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Price Your Menu Items Accurately

As a restaurant operator, setting the price of each item on your menu is not a quick task. However, the selling price of entrees, side items, and even beverages is crucial to the success of your restaurant in many ways.

You want to make sure that your menu is priced fairly to your customers but yet ensure that you make a fair profit. You can't just price a hamburger or steak at the same price as a competitor down the street and expect to make your profit goal.

You have to price your menu items according to your operating costs which can vary greatly from location to location. Also, you have to consider what you pay for the food you sell and what size portions you serve. Of course, you have to take into consideration how much money you spend for payroll and operating supplies.

So each restaurant is different. This is especially true if you serve foods and dishes that you have no direct competitor. In this situation, you must price your menu so that your customers get a great value and will come to you instead of driving several miles into the city where they can find the same food you sell.

So how do you "cost out" a menu - the common terminology for setting menu prices.

We at RestaurantMgmt101.com have created a form for you that will make the task much easier and very accurate. It is the MRP form, or the Menu Retail Price calculator.

With the MRP, you can determine the true cost of any entree, side dish, or beverage. Simply enter information into the MRP and it does the rest.

The MRP will tell you the exact cost and then tell you the selling price for that item to meet your required budget.There are 10 predetermined food cost percentages that you can choose from to set you menu retail price. Or, if you prefer, you can type in the selling price you want and the MRP will tell you the food cost percent and the gross profit margin for that item.

Pretty awesome, huh?

We feel that the MRP is a tool that every independent restaurant operator just can't do without. Inside the program is specific, step-by-step instructions to using the program. Click MRP for further details.

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