Want Bigger Margins? Start with Smarter Purchasing 

Running a foodservice business means wearing a lot of hats—and trying not to drop any of them. From staffing to service, back-office ops to guest experience, you’re managing a constant balancing act. And while labor and payroll might be top of mind, there’s another area quietly eating into your profits: purchasing.

Every order you place, every invoice you approve, and every supply you restock impact your margins. And if you don’t have a clear line of sight into where your money is going, you could be spending more than you should, without even realizing it.

Overcharges appear on 92% of all invoices, meaning most operators are leaving money on the table without realizing it. The good news? Better margins start with smarter decisions.

We get it—there’s no shortage of challenges in this industry. But there are more tools than ever to help you run leaner, faster, and more profitably. And it starts by looking at your purchasing through a more strategic lens.

Gone are the days of relying solely on old-school purchasing models, where spreadsheets, gut decisions, and vendor loyalty drove most of your choices. Today’s top-performing operators are embracing a new way forward: one that uses data, automation, and trusted partners to gain control over spend and uncover hidden opportunities.

When operators take the time to evaluate how they source products, manage contracts, and negotiate pricing, they uncover opportunities to save big. And when you pair those strategies with modern technology and the right partners, you don’t just protect your bottom line—you set your business up to scale.

See the full case study with Hops n Drops on how TipHaus and Back Office by Buyers Edge Platform worked together to cut payroll processing to just 15 minutes and reduce inventory time by 90%, all while scaling to 22 locations without adding headcount.

Common Purchasing Pitfalls That Hurt Your Bottom Line

Even experienced operators can fall into patterns that quietly drain profits. Here are a few purchasing missteps that can add up fast: 

Sticking with the same vendors out of habit – Loyalty is great, but it shouldn’t come at the cost of better pricing or service elsewhere. 
Manually checking invoices – It's time-consuming and error-prone. Small discrepancies often slip by unnoticed. 
Missing rebate opportunities – If you’re not tracking which items are eligible for rebates, you could be missing out on dollars you’ve already earned. 
Overordering or underordering – Without accurate purchase data, it's easy to waste money on excess inventory—or run out when you need it most. 
Lack of price benchmarking – If you don’t know what other operators are paying for the same items, how can you be sure you’re getting a fair deal?

Avoiding these pitfalls starts with awareness and builds with the right systems, data, and processes in place. 

Why smarter purchasing pays off 

Here’s what happens when your technology and your partners are working for you:

You get full visibility into your spend—what you’re buying, from whom, and at what cost
You spot contract and rebate opportunities that might be slipping through the cracks
You tap into discounted pricing and trusted supplier networks tailored to your operation
You automate manual, error-prone tasks that slow your team down and increase risk

All of that adds up to one thing: more margin to reinvest in what matters most—your people, your guest experience, and tech that makes life easier (like TipHaus!).

It's not about doing it all—it's about doing it smarter. 

If you’re already using TipHaus to streamline tip distribution and give your team faster access to earnings, you’re already ahead of the game. Now imagine having that same kind of transparency and automation applied to your entire purchasing strategy. 

That’s where our trusted partners at Buyers Edge Platform come in. They help foodservice operators take control of their spend with tech-driven solutions, contract management, and purchasing insights—all designed to boost profitability without adding complexity. 

At El Toro Mexican Restaurants, leveraging flexible purchasing models opened hours of operational bandwidth. By streamlining processes, John Mayes was able to shift his focus back to what really matters—supporting managers, empowering employees, and elevating the guest experience. 

Spend less time guessing and more time growing. 

Learn how our trusted partners at Buyers Edge Platform help foodservice operators streamline purchasing and protect their margins. 