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New York

Rector Street Food Enterprises Ltd.

About Documents
6%
$1,200 Funded
$20,000 Target
6 days Time Left
2 Investors
$20,000 Min. Raise
$80,000 Max. Raise
36 mo. Term Length
6.0% Interest Rate
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Overview

Commonly known as George's, we are a breakfast, lunch, and dinner establishment located in the NYC Financial District. The customer base consists of locals (with demographic age medium of 26), tourists, and office professionals. We are extremely successful due to fact that we run a well-lit, clean establishment with a top quality product for reasonable price.

We are raising $80,000. There is a six month interest-only period at 3.75%, followed by a 30 month fully-amortizing period at 6.00%.
 

 

The Project

Once the funds are received I will begin a face lift renovation. The restaurant is currently open and – even during the worst times in our nation’s history – is breaking even, concerning all operating costs.
 
The business model currently works concerning revenue; the face lift will be designed to further attract new customers.

 

We're raising funds to give our exterior a facelift.

Business

History

The business has been around since 1950. My family took over in 1980 and then bought the building in which the business is housed in 2000. It has been through multiple events (September 11th, Hurricane Sandy) and, not only survived, but grew. This restaurant has been serving the Financial District community breakfast, lunch and dinner over 70 years.

 

 

Why We Stand Out

  • A staple in the NYC Financial District
  • Promoted and used on multiple media venues. 
  • Rated consistently one of the best places to eat in NYC 
  • Featured in countless articles and TV including MTV comedy Money From Strangers 2012

 

 

About the Owner

William Koulmentas

My family has been involved in the restaurant business for over 70 years. I grew up and learned all aspects of operations since I was a minor. I was taught from the bottom: my first experience/job was as a dishwasher, then a cook, then a counter person and finally a line manager. At the age of nineteen I left the business and got educated. I currently hold a B.A , M.B.A and had multiple licenses ex. series 6,7,24,65 Life and Health. 

Before returning to restaurant business I was senior V.P for Citigroup, working in corporate America for approximately 20+yrs. What prompted me to return was 911; I came in to make sure my family’s business survived. My unique management style – combing my restaurant experience with my corporate background – not only allowed us to survive but succeed and grow.

Deal Summary

Summary

Issuer

  Rector Street Food Enterprises Ltd.

Security Type

  Secured loan

Loan Purpose

  Working capital during the COVID-19 pandemic 

Offering Amount

  $20,000 - $80,000

Interest Rate

  3.75% interest-only + 6.0% fully amortizing

Payments

  Monthly, disbursed to investors quarterly

Maturity

  6 months interest-only + 30 months fully amortizing 

Personal Guaranty  

  William Koulmentas

Security Interest

  Blanket lien on assets of company

Offering Portal

  Honeycomb Portal LLC

Offering Type

  Reg CF

 

Your Earnings Potential

If you choose to invest, you will make a one-time investment via ACH that will be transferred to a secure escrow account. If the campaign successfully reaches its target, the funds will be distributed to Rector Street Food Enterprises Ltd.

For more information on the mechanics of Honeycomb’s crowd investing platform, please review our Education Materials

 Investment Amount   One-Time Fee 

 Potential Quarterly

 Return: Interest-Only Period* 

 Potential Quarterly

 Return: Amortization Period* 

 Potential Total Repayment* 
 $100  $2.85  $0.93  $10.79   $109.81
 $500  $14.25  $4.68  $53.97   $549.06
 $1,000  $28.50  $9.37  $107.94   $1,098.12
 $5,000  $37.25  $46.87  $539.68   $5,490.59

Your ongoing responsibilities from investing are very limited. Over the life of the loan, you will receive a yearly 1099-INT, which is a simple tax document similar to what you receive for most savings accounts.*Individual payments may vary slightly based on rounding. Potential repayments include principal and interest; they do not include the one-time fee which is assessed when you make your investment. These amounts are calculated as a hybrid interest-only + amortizing loan, which means that there is a specified interest-only period followed by a an amortization period. There are no prepayment penalties and Rector Street Food Enterprises Ltd. may pay down their loan early, which may impact your earnings potential. Please note: returns are not guaranteed and investors could lose some or all of their investment.

Rector Street Food Enterprises Ltd. pays as agreed. You will receive quarterly payments directly into your bank account. In the event of a default, you will be contacted by the administrative agent to manage the collections process on the investors' behalf.

 

How Honeycomb is Compensated

Honeycomb charges Rector Street Food Enterprises Ltd. a $100 posting fee and a 6.0% loan origination fee on the total amount funded.

Additionally, to cover expenses associated with each investment, Honeycomb charges a 2.85% investment fee capped at $37.25 per investor.

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