Originally Posted by CrackerJack from KC
Let's do some math here, you will be surprised what it cost when you or I cook the food.
This is KC prices, inflate as necessary to make NY prices.
12 pound packer at $3 per pound = $36
This probably actually yields 7 pounds of meat.
Fuel for the cook $6
Paper Towels/Gloves/Aluminum Foil $2
Disposable Cutting Board $1
Cost for capitial expense of buying the Smoker Cooker, cutlery, temp control $5-$50 depending on how much you spent and how often you use it.
BBQ Sauce $2
I am sure I am missing stuff, but we are at between $56-$100 for that 7 pounds of meat so between $8-$14 per pound of cost. That doesn't cover any labor, overhead or profit AND those are Kansas City Prices.
$25 in NYC for good brisket is a very reasonable price.
I think your numbers are spot on for just about anywhere, the overhead costs are what gets you. For the restaurant business, you can figure overhead and labor at 30% to 40% of total cost to customer. At $25, that would mean that each pound of meat has indirect overhead costs of $7.50, add that to your base cost of $14 a pound, and you find that you are at $21.50 per pound/cost out the door. A 14% margin, if you assume national average costs.