ARGUILLES, JOHN RUSSEL

Form of business organization- There are five different types of legal

structures restaurants may follow: a limited liability company, known as an LLC, sole
proprietorship, partnership, S corporation or C Corporation. Owners are responsible for
the business finances, but often hire accountants to take care of the books

Organization structure - Restaurants have very specific staffing needs, and their organizational
structure must be in line with those needs to function well. The size of the restaurant usually
determines the ultimate structure; staffers often take on more than one role in smaller
establishments, but restaurants typically have the same basic framework, regardless of their size.
The structure is designed to implement a system of responsibility and accountability, with a clear
chain of command.

Owner liability- Restaurant owners are responsible for keeping properties safe
for those who eat and drink there, or providing a warning if they cannot keep
the area safe. They can be held responsible for injuries in the dining area as
well as the parking lot. The most common injuries sustained in restaurants are
slip and fall accidents on uneven pavement just outside the restaurant, poorly
lit parking lots, or spilled food that is not clean.

Spills from food and beverages are particularly likely to occur at a restaurant.
If a patron is hurt because he or she slips on food or drink, he or she will need
to show that the restaurant created the hazard, that the restaurant knew of the
hazard, or that the restaurant should have known of the hazard. To prove the
third situation, most plaintiffs must show how long the food or drink was spilled
there without being cleaned up. The longer the food or drink is present in the
location without being cleaned up, the more likely it is that a jury will determine
the restaurant was negligent.

Role of the owner- Restaurant owners are responsible for the daily operations of a
restaurant as well as its overall direction, profitability, and reputation. Since they determine their own
tasks, their work can vary widely depending on their approach and the restaurant’s size. Some
restaurant owners are extremely hands-on, helping out in the kitchen and interacting with customers,
while others hire managers and focus on strategic planning. In any case, they spend much of their
time supervising employees, directing operations, and finding ways to adapt to customers and
industry trends. While the job is stressful and demanding, often resulting in more than 40 hours per
week, most restaurant owners describe it as extremely satisfying.
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