Why isn’t your Takeaway Profitable Enough to Call it a Success?

There are many people who decide to enter the takeaway business but find it very hard to survive in it. Having to close down a takeaway business can be a very frustrating experience and the financial loss that it entails could be quite painful. Most of the cases of people who find themselves get trapped in a situation like this are inexperienced people who didn’t get organised well enough to confront the obstacles of their new venture. However, there are specific points in a business that if studied properly and beforehand can certify a business’s success in the future.

Study your expenses

First of all, if you are entering this field you need to study your expenses very carefully. Diving in a new business that you are not familiar with is strongly not recommended. The more experience you have gained prior to opening your own business the better. Having worked at a similar place can help you make accurate calculations of your costs. Restaurant managment software can halp you solve all the problems

Fixed and variable costs

It is very important to have made your calculations of your fixed and variable costs since it is them which when subtracted from your revenue will give you your final profit. Fixed costs are the costs of your business before any sales have been generated. Rent, electricity, water, council tax and wages need all to be calculated and negotiations for better prices take place where possible. A cheaper rent can prove to make a huge difference in your profits. Or, cheaper electricity can manage to cover few shifts of an extra employee.

The same way that you study your fixed expenses you should have taken the time earlier to have gone through an extensive research of your variable costs which again can have a tremendous effect on your profits. Usually, takeaways bring in high revenue which means the money that they bring from sales only. If you have put the effort to find better prices for your ingredients you will be surprised to see what effect that can have on your profits. If your takeaway makes most of its revenue selling burgers you must search for alternative sources of meat (without bringing in any meat of a lesser quality than the one your customers are already used to). Of course, if you want to make any changes to your menu by adding new products you need to do that gradually asking your customers to test them with no extra charge. Their opinion should be highly valued.

Break even

 Having calculated all your expenses and having made an extensive research on the best products you want to sell, it’s time to make your calculations applied to a single product sold. Once you do that you will know exactly how many pieces you will need to sell every day in order to cover your expenses (break even) and finally make your profits.

Being exact can help you a great deal take the right marketing actions later to either increase revenue to break even or if you already manage that, increase your revenue even more in order to enjoy more profits.


We outline 10 key points of marketing which if followed correctly and you do

 study your business as previously discussed can certify a successful business.

1.     Location

2.     Quality of products

3.     Uniqueness of products

4.     Takeaway menu distribution

5.     User friendly menu

6.     Quality

7.     Hygiene

8.     Superb customer service

9.     Active Online presence

10. Offers/deals