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| An Example of a Takeaway Business: OPEN YOUR EYES | |
| Total Gross Weekly Revenue | £7,000 |
| Less VAT | £1,167 |
| NET REVENUE | £5,833 |
| At 20% commissions: | |
| Assumption: 1/3 takeaway at 20% commission | |
| Revenue - 1/3 of 7,000 | |
| No. of orders at £25 each (2333/25) | 93 |
| Less VAT (on 20% commission revenue) | £389 |
| Related Costs: | |
| Commission @ 13% | £303 |
| VAT @ 20% | £61 |
| Admin Charge | £47 |
| VAT on Admin Charge (@ 20%) | £9 |
| TOTAL CHARGES | £420 |
| DIRECT COSTS: | |
| Assuming Total Weekly Wages £1800 | |
| 1/3 on 20% commission Orders | £600 |
| Raw cost of ingredients and packaging | £817 |
| (35% of £2,333) | |
| TOTAL DIRECT COSTS | £1,417 |
| GROSS PROFIT Before Overheads | £108 |
| GROSS MARGIN | 5% |
| NOW WHERE DOES RENT, RATES and BILLS COME FROM? |
