From Blog Series From Financial Statements to Operating Decisions A restaurant’s income statement usually presents labor as a number. Wages. Payroll taxes. Benefits. Maybe management salaries. Depending on the reporting structure, those costs may be separated between departments or combined into a single labor line. That is useful for financial reporting. But it is not
Category Archives: Leadership
Series: From Financial Statements to Operating Decisions A restaurant’s income statement may present cost of goods sold as a single line. Food cost. Beverage cost. Retail merchandise. Packaging and supplies. Each appears as a dollar amount and, commonly, as a percentage of revenue. When that percentage rises, the typical response is equally simple: “We
From Financial Statements to Operating Decisions — Part Two Revenue is usually the first number people look at on a restaurant’s profit and loss statement. Did sales increase? Did we beat the budget? Are we ahead of last year? Those are reasonable questions. But revenue alone rarely tells restaurant leaders what actually happened—or what they
Why so many restaurant and taproom KPIs describe performance but rarely explain it Restaurants and taprooms have no shortage of data. Most operators can quickly pull reports showing sales, labor cost percentage, prime cost, sales per labor hour, average check, guest counts, overtime, discounts, ticket times, and restaurant-level profit. The challenge is not as simple
There’s a moment most owner/operators recognize: You’re busy. The patio is packed. Your beer is moving. Tickets are humming. And someone says, “We should open another one.” Sometimes it’s a second location. Sometimes it’s a private-event room. Sometimes it’s a kitchen upgrade, a patio build-out, a packaging line, or a small taproom bolt-on. And in