12 Best Low-Cost Franchises for Aspiring Business Owners
- Stratus Building Solutions.
- SuperGlass Windshield Repair.
- Mosquito Squad.
- Pillar to Post Home Inspectors.
- Property Management Inc.
- Soccer Shots. Franchise Fee: $34,500.
- Dream Vacations. Franchise Fee: $495 to $9,800.
- Lil' Kickers. Franchise Fee: $15,000.
But to own a pizzeria, you either have to invest $200,000 or more in a franchise or start from scratch -- both of which require the knowledge of making pizzas and running a restaurant. Either way, you should earn an average income -- or profit -- of just under $60,000 per year as a successful pizza parlor owner.
Before you open your restaurant, you and/or your key operator are required to attend and complete the Pizza Hut operations training program. The training program ranges from 8 – 12 weeks and is conducted in a certified training restaurant in Dallas, TX. Pizza Hut pays for the cost of the training.
Global pizza chain Pizza Hut's average sales per unit reached approximately 714 thousand U.S. dollars in 2019, down from 878 thousand the previous year. Sales per store have remained reasonably steady over the years, with the lowest figure being 714 thousand U.S. dollars and the highest at 900 thousand.
Owning a McDonald's franchise can be a lucrative business. It has been estimated that McDonald's franchisees' net profits average about $1.8 million per restaurant in the US.
14 Food Franchise Opportunities for 2020
- Baskin-Robbins. Initial franchise fee: $25,000.
- Auntie Anne's. Initial franchise fee: $30,000.
- Papa John's. Initial franchise fee: $5,000.
- Taco Bell. Initial franchise fee: $25,000 to $45,000.
- KFC. Initial franchise fee: $45,000.
- McDonald's. Initial franchise fee: $45,000.
- Dunkin'
- Pizza Hut.
The estimated investment required to open a Pizza73 Franchise is $100,000.
To start a KFC franchise unit, you have to apply on their official website kfc.com/about/franchising. Go to the official KFC website, at the right bottom of the page, you can see the “Contact Us” option, click on that kfc.
On the Kentucky Fried Chicken UK website, the company states that aspiring franchise owners must have £5 million in assets and £2 million in liquid capital. The franchise fee, which is payable upfront, is approximately £38,000. The balance is to set up and operate your new business.
But opening a KFC restaurant requires a lot of money at the start. The company requires operators to have at least $1.5 million in total net worth and $750,000 in liquid assets. KFC also charges its operators a $45,000 franchise fee, according to Franchise Direct.
McDonalds says you need at least £110,000 in unencumbered funds to invest. However, it's not as simple as that. Restaurants typically cost between £400,000 and £800,000 to buy and yo need to provide 25% upfront – the rest can be funded through a bank loan. Then there's a one-off franchise fee of £30,000.
What is the Franchise Fee? The franchisee fee is £18,500+ VAT for each franchise unit. You will also be responsible for the rent, rates and utility costs of the store for the term of the franchise agreement.
The company opened the franchise store in Liphook as part of a deal with a group of entrepreneurs. Further franchise Starbucks stores are planned in Portsmouth, Southampton, Bournemouth and other locations. Currently, Starbucks has more than 750 outlets in the UK.
As a Pizza Hut Franchisee, you will enjoy the satisfaction and rewards of owning your own business. But you'll also enjoy the ongoing benefits of an established global brand that has a system for product innovation, preparing, marketing, and selling food products.
Brands, Inc. (or Yum!), formerly Tricon Global Restaurants, Inc., is an American fast food corporation listed on the Fortune 1000. Yum! operates the brands KFC, Pizza Hut, Taco Bell, The Habit Burger Grill, and WingStreet worldwide, except in China, where the brands are operated by a separate company, Yum China.
Most Profitable Franchises
- Dunkin'
- 7-Eleven.
- Planet Fitness.
- JAN-PRO.
- Taco Bell.
- Orangetheory Fitness.
- Great Clips.
- Mac Tools.
Up to 300 U.S. Pizza Hut locations to close as bankrupt franchisee restructures. Up to 300 Pizza Hut restaurants will be closed, most of them dine-in locations not well suited for carryout and delivery at a time when millions of people are sheltering and eating at home.
Top Pizza Franchises for 2020
- Pizza Hut. Pizza Hut operates the most pizza franchises in terms of locations.
- Domino's. Domino's puts a unique twist on its franchise for pizza with a focus on customer convenience.
- Papa John's.
- Little Caesars.
- Marco's Pizza.
- Sam & Louie's.
- MOD Pizza.
- RedBrick Pizza.
Pizza Franchises are a Low-Risk InvestmentFranchises all-around have a high success rate, making them a much lower risk than starting a small business. You have the original fees for buying the franchise and the ongoing fees that go to the franchiser, but past that you shouldn't have any surprises.
A McDonald's franchise is a proven business model, in fact in Australia, over 80 per cent of our restaurants are owned and operated by local franchisees. It's a real partnership, in fact, we like to say it's “a little bit of you and a little bit of us”.
Pizza Hut has a franchise fee of $25,000 for a 20-year agreement, although the total initial investment ranges between $297,000 and $2,109,000. Additionally, franchisees must pay the company ongoing royalty fee of 6% on all sales, as well as an additional 3% to be applied toward national marketing efforts.
Opening a Pizza Shop
- Create Your Pizza Recipes and Form Your Menu.
- Choose Your Pizza Shop Service Style and Brand.
- Write a Business Plan for Your Pizza Place.
- Find a Great Location for Your Pizzeria.
- Secure Loans and Funding for Your Pizza Place.
- Stock Up on Pizza Business Equipment.
- Hire Qualified Employees.
PHLLC's corporate parent is YUM! Brands, Inc. The franchise is for a Business that operates Pizza Hut restaurants offering primarily pizza, pasta and other Italian-style food items and
WingStreet chicken products and side dishes.
$2,063,500.
| Type of Fee | Amount |
|---|
| System Advertising Fund Contribution | 4.75% of gross sales. |
Out of all the Starbucks stores worldwide, approximately only 40.4% stores of them are licensed shops. It's nearly impossible to open Starbucks store as franchise in US or Canada, but in other countries, especially UK there is always a possibility. The minimum investment required to open a Franchise in UK is £500,000.
How much is a Subway franchise? Compared to other fast food brands of this size, the initial investment for a Subway franchise is fairly modest. Though the total cost of setting up a store will vary depending on the size and necessary renovations, the estimated total investment is around £85,570 to £221,240.
The latest market figures show that owning a franchise from McDonald's, KFC, SONIC or SPAR yields the highest returns. With their steady increase in gross sales, brand awareness and trustworthiness, these companies are at the top of all rankings as the most profitable franchises in the UK and beyond.
Top 100 Franchises in the UK 2019
| Rank | FRANCHISE NAME | Industry |
|---|
| 1 | McDonald's | Fast Food Franchises |
| 2 | Domino's | Pizza Franchises |
| 3 | Starbucks | Coffee Franchises |
| 4 | Pizza Hut | Pizza Franchises |
Domino's is one of the largest pizza franchise chains in the world, so opening your own franchise is often a very profitable business decision. Franchise owners receive exceptional company support and resources as they operate stores using the Domino's menu and ordering systems.
But Subway restaurants generate less revenue than McDonald's units. A Subway restaurant, on average, generates $417,000 in sales annually, compared to $2.7 million in average annual revenue for McDonald's restaurants, according to QSR magazine. Subway also charges its franchisees hefty ongoing fees.
Domino's Pizza offers franchises for a fee of $25,000, though the total initial investment ranges from $119,950 to $461,700. The franchise agreement lasts for 10 years and is renewable, and the royalty fee is 5.5%. Franchisees should have at least $75,000 in liquid cash available.
1: Domino's Pizza, based in Ann Arbor, Mich. The cheesy stalwart boasts low overhead and an expanded menu, including pasta and sandwiches. Over 4,500 locations provide instant credibility; Domino's also offers new franchisees a whopping 1,308 hours of training. Average initial investment per store: $253,950.
Domino's is listed on the NYSE under the symbol "DPZ." As of the third quarter of 2020 and through its global footprint, primarily made up of locally-owned and operated franchises, Domino's operated a network of more than 17,200 franchised and company-owned stores in the United States and over 90 international markets.
