Comments on: Opening a Street Truck is Just as Risky as Opening a Restaurant (Despite What the Local News Says) http://midtownlunch.com/2009/11/23/is-it-no-less-risky-to-open-a-street-cart-despite-what-the-local-news-says/ Food Adventures for Your Urban Lunch Hour Fri, 17 May 2013 20:55:58 +0000 hourly 1 By: BankBank http://midtownlunch.com/2009/11/23/is-it-no-less-risky-to-open-a-street-cart-despite-what-the-local-news-says/comment-page-1/#comment-225920 BankBank Tue, 24 Nov 2009 14:00:42 +0000 http://midtownlunch.com/?p=11282#comment-225920 What does Bernie Madoff have to do with anything? Why did you place a comma after 'Ask'? What does Bernie Madoff have to do with anything?

Why did you place a comma after ‘Ask’?

]]> By: DocChuck09 http://midtownlunch.com/2009/11/23/is-it-no-less-risky-to-open-a-street-cart-despite-what-the-local-news-says/comment-page-1/#comment-225918 DocChuck09 Mon, 23 Nov 2009 22:21:46 +0000 http://midtownlunch.com/?p=11282#comment-225918 Every venture is risky, whether it be opening a restaurant, financing a street truck, or playing golf down in Florida. Ask, Bernie Madoff. Every venture is risky, whether it be opening a restaurant, financing a street truck, or playing golf down in Florida.

Ask, Bernie Madoff.

]]> By: Clues http://midtownlunch.com/2009/11/23/is-it-no-less-risky-to-open-a-street-cart-despite-what-the-local-news-says/comment-page-1/#comment-225915 Clues Mon, 23 Nov 2009 21:11:36 +0000 http://midtownlunch.com/?p=11282#comment-225915 Google seems to confirm the 4%. I found a few references including this one, "Based on the 2004 Restaurant Industry Operations Report published by Deloitte & Touche LLP, average pre-tax profit margins range from 4-7% (4% for Full Service and 7% for Limited Service restaurants)." I agree with you though, 4% of a big number is much better than 25% of a small number.... Google seems to confirm the 4%. I found a few references including this one, “Based on the 2004 Restaurant Industry Operations Report published by Deloitte & Touche LLP, average pre-tax profit margins range from 4-7% (4% for Full Service and 7% for Limited Service restaurants).” I agree with you though, 4% of a big number is much better than 25% of a small number….

]]> By: Chris http://midtownlunch.com/2009/11/23/is-it-no-less-risky-to-open-a-street-cart-despite-what-the-local-news-says/comment-page-1/#comment-225912 Chris Mon, 23 Nov 2009 19:49:29 +0000 http://midtownlunch.com/?p=11282#comment-225912 The reporter's use of profit margin is very ambiguous. It could mean (sales - COGS) / sales, or it could mean net income / sales. She doesn't really say, and uses that ambiguity to make a false impression. However, if you sell low cost items at a significant markup (like baked goods or cupcakes) and are business savvy about other costs I can see a 25% net income margin being possible. The reporter’s use of profit margin is very ambiguous. It could mean (sales – COGS) / sales, or it could mean net income / sales. She doesn’t really say, and uses that ambiguity to make a false impression.

However, if you sell low cost items at a significant markup (like baked goods or cupcakes) and are business savvy about other costs I can see a 25% net income margin being possible.

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