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Investor Presentation
July 2015
Important Cautions Regarding
Forward-Looking Statements
2OTCQB: GIGL
This presentation contains forward-looking statements. These statements relate to future
events or expectations regarding our future financial performance. These statements are only
predictions and involve risks and uncertainties, including, but not limited to the ability to
open the new location, fulfill the terms and obligations of the lease, and any other difficulties
related to risks and effects of legal and administrative proceedings and governmental
regulation, future financial and operational results, competition, general economic
conditions, and the ability to manage and continue growth.
Should one or more of these risks or uncertainties materialize, or should underlying
assumptions prove incorrect, actual outcomes may vary materially from those indicated.
Important factors that could cause actual results to differ materially from the forward-looking
statements we make in this news release include market conditions and those set forth in
reports or documents we file from time to time with the SEC. We undertake no obligation to
revise or update such statements to reflect current events or circumstances after the date
hereof or to reflect the occurrence of unanticipated events.
Who We Are
3OTCQB: GIGL
 Family restaurant and play space
 Healthier, high-end version of Chuck E Cheese
 Unique in the market place / First-of-a-kind family restaurant
 Brings together organic gourmet food with play elements for children
 Solves unmet need in family dining
 Parents get to eat and relax
 Kids get an incredible time playing in custom 2500 sq. ft. play area:
 Climbers
 Dragons
 Castles
 Pirate ships
 Swings
 And more
Business Basics
4OTCQB: GIGL
 Three locations in high-profile malls in LA
 Expanding to 12 company-owned locations by end of 2017
 Support from large mall operators
 Average 75% rent discounts
 $500K-$700K up-front cash (covers 50%+ of build-out)
 Interest from franchisees globally
 Celebrity clientele and national media coverage
 Strong financial performance
 Revenue up 48% in 2014
 1Q15 vs 1Q14: revenue up 12%; costs down 7%
 Current assets up 41%; long-term liabilities down 14% at
year-end 2014
 Multiple revenue drivers generate attractive store-level
profitability opportunities
Stock Basics
5OTCQB: GIGL
Recent Price $0.14
Market Cap $5.2M
Shares Outstanding 33.3M
Float 15.2M
Ave. Volume (3 mth) 22,516
*Data as of July 6, 2015
Experienced Senior Leadership
6OTCQB: GIGL
Joey Parsi
Founder & Chief Executive Officer
John Kaufman
Interim-President
Philip Gay, CPA
Chief Business Development Officer
Sean Richards
Chief Operating Officer
Joan Barnes
Advisory Board
 20+ year career on Wall Street
 Sutro & Co., Lehman Brothers, & TD Waterhouse
(managed $350M+ in assets)
 Founded Giggles N’ Hugs in 2007
 Former COO of California Pizza Kitchen
 Grew from two locations to 70+
 Former President/COO of Koo Koo Roo
 33 years of restaurant industry experience
 Former president & CEO – Grill Concepts, Inc.
 Former CFO – California Pizza Kitchen & Wolfgang Puck Food
 Former CEO & COO – Diversified Food Group
 Former CEO – Color Me Mine
 Managing Director of Triple Enterprises
 25+ years of restaurant industry experience
 20+ Years of operations management experience
 Regional Director at Hootwinc, LLC (operated 7
Hooters restaurants, 1 casino & 2 bars)
 General Manager of The Viper Room & Pink Taco
 General Manager of the House of Blues, Planet
Hollywood & Hard Rock Café
 Joined Giggles N’ Hugs in 2010
 Co-founder and former CEO of Gymboree
 Grew brand to 400 play centers
 Sold for $1.8 billion (~20x revenue)
 Founder of YOGA STUDIO, sold to Yoga Works in late 2008
 Joined Giggles N’ Hugs in 2012
What Sets Us Apart?
7OTCQB: GIGL
 Kid-friendly play area in a true restaurant
environment
 Delicious, nutritious, organic menu catered to
young children (1-10) and accommodative to
parents
 Entertainment, such as puppet shows & themed
nights
 Trained “aides” assist with children’s enjoyment
while parents relax
 Child drop-off service (while parents shop)
 First and only restaurant to offer drop-off
service in LA
MISSION:
To satisfy every parent’s need for
a restaurant that serves healthy,
delicious food and caters to their
children's experience as much as
their own.
Celebrity Clientele &
National Media Coverage
8OTCQB: GIGL
Where We Are Today
9OTCQB: GIGL
 Westfield Mall – Century City, CA
 Opened Dec. 2010 – “Flagship location”
 Annual run rate of $1.2 million in sales (up 15% over prior year)
 6,100 sq. ft.
 24% of households with children
 21% of household income >$100k
 Westfield Topanga Shopping Center – Canoga Park, CA
 10-year lease signed February 2012
 Opened end of March 2013
 Annual run rate of $1.1 million in sales (up 4.3% YTD)
 5,900 sq. ft.
 38% of households with children
 30% of household income >$100k
 Glendale Galleria (General Growth) – Glendale, CA
 10-year lease signed February 2013
 Opened November 2013
 Annual run rate of $1.4 million in sales (up 16.9% YTD)
 6,000 sq. ft.
 47% of households with children
 23% of household income >$100k
Strategic Expansion Plans:
Company-Owned & Franchise Locations
10OTCQB: GIGL
 San Francisco, CA
 Seattle, WA
 Vancouver, BC
 East Coast
 Expanding to 12 company-owned locations
by year-end 2017
 Ongoing interest globally from large
multi-unit franchising operators and
individual franchisees
 Licensing fees ($100Ks - $millions)
 Royalties (2%-8% of gross sales)
 Backfill Southern California
market, with longer-term
target markets including:
Major Mall Operator Support:
Rent Concessions & Up-Front Cash
11OTCQB: GIGL
 Strong interest from major mall operators
 Westfield Group (55 properties)
 Macerich Group (62 properties)
 General Growth Properties (135 properties)
 Simon Properties (300+ properties)
 GIGL drives traffic to mall properties; mall
owners/operators offering significant concessions
& allowances:
 Average 75% discount on rent
 $500K-$700K up-front cash (covers 50% of build-out)
 Todd Star, former Westfield senior executive,
spearheading negotiations with mall operators
 Negotiating deals on per-location basis
Licensing & Merchandising Provide
Additional Revenue Drivers
12OTCQB: GIGL
 Agreement with The Licensing Shop (TLS) to extend the
Giggles N’ Hugs experience into “on-brand” products
 TLS specializes in the strategic development of consumer
products; expertise includes:
 Extending brands into licensed products
 Creating new revenue streams
 Reaching new customers
 TLC clients include:
 Plan to sell branded merchandise in-store as well as to top-tier
retail outlets (Nordstrom, Bloomingdales, Whole Foods, etc.)
 Potential merchandising opportunities:
 Organic food products (i.e. Frozen Pizzas with Mom’s
Tricky Treat Sauce, Mac N Cheese with Mom’s Tricky
Treat Sauce, and Chicken Littles with Flax Seed)
 High-quality children’s apparel and accessories
 Drink ware/snack cups (BPA Free)
 Coloring books & stickers
 Children’s vitamin water
Attractive Single-Store Economics
13OTCQB: GIGL
Initial Investment:
Build-Out $960,000
Pre-Opening Expenses +$240,000
Total Initial Investment $1,200,000
Tenant Improvement Funds -$600,000
Total Company Cost $600,000
Site Selection Strategy
 Target:
 High-traffic, upscale retail centers &
shopping malls
 Lifestyle/entertainment centers
 Areas with children under the age of 10
 Empirical site selection model
 Rigorous ROI review
 Prototype: 6,000 sq. ft. & 150 seats
Achieve Payback in 2.5 Years
(in thousands)
YEAR 1 YEAR 2 YEAR 3 YEAR 4
Revenue $1,743 $1,893 $1,983 $2,008
SSS Growth n/a 9% 5% 2%
Costs ($1,415) ($1,519) ($1,576) ($1,571)
Store Net Profit $328 $374 $407 $437
Corporate Op. Costs ($50) ($50) ($50) ($50)
EBITDA $278 $324 $357 $387
EBITDA % 15.9% 17.1% 17.9% 19.3%
Track Record of Revenue Growth
(in millions)
14OTCQB: GIGL
$1.1
$1.3
$2.3
$3.3
$0.0
$1.0
$2.0
$3.0
$4.0
2011 2012 2013 2014
31.6% CAGR
Same Store Sales Performance
Driving Positive Operating Income
15OTCQB: GIGL
$636
$822 $825
$913
$781
$918
$0
$250
$500
$750
$1,000
Dec31,2013
Mar30,2014
June30,2014
Sept30,2014
Dec31,2014
Mar30,2015
-$42 -$30 -$30
$41 $37
$62
($50)
($25)
$0
$25
$50
$75
(inthousands)
Quarterly
Revenue
Quarterly
Operating
Income
(store-level)
Key Takeaways
16OTCQB: GIGL
 First-of-its-kind family restaurant and play space
 Addresses unmet consumer need
 Expanding to 12 company-owned locations by year-end 2017
 Strong interest from franchisees globally
 Experienced management team
 California Pizza Kitchen, Koo Koo Roo, Wolfgang Puck Foods,
Gymboree, Color Me Mine, etc.
 Significant interest/support from major mall operators
 Rent concessions (75%) and tenant allowances ($500k-$700K) offset
50% or more of per location start-up costs
 Proven ability to deliver financial performance
 2014 revenue up 48% YoY
 31.6% CAGR (2011-2014)
 Multiple revenue drivers
 Food, beverage, private parties, merchandise, etc.
 Attractive store-level profitability opportunities
Contact Us
17OTCQB: GIGL
Giggles N’ Hugs, Inc.
10250 Santa Monica Blvd., #155
Los Angeles, CA 90067
Tel (310) 553-4847
Company Contact
Joey Parsi, Founder and CEO
Tel (310) 780-0770
Investor Relations Contact
Jon Cunningham, VP of IR
RedChip Companies
Tel (800) 733-2447 ext. 107
jon@redchip.com
Appendix: Awards & Accolades
18OTCQB: GIGL
 Rated among best family &
kid-friendly restaurants by
CitySearch and GoCityKids
 Voted the #1 birthday party
place in Los Angeles by
Nickelodeon
 Voted “Best Pizza in Los
Angeles” by Nickelodeon
Treat your children like the stars they are with red-carpet-
worthy fun. Giggles ‘N’ Hugs,Tinseltown’s favorite tot
hotspot, is where playtime, healthy food and happy families
converge.”
— L. Souris Hong-Porretta, Gilt City Editor
“
Appendix: What Our Customers Say
19OTCQB: GIGL
 “I am a big fan of Giggles. This indoor playground has
everything it takes for a great time: food, beer, wine,
coffee, cookies, delicious, healthy pizza, not greasy
and thick. What else do I need? Oh I forgot they also
have complimentary wifi. A big plus!” – 5/2/12
 “I love this place and so do my kids. Having two little
ones to impress often makes it difficult unless you want
to go to Chucky Cheese LOL...this place is perfect
and the food is very good. Highly recommended.” –
5/15/12
 “This place is wonderful! We had a great time when
we went to check it out. It's kid friendly. The staff was
really nice. I'm looking forward to different promotions
they might have coming up, including the Easter
Brunch. I would highly recommend this place to
anyone I know with kids.” – 4/7/11
Appendix:
Organic & Nutritious Menus for Adults
20OTCQB: GIGL
Appendix:
Organic & Nutritious Menus for Children
21OTCQB: GIGL
Appendix:
Some of Our Popular Menu Items
22OTCQB: GIGL

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Giggles n' Hugs

  • 2. Important Cautions Regarding Forward-Looking Statements 2OTCQB: GIGL This presentation contains forward-looking statements. These statements relate to future events or expectations regarding our future financial performance. These statements are only predictions and involve risks and uncertainties, including, but not limited to the ability to open the new location, fulfill the terms and obligations of the lease, and any other difficulties related to risks and effects of legal and administrative proceedings and governmental regulation, future financial and operational results, competition, general economic conditions, and the ability to manage and continue growth. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual outcomes may vary materially from those indicated. Important factors that could cause actual results to differ materially from the forward-looking statements we make in this news release include market conditions and those set forth in reports or documents we file from time to time with the SEC. We undertake no obligation to revise or update such statements to reflect current events or circumstances after the date hereof or to reflect the occurrence of unanticipated events.
  • 3. Who We Are 3OTCQB: GIGL  Family restaurant and play space  Healthier, high-end version of Chuck E Cheese  Unique in the market place / First-of-a-kind family restaurant  Brings together organic gourmet food with play elements for children  Solves unmet need in family dining  Parents get to eat and relax  Kids get an incredible time playing in custom 2500 sq. ft. play area:  Climbers  Dragons  Castles  Pirate ships  Swings  And more
  • 4. Business Basics 4OTCQB: GIGL  Three locations in high-profile malls in LA  Expanding to 12 company-owned locations by end of 2017  Support from large mall operators  Average 75% rent discounts  $500K-$700K up-front cash (covers 50%+ of build-out)  Interest from franchisees globally  Celebrity clientele and national media coverage  Strong financial performance  Revenue up 48% in 2014  1Q15 vs 1Q14: revenue up 12%; costs down 7%  Current assets up 41%; long-term liabilities down 14% at year-end 2014  Multiple revenue drivers generate attractive store-level profitability opportunities
  • 5. Stock Basics 5OTCQB: GIGL Recent Price $0.14 Market Cap $5.2M Shares Outstanding 33.3M Float 15.2M Ave. Volume (3 mth) 22,516 *Data as of July 6, 2015
  • 6. Experienced Senior Leadership 6OTCQB: GIGL Joey Parsi Founder & Chief Executive Officer John Kaufman Interim-President Philip Gay, CPA Chief Business Development Officer Sean Richards Chief Operating Officer Joan Barnes Advisory Board  20+ year career on Wall Street  Sutro & Co., Lehman Brothers, & TD Waterhouse (managed $350M+ in assets)  Founded Giggles N’ Hugs in 2007  Former COO of California Pizza Kitchen  Grew from two locations to 70+  Former President/COO of Koo Koo Roo  33 years of restaurant industry experience  Former president & CEO – Grill Concepts, Inc.  Former CFO – California Pizza Kitchen & Wolfgang Puck Food  Former CEO & COO – Diversified Food Group  Former CEO – Color Me Mine  Managing Director of Triple Enterprises  25+ years of restaurant industry experience  20+ Years of operations management experience  Regional Director at Hootwinc, LLC (operated 7 Hooters restaurants, 1 casino & 2 bars)  General Manager of The Viper Room & Pink Taco  General Manager of the House of Blues, Planet Hollywood & Hard Rock Café  Joined Giggles N’ Hugs in 2010  Co-founder and former CEO of Gymboree  Grew brand to 400 play centers  Sold for $1.8 billion (~20x revenue)  Founder of YOGA STUDIO, sold to Yoga Works in late 2008  Joined Giggles N’ Hugs in 2012
  • 7. What Sets Us Apart? 7OTCQB: GIGL  Kid-friendly play area in a true restaurant environment  Delicious, nutritious, organic menu catered to young children (1-10) and accommodative to parents  Entertainment, such as puppet shows & themed nights  Trained “aides” assist with children’s enjoyment while parents relax  Child drop-off service (while parents shop)  First and only restaurant to offer drop-off service in LA MISSION: To satisfy every parent’s need for a restaurant that serves healthy, delicious food and caters to their children's experience as much as their own.
  • 8. Celebrity Clientele & National Media Coverage 8OTCQB: GIGL
  • 9. Where We Are Today 9OTCQB: GIGL  Westfield Mall – Century City, CA  Opened Dec. 2010 – “Flagship location”  Annual run rate of $1.2 million in sales (up 15% over prior year)  6,100 sq. ft.  24% of households with children  21% of household income >$100k  Westfield Topanga Shopping Center – Canoga Park, CA  10-year lease signed February 2012  Opened end of March 2013  Annual run rate of $1.1 million in sales (up 4.3% YTD)  5,900 sq. ft.  38% of households with children  30% of household income >$100k  Glendale Galleria (General Growth) – Glendale, CA  10-year lease signed February 2013  Opened November 2013  Annual run rate of $1.4 million in sales (up 16.9% YTD)  6,000 sq. ft.  47% of households with children  23% of household income >$100k
  • 10. Strategic Expansion Plans: Company-Owned & Franchise Locations 10OTCQB: GIGL  San Francisco, CA  Seattle, WA  Vancouver, BC  East Coast  Expanding to 12 company-owned locations by year-end 2017  Ongoing interest globally from large multi-unit franchising operators and individual franchisees  Licensing fees ($100Ks - $millions)  Royalties (2%-8% of gross sales)  Backfill Southern California market, with longer-term target markets including:
  • 11. Major Mall Operator Support: Rent Concessions & Up-Front Cash 11OTCQB: GIGL  Strong interest from major mall operators  Westfield Group (55 properties)  Macerich Group (62 properties)  General Growth Properties (135 properties)  Simon Properties (300+ properties)  GIGL drives traffic to mall properties; mall owners/operators offering significant concessions & allowances:  Average 75% discount on rent  $500K-$700K up-front cash (covers 50% of build-out)  Todd Star, former Westfield senior executive, spearheading negotiations with mall operators  Negotiating deals on per-location basis
  • 12. Licensing & Merchandising Provide Additional Revenue Drivers 12OTCQB: GIGL  Agreement with The Licensing Shop (TLS) to extend the Giggles N’ Hugs experience into “on-brand” products  TLS specializes in the strategic development of consumer products; expertise includes:  Extending brands into licensed products  Creating new revenue streams  Reaching new customers  TLC clients include:  Plan to sell branded merchandise in-store as well as to top-tier retail outlets (Nordstrom, Bloomingdales, Whole Foods, etc.)  Potential merchandising opportunities:  Organic food products (i.e. Frozen Pizzas with Mom’s Tricky Treat Sauce, Mac N Cheese with Mom’s Tricky Treat Sauce, and Chicken Littles with Flax Seed)  High-quality children’s apparel and accessories  Drink ware/snack cups (BPA Free)  Coloring books & stickers  Children’s vitamin water
  • 13. Attractive Single-Store Economics 13OTCQB: GIGL Initial Investment: Build-Out $960,000 Pre-Opening Expenses +$240,000 Total Initial Investment $1,200,000 Tenant Improvement Funds -$600,000 Total Company Cost $600,000 Site Selection Strategy  Target:  High-traffic, upscale retail centers & shopping malls  Lifestyle/entertainment centers  Areas with children under the age of 10  Empirical site selection model  Rigorous ROI review  Prototype: 6,000 sq. ft. & 150 seats Achieve Payback in 2.5 Years (in thousands) YEAR 1 YEAR 2 YEAR 3 YEAR 4 Revenue $1,743 $1,893 $1,983 $2,008 SSS Growth n/a 9% 5% 2% Costs ($1,415) ($1,519) ($1,576) ($1,571) Store Net Profit $328 $374 $407 $437 Corporate Op. Costs ($50) ($50) ($50) ($50) EBITDA $278 $324 $357 $387 EBITDA % 15.9% 17.1% 17.9% 19.3%
  • 14. Track Record of Revenue Growth (in millions) 14OTCQB: GIGL $1.1 $1.3 $2.3 $3.3 $0.0 $1.0 $2.0 $3.0 $4.0 2011 2012 2013 2014 31.6% CAGR
  • 15. Same Store Sales Performance Driving Positive Operating Income 15OTCQB: GIGL $636 $822 $825 $913 $781 $918 $0 $250 $500 $750 $1,000 Dec31,2013 Mar30,2014 June30,2014 Sept30,2014 Dec31,2014 Mar30,2015 -$42 -$30 -$30 $41 $37 $62 ($50) ($25) $0 $25 $50 $75 (inthousands) Quarterly Revenue Quarterly Operating Income (store-level)
  • 16. Key Takeaways 16OTCQB: GIGL  First-of-its-kind family restaurant and play space  Addresses unmet consumer need  Expanding to 12 company-owned locations by year-end 2017  Strong interest from franchisees globally  Experienced management team  California Pizza Kitchen, Koo Koo Roo, Wolfgang Puck Foods, Gymboree, Color Me Mine, etc.  Significant interest/support from major mall operators  Rent concessions (75%) and tenant allowances ($500k-$700K) offset 50% or more of per location start-up costs  Proven ability to deliver financial performance  2014 revenue up 48% YoY  31.6% CAGR (2011-2014)  Multiple revenue drivers  Food, beverage, private parties, merchandise, etc.  Attractive store-level profitability opportunities
  • 17. Contact Us 17OTCQB: GIGL Giggles N’ Hugs, Inc. 10250 Santa Monica Blvd., #155 Los Angeles, CA 90067 Tel (310) 553-4847 Company Contact Joey Parsi, Founder and CEO Tel (310) 780-0770 Investor Relations Contact Jon Cunningham, VP of IR RedChip Companies Tel (800) 733-2447 ext. 107 jon@redchip.com
  • 18. Appendix: Awards & Accolades 18OTCQB: GIGL  Rated among best family & kid-friendly restaurants by CitySearch and GoCityKids  Voted the #1 birthday party place in Los Angeles by Nickelodeon  Voted “Best Pizza in Los Angeles” by Nickelodeon Treat your children like the stars they are with red-carpet- worthy fun. Giggles ‘N’ Hugs,Tinseltown’s favorite tot hotspot, is where playtime, healthy food and happy families converge.” — L. Souris Hong-Porretta, Gilt City Editor “
  • 19. Appendix: What Our Customers Say 19OTCQB: GIGL  “I am a big fan of Giggles. This indoor playground has everything it takes for a great time: food, beer, wine, coffee, cookies, delicious, healthy pizza, not greasy and thick. What else do I need? Oh I forgot they also have complimentary wifi. A big plus!” – 5/2/12  “I love this place and so do my kids. Having two little ones to impress often makes it difficult unless you want to go to Chucky Cheese LOL...this place is perfect and the food is very good. Highly recommended.” – 5/15/12  “This place is wonderful! We had a great time when we went to check it out. It's kid friendly. The staff was really nice. I'm looking forward to different promotions they might have coming up, including the Easter Brunch. I would highly recommend this place to anyone I know with kids.” – 4/7/11
  • 20. Appendix: Organic & Nutritious Menus for Adults 20OTCQB: GIGL
  • 21. Appendix: Organic & Nutritious Menus for Children 21OTCQB: GIGL
  • 22. Appendix: Some of Our Popular Menu Items 22OTCQB: GIGL