As you may be aware our Kitchen Equipment is aging and some are at the end of their lifespan. Repairs and a Band aide approach have become costly. Recently we replaced the Sandwich Prep Board with a cooler as the cost to repair was not cost-efficient. This week one of the 54" Beer Coolers stopped working. We have spent $1,000 in the past to repair the unit. The replacement cost is $2,500.00. We have ordered a new unit. These new units will function for several years and significantly reduce our annual repair costs and other costs associated with downtime. I have requested a quote for a maintenance plan on the two walk-in coolers, which are the most expensive kitchen assets. Our recent cost for a temporary rental mobile walk-in and the necessary repairs may have been avoided if the units were properly maintained (these units were under a maintenance plan but the plan was discontinued). I want to be clear we are not promoting replacement as a standard policy. Moving forward we need to evaluate repair cost vs. replacement cost along with future cost savings.
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Hopefully you are getting three estimates for these big purchases and looking at ratings for the brands recommended before purchasing. Extra homework up front will save money long term.
Yes, agree we need to analyze it all. We also need to see the financials of the restaurant revenue and expenses YTD. It has not been seen since the close of 12/31/2022 which shows $-174,412. We still have no knowledge of the correct numbers going on 7 months for the shareholders.