PREVRA Calculating Food Cost: Know Your Numbers Before They Know You
A practical food cost calculation chart for UK food businesses. Calculate cost per portion, set sustainable menu prices, and spot ingredient cost creep before it erodes your margin.
Why food cost control is a food safety and business survival issue
Food cost is not just about profit — it affects food safety. When margins are squeezed, businesses cut corners: extending shelf lives, buying from unapproved suppliers, reducing portion-controlled thawing time. A kitchen that does not know its food cost is a kitchen at risk of making safety-compromising decisions under financial pressure.
The average UK restaurant targets 28-35% food cost. But the average hides variation: your high-volume pasta dish might run at 22% while the Sunday roast hits 42%. You need per-dish numbers to make informed menu decisions. An EHO will not ask about your food cost directly, but a well-run business with strong cost controls tends to have stronger food safety controls too — the disciplines reinforce each other.
Using the food cost calculator in your weekly kitchen management
Enter each dish, list every ingredient with purchase cost and quantity used per portion, and the chart calculates your gross profit and percentage. Update it whenever supplier prices change significantly — for many UK businesses right now, that means monthly at minimum.
Review the chart weekly with your head chef. Flag any dish exceeding your target food cost percentage and decide: raise the price, reduce portions, reformulate, or accept a lower margin as a strategic choice. The key is making the decision consciously rather than discovering a loss three months later.
Pair this chart with your stock-taking routine. The gap between theoretical food cost (what this chart says) and actual food cost (what stock-take reveals) tells you about waste, theft, and portion control. Digital SFBB users can link supplier invoices to menu costing, making recalculations fast when prices change.
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