Restaurants and Food Service
Think restaurants have limited equipment exposures? Think again. Restaurants are not a high profit margin business, with profits often only four to ten percent of total revenues. So increasingly, astute restaurant owners are using modern technologies and new more efficient equipment as a means of managing labor, inventory and energy costs to maximize their income. This business strategy also increases equipment values and creates new risk. For instance, the high-tech equipment upgrades for a national "fast food" franchise cost about $30,000 per location. Restaurants are in the business of making customers comfortable, serving them quickly and efficiently, and selling them food and sometimes entertainment. Modern restaurants, including many owner operated franchises, utilize a full range of equipment which includes computer based cash registers integrated with point-of-sale management systems, multiple refrigeration systems, central air conditioning, hot water heaters, heating boilers, jacketed kettles, steamers, electrical systems and commercial grade sound systems.
© 2004 The Hartford Steam Boiler Insurance and Inspection Company.
All rights reserved.