5 Quick Steps To Control Your Fresh Food Costs
Did you know that €10 of food waste in your business per day equals more than €12k in lost revenue?
Controlling fresh food is vital for ensuring profitability and avoiding a loss of margin. Consider this, €10/day of food waste is equal to €3,650/year at cost value. This means that you have to make an additional €12,166 (at 30% food cost) in top-line net revenue to compensate for this loss. Ouch!
Follow these steps to ensure that your business is avoiding some common mistakes;
4. Know your margin – Conduct frequent counts of your inventory. This way, you will know your exact food cost. Calculating your margin by dividing purchases by sales and assuming a standard opening/closing inventory value, is simply disguising the truth of poor internal practices. Don’t be lazy!
5. Get your team involved – Don’t keep the numbers a secret, make your employees aware of the problem you are trying to solve, this way you are far more likely to solve it and curtail it reoccurring and damaging your margin. Place it in a prominent position in your kitchen/staff canteen.