Everything you need to know to maximise profitability for your business
It can often be difficult to see how your restaurant or chain of restaurants is performing across the whole business and even more challenging to keep your finger on this pulse. You may have a few different operational systems which you have to log into individually before this data even starts to find its way into your accounts.
This can also be complicated depending on whether your accountancy software copes with 4-4-5 or 13, 4-week periods. If not, you can end up with a mishmash of Excel schedules and reconciliations in order to check the financial data you are looking at is correct. Having worked hard to automate and integrate your financial systems and potentially spent a bit of money doing it, it can be frustrating to realise that all of these items are still not completely sorted, not to mention you will most likely need to invest more time and funds in order to get accurate numbers and insightful reports.
The key to unlocking this area is making sure you have the right systems and that they are all automated, which, when put in a sentence, sounds simple but can be difficult. There are several outsourced accounts providers out there, but are they actually using software which is specific to the Hospitality market? Often not. This may lead you to ask yourself whether their process is as efficient as it could be if their product is not specifically designed for your industry…
There is a way to make sure that you have all the data you need in your business in one set of real-time online reports which is integrated to your operational and financial systems. With all your systems combining and using the same information you create one source of truth. This means you can rest-assured what you are looking at is correct and, if done in the best way, available at the click of a button. Working this way you will be able understand every metric of your business including sales by day part/product type/employee, sales mix, performance of Food Delivery Partners, average transaction values/number of transactions total and by day part, wastage, labour hours/cost %. Simply put, this is anything you would like to analyse about your business. This data can then be displayed either by store or across the whole company, giving you the ability to interrogate all elements of your business up to yesterday.
Using the same data, you can then integrate into your accounts system and post any necessary transactions, so the accounting process is approximately 80% automated. What’s more, if you select the right accounting package with accounting period functionality, you would also have this then posted into your 4-4-5 setup or whichever combination of weekly accounting periods you have selected, automatically, every day. Combined with some scanning technology, bank feeds and integrated payroll, you have reached the holy grail of automation.
With all this data at your fingertips, you will be able to empower restaurant managers to understand their KPI’s and make the necessary adjustments to improve profitability in each site. Plus, with 80% of the accounting automated, you can either reduce an outsourced accounting cost or use internal staff to liaise with the operational team and help them understand areas to improve and analyse the numbers. Everyone will be focused on the true goal of the business and not mundane processing tasks. You also don’t have to wait weeks after a period end to get your final accounts as the bookkeeping can be kept up to date daily, meaning you can close days after the period end.
We work with over 250 restaurant sites to automate accounting and provide real-time analytical reports. It is a personalised service to deliver a solution tailored to your own needs, increase profitability and get more out your staff. If you would like to know more, please contact us on our website: www.4pointzero.co.uk.