Restaurant Profit Margins: Norms and Optimization
5 min read
2 sections
The average net margin of a restaurant: 3-9%.
Table of Contents
Types of Margins
Gross: revenue - food cost = 65-75%. Operating: after wages and rent = 10-20%.
How to Increase Margins
1) Food cost optimization, 2) Average check growth, 3) Waste reduction.
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