Old School vs New School – Restaurant Accounting Best Practices

At this year’s National Restaurant Association Show, our Co-Founder John Moody presented a Tech Talk on Restaurant Accounting Best Practices.

In this session, John addressed how to recognize the 10 critical functions of any restaurant accountant or accounting system to ensure financial success for restaurants. He covered how these functions tie together to create the financial picture of the restaurant business, and how small changes can make big impacts on profits.

Here’s an excerpt of John’s presentation. Want to see the whole thing? Contact us and we’ll send it to you!

Restaurant accounting best practices:

  • Restaurant Owners should be asking their accountants and accounting departments
  • Restaurant CFO’s, Controllers, Accountants and Bookkeepers should know forwards and backwards
  • Restaurant Managers are typically doing some accounting functions and should have access to some financial data

Why use an old-school accounting option when there are new-school options available?

Old school:

  • Windows Only
  • Thick Client
  • In the Office Only
  • Servers
  • Heavy Upgrades

New School:

  • Device Independent
  • Browser
  • Tablet
  • Mobile App
  • Updates

To get the most out of your accounting:

Use a Cloud-Based Software

  1. Access system anytime and anywhere
  2. No hardware to maintain
  3. No back-ups to run
  4. Real-time information between accountants, managers and owners
  5. New versions and features typically rolled out faster

Use a modern system with a restaurant accounting structure

  1. Restaurant chart of accounts
  2. Intercompany
  3. No logging in and out
  4. Retail calendar (4-4-5, 13-4, etc.)
  5. Reporting

POS & Accounting

Old School:

  • No POS Data or Detail
  • Manual Entries
  • No Labor Visibility

New School:

  • Drill Down
  • Automatic Journal Entry
  • Full Burden Labor Accrual

Connect your accounting software and POS

  1. Auto-create Sales Journal Entries
  2. Auto-create daily labor accrual Journal Entries (fully burdened)
  3. Allocate payroll between FOH and BOH
  4. Limit the risk for fraud and mistakes
  5. Expected cash deposit starts here
  6. Manage paid-outs

Inventory

Old School:

  • Inventory not Accounting
  • No Inventory
  • Paper Count Sheets
  • Manual Cost Updates
  • Separate Systems

New School:

  • Inventory is Accounting
  • Mobile App
  • Costs Automatically Updated from Invoices
  • Automatic Journal Entry
  • Single System

Count Your Inventory

  1. What part of Inventory isn’t Accounting?
  2. Everything you do with inventory creates a debit or credit
  3. Employees will know you care about inventory
  4. Include Waste and Transfers
  5. Weekly Counts if you want weekly P&L’s
  6. Actual vs Theoretical Report

Want to see the additional sections on Payroll, Bank Reconciliation, Goals and Budgets, Financial Reporting, and Consolidation? Contact us and we’ll send you the full presentation!

Restaurant365 and xtraCHEF Announce Strategic Partnership

xtra-chef-partner

Restaurant365, a leading restaurant ERP platform, has partnered with xtraCHEF, an automation tool for restaurant purchases.

The partnership merges Restaurant365’s expertise in accounting, budgeting and financial reporting software with xtraCHEF’s leading restaurant invoice platform to deliver real-time inventory and cost of goods management data, analytics, and reporting to Chefs, Accountants, and Restaurant Owners.

“We’ve been working closely with the team at Restaurant365 for the past year, and this partnership only enhances the relationship between our two brands,” noted Dayna Barringer, Director of Business Development at xtraCHEF.

Restaurants can spend a lot of time entering physical invoices. Many receive anywhere from 10-15 invoices a day with 20-25 item per invoice. That’s 300 items a Chef has to manually enter.

To help chefs be more efficient, xtraCHEF developed an app that allows restaurants to simply take a photo of an invoice. It’s then translated and the data can be sent directly to Restaurant365.

“Our technologies seamlessly integrate together, enabling Restaurant365 customers to easily take a photo or scan in all invoices including food, alcohol and non-food such as linens, services etc. Our multivendor EDI platform eliminates the manual data entry, streamlines the invoices workflow, and saves time and money,” Dayna continued.

XtraCHEF packages superior technology in a unique architecture that provides a one‐step solution that is both innovative and economical.

Restaurant365’s accounting and operations modules are further enhanced with the xtraCHEF offering, enabling more detailed data to flow into the Restaurant365 platform.

“We strive to offer a very robust restaurant platform and look to strategic partners to provide complementary solutions. XtraCHEF’s ability to remove any manual effort for handling paper invoices provides valuable data that flows directly into Restaurant365’s real-time financial & budget reports, payables processing, and business analytics,” states John Moody, Co-founder and VP Strategic Initiatives.

Restaurant365 and xtraCHEF have a growing number of joint clients that truly look to use the best technology and services to streamline the business side of the restaurant business.

MOD Pizza Celebrating 200-Store Milestone

Restuarant365 client MOD Pizza announced it will open its 200th store this month, reflecting a doubling of the company’s footprint in just under a year.

In 2016, MOD added 100 stores and over 1,900 jobs system-wide, while expanding into six new US markets—Kansas, Kentucky, Missouri, Ohio, South Carolina and Wisconsin—and making its international debut in the U.K.

The company’s milestone location, MOD Westview Promenade, in Frederick, Maryland, is slated to open on January 31.

Scott Svenson, co-founder and CEO of MOD, says:

“At MOD our mission is simple: we make pizza so we can serve people.

We celebrate our growth, and the opening of our 200th store, because it highlights how many Squad members have joined the MOD family.

We now have over 4,000 passionate MOD Squad members who are energized by the belief that a company can succeed when putting its people first.

Thanks to the support of our loyal customers, we’re able to continue our growth, bringing new jobs into more communities and allowing us to support important grassroots causes across the US.

Last year alone, we partnered with more than 185 local charities in communities we serve, donating over $650,000 to organizations supporting at-risk youth and families.”

To mark its 200-store milestone, MOD will be celebrating with a special event on January 24.

For the entire day, at all locations, MOD will be thanking customers by offering $2 off of all MOD-size pizzas and salads.

MOD currently has locations in 20 states, including Arizona, California, Colorado, Idaho, Illinois, Kansas, Kentucky, Maryland, Michigan, Missouri, New Jersey, North Carolina, Ohio, Oregon, Pennsylvania, South Carolina, Texas, Virginia, Washington and Wisconsin, as well as five locations in the U.K.

Restaurant365 Expands to Austin Texas

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We are excited to announce the opening of a new support and sales center in Austin, Texas.

Restaurant365 is committed to offering the best software and support in the restaurant business and expanding to Austin helps us insure we can continue to deliver on that commitment.

We decided to partner with Link Coworking in Austin for our Texas operations. Link was a perfect fit for our team as they were able to offer a scalable work environment as well as the ability to surround our team with a great community of other tech professionals.

Austin was a natural fit for our company as it offered a great work force and restaurant scene. The talent in the Austin area will help us continue to offer the best restaurant management software on the market.

Restaurant365 is continuing to add new team members in our home base in Irvine California and our office in Austin Texas so you will likely be getting a chance to speak with members of both teams.

Now that we are a California and Texas team, we just want to say that we are super stoked for this expansion and we hope ya’ll are too!

Restaurant365 Adds Pictures to Company Announcements

One of the new features of Restaurant365 is the ability to upload images directly from your mobile phone on our R365 App.

You can have managers upload images of LTO menu items or the picture of an employee on their birthday.  Think of it as Instagram within your own company!

 

Morgan Harris

Co-founder  |  Restaurant365

Restaurant365 To Attend NRA Show

NRA Show 2016

We are excited to be attending and exhibiting at the 2016 NRA Show in Chicago May 21-24! This is a 4 day event that will exhibit different ways to gain an edge, solve challenges, grow your expertise and get inspired by the restaurant/food industry.

We would love to meet you and your team at the show. Please schedule a time to come by our booth.

Booth 5557

Restaurant365 to Attend International Pizza Show

Restaurant365 is excited to attend the International Pizza Expo, being held at the Las Vegas Convention Center March 8th – 10th . Restaurant365 will be at Booth 1245 showcasing its software solutions for multi-unit restaurant locations.

The International Pizza Expo is a trade show for the pizza industry (not a public show). Attendees include pizzeria and pizza concept restaurant owners, operators and managers, as well as distributors and food brokers. This is the largest pizza show in the world. www.pizzaexpo.com

Restaurant365 To Attend RFDC Show

Restaurant365 is excited to attend and exhibit at the Restaurant Finance and Development Conference (RFDC) being held at the Wynn Hotel in Las Vegas, Nevada November 9-11. Restaurant365 will be at Booth 823 showcasing its software solutions for multi-unit restaurant companies.

The Restaurant Finance & Development Conference is the restaurant industry’s “must attend” event for growth-minded restaurant company owners and executives focused on the “business” side of the restaurant business. Conference goers attend educational programs which feature practical financial, operational and development topics presented by restaurant industry experts.

Restaurant365 will be demonstrating their new system update to the software. This update includes many enhancements, including additional features, a mobile app for iOS and Android devices, and most importantly, full multi-browsers support for PC, Mac and tablet devices. It is the first and only true cloud-based, restaurant-specific accounting software to run natively on Mac OS devices.

“We are excited to attend this show and to demo the latest release of our leading web-based accounting software. The RFDC show is a huge platform for business owners to grow and change their business and we are honored to be part of this event”, states Restaurant365 VP and Co-founder Morgan Harris.

Come see how Restaurant365 can effectively cut unwanted financial waste and save time so you can focus on operating your restaurant. To schedule a demo please visit www.restaurant365software.com/nra2015

As Seen In CEO World Magazine

Restaurant365 is pleased to announce that On-Call Restaurant Accounting (OCRA) is deploying their award-winning software as their restaurant management platform.

Restaurant365 is providing a co-branded offering of their solution, on the heels of their recent major system update. OCRA’s clients will be using the broad range of modules including accounting, banking, financial reporting, business analytics, POS integration, labor, inventory, food costing, recipe costing, and franchising. Users will access this browser-based solution on PC, MAC and tablet devices. Additionally, OCRA’s clients will now have exciting levels of interaction, integration and reporting of their restaurant financial and operational data.

To view the official press release please visit here.

As Seen in Wall Street Select

We are pleased to announce the roll-out of a major system update of its restaurant-specific accounting and operational software platform. This update includes many enhancements, including additional features, further speed increases, and most importantly, can be used on multiple browsers and devices including PC, Mac and tablet devices. It is the first and only true cloud-based, restaurant-specific accounting software to run natively on Mac OS devices.

To view the official press release click here.