Owning your own restaurant is often romanticized. It starts with a dream of cooking great food that people fall in love with, building a following and creating a place where people want to spend their time and money.

That dream is what motivates people to give it a try, but the reality of restaurant ownership is far more demanding. 

Restaurants operate on some of the thinnest margins in business — typically just a 3 to 5 percent profit margin according to the National Restaurant Association, while facing constant pressure from rising food costs, labor shortages and shifting customer expectations. 

According to the U.S. Bureau of Labor Statistics, the sad reality is that only about 56 percent of all restaurants that open are still operating after five years.

In North Carolina alone, restaurants generate an estimated $46.6 billion in direct economic output and support more than 480,000 jobs, according to the National Restaurant Association. 

Behind that economic impact is mounting pressure. According to the North Carolina Restaurant and Lodging Association, labor costs have increased by roughly 30 percent in the past five years, while food costs are up about 25 percent and occupancy expenses like rent and utilities have climbed around 20 percent.

Even as the industry continues to recover from pandemic-era disruptions, many operators say business conditions still haven’t fully returned to pre-2020 norms. Costs are higher, margins are tighter and the path to success remains narrow.

And yet, some make it work. Ming Kwang, owner of Kobe Japanese Steakhouse in Clayton is one of them.

Kwang has owned and operated Kobe for more than 20 years and more recently also opened YI Ge Asian Cuisine in 2017. His path to ownership wasn’t immediate or easy. After moving to the United States from China in 1998, he began working in restaurants at just 14 years old, learning every role along the way.

Like nearly eight out of 10 restaurant owners, he started at the bottom and worked his way up. That experience shaped how he runs his businesses and paved his path towards success.

“I can do every job in the restaurant, I have to be able to,” he said.

From serving tables to washing dishes, from prep work to rolling sushi to cooking hibachi to bartending, Kwang learned that success in the restaurant industry isn’t just about making good food. It’s about understanding every moving part.

Running a restaurant doesn’t stop when the doors close for the night, and Kwang said what begins as a dream quickly becomes an all-consuming responsibility. For years, he moved back and forth between his two restaurants to keep operations running smoothly, leaving one after a full day just to walk in and begin all over again in the other.

The long hours and constant demands leave little separation between work and personal life. 

That reality is what led Kwang to his next step. Later this year, he will combine Kobe Japanese Steakhouse and YI Ge Asian Cuisine into one location, merging their menus to offer a broader range of Asian cuisine while creating a more sustainable workload for himself, and a more cohesive experience for his customers.

It’s a strategic move rooted in something many successful restaurant operators eventually learn: adaptability is key. The willingness to refine, adjust and evolve is part of what has allowed him to thrive in an industry where many restaurants don’t survive their first five years.

Kwang places a strong emphasis on how his team interacts with guests, knowing that service is just as important as the food itself.

“Let them see you care about them,” he said.

That philosophy extends across every part of the business. From the layout of the dining space at the new location — which includes hibachi seating, a traditional dining room and event space — to the menu itself, every decision is made with the customer in mind.

At the same time, maintaining quality remains non-negotiable. Kwang has built his menu over years of trial and error, balancing authentic flavors with local preferences. His Chinese dishes are rooted in Cantonese-style cooking, where technique and temperature control are critical to getting it right.

“I created it by myself, our taste is different than anybody else,” he said.

Reaching the 20-year mark is no small feat in one of the toughest industries in business. It takes constant attention, ongoing investment and the ability to respond to changing conditions. It also requires a deep understanding of the community you serve. For Kwang, that connection to the community influences everything from menu development to daily operations.

“I will always serve what people like in here,” he said.

But even with experience, success is never guaranteed. It’s a balancing act that requires constant shifts and adjustments to stay ahead.

The reality of the restaurant industry is that behind every meal served is a complex operation built on long hours, hard-earned experience and an ongoing commitment to getting it right.

Restaurants are more than businesses. They are a labor of love for the people who pour their hearts and souls into them. For the communities they serve, they are employers, drivers of economic health, and maybe most importantly, gathering places where new favorites are discovered and lasting memories are made.