{
  "name": "Washington DC Restaurant Profit Margin Benchmarks",
  "description": "Gross margin, net margin, cost-share, labor, and market-size benchmarks for independent restaurants in Washington DC, District of Columbia. Ranges are planning benchmarks for owner-operated businesses, not forecasts.",
  "version": "2026 city benchmark edition",
  "city": "Washington DC",
  "state": "District of Columbia",
  "industry": "Restaurant",
  "reviewStatus": "screening",
  "coverage": "Independent restaurant operators in Washington DC, District of Columbia; 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/washington-dc/",
  "citation": "HustleFin (2026). Washington DC Restaurant Profit Margin Benchmarks. Retrieved from https://hustlefin.com/benchmarks/restaurant/city/washington-dc/",
  "metrics": [
    {
      "key": "gross_margin_pct",
      "label": "Gross margin",
      "unit": "percent",
      "low": 54,
      "average": 61,
      "high": 66
    },
    {
      "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": 29,
      "average": 34,
      "high": 38
    },
    {
      "key": "rent_cost_pct",
      "label": "Rent (% of revenue)",
      "unit": "percent",
      "low": 5,
      "average": 8,
      "high": 13
    },
    {
      "key": "typical_revenue",
      "label": "Typical revenue",
      "unit": "text",
      "value": "$350,000 – $3,000,000/year for independent DC restaurants"
    }
  ],
  "labor": {
    "minimumWage": "$17.50/hr (DC)",
    "stateMinimumWage": "$17.50/hr (District of Columbia)",
    "tippedWage": "$10.00/hr + tips (phasing to $12.00 by 2027, full parity ~2027–2028 under Initiative 82)",
    "note": "DC's tipped wage is on a statutory phase-up schedule to parity with the standard minimum wage. Each July 1 adjustment increases both standard and tipped rates. Initiative 82 is the underlying legislation driving the phase-up."
  },
  "market": [
    {
      "label": "Estimated restaurants",
      "value": 2500
    },
    {
      "label": "Commercial rent range",
      "value": "$35–55/sqft (14th St/Shaw/Georgetown), $25–35/sqft (Petworth/Brookland/H Street NE)"
    },
    {
      "label": "Sales tax on food",
      "value": "10% on restaurant meals (vs. 6% general retail, 8% off-premise alcohol)"
    },
    {
      "label": "Special fees",
      "value": "Initiative 82 tipped wage phase-up; ABRA license complexity (multiple endorsements); federal shutdown risk affects revenue"
    }
  ],
  "sources": [
    {
      "label": "DC Department of Employment Services",
      "url": "https://does.dc.gov/",
      "note": "DC minimum wage determinations and labor standards."
    },
    {
      "label": "DC Office of Tax and Revenue",
      "url": "https://dc.gov/",
      "note": "DC tax rates and business filing requirements (department pages reachable from the DC portal)."
    },
    {
      "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 — Washington-Arlington-Alexandria, DC-VA-MD-WV",
      "url": "https://www.bls.gov/oes/current/oes_47900.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."
    }
  ]
}
