The most important thing you can do is look at it like an acquisition. If you were going to "aquire" the new franchise what synergies would you get. Could you use one manager versus two? How much would you save on ads? Are there supply discounts that you would get? You have to go through each line item and see where you will be able to save. Also on the revenue side you have to see if there are clients that are coming to one store that may come to the other store that is closer and do more business with you because of the convenience.