food costs

Financing

How operators can navigate twin inflationary waves

A Deeper Dive: Jim Balis, managing director with CapitalSpring, joins this week’s episode to talk about overcoming labor and commodity inflation.

Operations

Inflation becomes No. 1 issue for restaurants and other small businesses, study finds

Labor availability remains a key concern, but supply-chain problems rose to the top fear.

Prices at limited-service restaurants have risen 7.1% over the past year, while full-service prices are up 5.9%.

The distribution giant told Wall Street that it also made progress in fulfilling customers' orders despite product outages.

It also told investors that it's largely resolved the labor problems squeezing the supply chain.

The Inspire Brands chains join a large list of restaurants taking on protein suppliers over the allegations.

Operators have created committees, called in favors and put their general managers on speed dial as they’ve sought to get everything from crackers to glass bottles amid epic sourcing challenges.

outBut grocery prices have come close to restaurant menu prices as labor and other cost challenges push inflation higher.

Beef supply challenges and high demand have pushed brisket prices up to levels not seen before, forcing some operators to re-strategize.

And some commodities, like chicken wings and beef, may never return to pre-pandemic levels as consumers appear willing to pay higher prices.

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