which PH'r will finish this first?
Discussion
CarTimeNow said:
this seems to be on a cotty scale when it comes to portion control
£10 ,mmm something does not quite compute . Other than the free publicity 
calibrax said:
Perfectly doable at that price. The most expensive ingredient will be the beef... 1kg of "value" mince is £3.34 per kilo retail at Tesco, and of course a caterer bulk buying won't be paying even that. So that leaves £7 for the rest of the ingredients if they aim to break even.
No it isn't. In the description there are onion rings, chips, cheese, huge bread bun.
+ energy to cook it and 2hrs to make it.
So if your gas and ingredients come to £5 someone's working for less than £2.50 ph
If they come to £4 less than £3ph
+ overheads, they are making a loss surely...
Evoluzione said:
No it isn't.
In the description there are onion rings, chips, cheese, huge bread bun.
+ energy to cook it and 2hrs to make it.
So if your gas and ingredients come to £5 someone's working for less than £2.50 ph
If they come to £4 less than £3ph
+ overheads, they are making a loss surely...
Ingredients... well, onions are dirt cheap. Same goes for chips, plastic cheese and a bread bun. You could buy all those in for well under £2. But let's say it costs £2.50 to be REALLY generous.In the description there are onion rings, chips, cheese, huge bread bun.
+ energy to cook it and 2hrs to make it.
So if your gas and ingredients come to £5 someone's working for less than £2.50 ph
If they come to £4 less than £3ph
+ overheads, they are making a loss surely...
Gas... it will be cooking for a few minutes at most. Let's be really generous again, and say £1 of energy.
Overheads... well, the burger will only attract a tiny portion of their overheads, assuming they make considerably more revenue than £10 per day. If they make £1000 per day, the burger will take 1% of their daily overheads. So, lets estimate £3,000 a month to cover rent, rates and equipment depreciation, which means around £125 a day overheads (assuming they don't trade on Sundays). Therefore 1% of that goers to the burger, i.e. £1.25.
Labour... it doesn't take 2 hours to make a burger & chips. I could do it in 30 minutes easily, and probably less if I'd done it a few times before. Minimum wage is £4.98 for an 18-20 year old, so even if it does take 30 mins, labour is £2.49.
So, to summarise :
1kg Beef £3.00
Other Ingr. £2.50
Energy £1.00
Overheads £1.25
Labour £2.49
That's £9.99.
Ok, there will be probably be one or two things I haven't taken into account (advertising for example). But then, they probably make quite a bit more than £1,000 a day, so the overhead cost against the burger would be less. And I've been very generous in all my other assumptions.
(btw, welcome to my world... I'm an accountant, just finished working on a bank holiday and I had 15 mins to kill, so I decided to write this reply just for the hell of it!)
calibrax said:
Ingredients... well, onions are dirt cheap. Same goes for chips, plastic cheese and a bread bun. You could buy all those in for well under £2. But let's say it costs £2.50 to be REALLY generous.
Gas... it will be cooking for a few minutes at most. Let's be really generous again, and say £1 of energy.
Overheads... well, the burger will only attract a tiny portion of their overheads, assuming they make considerably more revenue than £10 per day. If they make £1000 per day, the burger will take 1% of their daily overheads. So, lets estimate £3,000 a month to cover rent, rates and equipment depreciation, which means around £125 a day overheads (assuming they don't trade on Sundays). Therefore 1% of that goers to the burger, i.e. £1.25.
Labour... it doesn't take 2 hours to make a burger & chips. I could do it in 30 minutes easily, and probably less if I'd done it a few times before. Minimum wage is £4.98 for an 18-20 year old, so even if it does take 30 mins, labour is £2.49.
So, to summarise :
1kg Beef £3.00
Other Ingr. £2.50
Energy £1.00
Overheads £1.25
Labour £2.49
That's £9.99.
Ok, there will be probably be one or two things I haven't taken into account (advertising for example). But then, they probably make quite a bit more than £1,000 a day, so the overhead cost against the burger would be less. And I've been very generous in all my other assumptions.
(btw, welcome to my world... I'm an accountant, just finished working on a bank holiday and I had 15 mins to kill, so I decided to write this reply just for the hell of it!)
Well done, well it made me smile anyhow Gas... it will be cooking for a few minutes at most. Let's be really generous again, and say £1 of energy.
Overheads... well, the burger will only attract a tiny portion of their overheads, assuming they make considerably more revenue than £10 per day. If they make £1000 per day, the burger will take 1% of their daily overheads. So, lets estimate £3,000 a month to cover rent, rates and equipment depreciation, which means around £125 a day overheads (assuming they don't trade on Sundays). Therefore 1% of that goers to the burger, i.e. £1.25.
Labour... it doesn't take 2 hours to make a burger & chips. I could do it in 30 minutes easily, and probably less if I'd done it a few times before. Minimum wage is £4.98 for an 18-20 year old, so even if it does take 30 mins, labour is £2.49.
So, to summarise :
1kg Beef £3.00
Other Ingr. £2.50
Energy £1.00
Overheads £1.25
Labour £2.49
That's £9.99.
Ok, there will be probably be one or two things I haven't taken into account (advertising for example). But then, they probably make quite a bit more than £1,000 a day, so the overhead cost against the burger would be less. And I've been very generous in all my other assumptions.
(btw, welcome to my world... I'm an accountant, just finished working on a bank holiday and I had 15 mins to kill, so I decided to write this reply just for the hell of it!)
Just finishing off at work too and if you think that makes money I'm glad you don't work for me!It does say in the article it takes 2hrs to make, which sounds a bit much I agree, they do have to make their own special breadcakes too though.
I think it's a loss leader, they'll make it back elsewhere...
Evoluzione said:
Well done, well it made me smile anyhow Just finishing off at work too and if you think that makes money I'm glad you don't work for me!
Well, I don't REALLY think it there to makes money. It was just a fun exercise to try and show it COULD break even. I'm not a normal business/tax accountant any case... I work in management accounting. Most of what I do involves European and West African offshore work for oil companies. The numbers are all many millions higher than the numbers in a burger joint! (although the company I work for does earn about the same net income as McDonalds... Just finishing off at work too and if you think that makes money I'm glad you don't work for me!)Evoluzione said:
I think it's a loss leader, they'll make it back elsewhere...
Yeah, I expect you're right on that. I'm sure it's just to get them good publicity, and to attract interested onlookers!Edited by calibrax on Friday 29th March 18:00
calibrax said:
Evoluzione said:
No it isn't.
In the description there are onion rings, chips, cheese, huge bread bun.
+ energy to cook it and 2hrs to make it.
So if your gas and ingredients come to £5 someone's working for less than £2.50 ph
If they come to £4 less than £3ph
+ overheads, they are making a loss surely...
Ingredients... well, onions are dirt cheap. Same goes for chips, plastic cheese and a bread bun. You could buy all those in for well under £2. But let's say it costs £2.50 to be REALLY generous.In the description there are onion rings, chips, cheese, huge bread bun.
+ energy to cook it and 2hrs to make it.
So if your gas and ingredients come to £5 someone's working for less than £2.50 ph
If they come to £4 less than £3ph
+ overheads, they are making a loss surely...
Gas... it will be cooking for a few minutes at most. Let's be really generous again, and say £1 of energy.
Overheads... well, the burger will only attract a tiny portion of their overheads, assuming they make considerably more revenue than £10 per day. If they make £1000 per day, the burger will take 1% of their daily overheads. So, lets estimate £3,000 a month to cover rent, rates and equipment depreciation, which means around £125 a day overheads (assuming they don't trade on Sundays). Therefore 1% of that goers to the burger, i.e. £1.25.
Labour... it doesn't take 2 hours to make a burger & chips. I could do it in 30 minutes easily, and probably less if I'd done it a few times before. Minimum wage is £4.98 for an 18-20 year old, so even if it does take 30 mins, labour is £2.49.
So, to summarise :
1kg Beef £3.00
Other Ingr. £2.50
Energy £1.00
Overheads £1.25
Labour £2.49
That's £9.99.
Ok, there will be probably be one or two things I haven't taken into account (advertising for example). But then, they probably make quite a bit more than £1,000 a day, so the overhead cost against the burger would be less. And I've been very generous in all my other assumptions.
(btw, welcome to my world... I'm an accountant, just finished working on a bank holiday and I had 15 mins to kill, so I decided to write this reply just for the hell of it!)
dazco said:
An accountant should know that the VAT man wants his little bit too
1) Yes, the burger will have VAT on it. But that would be offset by the fact that the company can claim back the VAT on the ingredients and other costs. They would effectively only pay VAT on the profit element, and we've already established that there is no profit.2) But even so, read what I said about me being a management accountant, and not a normal business/tax accountant.
calibrax said:
dazco said:
An accountant should know that the VAT man wants his little bit too
1) Yes, the burger will have VAT on it. But that would be offset by the fact that the company can claim back the VAT on the ingredients and other costs. They would effectively only pay VAT on the profit element, and we've already established that there is no profit.2) But even so, read what I said about me being a management accountant, and not a normal business/tax accountant.
Customers don't understand 16.6p in every pound on the menu goes to HMRC.The Spruce goose said:
I think it is called marketing..
i have eaten 750g beef, I could do it
It's not just the beef that's the challenge, it's the 800g of bread that's the killer.i have eaten 750g beef, I could do it
I've done a very similar challenge to this before (a case of beer was the reward) and couldn't come close.
Many others had also tried and failed. (IIRC, only 3 people had claimed the beers in all the years they'd been doing it.)
The ingredients would be cheap. £3 something for the beef, a loaf of bread and a bunch of veg. I would think it could be done for £5.
As for the 2 hours to make it, that's probably including baking the bread or something. It doesn't mean someone is actually spending the whole two hours working on just that, or that they only do one at a time.
Simply grotesque amount of food for one person to eat in one go though. And I say that as a burger lover.
As for the 2 hours to make it, that's probably including baking the bread or something. It doesn't mean someone is actually spending the whole two hours working on just that, or that they only do one at a time.
Simply grotesque amount of food for one person to eat in one go though. And I say that as a burger lover.
The ingredients would be cheap. £3 something for the beef, a loaf of bread and a bunch of veg. I would think it could be done for £5.
As for the 2 hours to make it, that's probably including baking the bread or something. It doesn't mean someone is actually spending the whole two hours working on just that, or that they only do one at a time.
Simply grotesque amount of food for one person to eat in one go though. And I say that as a burger lover.
As for the 2 hours to make it, that's probably including baking the bread or something. It doesn't mean someone is actually spending the whole two hours working on just that, or that they only do one at a time.
Simply grotesque amount of food for one person to eat in one go though. And I say that as a burger lover.
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