The restaurant profitability formula ↓ Most restaurant owners think they need more sales to fix their profit problem. I used to think that too until I learned the 30/30/30/10 rule. 👉 30% food costs 👉 30% labor 👉 30% overhead 👉 10% profit If those ratios slip, your bottom line bleeds. Say your manager tells you, “We’re just 3% over budget this week.” Sounds harmless, right? But if your restaurant does $15,000 in weekly sales, that “3%” means $450 gone every single week. Over a year, that’s $2
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The average restaurant owner makes $45K a year. The top 10% make over $260K. What separates them? It starts with menu market fit, designing your menu based on what people near you are already searching for. Google makes this easy. Use the free Keyword Planner tool to see how many people are searching for dishes in your city, then build your menu around that demand. If 500 people a month are searching for Al Pastor tacos in Phoenix…and you’re the one who sells them? That’s traffic you didn’t have
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