Restaurant Profit Margin Calculator
Calculate your restaurant's gross and net profit margins, prime cost percentage, and break-even revenue. Make informed financial decisions.
Enter Your Numbers
Total food sales (net of VAT)
Variable Costs
Cost of ingredients and supplies
All wages including taxes
Fixed Overheads
Monthly rent or mortgage
Electric, gas, water, internet
Insurance, marketing, supplies, etc.
Your Financial Summary
Monthly Cost Breakdown
Industry Benchmarks
How to Use This Calculator
Enter Monthly Revenue
Input your total monthly food sales revenue. This should be net of VAT and any discounts already applied.
Add Food Costs
Enter your monthly food costs as either a pound amount or percentage of revenue. Include all ingredients and supplies.
Add Labour Costs
Include all kitchen and front-of-house wages, including taxes and benefits. Enter as pounds or percentage.
Enter Fixed Overheads
Add your rent, utilities, and other fixed monthly expenses that don't change with sales volume.
Review Your Margins
See your gross margin, net margin, prime cost, and whether these metrics are healthy for the industry.
Find Break-Even
Discover the minimum revenue you need to cover all costs and start making profit.
Frequently Asked Questions
Most restaurants operate on thin margins. A healthy net profit margin is 5-10%, with top performers reaching 10-15%. Gross profit margin (after food costs) should be 65-70%. If you're below these benchmarks, look at your pricing, food costs, or portion sizes.
Track Your Restaurant Performance
Servd helps you understand which menu items drive profits with built-in analytics. See what's selling, track trends, and make data-driven decisions.