Talk of The Villages Florida - View Single Post - Sawgrass Grove Market - Nothing but the FACTS
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Old 09-13-2022, 12:36 PM
retiredguy123 retiredguy123 is online now
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Quote:
Originally Posted by HawkinsGuy View Post
All business owners wish it were as simple as that calculation. From that $790 you need to deduct the the direct labor costs (which unfortunately have been very high to attract labor from a shrinking pool), percentage of overhead costs (including rent, utilities, insurance, maintenance, taxes, etc), percentage of fringe benefits (health, life, 401k, if any of these apply), and percentage of general and administrative costs like business management, hostess, etc. There is always a higher profit margin in alcohol sales, but the profit surely ain't $790 per bottle of whiskey. And, I'm certainly not suggesting $60 for a shot of whiskey is reasonable. I wouldn't pay that no way, no how. Precisely why I don't drink
I calculated the gross profit, not net profit.