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Friday, April 18, 2014

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Multi-Location Restaurant Franchisee

Our firm currently represents a multi-location casual restaurant franchisee with a presence throughout Missouri and Illinois. Each well-maintained, high-traffic store averages more than 4,800 square feet and reached $1.41 million in annual sales in 2009. Consolidated sales have remained fairly stable in recent years, averaging $18.8 million per year between 2007 and 2009. The Company has not added any new franchise locations over the last eight years. Additionally, two store closures in 2007 and partial closures for other locations for remodels also contributed to lack of sales growth. Therefore, on a same-store basis, the operation has largely demonstrated steady year-over-year growth. Consolidated sales in 2010 are forecast to reach $17.8 million, representing a modest decline of 3.9 percent from 2009 levels. Through the seven-month interim period ended July 31, 2010, consolidated sales approximated $10.6 million.

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