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Do you know your menu's profitability ?

What is the most frequent cause for so many failures in the restaurant business?

Statistics of highly regarded institutions as the Medium and Small Company Backing Center, SEBRAE, probed that out of a hundred entrepreneurs that initiate into the restaurant business, eighty do not manage to complete the first year of activity. Do you know why? Due to the lack of basic financial administration skills such as cost, price, profit, taxes and profitability analysis.

On certain occasion, the program's author was approached by a restaurant lady owner. "I am in the restaurant business for over a decade" -she explained- "and I am not sure whether I'm making or loosing money". "I have already sold a car and an apartment on the beach". "I acquired them with the restaurant profits and now I am disposing them off to keep the restaurant running". "Could you make a diagnosis of what is wrong with my restaurant?" - she asked. The author accepted the challenge, and thus, he initiated himself as gastronomy consultant - financial emphasis.


The restaurant consultancy filled the author with great enthusiasm in such a way that he ended up by developing a software on financial management for the foodservice sector.

In order to set up the program in your restaurant, you have to acquire the software and sign a support contract with CostPlan Consulting. The software setup will be under the supervisory responsibility of your company, hereafter called the Contractor, who will work under the supervision of CostPlan Consulting, hereafter called the Consultant. The data research and retrieving of information for building up the database will be under the responsibility of the Contractor. The person in charge of releasing the information will have a deep knowledge of all the foodservice operations, mainly those connected to purchasing and cooking. Furthermore, the Contractor will have to appoint a person with basic knowledge of computer operations, particularly worksheets. The basic scheme for the organization of information and setting up the system, will be under the Consultant responsibility by e-mail. By way of illustration, the database building up will imply in the execution of the following tasks:

  Work out a register for your recipes and menus;
  Work out a register for the ingredients you use;
  Work out a register of ingredients weight and waste;
  Work out a register of standard operacional expenses, taxes and others;
  Work out customized technical cards;
  Figure out sale prices;
  Profitability analysis.
The consultancy will monitor the database buildup processing at distance by e-mail and proper forms.
 Common Questions:

How could I know whether am I making or loosing money at my restaurant?

Is the tax burden a cause for my restaurant's failure?

Where my yield is better off, on my financial investments or in my restaurant?

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