How to check profit after a catering event
Once the event is over, collect the final food, labor, rental and transport costs. Compare them with the accepted quote, not a draft price that the customer never approved.
Use the accepted price
In this sample, the customer accepted version 2 for 60 guests at $1,626.67. The estimate behind that quote included $1,220 in direct costs and contingency, leaving $406.67 in estimated profit at the quoted price. Keep the accepted price fixed while you enter what the event cost.
Enter the final direct costs
The final food bill is $780. Labor is $350, rentals are $100 and transport is $60. Those final direct costs total $1,290. A contingency is a planning allowance, so do not add the earlier $50 allowance again unless you paid a separate cost and record it in the right category.
- Food: estimated $720; final $780
- Labor: estimated $300; final $350
- Rentals: estimated $100; final $100
- Transport: estimated $50; final $60
- Contingency: estimated $50; no final-cost line
Calculate the result
Subtract $1,290 in final direct costs from the accepted $1,626.67 price. Realized profit is $336.67. Divide $336.67 by $1,626.67 for a realized margin of 20.70%. Food, labor and transport account for the $120 increase from the estimate before contingency. Review invoices and payroll records for missing costs before you rely on the result.
Check the scope of the number
This review covers the direct event costs you enter. It does not account for sales tax, service charges, gratuities, overhead or costs you leave out. A deposit changes how much the customer still owes; it does not change the agreed event price used in this comparison.