How can you ensure your F&B operations are financially sound?

The way I operate to understand at least the surface of startup of a business is cost awareness , knowledge of competitors and more importantly the cost for running it for at least 6 months without looking at profits.

Es importante tener las cosas claras desde el principio, cuales son tus objetivos y con cuales herramientas vas a contar para sacar adelante tu negocio de A&B. Debes tener claro si quieres vender menu, hacer catering de eventos o vender alfajores...cada uno de estos negocios tienen caracteristicas y necesidades distintas. Entonces el primer paso es definir el ?que quiero hacer? y de ahi se desprenden el como, donde, cuando,etc. No es tan facil como algunos creen, pero si la idea es tener un negocio sostenible en el tiempo hay que iniciar el proyecto con las cosas claras y con un orden impecable.

A good "ACCRUAL" based accounting on the multi-unit is the crucial starting point. Restaurant365 provides real time financial information. Managing the cost of goods sold ideally weekly, at a minimum monthly is the second step. Inventory and cost management software like Margin Edge, Craftable, once set up, are powerful tools in this endeavor.

You should keep an eye on how much you spend on ingredients and supplies. Negotiate good deals with suppliers and manage your stock carefully to reduce waste.

Para lograr negocios exitosos sabiendo ya que producto es el que deseamos desarrolllar debemos hacer una carta, desarrollar las recetas, buscar minimo 3 proveedores por producto, calcular el tipo de personal y con que competencias se va a necesitar, asi como los espacios fisicos para trabajar y considerar todos los costos directos e indirectos que van a tener que manejar.

One overlooked factor in managing the cost of goods sold is understanding the contribution margins of each item on the menu and creating strategies surrounding these costs. In the fast-paced environment of restaurants, sometimes specials or new menu items are launched without understanding the margins or how the restaurant aims to make money. Another factor is looking carefully at the sources of wastage. Which ingredients and which menu items pose the risk of wastage and whether it is worth having them on the menu. Finally, some F&B establishments park cash in their beverage menu. It is important to purchase liquor and wine soundly but not accumulate a large inventory.

Check which items on your menu make the most money. Promote those and consider changing or adjusting the prices of items that aren't as profitable. You should also regularly review and analyze the profitability of each menu item because it will contribute to the overall financial health of your business's F&B operations. Don't forget to pay attention to what your customers like and don't like. Adapt your menu and service based on their feedback.

Los trabajos dentro de una area de A&B, no son independientes, todas las areas se cruzan en algun momento de la cadena de produccion, ya definiste tu negocio?ya tienes la carta? buscas a los proveedores y aqui estas de la mano con el equipo de compras, hacer los pedidos en las cantidades y calidades necesarias hasta que son entregados en nuestros almacenes estos deberan cumplir con todas las cualidades organolepticas y en las cantidades solicitadas, al ser recepcionadas deberan pasar al area de recepcion y almacen y de ahi tomara diferentes rutas: pre producion a refrigeracion, congelacion o secos y ellos a su vez abasteceran a produccion en el momento solicitado, considerando en promedio un stock de seguridad d y un manejo de almacen ABC

Inventory management software is critical in keeping up to date with the thousands of SKUs bought by full-service restaurants.

Internal controls and staff training are equally important to have accurate counts and take action on the outcome of the count.

Make sure your staff knows how to do their jobs well. Encourage them to think about costs in everything they do. Train them to provide excellent customer service, and this will in turn help to reduce waste, reduce cost, and in time lead to growth.

One thing that I have found is that your knowledgeable staff will always keep you updated on stock levels. Allowing them ti be a part of you managing the establishment gives them a sense of pride and accomplishment. This also gives them the experience to upskill themselves within the industry and also fosters their ability to communicate easier with customers

This is probably the most important step. I've consulted several cafes, and I think it's okay to take a month or two to choose your products and train your staff how you want to, but you need to implement some kind of metrics into your operations to observe where you are going. I think a simple one for most F&B operators is tracking gross revenue against net income for a few months. While this sounds simplistic to a fiance person, most owner/operators get caught up in the day to day and act like as long as there are sales then they are winning. But labor and product costs can scale quickly and eat away at profitability if they don't track what they're doing.

Procurement is the first step in opening the door to a financially sound F&B operation. We help restaurants get on GPO purchasing programs and save an average of 15% in the process of their food and OPEX. Liquor and beverage is more complex and the strategies are based on the State's liquor laws but there are many levers restaurants can pull to procure successfully on the beverage side as well.

Ensuring the financial soundness of Food and Beverage (F&B) operations involves strategic planning, cost control, and efficient management. Here are some key practices to achieve financial stability in F&B operations: ? Budgeting and Forecasting ? Cost Control ? Pricing Strategy ? Inventory Management ? Supplier Negotiations ? Staff Training and Productivity ? Technology Integration ? Energy Efficiency ? Financial Reporting and Analysis ? Financial Audits

One thing I found very helpful is the use of overbudget forms. The principle behind overbudget forms is to ensure that your departmental cost are in line at the end of the day, week or month. It is important for HODs to stay within their daily allocated budgets, food, beverage, paper & plastic etc. however, in high volume F&B operations things will not always go as budgeted. HODs are empowered to creatively over spend their daily allocations (food, beverage paper & plastic etc.). This is where the overbudget forms plays a pivotal role in terms of accountability with explanations on how the overspend will be recovered before the month ends.

Suppliers also play a big role in managing costs...always have a reliable supplier locally available and 2 or 3 backups for price comparison and market variables...Make sure most items in your menu have ingredients that are locally available to ensure continuity of production

Make sure you always have enough money to pay your bills. Speed up how quickly you get paid and talk to your suppliers about when you need to pay them. Regularly look at reports that show how well your business is doing. This includes things like how much money you're making and spending. Follow the rules when it comes to taxes, licenses, and safety. Get insurance to protect your business from unexpected problems.