Sir Royalty Income Fund T.SRV.UN

Alternate Symbol(s): SIRZF

Consumer Cyclical Restaurants

SIR Royalty Income Fund (the Fund) holds investment in SIR Corp (SIR). The Funds' investment, SIR is engaged in the business of owning and operating full-service restaurants in Canada. SIR has concept restaurant brands, including Jack Astor’s Bar and Grill, Scaddabush Italian Kitchen & Bar, and Canyon Creek Chop House, signature restaurant brands, such as Reds Wine Tavern, Reds Midtown Tavern, Reds Square One, and The Loose Moose, which are used by SIR under a license agreement with SIR Royalty Limited Partnership (the Partnership. The Fund receives distribution income from its investment in the Partnership and interest income from the SIR Loan. The Fund indirectly participates in the revenues generated under the License and Royalty Agreement through its Investment in the Partnership.

TSX:SRV.UN - Post by User

Sir Royalty Income Fund > No interest in this stock

<< Previous

Bullboard Posts

Next >>

Comment by Rule1Investoron Jun 28, 2020 2:05pm

120 Views

Post# 31200610

RE:RE:No interest in this stock

The problem with this stock is it's bussiness model. They own the resurants outright and resurants have low margins with low barriers to entry by it's nature so it is very difficult right now to predict the future cashflow of this business and coupled that with liabilites of the large capex needed to fund resurants this stock is very risky. I'd much rather own a stock like Mc Donalds for example that uses a franchise model that way you are protecting from the large capex needed to fund a resurant and even if you lose 50% of your franchises it's still much easeir to predict the future cashflow.

<< Previous

Bullboard Posts

Next >>

Hempalta acquires controlling interest in Hemp Carbon Standard