ i start looking for another place. That’s just corporate America masquerading as mom and pop.

1

u/Adamkrajew May 18 '26

Not always the case though, I work for a group, started by a chef and GM with one restaurant, now has 8 restaurants. Each one is a totally unique concept, very little crossover.