Prepit & accounting software: A recipe for success

Posted 16 months ago

Beyond Excel

Do you use Excel to do your accounting? Probably not anymore, and why would you, it’s time-consuming, complicated and unorganized.

Modern accounting software (e.g. Xero, Myob, etc.) makes bookkeeping so quick and simple, and is more accurate.

So why use Excel (or worse, nothing at all) to do your recipe costing, ordering, prep lists or anything else related to running your food business? It’s time-consuming, complicated and unorganized.

We can all agree that getting your accounting right is important to fully understand the current state of your business and assess how you are travelling financially.

Yet, equally important (and too often neglected) are the foundations for your food business. That is, everything which comes before making any sales (i.e. recipe costing, ordering, stock, staffing, production).

Prepit food management software helps you manage the day-to-day operation of your business.

While accounting software might indicate that your food costs or staff costs are too high relative to sales, it doesn’t show you where the specific problems are or how to actually fix them. Prepit shows you exactly where the issues are and exactly what needs to be done to rectify them.

Accounting software shows you where your business is currently at, while Prepit food management software shows you how to get to where you want to be.

Recipe for success

The recipe for food business success is simple:

1. Identify and set your targets (e.g. food cost % of total sales and staff cost % of total sales).

2. Use Prepit to manage the day-to-day operation of your business (e.g. recipe costing, ordering, manage stock, prep lists, staffing).

3. Use your accounting software to periodically assess the state of your business to see if you are reaching your targets.

If you are not reaching your targets, make the necessary changes in Prepit to ensure you do. If you are reaching them easily, move your targets. This is a beautifully simple and highly effective feedback loop to help you achieve all your business goals (e.g. more money, more time, more flexibility, etc.).

Business owners tend to focus too much on Step 3. (Accounting). By doing so, they waste valuable time and resources scrambling to make changes in the hope of actually getting it right – it’s like playing darts blindfolded! In fact, managing financials and cash-flow is almost impossible if products are not correctly priced in the first instance.

Prepit is equally important and valuable to your business as your accounting software. Let us show you how Prepit can get your business foundations right and manage the day-to-day operations of your food business to achieve all your goals – we’re here to help.

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