Frost & Roll Creamery Business Plan — Appendix B: Assumptions & Capex Register

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Appendix B · 22 of 23

Assumptions & Capex Register

Initial capital expenditure register (R m)

Category

Amount

Treatment / life

Flagship store fit-out

2.8

Depreciated 10 years

Production equipment

2.1

Depreciated 8 years

Central production kitchen

2.5

Depreciated 10 years

Mobile catering units (2)

1.6

Depreciated 6 years

Cold-chain equipment

0.8

Depreciated 8 years

Technology & POS systems

0.6

Depreciated 4 years

Marketing launch

1.0

Expensed

Initial inventory

0.7

Working capital

Working capital

2.5

Funds operations

Contingency

1.4

Reserve

Total

16.0

Assumptions register

Parameter

Value / treatment

Repo / prime rate

7.0% / 10.5% (SARB, mid-2026)

Corporate tax

27%, assessed losses carried forward

Funding

R16m equity (all-equity base case)

Depreciation

Component; fit-out 10-yr, equip 8-yr, kitchen 10-yr, mobile 6-yr, cold chain 8-yr, tech 4-yr, kiosk 7-yr

Working capital

5% of revenue

Cumulative capex

~R44m over five years (rollout funded from cash)

Debt capacity (illustrative)

~R8m secured term facility; ~R1.8× Y2 DSCR

Exit multiple

8×–12× EV/EBITDA (branded QSR / franchise)