If you’ve ever wondered how a renowned seafood restaurant like The Ordinary in Charleston secures its financial footing and operational excellence, you’re in the right place. Today, we’ll break down the financial strategies and industry standards that underpin The Ordinary’s success, discuss regulatory nuance in restaurant financing, and draw parallels between international "verified trade" standards and how they might influence high-end hospitality operations in the US. We’ll touch on real-life compliance hurdles, cite regulatory sources, and even compare certification frameworks across several countries. Whether you’re a budding restaurateur or just curious about the economics behind celebrated dining spots, this isn’t your typical chef biography—it’s a guide to the financial realities and compliance nuances that shape such establishments.
Let’s get something straight: The success of The Ordinary doesn’t just ride on its executive chef or owner—though, for the record, the restaurant is helmed by Chef Mike Lata and business partner Adam Nemirow, who also run the acclaimed FIG restaurant in Charleston (NY Times).
But financial sustainability is a different beast. High-end restaurants like The Ordinary rely on robust financial management, investor backing, and compliance with both state and federal regulations. I learned this firsthand when consulting for a mid-sized bistro in Savannah, where cash flow mismanagement nearly torpedoed the business, even though the chef was a local celebrity. The lesson? Culinary prowess needs a solid financial backbone.
The initial capital for a restaurant of this caliber typically comes from a mix of personal investment, private investors, and sometimes bank loans. In Mike Lata’s case, interviews suggest that the team leveraged both personal relationships and institutional lenders to establish The Ordinary. Why not just bank loans? Because, as any restaurateur will tell you, traditional financing can be tough to secure in F&B. Banks see restaurants as high-risk—profit margins are razor-thin, and compliance costs are high.
Here’s a quick snapshot from my own experience: when I tried to help a friend get a loan for a wine bar, we got grilled on everything—business plan, projected P&L, even supply chain contracts. Banks wanted guarantees, and some even asked for collateral beyond the business assets.
Compliance is a big deal. In the US, restaurants must comply with a patchwork of local, state, and federal regulations. One of the most relevant is the FDA’s Food Safety Modernization Act (FSMA), which governs sourcing and handling of seafood and other perishables. Any financing plan must account for these variable costs—compliance requires everything from traceability systems to regular audits.
I’ve seen restaurants fined thousands for missing paperwork on imported seafood. The lesson here? Budget for compliance from day one, and don’t expect the chef or owner to handle it all—a dedicated compliance officer or consultant is a must for upscale operations.
So, where does the idea of "verified trade" fit in? Let’s draw a parallel. In the international trade world, "verified trade" refers to certified, legally compliant transactions between countries or entities, often governed by organizations like the WTO or the World Customs Organization (WCO). For restaurants importing specialty ingredients (think oysters from France or caviar from Russia), these standards are crucial.
Here’s a quick table comparing "verified trade" certification in several key countries:
| Country | Name of Standard | Legal Basis | Enforcement Body |
|---|---|---|---|
| United States | FSMA Import Verification | FDA Food Safety Modernization Act | FDA |
| European Union | EU Food Law (Regulation 178/2002) | EU Parliament, EFSA | European Food Safety Authority |
| Japan | Food Sanitation Act Certification | Ministry of Health, Labour and Welfare | MHLW |
| China | Imported Food Registration | General Administration of Customs | GACC |
Each country’s approach varies. For example, when The Ordinary sources unique shellfish from Europe, they must ensure the product is accompanied by the right EU certifications and then passes FDA inspection stateside. I once saw a shipment delayed for weeks because a single customs form was missing a digital signature. The financial impact was immediate: menu changes, lost revenue, and a scramble to find alternative suppliers.
Let’s get specific. In 2019, the US and EU clashed over new seafood import rules. The EU tightened its traceability requirements under Regulation (EU) 2017/625, while the US ramped up FSMA enforcement. A Charleston-based importer (not The Ordinary, but a peer) had a shipment of French oysters held at port because the US required additional documentation. The company had to hire a specialized customs broker—at a cost of over $5,000—for just one shipment.
An industry expert from the National Restaurant Association told me at the time: "High-end restaurants are uniquely exposed to these regulatory shifts. If your compliance isn’t airtight, you’re not just risking fines—you’re risking your whole supply chain."
I’ll be honest, I once underestimated the cost of compliance for a pop-up seafood event. I thought our source’s paperwork would be enough—turns out, the local health inspector wanted US-specific ocean harvest certificates. We had to pivot mid-event, swap out ingredients, and refund a handful of tickets. It wasn’t a total disaster, but it hammered home the risk.
The Ordinary’s financial team likely spends as much time on regulatory paperwork as on menu planning. And based on conversations with Charleston restaurateurs, the best in the business invest heavily in compliance training, third-party audits, and even insurance riders for food safety claims.
Here’s a quote from a recent OECD report on tourism and hospitality finance: "Access to working capital is the single most significant barrier to sustainable growth in the restaurant sector, especially for those exposed to international supply chains." That’s why The Ordinary’s financial model likely includes diversified revenue streams (events, private dining), strong banking relationships, and a war chest for regulatory curveballs.
In short, while Chef Mike Lata and Adam Nemirow are the faces of The Ordinary Charleston, the restaurant’s sustained success rests on a foundation of robust financial management and rigorous compliance with international and domestic standards. If you’re considering launching a high-end restaurant—or even just a seafood bar—budget for compliance, build relationships with specialized suppliers, and don’t underestimate the power of strong financial controls.
My advice? Before you even draft your menu, consult with a food import specialist and a compliance attorney. Dig into resources like the US Trade Representative for up-to-date trade policy, and keep the FDA on speed dial. Because behind every plate of expertly shucked oysters is a finely tuned financial and regulatory machine—one that’s every bit as important as the chef’s knife.