Southern Proper Hospitality Eliminates 4 Bank Runs A Week With Kickfin
About the company
Southern Proper operates 23 restaurants. Concepts range from elegant southern gastropub, to Spanish tapas restaurant, to coastal seafood.
Location
Southeastern U.S. (Gyspy Kitchen located in Washington D.C.)
Number of locations
23
Service type
Full service
“We used to go to the bank 3-4 times a week, and we’d walk out with $10,000-$15,000 in cash. Now that we’re using Kickfin, I think I’ve been to the bank once in the past month. As an operator, there’s a sense of security that we no longer need to have that much cash on site.”
Managing Partner,
Southern Proper Hospitality
Key Results
- Eliminated 3-4 bank trips a week
- Saved managers 20-30 minutes per shift distributing tips
- Mitigated risk by reducing volume of cash on premises
- Strongly preferred by employees over cash/paycard tip payments
Southern Proper hits their tipping point
Southern Proper Hospitality operates 20+ restaurants across the Southeast. Each concept has been wildly successful — but operationally, cash tip payouts were slowing them down. The costs of managing cash management were piling up: frequent bank runs, tedious tip distribution process, lack of visibility accounting issues — just to name a few.
The team knew cash wasn’t going to cut it — so they signed up for Kickfin shortly after Gypsy Kitchen opened its doors in Washington D.C.
“The thing about restaurants is that a lot of the workforce is made up of younger generations. They’ve grown up with technology that provides instant experiences and a high level of convenience — it’s really all they know. Kickfin is a service that’s in-line with what they need and expect: convenience, speed, safety,”
“So, so easy.”
The SPH team doesn’t shy away from technology. They have software and systems for every aspect of their operations — from POS to invoicing to accounting to payroll.
“Kickfin stands out from the rest of the tech we’re using. This, by far, has been the easiest program to stand up and use.”
SPH explored other digital tip payment options, but none compared to the functionality and ease of use of Kickfin: no hardware, no integrations required, no predatory fees, and as they put it: “You really only need two fingers to make it work.”
Employees are (big) fans.
Cash management isn’t just an issue for managers and operators. It’s a problem for employees too — because really, no one uses cash any more.
“They’re not paying with cash — they’re doing everything digitally. So when we pay out tips with cash, they have to make their own bank runs, too. In the city, they have to take an Uber or walk to the bank and deposit their money before they can use it. It just makes so much more sense to put it in their account where it ultimately ends up anyway.”
The bottom line
By bringing Kickfin to Gyspy Kitchen, SPH transformed its old-school method of tip distribution into an efficient, automated process. They’ve eliminated their need for an every-other-day bank run, and the amount of cash on premises (and on his people) is dramatically reduced.
And — perhaps most importantly — it’s a huge value add to SPH employees.
“We’re always looking to make our workers’ jobs easier and more convenient. We’ve incorporated Kickfin into our recruiting spiel. New hires are like: Great. That’s a benefit to me.”
“We were excited to jump on Kickfin, and it’s been a great solution for us. The technology aligns with the way things are done today, especially when you think about the younger generations who make up a lot of our workforce. It’s quicker, it’s safer, it’s user friendly.”
Managing Partner,
Southern Proper Hospitality
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Do you start getting heart palpitations when you see a large party reservation in your section? This one’s for you.
Maybe your restaurant is a local go-to for corporate dinners, milestone celebrations, and birthday parties…or maybe you regularly get blindsided with 20-top walk-ins when you least expect it.
As every hospitality pro knows, no matter how prepared you are, managing large parties can be tricky. But if you do it right, it can be a fast track to large tips.
So the next time a 20-top bachelorette party drops in and “forgot to make a reservation:” no need to hyperventilate! We’ve got the tips and tricks that can keep you sane throughout a large party — and hopefully help you reel in a well-deserved tip.
4 Tips for Staying Organized
When your 25+ top walks in, getting overwhelmed can lead you to drop the ball on service and hospitality because, hey — you’re just trying to get right right food, to the right person, as fast as possible. But your guests can pick up on when you’re frazzled or frustrated, which can impact their experience (as well as your tip).
Here are a few ways to stay organized and calm throughout service.
Get (a little more) familiar with your POS
Every POS system is different, but most have come quite a long way in terms of features and flexibility. There are likely bells and whistles on your POS that you might not use every day, but that can make managing large parties much more seamless.
So use all that tech to your advantage. Set aside time for some extra training or research to understand what your POS is capable of, so that it’s all muscle memory the next time you have a large group sitting in your section.
For example, here are just a few things you should know about your POS as it relates specifically to large parties:
- Is there a max number of ways you can split a bill evenly?
- How many checks can you create on each table?
- How many ways can you split a single item?
- Do you need manager permission to add auto-gratuity?
Assign seat numbers
The only way to stay sane when dealing with a large party is to assign seat numbers — and stick to them.
You should assign seat numbers starting with your first guest on the left and continue around the table moving counterclockwise. As you put in the first round of drink orders, your POS should allow you to assign items to a seat number. Even if guests move to different seats throughout the meal, stick to their original seat number.
Sure, it’s tedious — but these numbers will be your saving grace when someone asks you for another drink or when they want to split the check by family. No matter how in the weeds you are, take the time to add seat numbers. You’ll thank us later.
When they ask for 15 separate bills, you can just drop each seat number into a new check and print. No need to go back and ask, “who had the fish?”
Don’t trust your own memory
As a server, it’s normally a crowd-pleasing flex to take everyone’s order from memory. But when you’ve got 17 people depending on you to make grandma’s 97th birthday lunch a success: Pull out your server book.
Not only are you bound to forget something, but your guests may not feel entirely comfortable either. If they’re worried you’re going to forget they want their sauce on the side, they may be less inclined to ask questions about specials or which dishes are your favorites. And if guests feel like they have to stick to the basics, you’re missing out on all of your upselling opportunities.
Just for the night, don’t be a hero: write down everyone’s order!
Bring in some help
Depending on how many guests you have at one table, you might need more help than normal — and there’s no shame in that.
If you’re aware that a big party is on the books, coordinate with your team ahead of time. For example, see if you can have an assigned busser or bartender on call to help you keep drinks filled, tables clean, and guests happy.
Wowing Your Guests
To secure the huge tips that come with large parties, you’ll have to go above and beyond.
- Be ready to make suggestions. Being knowledgeable about the menu always reflects well. Explain your specials in detail, offer drink pairings, and accommodate guests with special requests. This is your shot to upsell and increase the bill!
- Keep the drinks flowing. No one wants an empty glass. Send bussers around with pitchers to top off waters, and always be ready to grab another round of cocktails.
- Stay in contact with the kitchen. Give the chefs a heads up that you’re going to put in a large order so they can prepare accordingly. With more preparation, they’ll be able to get the whole table’s food out in a timely manner. No long waits for everyone to receive their food!
- Pre-bus as much as possible. Keep the table neat and tidy, so they have rooms for multiple rounds of appetizers, drinks, and dessert.
- Use your seat numbers. You shouldn’t have to serve entrees as if it’s an auction. Instead of announcing each dish to ask, “who had the burger?” you should be able to reference their seat number and pass each entree to the right guest. It’s a simple way to show your serving prowess (and speed up the serving process!).
Even with a crowd at your table, you can go above and beyond on service. Your guests will take notice and show their gratitude on the tip line (more on that later).
Splitting the Bill
You’ve made it through most of the craziness of a large party — but now it’s time to settle the bill. Before everyone closes out their tabs, you might have to navigate a few sticky situations.
Who’s paying?
It’s always awkward to stand next to the table while people fight over who’s taking care of the bill. Here’s what you can do to alleviate some tension:
- If someone offers to pay early on in the meal, take them up on it. Go ahead and keep their card so you can run it before the arguments start.
- When 3 different people want to pay for the meal, offer to split the bill evenly. They probably won’t take you up on it, but your suggestion should get one of the parties to acquiesce.
- Ask how checks will be split at the beginning of the meal to avoid the awkward card dance at the end. You’ll also have an easier time splitting items if you know ahead of time!
To auto-grat or not to auto-grat
Do you want to make sure you get your full 20% tip after a big table runs you ragged? Or would you rather take the risk in hopes that you’ll get an even bigger tip?
If your restaurant has an auto-gratuity policy for large parties, some servers prefer to take the sure thing and hope that your guests feel inclined to give you an extra thanks on top of it. Most guests aren’t offended and even appreciate that they don’t have to do any math — but make sure that they’re expecting the service charge. A simple line like, “We have already included a 20% gratuity in accordance with our large party policy,” goes a long way.
When you have a really fun rapport with a table, it might be the right time to forgo the auto-grat and let your guests decide how much they’d like to thank you. Keep your guests in the know, too! Some may assume that you included gratuity and skip the tip line altogether.
Either way, steel yourself before you look at their final bill. You might be surprised when customers leave less than you expected, or you might be treated to a heavier-than-average tip.
Tipping out
After it’s all said and done, your manager may have a tip out policy for supporting bussers and bartenders who assist with large parties. Make sure you know what to expect to take home after tipping out your team.
And managers, Kickfin makes large party tip outs easy. Make sure that your event bartender gets their fair share of server tip outs, without spending hours with your calculator.
>>Learn more about Kickfin’s newest tip calculation features
Whether you’re hosting a graduation party or taking care of a corporate holiday dinner, be ready to handle it with the same care and attention you give to a two-top — and let the big tips roll in!
- Product and Company News
We’re thrilled to announce that Kickfin made the Deloitte Technology Fast 500™ list, a ranking of the 500 fastest-growing technology, media, telecommunications, life sciences, fintech, and energy tech companies in North America.
How Kickfin stacks up
Overall, 2024 Technology Fast 500 companies achieved revenue growth ranging from 201% to 153,625% over the three-year time frame, with an average growth rate of 1,981% and median growth rate of 460%.
Our 2,144% revenue growth earned us the 65th spot on Deloitte’s list. It’s another exciting milestone for Kickfin — but more importantly, it’s a meaningful validation of our mission to take the clunk out of tip management, so payouts are faster, smarter and safer for every restaurant team we serve.
Based on Deloitte’s ranking, Kickfin is:
- The highest-ranked restaurant tech company on the list
- The *only* tip management company on the list
- Austin’s fastest-growing tech company
Growth driven by product innovation, demand for automation
Kickfin was the first digital end-to-end tip management solution on the market — and with more than $2 billion payouts to more than 250,000 restaurant employees, we continue to be the largest and top-ranked.
Why?
It comes down to working the way our customers work — and not the other way around. Not only do we automate the tip pooling and payout process for thousands of restaurants and bars; no two tip policies are alike, so we’ve built a solution that gives them the flexibility and customization they require.
With more than $2 billion payouts to more than 250,000 restaurant employees, Kickfin continues to be the largest and top-ranked tip management software on the market.
That’s a big reason we’ve focused on building direct, robust integrations with the leading POS systems on the market. So far, we’ve rolled out integrations with Toast, SkyTab, Oracle, PAR, Heartland and Square — and the list continues to grow.
“In recent years, digital tip management has become table stakes,” said Justin Roberts, Kickfin’s co-founder and co-CEO.
“Operators now understand the significant efficiencies to be gained by eliminating manual tip-out processes. It’s no longer a question of ‘if,’ but ‘how.’ As a direct result of our commitment to innovation and customer success, we’re thrilled to see more and more restaurants select Kickfin to modernize their tip management.”
A big thank-you to our customers who trust us with their payouts, to our partners who support, collaborate (and integrate!) with us, and of course, every member of the Kickfin team.
About the Deloitte 500
Now in its 30th year, the Deloitte Technology Fast 500 provides a ranking of the fastest-growing
technology, media, telecommunications, life sciences, fintech, and energy tech companies — both public and private — in North America. Technology Fast 500 award winners are selected based on percentage fiscal year revenue growth from 2020 to 2023.
In order to be eligible for Technology Fast 500 recognition, companies must own proprietary intellectual property or technology that is sold to customers in products that contribute to a majority of the company’s operating revenues. Companies must have base-year operating revenues of at least US$50,000, and current-year operating revenues of at least US$5 million.
Additionally, companies must be in business for a minimum of four years and be headquartered within North America.
Ready to take the next step?
See how brands like Walk-On’s, Marco’s, Bar Louie and more are automating tip pooling and payouts with Kickfin. Schedule your 10-minute demo today!
- Industry Trends
It’s an election year, in case you haven’t heard! 😉 This one has major implications for tipped employees — specifically, when it comes to taxes.
It’s no secret that our Democratic and Republican candidates are running on very different platforms. But when it comes to tip regulations, Vice President Kamala Harris and Former President Donald Trump actually both support reducing taxes on tips.
A little context on taxes and tips
We’re just going to state the obvious: For the average American, tax reporting can be pretty, pretty confusing. For the millions of employees working in tipped occupations — well, that creates another layer of uncertainties.
(Do I have to report my tips? Do have to report my cash tips? Will anyone know if I don’t report my tips? What happens if I don’t accurately or fully report what I earned?)
Historically, there’s been a trend of hospitality employees underreporting cash tips to prevent higher tax burdens. And while this may reduce what employees owe Uncle Sam in the moment, there can be downsides: e.g., if they find themselves eligible for unemployment, if they’re trying to qualify for an auto loan or mortgage, etc.
However, that urge to underreport could be relieved in the near future, given the tax code changes both of our presidential candidates have proposed. The TL;DR: Both Trump and Harris have voiced their intention to relieve some of the burden on tipped workers in restaurants, bars, hotels, and other service positions.
Here’s a quick summary of each candidate’s plan, as well as some potential impacts for restaurant employees.
Trump’s plan for tipped employees
Trump shared his plan to reduce tipped income tax burden at a rally in Las Vegas — fitting for a city that’s built on the gig economy. Nevada is home to the highest concentration of tipped employees who work in the many hotels, casinos, and restaurants that millions of tourists flock to annually.
During the rally, the former president announced that he would make tipped income exempt from federal income tax, stating it would happen “right away” when he takes office.
Since speaking at the rally, Trump has not yet clarified what this would mean for tipped employees. Many servers want to know if this is an exemption just on federal income tax or if the proposal includes payroll taxes (social security and Medicare).
Harris’s tip tax proposal
Harris also took the opportunity to speak on her tipped income policy while visiting Nevada. Much like Trump, she knew she’d have a captive audience when it comes to tipped earnings.
Her proposal promises to exempt tipped income from the federal income tax, but she has made clear that tips will still be subject to payroll taxes. While not yet confirmed, campaign insiders say Harris is considering placing some guardrails on her plan — like a caveat that the tax exemption only applies to employees earning less than $75,000 per year.
Is one plan better than the other?
In short: probably not. (Most service and hospitality workers do not earn above the $75,000 threshold that’s been suggested by the Harris campaign.) So either way, servers, bartenders, and hospitality staff can expect to see a lower tax burden during the next administration.
But what does that look like in practice?
Most tipped employees aren’t receiving their tips on payroll — they’re walking out of every shift with their earnings for the night, deduction-free. Instead, the taxes are paid on payroll out of their hourly earnings, which is why many servers get $0 paychecks every two weeks. With a reduced tax burden, most servers will see the difference in higher paychecks.
On the other hand, economists are wary of the impact of eliminating taxes on tips, citing the reduced funding for social security and Medicare. And with so much negative sentiment around “tipflation” these days, experts also speculate that a reduced tax burden may result in even more hesitance at the tip screen.
Increasing minimum wage
We’re closely following campaign promises about an increase to the minimum wage — especially in regards to the tipped minimum wage and the tip credit.
Minimum wage earners have been eyeing an increase, noting that the federal minimum wage of $7.25 per hour hasn’t increased since 2009, and servers, bartenders, and other tipped employees have been earning $2.13 per hour for over 30 years. An increased minimum wage paired with the reduced tax burden could make a major difference for service workers trying to keep up with the rising cost of living.
In the Harris camp, removing tax on tips is just part of the plan to take some pressure off service workers. While Harris hasn’t shared a detailed plan for bumping up the minimum wage, she has indicated that she would support an increase.
In previous election cycles, Trump stated that he would consider a minimum wage increase, but he has not shared his opinion on the matter during the 2024 presidential campaign.
Of course, we’re a ways out from any real policy changes actually shape — but if you’re looking to make your tip management process less taxing in the interim (see what we did there?), Kickfin is here for you! Check out how you can use Kickfin to auto-calculate tip pools and send payouts directly to employees’ bank accounts in seconds.
- Restaurant Management
No matter what industry you work in, there’s always a risk for shrinkage and theft. Ninety-five percent of all businesses experience theft in the workplace, and up to 75% of employees have admitted to stealing from their employer.
Most of the time, it’s not intentional or malicious. For restaurants, it could be something as innocent as giving your friends a free drink or asking the kitchen for food and neglecting to ring it in.
But when you have a lot of employees handling cash day in and day out, it can be very tempting for someone to take advantage of systems and pocket extra money at your expense. To make matters worse: because cash is hard to track, it can be tricky for operators to put their finger on exactly what’s happening — at least, before it starts to impact your bottom line.
While cash shrinkage can jeopardize your business, operators do have the power to protect their restaurants. Ultimately, it comes down to having the right processes, systems and partners in place.
Here are 4 things you can start doing today to protect your restaurant from cash shrinkage.
1. Create a culture of trust with employees
Most people want to come to work, do their best, and make an honest living. Creating an environment where your employees trust you with their earnings should encourage them to also be responsible with company assets, including cash.
Of course, it starts with doing your due diligence when building out your team. That means interviewing new hires in person, asking the right questions, and always checking references.
But the fact of the matter is that even good people can make poor decisions, especially when they’re struggling. As an employer, there are things you can do to keep your staff from ever getting to a place where they feel the urge or need to steal. That includes:
- Paying a fair and competitive wage
- Paying wages on time, in full
- Giving people instant access to their earnings
- Offering employee benefits and perks if possible
- Adhering to federal, state and local labor/wage regulations, especially as they relate to tips
Bottom line: If you show that employees you take their financial well being seriously, it can foster an environment of mutual respect, making employees less likely to consider theft as a reasonable (or justifiable) option.
2. Minimize cash touchpoints
It’s simple. Less cash on hand = less opportunity for cash shrinkage.
In the unfortunate case that a high-ranking employee is stealing from your restaurant, cash tip outs make it much more difficult to catch and trace. Anyone with access to cash registers and safes has the opportunity to take a few extra bills — and you may not notice until well after the cash is pocketed and spent.
Instead of locking up cash and making only a few employees responsible for the massive task of paying out tips, take advantage of new technology that eliminates cash from the tip out process. Fewer people will need to manage cash, which adds one extra layer of security against theft.
Bonus: cashless tipping vendors like Kickfin give your employees more flexibility with their earnings. They can opt for tips to be sent directly to their bank or to have them put on their payroll check, empowering employees to make their own financial decisions.
3. Create a digital paper trail
The trouble with cash is the inability to track it. Half the battle is realizing that the cash is missing; and once you know it’s gone — well, now what?
Digital gratuity management software makes it easy for restaurant operators to create a digital paper trail for all tip payouts. You’ll be able to identify any improper payments, who they went to, and who authorized the payout — removing a major security soft spot.
Not only will you feel more secure, but your loyal employees will thank you for making tip outs much easier.
4. Select a secure tip management partner
Removing cash-on-hand is a great first step, and it should make any potential theft traceable back to the person responsible. But wouldn’t you rather prevent theft before it happens?
If you’re ready to bring your gratuity management into the future, make sure to thoroughly vet your options — because not every digital tip out software has strong protections against theft.
That’s why Kickfin has optional guardrails that can mitigate your risk of employee theft.
- Maximum tip amounts: Limit the amount that can be issued in any individual payout.
- Role policies: Create policies to limit who can receive payments by role type, and limit who can send payments to themselves.
- Multi-factor authentication: Set your own rules to require MFA at any point, whether at every login or once a month.
- Payment interval approval: Trigger a requirement for second approval for an employee’s first payment or their first payment in a determined number of days.
- Payment velocity approval: Trigger a requirement for second approval when an employee receives a determined number of payments within a certain interval.
For our POS integration partners, Kickfin can also put guardrails around your tip calculation policies to prevent fraud. While we offer the ability to send payments through manual entry, spreadsheet upload, or using our tip calculation software, integration users can disallow manual and upload payments to prevent any ad hoc payouts.
Integration users can also lock in their tip calculation rules, so that only certain users can make changes to the calculation policy.
How Kickfin helps in the event of fraud
Even without the temptation of cash in the safe, where there’s a will, there’s a way.
If you find yourself in a regrettable situation with an employee, your tip management partner should be there to back you up. Thankfully, our platform tracks each payout which will help you identify irregularities and the source of the problem.
The Kickfin team will always be there to support our partners who experience security breaches.
Check your Kickfin security settings
Do you want to make sure you have the most up-to-date protections on your Kickfin account? We’ve got you covered. Reach out to your Kickfin customer support team to ask about a free security audit, where we’ll go over your current settings and offer guidance on how to minimize your risk.
Not yet a Kickfin user? Find out more about our platform and security settings with a demo today.
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