Comments on: Conversations about pricing by gross profit http://blog.bodellconsulting.com/2008/02/15/a-conversation-about-gross-profit-pricing/ This is a blog intended to help restaurant and food service owners and managers build better businesses. Sun, 05 Feb 2012 07:04:18 +0000 hourly 1 http://wordpress.com/ By: bodellconsulting http://blog.bodellconsulting.com/2008/02/15/a-conversation-about-gross-profit-pricing/#comment-354 Sat, 19 Feb 2011 15:49:21 +0000 http://bodellconsulting.wordpress.com/?p=16#comment-354 “Gross revenue” is not the same as “gross profit” as discussed in this thread. “Gross revenue” would be the same as “gross sales”. In your example, the gross revenue would be the $75 for food and $25 for drinks. Taxes are not revenue and tips are not revenue. Neither should appear on your P&L either, or be used in calculations for food or liquor costs, labor percentages or key operating ratios.

“Gross profit” as discussed in the conversation is gross sales minus cost of goods and labor costs.

]]> By: RE Barwick http://blog.bodellconsulting.com/2008/02/15/a-conversation-about-gross-profit-pricing/#comment-353 Fri, 18 Feb 2011 23:17:18 +0000 http://bodellconsulting.wordpress.com/?p=16#comment-353 Need a clear definition of “Gross Revenue” for Restaurant Operation.
Meal 75
Drink 25
tax 5
tip 25
total $130
How much of this is “Gross Revenue”

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