From farm to a Salt Lake table: What does it take to open a new restaurant?

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From farm to a Salt Lake table: What does it take to open a new restaurant?
Dining » Pago's owners open their doors, after a mad six-month — no, make that years' long — scramble to launch their farm-to-table concept.

By Kathy Stephenson
The Salt Lake Tribune
Updated: 06/02/2009
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Note to readers » Many people dream about owning a restaurant, but what does it really take -- in time, money and culinary know-how --to launch an eating establishment? The Salt Lake Tribune goes along for the ride as Scott and Shannon Evans turn their restaurant dream into reality. Here's their story:

When the spring onion appetizer was served at -- coincidentally 5:27 p.m. on May 27 -- it was the first "official" dish out of the Pago kitchen and marked the opening of Salt Lake City's newest restaurant and wine bar.

This was the moment that owner Scott Evans had talked about, planned for, worked on and lost sleep over for years.

There was, however, no celebrating, as Evans was fixing a glitch in the computerized cash register and ordering system. While he worked, other potential business-breaking disasters weighed on his mind. The most pressing was the gas line to the kitchen stove that wasn't providing enough fuel to boil water for the gnocchi.

Instead of joy, Evans was near despair. "If things don't improve dramatically, I'll be disappointed," says the 30-year-old Utah native. "It's all the little things."

Beginnings » For nearly a decade, Evans and his wife, Shannon, have been working to open a restaurant: developing a business plan, gaining on-the-job experience and saving money.

Scott Evans took his first restaurant job at Salt Lake City's Park Ivy restaurant in 1999 while attending the University of Utah. Later he worked at Sage's Café, Stein Eriksen Lodge, The Grand America, Butterfly, Zola and Squatters Pub Brewery learning the business as an employee, supervisor and general manager.

When Evans earned his master's in business administration at Westminster College in 2005, his final paper was a business plan for his restaurant.

In 2006, while studying Spanish wines, he came across the word Pago. which means "single vineyard" but also "something that easily fits in." The word described the essence of the business he wanted to create and became the restaurant's official name.

"Everything has been leading up to this point," says wife Shannon. That includes saving for "years and years" while they raise their two daughters, ages 2 and 4. "Our house, everything, is invested in this place."

For two years, they had been searching for the right space. They had specific requirements: It had to be in Salt Lake City's eclectic 900 East and 900 South neighborhood or the 1500 East and 1500 South area.

It all came together in December, when Evans was saw a "for lease" sign in the window of newly renovated spot at 878 South and 900 East, the location of the old Park Ivy, his first restaurant job.

"We walked in and it instantly felt like home," Evans says. "It was small and personable with character. It was exactly what we had been looking for."

Dan Colangelo, owner of the century-old building, had concerns. It is a small space, just 1,200 square feet, and while it had been completely updated, it didn't have the plumbing, electrical and gas lines needed to be a restaurant. Colangelo, who had four or five other offers for the space, did his homework, going so far as to ask area residents and business owners what they wanted to see in the spot.

"They wanted something unique and local," he said. "They liked the idea of a casual place where you could get something yummy to eat and order a drink."

It took more than six weeks to negotiate the lease. Evans immediately applied for construction permits and a Utah state liquor license. If all went as schedule, he planned to open May 10.

The Evans cobbled-together money from myriad of outside sources to help finance their project. They're approved for a $64,000 low-interest business loan from Salt Lake County's revolving loan program, but are waiting to hear on a second $30,000 loan with Mountain American Credit Union. Evans' older sister, who lives in Washington D.C., is also an "investor."

Choices » Hooked into Utah's dining scene, Evans asks trusted colleagues to suggest a chef who could implement his "farm-to-table" concept.

Michael Richey, who had recently returned to Utah after working in top restaurants in San Francisco and Florida, was first on the list.

When Richey's roommate and fellow chef, Adam Findlay, learned of the project, he wanted in. Findlay's culinary credentials were just as impressive as Richey's, having worked in Alaska as well as several Utah restaurants, including The Globe Café, Metropolitan and the Viking Yurt.

With two impeccable choices, Evans decides on hiring the pair as co-chefs. In the weeks before opening, the move seems genius, as Findlay's reserved nature proves to be a calming force next to Richey's out-spoken, cavalier personality.

The first week of April, the restaurant begins taking shape. New plumbing and electrical systems are installed, additional framing is completed and a new cement floor is poured.

Evans posts a job listing for service staff on Craigslist.com and receives 250 applications for only 15 jobs. Many of the applicants have experience at five-star restaurants, and he's thrilled that it won't have to spend a lot of time training.

Richey and Findlay, who have been working on the menu, offer the first of several tastings. Evans says she is blown away by the cinnamon beet salad appetizer and the chicken paillard entrée. "It's so close to what I envisioned and what I've talked about," he says.

Can this euphoria last?

Red tape » On April 21, one day before he's to receive his state liquor license, Salt Lake City inspectors tell him that he needs to get more permits. Without local approval, there's no state liquor license. Opening day is now pushed back to May 27, the next day the DABC meets.

"It's frustrating," he says. "The process definitely makes it difficult and more expensive to open a small business."

Later in the day, Evans learns his loan application from Mountain America has been denied.

"Now I have to ask my family for more money," he says. "I wanted the entire burden to be on me, but now I'm asking them to increase their risk. I'm lucky I have options and people who believe in me. But it's disappointing when you want to do it on your own."

Evans takes out his frustration through manual labor. He scrubs the walls, vents and ceilings to get the restaurant ready for a fresh coat of paint. "I'm trying to keep the bigger picture alive."

Coming together » May presents a daily roller coaster ride. The interior looks better every day. Evans is thrilled with the recycled countertop for the bar and the trim and wall mosaic made from reclaimed wood. He's happy when the appliances arrive and the outdoor sign is hoisted into place.

He tries not to stress a few days later when Richey and Findlay express concern about the size of the kitchen.

"It's a little tight," Findlay says, "and that gives us the jitters."

Later, the two admit to overreacting. "We get nervous because we are thinking about the 250 seat restaurant we used to work at. Then we walk in and remember the numbers." Pago's maximum capacity is 47.

Once the staff is hired, they tour Layton's East Farms, where most of the fresh fruits and vegetables for the restaurant will be harvested. Evans' excitement is visible as he lifts his arms above his head and announces: "Soon we'll be serving food from this plot of land." The group sits side by side on a the large irrigation pipe and has its first wine tasting, while looking out at the cabbages and the beans.

Keeping calm » Evans sets up a meeting with Smith's Food & Drug officials about using the grassy area on the east side of the store (adjacent to the restaurant) as an patio. Smith's offers to rent the area to him for $1,000 a month, far more than his new business can afford, especially for something that will be used only four or five months a year. He'll keep trying to negotiate.

The cash register system proves to be another headache and expense. When they arrive, they're not compatible with the restaurant's Macintosh computer. Evans spends another $750 for new personal computer and software to make them operate.

Through it all, Evans shows an outward calm.

"But he's waking up about 4:30 every morning because he can't sleep," Shannon confides.

Countdown » On May 20, the one-week countdown begins. Evans plans two public open houses and two private dinners for family and industry friends. These test events will help servers learn the menus and allow the chefs work out any kinks in the kitchen.

The open houses, which Evans hopes will get neighbors excited about the restaurant, attract more than 100 people who nosh on fresh oysters, halibut ceviche and Wagu beef appetizers.

The dinner for family didn't go as smoothly, as the stereo system wasn't working and the air conditioning was on the blink. But those were minor hiccups next to the problem with the stove. The chefs couldn't get enough natural gas to boil water and the first batch of potato gnocchi had to be tossed.

Time to call the plumber. Again!

Doors open » Opening day starts with a panic. The city has forgotten to fax the proper paperwork to the DABC. If it's not there by the time the commission's meeting starts at 9 a.m., Evans will be forced to wait another month for his license. At 7:30 a.m., Evans starts calling every secretary and inspector he has ever dealt with to make the deadline. The information arrives, with a few minutes to spare, at 8:35 a.m.

By noon, Evans has his liquor license. At 2 p.m. the fire department has given its final approval. At 3 p.m. he heads to the DABC warehouse to pick up his wine and spirits order.

Shortly after 5 p.m., the restaurant's first customers, Sherry Wang and Rebecca Rodriguez, are escorted to their table. They're regular shoppers in the Ninth and Ninth neighborhood and have watched the restaurant take shape. They each order a glass of wine and share the spring onion appetizer and a plate of gnocchi.

It would be a perfect moment for Evans, except that the cash register isn't working and the chefs are making do with burners that don't fire properly. "I'm really dissatisfied that things are not perfect," he says.

Fast forward, three hours -- and 50 satisfied customers. Now Evans is more relaxed and has a different take as he looks back on opening night.

"We pulled it off and didn't look too bad."

End note » The day after opening, the plumber fixed the stove and the gnocchi now is being cooked to perfection.

kstephenson@sltrib.com

Pago timeline

December » Evans finds the perfect restaurant location.

January » Applies for business loans.

February » Monitors changes to Utah state liquor laws; negotiates building lease.

March » Finalizes lease; obtains construction permits; applies for state liquor license; hires chefs; sets May 10 opening date.

Early April » Building remodel in full swing. Job listings posted. Menu tastings.

April 22 » Business license denied; liquor license postponed. Loan application denied. Opening day changed to May 27

Late April » Painting; hiring employes; menu tastings.

Early May » "Green" touches added to interior; appliances installed.

May 15 » Outdoor sign hung.

May 18 » Employees tour East Farms in Layton; staff wine tasting.

May 19 » Preparing for open house until 3 a.m.

May 20 » Early morning inspections. Stove isn't working. First public open house attracts about 50 guests.

May 21 » Second public open house draws about 60 guests.

May 22 » Friends and family dinner. Staff practices serving. Gas line to stove still not working properly.

May 23 » Industry night dinner; staff gets more practice.

May 24 » Finalizes investments from family.

May 26 » Program cash register; plumber works on gas lines; last-minute details.

May 27 » Opening day

If you go

Pago » 878 S. 900 East, Salt Lake City; call for reservations at 801-537-0777, www.pagoslc.com

Atmosphere » Located in a century-old building, this casual 47-seat restaurant and wine bar has an urban feel with reclaimed wood tables, chairs and trim.

Menu » A farm-to-table restaurant that relies on local farmers and artisan producers. It offers 20 select wines by the glass. The first Salt Lake City restaurant to use a Cruvinet temperature-controlled wine dispensing system, which keeps uncorked wines fresh for several weeks.

Prices » dinner $12-27; Lunch $7-$13.

Hours » Monday-Thursday 11 a.m. to 9 p.m.; Friday and Saturday: 11 a.m. to 10 p.m.; Sunday: 11 a.m. to 3 p.m.

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