Restaurant food cost calculator
Your true food cost in 60 seconds — VAT stripped correctly, benchmarked against the UAE standard of 28–32% of net sales.
POS totals are usually VAT-inclusive. We divide by 1.05 to get net sales.
Reading your result
- Under 28% — strong control, or check for unrecorded purchases
- 28–32% — the healthy band for most UAE full-service restaurants
- 32–35% — watch supplier prices, portioning and wastage
- Over 35% — money is leaking; worth a proper investigation
One month is a data point; a trend is a diagnosis. Our monthly management reports track this number automatically, explain the movement and reconcile it to your suppliers and inventory counts.
Get a free food cost reviewFAQs
How is food cost percentage calculated?
Food cost % = (Opening inventory + Purchases − Closing inventory) ÷ Net sales excluding VAT. Using VAT-inclusive sales understates your true food cost — this calculator strips the 5% for you.
What is a good food cost percentage in the UAE?
Most full-service restaurants target 28–32% of net sales. Delivery-heavy and QSR concepts vary. Above 35% usually signals portioning, wastage, theft or supplier price creep worth investigating.
Why do I need inventory counts?
Purchases alone overstate or understate consumption depending on stock movement. Month-end counts turn purchases into true cost of goods consumed — the number that actually reflects your kitchen.
Want this tracked for you every month?
Our MIS reports include food cost, channel sales and branch P&Ls — delivered by the 5th.