For Sell Only items and items used exclusively/made available for AR Invoices, some added steps need to be taken to be able to sell those items through the POS and capture the costs using Inventory Counts and Recipe Costing.

Preparing the Items

First, the Sell Only Item needs to be converted to a Purchased Item. For Sell Only Items that have already been created in Restaurant365, this is a process that requires assistance from the R365 Support team. If the items have not yet been created or imported into Restaurant365, then in place of creating Sell Only Items, Purchased Items can be created and utilized.

To convert Sell Only Items, please contact R365 Support and include the following information:

  • Restaurant365 URL
  • Explain your request to convert Sell Only Items to Purchased Items
  • A list of all Sell Only Items that need to be converted

Once the conversion has occurred, additional updates will be required for the Purchased Item Records.  These updates include:

  • Assigning Cost and Inventory Accounts
  • Assigning Purchase and Inventory Units of Measure
  • Adding U of M Equivalence (if necessary)
  • Updating the 'Cost Update Method'
  • Entering the Inventory Cost amount on the 'Inventory Cost' tab
  • Assigning Item Categories (if desired)

Sell Only Item prior to conversion:

Purchased (formerly Sell Only) Item post conversion:

Capturing Costs of Converted Purchased Items

After all the Sell Only Items have been converted to Purchased Items and the Purchased Item required fields have been updated, the Purchased Item will now have costs directly associated with the item. In conjunction with Inventory Counts, the true cost of this item will be calculated as the item is used and inventoried going forward. Click here for more information on Inventory Costing Methods

1) Add the Purchased Item to Inventory Count Templates - Restaurant365 relies on Inventory Counts and AP Invoices to determine the current cost of Purchased Items, and in doing so, these newly converted Purchased Items need to be included in Inventory Count Templates. Click here to learn how to edit an Inventory Count Template.

2) Perform Inventory Counts - By updating existing Inventory Count Templates to include the new Purchased Items, future Inventory Counts will capture the Quantity On Hand and update the costs via the selected Costing Method.

Identifying Theoretical Cost of converted Purchased Items

In addition to updating the costs and values of Purchased Items, Recipes can be utilized to identify the theoretical cost of the former Sell Only items when linked to a Menu Item on the POS.

1) Creating Single Ingredient Recipes - The Purchased Item can now be used as an Ingredient on a Recipe. Create a new Recipe by hovering over the 'Item' menu and selecting 'New Recipe'. Complete all of the required fields on the Recipe and add the Purchased Item as the lone ingredient to the Recipe

2) Assign the Recipe to the Menu Item - Once the Recipe is complete, it can then be assigned to a Menu Item in the same process as regular Recipes

With the Recipe mapped to the Menu Item, the Theoretical Reporting and Costing Methods will function as designed.