Safia's Disclaimor:...1. All aspects of the retail food industry are highly competitive, but the competition in the pizza industry is particularly intense. The Company will be competing with a large number of other pizza and sub establishments such as Mr. Gatti’s, Pizza Hut, Papa John’s, Austin’s Pizza, Subway, Thundercloud Subs, and a number of small “mom and pop” establishments. Some of the competitors have greater financial resources and more established reputations than this company.
2. Higher than anticipated costs in items including, but not limited to, equipment, supplies, and leases, may result in an earnings shortfall.
3. The advertising and marketing strategies and resources may not be as effective as anticipated resulting in a revenue shortfall.
4. Oil price increases may result in higher than anticipated operating expenditures.
5. Further acts of war or terrorism, severe weather conditions, health epidemics or pandemics, or the prospect of these events can have an adverse affect on consumer spending and confidence levels which may hamper the growth of the business.
6. Legal problems, including but not limited to lawsuits over issues such as food borne illness may result in a detrimental financial impact and/or negative publicity.
7. Employee pilferage may occur resulting in financial hardship.
8. The Company has no production facilities for food and equipment and is dependent upon obtaining the services of outside manufacturers. Shortage on the part of food suppliers and/or manufacturers would cause harm to business operations.
9. Delay in hiring and/or training of new employees may cause growth to slow.
10. The success of the Company will depend on the ability of management to operate daily. The Company plans upon growing its base of management as needed and when it becomes financially feasible. There is no assurance that management can do this in a timely or profitable manner.
11. Even though supported by the franchisor some of the management has limited experience in the operation of a pizza restaurant.
12. Our ability to anticipate and respond to trends or other factors that affect the informal eating out market and our competitive position in the diverse markets we serve, such as spending patterns, demographic changes, consumer food preferences, publicity about our products or operations that can drive consumer perceptions, as well as our success in planning and executing initiatives to address these trends and factors or other competitive pressures may affect the success of the business.
13. Our results of operations are substantially affected not only by global economic conditions, but also by local operating and economic conditions, which can vary substantially by market. Unfavorable conditions can depress sales in a given market and may prompt promotional or other actions that adversely affect our margins or constrain our operating flexibility.
14. Each of the Company’s restaurants is subject to licensing and regulation by alcoholic beverage control, health, sanitation, safety and fire agencies in the state, county and/or municipality in which the restaurant is located. The Company generally has not encountered any material difficulties or failures in obtaining the required licenses or approvals that could delay or prevent the opening of a new restaurant and although the Company does not, at this time, anticipate any occurring in the future, there can be no assurance that the Company will not experience material difficulties or failures that could delay the opening of restaurants in the future.
15. The Company’s ability to meet its growth plan is dependent upon, among other things, its ability to identify available, suitable and economically viable locations for new restaurants, obtain all required governmental permits (including zoning approvals and liquor licenses) on a timely basis, hire all necessary contractors and subcontractors, and meet construction schedules. The costs related to restaurant and concept development include purchases and leases of land, buildings and equipment and facility and equipment maintenance, repair and replacement. The labor and materials costs involved vary geographically and are subject to general price increases. As a result, future capital expenditure costs of restaurant development may increase, reducing profitability. There can be no assurance that the Company will be able to expand its capacity in accordance with its growth objectives or that the new restaurants and concepts opened or acquired will be profitable.
Site designed by New Dynamic Media Productions, Inc.s disclaimor:
