Restaurant Profit Margin Calculator
Calculate your restaurant's profit margin and analyze your expense breakdown to identify areas for improvement.
Restaurant Profit Margin Calculator
Calculate your restaurant's profit margin and expense breakdown
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Results
Enter values and click Calculate to see results
Understanding Restaurant Profit Margins
Profit margin is a key indicator of your restaurant's financial health. It represents the percentage of revenue that turns into profit after all expenses are paid.
Formula: Profit Margin = (Revenue - Expenses) / Revenue × 100
Industry Benchmarks:
- Full-service restaurants: 3-5% (average)
- Quick-service restaurants: 6-9% (average)
- Food cost percentage: 28-32% of revenue
- Labor cost percentage: 25-35% of revenue
- Rent & utilities: 5-10% of revenue
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