{
  "name": "Chicago Restaurant Profit Margin Benchmarks",
  "description": "Gross margin, net margin, cost-share, labor, and market-size benchmarks for independent restaurants in Chicago, Illinois. Ranges are planning benchmarks for owner-operated businesses, not forecasts.",
  "version": "2026 city benchmark edition",
  "city": "Chicago",
  "state": "Illinois",
  "industry": "Restaurant",
  "reviewStatus": "screening",
  "coverage": "Independent restaurant operators in Chicago, Illinois; national chains, franchise groups, and multi-unit operators excluded unless noted",
  "dataCompiledAt": "2026-06-22",
  "sourcesVerifiedAt": "2026-09-27",
  "license": "https://creativecommons.org/licenses/by/4.0/",
  "sourcePage": "https://hustlefin.com/benchmarks/restaurant/city/chicago/",
  "citation": "HustleFin (2026). Chicago Restaurant Profit Margin Benchmarks. Retrieved from https://hustlefin.com/benchmarks/restaurant/city/chicago/",
  "metrics": [
    {
      "key": "gross_margin_pct",
      "label": "Gross margin",
      "unit": "percent",
      "low": 56,
      "average": 63,
      "high": 68
    },
    {
      "key": "net_margin_pct",
      "label": "Net margin",
      "unit": "percent",
      "low": 0,
      "average": 3,
      "high": 5
    },
    {
      "key": "labor_cost_pct",
      "label": "Labor cost (% of revenue)",
      "unit": "percent",
      "low": 28,
      "average": 33,
      "high": 37
    },
    {
      "key": "rent_cost_pct",
      "label": "Rent (% of revenue)",
      "unit": "percent",
      "low": 5,
      "average": 8,
      "high": 12
    },
    {
      "key": "typical_revenue",
      "label": "Typical revenue",
      "unit": "text",
      "value": "$300,000 – $2,500,000/year for independent Chicago restaurants"
    }
  ],
  "labor": {
    "minimumWage": "$16.20/hr (Chicago city)",
    "stateMinimumWage": "$15.00/hr (Illinois state, $9.00 tipped)",
    "tippedWage": "$9.48/hr (≤20 employees), $11.02/hr (21+ employees)",
    "note": "Chicago's municipal wage ordinance exceeds the state rate. The tipped wage is tiered by employer size — unique among pilot cities. Adjusts annually July 1."
  },
  "market": [
    {
      "label": "Estimated restaurants",
      "value": 7300
    },
    {
      "label": "Commercial rent range",
      "value": "$25–40/sqft (West Loop/River North/Wicker Park), $18–25/sqft (neighborhood)"
    },
    {
      "label": "Sales tax on food",
      "value": "11.75% on prepared food (10.25% base + 0.50% MPEA + 0.25% Chicago restaurant tax)"
    },
    {
      "label": "Special fees",
      "value": "Aldermanic privilege affects liquor licensing; Cook County property tax reassessment every 3 years impacts NNN leases"
    }
  ],
  "sources": [
    {
      "label": "Illinois Department of Revenue",
      "url": "https://tax.illinois.gov/",
      "note": "State sales tax, home-rule, and restaurant-specific tax treatment."
    },
    {
      "label": "U.S. Census Bureau — County Business Patterns",
      "url": "https://www.census.gov/programs-surveys/cbp.html",
      "note": "Establishment counts and payroll by industry and geography. Source of the estimated business counts on this page."
    },
    {
      "label": "BLS OEWS — Chicago-Naperville-Elgin, IL-IN-WI",
      "url": "https://www.bls.gov/oes/current/oes_16980.htm",
      "note": "Metropolitan-area occupational wage estimates from the BLS OEWS program."
    },
    {
      "label": "National Restaurant Association — Research",
      "url": "https://restaurant.org/research-and-media/research/",
      "note": "Industry operations data and cost-structure research for US restaurants."
    },
    {
      "label": "City of Chicago",
      "url": "https://www.chicago.gov/",
      "note": "City business affairs and licensing, plus restaurant-specific taxes."
    }
  ]
}