Hospitality GP calculator.
Work out gross profit percentage, cash margin and target menu price for any food or drink item. Built for UK chefs, restaurant managers, pub operators and hotel F&B teams. Free, instant, no signup.
Enter your numbers
UK on-trade food & drink is normally 20%.
Result
To hit 70% GP
How GP works
The formula in one line.
Gross profit % = (selling price ex VAT − cost) ÷ selling price ex VAT × 100. Always calculate GP on the ex-VAT selling price — using the gross price inflates GP artificially by up to 20 percentage points.
Typical UK benchmarks: restaurants and gastropubs target 68–72% food GP; wet-led pubs sit at 55–65% drink GP; hotels vary by outlet mix.
Losing GP to price creep?
Fix the input, not the menu.
Most GP slippage comes from supplier price drift, not menu design. Cater Source Network runs supplier-funded tenders that lock in prices for the contract term — 1 to 3 years typical — so your GP holds instead of silently eroding.