As a restaurant owner preparing to start your own business, you'll find a wide range of options available to you. From fine dining establishments to food trucks, there are numerous types of restaurants you can operate—it’s all about choosing the business model that aligns with your goals.
If you’re seeking inspiration for the type of venue to open, this guide provides:
Types of restaurants
In the restaurant world, there are two main types: table service and counter service. While these categories might sound straightforward, there are some key details worth noting.
Table service
Table service involves a dining experience where guests are served by a waiter or waitress. While the process might seem simple—guests are seated, orders are taken, food and drinks are served, bills are paid, and pleasantries are exchanged—it can actually take on many forms.
For example, some restaurants offer formal, fine dining experiences where guests wait to be seated, while others have a more casual, “seat yourself” approach. Menus might be physical, like leather-bound or laminated, or they might be digital, accessed through a QR code. Similarly, ordering could be done through a traditional server and POS system, or guests might place their own orders via a device, yet still receive full table service. Despite the basic premise, table service can offer a wide range of dining experiences.
Counter service
Counter service is a more laid-back, flexible option where guests order and pick up their food at a counter. This quicker, more efficient style is often seen in fast food or fast-casual restaurants. Even though it’s less formal, many counter service places still provide seating areas where guests can choose to eat in-house or take their food to go. This gives customers the freedom to enjoy their meal however and whenever they prefer.
What are the different types of restaurants?
Before settling on the type of restaurant you want to open, it’s important to explore all the exciting possibilities. Here are the 14 most common categories:
Fine dining restaurants
If you’re passionate about offering an elegant, high-end experience, fine dining might be the perfect fit. This is the most luxurious category on the list, known for its exceptional wine lists and gourmet entrees like filet mignon or cedar plank salmon.
In a fine dining restaurant, it’s crucial to consistently impress your guests with outstanding cuisine and artistic presentation. You’ll also need to create an upscale atmosphere with top-notch service, carefully selected music, and beautiful lighting to complete the experience.
Further reading
Why open a fine dining restaurant?
Fine dining remains a beloved tradition, even after the challenges of the pandemic. As diners return to restaurants, they have a renewed appreciation for luxury and high-quality experiences. Fine dining stands as the pinnacle of what restaurants can offer—exquisite food, exceptional service, and a refined atmosphere.
Opening a fine dining restaurant means becoming part of this timeless tradition. Many fine dining spots are founded by chefs or passionate food lovers eager to share their appreciation for gourmet cuisine. However, this venture demands a significant commitment and a larger financial investment compared to other types of restaurants.
Here are some key characteristics of a fine-dining restaurant:
- Service Style: Full table service with strict adherence to etiquette.
- Menu: High-priced, exclusive dishes often featuring prix fixe options.
- Interior: Sophisticated and elegant decor.
- Examples: Ruth’s Chris Steak House, The Melting Pot, The Capital Grille.
- Price Range: $$$-$$$$.
Bistro
Originating in Paris, the bistro is a type of restaurant that’s similar to a café but with a greater focus on breakfast and lunch dishes rather than specialty coffees. As a limited-service establishment, guests typically order and pay at the counter before seating themselves. A server then brings their food to the table.
Bistro menus usually offer dishes at a higher price point than what you’d find at a fast-food restaurant, featuring items like artisan grilled cheese sandwiches and daily soup and salad specials.
Why open a Bistro?
Opening a bistro is the chance to create a warm and welcoming space where people can enjoy simple food. Bistros are known for being casual and laid back so are a popular choice for diners who want to eat without the formality of fine dining. They have a menu of hearty home style and creative seasonal dishes all at a mid-price point.
Bistros are perfect for those who want to combine good food with a relaxed vibe. They allow you to show off your culinary skills in an accessible way to a wide audience. And the smaller scale of a bistro means lower start-up costs and a closer connection to your community.
Here are some typical characteristics of a bistro:
- Service Style: Casual table service, often with a friendly, personal touch.
- Menu: A mix of classic and creative dishes, usually with a focus on fresh, seasonal ingredients.
- Interior: Warm, inviting decor with a cozy, comfortable feel.
- Examples: French-style bistros, neighborhood eateries, and small, independent restaurants.
Casual dining restaurants
Casual dining is a favorite among many restaurant categories, offering a broad appeal with its familiar dishes, large portions, and moderate pricing.
Well-known chains like Olive Garden, Outback Steakhouse, P.F. Chang’s China Bistro, T.G.I. Friday’s, and The Cheesecake Factory exemplify this style. These restaurants are popular for their inviting, laid-back environments where guests can enjoy a comfortable and enjoyable dining experience.
Why open a casual dining restaurant?
Casual dining restaurants are where you can have a sit-down meal without the fuss of fine dining. They offer table service but with a more relaxed vibe, perfect for family dinners or casual catch-ups with friends.
The menu will have a range of dishes to suit all tastes, often comfort food, popular favorites and seasonal specials. Prices are moderate so it’s an option for everyone.
Casual dining is for those who want to have a nice dining experience without the price tag or formality of fine dining. They are the middle ground between quality and comfort, where everyone is welcome.
Here are the characteristics of a casual dining restaurant:
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Service Style: Table service with a casual vibe.
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Menu: A wide range of dishes, often comfort food and popular favorites.
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Interior: Comfortable, warm decor to create a cozy feel.
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Examples: TGI Fridays, Applebee’s, Olive Garden.
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Price Range: $$-$$$
Fast casual restaurants
Fast casual restaurants blend the convenience of fast food with the quality of casual dining. These establishments offer a step up in terms of food quality and presentation, often using fresher ingredients and more sophisticated recipes. Customers order at the counter, and while the service is quicker than in a traditional sit-down restaurant, the atmosphere is more relaxed and comfortable than in a fast-food joint.
Examples of successful fast-casual brands include Chipotle, Panera Bread, and Shake Shack, where customers enjoy a balance of speed, quality, and a casual dining experience.
Why open a fast-casual restaurant?
Fast casual restaurants are the middle ground between fast food and casual dining. They offer the convenience and speed of fast food with better ingredients and a nicer dining experience. Fast casual is perfect for those who want a quick meal without sacrificing quality or freshness.
In a fast-casual restaurant you order at the counter but the food is made to order with a focus on healthier fresher options. The menu might include gourmet sandwiches, salads and bowls with customizable ingredients. There’s no table service but the environment is nicer than a typical fast food joint.
Fast casual restaurants are popular because they offer convenience, quality and affordability so they are a go-to for busy people who want a better dining experience without the wait or the price.
Key features:
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Service Style: Counter service with food made to order.
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Menu: Fresh high quality ingredients with options to customize.
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Interior: Modern decor with a casual feel.
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Examples: Chipotle, Panera Bread, Sweetgreen.
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Price: $-$$
Family style restaurants
Family-style restaurants are all about creating a warm, inviting atmosphere where guests feel at home. Meals are typically served in large portions meant to be shared among everyone at the table, encouraging a communal dining experience. The menu usually features comfort foods and classic dishes that appeal to a wide range of tastes.
Popular examples include Cracker Barrel and Buca di Beppo, where the focus is on hearty, satisfying meals served in a cozy, family-friendly setting.
Why open a family-style restaurant?
Family-style restaurants are designed to be warm and cozy where you can sit down and share a meal with others, big platters of food. This style of dining is perfect for families and groups of friends who want to catch up over a big meal.
In a family-style restaurant the menu will have a range of dishes that will appeal to all ages, classic comfort food and old favorites. Meals are served in big portions, meant to be passed around the table and shared by everyone. It’s communal dining and great value for money.
Family-style restaurants are loved for their relaxed, homely vibe and the focus on sharing and enjoying food together. They’re perfect for get-togethers where the focus is on good food, good company and a casual, welcoming atmosphere.
Key features of a family-style restaurant:
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Service Style: Big, shareable portions served to the table, communal dining.
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Menu: A mix of classic, crowd-pleasers that will appeal to everyone.
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Interior: Cozy, comfortable decor to make you feel at home.
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Examples: Buca di Beppo, Maggiano’s Little Italy, local family-run eateries.
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Price Range: $$-$$$
American-style diner
I mean, a diner is probably one of the most featured restaurants in a movie or a series. They are famously known for the checkers table cloths and gitch interior, and should we say red, erm leather seats. Diners are also known for serving up some serious milkshakes, cheese chili fries, apple pie and mugs of coffee.
But, best of all, diners offer a 24-hour service! So, if you’re thinking about opening a diner, try and incorporate the logistics of this service and everything else within your operational and business plan. In this case, it’s absolutely essential that your staff has a rock-solid scheduling system that they can refer to and stick by to let your diners run smoothly.
Why open a diner?
An American diner is a classic, casual joint with an all-day menu and retro feel. Diners have been a part of American culture for decades, a place where you can get a big meal at any time of day, whether breakfast, lunch, dinner or a late-night snack.
The menu at a diner is long and has everything from pancakes to burgers to sandwiches to milkshakes. Many diners also serve comfort food like meatloaf, fried chicken and pot roast. The portions are big and the food is simple, satisfying and made to order.
Diners are casual, often with a retro feel. You’ll find booths, counter seating and a jukebox with classic tunes. The service is friendly and laid back.
Key features of an American diner:
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Service Style: Casual, table or counter service, quick turnaround.
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Menu: Comfort food all day, big classic American dishes.
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Interior: Retro decor, booths, counter seating, nostalgic.
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Examples: Denny’s, Waffle House, many independent local diners.
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Price Range: $-$$
Cafes
When it comes to cafes, people can’t get enough of them. This type of restaurant dates back centuries. According to our research, the very first cafe was opened up in Constantinople, and soon cafes started popping up left and right and center all over, including Italy, Germany and France.
I’m not even sure I need to go into too much detail, but cafes are known for serving, wait for it…coffee. Cafes also specialize in delicious toasted sandwiches, teas, juices, freshly baked cakes and special coffees. If you’re planning a first date, catching up with a colleague or working remotely, a cafe is the perfect location. These establishments are also known for playing chilled music, and creating a very relaxed atmosphere. Cafe prices are also very reasonable, so you can create a solid loyalty base by offering coffee cards or weekly discounts on breakfast.
Why open a coffee shop?
A coffee shop is a relatively low-investment business compared to a full-service restaurant, requiring a smaller staff. With the rising demand for specialty coffee drinks, the potential for high-profit margins is significant. A cappuccino or blended beverage can have a markup of up to 80%, making it a lucrative product.
Key characteristics of a coffee shop:
- Service: Counter service, drive-thru, or a combination.
- Menu: Coffee, tea, and often light snacks or pastries.
- Atmosphere: Small seating areas, modern decor, and a relaxed ambiance.
Popular coffee shop examples: Starbucks, Tim Hortons, and Dunkin'.
Pricing: Typically ranges from affordable to moderately priced.
Breweries and pubs
Did you know pub is short for public house? The term first emerged in England in the late 17th century to distinguish private homes from public establishments like alehouses, taverns, and inns. It’s a well-known and very popular establishment where people come together to drink and be merry. In most cases, there might even be live music, or a popular game playing in the background. One thing is for sure, a brewery or a pub has a vibe.
Pubs and breweries both serve up hearty food along with ice-cold beer. If you go, you can expect burgers, fried chicken, finger food in a basket, pizza, and bangers and mash. Think greasy, but delicious food you can enjoy with friends and family. Pubs and breweries predominantly make their profits through drinks, and dare we say shots x3.
These establishments also offer a wide range of beer or cider tastings to kickstart the party.
Why open a brewery or pub?
Opening a brewery or pub can be a rewarding venture, offering a unique blend of creativity, hospitality, and business opportunity.
Key characteristics of a pub:
- Service Style: Counter service or table service.
- Menu: Pub food, such as burgers, sandwiches, fish and chips, and other hearty dishes.
- Interior: Warm and inviting atmosphere, often with traditional pub décor and comfortable seating.
- Examples: Ye Olde Cheshire Cheese (London), The Dead Rabbit (New York), and The Church Key (Los Angeles).
- Price: Typically ranges from affordable to moderately priced.
Food trucks or vendors
Nothing beats a food market filled with a variety of food trucks or foodie vendors. Here you have the choice to eat tacos, grab a slice of pizza or even a waffle on a stick. The pricing of food is generally low, but the good news is that so is the cost of setting up your own food truck. Another perk? You get to set up your food truck up anywhere or at least multiple different food markets.
A few things you need to remember when starting your own food truck, it’s essential to set up where your guests can grab a seat and enjoy your food as well as the atmosphere. Another thing you need to remember is, that food trucks need a proper permit. So, make sure you get that sorted before buying a food truck and starting to set up.
Further reading
Why open a food truck?
A food truck is a popular and accessible way to enter the foodservice industry. With lower startup costs, smaller kitchens, and fewer employees compared to traditional restaurants, food trucks offer a flexible and cost-effective business model. They also provide an excellent opportunity to test-drive your food concept and menu before committing to a larger operation.
Common characteristics of food trucks:
- Service Style: Window service, often with outdoor seating.
- Menu: Focused on a specific theme or cuisine, offering a limited but high-quality selection of dishes.
- Interior: Compact kitchens with essential equipment to prepare and serve food.
- Examples: Grilly Cheese, Fired Up Grill, Nacho Average BBQ.
- Price: Typically ranges from affordable to moderately priced.
Buffets
You can’t say buffet without saying “all you can eat”. This type of restaurant always seems to be a huge crowd-pleaser. It’s especially great for big families looking for a well-portioned meal at a fixed price. Buffets come in all shapes and sizes. You get breakfast buffets, home-cooked meal buffets, Chinese buffets, and all-you-can-eat sushi-buffets. The aim is to make a large portion of food, as quick and delicious as possible.
A buffet is mostly found in hotels or casinos. The reason? Well mostly because buffets aim to feed a large crowd of people all at once.
Why open a buffet?
A buffet-style restaurant offers a unique dining experience that can attract a wide range of customers.
Key characteristics of a buffet:
- Service Style: Self-service with a variety of food stations.
- Menu: Diverse selection of dishes, often including appetizers, main courses, sides, and desserts.
- Interior: Spacious dining area with ample seating and buffet stations.
- Examples: Golden Corral, Sizzler, China Buffet.
- Price: Typically ranges from moderately priced to upscale, depending on the quality and variety of food.
While opening a buffet can be a rewarding venture, it's important to be aware of the challenges and carefully write your restaurant business plan. By addressing potential issues and providing a high-quality dining experience, you can create a successful buffet restaurant.
A bakery
Bakeries have a lot in common with cafes and coffee shops. In fact, depending on what they sell, cafes and coffee shops could be considered bakeries, and vice versa. If a bakery offers coffee and tea, it could easily be categorized as a cafe. What really sets a bakery apart, though, is its focus on baked goods—mostly flour-based treats.
This includes savory items like different types of bread and bagels, as well as sweets like cakes, muffins, scones, pies, and cookies. Some bakeries offer seating for customers who want to enjoy their treats on-site, while others are more about grabbing your favorite baked goods to take home.
Why open a bakery?
A bakery is a delightful venture that combines culinary creativity with entrepreneurship.
Key characteristics of a bakery:
- Service Style: Counter service, online ordering, or a combination.
- Menu: Breads, pastries, cakes, cookies, pies, and other baked goods.
- Interior: Cozy and inviting atmosphere, often with open kitchens or display cases showcasing baked goods.
- Examples: Panera Bread, La Brea Bakery, Levain Bakery, Sprinkles.
- Price: Varies depending on the type of baked goods and location, but typically ranges from affordable to moderately priced.
Opening a bakery can be fun but be prepared for the challenges: high startup costs, competition and labor intensive. A good business plan, strong marketing and quality are key.
How to classify a restaurant
When it comes to understanding different types of restaurants, there are three key aspects to consider: price point, atmosphere, and the level of service and presentation.
The price point
The price point of a restaurant is essentially what you'll spend on a meal compared to other places. This can vary widely not just between different types of restaurants but also within the same type. For instance, fine dining venues usually have higher prices, while fast food joints are on the cheaper side. However, even within categories like fast-casual or coffee shops, you might find some spots that are pricier than others. It's important to remember that a higher price doesn’t always mean better quality—many restaurants offer top-notch meals at a reasonable price.
Atmosphere
The atmosphere of a restaurant is all about the mood and vibe it creates, which is influenced by factors like decor, lighting, cleanliness, and the overall style of the place. The staff’s attitude and the service expectations also play a role. For example, fine dining restaurants often feature elegant settings with white tablecloths and formal service, creating a sophisticated environment perfect for special occasions. On the other hand, a casual dining spot with a buffet setup or a fast-casual restaurant with quick, made-to-order meals offers a more relaxed and laid-back atmosphere.
The overall service and presentation
Service and presentation are crucial in defining the dining experience. Fine dining establishments are known for their high-quality, attentive service and beautifully plated dishes, often presented with artistic flair. In contrast, casual dining offers a more relaxed service with a simpler presentation, which contributes to a more comfortable dining experience. Fast food restaurants focus on speed and convenience, offering quick counter service and straightforward presentation.
Meanwhile, cafes and coffee shops, though informal, often enhance their presentation with touches like latte art or appealing bakery displays, adding a special touch to the overall experience.