Bigfoot Burrito Co.
Would you lend $150,000 for a second location?
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Review the case & financial evidence
Bigfoot Burrito Co. is a fictional fast-casual restaurant in Kalispell, operating for four years. The current location has strong weekend demand and growing catering sales.
Would you lend $150,000 for a second location?
The bank request covers $85,000 equipment/buildout, $20,000 inventory/supplies, $20,000 hiring/training, and $25,000 working capital. Owners also plan to contribute $25,000.
Owner projections: $430,000 annual sales once stabilized; rent about $5,000/month; added payroll about $145,000/year; break-even in 12–18 months. Some catering customers pay 30–60 days after service.
| Income statement | 2026 | 2025 |
|---|---|---|
| Revenue | $780,000 | $620,000 |
| Gross profit | $515,000 | $405,000 |
| Operating expenses | $397,000 | $330,000 |
| Operating income | $118,000 | $75,000 |
| Interest + taxes | $28,000 | $13,000 |
| Net income | $90,000 | $62,000 |
| Balance sheet | 2026 | 2025 |
|---|---|---|
| Cash | $18,000 | $34,000 |
| Accounts receivable | $52,000 | $24,000 |
| Inventory | $46,000 | $29,000 |
| Equipment, net | $125,000 | $103,000 |
| Current liabilities | $66,000 | $46,000 |
| Long-term debt | $58,000 | $47,000 |
| Owners’ equity | $121,000 | $100,000 |
2026 cash flow: $34,000 beginning cash + $83,000 operations − $62,000 equipment + $18,000 new debt − $30,000 principal − $25,000 owner distributions = $18,000 ending cash.
Selected evidence, matching the student handout. All figures are fictional. Owner projections are not guaranteed results.