Previously included in P&L
NEW Previously missing — now added
Revenue is ramp-adjusted. Year 1 isn't a full year at target capacity. Modeled as: Months 1–2 at 40 covers/day (soft open + ramp), Months 3–6 at 62/day, Months 7–12 at 74/day. Weighted average: 62 covers/day. This is realistic for a strong concept in a good suburb — not guaranteed.
Revenue Breakdown — Base Case
$1,514,000
Dine-In Food (48%)
$598,000
62 covers × 365 × $55 avg × 48%
Dine-In Bar (52%)
$648,000
1.5 drinks/cover avg — bar-forward model
Takeout Counter
$268,000
23 orders/day × 365 × $32 avg
Total Revenue
$1,514,000
Ramp-adjusted Year 1 target
| Cost of Goods Sold | % Rev | ($428,250) | ||
| Food COGS | $598k food × 32% — brisket yield loss pushes this line | 12.6% | ($191,360) | |
| Bar / Beverage COGS | $648k bar × 22% — tallow chips & skewers keep this lean | 9.4% | ($142,560) | |
| Takeout Food COGS | $268k × 30% — sandos have healthy margin | 5.3% | ($80,400) | |
| Packaging & Containers new | Bags, boxes, wax paper, stickers — $13,450 missed before | 0.9% | ($13,930) | |
| Total COGS | 28.3% | ($428,250) | ||
| Gross Profit | 71.7% | $1,085,750 | ||
| Labor — All-In with Payroll Burden (13%) | % Rev | ($567,100) | ||
| Owner / Operator | $90k salary + $11.7k FICA/burden — you run the floor Year 1 | 6.7% | ($101,700) | |
| Executive Chef | $72k salary + $9.4k burden — working chef, runs BOH | 5.4% | ($81,360) | |
| Lead Line Cook (FT) | $23/hr × 40hrs × 52wks + 13% burden | 3.6% | ($54,060) | |
| Line Cook 1 (FT) | $19.50/hr × 40hrs + burden | 3.0% | ($45,830) | |
| Line Cook 2 (PT) | $19/hr × 24hrs — weekend & rush coverage | 1.8% | ($26,800) | |
| Prep Cook (FT) | $15.50/hr × 38hrs — tallow, brisket prep, brioche | 2.3% | ($34,610) | |
| Dishwasher 1 (FT) | MI min wage $13.73/hr × 40hrs + burden | 2.1% | ($32,270) | |
| Dishwasher 2 (PT) | $13.73/hr × 18hrs — busy shifts only | 1.0% | ($14,520) | |
| Bartender 1 (FT tipped) | Employer pays $6.50/hr direct + burden. Tips ~$35–50k/yr | 1.0% | ($14,510) | |
| Bartender 2 (PT tipped) | $6.50/hr × 22hrs — weekend bar support | 0.6% | ($8,400) | |
| Server 1 (FT tipped) | $5.49/hr × 35hrs — employer direct wage only | 0.7% | ($11,290) | |
| Server 2 (PT tipped) | $5.49/hr × 25hrs — lunch + some dinners | 0.5% | ($8,060) | |
| Server 3 (PT tipped) | $5.49/hr × 18hrs — weekend coverage | 0.4% | ($5,810) | |
| Host (PT non-tipped) | $14/hr × 20hrs — front door, reservations | 1.1% | ($16,450) | |
| Food Runner (PT tipped) | $5.49/hr × 16hrs — runs food, tip pool | 0.3% | ($5,160) | |
| Counter Lead (FT) | $17/hr × 40hrs — owns the counter channel | 2.6% | ($39,960) | |
| Counter Staff 1 (FT) | $15/hr × 32hrs — lunch focus | 1.9% | ($28,200) | |
| Counter Staff 2 (PT) | $15/hr × 20hrs — peak coverage | 1.2% | ($17,630) | |
| Pre-Opening Payroll new | 2.5 weeks training before open — zero revenue generated | 1.0% | ($15,000) | |
| Michigan Earned Sick Time new | 1hr per 30 worked — required by MI law for 10+ employees | 0.4% | ($5,500) | |
| Total Labor (incl. owner salary, all burden) | 37.5% | ($567,100) | ||
| Occupancy | % Rev | ($139,500) | ||
| Base Rent + NNN | Rochester 2,400sf — $20/sf base + $10/sf NNN | 4.8% | ($72,000) | |
| Gas + Electric | Commercial kitchen, smoker, HVAC — $4,500/mo avg | 3.6% | ($54,000) | |
| Water + Sewer new | High-volume kitchen uses significant water — $350/mo | 0.3% | ($4,200) | |
| Trash + Recycling new | Restaurant trash volume is significant — $300/mo | 0.2% | ($3,600) | |
| Snow Removal new | Michigan winters — $250/mo Oct–Mar | 0.2% | ($3,000) | |
| Pest Control new | Required monthly service — $125/mo | 0.1% | ($1,500) | |
| Exterior Maintenance new | Parking lot, signage, minor exterior upkeep | 0.1% | ($1,200) | |
| Total Occupancy | 9.2% | ($139,500) | ||
| Technology & Payment Processing | % Rev | ($56,600) | ||
| Credit Card Processing (2.75%) new | 3rd largest restaurant expense — on $1.514M = $41,600 | 2.7% | ($41,600) | |
| POS System (Toast) new | Monthly subscription — $450/mo covers both channels | 0.4% | ($5,400) | |
| Reservation Platform (Resy) new | $400/mo — essential for mid-high dining, manages waitlist | 0.3% | ($4,800) | |
| Online Ordering Platform new | Direct ordering for counter — $200/mo, avoids delivery app fees | 0.1% | ($2,400) | |
| Internet + Wi-Fi new | Business-grade, guest network — $200/mo | 0.1% | ($2,400) | |
| Total Technology | 3.7% | ($56,600) | ||
| Professional Services | % Rev | ($12,600) | ||
| CPA / Bookkeeper | Monthly bookkeeping $750 + year-end return $1,200 | 0.7% | ($10,200) | |
| Legal Retainer | Quarterly check-in, lease review, employment questions | 0.2% | ($2,400) | |
| Total Professional Services | 0.8% | ($12,600) | ||
| Insurance | % Rev | ($14,400) | ||
| General Liability | Standard restaurant GL — $500/mo | 0.4% | ($6,000) | |
| Liquor Liability new | Required for bar program — separate from GL — $400/mo | 0.3% | ($4,800) | |
| Business Owner's Policy new | Covers equipment, property damage, business interruption | 0.2% | ($3,600) | |
| Total Insurance | 1.0% | ($14,400) | ||
| Kitchen Operations & Compliance | % Rev | ($8,600) | ||
| Hood Cleaning (quarterly) new | Required by Michigan law — 4× per year at $500/service | 0.1% | ($2,000) | |
| Grease Trap Service (monthly) new | City requirement for commercial kitchen — $250/mo | 0.2% | ($3,000) | |
| Equipment Maintenance Contracts new | Smoker, refrigeration, fryers — $300/mo preventive | 0.2% | ($3,600) | |
| Total Kitchen Operations | 0.6% | ($8,600) | ||
| Facility & Service Costs | % Rev | ($17,100) | ||
| Linen + Uniform Service | Chef coats, aprons, towels — $250/mo | 0.2% | ($3,000) | |
| Smallwares + Breakage | Plates, glassware, utensils — ongoing replacement | 0.3% | ($4,000) | |
| Cleaning Supplies | Industrial sanitizers, chemicals — $350/mo | 0.3% | ($4,200) | |
| Music Licensing (ASCAP+BMI+SESAC) new | Playing any music in a restaurant requires three licenses | 0.2% | ($3,500) | |
| Bank Fees + Office Supplies new | Business checking fees, printer ink, receipts — $100/mo | 0.1% | ($2,400) | |
| Total Facility & Service | 1.1% | ($17,100) | ||
| Marketing & Brand | % Rev | ($25,000) | ||
| Social Media + Content Tools | Canva, scheduling tools, in-house content creation | 0.4% | ($6,000) | |
| Opening Photography + Video | Essential investment — food photography drives social reach | 0.3% | ($4,000) | |
| Menu Printing (quarterly updates) | Physical menus — quality matters for the brand | 0.2% | ($3,000) | |
| Grand Opening Event | Press, food influencers, media preview — one-time Year 1 | 0.2% | ($3,500) | |
| Digital Advertising | Google, Instagram — especially critical in ramp-up months | 0.4% | ($6,000) | |
| Local PR + Misc | Media outreach, promotions, miscellaneous | 0.2% | ($2,500) | |
| Total Marketing | 1.7% | ($25,000) | ||
| Contingency & Unexpected | % Rev | ($22,000) | ||
| Emergency Repairs Budget new | Refrigerator failure, plumbing, equipment breakdown — always happens Year 1 | 0.5% | ($7,500) | |
| Operational Contingency (1% rev) new | Unanticipated costs that every new restaurant encounters | 1.0% | ($14,500) | |
| Total Contingency | 1.5% | ($22,000) | ||
| Debt Service | % Rev | ($79,000) | ||
| SBA 7(a) Loan — P+I | $500k @ 10% over 10 years — $6,583/mo principal + interest | 5.2% | ($79,000) | |
| Total Debt Service | 5.2% | ($79,000) | ||
Owner Year 1 Financial Picture — Base Case
Total Revenue$1,514,000
Total COGS($428,250)
Total Labor (incl. owner $90k salary)($567,100)
Occupancy($139,500)
Technology & Processing($56,600)
Professional Services($12,600)
Insurance($14,400)
Kitchen Operations($8,600)
Facility & Service($17,100)
Marketing & Brand($25,000)
Contingency($22,000)
SBA Debt Service($79,000)
Net Profit After All Costs$143,850
Owner salary (already paid, in labor)+ $90,000
Total Owner Year 1 Compensation
$233,850
Key Financial Metrics — Base Case
Gross Margin (after COGS)71.7%
Prime Cost (COGS + Labor)65.7%
Labor % of Revenue37.5%
Occupancy % of Revenue9.2%
Net Margin9.5%
EBITDA (pre-debt)$222,850 (14.7%)
Owner Total Comp$233,850 ✓
Breakeven Analysis
Break-even daily covers (with 23 takeout/day)~61/day
Break-even annual revenue~$1,368k
Your target (base) covers62/day ✓
Buffer above breakeven~$146k
Working capital needed (safety net)$75–100k
What Was Missing From The Original P&L — 11 Previously Uncounted Items
Credit Card Processing
$41,600
2.75% of revenue — 3rd largest restaurant cost
Payroll Burden (13%)
$67,800
FICA, SUTA, workers comp on all wages
Pre-Opening Payroll
$15,000
2.5 weeks training before any revenue
Technology Stack
$14,600
POS, reservation platform, online ordering, wifi
Packaging & Containers
$13,930
Takeout bags, boxes, branded materials
Kitchen Compliance
$8,600
Hood cleaning, grease trap, equipment maintenance
Water, Trash & Snow
$10,800
Utilities beyond gas/electric — all required
Liquor Liability Insurance
$4,800
Separate from GL — required for bar program
Music Licensing
$3,500
ASCAP + BMI + SESAC — legally required
Michigan Sick Leave Act
$5,500
1hr per 30 worked — required by state law
Contingency Reserve
$22,000
Unexpected repairs — always happens Year 1