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How to Calculate Food Costs (Double Your Profit) 🤑 In this video, I'm going to share a crucial element of running a profitable restaurant business: calculating your food costs! I’ll break down the math simply and clearly so you can apply it and improve your restaurant’s bottom line. AND later in the video, I'll share the 3 secrets behind maximizing profit for your restaurant using food costs. #RestaurantMarketing #restaurantmanagement #restaurantmarketingtips #restaurantowner | Owner.com
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Want to know how to calculate your restaurant's food cost in just 60 seconds? Start with inventory costs, add labor costs, and then calculate your cost of goods sold (COGS). For example, with an ice cream, inventory costs are $1.50 and labor costs are $0.50 per serving, totaling $2.00. If you sell an ice cream for $7, your food cost percentage is 28.57%. Keeping this between 15%-30% will help you maintain a healthy profit margin. Once you know your food costs, you can better promote high-profit
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