Four Recipe Costing Card Musts for Absolute Accuracy
If you have been following me for any length of time you have heard me say the following statement: The two most important systems any restaurant should have in place are budgets and recipe costing cards. Why are these two systems so important? They move you from a reactive form of management to a proactive form of management, which is essential to controlling costs and planning for restaurant profits.
In this episode of my podcast for restaurant owners, The Restaurant Prosperity Formula, I teach you the four things you must be doing when it comes to ensuring your recipe costing cards are accurate. This is important to listen to even if you have recipe costing cards because many restaurant owners who say they have accurate, up-to-date recipe costing cards still have incorrect cards. Bad numbers give you bad results, so listen in to learn how to review your recipe costing cards and update them so they really are accurate and up to date.
Let me give you a preview of what I teach in this restaurant podcast episode.
First, I review why recipe costing cards and a budget are so important, providing you with examples for how they impact your restaurant business.
Next, while I don’t teach you the step-by-step instructions for creating and using your recipe costing cards, I do review the four things you must be doing correctly to ensure they are accurate, which are:
- Yield tests
- The spice factor
- Whether to count paper
- Batch recipes
When you consider that the average restaurant owner runs 7-9 points above their ideal food cost, setting up accurate recipe costing cards – and maintaining them – is essential to bring that cost down, especially because it will help you price your menu items correctly.
If you don’t have recipe costing cards in place, be sure and look up my friends at www.MarginEdge.com/dsp and schedule a demo or to talk with my guy, Bruce. He’s been in the industry for decades and will provide excellent service. They don’t pay me for this; they’re just the best product I’ve seen in food and beverage software, and I want you to be using something that will work for you.
If you have recipe costing cards, it’s time to do a complete review of them and make the necessary changes so you can make the money you deserve.