Running a restaurant is no easy feat. You have to ensure your customers always get the best possible taste and service, irrespective of whether they’re dining in or ordering food online. At the same time, you have to ensure profitability to keep your business running.
This is where tracking your spending can help. However, restaurant owners already have so much on their plates. They can also not spend all their day in the restaurant, making it difficult for them to track every single expense.
If that sounds familiar, we have got a solution for you.
Pricebook is an expense tracking technology that helps you track expenses in seconds so you can dedicate more time to your business.
All you have to do is click a picture of the invoice and track price changes instantly. No more spending time entering the price and quantity of every picture. It will automatically track everything in the image and show you in the app.
If you’re not in the restaurant, your staff can email you the invoice, and you can see it instantly appear in the app. In addition, it will show how the prices compare to the previous purchases, so you know what items have become expensive.
Pricebook allows you to toggle between price changes in the past 24 hours, 7 days, and the last 30 days. However, you can track your expenses for more than a year.
When you have got a complete picture of where and how much you are spending on the raw materials, you can better price your menu for profitability. In addition, you can compare your spending of the last and this month to understand where your expenses have increased.
Everything through your mobile phone – without any manual entries.
The tool also categorizes your spending per supplier. So you know your biggest suppliers and if any of them have increased their prices recently (even if it is as low as $1). It can even extract the SKU codes automatically, making tracking expenses further easier.
The best part? It is free to use. So you don’t have to spend a penny to track your expenses.
Other Methods to Track Your Restaurant Spendings
While the best way to track your business expenses is by using Pricebook, there are other ways as well.
1. Assign Someone to the Job
As a restaurant owner, it is your job to oversee expenses. However, if you cannot manage it, consider assigning someone else to manage the inventory.
They should keep track of every single purchase made in your restaurant. They should also be able to compare the expenses and give you a comprehensive report on how your spending is increasing or decreasing.
However, it is worth mentioning that it will be expensive as you’ll have to shed a salary for an additional person.
2. Organize Your Expense Categories
You should know the top categories on which you’re spending the most money on. For instance, you might be spending more on meat than spices or vegetables. Therefore, it is essential to categorize your spending. Then, compare how profitable those dishes on your menu are. If you aren’t generating enough profits, it’s time to tweak your menu or consider removing the item.
3. Track Every Ingredient Used
It may seem like a waste of time tracking the expense of coriander at the top of dishes (used for seasoning). However, a few coriander leaves multiplied by a hundred plates a month can really be costly.
Therefore, when calculating your restaurant spending, you need to track every pinch of salt, coriander leaves, and everything that goes in a dish. This will help you better identify the cost of each dish so you can price them accordingly.
Tracking your restaurant’s expenses is crucial for success. However, if you don’t know where and how much you’re spending, it can become very difficult for you to make significant profits. To make things easier for you, we have written this comprehensive guide that helps you track your restaurant’s expenses from your phone. Hope it helps!