What was the total cost of sales for RC LF Springfield Lees Famous Recipe?
Lees_Famous_Recipe Franchise · 2025 FDDAnswer from 2025 FDD Document
-
| - | - | (313,577) |
| Total other income (expenses), net | 1,909,672 | - | 253 | 9,132 | (2,088,387) | (169,330) | | Income (Loss) Before Income Taxes | (113,924) | 1,550,244 | 532,664 | 5,479 | (2,088,387) | (113,924) | | Income Tax Benefit | - | - | - | - | - | - | | Net Income (Loss) | $ (113,924) | $ 1,550,244 | $ 532,664 | $ 5,479 | $ (2,088,387) | $ (113,924) |
ARTEMIS RESTAURANT CORP. CONSOLIDATING STATEMENT OF OPERATIONS LEE'S 4-WALL, LLC YEAR ENDED DECEMBER 31, 2023
| LFRC Ocala | LFRC Lima | LFRC Springfield | LFRC Mt. Sterling | LFRC Ft. Wayne | LFRC Sanford | Elimination | Lee's 4-Wall, LLC Total | |
|---|---|---|---|---|---|---|---|---|
| Revenue: | ||||||||
| Sales by company-operated restaurants | $ 4,993,934 | $ 5,410,910 | $ 12,581,413 | $ 4,184,800 | $ 6,799,462 | $ 179,422 | $ - | $ 34,149,941 |
| Cost of Sales: | ||||||||
| Company-operated restaurant expenses - | ||||||||
| Food and paper | 1,895,194 | 2,040,125 | 4,949,389 | 1,692,530 | 2,736,196 | 55,217 | - | 13,368,651 |
| Payroll | 1,426,583 | 1,390,798 | 3,947,304 | 1,111,442 | 1,942,713 | 80,406 | - | 9,899,246 |
| Occupancy and other operating expenses | 618,442 | 643,922 | 1,530,311 | 315,620 | 250,271 | 14,224 | 3,372,790 | |
| Total cost of sales | 3,940,219 | 4,074,845 | 10,427,004 | 3,119,592 | 4,929,180 | 149,847 | - | 26,640,687 |
| Gross profit | 1,053,715 | 1,336,065 | 2,154,409 | 1,065,208 | 1,870,282 | 29,575 | - | 7,509,254 |
| General and Administrative Expenses | 778,909 | 749,165 | 1,595,203 | 489,451 | 850,314 | 27,795 | 4,490,837 | |
| Operating income | 274,806 | 586,900 | 559,206 | 575,757 | 1,019,968 | 1,780 | 3,018,417 | |
| Other Income (Expenses): | ||||||||
| Miscellaneous income | 11,935 | 9,154 | 26,885 | 5,603 | 17,274 | 443 | - | 71,294 |
| Interest expense | - | - | ´- | - | _ | - | - | |
| Total other income, net | 11,935 | 9,154 | 26,885 |
Source: Item 21 — FINANCIAL STATEMENTS (FDD page 69)
What This Means (2025 FDD)
According to the 2025 Lees Famous Recipe FDD, the total cost of sales for LFRC Springfield was $10,427,004. This figure is part of the overall financial statement for company-operated restaurants. The cost of sales includes specific expenses such as food and paper ($4,949,389), payroll ($3,947,304), and occupancy and other operating expenses ($1,530,311).
Understanding the components of the cost of sales is crucial for prospective franchisees. Food and paper costs are directly related to the ingredients and packaging required to produce menu items. Payroll represents the wages and benefits paid to employees at the Springfield location. Occupancy and other operating expenses cover rent, utilities, and other costs associated with running the physical restaurant.
These figures provide a benchmark for franchisees to compare against their own potential or actual operating costs. By analyzing these expenses, franchisees can identify areas where they might be able to improve efficiency or reduce costs. It's important to note that these are costs for a company-operated restaurant and may not directly translate to a franchised location due to differences in scale, management practices, or local market conditions. Franchisees should conduct their own due diligence and consult with financial advisors to develop realistic financial projections.
It is also important to note that the Springfield location had revenue of $12,581,413. After subtracting the total cost of sales, the gross profit was $2,154,409. This information helps a franchisee understand the overall profitability of this particular location.