Restaurant Invoice Glossary

Understanding invoice terminology is the first step to controlling your food costs. Browse our glossary of essential terms.

C

Cost Per Unit(CPU)
The total cost to purchase a single unit of an item, including base price, shipping, and any applicable fees divided ...

F

Food Cost Percentage(FCP)
The ratio of food costs to food sales revenue, expressed as a percentage.

M

Minimum Order Value(MOV)
The minimum dollar amount required per order by a vendor or supplier before they will process and deliver the order.

V

Vendor Contract Compliance
The degree to which a supplier adheres to the terms agreed upon in a purchasing contract, including pricing, delivery...

Why Understanding Invoice Terms Matters

Restaurant operators who understand their invoices can negotiate better prices, catch errors faster, and maintain healthier profit margins. This glossary covers essential terminology from contract pricing to vendor compliance.

Restaurant Invoice Glossary

C

Cost Per Unit(CPU)

F

Food Cost Percentage(FCP)

M

Minimum Order Value(MOV)

V

Vendor Contract Compliance

Why Understanding Invoice Terms Matters