In a country that cries out for investment and amid the global financial meltdown that has hit New York hard it would seem strange that local restaurant German’s would invest in a restaurant in the Big Apple – but that is exactly what it is doing.
For many years German’s Restaurant has provided delicious soups to Guyanese and tourists alike on home soil, but now they are planning to warm the tummies of those in New York, after securing financing of US$130,000 to open an outlet there.
The restaurant management is also undaunted by the economic downturn in their new market, the United States, even as one former Federal Reserve Banker official told this reporter in Manhattan recently that US consumers will likely take some four years to recover from the financial meltdown.
Managing Director Clinton Urling, of city eatery German’s Restaurant in Tiger Bay told Stabroek News that they have secured financing from Republic Bank (Guyana) Ltd for the venture and currently are in the process of choosing a location in Brooklyn, probably Church Avenue or Crown Heights. The ideal location this newspaper was told will be one in an area with a strong Caribbean presence and from, 800 to 1,500 square feet. Depending on the size there will be an express section for its soups and another for creole dishes and dining in. But if the space does not permit both sections there will be a separate express location for the soups and a dine-in location for creole dishes.
Once the location is identified and the paperwork is tied up Urling said ideally they will like to open the US outlet for Christmas but if this is not possible then early next year.
On a recent visit to the US, Urling said that during location hunting he visited several eateries in areas with a heavy concentration of Caribbean immigrants and noted that several places were up for rental and others were on sale, testimony to the economic climate. “For me still, I still see a great opportunity in New York,” he determinedly said.
“My product is not an expensive one,” he further added, emphasising that their plan is to “sell our product cheap” in a world class environment. Urling has no plans for promoting the ‘Mom and Pop’ or ‘Rum Shop’ physical environment, but to create a Starbucks-type setting. Even though he did admit that a competitive price last year would have been between US$8-US$10 per bowl, with the economic downturn, to be competitive in this current environment his soups will have to be between US$3 to US$6.
Nevertheless, he was still optimistic about being competitive at a higher price range, noting that “we might get away with a little extra price.” In this regard, the manager explained that they plan to double up on quantities and maintain consistent soup quality at home and abroad, so consumers in Guyana or in the US will be consuming the same soup. “The advantage is to keep our pricing low.”
Already German’s has a large following of overseas-based Guyanese and other Caricom nationals who fill its tables whenever they are in Guyana and it is betting on these committed followers to give their support to the US outlet.
Urling told Stabroek News that during his visit to Caribbean eateries in the US some patrons recognize him from their visit to the Tiger Bay location.
The varieties of its hallmark soups will be increased for the US outlet, to take advantage of the long winter months, and the managing director is confident that the soups will be a big hit since the “brand is recognizable.” There was also a lot of enthusiasm when persons on his visit to the US were told of the venture.
This is a huge risk, Clinton, but I do wish you well. Right now, Church Avenue, Brooklyn, has one prominent restaurant and bakery (Sybil’s @c.o. Flatbush Ave), and two well-established bakeries (Down Home @ c.o Brooklyn Ave, and Pam’s @ c.o Schenectady Ave). Another Guyanese restaurant, Salt n Peppa, closed down after years operating on Church Ave. (Owners also have restaurant in Georgetown).
I suggest Clinton seriously considers a bakery and restaurant and try to make and sell Guyanese-type products. I am yet to buy an aniseed biscuit after 20 years. I am yet to taste a real back-home ‘tennis roll’ or ’sweetbread’! Give people options; think outside the box if you’re getting into the food business!
Hey the best is Linda’s on Chrch Ave @ 54th. Hey the entire Church/Flatbush/Utica Are full of GT Restaurants and Bakery. Pam & Steve on Utic and Tilden etc.
Business closed for Reason “ABSENTEE MANANGEMENT”. When the Rats are away the mice will play. The Captain has to stay on the Ship.
Probably no chance of this business surviving in this economic climate.
Republic Bank should use the deposits of Guyanese to fund agriculture. We need to grow more food locally.
Can my company get a “business loan” too Republic Bank! :-D And, if nothing else we are sure to have all of these financial, economic and technical analysts posting here to help us with our project analysis (inclusive of marketing ans sales analysis….). :-D
L.F.S. Burnham was singing the agriculture song over
30 plus years now, my friend I Ally.
good luck clinton, i know you will be sucessful in this venture guyanese in b/lyn yearns for a good german soup.
The proprietor of German’s has a wonderful idea, but I would caution him on entering that market without a study, an objective, a mission and a plan to execute. His idea calls for a large capitol investment, US $130.000.00 may sound like a lot but in the USA rent would consume that in less than a year.
The up keep is what many Caribbean eateries fail on, there are a few that do a good job but the majority leaves a lot be desired. Also service needs to on point since in my opinion that is what kills a lot of Caribbean eateries.
Good luck.
Why would someone just take 130,000.00 dollars from the bank and not do a feisabilty study to ascertain how lucrative the market is? The Banks have you provide these studies before you are given a loan approval, so for you to suggest that is ludacris. I guess as a Guyanese you should be happy that this individual is thinking of expanding his business outside of Guyana,it matters not how tough times are people have to eat and once you are being provided with a tasty meal at affordable cost people will purchase.
Dont discourage the man, encourage him , he’s probably young, hard work and guts will get him where he wants to go. Business IS TAKING RISKS.; but the rewards are fruitful. GOOD LUCK.
Oh please no, not Church avenue, the place is a dump for over saturation of Guyanese things. It’s not only Guyanese people that eat soup you know. Go closer to prospect park where all the trendy people who can’t afford Manhattan anymore coming to live, with a name like German, they will lick it up and you will be smiling all the way to the bank.
Note to editor: The Big Apple refers to Manhattan and Manhattan only not Brooklyn, Queens, Bronx or Staten Island. yall need to do yall homework!
Wow! Look who is scolding the Editor?!
The South Americans (Spanish speaking) refer to large blocks of buildings as manzana…..hence grande manzana as in this case…….The Big Apple
Not sure I agree with you deh Tessa.
Better to be a little fish in a big pond than a big fish in a little pond.
Church/Utica Ave(Eastern Pkwy) are where the Caribbean people live and thus where your target customers are.
It’s a gamble to go outside of your target audience and hope for the best.
After-all if the product is good ppl from Park slope or prospect Heights will travel lil bit.
Just note that competition here is stiff. All those little Jamaican, Trini, Bajan and even American bakeries sell soup.
Maybe selling your soup to other Caribbean spots might be a good way to go.. wholesale soup… (hey it could happen)…
Good Luck….
FYI.. that comment about rent is a real one….
Remember Guyana Roti house on Church by Nostrand… had to move because of rent.. they were there since the 80ies… (ole school… my boy use to work deh)…
Who gives a crap what restaurant opens in nyc, is it doing anything for Guyana, so why is it front page news .PLEASE!!!!
I give… more than a crap.
What’s wrong with you Tony? Don’t rain on the man’s parade. That venture coulde be so wildly successful that he can get seed money from that to open one in England. Wha wrang wid you, jealous or what?
Looking forward to have your soup in NY when ever i am there. It is important to son bloggers here that from what this business man is doing is way beyond, this is his vision to make his business grow and i’m happy to know that the bank give a loan to invest oversease. Nice! Nice!
I don’t know why people want to invest in places like the US and Canada, especially in the food industry. What sells good in the Caribbean in not likely to sell good internationally. The industries in North America are all over-serviced. Food houses are mere meters away from each other, and profit margin is very small for small businesses. How long are we going to target just our own community? Targeting people who are within your own community alone is just another restriction to growth.
Were I German, I would have tried Brazil or the Caribbean, but people want to “go farign”, so to speak…..and the Caribbean, I believe in my Caribbean people. They are always there to support you. They have always supported me, especially Trinis.
A lot of people have left Guyana and the Caribbean, and come to US and Canada to do business, but they soon discover that it not what they had always thought. Some of them have to run back to the Caribbean after a few year. Sometimes by the time they return they are broke and their underdog competitors have just moved ahead. Also a lot of minority businesses in US and Canada are there just to pay the rent and bills…..better off getting a 9-5 job.
I eat at Guyanese Jean Roti Shop, Eldorado, TT, whenever I am there, and there is always a sold out and long line (thank God I learnt about the back door service from Guyana). The woman started out small and she has now taken a lot of pretty Guyanese ladies to work in the shop…..Added Attraction – laugh.
Latar.
Red Lion
That’s because you don’t know Brooklyn. As long as your food taste good, you will get customers from all walks of life. If you hear a resturant close down, it’s because the food don’t taste good, bad presentation, or unhealthy store.
I hope this does not eventually have a negative impact trikling down to my guyanese peeps at home. The big risk taker here is the Rep. Bank who faces not only credit/default risk but also foreign currency risk given the current volatile world and market conditions. I guess German had to come up with security that is easily liquidated. Not to be a pessimist, I wish him GL. I see many biz closing down everyday in all parts of NY especially Brooklyn. So to proceed in an area where others fear, is extreme courage. On second thoughts, if he is purchasing one of the many foreclosed property a its current low market value, then there is hope that he may gain equity some time in the future. Be wary though of any Adjustable rate mortgage (ARM).
If “German’s” establishes their “own agricultural farm” in Guyana (and, that is if they have not already done so) then this may be a smart thing to do as in this way they can control certain inputs’ prices; therefore, “jobs” will be created in both USA and Guyana.
Amazing! One can very well see the “salt-goods-shop, bottom house, hammock” mentality that is emanating from some of these individuals. And these people are in America.
I might be wrong. They are in America but still in their hammocks. Good grief!
Also; “Clinton Urling” – Dis is what ya do if ya have access to additional funding ya invest in de gold and diamonds trading, mining (well at least ah don’t have to tell ya about de agricultural implements as you will realize this for ya self) and let one carry de other and remember these three words – JOBS BABY JOBS!
re:
http://www.iadb.org
also,
“China joins IDB, to contribute…
US$350M for projects in Latin America and Caribbean ”
http://www.guyanachronicle.com/
The Chinese $$$ are here to keep us company!
Go for it all and hit the ground running! ;-)
The Fish stew at German’s is to die for, Good Luck on this venture.
Hi “teri”, You seem to know a thing or two about “The Fish stew at German’s”. Were you ever in this line of business too!
You are so right even in the 60’s it was