Posted by JAMES R. WATSON on September 28, 1998 at 14:27:18:
My question/concern, as the client representative (contract manager) of our onsite food services account, centers around general and accounting expenses and the built in costs of management fees. To better understand the two, I would like to know, from the food service industry standard, what exactly constitutes the G&A expenses (variable and fixed costs). Bear in mind, we provide all facility related costs (i.e. utilities, phone, computer equipment) Then from the Management fee, that which is paid as a percentage on top of revenues made for operating a particular account, is there not duplication in costs from the Management fee to the G&A accounting costs?