Restaurant owners can learn from each other to survive a challenging market

Mark Ferguson of Favouritetable talks to Cameron Waldron of The Financial Wellbeing Lab.

Mark Ferguson, Favouritetable: Tell us about your background and how you came to work with business owners?

Cameron Waldron, The Financial Wellbeing Lab:

I’ve been fortunate to have had a varied career. I spent around 25 years as a financial adviser. Before that, I was Operations Director for a finance group, and prior to that, HR Director for Honeywell in Australia, overseeing training, recruitment, and remuneration.

I’ve also spent time on the ground, working in pubs, vineyards, and restaurants back home in Australia, so I’ve seen the realities of hospitality life too, which has helped me understand the pressures, decision-making, and mindset that go into running a hospitality business.

Mark: Your business name says it all- ‘The Financial Wellbeing Lab.’ In the context of restaurant ownership and management, what do you see as the biggest challenges today?

Cameron:

One of the biggest myths is that financial literacy automatically makes someone good at running a business. It doesn’t. 

That’s why I went back to university a few years ago to complete an MSc in psychology. Research shows that success is more linked to self-efficacy, your confidence and mindset in taking control, than your ability to understand numbers on a page.

In hospitality, some people just ‘get it.’ They understand not only what the numbers mean but how every action on the floor, every coffee served and plate delivered, affects the bottom line. 

Those people are naturally curious. They ask, ‘What’s going to make the boat go faster?’

Curiosity and a drive to innovate are critical in hospitality today. You can’t just rely on a formula that worked three years ago. With changing costs, new employment laws and tighter margins, you’ve got to constantly rethink your model and have the courage to change direction when something stops working.

Mark:

You’ve touched on innovation and creativity. How important are those qualities for restaurants right now?

Cameron:

Absolutely vital. Whether you’re facing recruitment challenges, higher national insurance costs, or reduced business rate relief, you can’t just stand still. Success in hospitality has always involved a bit of luck, but now it also demands agility and bravery.

Creativity doesn’t necessarily mean disruption, it’s often about evolution. We recently worked with the ACCA and ICAEW to design a programme on entrepreneurial mindsets. It helps people, many of whom have inherited or bought their businesses rather than founded them, rethink their models.

Over 40% of UK businesses today are owned by people who didn’t start them, so learning to innovate within an existing framework is a key skill.

Mark: 

With the busy Christmas and New Year trading period imminent, restaurant owners are juggling everything from staffing to cashflow. How well do you think the sector is doing when it comes to financial and management skills?

Cameron:

There’s definitely room for improvement. The reality is that only about one in ten financial advisers truly understands what it’s like to run a business day-to-day. And many business owners are relying on accountants who only produce annual accounts, which are just a regulatory tick-box.

What’s really powerful is management accounts—monthly or quarterly reports that tell you how your business is performing in real time. Yet many restaurateurs don’t know how to interpret them. 

This is a missed opportunity because those figures can reveal everything, from whether your suppliers are efficient to how your staffing costs or cashflow are trending.

We’re also seeing businesses’ financial reserves thinning. The after-effects of COVID are still there, not just financially but also emotionally. There’s a legacy of anxiety and caution. But interestingly, our research shows that some anxiety can be used positively. It focuses your mind on what matters and helps you make smarter financial decisions.

Mark:

Let’s talk about people, staff, service, and training. How crucial are those to a restaurant’s success?

Cameron:

They’re everything. Hospitality is a people business. When my team and I visited a restaurant in Wimbledon recently, we were blown away by the attention to detail and genuine warmth of the staff. It made us want to go back immediately. 

That kind of experience doesn’t happen by accident. It’s the result of training, leadership, and a culture that values professionalism.

Owners have to create an environment where staff feel part of something important. That’s not easy. You’re managing personalities, stress, and sometimes neurodiversity. But when your team feels valued, your customers feel valued, and that’s the difference between one-off visits and lifelong loyalty.

Mark:

You’ve mentioned innovation a few times, can you give some examples of what you’re seeing in the market?

Cameron:

Definitely. I recently booked a hotel in Norfolk which runs themed nights, for example Mussels Night” on Wednesdays, “Pie Night” on Thursdays. Those evenings are highly profitable because they’ve negotiated good supply deals and attract repeat customers.

That’s clever innovation. It gives people a reason to visit more often. Many independents are doing this better than the chains because they can move quickly and personalise their offer. You don’t need a big marketing budget to do it either, just effective communication, especially through social media and customer reviews.

Restaurants should actively encourage feedback before guests even leave. Ask, “What would make you come back?” It’s invaluable insight and a way to build advocates who tell your story for you.

Mark:

Let’s pull this back to financial wellbeing. What are the three or four basics every restaurant owner should really understand and act on?

Cameron:

First, know your target audience. If you understand who you’re serving and what they’re willing to pay, you can build a realistic business model.

Second, understand your break-even point. When will you start to make money, and can your cashflow sustain you until then?

Third, learn to use your management accounts properly. Don’t wait for your accountant to tell you how you’re doing, own that knowledge yourself.

Finally, remember that the biggest contributor to financial wellbeing is control. When you’re in control, you build resilience and confidence, two qualities you’ll need in abundance in this sector.

And yes, the Christmas period is crucial, but don’t just rely on it. If everyone else is quiet in January, think about what you can do differently, create reasons for people to visit when they normally wouldn’t.

Mark:

The restaurant industry is often a barometer for how people are feeling economically. What’s your outlook for the next 12 to 18 months?

Cameron:

I’m actually optimistic. The government has finally recognised the importance of financial education, and we’re working with schools to embed practical, entrepreneurial skills from an early age. That’s going to feed through into better, more financially savvy business owners in the future.

For the present, I think success will come from collaboration. I’d love to see more support networks within hospitality. Owners helping each other, sharing ideas, and holding each other accountable. 

I’m doing consultancy work where simply checking in on goals increases success rates by 50%. Imagine that scaled across the sector.

Hospitality can be isolating. The hours are long, the pressure is high, and when things aren’t going well, it’s easy to feel alone. That’s why connection and community matter. Thirty great minds are better than one great mind, and if restaurant owners support and learn from each other, the whole industry benefits.

Mark:

That’s a perfect note to end on. Part of the reason we run these interviews at Favouritetable is to help bring expertise together and share knowledge across the industry.

Cameron:

Exactly. Everyone’s aiming for the same thing: To provide great food, great service, and great experiences. The UK hospitality sector is full of passionate people. By supporting each other, sharing ideas, and focusing on innovation, we can ensure it thrives, not just survives.

Mark:

A fantastic message, Cameron. Thank you so much for joining me again. It’s been insightful, and I’m sure our audience will take a lot away from this conversation.

Cameron:

My pleasure, Mark. Let’s catch up again soon, I’d love to hear how everyone’s getting on.