Franchise Info
 

Over the years I've toyed with the idea of opening a franchise of some sort in my retirement. Always been curious how much money people actually make running your typical Subway, Baskin Robbins, Popeyes, etc. Does anyone know a good reliable of data on what these types of stores gross/net? I am sure the people selling the franchise flood the market with overly rosy figures and gloss over the reality of what franchisees actually can be expected to make. If anyone knows of a reliable independent source of data I'd appreciate it. I am sure it is a ton of work to run a reliable franchise restaurant. Don't need any data to confirm that!

Location is key - Staffing is a pain in the ass. Look at established brands with wide national or regional presence. Own your own property if possible. Many well run places can recoup all startup costs in 2-3 years. It’s hard to talk about numbers/profits without knowing specifics, for different franchises run of different margin, (ie) coffee has great mark up. Research, research, research and good luck.

Investment and franchise start-up costs can be extremely high and prohibitive, also vary widely, and rules and requirements can prove draconian in certain instances. Had a friend once looking into a Chic-fil-a franchise, which on the surface appeared to have one of the lowest, more reasonable buy-in costs for a successful franchise operation. But there is a huge religious belief question and hurdle to overcome. So be aware there can be various unknown and unexpected obstacles to face when trying to get started with any franchise.

And buying into an existing, already successfully operating franchise isn't going to be easy, or cheap. If a franchise is successful, why would an owner be looking to sell it? And if a franchise you did somehow come across for sale isn't doing particularly well, just remember it is a franchise, so it's not like you could buy it and suddenly make big changes to the menu, prices, and marketing, if you can make any changes at all under your franchise agreement.

If you do find a franchise you may be interested in investing in, I would strongly recommend trying to independently contact and talk with other owners of that franchise first to learn as much as you can, if at all possible. And that's assuming some current franchise owner will even be inclined to have such an open and honest discussion with you in the first place. Their franchise agreements likely frown on them possibly sharing such operational and franchise information with others, at least on some level.

And the time and effort involved can be grueling and overwhelming. Think twice, as I've never really heard of anyone enthusiastically talk about starting a franchise operation as a great way to ease into their retirement. Good luck regardless.

I hear there's a recent opening in the El Pollos Hermanos family chain.

Yeah, I guess that ship has sailed. I agree. . .seems like one real aggravating way of "retiring". I guess just mostly curious as to how people do with these.

My contracts teacher in law school said "the bigger the franchise, the bigger the sucker." Funny the crazy things you remember people saying years ago.




QUOTE=BobC;2224179]Investment and franchise start-up costs can be extremely high and prohibitive, also vary widely, and rules and requirements can prove draconian in certain instances. Had a friend once looking into a Chic-fil-a franchise, which on the surface appeared to have one of the lowest, more reasonable buy-in costs for a successful franchise operation. But there is a huge religious belief question and hurdle to overcome. So be aware there can be various unknown and unexpected obstacles to face when trying to get started with any franchise.

And buying into an existing, already successfully operating franchise isn't going to be easy, or cheap. If a franchise is successful, why would an owner be looking to sell it? And if a franchise you did somehow come across for sale isn't doing particularly well, just remember it is a franchise, so it's not like you could buy it and suddenly make big changes to the menu, prices, and marketing, if you can make any changes at all under your franchise agreement.

If you do find a franchise you may be interested in investing in, I would strongly recommend trying to independently contact and talk with other owners of that franchise first to learn as much as you can, if at all possible. And that's assuming some current franchise owner will even be inclined to have such an open and honest discussion with you in the first place. Their franchise agreements likely frown on them possibly sharing such operational and franchise information with others, at least on some level.

And the time and effort involved can be grueling and overwhelming. Think twice, as I've never really heard of anyone enthusiastically talk about starting a franchise operation as a great way to ease into their retirement. Good luck regardless.[/QUOTE]

I've got a buddy who considered that type of thing, but really didn't want to deal with the staffing headache mentioned above. So he bought a decent house in AZ and is renting it out as an Air B&B. It generates decent (modest) revenue but he has a retired lady looking after things, cleaning between guests, and therefore it requires little time and causes little hassle.

And any time he wants out, he simply sells the house. If you try to sell a business, it can be much more difficult.

Think Urban Air Adventure Park.

Minimal Competition not many locations