Now is the perfect time to take the leap if you have ever dreamt of owning your own food franchise. As of 2021, the fast-casual food industry reached $739.9 billion and continues to grow steadily each year. Forty-six billion dollars of the food restaurant industry is pizza restaurants. Learn below how much quicker and easier it is to franchise rather than open your own brand-new restaurant.
Why a Franchise Business is Better Than Going It Alone
Opening a business from scratch is time-consuming, confusing, and hectic. It takes a lot of work to get your own restaurant off the ground and a lot of time to build brand loyalty.
According to the Bureau of Labor Statistics (BLS), 20% of new businesses fail during the first two years, 45% within five years, and 65% over ten years. Only 25% of new companies reach 15 years.
However, buying a franchise is more desirable because, generally, franchises have a much higher success rate because they are built upon a successful business model, and customers already love the brand. The profitability of owning a restaurant franchise is often higher than other types of businesses.
Benefits of Owning Franchise Restaurants
Some other benefits of owning a franchise versus a brand-new business include:
- Startup help (construction, vendor connections, financing assistance).
- Comprehensive training – Learn how to run your new business based on the successful model of the parent company.
- Ongoing support for staffing, marketing, brand recognition, finances, and facilities management.
- Latest technology tools to help you streamline operations and easily handle scheduling, payroll, ordering, POS, accounting, digital menu boards, gift cards, and loyalty programs.
- Proprietary recipes that only brand owners have access to.
- Operations manual with standard operating procedures to help you manage inventory, supplies, equipment, vendors, and customer service.
- Marketing support with brand specifications and campaign guidelines so you can market locally and build your customer base.
When you choose franchising over starting your own business, you partner with a well-known, reputable brand that has already figured out the hard stuff. You benefit from them making things easy. All their hard work helps prospective franchisees get up and running quicker and easier.
The Pros and Cons of Owning Restaurant Franchises
As with any business, there are always some pros and cons to consider.
Pros of Franchise Ownership
- With a steady stream of customers, franchise restaurants typically earn higher revenue.
- Benefit from brand recognition so you aren’t starting from scratch to build a following.
- Food restaurants are fast-paced, so if you like staying busy, this is for you.
- You may receive real-estate assistance from the parent company, making site selection more manageable.
- Protected territory to reduce competition.
- You are buying a turnkey business, so many of the difficult decisions are already made.
- You may have an easier time getting financed – banks prefer restaurants with a strong brand reputation.
- Due to your partnership with the parent company, you may be able to buy supplies and ingredients at discounted rates.
Cons of Franchise Ownership
- Some food franchises have high employee turnover.
- Requires a physical location and the expenses that go along with it to sell and serve food.
- Running the business may require long hours and a ton of energy.
- You may have to come up with an initial investment that includes startup costs and an initial franchise fee along with ongoing fees such as royalties.
Steps to Owning a Restaurant Franchise
The steps to owning your own Slice House franchise restaurant are as follows:
- Introductory Call (30 mins) – Speak with the Slice House team, ask questions, and discuss qualifications.
- Complete Candidate Profile (10 mins) – Complete our questionnaire so we can send you our franchise disclosure document (FDD), introduce you to lending contacts, and perform a preliminary real estate trade analysis.
- Schedule FDD Review – Speak with the president of franchising and go over the FDD to ask questions.
- Discovery Day – Visit the home office and other franchise owners to get a feel for our business. Meet with Tony and senior management.
- Franchise Agreement – Mutually agree on the franchise agreement and sign.
- You are Now a Slice House Franchise Owner! Begin site selection, training, and on-boarding.
If you want to learn more about restaurant franchising, contact a Slice House representative.
Consider a Slice House Franchise
You should be excited about the restaurant business and franchise opportunity by now. Why not consider a Slice House franchise? Founded by world-renowned celebrity chef Tony Gemignani, Slice House offers authentic, delicious, artisan pizza in a fast-casual environment. It’s one of the more successful franchise businesses around.
Slice House captures New York, Sicily, Detroit, California, and even Nonna’s kitchen flavors. Using high-quality, fresh ingredients and homemade sauce every day. Guests regularly exclaim, “This is our pizza spot.”
What are you waiting for? Contact Slice House today to begin your pizza franchise journey.