3. A pioneer concept in the family themed restaurant
industry with unique children’ play space
Organic & nutritious menu with a high quality menu
items made from local, fresh foods
Trained “aides” promote family-friendly feel and play
with kids
Multiple revenue drivers generate attractive store-
level profitability opportunities
Large mall operators have expressed keen interest in
rolling out the concept nationwide
3
Overview
4. Family restaurant that addresses an unmet need
for high-quality, healthy food in a safe, themed
entertainment environment for children.
3 locations currently with significant interest from
the largest global mall developers for many more
who have also contributed significant cash and rent
concessions.
Our “prototype” has been met with significant
patron adoption, good margins of profitability, and
widespread media coverage.
Revenues: 2011: $1,116,150, 2012: $1,348,691
2013 (6 months): $1,010,431
4
Who We Are…
5. 5
Some of the Celebrity Clientele Generating
Positive Press Coverage
6. Recent “Free” Press Coverage
Sampling of publications featuring stories on Giggles N’ Hugs…
7. Founded by CEO, Joey Parsi, and his wife, Dora Parsi, in response to frustration they experienced dining with
their children.
Recognized and addressed a substantial void in the market by opening the first Giggles N Hugs restaurant in
Brentwood, California in February 2008.
Brentwood was an immediate success, that enjoyed profitability and widespread media coverage.
Westfield approached them for an expansion proposal, including possible nationwide rollout.
In 2010, opened their second restaurant in the Westfield Century City Mall, with Westfield agreeing to pay 60%
of construction costs, with additional concessions.
Opened a second location in March 2013 in the Westfield Topanga Shopping Center, and on February 15, 2013
executed a lease for a third location in the Glendale Galleria Mall, which opened in Novemer of 2013.
The current landlords, Westfield and General Growth Properties, have offered very favorable tenant
improvement concessions and landlord financing on existing leases.
7
Our History
8. Smile and befriend the guest at ALL times
Deliver delicious nutritious food
Sincere hospitality & service excellence
Cleanliness & safety
Creating magical moments
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.”
Our Mission & Core Values
8
9. 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 this
service in LA
9
What Sets Us Apart?
10. Admission fee for play area access
Food and Beverages
Birthday parties & private rentals
Drop-off service
Alcohol (beer & wine)
Branded In-store and retail outlet
merchandising (licensing & merchandising
model)
U.S. and International Franchising
10
Multiple Revenue Streams
11. Westfield Mall – Century City, CA
Opened Dec. 2010 – “Flagship location”
Annual run rate of $1.4 million in sales and $285,000 in EBITDA
(21% net operating margin)
6,100 sq. ft.
24% of households with children¹
21% of household income >$100k¹
Westfield Topanga Shopping Center – Canoga Park, CA
10-year lease signed – February 2012
Opened end of March 2013
5,900 sq. ft.
38% of households with children¹
30% of household income >$100k¹
Glendale Galleria (General Growth) – Glendale, CA
10-year lease signed – February 2013
Slated to open October 2013
6,000 sq. ft.
47% of households with children
23% of household income >$100k
11
Where We Are Today…
¹Westfield February 2012 Demographic Report.
12. While fast food restaurants offer cheap food in cookie-cutter
buildings, themed restaurants offer a good meal, as well as an
experience.
In 2011, there were 19.5 million kids’ parties at restaurants.¹
NPD CREST research finds that kids are eating more healthful
food options than ever before.¹
Children five or younger are most likely to influence restaurant
visits.²
The average visitor stay at a family entertainment center is 2.5
hours, and they typically visit up to 6 times per year.³
Market Opportunity
1) The NPD Group, “Better Deals and More Sophisticated Palates Contribute to Kids Meal Declines.” May 22, 2012.
2) “The New American Diner Study,” by Restaurants & Institutions. August 2007.
3) Family Entertainment Center White Paper by JamVentures Management, 2010. 12
13. Backfill Southern California
market
Longer-Term Target markets:
Seattle, WA
Vancouver, B.C.
San Francisco, CA
East Coast
Evaluating multiple franchise
requests from around the U.S.
and the world
13
Expansion Goals
14. The Westfield Group is highly
interested in expanding Giggles N’
Hugs to all 55 of its U.S. mall locations
Offering to pay +60% of construction
costs (i.e., “Tenant Allowance Dollars”)
Negotiating deals on a per-location
basis
Also in discussions with other REITs
and major mall operators
Macerich Group (NYSE: MAC, $83B
market cap): 62 regional shopping
centers, 64M sq. ft. of gross leasable
area
General Growth Properties (GGP): 135
property portfolio
The “Westfield Opportunity”
14
15. 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
15
Site Selection Strategy
16. 16
Planned New Store Rollout Schedule
2013 (A*) 2014 2015 2016 2017
Q1 1 (Topanga*) 0 2 3 4
Q2 0 1 2 3 4
Q3 0 1 3 3 4
Q4 1 1 1 2 4
Projected Cumulative Stores 3 6 14 25 41
Three Months Ended June 30, 2013 Topanga
Revenue $374,459
Total Cost & OP EX ($312,054)
EBITDA margin 16.666%
The following is a diagram of the expected nationwide new store rollout schedule for current year
2013 through the end of 2017. The flagship store in Century City has been in existence since
December 2010.
The Topanga location showed solid results in its first quarter of operation. This is a testament to
a well chosen location and the strength of the Giggles N’ Hugs brand.
17. Signed agreement with The Licensing Shop
(TLS) to extend the Giggles ‘N Hugs
restaurant experience into “on-brand”
products
TLS specializes in the strategic development
of consumer products
Expertise:
Extending brands into licensed products
Creating new revenue streams
Reaching new customers
17
Licensing & Merchandising Strategy
TLS Sample Clients
18. We plan to sell our branded merchandise in-store
as well as to top tier retail outlets
Further expansion opportunities into organic, high-
quality clothing & food line
Top-tier retail targets – Nordstrom, Bloomingdales,
Whole Foods, etc.
Examples:
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
18
Multiple Retail Revenue Initiatives
19. Joey Parsi – Founder, President & Director
Founded GIGL in 2007
20+ year career on Wall Street
Lehman Brothers
Sutro & Co.
Investment advisor at TD Waterhouse (managed $350M+ in assets) & StockCross Financial Services
Sean Richards – COO
Joined GIGL in 2010
20+ Years of operations management experience.
Regional Director at Hootwinc, LLC (overseeing operations of 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
19
Management
20. Joan Barnes – Advisory Board Member
Joined GIGL August 2012
Co-founder and former CEO of Gymboree
Responsible for growing brand to 400 play centers
Sold company for$1.8 billion or ~20x revenue
Founder and former principle owner of YOGA STUDIO,
sold to Yoga Works in late 2008
Philip Gay, CPA – Advisory Board Member
+25 years experience operating restaurant concepts
Former president & CEO – Grill Concepts, Inc.
Former CFO – California Pizza Kitchen & Wolfgang Puck Food
CEO & COO – Diversified Food Group
Former CEO – Color Me Mine
Managing Director of Triple Enterprises
20
Advisory Board
Glenn Golenberg, CPA – Advisory Board Member
35 years of investment banking, private equity & financial restructuring experience
Co-founder and Managing Director of Golenberg & Company
Managing Director of Bellwether Group
Advisor to 200+ transactions & arranged financings in excess of $1 billion
Chairman and Director of numerous publicly and privately held companies and committees including The Finance Committee and
Investment Committee of Cedars-Sinai Hospital
Executive board of the Wharton Graduate School of the University of Pennsylvania where he received his MBA
21. A pioneer concept in the children’s themed restaurant industry
Organic & nutritious menu with versatility and depth
Trained “aides” promote family-friendly feel
Multiple revenue drivers generate attractive store-level profitability
opportunities
Large mall operators have expressed keen interest in rolling out the
concept nationwide
21
Key Take-Aways
22. 22
Giggles N’ Hugs Contacts
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
23. 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
23
Appendix: Awards & Accolades
“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
24. “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: What Our Customers Say…
27. 27
Offering Summary
Deal Size The maximum amount of the Offering is $3,000,000 ..
Securities Offered (each consisting of convertible debentures (the “Debentures”)
Coupon Seven percent (7%).
Debenture Conversion Price $0.37per Unit.
Exchange/Ticker OTCQB: GIGL
Selling Agents
WestPark Capital, Inc., a FINRA Member Firm
Merriman Capital, Inc., a FINRA Member Firm
Use of Proceeds New store openings, marketing, and working capital.
*Important details regarding this offering can be found in the private placement memorandum.
