BTB 11 Brochant

Presentation of the company

Created in 2004, BTB 11 Brochant is active in the restaurant sector. The company, managed by Franck Maisonnave, has 6 employees and is based in Paris . The restaurant named Gaston is located in the 17th of Paris. Gaston has been bought by the associates in 2016. To boost the restaurant, the new managers renew the menu card and the organization.

The restaurant is open every days, for lunch and dinner. Gaston has a excellent notations of 4,5 on Tripadvisor, 9,3 on Lafourchette.

The company works with business clients and local clients.

The chef Rachid Djillali managed the restaurant of Les Fermes de Marie at Megève and Georges V at Paris, two very famous restaurants in France.

Project Description

The works plan is of 250 000 €. The company requests a loan of 53 000 € over 48 months to finance the works in the restaurant, in line with their strategy to renew it. The balance is financed by bank. The restaurant is closed from January to February. This project will be realised this quarter.

This project is a Flexible Bridge Loan, an amortizable loan with a standard commitment for the first 9 months and the possibility of early repayment at no cost for the remainder of the loan term, even in the event of refinancing by other financial institutions.

The amount offered on the platform is limited to 25 970€, which is in line with the regulatory limits.

Analyst’s Opinion

With a turnover of €1 158 000 in 2017 and an experienced team, the company has a good track record combined with a strong operating margin.

In 2018, the expected level of activity is €1 250 000 and a margin level equivalent to 2017.

The increase of the revenue and the profitability is driven by the new management, and the changes of menu card. The forecast has been based on the new historical performances.

The borrower has a good repayment capacity with a forecast FCCR (Fixed Charge Cover Ratio *) at 1,61 and an excellent financial structure, with a forecast net debt / ebitda ratio of 0,7 and a net debt / shareholder equity of 77%.

The analysis of the project leads to a credit rating of C and a 7,15% annual interest rate.

*The multiple of FCCR at 1,61 means that the company has a safety margin of 61% relative to its ability to repay its credit maturities.

The expert opinion is given as an indication on the basis of the elements provided by the project holder and information from our databases (External data provider). This opinion is only an element of reflection in the decision making of a lender to participate in the financing of a project.

Strong points:

• Good historical performance based on diversified client base.

• Good repayment ability with a forecasted FCCR of 1,61.

• Good reputation of the restaurant with excellent notations.

Point of caution:

• Recent buyout of the restaurant by the actual managers.