from FB
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https://www.facebook.com/groups/sihanou ... 561693868/
An open letter to potential restaurant owners,
We are experiencing the worst low season in 10 years. As I have been here for 15 years, I think I am qualified to make a few comments about Sihanoukville.
I own Snooky’s Garden Bar and Restaurant and have 14 rooms that I rent out. Snooky’s occupies a back street location downtown. I am amazed at the number of restaurants that have recently opened. Within 100 meters there are now 53 restaurants of which 27 have opened up within the last 6 months. Now being established for so long I have developed a good name and reputation and a loyal expat clientele. I am not complaining about the competition as I still have a good trade although smaller turnover (not enough people around) but I also have difficulty in attracting staff which is a constant problem as every restaurant whether busy or not will require staff. This means that I am suffering badly and will probably relinquish my lease next year.
I am amazed that people are still opening restaurants in this climate and can think of only a handful of restaurants that actually earn money (I have been here and in business long enough to see through the sh*t about good potential etc etc. Anyway I compiled a list as to the reasons why people open bars and restaurants. Please no crap about being wrong I have seen it all and am by nature a cynical person.
Reason 1. It gives my girlfriend something to do. I am amazed that men think that out of a population that is mostly illiterate and totally unaware of any kind of business acumen that they think their girlfriend in different. A very quick way to loose money.
Reason 2. I can eat and drink free. Wrong. You still have to pay rent, wages, electricity and stock. When you are sitting at the front of your bar or restaurant waiting for friends or customers to come in it can be a long and lonely existence. After a few months most go and eat and drink at another bar before giving up the bar entirely as their money runs out.
Reason 3. I want to make money. A very good reason to open a business. In fact the only legitimate one.
Ok, now you’re in the realms of paying for an upgrade to the restaurant. Nice tables and chairs, good decoration, nice glasses, a good selection of wines, spirits and beer. Add to that good staff (usually paid above the going rate) and hay presto you have a nice business but NO CUSTOMERS. Now if you do not have a large bank account in the old country you quickly run out of money and therefore service goes down, your staff problems multiply and the labour police want to make your life difficult.
Reason 4. I am a business man with a large bank account and want to open a large hotel and run it as though it would be run in the old country. GREAT. You can do but NOT YET !!!. Remember NO CUSTOMERS. A long wait is on the cards. Things will come right I am sure but not yet. Only last month I was talking to a hotelier who had 37 staff and 2 customers. Is she losing money? You bet she is big time but luckily she has enough money to ride out the next 3 years when more customers will come.
Reason 5. I like this one. I want to contemplate my navel while running a business. The odd bit of Ganga on the beach and an ability to do as little work as necessary just to keep going. Wrong. The days of the back packers are gone and will never return. Wait till the immigration come after your work permit and the labour police come knocking asking about staff contracts. Good bye. Hope you had a nice time while it was available.
Reason 6. I want to open a business so I can sell it on to a gullible person and make a huge profit. I do know several people who have done this and it has made them enough money to bank role them while living in Sihanoukville. Oh yes, I exaggerate, a small profit. Just think of the lies you have to tell when telling people the business is highly profitable and has a lot of potential.