Highlights of Look Good Naked Boot Camp’s Item 19 Financial Performance Representations (2013 FDD) – Part 1

Explanatory Notes for Part 1 – Statement of Annual Projected Gross Sales and Earnings

• The following are statements of projected annual Gross Sales and earnings for a franchised Look Good Naked business. These annual projections assume 4 equal quarters of Training Sessions for 12-week periods and assume that there will be 4 Training Sessions each week of the 12-week period.

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  In calculating these Gross Sales, the franchisor assumes that each 12-week training session quarter has an average of 10 clients, but Training Sessions will likely vary in size from 5-15 clients.

• The franchisor has set forth 3 projections:

• (1) One location with one 1-hour Training Session offered 4 times per week with 10 clients;

• (2) One location with two 1-hour Training Sessions offered 4 times per week with 10 clients in each Training Session;

• (3) One location with three 1-hour Training Sessions offered 4 times per week with 10 clients in each Training Session.

• These projections are based on Gross Sales information from the Look Good Naked businesses operated by the franchisor’s owners based on Training Sessions offered at regular locations.

• The franchisor did not base these projections on Gross Sales or expenses associated with offering Training Sessions at Corporate Locations because Look Good Naked businesses that offer Training Sessions at Corporate Locations may not offer Training Sessions 4 times per week, offer a shorter Training Session, and charge a lower rate.

• The additional assumptions the franchisor made in compiling these projections are set forth in the notes and assumptions to be published in Part 2 of this FDD Talk. Any change in these assumptions would require material alterations to the projections.

• These projections are for the first year of operation following completion of the company’s training program.

• These projections of Gross Sales, Enrollment Fees, Rebates, and Income are merely estimates and should not be construed as the actual or probable Gross Sales, Enrollment Fees, Rebates, and Income that will be realized by any franchisee. The franchisor does not represent that any franchisee can expect to attain such Gross Sales, Enrollment Fees, Rebates, or Income.

Part 1 – Statement of Annual Projected Gross Sales and Earnings

1 Training Session/Quarter (10 Clients Each)

Gross Sales

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