In 2020, Five Guys NY set out to expand its operations across New York, requiring enhanced financial management to support their rapid growth. Partnering with Paperchase’s hospitality accountants to leverage the capabilities of Restaurant365, they gained the tools and insights necessary to streamline financial operations and drive efficiency across their locations.
Morgan Harris, co-founder of Restaurant365, emphasized the importance of this partnership: “When Paperchase combines their deep understanding of restaurant economics with the insights provided by Restaurant365’s platform, businesses like Five Guys NY can optimize profitability and manage growth effectively through informed, data-driven decisions.”Â
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Results
Daily insights, facilitated by Restaurant365’s detailed reporting, enabled Paperchase to guide Five Guys NY through real-time labor cost adjustments and financial planning. The proactive collaboration between Paperchase accountants and FGNY district managers meant that any operational issues were addressed immediately, keeping the business lean and efficient even during periods of significant growth.Â
Over the next three years, this partnership delivered tangible results. Five Guys NY reduced labor costs by 4% and increased net profit by 6%. While they added 40 locations, their prime cost dropped to 47%, well below the New York industry average of 65%. These savings allowed the company to maintain strong financial health.
Operational Efficiency
One of the key benefits of the partnership was the ability to standardize financial practices across multiple locations. Paperchase’s adaptive accounting model scaled with the business, offering flexibility that allowed Five Guys NY to reinvest in growth. The seamless integration between Restaurant365’s platform and other systems like POS and vendor management ensured accurate reporting, vendor reconciliation, and smooth day-to-day operations.
Conclusion
The collaboration between Paperchase and Restaurant365 gave Five Guys NY the critical financial tools and expert guidance they needed to not only expand but thrive. By combining strategic financial experts with an integrated software platform, Five Guys NY successfully navigated rapid growth while maintaining operational efficiency and profitability.
