Financial Performance - WOOPS Macaron Franchise

FINANCIAL PERFORMANCE

HOW MUCH CAN I MAKE?

This item contains an historic financial performance representation of our existing outlets in 2021. At the end of calendar year 2021, we had a total of 28 franchised outlets, of which 26 outlets were WOOPS!® Mobile Businesses, 2 outlets were WOOPS!® Shops and 2 outlets were WOOPS!® Boutiques. The tables below show 2021 gross revenues for 19 franchised WOOPS! Mobile Businesses, 2 franchised WOOPS! Shops, and 2 WOOP! Boutiques. One (1) franchised WOOPS!® Mobile Business has been excluded from this financial performance representation as they ceased operations as prior to December 31, 2021, to seek alternative locations, and as of the date of this Disclosure Document, they remain inactive while they seek such alternative locations.

Beginning in 2020, the nation was stricken by a global pandemic, COVID-19. In an attempt to slow the spread of COVID-19, various governing bodies throughout the United States enacted business and personal restrictions, which continued to impact the results of business performance during 2021. In addition to the impact on the results of business performance, these restrictions imposed by state and/or local authorities have required an additional four (4) franchised WOOPS!Ò Mobile Businesses to cease operations prior to December 31, 2021 and remain closed continuously since, up to and including the issuance date of this Disclosure Document. As such, these four (4) franchised WOOPS!Ò Mobile Businesses have been excluded from this financial performance representation.

The Gross Revenue is revenue from January 1, 2021 through December 31, 2021. The data used in preparing this financial performance representation was compiled from information contained in our POS System. This financial performance representation was compiled using information contained in our franchisees’ POS Systems, and while we believe that their sales reporting is accurate, we have not independently verified the information.

Gross Retail Revenue (Monthly) – 2021^{1, 2} Franchise-Owned Outlets

Outlet	Gross Retail Revenue	Average Monthly Retail Revenue	Median Monthly Retail Revenue	Monthly Retail Revenue - High	Monthly Retail Revenue - Low
MOBILE UNITS
Mobile 1	$257,986	$21,499	$21,200	$28,184	$12,242
Mobile 2	$252,835	$21,070	$19,928	$37,589	$10,906
Mobile 3	$136,553	$11,379	$11,422	$4,878	$17,045
Mobile 4	$674,505	$56,209	$51,371	$109,219	$34,800
Mobile 5	$215,306	$17,942	$18,451	$25,439	$9,456
Mobile 6	$169,560	$14,130	$14,370	$19,335	$8,032
Mobile 7	$224,123	$18,677	$18,642	$25,476	$12,841
Mobile 8	$203,398	$16,950	$16,583	$26,609	$12,463
Mobile 9	$141,175	$11,765	$11,639	$16,658	$8,455
Mobile 10	$194,002	$16,167	$15,742	$25,839	$8,513
Mobile 11	$390,586	$32,549	$32,460	$45,724	$19,710
Mobile 12	$253,596	$21,133	$21,681	$31,467	$9,754
Mobile 13	$327,568	$27,297	$27,578	$39,376	$14,703
Mobile 14*	$653,513	$55,459	$26,809	$249,931	$14,934
Mobile 15	$222,878	$18,573	$18,008	$27,097	$11,704
Mobile 16	$231,686	$19,307	$18,916	$34,013	$11,311
Mobile 17	$203,250	$16,938	$16,195	$23,917	$13,865
Mobile 18	$300,202	$25,017	$24,120	$40,747	$16,024
Mobile 19	$227,107	$18,926	$18,990	$25,681	$9,987
All Mobile	$5,279,830	$23,157	$19,101	$249,931	$4,878
SHOPS
Shop 1	$569,472	$47,456	$43,225	$73,976	$30,810
Shop 2	$565,565	$47,130	$46,367	$66,588	$33,740
All Shop	$1,135,038	$47,293	$43,716	$73,976	$30,810
BOUTIQUES
Boutique 1*	$592,202	$49,350	$49,791	$88,148	$15,829
Boutique 2	$189,538	$15,795	$14,727	$22,318	$8,090
All Boutique	$781,740	$32,572	$22,119	$88,148	$8,090
All Outlets	$7,196,607	$26,075	$19,885	$249,931	$4,878

* These locations operate standalone satellite locations in conjunction with their WOOPS! Franchised Businesses. Boutique 1 operates a satellite location throughout the entire year, while Mobile 14 operates a satellite location for during the months of November and December each year.

Month by Month Gross Retail Revenue – 2021^{1, 2} Franchise-Owned Outlets^

Outlet	January	February	March	April	May	June	July	August	September	October	November	December
Mobile Units
Mobile 1	$12,242	$16,352	$28,184	$23,824	$27,130	$20,832	$25,164	$20,221	$21,569	$17,797	$18,396	$26,276
Mobile 2	$10,906	$13,914	$15,633	$17,471	$24,145	$18,554	$23,937	$25,292	$19,187	$20,669	$25,537	$37,589
Mobile 3	$4,878	$7,419	$9,541	$10,766	$13,494	$10,067	$13,904	$13,910	$12,078	$10,656	$12,796	$17,045
Mobile 4	$34,800	$42,540	$54,824	$53,067	$61,884	$48,499	$49,674	$55,346	$49,026	$40,810	$74,817	$109,219
Mobile 5	$9,456	$10,387	$16,657	$15,929	$22,311	$18,176	$22,581	$18,726	$17,054	$19,426	$19,165	$25,439
Mobile 6	$8,032	$8,735	$12,817	$11,806	$17,403	$12,884	$15,589	$17,553	$14,183	$14,557	$16,667	$19,335
Mobile 7	$12,841	$16,167	$17,572	$16,504	$23,272	$18,700	$19,422	$18,594	$18,690	$17,580	$19,305	$25,476
Mobile 8	$12,463	$12,634	$14,484	$15,040	$17,705	$14,966	$18,206	$20,630	$17,494	$16,140	$17,027	$26,609
Mobile 9	$8,455	$12,104	$11,740	$11,538	$13,653	$9,961	$12,221	$10,966	$12,497	$10,177	$11,205	$16,658
Mobile 10	$8,515	$8,871	$17,465	$13,992	$21,051	$19,279	$25,839	$20,480	$11,595	$13,031	$14,020	$19,866
Mobile 11	$19,710	$23,181	$31,672	$32,225	$41,196	$29,875	$36,162	$37,129	$23,754	$32,695	$37,264	$45,724
Mobile 12	$11,792	$9,754	$19,216	$19,313	$21,384	$21,978	$31,467	$23,159	$19,037	$22,599	$23,662	$30,236
Mobile 13	$16,085	$14,703	$32,833	$29,834	$36,344	$26,325	$29,478	$28,830	$23,848	$23,599	$26,304	$39,376
Mobile 14*	$16,923	$14,934	$24,521	$26,757	$31,119	$27,828	$24,591	$26,241	$26,861	$35,788	$148,019	$249,931
Mobile 15	$11,704	$14,880	$17,632	$14,203	$16,943	$18,384	$24,442	$23,298	$20,335	$19,731	$14,229	$27,097
Mobile 16	$11,716	$14,983	$21,297	$23,523	$28,989	$11,766	$11,311	$12,552	$16,536	$22,041	$22,960	$34,013
Mobile 17	$13,865	$15,881	$15,426	$14,617	$20,290	$14,690	$16,865	$18,425	$17,392	$15,372	$16,510	$23,917
Mobile 18	$16,024	$18,401	$24,566	$22,540	$24,245	$21,667	$31,116	$28,701	$23,850	$23,995	$24,351	$40,747
Mobile 19	$9,987	$13,861	$17,234	$16,239	$18,194	$18,783	$19,904	$19,198	$30,497	$24,450	$23,078	$25,681
Shops
Shop 1	$32,095	$30,810	$40,889	$39,858	$51,374	$56,487	$73,976	$65,838	$53,312	$42,354	$38,382	$44,096
Shop 2	$34,774	$42,465	$49,397	$43,336	$39,571	$33,740	$35,470	$52,366	$54,985	$66,588	$59,610	$53,263
Boutiques
Boutique 1*	$22,180	$15,829	$48,040	$45,642	$60,943	$52,671	$62,032	$53,276	$46,305	$45,594	$51,524	$88,148
Boutique 2	$8,090	$12,689	$12,641	$13,626	$17,157	$14,761	$14,657	$14,693	$18,340	$22,058	$18,509	$22,318

^ Represents the month-by-month revenue for each Woops! Franchised Business described in Table 1. These figures do not include e-commerce revenue, as described below.

* These locations operate standalone satellite locations in conjunction with their WOOPS! Franchised Businesses. Boutique 1 operates a satellite location throughout the entire year, while Mobile 14 operates a satellite location for during the months of November and December each year.

NOTES

Gross Retail Revenues means gross sales of all goods, services, and products, any and all monies received from the operation of the WOOPS!® outlet through inbound retail, delivery or gifting sales, less sales tax. It does not include orders placed through our e-commerce website and fulfilled by a franchisee. From January 1, 2021 to December 31, 2021, the franchisees represented above fulfilled e-commerce orders totaling $100,437 in system-wide revenue for our franchisees. Revenue for e-commerce fulfillment is collected by the franchisee that fulfills such order. The Average Monthly Retail Revenue is derived by adding the Franchisee’s Gross Retail Revenue for each month of operation and dividing by the number of months that Franchisee was in operation. Median Monthly Retail Revenue is derived by examining the Franchisee’s Gross Revenue for each month in order from lowest to highest and finding the middle number in that set.

This Table does not reflect costs and expenses you will incur, such as royalty and brand fund payments, local advertising, technology fees, inventory purchases, rent and payroll. The numbers shown in this table were achieved primarily through retail sales.

Written substantiation of the data used in preparing these figures will be made available to you upon reasonable request. The information presented above has not been audited.

Some outlets have earned this amount. Your individual results may differ. There is no assurance that you'll earn as much.

Other than the preceding financial performance representation, we do not make any representations about a franchisee's future financial performance or the past financial performance of company-owned or franchised outlets. We also do not authorize our employees or representatives to make any such representations either orally or in writing. If you are purchasing an existing outlet, however, we may provide you with the actual records of that outlet. If you receive any other financial performance information or projections of your future income, you should report it to the franchisor's management by contacting Rajesh Bhatt, 120 Norman Avenue, Brooklyn, New York 11222, 866-339-7194, the Federal Trade Commission, and the appropriate state regulatory agencies.

2022 FDD Startup Costs for a Single Business

Type of Expenditure	Amount (WOOPS! Mobile Business)	Amount (WOOPS Boutique)	Amount (WOOPS! Shop)	Method of Payment	When Due	To Whom Payment is Made
Initial Franchise Fee¹	$35,000	$35,000	$35,000	Lump sum payment in cash or available funds	Upon signing the Franchise Agreement	Us
Your Training Expenses²	$500-$2,500	$3,500-7,500	$17,000-25,000	Lump sum payment to us and as required for transportation, lodging and meals	Prior to training and as required by suppliers of transportation, lodging and meals	Suppliers, Us
Business Growth and Operations Training³	$2,000-$3,000	$2,000-$3,000	$2,000-$3,000	As required by supplier	As required by supplier	Supplier
Real Estate Services Fee⁴	$2,000	$3,000-$5,000	$3,500-$5,000	Cashier/Bank check, EFT or ACH	Upon submission of lease for approval	Us
Project Management Fee	$0	$5,000-$7,500	$12,000	Cashier/Bank check, EFT or ACH	Upon full execution of lease	Us
Premises Lease Deposits⁵	$0-$3,500	$0-$5,000	$0-$9,000	As required by landlord	As required by landlord	Landlord
Leasehold Improvements, Construction and/or Remodeling⁶	$0-$1,000	$8,000-$40,000	$15,000-$120,000	As required by supplier, contractor or landlord	Before opening, as required by supplier	Suppliers, Contractor and/or Landlord
Furniture, Fixtures and Equipment⁷	$4,000-$39,000	$7,000-$20,000	$10,000-$70,000	As required by supplier	Before opening	Suppliers, Us
Signage	$0	$1,000-$5,000	$2,500-$5,000	As incurred	Before opening	Suppliers
Business Licenses and Permits⁸	$300-$2,000	$300-$2,000	$500-$5,000	As required by government agencies	Before opening, as required by government agencies	Government Agencies
Computer Systems⁹	$675	$675	$675	As required by suppliers	Before opening	Suppliers
Initial Inventory to Begin Operating¹⁰	$4,000-$14,500	$5,000-$15,000	$10,000-$20,000	As required by suppliers	Before opening	FoodArt Bakery, LLC, other suppliers
Office Supplies¹¹	$250-$500	$250-$500	$250-$500	As required by suppliers	Before opening	Suppliers
Professional Fees¹²	$1,500-$5,000	$2,500-$6,000	$3,000-$15,000	As required by providers	As incurred	Attorney, Accountant, Other Professional Service Providers, and Approved Accounting Services
Grand Opening Advertising	$2,000-$5,000	$3,750-$7,000	$5,000-$8,500	As required by supplier	As required by supplier	Woops Franchise LLC and other suppliers
Insurance¹³	$200-$800	$500-$2,000	$1,000-$2,000	As required by insurer	Before opening	Insurer
Operating Expenses/Additional Funds – 3 months¹⁴	$7,450-$15,000	$11,000-$20,000	$30,000-$55,000	As incurred	Payroll weekly, other purchases according to agreed-upon terms	Employees, utilities, suppliers, etc.
TOTAL	$59,875-$129,475	$88,475-$181,175	$147,425-$390,675

2022 Startup Costs for a Multi-Unit Development Opportunity

Type of Expenditure	Amount (WOOPS! Mobile Business)	Amount (WOOPS! Boutique)	Amount (WOOPS! Shop)	Method of Payment	When Due	To Whom Payment is Made
Development Fee¹	$75,000	$75,000	$75,000	Lump sum payment in cash or available funds	Upon signing the Franchise Agreement	Us
Your Training Expenses²	$500-$2,500	$3,500-$7,500	$17,000-$25,000	Lump sum payment to us and as required for transportation, lodging & meals	Prior to training and as required by suppliers of transportation, lodging & meals	Suppliers, Us
Business Growth & Operations Training³	$2,000-$3,000	$2,000-$3,000	$2,000-$3,000	As required by supplier	As required by supplier	Supplier
Real Estate Services Fee⁴	$2,000	$3,000-$5,000	$3,500-$5,000	Cashier/Bank Check, EFT or ACH	Upon submission of lease for approval	Us
Project Management Fee	$0	$5,000-$7,500	$12,000	Cashier/Bank Check, EFT or ACH	Upon full execution of lease	Us
Premises lease deposits⁵	$0-$3,500	$0-$5,000	$0-$9,000	As required by landlord	As required by landlord	Landlord
Leasehold Improvements, Construction and/or Remodeling⁶	$0-$1,000	$8,000-$40,000	$15,000-$120,000	As required by supplier, contractor or landlord	Before opening, as required by supplier	Suppliers, contractor and/or landlord
Furniture, Fixtures and Equipment⁷	$4,000-$39,000	$7,000-$20,000	$10,000-$70,000	As required by supplier	Before opening	Suppliers, Us
Signage	$0	$1,000-$5,000	$2,500-$5,000	As incurred	Before opening	Suppliers
Business Licenses and Permits⁸	$300-$2,000	$300-$2,000	$500-$5,000	As required by government agencies	Before opening, as required by government agencies	Government agencies
Computer Systems⁹	$675	$675	$675	As required by suppliers	Before opening	Suppliers
Initial Inventory to Begin Operating¹⁰	$4,000-$14,500	$5,000-$15,000	$10,000-$20,000	As required by suppliers	Before opening	Food Art Bakery LLC, other suppliers
Office Supplies¹¹	$250-$500	$250-$500	$250-$500	Ad required by suppliers	Before opening	Suppliers
Professional Fees¹²	$1,500-$5,000	$2,500-$6,000	$3,000-$15,000	As required by providers	As incurred	Attorney, Accountant, Other Professional Service Providers
Grand Opening Advertising	$2,000-$5,000	$3,750-$7,000	$5,000-$8,500	As required by supplier	As required by supplier	Woops Franchise LLC and other suppliers
Insurance¹³	$200-$800	$500-$2,000	$1,000-$2,000	As required by insurer	Before opening	Insurer
Operating Expenses/Additional Funds – 3 months¹⁴	$7,450-$15,000	$11,000-$20,000	$30,000-$55,000	As incurred	Payroll weekly, other purchases according to agreed-upon terms	Employees, utilities, suppliers, etc.
TOTAL	$98,875-$169,475	$128,475-$221,175	$187,425-$430,675

NOTES

Please see Item 5 for information on incentive programs that may offer a discount on the Initial Franchise Fee. The amount stated in the Table is for one outlet operated pursuant to a single Franchise Agreement. If you sign the Multi-Unit Development Agreement, you will pay a Development Fee based upon the number of WOOPS!® outlets you agree to develop. The amount stated in the Table assumes you will develop the minimum of three (3) WOOPS! outlets. If you choose to develop more than three (3) WOOPS! outlets, the Development Fee will increase for each additional outlet you commit to develop. (See Item 5).

The cost of the Initial Training Program for up to two (2) individuals is included in the Initial Franchise Fee for a WOOPS! Mobile Business. We will provide you post-course, on-site instruction upon opening of your WOOPS! Mobile Business for up to two (2) days at no additional fee to you. The cost of the Initial Training Program for up to two (2) individuals is included in the Initial Franchise Fee for a WOOPS! Boutique or WOOPS! Shop; however, for a WOOPS! Boutique, you must pay an additional $7,500 for pre-training and post-course instruction and up to three (3) weeks of opening assistance, which is included in the above estimate and for a WOOPS! Shop, you must pay an additional $15,000 for pre-training and post-course instruction and up to three (3) weeks of opening assistance, which is included in the above estimate. The chart also includes estimated costs for transportation, lodging, and meals for your trainees. The incidental costs are not included in the Initial Franchise Fee. Your costs will depend on the number of people attending training, their point of origin, method of travel, class of accommodation and living expenses. The duration of the training program in New York City is approximately five (5) days for a WOOPS! Mobile Business and up to thirty (30) days for a WOOPS! Boutique or a WOOPS! Shop. This estimate does not include employee wages. If you choose to bring more than two (2) individuals to the Initial Training Program, you will incur additional expenses. Our current fee to provide initial training to any additional trainees is $2,000 per person for a WOOPS! Mobile Business and $4,000 per person for a WOOPS! Boutique or a WOOPS! Shop.

This estimate represents a one (1) month deposit of rent for a 400 – 1,200 square foot location at a minimum rent ranging from $18 - $30 per square foot. Real estate costs vary widely from place to place. This estimate is based on the experience of our affiliate-owned outlets. Rental rates may be more or less than this range depending on the location of your Franchised Business. In certain real estate markets, rents may be three times higher or more than the rents on which the estimates in the above table are based. You may also incur real estate broker fees, additional prepayments (e.g., first and/or last month’s rent), common area maintenance (CAM) fees, real estate taxes and insurance costs, advertising or promotional fund fees or other costs, depending on the terms of your lease. Pre-paid rent is generally non-refundable while security or other deposits may be refundable either in full or in part depending upon your lease or rental contract. The low end of this estimate assumes there are no lease deposits or lease is being paid month to month.

This estimate is for the costs for improvements to your Franchised Business location without a tenant improvement allowance from the landlord. We have based our estimates on the historical experience of our affiliates. The low end of these estimates assumes that you obtain a location that has an existing infrastructure to accommodate your Franchised Business. The high end of these estimates are applicable to a site which has been obtained in the “vanilla box” stage, which refers to an interior condition with existing heating/cooling with delivery systems, electrical switches and outlets, a finished ceiling, walls that are prepped for painting and a concrete slab floor. For a WOOPS!^® Boutique or a WOOPS!^® Shop, You will be required to pay us a Project Management Fee to create a site design and to oversee the buildout process. You will need to hire an architect and/or engineer to implement the site design, to oversee the construction process and progress and to ensure proper buildout of the store.

For a WOOPS! Mobile Business, you will be required to purchase a kiosk. The low end of this estimate assumes you will lease or finance the kiosk and the high end of the estimate assumes you will purchase the kiosk outright. We recommend you choose to lease or finance the kiosk where available to reduce your upfront cash requirement. For WOOPS! Mobile Businesses, WOOPS! Boutiques and WOOPS! Shops, you will be required to purchase an event cart for nonretail sales.

This estimate reflects the initial 3-month rental cost of our currently required POS system. Rental costs are subject to increase at the discretion of the third-party provider. Rental costs currently include upgrades, as required. At your option, you may purchase the POS System, which is approximately $2,000 per unit. If you purchase your POS System, you will also need to purchase any required upgrades. We reserve the right to change your requirements for computer hardware and software at any time.

You may incur professional fees depending on the scope of work performed, which may include legal and accounting fees to review franchise documents and costs of forming a separate legal entity and/or obtaining zoning approval. This list is not exhaustive. This amount will vary greatly depending on your specific needs and location. We strongly recommend that you seek the assistance of professional advisors when evaluating this franchise opportunity, this disclosure document, and the Franchise Agreement. It is also advisable to consult these professionals to review any lease or other contracts that you will enter into as part of starting your franchise.

Before you open for business, you must purchase and maintain at your sole cost and expense the insurance coverage that we specify. Insurance costs and requirements may vary widely in different localities. The estimate is for the first quarterly premium for required minimum insurance coverage. We reserve the right to require additional types of insurance and coverage as provided in the Franchise Agreement.

This is an estimate of the amount of additional operating capital that you may need to operate your Franchised Business during the first three (3) months after commencing operations. This estimate includes such items as rent, utilities, internet service, initial payroll and payroll taxes, Royalties (as described in this disclosure document), Brand Fund Contributions, Post-Opening Assistance Fee, repairs and maintenance, bank charges, miscellaneous supplies and equipment, initial staff recruiting expenses, and other miscellaneous items. These estimates do not include any compensation to you nor do they include debt service. These items are by no means all-inclusive of the extent of possible expenses. We relied upon the experience of other WOOPS!® outlets to compile these estimates. You should review these figures carefully with a business advisor before making any decision to invest in the franchise. We estimate that a franchisee can expect to put additional cash into the business during at least the first three to six months, and sometimes longer. We do not offer direct or indirect financing to franchisees for any items included in this section. Unless otherwise noted, the low-end estimates stated above are based on estimates for those franchisees that finance or lease the items contained in these tables and assume a minimum of three months of payments of principal and interest on 3 to 4 year financing terms. The high-end estimates assume you will purchase the items contained in these tables. All fees and payments are non-refundable, unless otherwise stated or permitted by payee.

THE REVENUE MODEL

Our revenue model is based on providing an excellent customer experience and generating offsite sales.

Our macarons catch the eye and taste delicious, and, for many people, they are something entirely new. A key sales factor is giving a customer an experience that feels indulgent. Stopping at a WOOPS! kiosk could be a bright spot in a customer’s otherwise routine day.

We’re selling an experience, and experiential sales work. After our current franchisees began to emphasize experiential sales, average ticket sales increased by 27% year over year (from September 2020 to September 2021). We’ll train you to deliver this experience, and, in turn, you’ll train the manager at your kiosk, who can train any additional staff.

Then you can focus on expanding your revenue streams. Corporate gifting is a huge market – more than $240 billion – that will allow you to expand sales while keeping a small footprint and a minimal upfront investment. Many professionals need a source for buying gifts for their own customers and colleagues. If you can offer this, you’ll see a jump in revenue.

As the owner, it’s important for you to be comfortable with sales. If you enjoy business networking, community involvement, and meeting new people, this is a great opportunity. The role is ideal for those who enjoy the spotlight. Is this you? If so, complete the form below to receive our free franchise report.

Gross Retail Revenue (Monthly) – 2021^{1, 2} Franchise-Owned Outlets

Month by Month Gross Retail Revenue – 2021^{1, 2} Franchise-Owned Outlets^

NOTES

2022 FDD Startup Costs for a Single Business

2022 Startup Costs for a Multi-Unit Development Opportunity

NOTES

About the Business

About the People

FRANCHISE OPPORTUNITIES

Learn More

Gross Retail Revenue (Monthly) – 20211, 2 Franchise-Owned Outlets

Month by Month Gross Retail Revenue – 20211, 2 Franchise-Owned Outlets^

NOTES

2022 FDD Startup Costs for a Single Business

2022 Startup Costs for a Multi-Unit Development Opportunity

NOTES

About the Business

About the People

FRANCHISE OPPORTUNITIES

Learn More

Gross Retail Revenue (Monthly) – 2021^{1, 2} Franchise-Owned Outlets

Month by Month Gross Retail Revenue – 2021^{1, 2} Franchise-Owned Outlets^