Reader: If you're not ready to raise money privately, you're not ready to open a restaurant

If an Ohio man can raise $44,000 through Kickstarter to make potato salad, is it unreasonable for the owners of Latke Love to think they can resurrect the eatery through crowdfunding? After closing their Park Hill spot in May, Steve and Tina Shander and Steve's sister, Dana, just launched an...

By Patricia Calhoun

July 9, 2014

[
        {
          "name": "Air - MediumRectangle - Inline Content - Mobile Display Size",
          "component": "12017618",
          "insertPoint": "2",
          "requiredCountToDisplay": "2"
        },{
          "name": "Editor Picks",
          "component": "17242653",
          "insertPoint": "4",
          "requiredCountToDisplay": "1"
        },{
          "name": "Inline Links",
          "component": "18838239",
          "insertPoint": "8th",
          "startingPoint": 8,
          "requiredCountToDisplay": "7",
          "maxInsertions": 25
        },{
          "name": "Air - MediumRectangle - Combo - Inline Content",
          "component": "17261320",
          "insertPoint": "8th",
          "startingPoint": 8,
          "requiredCountToDisplay": "7",
          "maxInsertions": 25
        },{
          "name": "Inline Links",
          "component": "18838239",
          "insertPoint": "8th",
          "startingPoint": 12,
          "requiredCountToDisplay": "11",
          "maxInsertions": 25
        },{
          "name": "Air - Leaderboard Tower - Combo - Inline Content",
          "component": "17261321",
          "insertPoint": "8th",
          "startingPoint": 12,
          "requiredCountToDisplay": "11",
          "maxInsertions": 25
        }
      ]

If an Ohio man can raise $44,000 through Kickstarter to make potato salad, is it unreasonable for the owners of Latke Love to think they can resurrect the eatery through crowdfunding? After closing their Park Hill spot in May, Steve and Tina Shander and Steve's sister, Dana, just launched an Indiegogo campaign titled "Latke Love Needs Your Help To Find A New Home." Their goal is to raise $100,000 within forty days. See also: Latke Love needs some Denver love to find new location

But Business isn't buying, and says:

Seriously, if you're going to be a real business, learn to get a loan if you do not have upfront capital for your start-up. Try the banks. And if you do not qualify, try micro loans. And if you don't qualify for that either, last resort, try borrowing money from friends and family -- write IOUs.

Begging for money from the public is lame. You're not a non-profit organization/charity, therefore you shouldn't be trying to get 'free money' from the public. And you don't want that either because you'll then have a lot to prove and the immense pressure to perform.

If you are not able to raise money privately, then you're not ready to open your own restaurant. $100K is not a small sum.

What do you think of crowdfunding for restaurants? Food trucks? Businesses in general? Would you donate to Latke Love? To a potato salad campaign?

Follow @CafeWestword

Become A Member

BEFORE YOU GO...
Can you help us continue to share our stories? Since the beginning, Westword has been defined as the free, independent voice of Denver — and we'd like to keep it that way. Our members allow us to continue offering readers access to our incisive coverage of local news, food, and culture with no paywalls.

Patricia Calhoun is editor-in-chief of Westword, the alt-weekly she co-founded in September 1977. She’s been inducted into the Colorado Press Association Hall of Fame, the Association of Alternative Newsmedia Hall of Fame and the Colorado Restaurant Association Hall of Fame. She’s also received dozens of local, state and national awards for writing, including first place for feature writing and first place for column writing with the Society of Professional Journalists. Patricia is a weekly commentator on Colorado Inside Out, PBS 12's public affairs roundtable, which has won two Emmys.

Contact: Patricia Calhoun

Follow:

Facebook: patricia.calhoun.927