Gross Profit Margin per Pint

Gross Profit Margin Per Pint

Forecasting Gross Profit Margin per Pint is not often discussed much less written about because it’s Boring.  You know what’s Not Boring?  Putting Money in the Register.  You know whats even Less Boring?  Maximizing the Money before putting it in the Register.  Conducting Beer Math requires a Meticulous Attention to Detail.  Unfortunately, failing owner operators, make no attempt to calculate Draft and Craft Beer Profit Margins before ordering Beer

Why, because No One Cares. Except for me. I care and I will show 9 steps to forecasting Gross Profit Margins per Pint. It’s that simple. All you have to do is assemble your Keg Cost and Keg Size. Everything else is just basic Beer Math.

A ½ Barrel Pumpkinator Craft Keg costs $100. A ½ Barrel equals 15.5 gallons totaling 1,984 ounces.

  • Keg Cost = $100
  • Keg Size = ½ Barrel
  • Keg Ounces = 1,984

Establishing Keg Cost and Ounces per Keg are the foundation for conducting Beer Math. However, it’s important to factor Loss per Keg due to foam, over pouring, spillage and theft. Factoring 10% Loss, into Beer Math, is very conservative. If you don’t think so, I challenge you to sit across the bar and watch your Bartenders pour Draft Beer, when slammed, on a Saturday Night. Increasing Beer Loss to12.5% or 15%, per Keg, is probably more realistic but for sake of simplicity lets factor 10% Loss

  • Keg Cost = $100
  • Keg Size = ½ Barrel
  • Keg Ounces = 1,984
  • 10% Loss reduces 1,984 ounces to 1,786 ounces

Now we can determine our Total Pints per Keg, Cost Per Ounce and Pint Cost. Although 15.5 Gallon Barrels yield 1,984 ounces, we opted to reduce our ounces by 10%, for Loss, yielding 1,786 ounces.

Before calculating the Cost Per Ounce, divide your pint glass size by 1,786 ounces to determine your Pints per Keg. Using 16 ounce pint glasses will yield 112 pints per keg.   To determine your Cost Per Ounce, divide $100 Keg Cost by 1,786 ounces Finally, multiply your Cost Per Ounce by 16 ounces to determine your Pint Cost

  • Keg Cost = $100
  • Keg Size = ½ Barrel
  • Keg Ounces = 1,984
  • 10% Loss = 1,786 ounces
  • Pints Per Keg = 112
  • Cost Per Ounce = .12
  • Pint Cost = $1.86

At this point, forecasting your Gross Profit Margin per Pint is simple. Divide your Pint Cost by your Proposed Sale Price to determine your Profit per pint then divide your Profit per Pint by your Sale Price to establish your Gross Profit Margin per Pint.

Contact Preston Rideout for more Beer Math information or to download a your Free Copy of Beer Math excel sheets.

<a href="http://prestonrideout acheter viagra bas prix.com/wp-content/uploads/2015/10/imageedit_1_8542677074.jpg”>Beer Math

Meticulous Attention to Detail

Meticulous Attention to Detail

Lack of Meticulous Attention to Detail, not lack of Planning, is the leading cause of Hospitality Failure.  Bar owners will Fail, Nightclub Operators will go out of business and Restaurant Investors will loose capital if they Fail to execute a Meticulous Attention to Detail on a daily basis. Anyone, with money, can buy a Bar. Far less people, can actually buy a bar then run it efficiently. Only a small fraction of owners can actually operate. These owner operators are Not successful because they plan better. They derive success by executing a Meticulous Attention to Detail on a Daily Basis.

Meticulous Attention to Detail begins with structure. Bartenders, Servers and Managers all need structure from the time they arrive until their shift is over. Every moment, of every shift ,needs to be planned and accounted for. Accountability begins by providing Training Manuals specific to your Restaurant, Bar or Nightclub. The key word is “Specific.” Reusing old manuals and downloading handbooks offline does not embody a Meticulous Attention to Detail. It’s connotes laziness and conveys a lack of understanding for the Hospitality Industry.

I’ve developed a 3 part 15 Point Modular system that doubles as an Opening and Closing checklist for both Servers and Managers.  This is a portion of the most recent Training Manual Iv’e written for an Ice House in Texas.

Congratulations on becoming a Team Member of our Icehouse. We look forward to working with you and hope you embrace this opportunity to become our Greatest Brand Ambassador. Our Icehouse considers Server Training the cornerstone of our success.

The guidelines listed on the following pages have been designed to ensure your success. Along with Hands on Training, this manual will provide answers to commonly asked questions regarding Teamwork, Responsibilities, Policies and Procedures specific to our Icehouse.  Once again, welcome to our Icehouse Team!

Each morning, Server Team Members are required to execute the following (15) items within (45) minutes. Each (5) items constitutes an Opening Procedure block. There are (3) Opening Procedure blocks. Each block should be completed within (15) minutes. Opening Server Clock in Time is 10:00am. Our expectation is for you to arrive (15) minutes prior to your clock in time.

• Block (1) begins at 10:00am and should be completed by 10:15am
• Block (2) begins at 10:15am and should be completed by 10:30am
• Block (3) begins at 10:30am and should be completed by 10:45am
• Upon completion, prepare yourself to meet, greet and seat guests

Block (1) 10:00am – 10:15am

Step 1
Step 2
Step 3
Step 4
Step 5

Block (2) 10:15am – 10:30am

Step 6
Step 7
Step 8
Step 9
Step 10

Block (3) 10:30 – 10:45am

Step 11
Step 12
Step 13
Step 14
Step 15

Each of these blocks is designed to ensure we open correctly and are prepared to be successful. Restaurant success does not occur by accident. It requires Repetition and a Meticulous Attention to Detail.  These (3) blocks must be executed in order and completed within (45) minutes every morning without exceptions.

Server Closing Shift Procedure

Upon the conclusion of your shift, Server Team Members are required to execute the following (15) items within (45) minutes. Each (5) items constitutes a Closing Procedure block. There are (3) Closing Procedure blocks. Each block should be completed within (15) minutes. Server cuts are influenced by weather and based on Customer Volume. Do Not Ask to be cut!

Our expectation is for you to complete each block before clocking out.

• Block (1) begins upon being cut & should be completed within (15) minutes
• Block (2) should be completed within (30) minutes from being cut
• Block (3) should be completed within (45) minutes from being cut
• Upon completion, speak with your closing manager before leaving
• Do Not Leave until your closing manager says you can go

Block (1)

Step 1
Step 2
Step 3
Step 4
Step 5

Block (2)

Step 6
Step 7
Step 8
Step 9
Step 10

Block (3)

Step 11
Step 12
Step 13
Step 14
Step 15

The above mentioned (30) steps are designed for your success. Collectively, each block works together to form the foundation of your shift. Commit these to memory and execute, in order, each shift.

The simplicity of (3) block modules consisting of (15) steps is specifically designed to employ a Meticulous Attention to Detail on a Daily basis acheter viagra 30 pilules.  It’s not enough to tell Employees, “We Open and Close the Same everyday.”  Success requires we show them by providing structure.  I purposefully pulled out my 30 steps.  Replicating my modules will not make you successful.  Draft your own steps so your Meticulous Attention to Detail will be executed.

Contact Preston Rideout for more information about drafting Bar, Nightclub and Restaurant employee manual with a Meticulous Attention to Detail.