Highlights of Salata’s Item 19 Financial Performance Representations (2013 FDD) – Part 2

Salata Restaurants are fast casual restaurants that include eat-in and carry-out dining services at retail locations. Salata Restaurants are generally located in either traditional in-line shopping center sites, which are approximately 1,800 to 3,800 square feet in size, or in business district/non-traditional sites, which are approximately 750 to 1,800 square feet in size.

Salata Restaurants offer menus that specialize in freshly prepared salads, soups, wraps, and dressings.

The total investment necessary to begin operation of a Salata Restaurant franchise is from $386,500 to $576,000 for a traditional in-line shopping center site, and $259,000 to $399,000 for a business district/non-traditional site. This includes the $40,000 that must be paid to the franchisor, as well as approximately $3,000 to $4,000 paid to the company’s affiliate for certain proprietary foods, paper goods, and uniforms, among other items.

The franchisor may offer to enter into an area development agreement to establish and operate a certain number of Salata Restaurants at specific locations pursuant to individual franchise agreements. The area development fee will be equal to $20,000 multiplied by the number of Salata Restaurants to be developed under the area development agreement. The area development fee will then be credited, in increments of $20,000, toward the franchise fee owed for each Salata Restaurant developed. Your estimated initial investment will vary based on the number of Restaurants to be developed.

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