Franchised Restaurant Chain
Industry:
HospitalityService:
Cash Flow ManagementCompany:
70+ Franchised Fast Food Restaurant ChainSituation:
A restaurant group, which was a 70+ unit franchised Jack in the Box fast food restaurant chain along with other affiliated fast food restaurants and a real estate holding, was losing $200,000 per month.
Focus Scope:
A Focus Managing Director led a team of Focus Professionals that was engaged to conduct a cash flow analysis of the restaurant group.
Tasks Performed:
During this role, our Professionals:
- Developed a comprehensive cash flow projection model that rolled up individual restaurant activity and enabled the user to perform sensitivity analyses based on different operating assumptions.
- Analyzed restaurant operating metrics vs. data reported for locations owned by Jack in the Box corporate.
- Recommended the sale of certain restaurants based on review of cash flow projections, local market activity, franchisor support and other factors.
Results:
Our detailed restructuring plan resulted in positive pro forma operating cash flow for the restaurant group.