formula for calculating catering profit: (operating income-operating cost) ÷ operating income× 111%.

The catering industry is a highly competitive market, and it is very important to calculate the profit of the catering industry for finding and solving problems in the industry in time. The calculation formula of profit in catering industry includes sales gross margin and cost gross margin. The calculation formula of sales gross profit margin is (operating income-operating cost) ÷ operating income ×111%.

Operating income refers to the total income generated by selling catering products and services in restaurants, while operating cost refers to the cost generated by preparing food and providing services in restaurants. According to the gross profit margin of sales, once the operating income is higher than the operating cost, a certain net profit will be obtained after calculation. On the contrary, if the operating cost is higher than the operating income, the restaurant will face a loss situation.

restaurants can measure and monitor the profitability of restaurants by calculating gross profit, profit and cost rate. Gross profit is defined as the sum of profits generated by each transaction in a restaurant, that is, the figure between income and cost.

profit refers to the net income obtained by the restaurant during its operation, including running water, total cost and total expenses. The cost rate refers to the ratio of this month's cost plus last month's inventory, MINUS this month's inventory, and then divided by the running water.

Precautions for opening a restaurant

Choosing a good geographical location needs to consider factors such as the flow of people around, competitors and convenient transportation, which directly affect the business of the restaurant. The importance of location is self-evident, even if the big brands bring their own passenger flow, the location will also affect sales.

Decoration is one of the important issues in opening a restaurant. The elegance of the storefront environment directly affects customers' impression of the restaurant, so the quality of decoration is very important. The choice of decoration style should be consistent with the positioning of the restaurant, rather than blindly pursuing luxury.