Earnings Claims of Top Franchises Revealed

Earnings Claims of Top Franchises Revealed

  • Anytime Fitness
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FDD Talk Daily: Average Gross Sales, Operating Expenses, and Operating Profits of Company-Owned Kolache Factory Stores (High Group)

by Franchise Chatter on January 15, 2013

in Bakery Franchise,Franchise Earnings



Franchise Chatter Membership Information

Highlights of Kolache Factory’s Item 19 Financial Performance Representations (2012 FDD) – Part 1

  • The franchised business is a retail bakery cafe that sells an assortment of kolaches and complementary menu items under the Kolache Factory trade name.
  • The total investment necessary to begin operation of a new Kolache Factory franchise ranges from $340,330 to $490,000, exclusive of real estate acquisition or lease costs. This includes $35,000 that must be paid to the franchisor or an affiliate.
  • In addition, you will pay the franchisor $28,000 for your second and additional franchises.

Sales and Operating Profit (EBITDA) Information for Company-Owned Stores in Fiscal Years 2010 and 2011

  • Kolache Factory Photo by WarOnStringsAs of December 31, 2011, Kolache Factory, Inc. (“KFI”) was operating 18 Stores in the Houston, Texas market, 2 additional Stores in Texas outside of the Houston market, and 1 Store outside of the State of Texas (Indianapolis, Indiana).
  • The following table presents sales and profit information (commonly called “EBITDA”) for the KFI Stores in fiscal years 2010 and 2011.
  • The “High” designation presents the average EBITDA of the 4 Stores that achieved the highest sales and operating profit during those 2 years.
  • The “Middle” designation presents the average EBITDA of the 4 Stores that achieved the next highest sales and operating profit during those 2 years.
  • The “Low” designation presents the average EBITDA of 4 KFI Stores. The Low group contains a store that is open only Monday through Friday.
  • The information in this section is derived from KFI’s audited statements, but itself is unaudited.


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