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The cost of operating a restaurant is increasing

The cost of operating a restaurant is increasing

Posted on May 5, 2022 By Martin Smith

ST LOUIS, MO (StLouisRestaurantReview) As inflation has begun to affect all aspects of life, the cost of operating a restaurant is increasing rapidly.  It is more important than ever to know your numbers.  What numbers?  Your accounting numbers!  You need to know your food cost based on what percentage of total sales.  Some standards help keep you in the normal range.  You need to see this information to understand when and how much to increase your prices.  It is impossible to know how to price your menu without knowing your accounting numbers.

Conclusion: there are close to real-time accounting systems that are managed correctly and can give you all of the information you need in close to real-time.  Using an app on your phone, you can see your profits & losses day to day, week to week or month to month, or year to date.

Customers need and will understand that price increases are expected.  They feel it every time they buy gasoline or food at the grocery store.

With real-time accounting, you can make frequent price increases, which will be readily acceptable by customers and help maintain a healthy cash flow to keep your business financially sound.

If you don’t have accurate accounting, you are at risk of failure.  If you have accounting, but it is not real-time accounting, find a real-time accounting expert to help keep you up to date on your numbers.  Know your numbers!

For more information email Marty@STLMedia.Agency.

News Tags:Accounting

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