Focus Management Group

Industry:

Hospitality

Service:

Cash Flow Management

Company:

70+ Franchised Fast Food Restaurant Chain

Situation:

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.