RRGC | Restaurant Retail Capital

RETAIL & RESTAURANT GROWTH CAPITAL invests in businesses operating in the retail and restaurant industry. RRGC was the first small business investment company (SBIC) licensed to provide debt-related growth capital to exclusively focus on the retail and restaurant industries and has continuously invested in the space for over 20 years.
- Unit-driven retail, restaurant and service businesses
- Non unit-driven business models, including e-commerce, catalog and consumer services
- Industry business partners, such as suppliers and food service companies
- Providers of business services including internet, logistics, outsourcing and technology

- 27
  
  %
  
  Retail Share
  
  of Total GDP
- 9
  
  %
  
  Food Share
  
  of Total GDP
- 47
  
  %
  
  Restaurant Share
  
  of Total Food Share

General Terms
- Preferred Deal Size
  
  RRGC invests capital between $1 and $3 million, with larger capital raises available through our investor partners
- Mezzanine Structure
  
  Fixed rate, deferred amortization, subordinated debt or mezzanine securities, with warrants or conversion features to purchase commensurate equity interest
- Equity
  
  Common or Preferred equity; both controlling or minority positions considered to support company goals and capital needs
- Use of Proceeds
  
  Growth, acquisition, recapitalization, and buy-out
- Transaction Partners
  
  RRGC actively partners with premier private equity firms and lending institutions
Evaluation Criteria
- Management
  
  RRGC looks for experienced management leadership that have meaningful equity stakes in their company
- Concept
  
  Companies with a creative and proven retail or restaurant concept, and distinct competitive advantages over competitors in their space
- Partners
  
  Leadership teams seeking an experienced and strategic industry partner in addition to a strong capital source
- Profitable
  
  Company profitable at the operating level
- Exit
  
  Multiple exit opportunities
Unit Level Economics
- Investment Capital
  
  Looking for segment top quartile, sales to investment ratio – 3 or 4:1 is preferred
- Store Economics
  
  Unit/Store level EBITDA – high double digit
- Returns
  
  Unit Level Cash on Cash Return of Invested Capital – greater than 2:1
- Growth Stage
  
  Concept Stage completed (multiple units) – prefer additional market stage started
- Trending
  
  Growing Customer Counts and Positive Comp Store sales
- Entity
  
  Sales Levels at/or trending greater than $10mm with positive EBITDA, preferably above $1mm

- Do you invest in Startups?
  
  RRGC was created to provide growth capital to established retail and restaurant companies that have a proven track records in terms of existing multi-unit operations, economics, and growth opportunities.
- Do you provide more than capital?
  
  RRGC considers itself a strategic capital partners. Providing equity and debt capital with expertise and strategic advice.
- Do you invest in concepts outside Retail and Restaurants?
  
  Retail and Restaurant companies are at the core of our investment strategy. However, we do review companies in the service and manufacturing in the Retail and Restaurant industry.
- How quickly can you perform due diligence?
  
  After initial investigation, RRGC generally will be able to issue a letter of intent (LOI) fairly quickly. Depending on the company’s stage of development, Due Diligence can typically be performed in 30- 45 days. Closing is dependent on multiple factors, but has been accomplished in 120 days.

Meet Our Team
- Raymond C. Hemmig
  
  CEO/ Chairman
  
  Raymond C. Hemmig
  
  CEO/ Chairman
  
  Ray Hemmig has more than 40 years of executive and governance experience in the retail and restaurant industries. Including: J. C. Penney; Hickory Farms of Ohio; Grandy’s; Ace Cash Express; Buffet Partners, LP (Furr’s Fresh Buffet); in the capacities as COO; EVP; CEO; and as a lead director as well as an Executive Chairman and non-executive Chairman of the Board (COB). He also founded and manages Retail and Restaurant Growth Capital, (RRGC) based in Dallas, TX.
  
  Email: [email protected]
  P: 214.766.8173
- Joseph L. Harberg
  
  President/ Director
  
  Joseph L. Harberg
  
  President/ Director
  
  Joseph L. Harberg has been an investor in consumer based companies for over 25 years and is also a founder and President of Retail & Restaurant Growth Capital. Joe is a current and past board member of many private retail and restaurant companies and civic organizations. Mr. Harberg received a BBA in finance from the University of Texas and a JD from the University of Houston. Joe holds active law licenses in Texas and New York and is a credentialed Mediator with the Mediator360 group.
  
  Email: [email protected]
  P: 214.494.0011

Equity Partners, Advisors & Board
- Raymond C. Hemmig – Chairman
- Joseph L Harberg – President
- Marshall B. Payne, CIC Partners – Advisor
- Scott M. Kleberg, CA Partners – Advisor
- George S. Rich, Armata Partners – Advisor
- Hunt Capital Group, L.L.P. – Advisor
- Simon Family Group – Advisor
- Mark L Masinter -Advisor

Portfolio Companies
- Texas Land & Cattle
  
  $3,000,000
- Quiznos
  
  $3,000,000
- Cafe Express
  
  $3,000,000
- Red Door Spa
  
  $3,000,000
- Le Gourmet Chef
  
  $3,000,000
- Left at Albuquerque
  
  $3,000,000
- Beauty First
  
  $2,000,000
- The Walking Company
  
  $3,000,000
- Uncle Julio’s Restaurant
  
  $3,000,000
- Art Store
  
  $2,500,000

Please submit your company’s information for an quick evaluation.

Company Profile Submission
- Company Name *
- Your Name *
- Address
- Phone
- Email*
- Last Years Revenue
- Comment
Company Details
- Phone
  
  Raymond Hemmig: 214.766.8173
  
  Joseph Harberg: 214.494.0011

About Us

Retail Share

Food Share

Restaurant Share

Investment Focus

General Terms

Preferred Deal Size

Mezzanine Structure

Equity

Use of Proceeds

Transaction Partners

Evaluation Criteria

Management

Concept

Partners

Profitable

Exit

Unit Level Economics

Investment Capital

Store Economics

Returns

Growth Stage

Trending

Entity

Do you invest in Startups?

Do you provide more than capital?

Do you invest in concepts outside Retail and Restaurants?

How quickly can you perform due diligence?

Meet Our Team

Raymond C. Hemmig

Joseph L. Harberg

Equity Partners, Advisors & Board

Raymond C. Hemmig – Chairman

Joseph L Harberg – President

Marshall B. Payne, CIC Partners – Advisor

Scott M. Kleberg, CA Partners – Advisor

George S. Rich, Armata Partners – Advisor

Hunt Capital Group, L.L.P. – Advisor

Simon Family Group – Advisor

Mark L Masinter -Advisor

Portfolio Companies

Contact Us

Company Profile Submission

Company Details

Phone

Disclaimer