Learn How to Make a Safer, Smarter Franchise Investment - Click Here
Highlights of Cosi’s Item 19 Financial Performance Representations (2013 FDD) – Part 1
- Table 1 reflects the results of the 80 Cosi Restaurants that the company owns and operates (“company-owned”) and that were open during the company’s 2011 fiscal year, which began on December 28, 2010 and ended on January 2, 2012 (“FYE 2011″).
- All averages shown in the table are mean averages. The number (and percentage) of company-owned Cosi Restaurants which exceeded the average sales reflected in the table is 37 (46.1%); the number (and percentage) of company-owned Cosi Restaurants which had a lower percentage of the costs reflected in the table is 37 (46.1%) for cost of goods sold, 34 (42%) for hourly labor, and 34 (42%) for management labor.
- The cost of goods sold expressed as a percentage of average sales, includes food, beverages, coffee beans, retail items, and liquor in those Cosi Restaurants which sell liquor.
- Both management and hourly labor costs, expressed as a percentage of average sales, include wages and vacation pay, but exclude taxes, benefits, and bonuses.
- This table only reflects three categories of costs. Your franchised Restaurant will have numerous other fixed and variable operating costs. In addition, this table does not include other expenses which all franchisees will incur, such as debt service, income taxes, depreciation and amortization, franchisee-specific expenses such as royalties, investor draws and distributions, and others.
- This table was prepared from data compiled in the ordinary course of business by the franchisor’s employees. The results are unaudited.
- As of March 14, 2012, 80 Cosi Restaurants are owned and operated by the company and 56 Cosi Restaurants are owned and operated by franchisees (including 4 in the United Arab Emirates). The first franchised Cosi Restaurants opened in 2005.
- All existing company-owned Cosi Restaurants offer some catering and delivery activities, although the extent and volume of these activities varies. During the period covered by their earnings claim, the aggregate portion of gross sales derived from catering and delivery activities for the 80 Restaurants referenced above was approximately 9.2%.
Top 10 Company-Owned Cosi Restaurants by Sales