by PBS Inc - RL Adams on 10/27/15
I joined a live webinar today with Restaurant Boss, Ryan Gromfin. This was an informative session that focused on several components restaurants need to work on to be successful. However, I narrowed them down to 3 key areas that I found to be especially useful:
1) Attracting more customers by "Building a Reputation"
2) Executing service by "Exceeding Expectations"
3) Increasing Profits by "Automating Systems"
He elaborates on these components with several more detailed tips such as getting your business involved with the community at community events and functions to "build your business reputation."
However, because my main interest is in helping restaurants and bars understand their business from a financial perspective, I honed in on #3, Increasing Profits through "Automating Systems." Here Ryan emphasises the use of point of sales systems and acquiring real time financial data through a business accounting system. He stresses that restaurant and bar businesses need to have complete financial data within 5 days to a week once a month at the very least to evaluate business profitability. The reason this is so important is so that the business owner / manager can measure and adjust costs/expenses to income/revenue. Any increase or decrease in these numbers can be acted upon immediately to eliminate future problems such as over-buying of food, rescheduling of shifts if labor hours are too high, etc.
As an accountant, I often witness owners struggling to maintain budgets because real-time financial data is not readily available to them. One of the most effective and quickest solutions to this dilema is to utilize a cloud based accounting software such as QuickBooks Online. Since financial data can be easily downloaded into the system within minutes, the owner / manager can run reports that provide them with this information as often as needed and make adjustments necessary to meet their budget goals.