Your restaurant profit margin can be influenced by a wide range of factors that you control such as locations, menu options, and pricing. But there are also many circumstances that may be beyond your control like the health of the economy and dining and health trends.
Understanding your average profit margin will help you track your restaurant’s financial health and show you where you can improve operations.
So, what is the average profit margin for a restaurant? This is a crucial, but tough, question to answer. While profit margin is a widely discussed metric, it can be difficult to fully understand everything that affects its calculation.