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Franchise a Restaurant Who r u?? Where r u??
Have you developed a business plan??
The plan is one of the first items a lender or investor will want to see.
Franchise a Restaurant
Have you developed a business plan??
I want to put a restaurant in the Idaho Falls area. I am just finishing up on getting all the information like demographics and car counts for some sites I am looking at to finish my business plan. I am not sure though how to do some projected sales numbers I think that would help my business plan just not sure exactly how do go about doing it accurately.
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You're off to a good start by developing a business plan.
Have you checked with corporate to see if they have any programs to help long time employees make the transition to franchise owners? I believe Domino's has a program like this. It doesn't hurt to check.
As far as funding, I recommend you try to connect with a community member her that goes by the nickname "phanio" He offers excellent advice. His site, Business Money Today is very helpful, too.
And regarding your business plan, projections are educated guesses. If you can show that you have reliable data as to the local traffic and what the spends are with direct and indirect competitors, then you make a conservative projection as to what share of the business you can grab.
If you need help with market research, my partner and I just released an ebook titled, "My Idea, My Research" on our site, Small Biz Break. You can go to our Register page and get access to our Solutions Center where you can download a copy. There is no charge.
The ebook contains links to where you can get this data from, too.
I hope this helps.
Even with a business plan and cash-flow projections financing a new franchise location is difficult unless you have a good amount of personal or private capital on hand. Banks will not take large risks right now on almost any start up restaurant. Opening a new franchise location is very expensive. Build out, equipment, furniture, fixtures, and inventory add up to a lot of money and this is on top of the franchise fee.1 of 1 people found this helpful
You may find that buying an existing restaurant may be more palatable in today's credit environment. You have seller carry financing options plus you get to review past business performance to get a better understanding of how the business can perform before you make a decision.
Comatose, I was about to buy a franchise restaurant. I did the business plan, and it turned out that i will recover my money within 6 years. I did another business plan of starting my own restaurant, and it showed that i will recover my money after 3.5 years max.
The reason to that is that if you buy a franchise, you will forever pay royalty fees that will increase everytime you do a good job by gaining more profits, even if you do not make any profits in a year of 6 months, you will still have to pay them an agreed amount of money every month.
On the other hand, starting your own restaurant and doing a good job, you will have all the profit to your sell. It may be a bit harder, but you get to save alot of money.
Below are tow articles on your topic (about funding and how-to write a business plan for a restaurant), You may find these useful:
You might look to buy an established franchisee. It is sometime easier to get a SNA backed loan on an existing business versus a start-up. That being said, you should still expect to have 20-25% down payment and good credit to obtain a loan.
My uncle used to run a restaurant and I remember that it was awfully lot of work. But he was a workoholic anyway, so he didn't mind. This wouldn't be the right thing for me, definitely, but I wish good luck to anyone who wants to do it.
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I am trying to buy a franchise but I lack the funds. I was wondering if anyone could point me in the right direction for finding investors. I have been working for this type of restaurant since1996. I have spent time in a franchise and in the corporate stores. I know the system they use as well as the menu and how the business is run I just lack the funds any help would be greatly appreciated thanks.