Failed restaurants at same spot

There is a donut restaurant in my neighborhood that ran out of business. Although it has good ratings on yelp but it still didn't survive for too long. I wish they post a sign saying "thank you customers". I supported your business!

In a previous incarnation, it was a Mexican restaurant... before that it was an excellent Chinese restaurant. Unfortunately the fate are all the same.

Restaurants need to be in a place where a lot of people walk by, like a business district, or close to some shopping area. That neighborhood isn't it. Even if you make 70 cent profit on that $1 donuts if no one is buying you are going to run out of business. But alas, the rent of a good location must be very expensive.

A successful restaurant needs excellent decorations (tons of money to be poured in first) and good food and service. It isn't so easy.