Applebees Franchises For Sale - Should You Consider Something Else
With the growing popularity of the neighborhood bar and grill, investors
are considering the Applebees franchises for sale around the world as a
safe place for them to invest and be able to expect a good return on
their money.
However you can really expect your pocket book to take a hefty hit when
signing on the dotted line. Here are some pros and cons you can consider
when looking into the Applebees franchise opportunity.
Pros
You have an already popular, well marketed in demand service at your
hands. There is no question that you will get business.Here at Portable Thermal Printer for sale
Printing we are able to provide a range of direct mailing services, to
improve the speed between printed card and satisfied customer..
The service offered is timeless and will never go out of style. People
must eat, and with the tradition of dinner at home with the family
disintegrating, business will only continue to grow.
Each store is tailored to fit your local community making it more
appealing for your customers. Local sports teams memorabilia is
displayed giving a comfortable home like feel to it.For high school
girls, there is no other thing will be more important than choosing a
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for her prom night..
You will receive tons of support and training from the company in
building and running your franchise. They have a good name that they
need to keep, and they will do whatever they need to do for their
franchisees to ensure that their image is not compromised.
Cons
Initial Investments are Extremely High: Unrealistic for most people.
The fee for the Applebees franchises for sale are currently $40,000 fee
per restaurant. But that is just the beginning. The company usually
requires that a franchise owner develops and operates a certain minimum
number of restaurants in a specific area within a period of three to
seven years. This means that prospective franchisees must have a pretty
substantial net worth and a lot of cash available as well. They
typically require a minimum $1,000,000 net worth for each restaurant
scheduled under their multiple unit development agreement with other
minimum requirements for liquid/cash assets on top of that. Do the math,
if you are looking to invest in a fairly small multi unit franchise of 4
restaurants, you would have to have a net worth of well over
$5,000,000.
Royalty Fees: This could be considered a pro or a con depending on how
you choose to look at it.Just as what has mentioned above, PVC shower hose
in early times are very traditional.. Royalty fees are 4% on gross
sales for the first two years. After that, the company has the right to
increase the royalty fees to up to 5%. So on a hypothetical $1,000,000
in gross sales, you are due to pay a minimum of $40,000. However, on
average franchise royalty fees are 6.7% according to the IFA as of 2006.
So on the bright side you would only be paying $40,000 instead of
$67,000. The extra $27,000 saved could help out in taking care of some
of your other massive overhead.
Advertising Fees: You are required as a franchisee to spend no less
than 3.5% of total gross sales on advertising, marketing and publicity.
You are also required to give 0.5% to Applebees for a marketing fund
that goes to creative development.
Competition is Rough: Though Applebees is a popular eatery, there are
many other restaurants that offer food that is similar in price and
quality.Just as what has mentioned above, graphite lead pencil
in early times are very traditional.. You arent necessarily cornering
the market. They do have a great variety in what they serve, but its all
pretty general cuisine and is served at many restaurants with only
minor variations in preparation and ingredients.
If you are seriously considering one of Applebees franchises for sale,
congratulations! It would be a great opportunity for the right person.
But I do suggest doing your research and checking out all of your
options before investing.Just as what has mentioned above, best eye liner pencil
in early times are very traditional.. There are tons of other franchise
opportunities out there that will be successful and possibly at a much
lower cost. There are so many options to consider, you really need to
pick through all of them before you make any decisions.
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