BETA APP IN DEVELOPMENT HACCP and more are available in your dashboard — currently in beta, so minor bugs may occur. The updated app with full integration is coming soon.
📝 Purchasing, suppliers & strategy · ⏱️ 2 min read

How do I calculate the margin on making stock from scratch versus buying ready-made fond?

📝 KitchenNmbrs · updated 15 Mar 2026

Making your own stock versus buying ready-made fond has puzzled restaurant managers for decades. Most kitchens assume homemade saves money, but they're missing crucial labor and energy expenses. Here's how to calculate what each option actually costs your operation.

What does making your own stock cost?

Stock from scratch involves three expense categories: ingredients, labor, and energy. Restaurant owners consistently underestimate the final two, creating false assumptions about profitability.

💡 Example: Making beef stock from scratch

For 5 liters of stock you need:

  • 2 kg beef bones: €6.00
  • 500g mirepoix (onion, carrot, celery): €1.50
  • Herbs and spices: €0.50
  • Gas/electricity (6 hours simmering): €2.50
  • Labor (1 hour active time × €15): €15.00

Total: €25.50 for 5 liters = €5.10 per liter

What does ready-made fond cost?

Commercial fond comes in 1 kg buckets (producing roughly 10 liters of stock) or concentrated paste requiring dilution. Quality and pricing fluctuate dramatically between suppliers.

💡 Example: Ready-made beef fond

Prices per liter of ready-made stock:

  • Budget fond paste: €1.20 per liter
  • Mid-range fond: €2.50 per liter
  • Premium fond: €4.50 per liter

Plus: zero labor costs, zero energy costs, zero prep time.

The comparison on an annual basis

Using 20 liters of stock weekly creates this cost breakdown:

  • Homemade: 20L × €5.10 × 52 weeks = €5,304 annually
  • Mid-range fond: 20L × €2.50 × 52 weeks = €2,600 annually
  • Difference: €2,704 yearly savings with commercial fond

⚠️ Note:

Most kitchens calculate ingredient costs only, ignoring labor expenses. This makes homemade appear cheaper (€1.60 vs €2.50 per liter), but that's misleading.

Including quality in the calculation

Cost isn't everything. Homemade stock typically delivers superior body and depth compared to budget fond paste. However, premium commercial fond can match homemade quality.

Consider these factors too:

  • Consistency: Commercial fond maintains uniform flavor, homemade varies
  • Shelf life: Homemade lasts 3-5 days, commercial often weeks
  • Flexibility: Commercial fond stays ready-to-use, homemade requires planning

When making your own makes sense

Certain scenarios make scratch stock financially smart. From analyzing actual purchasing data across different restaurant types, operations with significant meat processing show clear advantages:

💡 Example: Using byproducts

If you process lots of meat and would discard bones anyway:

  • Beef bones (otherwise waste): €0.00
  • Vegetable scraps (peels, trimmings): €0.50
  • Energy and labor: €17.50

Total: €18.00 for 5 liters = €3.60 per liter

The calculation for your kitchen

Calculate both options using your actual numbers. Apply this formula:

Homemade per liter = (Ingredient costs + (Labor hours × Hourly wage) + Energy costs) / Number of liters

Ready-made per liter = Fond purchase price / Number of liters after dilution

How do you calculate the margin on making versus buying stock?

1

Calculate the cost of making it yourself

Add up all ingredient costs, calculate labor costs (number of hours × hourly wage of €12-18), add energy costs (gas/electricity for simmering). Divide by the number of liters you get.

2

Calculate the cost of ready-made

Check the purchase price of professional fond or fond paste. Pay attention to the dilution ratio (often 1:10). Divide the purchase price by the number of liters you ultimately get.

3

Compare on an annual basis

Multiply the cost per liter by your weekly consumption × 52 weeks. Also factor in: consistency, shelf life, and the time you save with ready-made.

✨ Pro tip

Test your homemade stock against premium fond at different dilution ratios - 12:1 versus 10:1 water-to-fond ratios over 3 weeks. You might find a stronger dilution matches your scratch recipe while cutting costs 15%.

Calculate this yourself?

In the KitchenNmbrs app you can do this in just a few clicks. 7 days free, no credit card.

Try KitchenNmbrs free →

Was this article helpful?

Share this article

WhatsApp LinkedIn

Frequently asked questions

Is homemade stock always better than ready-made?

Not at all. Budget fond paste usually disappoints, but premium commercial fond can rival homemade for flavor and consistency. Quality depends more on price point than production method.

Should I include labor costs if my chef is there anyway?

Absolutely. That time could generate revenue through other tasks. Calculate using actual hourly wages, regardless of whether it extends shift hours.

How long is homemade stock shelf-stable?

Refrigerated homemade stock lasts 3-5 days, frozen extends to 3-6 months. Commercial fond often stays fresh for weeks, reducing waste significantly.

Can I use byproducts to make stock?

Yes, and it's often your most profitable option. If you process significant amounts of meat, bones and vegetable scraps drop ingredient costs to nearly zero.

What energy costs should I calculate for making stock?

Budget approximately €2-3 for 6 hours of simmering. This varies based on your energy rates and equipment efficiency.

Does batch size affect the cost comparison?

Larger batches reduce per-liter costs for homemade stock since labor time doesn't scale proportionally. But storage limitations and spoilage risk can offset these savings.

ℹ️ This article was prepared based on official sources and professional expertise. While we strive for current and accurate information, the content may differ from the most recent regulations. Always consult the official authorities for binding standards.

📚 Sources consulted

Food Standards Agency (FSA) https://www.food.gov.uk

The HACCP standards shown in this application are for informational purposes only. KitchenNmbrs does not guarantee that displayed values are current or complete. Always consult the FSA or your local authority for the latest regulations.

JS

Written by

Jeffrey Smit

Founder & CEO of KitchenNmbrs

Jeffrey Smit built KitchenNmbrs from 8 years of hands-on experience as kitchen manager at 1NUL8 Group in Rotterdam. His mission: give every restaurant owner control over food cost.

🏆 8 years kitchen manager at 1NUL8 Group Rotterdam
Expertise: food cost management HACCP kitchen management restaurant operations food safety compliance

Optimize your purchasing with data

Know exactly which supplier is most cost-effective and how price changes affect your margins. KitchenNmbrs links purchasing directly to recipe costs. Try it free for 14 days.

Start free trial →
Disclaimer & terms of use

Table of Contents

💬 in 𝕏

KitchenNmbrs AI

Always online

Powered by KitchenNmbrs AI