What is catering pricing?
To price for a target margin, divide total event cost by one minus the margin as a decimal. A $2,000 cost at a 25% margin suggests a price of $2,666.67.
See it in action.
Here's an example using the numbers already in the calculator:
- 01Gather your numbers.
Total event cost: $2000; Target profit margin: 25 %.
- 02Apply the formula.
Total event cost ÷ (1 − target profit margin ÷ 100).
- 03Review the result.
Your estimated suggested event price is $2,666.67. Adjust the inputs to explore your own scenario.
Make the most of your numbers.
- Use figures from the same time period and keep your units consistent.
- Update your inputs regularly as prices, demand, and operating costs change.
- Use the result as a planning guide alongside your own business context and professional advice.
Frequently asked questions.
What does the catering pricing calculator tell me?+
To price for a target margin, divide total event cost by one minus the margin as a decimal. A $2,000 cost at a 25% margin suggests a price of $2,666.67.
How often should I review this number?+
Review it whenever the underlying costs or assumptions change, and compare results consistently over time. The right frequency depends on your operation.
Is this result a substitute for financial advice?+
No. This calculator is an estimate for planning and education. Check your assumptions and consult a qualified professional when making financial or compliance decisions.
