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Basic knowledge and formulas

Learn the fundamental formulas and calculation methods for hospitality.

How do I calculate the margin on takeaway meals?

Are you actually making money on that €15 pasta you just sent out for delivery? Most restaurant owners think they know, but takeaway margins work differently th...

⏱️ 2 min read 👁️ 219 📅 21 Feb 2026
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How do I correctly process staff meals in my food cost...

Are your food costs mysteriously high despite careful purchasing? Staff meals might be the culprit - a hidden expense that throws off your calculations. You're...

⏱️ 3 min read 👁️ 218 📅 27 Feb 2026
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How do I calculate the selling price of a main course?

How do you know if your main course pricing actually turns a profit? Too many restaurant owners wing it with pricing, unknowingly bleeding money on every plate...

⏱️ 4 min read 👁️ 218 📅 21 Feb 2026
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How do I calculate the cost price of a cocktail with...

Accurate cocktail costing prevents profit leaks that drain your bar's bottom line. Most bartenders guess at drink costs, unknowingly sacrificing margins with ev...

⏱️ 3 min read 👁️ 217 📅 22 Feb 2026
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How can I tell if a dish is priced too low?

Picture this: your most popular pasta dish brings in €200 daily, but you're actually losing €3 on every plate. This happens more often than you'd think because...

⏱️ 3 min read 👁️ 217 📅 21 Feb 2026
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What is actual food cost in a restaurant?

Most restaurants think they know their food costs, but they're wrong. You're probably calculating ingredient costs for your signature dishes while completely ig...

⏱️ 2 min read 👁️ 215 📅 21 Feb 2026
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How do I calculate my margins excluding VAT?

While most restaurant owners celebrate healthy margins on paper, they're often looking at inflated numbers that include VAT. The tax you collect from customers...

⏱️ 2 min read 👁️ 215 📅 21 Feb 2026
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How do I interpret the difference between my accounting...

Your accounting food cost rarely matches what you calculated on paper. Accountants track actual spending while kitchen managers work from theoretical recipe cos...

⏱️ 3 min read 👁️ 214 📅 27 Feb 2026
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What's the difference between food cost percentage and...

Many restaurant owners think food cost percentage tells the whole profitability story – but that's only half the picture. Food cost reveals what portion of your...

⏱️ 3 min read 👁️ 213 📅 27 Feb 2026
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How can I see which day parts earn me the most?

Ever wonder if your busiest hours actually bring in the most profit? Your lunch might generate 40% of revenue with half the staff, while dinner brings crowds bu...

⏱️ 2 min read 👁️ 213 📅 22 Feb 2026
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What is a good ratio between food and beverages in your...

Café Brasserie De Kust struggled with razor-thin margins until they discovered their beverage sales were only 18% of revenue. Most successful restaurants mainta...

⏱️ 3 min read 👁️ 213 📅 21 Feb 2026
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How do I calculate food cost when working with...

A single carbonara dish uses 2 eggs from a 30-piece tray, but how do you calculate the exact cost per portion? Individual items like eggs, onions, and peppers r...

⏱️ 2 min read 👁️ 212 📅 21 Feb 2026
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What's the difference between margin in euros and margin...

A pasta dish with 85% margin might actually lose you money compared to a steak with 60% margin. Euro margins show absolute profit per plate, while percentage ma...

⏱️ 2 min read 👁️ 211 📅 21 Feb 2026
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How do I calculate the cost price of garnish for a main...

Restaurant garnish costs account for 2-5% of total food expenses, yet 73% of operators don't track them properly. You might think that parsley sprig or olive oi...

⏱️ 2 min read 👁️ 210 📅 22 Feb 2026
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What food cost should I maintain for main courses?

Most restaurant owners think they know their main course food costs, but they're usually wrong by 5-10%. This miscalculation can drain thousands from your annua...

⏱️ 2 min read 👁️ 210 📅 21 Feb 2026
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How do I calculate the cost price per portion for catering?

Most caterers wing it with pricing and wonder why their profits vanish on big events. But smart operators know that accurate portion costing separates profitabl...

⏱️ 3 min read 👁️ 210 📅 21 Feb 2026
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How do I use food cost analysis to support a bank loan...

Nearly 67% of restaurant loan applications get rejected due to poor financial documentation. Banks want concrete proof you control your numbers and understand p...

⏱️ 3 min read 👁️ 209 📅 27 Feb 2026
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How do I recognize from my numbers that my target...

Most restaurant owners think they know their customers, but the numbers often reveal a completely different story. Your target audience can shift gradually with...

⏱️ 3 min read 👁️ 209 📅 22 Feb 2026
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What's the difference between theoretical food cost...

Your food cost calculations look perfect on paper, but your profits keep shrinking. Theoretical food cost reflects your recipe calculations, while actual food c...

⏱️ 4 min read 👁️ 208 📅 27 Feb 2026
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How do I calculate the profit difference between two...

Ever wondered exactly how much extra profit that €4 price bump will actually put in your pocket? The profit difference between two menu prices shows you how muc...

⏱️ 3 min read 👁️ 208 📅 21 Feb 2026
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🔥 Most read in this category

The most viewed articles in Basic knowledge and formulas

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What is food cost in a restaurant?
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How can I see if my profit comes mainly from drinks or food?
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