Innovation is considered to be of importance to the growth of firms. Innovation is the most important component in a fims strategy. The objective of this study is to know the impacts of entrepreneurial competencies on innovation at vegetarians food restaurants in Medan. According to Mohammadkazemi, et.al (2016, p.57), ―entrepreneurial competencies involve characteristics and abilities related to the creation of a new, sustainable and growing business‖. According to Mohsin, et.al (2017, p.90), ―innovation is defined as the adoption of an idea or behavior that is new to an organization‖. There is a positive and significant impact of entrepreneurial competencies on innovation (Mohammadkazemi, et.al, 2016, p.61). The methods used in this research is descriptive and correlational method. Data analysis methods used in this research are descriptive statistic, validity test, reliability test, normality test, coefficient of correlation, coefficient of determination, linear regression analysis and t test. Based on research result, the hypotheses test of t-test showed that the simple linear regression showed equation of Y = 2.844 + 1.155X. It means that variable entrepreneurial competencies has a straight relationship to innovation, that if there is an increase on entrepreneurial competencies, the innovation will also increase. The conclusion of this research showed that entrepreuneurial competencies has significant impact on innovation at vegetarian food restaurants in Medan. From t test, it can be seen that tcount (21.547) is higher than ttable (1.97). From correlation test, the correlation value is 0.879. It means that there is strong and positive relationship between entrepreneurial competencies with innovation in vegetarian food restaurants in Medan.