Case Study 01 · 12-week engagement
Prime Cost Reduced 7 Points in 90 Days
5-unit fast casual group, Washington DC Metro
The Challenge
This operator's prime cost had crept to 71% — nearly 10 points above their target — over 18 months of growth. They had expanded quickly from 2 to 5 locations and the financial structure hadn't scaled with them. Food cost variance between theoretical and actual was running at 4 points, and nobody on the team could explain where the gap was coming from.
The Approach
We started with a full P&L diagnostic across all five units, identifying that the variance was concentrated in three high-volume categories with inconsistent portioning and unreconciled vendor invoices. We rebuilt their food cost tracking system, renegotiated contracts with their two largest vendors, and installed a weekly prime cost review process with the GM team.
Outcomes
- Prime cost reduced from 71% to 64% over 12 weeks
- Food cost variance brought down from 4.1 to 0.8 points
- Vendor contract renegotiation produced $68,000 in annualized savings
- Labor scheduling rebuild reduced overtime by 34%
- Weekly P&L review process adopted across all 5 units
