In spring 2018, ALTO Pizza Kitchen + Bar opens its doors as an upscale pizza & wine bar in the heart of Covington, KY (minutes from downtown Cincinnati). The restaurant is also the food service partner to Braxton Brewery, one of Cincinnati’s largest microbreweries. ALTO will anchor Duveneck Square a brand new urban development project in the shopping district of the city that's already begun construction.
- ALTO Pizza Kitchen + Bar will open in Spring of 2018
- ALTO will be an upscale pizza, wine & cocktail bar
- Operator is an experienced restaurateur who owns five Flipdaddy’s Burgers & Beers restaurants in OH, KY, and Gulf Coast, AL.
- Partnering with Braxton Brewery, Northern Kentucky’s largest microbrewery who produces >15,000 bbl/year (or 465,000 gallons/year)
- Location is at the base of Duveneck Square, a new multi-use urban shopping & apartment district that includes 144 units
- The neighborhood of Covington, KY is a popular suburb 1 mile from downtown Cincinnati.
- There is a population of 203K people within a 5 mile radius.
- Budget: Buildout costs including funds for working capital are $500,000.
Together at Last: Stone Hearth Pizza and Craft Beer for Covington
- ALTO Pizza Kitchen + Bar: Stone Hearth Pizza
ALTO Pizza starts with our hand-tossed dough and old-world recipe sauces. It’s then topped with the freshest ingredients sourced from local farmers and ranchers who raise animals free from antibiotics & hormones. ALTO Pizzas are baked on a stone hearth until the crust is golden brown and our special blend of cheeses melt to perfection. We then pair your pizza with a curated selection of fine wines or a signature cocktail made by one of our mixologists.
Pizza is the fastest growing segment of the restaurant industry with a growth rate that’s doubled any other dining segment at 11.4% (Pizza Magazine’s 2017 Annual Industry Report). Blaze Pizza, for instance, is an emerging brand with 205% YOY sales in 2015. Two other fast-casual brands: MOD Pizza climbed 182% and Pieology posted a 67% gain.
An Experienced Restaurateur
ALTO Pizza Kitchen + Bar will be owned & operated by Bob Dames, the founder of Flipdaddy’s Burgers & Beers. Dames built one of the region’s fastest growing burger pubs with five chains located in Ohio, Kentucky, and the gulf coast of Alabama. He brings 8 years of experience in operating restaurants paired with specialty cocktails & microbrews. Most importantly, Dames developed a partnership for ALTO Pizza + Bar to become the food partner to Northern Kentucky’s largest microbrewery, Braxton Brewing. ALTO Pizza Kitchen + Bar is right next to Braxton Brewery.
- Partnering with Braxton Brewery: Northern Kentucky’s Largest Microbrewery
Braxton Brewery is one of Greater Cincinnati’s largest regional breweries. Founded by Evan and Jake Rouse, who began homebrewing when they were only 16 years old, Braxton is one of the first major microbreweries in the region. Braxton operates an 11,000 s.f. brewery & taproom that’s expanding with a roof-top bar. They distribute all over OH, KY, & TN, and produce over 15,000 bbls/year, elevating them from Microbrewery to REGIONAL brewery status.
Since opening in Spring 2015, Braxton’s presence has been recognized as a key to Covington’s renaissance and revitalization. As Braxton continues to scale, they’ve been searching for a restaurant partner who’ll put the same amount of quality into their food as much as Braxton does into its craft beer. Braxton has already partnered with Northern Kentucky University, and even Graeter’s Ice Cream to make specialty beers. ALTO Pizza Kitchen is proud to partner up with Braxton, and will put an ordering kiosk directly inside the brewery.
Investors note that you may consider ALTO Pizza Kitchen + Bar, LLC as an independently owned & operated entity separate from Braxton Brewery. Our partnership with Braxton Brewery does not guarantee in any way that your investment will be successful.
- The Anchor of Duveneck Square in Covington, KY
ALTO Pizza Kitchen + Bar will anchor Duveneck Square, a new urban mixed use retail development with 144 apartments. The building, located at 29 West 7th St. Covington, KY, sits between Covington’s historic Mainstrasse and the Madison Avenue shopping & business district. The street enjoys consistent foot traffic with several retail boutiques, coffee shops, bars, theaters, hotels, and art galleries within a block of the building. There are over 204K residents living within a 5 mile radius.
Covington sits on the southern bank of the Ohio river of its sister city Cincinnati, and is the gateway to the Kentucky Bourbon trail. This burgeoning city draws comparisons to Brooklyn, because it’s become a popular enclave with its own economic & cultural epicenter. Even the bridge that connects it to Cincinnati was a model for the Brooklyn Bridge. Covington is currently undergoing a renaissance of urban renewal with new residents, a thriving tech community, and new businesses moving in everyday.
The Goal: $210,000 Average Monthly Sales
We estimate sales in the first year to reach $2.5 million and average ~$210,000 a month with a range from as high as $250,000 a month in December to a low of $150,000 in July. Since we’re partnered with an existing brewery, we’ve modeled our sales based on current brewery traffic. We anticipate needing $146,000 of sales each month to break even.
We anticipate a minimum of 300 customers daily with average checks of $10.50 at lunch and $22.50 at dinner. We plan to operate at approximately 30% net margins (EBIDTA) based on our experience operating other restaurants. We project first year sales of approximately $2.52 million. Note, these are pro-forma annual sales, since we have no operating history in this store yet.
ALTO Pizza Kitchen + Bar Opens Late Spring 2018
Use of funds
The plan is to use the funds for the build-out and operations of the restaurant which we’ve budgeted $500,000 in total.
Meet the Management Team
The SAFE or Simple Agreement for Future Equity is a popular option for new companies raising capital. ALTO Pizza Kitchen + Bar (registered as FATWOOD LLC) is offering future equity shares in their company. Before investing, please review the full terms of the SAFE Agreement and Perks Agreement
Raise Target: Minimum of $50,000 and up to $500,000
Minimum Investment: $100
Pre-Money Valuation Cap: $7,500,000. This means you're speculating the company will be worth more than this amount in the future if the company were acquired or raised another round of capital. Since your investment will be against this valuation cap, it would result in a higher percentage of ownership, compared to the later round investors who would be investing against the higher valuation.
If you have any questions, please post your questions in the Comments Section above.
I'm so excited to bring ALTO Pizza Kitchen + Bar to Covington, Kentucky. ALTO Pizza Kitchen + Bar will feature a chef driven menu with creative pizzas, salads, and bowls made with the finest and freshest ingredients. The Bar will have an extensive wine selection and mixologists on staff will bring classic cocktails and our own signature line-up of exciting new combinations.
I'm a restaurateur with years of experience operating Flipdaddy's and now bring a dedicated team of knowledgeable professionals to the ALTO Pizza Kitchen + Bar. Our Team has successfully launched 5 Flipdaddy’s Brilliant Burgers & Craft Beer Bar in the last 7 years.
Our partnership with Braxton Brewery gives us a kiosk in the brewery for customers to order directly from ALTO Pizza Kitchen + Bar right next door so we can walk food over. This unique arrangement allows us to double our restaurant capacity at no additional cost, and be the major anchor of the new Duveneck Square development.
Covington, KY is the perfect location for us, because it is experiencing a revival similar to the Over-the-Rhine neighborhood of Cincinnati (a top 15 city in the country). Led by Braxton Brewery, Covington has attracted new hotels, residential complexes, company headquarters, entertainment venues, and upscale retail. With the addition of ALTO Pizza Kitchen + Bar, we’ll be the first upscale pizza restaurant in the area!
I welcome you to join us as investors in this exciting project!
Thanks so much!
Risks & Disclosures
- You’re investing in ALTO Pizza Kitchen + Bar in Covington, KY. You are relying on the manager to effectively execute the business plan, and as a result, investors will not have any influence on the decisions of the management.
- The lease & build out of this property comes with risks to the timeline of the general contractor, subcontractor, architects, licensing, and other third parties who are contracted to complete the effort. While there is a milestone schedule to complete the project, the schedule is subject to getting financing, completing the build-out and getting the business up and fully operational.
- Braxton Brewery operates a separate and independent business from ALTO Pizza. None of the brewery’s revenues or the health of their business should be dependent on ALTO.
- The company’s projections are all forward looking, and there is no operating history. While the company certainly believes in its pro-forma revenue projections, they cannot assure that sales will be fully realized.