Recent hikes in business rates and rents as well as the increase in the national minimum wage have impacted margins by as much as 30%.
That’s huge! Especially at a time when organisations are operating on average at 8% profit margin across the hospitality industry.
Then consider food costs keep rising and waste and spoilage keep piling up each month.
So, how you approach and control inventory is critical to your bottom-line success.
Inventory is the second most significant portion of your budget. It is likely you allocate anywhere between 25-35% of your budget to purchasing inventory.
Yet, on average 10-15% of restaurant inventory goes into the trash as losses!