How Does Your Operation Measure Up
to
Industry Averages & Standards?
Sales to Investment (Annual Sales/Startup Cost)
Leasehold - at least 1.5 to 1. Own land and building - at least
1 to 1.Sales Per Square Foot
·
Losing Money Full-service - $150 or less. Limited-service - $200
or less
Break-even Full-service - $150 to $250. Limited-service - $200
to $300.
Moderate Profit Full-service - $250 to $350. Limited-service
- $300 to $400
High Profit Full-service - More than $350. Limited-service -
More than $400.
Food Cost Generally - 28% to 32% as a percentage of total food sales
Alcoholic Beverage Costs
Liquor - 18% to 20% as a percentage of liquor sales
Bar consumables - 4% to 5% as a percentage of liquor sales
Bottled beer - 24% to 28% as a percentage of bottled beer sales
Draft beer - 15% to 18% as a percentage of draft beer sales.
Wine - 35% to 45% as a percentage of wine sales
Nonalcoholic Beverages Costs
Soft drinks (post-mix) - 10% to 15% as a percentage of soft drink
sales.
Regular coffee - 15% to 20% as a percentage of regular coffee
sales.
Specialty coffee - 12% to 18% as a percentage of specialty coffee
sales.
Iced tea - 5% to 10% as a percentage of iced tea sales.
Paper Cost
·Full-service - 1% to 2% as a percentage of total sales.
Limited-service - 3% to 4% as a percentage of total sales.
Payroll Cost
·Full-service - 30% to 35% as a percentage of total sales.
Limited-service - 25% to 30% as a percentage of total sales.
Management Salaries - 10% or less as a percentage of total sales.
Hourly Employee Gross Payroll
Full-service - 18% to 20% as a percentage of total sales.
Limited-service - 15% to 18% as a percentage of total sales.
Employee Benefits
·5% to 6% as a percentage of total sales.
20% to 23% as a percentage of gross payroll.
Prime Cost
·Full-service - 65% or less as a percentage of total sales.
·Table-service - 60% or less as a percentage of total sales.
Occupancy and Rent
·Rent - 6% or less as a percentage of total sales.
·Occupancy
- 10% or less as a percentage of total sales.