Rosa_s+Palas by Nicole.xlsx - Rosa's Palas Franchise...

This preview shows page 1 - 6 out of 13 pages.

Rosa's Palas Franchise Initial Investment Required Franchise Fee $ 50,000 Liquor License 1,000 Inventory 15,000 Cash Float 20,000 Fixed Assets 390,000 Total $ 476,000 Equity Infusion $ 50,000 Bank Loan 426,000 Total $ 476,000
Image of page 1

Subscribe to view the full document.

Rosa's Palas Franchise Variable Cost Schedule Food Costs 35.0% Payroll Costs 20.0% Payroll Taxes 2.0% Royalty 4.0% Paper Goods 1.5% Laundry and Maintenance 0.6% Cash Short 0.5% Credit Card 2.1% Total 65.7% Contribution Margin 34.3%
Image of page 2
Rosa's Palas Franchise Fixed Cost Schedule Year 1 Year 2 Year 3 EXPENSES Cash Expenses (evenly distributed through each year) Advertising $ 75,000 $ 75,000 $ 75,000 Rent 70,000 70,000 70,000 Legal 3,600 3,600 3,600 Manager's Salary 40,000 40,000 40,000 Total Cash Expenses 188,600 188,600 188,600 Accounts Payable Expenses (1 month delayed payment) Utilities 29,400 31,400 33,400 Repairs 14,000 14,000 14,000 Insurance 12,000 12,000 12,000 Phone 10,000 10,000 10,000 Total Accounts Payable Expenses 65,400 67,400 69,400 Single Payment Expenses Liquor License 1,200 1,200 1,200 Bonus - - - Total Single Payment Expenses 1,200 1,200 1,200 Non-Cash Expenses Depreciation - Fixed Assets 139,286 71,633 59,694 Amortization - Franchise Fee 10,000 10,000 10,000 Amortization - Liquor License 200 200 200 Total Non-Cash Expenses 149,486 81,833 69,894 Total Non-Interest Fixed Costs 404,686 339,033 329,094 INTEREST Interest 34,080 21,919.20 5,847.79 Total Fixed Costs $ 438,766 $ 360,952 $ 334,942
Image of page 3

Subscribe to view the full document.

Image of page 4
Rosa's Palas Franchise Three-Year Income Statement Projections Year 1 Year 2 Year 3 Waller's Estimate 1,600,000 1,750,000 1,900,000 Sales Estimate Adjustment (%)
Image of page 5

Subscribe to view the full document.

Image of page 6
  • Winter '10
  • IanDunn
  • Generally Accepted Accounting Principles, Palas Franchise

{[ snackBarMessage ]}

Get FREE access by uploading your study materials

Upload your study materials now and get free access to over 25 million documents.

Upload now for FREE access Or pay now for instant access
Christopher Reinemann
"Before using Course Hero my grade was at 78%. By the end of the semester my grade was at 90%. I could not have done it without all the class material I found."
— Christopher R., University of Rhode Island '15, Course Hero Intern

Ask a question for free

What students are saying

  • Left Quote Icon

    As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

    Student Picture

    Kiran Temple University Fox School of Business ‘17, Course Hero Intern

  • Left Quote Icon

    I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

    Student Picture

    Dana University of Pennsylvania ‘17, Course Hero Intern

  • Left Quote Icon

    The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

    Student Picture

    Jill Tulane University ‘16, Course Hero Intern