Quick-service restaurants operate on notoriously slim profit margins, typically ranging between 6–9 percent, according to a Restaurant365 report. Timely access to Profit and Loss (P&L) statements is crucial for operators to make informed financial decisions and maintain profitability. However, many quick-service restaurants face challenges in receiving their P&Ls promptly, hindering their ability to respond swiftly to financial issues.
The National Restaurant Association reports that the median total sales per full-time employee is approximately $45 per hour, underscoring the importance of real-time financial insights to optimize labor costs and overall performance. Delayed P&L statements can impede operators’ capacity to adjust to market fluctuations, manage expenses effectively, and sustain the balance required for financial success in the fast-paced quick-service industry.
Carl’s Jr. has faced ongoing challenges with receiving P&L statements in a timely and efficient manner. “Some operators weren’t getting their P&Ls until a month later, which meant they were always behind,” says Cody Wong, SDC Restaurants acting CFO. “If you’re running a business and only seeing your financial performance from a period that already ended, it’s hard to make timely adjustments.”
Restaurant365, a comprehensive, cloud-based restaurant management platform designed to streamline operations and address key issues, helped Wong and his team overcome these financial challenges. “Restaurant365 streamlines our processes, making it more efficient,” says Wong. “A lot of manual work was taking up too much time, so our goal was to cut that down and get franchise owners access to their finances much faster. Ideally, they should have at least a preliminary P&L report that is 90 percent accurate, rather than waiting an extra month just to finalize minor details.”
One of the biggest advantages of using Restaurant365 is its automation and seamless data integration. “All of our systems now communicate with each other,” says Wong. “Our accountants can focus on verifying the numbers and analyzing performance. The tool also ensures consistency—our general managers and district managers see the same report, just in slightly different formats. That alignment helps everyone stay on the same page.”
The platform helps manage food costs, labor, and overall profitability through varying features. “The inventory management feature ensures that food costs are accurately tracked and mapped to recipes,” says Wong. “If everything is set up correctly on the front end, you can trust the financial reports with 99 percent certainty.”
One major issue with manual data entry is human error—something as simple as an extra zero can throw off an entire report. “Operators can start doubting the numbers,” says Wong. “If they don’t trust the data, they’ll change every report, and instead of discussing how to improve performance, meetings turn into debates over accuracy. Having automated, error-free data eliminates unnecessary arguments and allows everyone to focus on making better business decisions.”
Since transitioning to Restaurant365, Wong and his team have been nothing but satisfied. “It’s been a game changer,” says Wong. “In this industry, operators need to be as proactive as possible. Getting financials seven days into the period allows for us to react quickly and adjust, which is crucial. Our general managers and district managers love Restaurant365, too. They can now access real-time data, review financials while we’re still entering them, and immediately investigate discrepancies.”
To learn more about Restaurant365, visit its website.
By Abby Winterburn
