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Re: Jews4Kapler post# 6067

Monday, 11/27/2006 11:48:31 PM

Monday, November 27, 2006 11:48:31 PM

Post# of 19383
jews4kapler: You may see some agreements for master franchisees come into fruition fairly quickly. However, I don't think you'll see much actual action as far as building for at least 2 years. The first year in a concept restaurant like this is a honeymoon period. It's new, everyone wants to try it to say they've been there, there's oodles of cash. It's the second year when the novelty has worn off when you get a realistic idea of what the cash flow will really be like. That's what franchisees want to see. That determines the buildout pace. I think that UWNK is realistic in their projected restaurants, I just think that they're too aggressive with their timeline projections. They'll get there, will just take longer that they think it will.