Posted by janet on April 12, 19100 at 19:24:43 :
In Reply to: Re: closing retail space and only catering posted by Timothy Banning on April 08, 19100 at 14:04:49 :
: 35% of the revenue but how much of the cost? Where I am now We used to have a restaurant it was 50 % of the revenue but 75+ % of the cost. We closed that and suddenly a profit appeared.
We did the same thing about 8 years ago. Our bakery-deli involved many long hours and tons of staff to run. Our catering was being done out of the same space at the same time and we were always tripping over each other. I don't regret having the bakery-deli because it established a base for us and gave up a clientle that I still have today.
When we did quit however, I had more time with my family which was really important and it gave me time to concentrate on that $4000. catering function instead of that $.75 brownie. Staffing costs went down. Profit went up. But taking the leap was scary. Trust your instincts and you'll be OK . It sounds to me like you have already made the decision