What does overlap mean here?

The share of the second brand’s orders that would otherwise have gone to your first brand in the same week. Those orders move between brands; they are not new demand. Estimate the share from your own order patterns, delivery zone and dayparts, then compare lower and higher overlap assumptions.

Can a second brand help while the kitchen still loses money?

Yes. The change compares the combined kitchen with the first brand alone. A positive change can reduce an existing loss without eliminating it. The check shows both the change and the combined result so those two decisions remain separate.

Which costs belong in the check?

Enter food, packaging and other per-order costs as each brand’s variable-cost percentage. Enter platform commission separately. Existing fixed costs are paid once for the shared kitchen; extra fixed costs are only the costs caused by the second brand. Include each cost once and keep all ticket and cost amounts on the same tax basis.

What does this model leave out?

It does not predict demand, validate your overlap estimate, test production capacity, or calculate financing, tax or a complete net profit. It assumes the platform fee applies to each brand’s stated ticket without discounts or a different fee base. Use the Promotion Profit Gate for a discount scenario and check the actual contract before relying on either model.

Free check · Cloud kitchens

Does a second brand add profit, or move the same orders around?

Compare the kitchen you have with the pair you are planning. Count the orders that move from one brand to the other, the contribution each leaves, and the extra costs the second brand brings.

Use one week and the same tax basis throughout. Variable cost includes food, packaging and other per-order costs, excluding the platform fee. The fee applies separately to each brand’s ticket. Enter zero for any cost that does not apply.

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Single-brand kitchen model → Test a discount → Review the launch assumptions →

The weekly method

Each brand’s contribution per order is its ticket less its variable cost and platform fee. The overlap share of B’s orders replaces A orders.

The change is B’s contribution, less the contribution lost from A’s shifted orders, less B’s extra fixed costs. The combined result adds that change to A’s existing result after shared fixed costs.

Start with a realistic week, then vary overlap and expected demand. A model that only works when every B order is new needs stronger evidence before launch.

Two-brand kitchen questions

What does overlap mean here?: The share of the second brand’s orders that would otherwise have gone to your first brand in the same week. Those orders move between brands; they are not new demand. Estimate the share from your own order patterns, delivery zone and dayparts, then compare lower and higher overlap assumptions.
Can a second brand help while the kitchen still loses money?: Yes. The change compares the combined kitchen with the first brand alone. A positive change can reduce an existing loss without eliminating it. The check shows both the change and the combined result so those two decisions remain separate.
Which costs belong in the check?: Enter food, packaging and other per-order costs as each brand’s variable-cost percentage. Enter platform commission separately. Existing fixed costs are paid once for the shared kitchen; extra fixed costs are only the costs caused by the second brand. Include each cost once and keep all ticket and cost amounts on the same tax basis.
What does this model leave out?: It does not predict demand, validate your overlap estimate, test production capacity, or calculate financing, tax or a complete net profit. It assumes the platform fee applies to each brand’s stated ticket without discounts or a different fee base. Use the Promotion Profit Gate for a discount scenario and check the actual contract before relying on either model.