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Basic knowledge and formulas

Learn the fundamental formulas and calculation methods for hospitality.

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 👁️ 388 📅 22 Feb 2026
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How can I organize my menu based on profitability?

A local bistro increased their monthly profit by €3,200 simply by moving their lamb shank from the bottom of page two to the top right corner. Most restaurants...

⏱️ 2 min read 👁️ 386 📅 22 Feb 2026
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How do I calculate the margin on a package with food and...

67% of restaurants underestimate their true package costs by ignoring VAT differences between food and alcohol. Food carries 9% VAT while drinks get hit with 21...

⏱️ 3 min read 👁️ 384 📅 21 Feb 2026
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How do I calculate the cost price of homemade soft...

Homemade soft drinks seem cheap, but the real cost price often disappoints. While many hospitality entrepreneurs think making their own beverages saves money, t...

⏱️ 3 min read 👁️ 378 📅 22 Feb 2026
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How do I calculate the cost price when a dish contains...

Picture this: your signature steak dinner includes a carefully selected wine pairing, but your food cost calculations seem off every month. Mixed VAT rates on c...

⏱️ 2 min read 👁️ 376 📅 22 Feb 2026
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How do I know if I have too many different products on...

Too many different dishes on your menu can undermine your profit without you realizing it. Each extra dish costs time, inventory and attention - but does it gen...

⏱️ 3 min read 👁️ 376 📅 22 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 👁️ 376 📅 21 Feb 2026
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How do I read a supplier delivery report?

Your supplier's delivery report holds the key to accurate food costing, but most restaurant owners miss critical price changes and discrepancies that eat into p...

⏱️ 4 min read 👁️ 374 📅 22 Feb 2026
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How do I make my restaurant future-proof with better...

83% of restaurants that survive economic downturns have food costs below 32%. Most restaurant owners chase higher revenue while their margins slowly erode. Stro...

⏱️ 3 min read 👁️ 373 📅 22 Feb 2026
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How do I use portion control as a tool to reduce food waste?

Why do restaurants throw away profit with every plate they serve? Most food waste doesn't happen in the bin—it happens on the plate through oversized portions....

⏱️ 4 min read 👁️ 372 📅 27 Feb 2026
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How can I make dishes with low food cost stand out?

Your most profitable dishes are probably hiding in plain sight. Low food cost items generate serious profit margins, yet customers gravitate toward the flashies...

⏱️ 3 min read 👁️ 371 📅 22 Feb 2026
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How do I make sure my prices are both attractive and...

Some restaurants price dishes so low they lose money on every sale, while others set prices so high they drive customers away. Most restaurant owners rely on gu...

⏱️ 3 min read 👁️ 369 📅 22 Feb 2026
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What's the difference between food cost and selling price?

Ever wonder why some dishes seem profitable until you actually crunch the numbers? Food cost is what you pay for ingredients, while selling price is what guests...

⏱️ 2 min read 👁️ 369 📅 21 Feb 2026
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How do I determine a realistic waste percentage per product?

Most restaurants lose €3,000-5,000 annually by ignoring food waste in their cost calculations. Setting a realistic waste percentage helps you calculate your cos...

⏱️ 3 min read 👁️ 364 📅 21 Feb 2026
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How can I use food cost to support menu changes?

Managing a menu without food cost data is like driving blindfolded – you might reach your destination, but you'll crash along the way. Food cost percentages rev...

⏱️ 3 min read 👁️ 361 📅 22 Feb 2026
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How do I handle different VAT rates in my menu?

While most businesses deal with a single VAT rate, restaurants juggle multiple rates that can make or break your profit calculations. Food items get taxed at 9%...

⏱️ 2 min read 👁️ 361 📅 22 Feb 2026
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How can I use these figures in conversations with my bank?

Your bank doesn't care about your passion for cooking - they want cold, hard numbers. Food cost data and margin analyses prove you're running a business, not ju...

⏱️ 3 min read 👁️ 357 📅 22 Feb 2026
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What's the difference between revenue and margin in...

A packed Friday night brings in €3,200, but your bank account barely budges by Monday morning. Revenue shows how busy you were, margin reveals how much you actu...

⏱️ 2 min read 👁️ 356 📅 21 Feb 2026
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How do I determine my minimum selling price based on...

Your minimum selling price determines whether you make or lose money on each dish. Some restaurants nail their pricing and build solid profit margins, while oth...

⏱️ 3 min read 👁️ 352 📅 27 Feb 2026
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How do I set prices when working with market prices?

Most restaurant owners struggle with pricing because they copy competitors without knowing their own costs first. You might think you're being competitive, but...

⏱️ 3 min read 👁️ 351 📅 22 Feb 2026
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🔥 Most read in this category

The most viewed articles in Basic knowledge and formulas

1
What is food cost in a restaurant?
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2
What are typical margins on coffee and tea?
⏱️ 2 min · 👁️ 1,926 times read
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3
What is the difference between food cost and cost price?
⏱️ 2 min · 👁️ 1,509 times read
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