I'm kind of behind on my record keeping. Just finished reconciling my October checking account. The big obstacle is accurately recording payroll to match the withdrawals from the checking account to the payroll company's online reports. Since we pay wages via direct deposit there aren't checks and check numbers that match, and since withholding is paid to the IRS, but is actually a payroll expense (vs payroll taxes which is a tax expense) it all gets somewhat muddled. My accountant helped me determine what account the different amounts need to be recorded to but I think I need to speak to one of the accountants from the payroll company to be sure I'm getting the right numbers in the first place.
At least I'm looking at the numbers and tracking which direction their going. Labor is erratic and has been high this week due to bringing on a bunch of new staff and not knowing what to expect in business traffic. Thanksgiving week is a crap-shoot at best, but we did ok. Still a big drop from the week or so following our reviews but well within the range that I had planned for.
Of course knowing what has actually cleared the bank account is great so I do know that we're on track to be cash positive soon. My expectation was to lose money for about 3 months before having a month with more in the bank at the end of the month than the beginning.
The chart included here shows a blue line that represents dollars "lost" in August (money spent before we opened), Sept, and Oct. The pink line shows sales for Sept, Oct and November (so far). Clearly this is a positive trend, as I have been in places where expenses increased faster than revenues and every extra dollar in the door was accompanied by 1+x dollars out. December is not likely to look better than November as November had 2 newspaper reviews and December will have a few days closed for holidays. January is also a slow month especially right after the New Year.
Brunch has been erratic this weekend. Saturday we saw fewer than a dozen people while Sunday we served over 3X as many people. We're working on marketing brunch more in the neighborhood so hopefully that will be a positive. If you (or someone you know) wants to work service shifts on Saturday and Sunday morning, please drop me a note...
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