GT,
I haven’t opened the new store yet. I’m right in the middle of all the preliminary crap that goes along with it.
Since the post in question I’ve decided to go a different way. While posting the question “how low can you go” I was considering opening a store in a smaller town with 3,000 addresses and I wanted to make sure my break-even was at it’s lowest possible point.
Now, I’ve decided to go into a town with 22,000 addresses (Salina, KS). Unfortunately, the lowballing on the preconstruction costs is going to be a little out of the question because this location must have a better “presentation” than the former. If done right, opening sales projections are in the $12k-$14k range before settling in at around $8k. I can’t do this kind of volume with small, cheap equipment so I’m also going to have to open up the wallet a little more to get what I need.
I’ve negotiated a 5 year lease and two 5 year options with the landlord of a free standing building (former Subway and KFC). He’s paying for all exterior work (Roof, Fascia, A/C unit). All build out expenses are to be put into the lease and paid off when the 5 year term expires. By doing this, my start up costs are decreased considerably. As of this moment, it looks like I’m getting into this place for $84,300.
I’ll keep you posted as the project continues. -J_r0kk
