|
The financial
projections are based on the Franchisee operating from a retail
premises of some 400 sq ft approved by the Franchisor. It is assumed
that the Franchisee manages the outlet.
|
Phase 1 |
Phase 2 |
Phase 3 |
|
|
|
|
Sales excluding VAT |
£235,000 |
£363,800 |
£430,000 |
|
|
|
|
Direct Costs |
|
|
|
Cost of Sales
|
£89,300 |
£138,250 |
£163,400 |
Management Services
Fees
|
£15,275 |
£23,650 |
£27,950 |
Marketing Levy
|
£3,525 |
£5,460 |
£6,450 |
Total Direct Costs |
£108,100 |
£167,360 |
£197,800 |
|
|
|
|
Gross Profit |
£126,900 |
£196,440 |
£232,200 |
|
|
|
|
|
|
|
|
Operating Costs |
£124,000 |
£124,000 |
£124,000 |
|
|
|
|
|
|
|
|
Operating Profit |
£2,900 |
£72,440 |
£108,200 |
Operating profit is prior to franchisee remuneration, repayments
on establishment costs, any bank interest charges, depreciation
and tax.
Note
Operating costs include: staff wages,
rent and rates, equipment and EPOS system finance leasing, insurance
light and heat, telephone, printing and promotional materials
repairs and renewals of equipment, service contracts and maintenance
laundry and cleaning and waste removal, staff protective clothing,
credit card charges, packaging, property repairs, health and
hygiene, bank activity charges, vehicle and miscellaneous.
These projections are estimates of
sales and costs that are based on our last year's historical
trading performance in Newquay and our perception of a nationwide
sales price and related experience in the business and are
not a guarantee that you will achieve the same results. The
success of a franchisee will very much depend on their own
efforts, local market and general economic conditions. |
