Restaurateur Stephen Starr reflects on starting his first venue with a bank loan in 1977 versus how difficult starting businesses with no capital has become today.
Prediction Not checkable as stated
Starr: Further tipped minimum wage hikes will make restaurant survival impossible
“I think at a certain point, especially with tipped employees, I don't know if it should keep going up, because, I mean, it's going to be impossible for restaurants to really keep, to stay in business.”
Assertion Supported
Live Nation monopolizes music profits via venues, parking, and ticketing fees
“Nowadays, the act gets everything, and then the promoter, which is really basically one promoter, Live Nation now, they own a lot of the venues, they get the parking, and they, because they own Ticketmaster, they get that ticket charges.”
Insight
Starr previously believed restaurants fail if not packed on opening day
“I used to have the same theory about restaurants. If it wasn't packed from the day I opened the door, we're gonna fail.”
Opinion
Starr: 20-25% Restaurant Profit Margins Are No Longer Possible Today
“You know, the same guy that was able to build a restaurant and open it for 90,000 dollars was able to make a 20 or 25% profit. Today, not possible. Today, between the rent, labor cost, this cost, that cost, that regulation, this thing, that thing, whatever thi…”
Opinion
Starr: Buddakan's Food Was A Bit Of A Knockoff From China Grill
“Budokan, I got scared with Budokan, because Budokan basically wasn't that novel. I mean, really it was like kind of a little bit of a knockoff food-wise from China Grill.”
Insight
Stephen Starr: A restaurant can fall apart if one dishwasher leaves
“One guy could decide, that's it, I'm leaving, and the whole restaurant falls apart that night.”