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ERPResearch
Hospitality & Travel ERP

ERP Software for Restaurants & Food Service

Restaurants operate with some of the tightest margins in any industry, where food cost variance of even 1–2% can determine profitability. ERP and back-office platforms for restaurant operators must integrate tightly with POS systems, automate food-cost accounting, streamline accounts payable for high-volume supplier invoices, manage labor scheduling, and produce the daily flash reporting that operators rely on to make quick decisions.

Compare ERP Systems for Restaurants & Food Service

Select up to 4 ERP vendors to compare side by side. Filtered to show systems with strong restaurants & food service capabilities.

Key Challenges for Restaurants & Food Service

1

Reconciling high-volume POS transaction data with back-office accounting across multiple locations daily

2

Controlling food and beverage costs through accurate recipe costing, theoretical versus actual variance tracking, and waste management

3

Managing accounts payable for large numbers of perishable-goods suppliers with varying payment terms and credit limits

4

Scheduling and managing hourly labor while complying with tip reporting, overtime, and predictive scheduling regulations

5

Tracking inventory across receiving, prep, and service with limited storage space and high-frequency deliveries

6

Consolidating financial performance across franchise, licensed, and company-owned locations with different operating models

7

Maintaining compliance with food safety regulations, allergen tracking, and nutritional disclosure requirements across menus

Best Restaurants & Food Service ERP for SMBs

Recommended for companies with $10M–$250M revenue and 10–200 employees.

Restaurant365

mid-range

Purpose-built restaurant accounting and operations platform with native POS integrations, recipe costing, and daily sales reporting

Best for: Multi-unit restaurant groups (3–50 locations) seeking an all-in-one back-office solution

Toast POS with ERP Integration

mid-range

Leading restaurant POS with integrated payroll, scheduling, and financial reporting, plus pre-built connections to accounting platforms

Best for: Independent restaurants and small chains (1–10 locations) prioritizing POS-first operations

Lightspeed Restaurant

mid-range

Cloud POS and inventory platform with multi-location reporting and integration to Sage Intacct and QuickBooks

Best for: Upscale independent restaurants and small casual-dining groups needing strong inventory management

Sage Intacct

mid-range

Cloud-based multi-entity financial management with restaurant-specific chart of accounts and robust AP automation

Best for: Restaurant groups and franchisors needing consolidated multi-entity financials across company and franchise locations

NetSuite

mid-range

Full-suite cloud ERP supporting multi-subsidiary restaurant operations, franchise royalty billing, and supply chain management

Best for: Growing restaurant chains and hospitality groups that need a scalable ERP backbone beyond basic accounting

Compeat (now Restaurant365)

mid-range

Legacy restaurant back-office platform now integrated into Restaurant365, used widely by mid-market chains for food cost and labor management

Best for: Mid-size restaurant operators transitioning from legacy back-office systems to cloud-based restaurant ERP

Best Restaurants & Food Service ERP for Enterprise

Recommended for companies with $250M+ revenue and complex multi-site operations.

Oracle Hospitality OPERA Cloud

enterprise

Enterprise hospitality platform with food-and-beverage management modules suited to large hotel F&B operations and resort dining

Best for: Large hotel F&B divisions, resort dining operations, and casino food service

SAP S/4HANA

enterprise

Enterprise ERP with industry solutions for large QSR and fast-casual chains requiring deep supply chain, procurement, and franchise management

Best for: Large QSR chains and multinational restaurant groups with complex supply chain and franchise operations

Infor CloudSuite Hospitality

enterprise

Integrated F&B management modules within the broader hospitality cloud suite for large hotel food-and-beverage operations

Best for: Large hotel chains and resort groups managing significant F&B revenue alongside lodging operations

Microsoft Dynamics 365

enterprise

Flexible enterprise ERP with restaurant ISV extensions and strong integration to POS and delivery platforms

Best for: Large restaurant groups and franchise systems already invested in Microsoft Azure and Power BI wanting a unified ERP

Essential ERP Capabilities for Restaurants & Food Service

POS integration with automated daily sales journal entries by location, day part, and revenue category

Recipe costing engine with ingredient-level tracking, portion control, and theoretical versus actual food cost variance reporting

Accounts payable automation for high-volume perishable supplier invoices with three-way matching and exception management

Inventory management with par-level purchasing, receiving variance tracking, and waste and spoilage recording

Labor management with tip allocation, overtime alerts, and predictive scheduling compliance tools

Multi-location daily flash reporting covering net sales, food cost percentage, labor cost percentage, and prime cost

Franchise royalty calculation and billing management for franchised restaurant systems

Catering and banquet event management with integrated cost tracking and client invoicing

Menu engineering and profitability analysis by dish, category, and location

Food safety and allergen management with recipe-level ingredient tracking for regulatory compliance

Restaurants & Food Service ERP Cost Ranges

SMB

$12,000–$60,000

3–15 locations, 5–20 back-office users

Implementation: $10,000–$40,000

Mid-Market

$60,000–$250,000

15–75 locations, 20–60 back-office users

Implementation: $40,000–$200,000

Enterprise

$250,000–$1,500,000+

75+ locations, 60+ back-office users

Implementation: $300,000–$2,000,000+

Implementation Considerations

1

POS integration design is the most critical technical dependency — the ERP must accurately map POS revenue categories to GL accounts before go-live

2

Recipe and menu data migration from legacy systems requires significant data cleansing effort, especially for large or frequently changing menus

3

Daily close processes and manager workflows must be redesigned around the new system before training begins to avoid operational disruption

4

Franchise operators must address how franchisee financial data will be ingested, whether as full consolidation or royalty-only reporting

5

Labor law compliance rules (predictive scheduling, tip credits, overtime) must be configured per state and city before go-live to avoid payroll errors

Frequently Asked Questions

What is restaurant ERP and how does it differ from a POS system?

A POS system manages front-of-house transactions: taking orders, processing payments, and tracking sales in real time. Restaurant ERP (or back-office software) handles the accounting, financial reporting, food cost analysis, purchasing, inventory, and labor management that make POS data actionable. Modern restaurant platforms like Restaurant365 combine both layers, while others use a best-of-breed POS integrated to a dedicated back-office or ERP platform.

What is food cost percentage and how does restaurant ERP track it?

Food cost percentage is the ratio of food and beverage costs to food and beverage revenue, typically targeting 28–35% for full-service restaurants. Restaurant ERP tracks it by comparing actual ingredient usage (derived from inventory counts and receiving records) against theoretical usage calculated from recipes and sales mix. Variance reporting highlights where actual cost exceeds theoretical, flagging waste, theft, portion non-compliance, or recipe inaccuracies.

Which restaurant ERP platform is best for a multi-unit group?

Restaurant365 is the most widely adopted purpose-built restaurant back-office platform for multi-unit groups in the US, offering native integrations to 70+ POS systems, automated daily sales reconciliation, and integrated AP automation. For groups that prioritize accounting depth over restaurant-specific features, Sage Intacct is a strong alternative. Large chains with complex supply chain operations may choose NetSuite or SAP for greater scalability.

How does restaurant ERP manage accounts payable for food suppliers?

Restaurant ERP platforms automate AP for food suppliers by capturing supplier invoices (via EDI, email parsing, or supplier portal), matching them to purchase orders and receiving records, and routing exceptions for manager approval. Automated payment runs with early-payment discount capture reduce AP labor significantly. Leading platforms like Restaurant365 and Sage Intacct also support electronic payments and supplier credit limit management for high-volume perishable purchasing.

Can restaurant ERP handle franchise royalty billing?

Yes. ERP platforms used by restaurant franchisors — including NetSuite, Sage Intacct, and Restaurant365 — support franchise royalty billing by automatically calculating royalties as a percentage of franchisee reported sales, generating royalty invoices, and tracking payments. Some platforms also support technology fee billing, marketing fund contributions, and franchisee audit workflows. Franchisors with large networks may use dedicated franchise management software integrated with the ERP.

What labor management features should restaurant ERP include?

Restaurant ERP should include labor scheduling with sales-based labor targets, time-and-attendance integration, tip reporting and allocation by server and shift, overtime and break compliance alerts by state and city, and full integration with payroll processing. Advanced platforms also provide predictive scheduling features that comply with fair workweek ordinances in cities such as New York, San Francisco, Chicago, and Seattle.

How does restaurant ERP integrate with delivery platforms like DoorDash and Uber Eats?

Modern restaurant ERP platforms integrate with third-party delivery platforms via middleware aggregators such as Olo, Omnivore, or direct API connections. These integrations consolidate delivery platform sales data into the POS and back-office system, applying the correct revenue recognition, commission expense accounting, and daily reconciliation. This eliminates manual data entry from multiple delivery platform dashboards and provides a unified view of all channel performance.

How long does it take to implement restaurant ERP for a 20-location group?

A 20-location restaurant group implementing Restaurant365 or Sage Intacct should plan for a 4–6 month implementation timeline, including POS integration configuration, chart of accounts setup, recipe data migration, AP vendor onboarding, and staff training. A phased rollout — going live with 3–5 pilot locations first — is strongly recommended to identify operational issues before full deployment across all locations.

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