More stores.
Less profit.

How a retail chain discovered its expansion had been funded entirely by two original stores — and that three new locations were structurally unprofitable.

The founder assumed new stores needed time to mature. His team agreed — "18 months to break even." Two of the five new outlets were already 22 months old. Something was structurally wrong, not just immature.

GrowthBridge built an outlet-level P&L for all 11 locations — separating revenue, direct costs, rent, staff, and inventory. We then benchmarked each outlet against the performance profile of the two profitable originals.

• 01Exit Nagpur and renegotiate Thane lease — both structurally unprofitable given rent-to-revenue ratios above 19%.
• 02Freeze new outlet expansion for 18 months — use capital to deepen loyalty and inventory efficiency in the core 9 outlets.
• 03Set a minimum 18% EBITDA threshold for any future outlet approval — modelled against rent and staffing benchmarks from the core stores.