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Monday, July 07, 2008 1:15:22 PM
Fact: first store is very profitable. 6% downtick over a year is not a concern, as it is natural that something like this would max out. The factor that it is a novelty or "new" will only last so long. Only thing is that O/H could grow, especially if they are hiding restaurant direct cost there. Multiply those numbers by 3, take into account floor space, and you have yourself a break-even operation. Optimistically, a profitable one. FIrst restaurant took 3 months to grow it's business. in a mall....
If these numbers were not pointing to break-even, I would have predicted the slide to continue and not invested. The fact that it did continue means.. either the market is really negative and I was unlucky.. or I am an idiot. Either way, do not trust me to change your fuel filter in your car. I could hurt you and/or myself.
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