Dish Margin Calculation
| Ingredient | Qty / portion | Unit | Price / unit (€) | Cost (€) |
|---|---|---|---|---|
| Selling Price | pcs | — | ||
| Food Cost | pcs | — |
Cost per Portion
€0.00
Total Batch Cost
€0.00
Professional Tips for Accurate Costing
- Gross margin target: 65–75% (food cost 25–35%).
- Rank every menu item by margin contribution — focus marketing on the top 25%.
- Bestseller × margin = profit driver. Identify and protect these dishes.
- Review margins quarterly — ingredient prices drift up 4–8% per year on average.
Frequently Asked Questions
Margin = (Selling Price − Food Cost) ÷ Selling Price. €30 sell − €9 cost = €21 ÷ €30 = 70% margin.
Gross food margin: 65–75%. Net business margin after labour, rent and overheads: 8–15%.
Re-engineer the dish (substitute cheaper components without quality loss), raise the price 2–3%, or remove the dish entirely if it underperforms.