<SEC-DOCUMENT>0000825324-13-000016.txt : 20130913
<SEC-HEADER>0000825324-13-000016.hdr.sgml : 20130913
<ACCEPTANCE-DATETIME>20130626181234
<PRIVATE-TO-PUBLIC>
ACCESSION NUMBER:		0000825324-13-000016
CONFORMED SUBMISSION TYPE:	CORRESP
PUBLIC DOCUMENT COUNT:		1
FILED AS OF DATE:		20130626

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			GOOD TIMES RESTAURANTS INC
		CENTRAL INDEX KEY:			0000825324
		STANDARD INDUSTRIAL CLASSIFICATION:	RETAIL-EATING PLACES [5812]
		IRS NUMBER:				841133368
		STATE OF INCORPORATION:			NV
		FISCAL YEAR END:			0930

	FILING VALUES:
		FORM TYPE:		CORRESP

	BUSINESS ADDRESS:	
		STREET 1:		601 CORPORATE CIRCLE
		CITY:			GOLDEN
		STATE:			CO
		ZIP:			80401
		BUSINESS PHONE:		3033841400

	MAIL ADDRESS:	
		STREET 1:		601 CORPORATE CIRCLE
		CITY:			GOLDEN
		STATE:			CO
		ZIP:			80401

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	PARAMOUNT VENTURES INC
		DATE OF NAME CHANGE:	19900205
</SEC-HEADER>
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<TYPE>CORRESP
<SEQUENCE>1
<FILENAME>filename1.htm
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<head><title>Converted by EDGARwiz</title> </head> <body style="MARGIN-TOP:0px; FONT-FAMILY:Times New Roman; COLOR:#000000; FONT-SIZE:10pt"> <div style=WIDTH:624px> <p style="MARGIN:0px; FONT-SIZE:11pt">June 26, 2013</p> <p style=MARGIN:0px><br></p> <p style="MARGIN:0px; FONT-SIZE:11pt">U.S. Securities and Exchange Commission</p> <p style="MARGIN:0px; FONT-SIZE:11pt">Division of Corporation Finance</p> <p style="MARGIN:0px; FONT-SIZE:11pt">Washington, D.C. 20549</p> <p style="MARGIN:0px; FONT-SIZE:11pt">Attention: &nbsp;John Stickel</p> <p style=MARGIN:0px><br></p> <p style="MARGIN-TOP:0px; TEXT-INDENT:48px; WIDTH:96px; MARGIN-BOTTOM:-2px; FLOAT:left; FONT-SIZE:11pt">Re:</p> <p style="TEXT-INDENT:-2px; MARGIN:0px; FONT-SIZE:11pt">Good Times Restaurants Inc.</p> <p style="TEXT-INDENT:96px; MARGIN:0px; CLEAR:left; FONT-SIZE:11pt">Amendment No. 1 to Registration Statement on Form S-1</p> <p style="TEXT-INDENT:96px; MARGIN:0px; FONT-SIZE:11pt">Filed June 7, 2013</p> <p style="TEXT-INDENT:96px; MARGIN:0px; FONT-SIZE:11pt">File No. 333-188183</p> <p style=MARGIN:0px><br></p> <p style="MARGIN:0px; FONT-SIZE:11pt">Dear Mr. Stickel:</p> <p style="MARGIN-TOP:0px; MARGIN-BOTTOM:7px; FONT-SIZE:11pt" align=justify>This letter is on behalf of Good Times Restaurants Inc. (the <font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#147;</font>Company<font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#148;</font>) in response to your comments of June 14, 2013 regarding Amendment No. 1 to the Company<font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#146;</font>s Registration Statement on Form S-1 (the <font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#147;</font>Registration Statement<font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#148;</font>) that was filed on EDGAR on June 7, 2013 and will also reflect a telephone conversation with respect to Item 1 between our counsel, Roger Cohen, and Justin Dobbie, Legal Branch Chief, on June 25, 2013. &nbsp;A marked version of Amendment No. 2 to the Registration Statement (<font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#147;</font>Amendment No. 2<font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#148;</font>) is enclosed herewith reflecting all changes to the Registration Statement. &nbsp;For convenience of reference, we have set forth your comments in bold below, with the Company<font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#146;</font>s response following each comment.</p> <p style=MARGIN:0px><br></p> <p style="MARGIN:0px; FONT-SIZE:11pt"><b><u>Recent Developments, page 4</u></b></p> <p style=MARGIN:0px><br></p> <p style="MARGIN-TOP:0px; TEXT-INDENT:24px; WIDTH:48px; MARGIN-BOTTOM:-2px; FLOAT:left; FONT-SIZE:11pt"><b>1.</b></p> <p style="TEXT-INDENT:-2px; MARGIN:0px; PADDING-LEFT:48px; FONT-SIZE:11pt"><b>We note your response to our prior comment 3 and reissue in part. &nbsp;Please revise to substantiate or remove the last sentence of the first full paragraph on page 5.</b></p> <p style="MARGIN:0px; CLEAR:left"><br></p> <p style="MARGIN:0px; FONT-SIZE:11pt" align=justify>Bad Daddy<font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#146;</font>s International LLC (<font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#147;</font>BDI<font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#148;</font>) maintains a state of the art point of sale system that is connected to a web-based database software provider that polls each restaurant's point of sale data on a daily basis. &nbsp;The polled data consists of all data related to every customer transaction and is then available to be analyzed in both formatted reports and as unformatted data, calculating on a per restaurant basis total sales and sales composition and average expenditure per customer transaction, per person, per server and per hour. &nbsp;Company management has continued to review such data on a daily, weekly, periodic and annual basis for each of the three existing Bad Daddy's restaurants that have been open for more than one year. &nbsp;We respectfully submit that such data substantiates our statements concerning the average sales and average customer check at a Bad Daddy<font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#146;</font>s restaurant.</p> <p style=MARGIN:0px align=justify><br></p> <p style="MARGIN:0px; FONT-SIZE:11pt" align=justify>Accordingly, we have revised the first full paragraph on page 5 of Amendment No. 2 to read in its entirety as follows:</p> <p style=MARGIN:0px align=justify><br></p> <p style="MARGIN:0px; PADDING-LEFT:48px; PADDING-RIGHT:48px; FONT-SIZE:11pt" align=justify>We believe that Bad Daddy<font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#146;</font>s Burger Bar can meet each of these objectives and that our relationship with BDI and BDFD can provide the vehicle for leveraging our existing infrastructure in administration, accounting, information technology, purchasing, human resources and training, marketing and operating systems and processes in partnering with the Bad Daddy<font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#146;</font>s Burger Bar founders who have serial restaurant experience and who can provide brand leadership and strategy as the Bad Daddy<font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#146;</font>s Burger Bar concept is expanded. &nbsp;Bad Daddy<font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#146;</font>s Burger Bar operates in a different segment of the restaurant industry than Good Times Burgers &amp; Frozen Custard as a full service, upscale casual restaurant concept with a chef-driven menu specializing in signature recipes, gourmet </p> <p style=MARGIN:0px align=justify><br><br></p> <p style="PAGE-BREAK-BEFORE:always; MARGIN:0px; PADDING-LEFT:48px; PADDING-RIGHT:48px; FONT-SIZE:11pt" align=justify>burgers, sandwiches, salads, appetizers and desserts, with a full bar specializing in craft microbrews. &nbsp;Based on our continued review of their electronic point of sale system data that immediately captures each customer transaction in each of their three existing restaurants that have been open for more than one year, we have determined that Bad Daddy<font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#146;</font>s Burger Bar average sales and average customer check per restaurant are materially higher than the Good Times Burgers &amp; Frozen Custard average sales and average check per restaurant.</p> <p style=MARGIN:0px><br></p> <p style="MARGIN:0px; FONT-SIZE:11pt"><b><u>Exhibits 5.1</u></b></p> <p style=MARGIN:0px><br></p> <p style="MARGIN-TOP:0px; TEXT-INDENT:24px; WIDTH:48px; MARGIN-BOTTOM:-2px; FLOAT:left; FONT-SIZE:11pt"><b>2.</b></p> <p style="TEXT-INDENT:-2px; MARGIN:0px; PADDING-LEFT:48px; FONT-SIZE:11pt" align=justify><b>We note that the warrants are contractual obligations of the company. &nbsp;As such, please have counsel provide an opinion that the warrants will be binding obligations of the company under the law of the jurisdiction governing the warrants. &nbsp;It appears that the warrants are governed by Colorado law.</b></p> <p style="MARGIN:0px; CLEAR:left" align=justify><br></p> <p style="MARGIN:0px; FONT-SIZE:11pt" align=justify>A revised form of legal opinion has been filed as Exhibit 5.1 to Amendment No. 2, which includes an opinion that the warrants will be binding obligations of the Company under Nevada law. &nbsp;&nbsp;&nbsp;</p> <p style=MARGIN:0px align=justify><br></p> <p style="MARGIN:0px; FONT-SIZE:11pt" align=justify>In addition, a revised form of warrant has been filed as Exhibit 4.2 to Amendment No. 2, which provides that the warrants are governed by Nevada law. </p> <p style=MARGIN:0px align=justify><br></p> <div align=justify> <p style="MARGIN-TOP:0px; TEXT-INDENT:24px; WIDTH:48px; MARGIN-BOTTOM:-2px; FLOAT:left; FONT-SIZE:11pt"><b>3.</b></p></div> <p style="TEXT-INDENT:-2px; MARGIN:0px; PADDING-LEFT:48px; FONT-SIZE:11pt" align=justify><b>We note that the opinion is <font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#147;</font>based on and limited to the corporate laws of the State of Nevada set forth in Chapter 78 of the Nevada Revised Statutes.<font style="FONT-FAMILY:Arial Unicode MS,Times New Roman">&#148;</font> &nbsp;Please have counsel revise to eliminate the reference to Chapter 78 of the Nevada Revised Statutes or confirm that such reference includes all applicable statutory provisions, as well as reported judicial decisions interpreting these laws.</b></p> <p style="MARGIN:0px; CLEAR:left" align=justify><br></p> <p style="MARGIN:0px; FONT-SIZE:11pt" align=justify>The revised form of legal opinion filed as Exhibit 5.1 to Amendment No. 2 eliminates the reference to Chapter 78 of the Nevada Revised Statutes.</p> <p style=MARGIN:0px align=justify><br></p> <div align=justify> <p style="MARGIN-TOP:0px; TEXT-INDENT:24px; WIDTH:48px; MARGIN-BOTTOM:-2px; FLOAT:left; FONT-SIZE:11pt"><b>4.</b></p></div> <p style="TEXT-INDENT:-2px; MARGIN:0px; PADDING-LEFT:48px; FONT-SIZE:11pt" align=justify><b>Please have counsel delete first sentence in the last paragraph of the opinion. &nbsp;Counsel may not attempt to limit reliance.</b></p> <p style="MARGIN:0px; CLEAR:left" align=justify><br></p> <p style="MARGIN:0px; FONT-SIZE:11pt" align=justify>This sentence has been deleted from the revised form of legal opinion filed as Exhibit 5.1 to Amendment No. 2. </p> <p style=MARGIN:0px align=justify><br></p> <p style="MARGIN-TOP:0px; MARGIN-BOTTOM:14px; FONT-SIZE:11pt" align=justify>We thank you in advance for your consideration of the enclosed and the foregoing responses. &nbsp;&nbsp;If you have any further questions or comments, please feel free to contact me directly at 303-384-1400 or Roger Cohen at 303-634-2000. &nbsp;</p> <p style="MARGIN:0px; FONT-SIZE:11pt">Sincerely,</p> <p style=MARGIN:0px><br></p> <p style="MARGIN:0px; FONT-SIZE:11pt">/s/ Boyd E Hoback</p> <p style=MARGIN:0px><br></p> <p style="MARGIN:0px; FONT-SIZE:11pt">Boyd E. Hoback</p> <p style="MARGIN:0px; FONT-SIZE:11pt">President and Chief Executive Officer</p> <p style="MARGIN:0px; FONT-SIZE:11pt">Good Times Restaurants Inc.</p> <p style=MARGIN:0px><br></p> <p style=MARGIN:0px><br><br></p></div></body>
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