Seattle - May 13, 2015 - (Newswire.com)
Baristas Coffee Company, Inc. (OTCQB:BCCI), announced that BMOC Partners, master franchisor of Baristas Coffee Company reported milestone financial results for its first two operating stores under the Baristas mall café concept and the financial impact on its master franchise agreement with Baristas Coffee Company
The results include “better than expected financial performance, to date,” according to Lance Lehr, President, BMOC Partners. He continued by stating that “First, Baristas stores at Dubois Mall and at Stroud Mall met their first financial goal, a cash flow positive operating day, on Saturday, May 9. The normal expected time frame for achieving a cash flow positive day is typically 30-60 days from opening. Stroud met its goal on its third week of operation, and Dubois had almost double the cash flow needed for breakeven in just its second week of operation. Extremely strong bakery sales at Dubois are the primary factor for meeting the financial goal and almost doubling the required revenue. Breakeven revenue, cash flow, is typically expected within 60 to 120 days from initial opening on a typical mall food venture.”
BMOC, secondly, reports that on an annual basis it expects both locations to produce strong consistent revenues and franchise royalty payments to Baristas Coffee Co. BMOC, assuming continued strong financial results from store openings, estimates that 10 to 20 stores can be sited and opened in 2015 under the BMOC master franchise agreement, by BMOC, with revenue per store reaching budget targets rapidly.
“As each store achieves breakeven,” stated Lehr, “BMOC starts to recover its capital expenditure and allows for reinvestment into a new location.” The BMOC president noted that the spring and summer months are the slowest for mall traffic, and in fall, winter, normal traffic increases will double or triple sales as a matter of course. Lehr added that BMOC is currently in negotiation with several entities to joint venture specific markets based on the preceding financial data. “Stroudsburg is performing well,” explained Lehr, “but Dubois is showing that the rural malls are ripe for explosive growth.” Added Lehr, “this will be part of our strategy for the remainder of 2015.”
Barry Henthorn CEO stated: “We are understandably pleased that the initial revenue and reception of the Baristas in shopping malls is better than projected. As we continue to refine the offering and our ability to support operations we expect to be able to improve on what are undoubtedly encouraging initial results. Baristas is continuing to expand not only its footprint but its offerings as well.”
About BMOC: BMOC is a regional hospitality and Franchise operations company. Its founders have extensive experience in creating, marketing, and running multiple franchise systems. BMOC provides the experience and oversight to help insure the success of the franchises it manages.
About Baristas Coffee Company (BCCI): Headquartered in the Seattle, Washington area, Baristas Coffee Company, Inc. was formed to create a national brand of drive-thru espresso stands. BCCI is accomplishing this by acquiring established businesses that fit its model, opening new locations, and by franchising. Baristas has also now begun opening locations in shopping malls.
Baristas has separated itself from the competition with its "theme" of joining attractive female baristas in entertaining costumes preparing the finest beverages available on the market. Baristas is also the subject of “Baristas Grounded in Seattle” a reality TV show that premiered Oct. 11 2014 on WEtv (and can be viewed for a short time at http://youtu.be/NnTP58vbc1k ) that takes an unprecedented and brutally honest look into the lives behind the scenes of girls from a variety of backgrounds who work in the Baristas stands. Baristas can currently be found in seven greater Seattle area locations as well as in Florida, and Montana. Your state, Coming Soon!
For more information on this fascinating concept please visit us at www.baristas.tv
For Investor Relations Contact:
Barry Henthorn
(206)579-0222
Contact Info:Baristas Coffee Company, Inc.
411 Washington Ave. N.
Kent
WA 98032
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Original Source: Baristas Reaches Revenue Milestones from Master Franchisor BMOC Partners Expansion of Baristas into Malls
