Financial Overview

Satisfied guests, full tables, and hardworking staff: the key ingredients for success. Until you look at the bookkeeping and see that you’re barely making a profit. Nobody wants that.

Being able to view your revenue and costs on a daily basis allows you to respond quickly to potential issues and prevent them from escalating. It also helps you quickly assess the impact of your decisions and evaluate whether you're meeting your financial goals.

To provide you with these insights, Horeko is introducing the Financial Overview.

The Financial Overview

This new feature gives you a daily and weekly overview in the form of a stacked chart. Essentially, this overview displays your profit and loss statement and includes the following components:

• Total revenue
  Revenue is imported through the POS integration and is shown excluding VAT.

Note: The revenue in the Revenue and Labor widget on your dashboard does include VAT.

• Total Purchase costs
  Similar to Menu Engineering, this is based on the sold quantities of ‘imported’ dishes. We use either the PLU code or dish names, which should be the same in Horeko as in your cash-register. So, make sure all your dishes are in Horeko with their respective PLU numbers.

• Gross profit
  Gross profit is calculated by subtracting the total Purchase costs sold from the revenue.

• Total labour costs
  Labour costs are only calculated if they are registered in Horeko. These are based on the clocked hours and employee contracts to calculate the total labour costs.

• Total fixed costs
  You can manually enter fixed monthly costs via Management (Kitchen/ Employee) > Settings > Stores. Enter these per Store.

• Net profit
  The net profit is what remains after deducting labour and fixed costs from the gross profit.

Getting Started

To ensure all data is correctly imported, it’s important that you have completed the following steps:

1. Set up a POS integration
2. Set up your Stores
3. Entered your fixed costs
4. Updated the Purchase cost and PLU code.
   
   

1. POS Integration
   

   To use the Financial Overview, revenue data is required. This is imported via a POS integration. Manually importing POS data is not possible.

   If you don’t have a POS integration yet, check here to see if there is an existing integration with your POS system, or contact our Customer Support by email at support@horeko.com or call +31 (0) 88-7119711.

2. Setting up Stores
   For Kitchen and Full Suite customers:
   

   Store provide an overview of your different businesses. To manage them, go to Management (Kitchen) > Settings and open the 'Stores' tab.
   Click + New to add a new store.

   For Employee customers:
   Stores provide an overview of your different businesses. To manage them, go to Management (Employee) > Settings and open the 'Stores' tab.
   Click + New to add a new Store.

   This could be just one business, but if you have multiple, you can add them line by line. Then, link the department(s) from Employee to the Store.
   If you only have Horeko Kitchen, link the department from your POS integration.

   It’s possible that the name of a department is the same as the Store name; this is not a problem. Just add the department and save.
   Maybe you have a separate department for the Kitchen and one for Service. Add both to the relevant Store.

   If you have another restaurant, add that as well and link the correct departments.
   Here is an example:

3. Fixed Costs
   Entering fixed costs is done in the same place where you set up Stores. Each store has a column where you can enter the fixed monthly costs. The system will automatically process this information for you.

   Examples of fixed costs include rent/mortgage, insurance, phone, internet, water, electricity, loans, licensing fees, taxes, equipment purchases and maintenance, and other essential costs to keep daily operations running smoothly.
   Unsure what your fixed costs are? Ask your accountant.

4. Calculating Purchase costs (Available for Kitchen and Full Suite customers)
   The purchase casts are automatically calculated, provided that your entire menu (including all dishes, sides, drinks, cocktails, etc.) is entered in Horeko. To ensure all dishes are properly imported, it’s recommended to assign a PLU code to each dish. This is not only helpful for the Financial Overview, but also for your Menu Engineering and Inventory Analysis. You can find instructions on how to do this here.
   
   Once dishes are imported, they are included in the purchase cost calculation. The sold quantities are multiplied by the purchase costs which are based on the ingredients in the recipes, and then totalled.
   

Tip: Make sure to regularly update your ingredient prices so that you're always working with the most current data.

The Financial Overview

At the top pf the page, you can select the desired day to view financial information. By default, all Stores are selected, but you can also choose to view data from one or more specific stores.

The Chart

The chart is a stacked graph, where each layer represents a cost component. Additionally, there are lines for turnover and net profit. The chart shows an overview of your week (Monday to Sunday), and you can hover over it to see details per day.