The Costs Associated with Stocking Your Pub


For a successful business, you must control costs, especially if you’re running a restaurant or pub. When you’re serving food or drinks, you need fresh, high-quality stock on hand to offer your customers. Although there are three cost factors when ordering supplies, knowing how to keep control of the stock you need on hand can help your business make a profit and keep its doors open.

The Costs Associated with Stocking Your Pub

Inventory Control Factors

There are three main cost factors involved when it comes to controlling the inventory for your business:

  • Costs of keeping stock on hand.
  • Costs involved with placing orders.
  • Costs associated with being short of stock.
  • While all three factors are important to control, many inexperienced pub and
  • restaurant owners may be unaware of the hidden costs of keeping stock on hand.

Costs of Stock on Hand

When you place an order for supplies, whether it is beer, food, or barware, you don’t want to over order and have too much stock on hand. Even if the items are non-perishable, it costs money to keep too much stock in your storerooms. Keeping perishable items stored too long can also affect the quality of the dishes coming out of the kitchen and the drinks you serve.

Among the costs associated with having too much stock on hand are spoilage, breakage, and warehousing.

Spoilage Costs

If you buy more fresh food than you can use in a week, your business will lose some money due to food spoilage. You are literally throwing money away when food goes bad, which can be prevented by having a good point of sale (POS) system. A POS system can help you maintain inventory levels for any pub supplies you need, including food, cleaning supplies, and dishes.

Breakage Costs

You will also lose some money due to breakage, which is harder to control because accidents can happen at any time. The dishwasher may accidentally drop a soapy plate or the bartender may drop a glass when pouring a drink. Although you do want to keep some supplies on hand to replace broken dishes, you don’t want to take up too much space in your stockroom.

Warehousing Costs

Warehousing is another cost associated with keeping stock on hand. If you are keeping bottles of liquor you rarely sell or too many towels or bar glasses in the stockroom, then you may be taking up space you could use for other purposes, such as stock that comes in on a weekly basis. Along with the costs of the inventory, you also have to consider the costs of rent, electricity, and energy when warehousing extra supplies for your business.

Fortunately, a good POS system can track your inventory and keep you informed of how much you’re selling, what you have on hand, and what you need to order. It should be used along with other inventory control measures to help you control costs, reduce losses, and help your business make a profit so it can be successful.

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