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And all I received was a "Thank you" card..
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Geronimo
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PostPosted: Jul 08 2011    Post subject: And all I received was a "Thank you" card.. Reply with quote

I recently catered a company event for 1200 guests serving..

1/3 lb burgers with all the trimmings (lettuce, onion, tomato, etc)

hot dogs

potato salad

chips

assorted drinks.

We had to serve them in 3 hours using 4 serving lines (they wanted an hour serve time Shocked )

So I hired 8 helpers along with myself and rented a box truck to carry all the supplies the 75 mile trip (each way).

During the price negotiations I settled on $10 per person (22% discount) plus tax and mileage @ $.85 round trip but waived my "mandatory gratuity". Shocked

Then they contacted me asking for a BIGGER discount as they had more RSVP's than they figured on....didn't happen. Twisted Evil

I paid the help out of my pocket as well as the truck rental.

Yesterday I received a nice "Thank You" note of the "job well done" and all....not uncommon in my business.

But I waived my mandatory gratuity (-$2160.00) and even though they praised our food and service, we received nothing "extra".

Just goes to show, if you don't ask for it (gratuity), you probably (in most instances) won't receive it.

I know a lot of you struggle with the gratuity thing so I just wanted to share my experience.`
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jess
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PostPosted: Jul 08 2011    Post subject: Reply with quote

Not a caterer but from my experience in organizing different events in this case most of the people including the one paying for it do not see what takes to work out the logistics of buying, prep, transport, cooking, & serving 400lb. of burger,dogs,etc. All they see is a burger & chips plate. How hard can that be Rolling Eyes ...
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Oregon smoker
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PostPosted: Jul 08 2011    Post subject: Reply with quote

Wow, is all that i can say about that.
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Frosty
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PostPosted: Jul 09 2011    Post subject: Reply with quote

I guess that's why I charge what I need. Then the gratuitiy is just that.

I never liked that 'mandatory' BS.., what if you suck? Restaurants list the prices, the tip is on the customer...

Mom taught me " blessed are those who expect nothing, for thay shall never be disappointed"
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Geronimo
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PostPosted: Jul 09 2011    Post subject: Reply with quote

Frosty wrote:
I guess that's why I charge what I need. Then the gratuitiy is just that.

I never liked that 'mandatory' BS.., what if you suck? Restaurants list the prices, the tip is on the customer...

Mom taught me " blessed are those who expect nothing, for thay shall never be disappointed"


In the first place my food nor service suck Shocked Shocked

Secondly, my business is NOT a restaurant. You are comparing apples to oranges.

When I do eat at a restaurant (not fast food) I tip no less than 20%.

Third, I voluntarily gave up my "mandatory gratuity" therefore I didn't EXPECT any...just would of been nice to get SOMETHING besides a "thank you" note in the envelope.

Oh well, I guess booking us for their next summer's event is good enough. Shocked Shocked
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Pit Boss
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PostPosted: Jul 09 2011    Post subject: Reply with quote

Geronimo wrote:
I voluntarily gave up my "mandatory gratuity" therefore I didn't EXPECT any...just would of been nice to get SOMETHING besides a "thank you" note in the envelope.


None of this is my business, but I do wonder why you're bitching about not getting a gratuity when you said you didn't expect one?

Back when I worked for a wonderful gentleman who had one heck of a catering business he accepted no gratuity. Any tip received was divided among the servers working the party. The boss made his profit from how he priced the gigs. That is the way it should be...in my eyes.

We all see things differently.

No offense.
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BBQMAN
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PostPosted: Jul 09 2011    Post subject: Reply with quote

Welcome to my world! Smile

Honestly, you got what you expected! Razz

And yes, the tip is you booked next years event, and that is good enough for most (and how i look at it myself).

I do however feel that when you go above and beyond there should be a tip involved.

We get tips more often than not these days, but it takes a reminder on my part that we don't automatically add it to the bill.

Most all of the caterer's add gratuity on to the bill as a line item.

I'm taking my core group of helpers, family, and friends that have helped us get where we are now for lunch and beers tomorrow to celebrate our 10th anniversary in business (which was actually back in February).

12-14 of us total.

You can bet the gratuity will be added on to the bill (in other words pretty much mandatory and expected) for the bigger group.

Of course it doesn't need to be, I tip well for great service.

We have hashed this out here a time or two, so enough said.
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Louie
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PostPosted: Jul 09 2011    Post subject: Reply with quote

Yowza, that's a wicked tip Marv, what's the largest tip you recieved, if you can say?
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Inner10
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PostPosted: Jul 10 2011    Post subject: Reply with quote

What's the difference between charging a mandatory gratuity and increasing the price per plate?

If they paid the bill in full I'm not surprised they didn't give you extra money in the thank you card. Rolling Eyes

I guess the basis of this thread is you find people are happier to pay less per plate and the remainder as a gratuity?

All you are doing is itemizing things differently...I've done a few jobs where people freak out that its 100 bucks to change a 5 dollar part...but they would jump for joy if it was invoiced as a 100 dollar part with 5 bucks labour.
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Jerk Pit Master
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PostPosted: Jul 10 2011    Post subject: Reply with quote

Inner10 wrote:
All you are doing is itemizing things differently...I've done a few jobs where people freak out that its 100 bucks to change a 5 dollar part...but they would jump for joy if it was invoiced as a 100 dollar part with 5 bucks labour.


So true and something to think about.
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Oregon smoker
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PostPosted: Jul 10 2011    Post subject: Reply with quote

Inner10 wrote:
What's the difference between charging a mandatory gratuity and increasing the price per plate?

If they paid the bill in full I'm not surprised they didn't give you extra money in the thank you card. Rolling Eyes

I guess the basis of this thread is you find people are happier to pay less per plate and the remainder as a gratuity?

All you are doing is itemizing things differently...I've done a few jobs where people freak out that its 100 bucks to change a 5 dollar part...but they would jump for joy if it was invoiced as a 100 dollar part with 5 bucks labour.


Very true, and maybe something i might do for something in August.
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Louie
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PostPosted: Jul 10 2011    Post subject: Reply with quote

Inner10 wrote:
What's the difference between charging a mandatory gratuity and increasing the price per plate?

If they paid the bill in full I'm not surprised they didn't give you extra money in the thank you card. Rolling Eyes

I guess the basis of this thread is you find people are happier to pay less per plate and the remainder as a gratuity?

All you are doing is itemizing things differently...I've done a few jobs where people freak out that its 100 bucks to change a 5 dollar part...but they would jump for joy if it was invoiced as a 100 dollar part with 5 bucks labour.


That's twisted misleading business practice and dishonest too boot..
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BBQMAN
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PostPosted: Jul 10 2011    Post subject: Reply with quote

Another take:

Some corporate groups can't pay a gratuity, and ask me to add it to the initial bill! Shocked

So if you don't charge it, it won't get paid.

We have a repeat valued client that has us cater for his larger work functions at his multi-million dollar waterfront home.

Last event we went out of our way dragging our garden cart up the side yard, dodging bushes, roots, the pool pump and filer and the AC unit(s).

In the dark.

The presentation ran over, and we were obligated to stall the meal and delay service by a good hour and a half.

So we went above an beyond what the job should have entailed (as we always do).

And got no tip.

I always honor my posted prices (which didn't apply in this case, it was a custom meal).

So next time the bill should just get bigger?

I'm sorry, but when anyone goes above and beyond they DESERVE a tip for the additional work involved.

I gave my help extra $$ out of my own pocket on that one, so adding insult to injury I made less than I even would in the first place.

However, we will be back so as mentioned earlier that's tip enough?
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Louie
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PostPosted: Jul 10 2011    Post subject: Reply with quote

In those case’s Bbqman, could you not additionally charge them for any delays, overages or extra time incurred that’s caused by them in executing the original contract?
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BBQMAN
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PostPosted: Jul 10 2011    Post subject: Reply with quote

LoneRanger wrote:
In those case’s Bbqman, could you not additionally charge them for any delays, overages or extra time incurred that’s caused by them in executing the original contract?


Not a bad idea at all.

I'd have to amend my current contract which already has a clause allowing us a bit of time over the projected serving time for larger events (although we are normally within minutes).

Issue like the above are not the norm for us, but do happen.

And most (but not all) are generous enough to realize that a tip takes the sting out of the additional labor.

My general feeling is that nobody likes extra line items.

Once again though, if you don't bill it, you won't get it.
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Lost Nation
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PostPosted: Jul 10 2011    Post subject: Reply with quote

I struggle with the gratuity issue, I recently put a tip jar out at my vending location with the tips going to our local Ronald McDonald house (my wife and I cook dinner there once a month).

For my catering business I don't include gratuities but try to mention it to client's that I don't include it that tips are up to them.

Last weekend I cooked for a rehearsal dinner at a refurbished barn in the Mad River Valley ( location of Sugerbush and Mad River Glen ski areas).

I was contacted by the groom over the winter that they wanted a big BBQ guy with a big BBQ pit for the dinner. He also told me that his caterer from NYC was coming up for the wedding and were setting up the hall and serving the salads and beans and if I was interested in just cooking the meat.

I sent him my pricing that I doubled then discounted them a little for not serving.He liked the price and sent a check for the entire amount of $4200 (w/taxes) back in March.

Dinner went great, we cooked behind the barn 3 1/2 stories below the hay loft dining area with the other caterer running. Cooked ribs, chicken, salmon, a brisket appetizer and cooked the corn for the other caterer who didn't want to bring up a big pot.

When the dinner was over Andy's father came up and raved about our food. He told me that when he and Andy travel they stop at BBQ places all the time and he thought our food was the best he had and asked if I would come up to the "farm" to cook for a few parties they had .

Turns they are horse people and have the farm in VT, a ranch in FLA and a ranch in Montana along with the home in NYC. He then gave me a $1000 tip and asked for my card with contact information.

The forth weekend was a good one.
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Geronimo
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PostPosted: Jul 11 2011    Post subject: Reply with quote

LoneRanger wrote:
In those case’s Bbqman, could you not additionally charge them for any delays, overages or extra time incurred that’s caused by them in executing the original contract?


I charge $50.00 to serve from any other place than where the BBQ is sitting.

One hour serving time is included in our price quote (bill) additional time is billed @ $100.00 per hr billed in 15 min increments.

And to answer your question about largest gratuity received: $3,585.00 back when I was only charging 15% gratuity....and yes, it was "mandatory" and no, there were ZERO complaints about the gratuity...or the service.
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Inner10
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PostPosted: Jul 11 2011    Post subject: Reply with quote

Quote:
That's twisted misleading business practice and dishonest too boot..


I never said it I practiced it, I was referring to people's reactions. Besides it is not twisted or misleading, I'm welcome to run my business how I see fit, choose my labour rate and my margins.

In no way do I see it as "twisted" or "dishonest" the products I sell are an installed price. This is a value added service people pay for. I do not sell commodities I sell a service. If someone insists on providing their own components they pay a heavy premium.

Charging a mandatory gratuity is just another way of itemizing things, and I don't think its a "bad idea" but some people may react differently. For instance I am not in the food service industry but every part I use I itemize and markup instead of lumping it into one line item.
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Geronimo
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PostPosted: Jul 11 2011    Post subject: Reply with quote

Inner10 wrote:


Charging a mandatory gratuity is just another way of itemizing things, and I don't think its a "bad idea" but some people may react differently. For instance I am not in the food service industry but every part I use I itemize and markup instead of lumping it into one line item.


It is fairly easy to mark up items that the general public has no real clue what YOU pay for it.

Food items on the other hand (to me) is a bit more difficult as everyone goes shopping for foods at one time or another and has a "general" idea of what things cost.

I don't (can't) charge $20 for a chicken breast that cost me $2 and then charge labor on top of that. My labor is included in my price and if I have to hire labor, I pay that out of my own proceeds.

Now that being said, a LOT (might even say "most") catering companies do charge for labor as well as equipment needed to put the event on...AND charge a "mandatory" gratuity.

Case in point, one of my regular helpers also works PT for another catering company. Last week he had to arrive at the event site @ 7:30AM to help (2 of them) set up the event to include; rented tables, chairs, linens, polish silver, glasses, etc.

Then they had a 3 hr break before he had to go back and start a 12' rented grill (charcoal) to cook bone in chicken breast and salmon (the caterer had them steam (in foil) the salmon on the grill). Shocked Shocked

Anyway, the caterer "marked up" the rentals by 30% over what she paid.

Then she charged hourly labor for set up (she pays $15 per hour for general labor, wait staff and charges the client $30 per hour).

Then she charges the client $50 per hour for the cook (while still paying this person $15 per hour).

He had to stay until the event was over and tear everything down to be picked up the next morning by the rental company.

He worked a total of 16 hrs that day (July 3rd) all for $15 per hour. Shocked Shocked

I think I pay too much.. Shocked
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Harry Nutczak
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PostPosted: Jul 11 2011    Post subject: Reply with quote

Inner10 wrote:
What's the difference between charging a mandatory gratuity and increasing the price per plate?


The way I see it, the difference lies in where the client is led to believe where that gratuity money is going.

Most people would expect that the gratuity for the service would go to the servers as part of their total compensation.
Whereas a higher plate charge would be expected to go to the catering business operator.

If I was forced to pay a mandatory gratuity, and later found out that the gratuity which I paid did not go to the employees as their income, but instead got pocketed by the operator, I would be livid, and I would most likely make a few calls to the states revenue department and demand an investigation.
http://www.seattlepi.com/local/article/Monday-is-the-beginning-of-gratuity-reality-1244395.php

Apparently the deceptive practice of not disbursing monies from mandatory gratuities was widespread enough for the state to enact some new laws which force companies to declare where the money is going.
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