Whether you are opening a takeaway bar or a gourmet fine dining experience, every detail must be considered. Not only are menu prices likely to be one of the first things you think of but also they are one of the most important. Your profits hinge on your menu prices, so here is what to do when putting together your price list.

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Supply cost versus menu prices

It is paramount to consider how much it costs to buy the food you are using when setting the final menu prices. Typically, your prices must reflect 30-35 per cent above the cost of the ingredients for you to make a profit; however, the food type greatly affects this profit margin. Items such as steak are often the most expensive on the menu, which is because they cost around 50 per cent of their menu prices. Pasta dishes and salads are …