On-going Accounting Services, Concept Repositioning and Cost Reductions
A high volume Chronicle Top 100 San Francisco restaurant struggled to achieve breakeven sales volumes. Vine Solutions was hired to provide on-going financial management including budgeting, accounting and monthly coaching. After working with ownership and the management team for the past year, the value relationship has strengthened leading to growth in guest counts. Overall ingredients costs have declined from 27.8 percent of sales to 25.0 percent of sales and payroll has been reduced by 7.3 percentage points resulting in a 10.1 point improvement in prime costs. Ingredient costs were improved by focusing management acutely on daily expenditures, costing out of recipes and minimization of waste. Payroll costs were decreased through a reconfiguration of the menu, costed out weekly scheduling consistent with budgetary expectations and the elimination of significant overtime. Vine Solutions meets with the management team monthly to ensure accountability and achievement of budgetary goals. Overall expenses have been reduced due to the provision of timely and accurate information in comparison to budgets developed with the management team.