Profit and Menu Items
Profit is calculated by subtracting a Menu Item’s Total Cost from the Menu Item’s Price.
Total Cost of Menu Items
The Total Cost of a Menu Item is Food Cost plus Labor Cost, if any.
Food Cost is the total cost of the components in a Menu Item. These components are the Ingredients and Recipes used to produce the Menu Item.
Labor Cost is the total cost of activities used to produce a Menu Item. This calculation includes the labor cost of used to produce the Recipes in a Menu Item.
The Labor feature is available only on web app. It is not yet available on iOS and Android.
When you create a new Menu Item, you should enter a Price. This is selling price of the Menu Item. You can edit this price anytime.
Use Plan Specials to set a Special Price for a Menu Item. This is useful for promotional discounts, limited time offers, and more.
Fillet will calculate the Profit by subtracting a Menu Item’s Total Cost from the Menu Item’s Special Price.
Gross Profit Margin
Use Calculate Gross Margin to calculate cost versus profit.
Fillet helps you see which Menu Items produce the highest Profits or are the most popular.
Fillet shows you monetary amount of Profit as well as Profit percentage (%).
Enter the different amounts of Menu Items that you sold and Fillet will calculate your overall Profit Margin.
You can also compare factors affecting your Profits:
- Amount of sales
- Variable cost
- Fixed cost
- Total cost (variable cost plus fixed cost)