Restaurants have two kinds of costs. Fixed costs, which remain the same month-to-month, and variable costs, which are subject to change depending on many factors. Here's a breakdown:
Fixed costs include rent, mortgage, salaries, loan payments, license fees, and insurance premiums. These costs are easier to budget for when opening a restaurant because they don't fluctuate much each month.
Variable costs include food, hourly wages, and utilities. These costs are harder to predict when opening a restaurant because they vary according to output. After several months, you'll know what to expect each month.