Cash Flow Control: The Real Health Check for Your Restaurant
Profit doesn’t pay the bills — cash does
You can show a profit on paper and still struggle to make payroll. That’s because cash flow, not profit, keeps restaurants alive.
Understanding when cash comes in and goes out — and how to predict it — is the difference between operating comfortably and constantly reacting.
Why cash gets tight even when sales grow
Timing. Vendors need payment before the weekend rush; credit card deposits hit days later.
Seasonality. Even steady restaurants have slow months that drain reserves.
Expansion. Adding locations or equipment creates upfront costs long before revenue catches up.
Surprise expenses. A failed walk-in cooler can wipe out a week’s margin overnight.
Cash crunches are rarely about bad business — they’re about mismatched timing.
How to regain control
1. Forecast 8–12 weeks ahead.
You don’t need fancy software — just list upcoming expenses, payroll dates, and expected deposits.
Knowing what’s coming turns panic into planning.
2. Separate operating and tax accounts.
Set aside 10–15% of revenue weekly in a dedicated tax account. It keeps surprises from IRS notices at bay.
3. Use rolling cash dashboards.
Your accounting system should show upcoming payables, payroll, and expected deposits in one place. We build dashboards that do this automatically so you know your burn rate every week.
When to seek outside help
If you’re consistently short before payroll, even with steady sales, you may need:
Vendor term reviews (30→45 days can make a difference)
Menu margin rechecks (prices may no longer match COGS)
Capital restructuring (too much short-term debt)
A controller or outsourced CFO can help diagnose and fix recurring shortfalls before they become crises.
The Steady Plate approach
We build restaurant-specific cash flow forecasts that tie directly to POS, payroll, and vendor data — so you see your true cash position daily, not just when QuickBooks updates.
Know your cash, plan your moves, and stay in control.