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TOPIC: Lease a Theater ?

Re: Lease a Theater ? 26 Jan 2004 18:04 #7245

  • BECKWITH1
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While I agree that without knowing the operating costs it is difficult to calculate "profit" just from the grosses, I believe that we had a discussion here which referred to a publication that pegged an overall guideline to profit in the ballpark areas of 8-12%. I can't remember what it was exactly called but will try to find the original thread and bump it up. That would take that $125,000 down to $10,000 - $15,000. Also it is necessary to invest money in the business on a regular basis to keep the business running well and not lose ground to your competitors or become obsolete. You should plan on replacing equipment, seats, redecorating lobby and theaters on a regular cycle which requires keeping back some of your profits each year.
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