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View Full Version : What percentage of sales should be your lease?


GrillsGoneWild
02-12-2014, 09:41 PM
I know that under 25% is a good number for your food cost, but what should your lease amount be?

Redheart
02-13-2014, 08:56 AM
25% food cost is downright great! Unless of course you're planning on a snobby little high end tapas bar. But for QSR 33% is considered a good budget line.

Occupancy costs in a quick serve environment should run 10%. I say Occupancy costs because you may have CAM fees, plus your insurance etc which all need to be calculated in. But over all I want my rent to be 5-6% of gross sales and not more than 8%.

erandolph
02-20-2014, 01:34 PM
^^^^what he said.