Keeping on top of wet and dry stock in the hospitality industry
For any venue that relies on the sale of food and drink, stock is perhaps its biggest asset. Imagine popping to the pub for Sunday lunch and being told they have no food and nothing to drink. That pub wouldn't last very long, which is why keeping on top of wet and dry stock should be high on the importance list for any owner.
Regularly check stock levels
With potential slim margins in the food and drink industry, it's extremely important to have an efficient stock control process. You will have a better understanding of what is selling well and consequently what isn't, and also whether there are any irregularities that require further investigation. The data gathered enables you to ensure the right quantities of each item are reordered, taking into consideration delivery time.
Bad stock monitoring will have a negative impact on your cash flow and see your stock rocket, which will consequentially have an affect on your profit margins. It's all about finding the right balance – having the minimum level of stock, but without running short.
If you are a business that offers both wet (drinks sold from a bar) and dry (consumables from the kitchen) then its imperative that you keep the two stock level checks separate – mainly due to the majority of kitchen stock having a shorter shelf life.
Make use of supplier discounts and offers
At a time of ever-increasing costs, using an industry recognised wet stock supplier or wholesaler does come with a number of benefits. As well as having the contacts to negotiate the best deal for you, you'll also receive a number of other benefits, which can have a positive impact on your outlay.
These can include:
- Discounts when you offer more products from one supplier
- The provision of point of sale items, such as glasses, pump clips, beer mats, etc. at no cost
- Promotional opportunities and events which drive customers to your venue
Have efficient accounting practices from the outset
Ensuring good accounting practices from the very start will help to ensure success and longevity. As well as making sure you are on top of your legal tax and reporting responsibilities, keeping track will enable you to see how your business is doing and whether improvements need to be considered.
With bars, restaurants, hotels and cafes facing some complex tax rules and financial obligations, a specialist hospitality accountant is a must to ensure your business is running smoothly and worry-free. Get in contact with your local Perrys branch and speak to our team of experts for further advice.