Time to Review Restaurant Service and Maintenance Costs
Regularly reviewing and tendering key services is essential to get the best value for money. Most operators concentrate on labour costs plus food & beverage, the largest costs by far. But dozens of small service and maintenance charges can add up to a solid 20%+ of your COGS, and absolutely need a regular check.
This guide highlights the wide range of services that should be reviewed regularly (at least every 12 months), common issues to watch for, and why breaking down costs in your bookkeeping can lead to smarter financial decisions.
Operational and Maintenance Services
Garbage Disposal – review waste management providers regularly for better rates or recycling options. What goes wrong: Missed pickups, poor recycling practices, or excessive fees for extra bins can disrupt operations and lead to compliance issues. Competition in some areas may be limited.
Grease Trap Cleaning – ensure compliance with local council regulations, and there is competitive pricing – in some locations, only one service may be available. What goes wrong: Late servicing or improper cleaning can lead to foul odours, clogged drains, and council fines.
Pest Control – use providers with a track record in hospitality environments. What goes wrong: Insufficient pest control visits or ineffective treatments can result in recurring infestations and damage to your reputation.
Fire Suppression Systems – includes fire extinguisher inspection, suppression systems, and alarms. What goes wrong: Service providers may miss required checks, leaving you out of compliance or unprepared for emergencies. Staff training should be an essential part of what’s offered.
Exhaust Fan and Duct Cleaning – essential for proper ventilation – also part of your air conditioning services. What goes wrong: Incomplete cleaning can leave buildup, affecting kitchen air quality and increasing fire risk.
Plumbing and Electrical Services – emergency and routine maintenance for hospitality venues – when you need help now! What goes wrong: Slow response times, high call-out fees, or repeated repairs that don’t fix the root problem.
Refrigeration & Air Conditioning Maintenance – critical for food safety and avoiding product loss. What goes wrong: Breakdowns during peak periods, lack of preventative maintenance, or overcharging for emergency repairs. If you program regular off-peak maintenance checks, you will build up a more responsive relationship when there is a real emergency.
Grease and Waste Oil Collection – offering regular pickup in return for payment or free pickup. What goes wrong: Delayed pickups, spilled oil during collection and not cleaned up, waste areas can attract vermin, and missed payments can cause disputes.
CO2 Gas Supply and Fees – review providers to avoid hidden charges or over-servicing… What goes wrong: Extra fees for delivery or unreliable supply can impact operations and increase costs. Check your systems to find out if CO2 bottles are actually empty. Gas contracts may be part of a more significant contract for beer and soda dispensing, including equipment, making it hard to untangle one from another.
Kitchen and Equipment Maintenance
Specialist Kitchen & Coffee Machine Equipment Maintenance – covers espresso machines, combi ovens, stoves, dishwashers, and small appliances. What goes wrong: Unqualified technicians, repeated breakdowns, or slow service can impact daily operations. Incorrect installation can also lead to breakdowns and fire risk.
Hood and Ventilation Cleaning – critical for fire safety and compliance with health codes, which may also be a requirement under the lease of premises. What goes wrong: Inconsistent cleaning schedules, rushed jobs, or hidden fees can compromise safety and cleanliness. Cleaning is often scheduled out of hours and may take place without supervision.
Cleaning and Dishwashing Supplies – ensure you are sourcing high-quality products at competitive prices. What goes wrong: Suppliers may gradually increase prices without notice or send substitutes for key products that may not perform as well. Longer-term contracts and specialist equipment lock you into a high-priced provider. Faulty dispensers may result in excessive chemical use. Lower-cost products are often heavily diluted.
Landscaping, Window Washing and Outdoor Maintenance – garden care, lawn mowing, and outdoor seating upkeep. What goes wrong: Unreliable schedules, poor quality work, or hidden charges for additional services. Window washing often a local person working for cash who may not be reliable. Insufficient service in peak outdoor seasons, feeling that you are over-serviced in off-peak times.
Premises Cleaning Services – contract cleaners to handle routine and deep cleaning of the interior areas, including floors, dining spaces, and kitchens. What goes wrong: Poor quality cleaning, missed schedules, or insufficient attention to detail can lead to hygiene issues and complaints. Contracts without clear performance measures can make it difficult to hold providers accountable. Working outside service hours may mean much of the work is unsupervised.
Outdoor Cooling and Heating Systems – maintenance for patio heaters, misting systems, or outdoor fans. What goes wrong: Late servicing, poor repair quality, or failure to maintain systems before seasonal needs. In areas of high mineralisation in water, it’s easy for equipment to become clogged if not filtered properly.
Professional and Compliance Services
Compliance Audits – external consultants to audit health, safety, and food standards. What goes wrong: Some auditors provide generic advice that doesn’t align with your specific needs or operations. Often regarded as an unnecessary expense and ignored until there’s a problem.
Insurance Policies – public liability, worker’s compensation, equipment breakdown, theft, fire and property insurance. Advice from a good industry broker is essential to having the right cover. What goes wrong: Rising premiums, outdated policies, or difficulty claiming due to unclear coverage terms. See also: Essential Insurance for a Restaurant or Cafe – it’s easy to be over-insured and under-insured in critical areas.
Accounting and Bookkeeping Services – ensure competitive rates and updated knowledge of tax benefits. What goes wrong: Incorrect setup of chart of accounts and data entry can lead to expensive corrections at tax time or missed opportunities to reduce costs and claim for deductions. DIY bookkeeping is a common practice for small operators that can lead to mistakes.
The Importance of Detailed Bookkeeping to Track Expenses
Many restaurant and cafe owners struggle to control costs because their bookkeeping categories are too broad and general. Grouping multiple expenses under general headings like ‘Repairs & Maintenance’ or ‘Utilities’ can obscure where money is spent, making it difficult to identify cost-saving opportunities or track trends.
Creating more detailed bookkeeping categories tailored to your operations can help you see the true cost of specific services and activities. This enables better decision-making, improves cost control, and ensures your financial records align with your business goals. Talk to your bookkeeper and ask for their suggestions.
Sample Email to Suppliers About a Price & Service Review
Subject: Regular Review of Prices and Services
Dear [Supplier Name],
We regularly review the pricing and services our suppliers offer to ensure we receive the best value and quality for our business.
Your services are an important part of our operations, and we would appreciate you sharing any suggestions for reducing costs or improving the service you provide. Specifically, we’re looking at [Service A, Service B and Service C]. Please let us know if there are updates, promotions, new services or other ways you can support us more effectively.
We kindly ask for your response by [insert date], so we can incorporate your input and suggestions into our review.
Thank you for your continued partnership, and we look forward to hearing from you.
Regularly reviewing and tendering key services is essential to get the best value for money. Most operators concentrate on labour costs plus food & beverage, the largest costs by far. But dozens of small service and maintenance charges can add up to a solid 20%+ of your COGS, and absolutely need a regular check.
This guide highlights the wide range of services that should be reviewed regularly (at least every 12 months), common issues to watch for, and why breaking down costs in your bookkeeping can lead to smarter financial decisions.
Operational and Maintenance Services
Garbage Disposal – review waste management providers regularly for better rates or recycling options.
What goes wrong: Missed pickups, poor recycling practices, or excessive fees for extra bins can disrupt operations and lead to compliance issues. Competition in some areas may be limited.
Grease Trap Cleaning – ensure compliance with local council regulations, and there is competitive pricing – in some locations, only one service may be available.
What goes wrong: Late servicing or improper cleaning can lead to foul odours, clogged drains, and council fines.
Pest Control – use providers with a track record in hospitality environments.
What goes wrong: Insufficient pest control visits or ineffective treatments can result in recurring infestations and damage to your reputation.
See also: How to Reduce Restaurant Cleaning & Pest Control Costs
Fire Suppression Systems – includes fire extinguisher inspection, suppression systems, and alarms.
What goes wrong: Service providers may miss required checks, leaving you out of compliance or unprepared for emergencies. Staff training should be an essential part of what’s offered.
Exhaust Fan and Duct Cleaning – essential for proper ventilation – also part of your air conditioning services.
What goes wrong: Incomplete cleaning can leave buildup, affecting kitchen air quality and increasing fire risk.
Plumbing and Electrical Services – emergency and routine maintenance for hospitality venues – when you need help now!
What goes wrong: Slow response times, high call-out fees, or repeated repairs that don’t fix the root problem.
Refrigeration & Air Conditioning Maintenance – critical for food safety and avoiding product loss.
What goes wrong: Breakdowns during peak periods, lack of preventative maintenance, or overcharging for emergency repairs. If you program regular off-peak maintenance checks, you will build up a more responsive relationship when there is a real emergency.
See also: Restaurant Heating & Energy Use: Designing for Efficiency, Cooling, Air Conditioning and Ventilation in Restaurants
Grease and Waste Oil Collection – offering regular pickup in return for payment or free pickup.
What goes wrong: Delayed pickups, spilled oil during collection and not cleaned up, waste areas can attract vermin, and missed payments can cause disputes.
See also: Cutting Restaurant Waste is About More than Food Scraps
CO2 Gas Supply and Fees – review providers to avoid hidden charges or over-servicing…
What goes wrong: Extra fees for delivery or unreliable supply can impact operations and increase costs. Check your systems to find out if CO2 bottles are actually empty. Gas contracts may be part of a more significant contract for beer and soda dispensing, including equipment, making it hard to untangle one from another.
Kitchen and Equipment Maintenance
Specialist Kitchen & Coffee Machine Equipment Maintenance – covers espresso machines, combi ovens, stoves, dishwashers, and small appliances.
What goes wrong: Unqualified technicians, repeated breakdowns, or slow service can impact daily operations. Incorrect installation can also lead to breakdowns and fire risk.
Hood and Ventilation Cleaning – critical for fire safety and compliance with health codes, which may also be a requirement under the lease of premises.
What goes wrong: Inconsistent cleaning schedules, rushed jobs, or hidden fees can compromise safety and cleanliness. Cleaning is often scheduled out of hours and may take place without supervision.
Cleaning and Dishwashing Supplies – ensure you are sourcing high-quality products at competitive prices.
What goes wrong: Suppliers may gradually increase prices without notice or send substitutes for key products that may not perform as well. Longer-term contracts and specialist equipment lock you into a high-priced provider. Faulty dispensers may result in excessive chemical use. Lower-cost products are often heavily diluted.
See also: How to Increase Restaurant Kitchen Productivity
Building and Outdoor Maintenance
Landscaping, Window Washing and Outdoor Maintenance – garden care, lawn mowing, and outdoor seating upkeep.
What goes wrong: Unreliable schedules, poor quality work, or hidden charges for additional services. Window washing often a local person working for cash who may not be reliable. Insufficient service in peak outdoor seasons, feeling that you are over-serviced in off-peak times.
Premises Cleaning Services – contract cleaners to handle routine and deep cleaning of the interior areas, including floors, dining spaces, and kitchens.
What goes wrong: Poor quality cleaning, missed schedules, or insufficient attention to detail can lead to hygiene issues and complaints. Contracts without clear performance measures can make it difficult to hold providers accountable. Working outside service hours may mean much of the work is unsupervised.
Outdoor Cooling and Heating Systems – maintenance for patio heaters, misting systems, or outdoor fans.
What goes wrong: Late servicing, poor repair quality, or failure to maintain systems before seasonal needs. In areas of high mineralisation in water, it’s easy for equipment to become clogged if not filtered properly.
Professional and Compliance Services
Compliance Audits – external consultants to audit health, safety, and food standards.
What goes wrong: Some auditors provide generic advice that doesn’t align with your specific needs or operations. Often regarded as an unnecessary expense and ignored until there’s a problem.
Insurance Policies – public liability, worker’s compensation, equipment breakdown, theft, fire and property insurance. Advice from a good industry broker is essential to having the right cover.
What goes wrong: Rising premiums, outdated policies, or difficulty claiming due to unclear coverage terms. See also: Essential Insurance for a Restaurant or Cafe – it’s easy to be over-insured and under-insured in critical areas.
See also: How to Reduce Restaurant & Cafe Fixed Costs
Accounting and Bookkeeping Services – ensure competitive rates and updated knowledge of tax benefits.
What goes wrong: Incorrect setup of chart of accounts and data entry can lead to expensive corrections at tax time or missed opportunities to reduce costs and claim for deductions. DIY bookkeeping is a common practice for small operators that can lead to mistakes.
See also: How to Choose a Bookkeeper for Your Cafe or Restaurant
The Importance of Detailed Bookkeeping to Track Expenses
Many restaurant and cafe owners struggle to control costs because their bookkeeping categories are too broad and general. Grouping multiple expenses under general headings like ‘Repairs & Maintenance’ or ‘Utilities’ can obscure where money is spent, making it difficult to identify cost-saving opportunities or track trends.
Creating more detailed bookkeeping categories tailored to your operations can help you see the true cost of specific services and activities. This enables better decision-making, improves cost control, and ensures your financial records align with your business goals. Talk to your bookkeeper and ask for their suggestions.
Sample Email to Suppliers About a Price & Service Review
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