what is the average profit margin in the food business?
111364
This is something you'll need to look for from Standard and Poors. They have industry ratio information. You might also want to check out the bls.gov
552618
right NOW my job is quite secure... but it's impossible to predict the impact the economy might have on it down the road.\n\nthe effect snowballs as people have less disposable income, and they spend less on non-essential items (such as eating out: i work in a restaurant.)  fewer customers lead to fewer employees needed, so the ones that remain are forced to work harder to cover the slack.  and as the cost of the raw materials (in this case food) increases due in part to higher transportation costs, the profit margin shrinks to a barely manageable level.  \n\nit is a scary time for small business owners and employees alike.  a one-word description for the way i feel about the whole economy is "cautious"... we are in uncharted waters.
1055396
I just bought one... Best way is to get an accurate income (their may be money sliding by to keep the taxes down).  Accurate costs is also needed, food mainly but don't forget payroll, water, electricity, taxes and insurance... The rest is pretty much like any real estate.  Is the area growing?... Restaurants are also seaonal, this month may provide a significant income but december may lose money, look at the year not the month, sometimes it helps to look at the last 5 years, which can help you predict the next five... \nA huge question is... If it is doing so weel why sell it.... The restaurant business is a trench fight and buying an establish money maker is the way to go
927925
The statistics for new business restaurants are pretty grim.  Unless you have a location where there is little competition, or a specialized menu, it is a tough way to earn a living.  \n\nRestaurants require a healthy inventory of perishable items, and if you don't have the traffic, it is lost.  Even frozen foods have a shelf life.\n\nI don't mean to sound discouraging, but that is one business where I wouldn't get too involved with loans, etc.  If the business fails, you can find yourself out in the cold, burdened with debt and with a ruined credit rating.  \n\nApart from inventory, there is all kinds of specialized equipment and public regulations, to say nothing of some pretty pricey insurance premiums to consider.  \n\nDidn't mean to rain on your parade, but hope you will be realistic in your thinking.  If you have a special dish, why not try to market it to an existing restaurant and get yourself a job as one of their pet chefs.\n\nMy hubby worked in insurance before retirement, and the highest business turnovers were in the food industry.
145610
One, his answer is true, but, in competition, you loose money on one part, but make up profit in another.  Say like for instance in Wal-Mart.  Every customer needs household chemicals, foods, etc.  Not every item, will you be losing profit.  You still have your higher profit items, that a good merchant will push to make up for in sales.  For instance, if you are losing profit in paper towels, than you will cross merchandise a paper towel holder, that is at a 50% profit. Also, if you bring in the customer, there is still that high profit department, that a customer will shop.  A good business knows how to equal out the margin. The only downside to competion, is within the businesses.  If a business can't hang with another, or know how to manage, their money, staff, and most importantely, how to take care of the customer, than they will loose.  A good merchant doesnt see a loss, but see's profit.
310866
You need to be more specific.  For example, in the long run and in a perfect competition industry, profits go to zero.
781006
The US Bureau of Census conducts an Annual Retail Trade Survey http://www.census.gov/svsd/www/artstbl.html\n\nIn 2005, the total retail and food services sales is $ 4,115,815 (in millions of dollars or 4.115 trillion ) http://www.census.gov/svsd/retlann/view/table2.txt
982689
Here's the method (you can do the calculations yourself, surely).\nMaximize the profit xp(x) - C(x) over x: work out d/dx of the profit, set it equal to 0, and work out x. That's the optimum (profit-maximizing) quantity. Then put this x into the formula for p(x) = ... to work out the price. Finally, put this x into the formula for the profit: it is xp(x) - C(x) = ...
793621
Most of the profit making of a store is actually VERY SMALL.  Most stores have sales in the way of what is called "loss leaders".  These are things like paper towels, toliet paper, sometimes meats, frozen foods etc that they place on SALE and are not making money on.  But while you are in the store puchasing these items, you pick up milk, pasta, bread and so on.  They make money on the stuff you pick up a dime at a time on the extras that go in your basket.  Most of the items they are making money on is placed on what are called ENDCAPS.  The ends and beginnings of each aisle.  Also by the checkout lanes, when they have one last chance for your kids to beg for candy, gum and you can pick up your latest issues of the Enquirer and see what Anna Nicole is up to this week.  Thats the last area before you leave the store for them to pick up a few more dollars off you.  Hope this helps you.
1084555
FIFO, LIFO, and Average Cost generally refer to merchandise, especially food inventory. I'm not sure it really applies to stocks.
950446
Cost to produce/market the product.\nGoing rate for similar products.
234039
There is something you need to figure out,  What is your desired profit margin?  What proce is fair for your product?  Do intend to make your money selling mass quantity or by selling quality.\n\nYou need to price your product to be competitive with other like priducts on the market.  You will need to point out what makes your product better and unique in your marketing stategy.\n\nRemember a product is only worth what the customer will pay, also you have to make a profit or your factory will close.\n\nFind a happy medium.\n\nIf you have any other questions feel free to email me @ abrinegar@yahoo.com
841494
as with any business, you would like a growth and profit from everything you do...movies are touch and go. usually the margin is 10% in big production companies. up to 12%. any double-digit gain over cost is considered a success. this helps the company market other projects they feel may not be so profitable...lets them take risks.
452801
I have worked on underwriting some loans provided to gas stations and typically for a business of $1MM - $3MM, you have:\n\n1/ 17.2% gross profit margin.\n2/ 0.9% operating profit margin.....very tight margins in general in this industry.\n3/Current ratio of +1.8x and quick ratio of +0.7x.\n4/ Debt to net worth ratio of 8.0x or lower....\n5/ Return Of Asset of 5.1x
746118
How much more are you selling the item for than what you paid for it?\n\nSay you obtained a widget for $100.  If you sold it for $150, then the [simple] profit is 50%, since 50/100 = .5 = 50%.\n\nIn reality you would have to take into account things like opportunity costs, wages, store costs (if a store is involved), licensing, taxes, etc.  But above is how you get a simple profit rate or percentage.
991136
gross margin percent is the proportion of the sales price that is left after paying for the goods/services being sold.\n\n(sales - costs)/sales= GPM
210700
7-11 stores are all company owned and operated.  You can not own one.  You might think the profit margin is good, however the markup on the types of items they sell is small.  They rely on volume and higher cost for convenience.  You would probably make more money being a management employee than gambling in this business.