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LETS GET DOWN TO BUSINESS.

Question :
Business plan

We’re trying to complete a business plan for a eatery and this is the first time we’re setting something up like this. How are we supposed to gauge the sales apart from sitting outside a competitors store seeing how many people come in and out?
Also how do we determine costs vs sales with such products as food bowls ?

Question submitted 19/02/21 @ 05:41am
Industry: Food & Beverage
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    Hi Blair,
    Great question. Yes counting numbers at what you consider to be an equivalent establishment could help. Some other thoughts;
    – have you used dr google? Often great insights online.
    – contact the restaurant association and see what guidance they can offer you.
    – get a mentor – find someone who has done this before and is happy to share some experience and wisdom. Most people are really generous so work out who your dream would be and give them a call! You can find a lot of names on public record or through articles in publications like The Denizen

    The cost vs sales question really needs some sector expertise so hoping some one else will come back to you on that one. Thanks! Vicky

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    a couple of thoughts to add. 80% of the volume and sales happens in 20% of the time. When is the busy time and what is the busy day(S) watch then…you will get a feel for the passing trade and traffic and custom base, you can extrapolate the rest, an average spend can be estimated in a range.
    Costs wise …weigh your ingredients and add a cost per kilo you can work our the cost and sale and margin and helps you manage your costs (dont overadd the expensive ingredients, but also aim ofr consistency…notice the way sub way manages their portion control.) Hope this helps

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