A few years after launching Churrasco Phuket Steakhouse, we decided to open a second restaurant. Rodizio Brazil Phuket (see picture) was a traditional all-you-can-eat Churrascaria, featuring pasadores carving various meats table-side from large skewers, creating an authentic Brazilian dining experience.
We knew this expansion would bring challenges, but we underestimated just how demanding it would be. Rather than simply doubling our workload, it tripled. Our original restaurant saw noticeable declines in both consistency and service. Staff was stretched too thin, and we as management struggled to oversee both locations without adequate support. Our purchasing and operational systems weren’t designed for multi-unit expansion.
At one point, we even briefly lost control of our finances when an employee committed fraud. She was eventually arrested and jailed, but the damage had been done. And while the new location attracted customers, it didn’t generate enough revenue to offset the increased strain on our business.
After two turbulent years, we made the difficult decision to close Rodizio Brazil Phuket. This experience taught us a crucial lesson: scaling a restaurant business isn’t as simple as replicating an existing concept. It requires a well-structured infrastructure to support multiple locations. One of the biggest misconceptions about opening a second restaurant is the assumption that revenue will double while operational efficiency remains intact. In reality, both locations suffered.
The key takeaway? Restaurateurs looking to expand should consider growing from one location to at least four or five—not just two. This may seem counter-intuitive, but with only two locations, there isn’t enough revenue to justify building a proper back-office team. With four or five, however, it becomes viable to hire dedicated staff for HR, purchasing, accounting, and operations, ensuring consistent quality while relieving pressure on ownership and core management.
Of course, scaling at this level requires significant resources. Single-location owners looking to expand may need to bring on a working partner or secure investment funding. While this means relinquishing some control, it also provides the financial backing necessary for sustainable growth without sacrificing quality.
The guiding question we always return to is: Is the gain worth the pain? Expansion in the restaurant industry isn’t just about opening new doors—it’s about keeping them open with unwavering quality and service. For those considering growth beyond a single location, careful planning, sufficient capital, and the right team structure are critical to long-term success.
Image Credit: Churrasco Phuket (“Rodizio Brazil Phuket,” our former Churrascaria)
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Churrasco Phuket Steakhouse serves affordable Wagyu and Black Angus steaks and burgers. We are open daily from 12noon to 11pm at Jungceylon Shopping Center in Patong / Phuket.
We are family-friendly and offer free parking and Wi-Fi for guests. See our menus, reserve your table, find our location, and check all reviews here:
https://ChurrascoPhuket.com/
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