Category: For Franchisees:

HOW TO FRANCHISE YOUR RESTAURANT FOR NATIONAL EXPANSION

Posted on by Franchise Strategist

Photo by Milivoj Kuhar on Unsplash

A good franchisor offers ongoing support to its franchisees. This might include initial training, marketing assistance, technology support, and ongoing education. Establish a solid support system to ensure your franchisees can operate effectively and contribute to the brand’s success.

How To Franchise Your Restaurant For National Expansion
By Gary Occhiogrosso

Taking a thriving restaurant and extending its reach through franchising can be an effective way to spur growth. However, the process of turning your business into a franchise requires careful planning and strategizing. Here are the steps to follow.

1. Assess the “Franchisability” of Your Business

First, evaluate whether your business is suitable for franchising. Not every successful independent restaurant makes a successful franchise. Ask yourself, is your business concept repeatable? Are your systems replicable and trainable? Is there a demand for your product or service in different geographical areas? Will your business model provide enough profit for both the franchisee and you, the franchisor?

2. Develop a Robust Business Plan

Next, you must create a comprehensive business plan for your franchised business. This should be an expansion of your existing business plan, emphasizing the strategies you’ll employ to develop your franchise network. The plan should detail the structure of the franchise, your target market, growth projections, financial expectations, and the support you’ll provide to franchisees.

3. Create a Franchise Agreement and Franchise Disclosure Document

Crafting a robust and legally sound franchise agreement is integral to franchising your restaurant. This legal contract between you and your franchisees should delineate the responsibilities of both parties. Similarly, the Franchise Disclosure Document (FDD) is a legal document that provides prospective franchisees with information about the franchisor, the franchise system, and the agreements they must sign. Seek legal assistance to ensure these documents comply with federal and state laws.

Harold Kestenbaum, a franchise attorney at Spadea Law is focused on franchise law and other matters relating to franchising since 1977. He offered his insights on the topic: “I have representing franchisors for over 46 years and I have seen it all. But over those years, the most successful franchisors have done it right. First, they are well capitalized. This is important because it gives them the luxury of accepting the right franchisee and not any prospect who can simply write a check, whether they are qualified or not. Second, they can select qualified franchisees who they have properly vetted and who they truly believe can be successful. Lastly, new franchisors need to have patience. Thinking they can sell hundreds of franchises in the first or second year, are basically dreaming. They need to be realistic and understand that it is quality not quantity that matters in franchising.”

4. Develop Your Operational Manual

Your franchisees will rely heavily on your operations manual to replicate your business model successfully. It is a comprehensive guide for franchisees detailing the restaurant’s day-to-day operations, including procedures, standards, and protocols. It is a critical document for maintaining brand consistency across all franchise locations.

5. Build a Strong Support System

A good franchisor offers ongoing support to its franchisees. This might include initial training, marketing assistance, technology support, and ongoing education. Establish a solid support system to ensure your franchisees can operate effectively and contribute to the brand’s success.

6. Determine Your Franchise Fee Structure

It is crucial to decide your franchise fee structure. Franchise fees typically include an upfront franchise fee, ongoing royalty fees, and, potentially, marketing fees. The fee structure should strike a balance between being attractive to potential franchisees and profitable for you.

7. Market Your Franchise/Lead Generation

Once all the preparation is done, it’s time to attract franchisees. Develop a marketing strategy that communicates the benefits of owning a franchise. This might involve digital marketing, trade shows, franchise brokers, or direct sales techniques. Remember, attracting the right franchisees is crucial for your franchise’s success.

We asked Sean McKay the President of SiteHub, a digital marketing agency for his thoughts on marketing and lead generation for start up and emerging franchise brands. He told me the following: “Executing a lead generation campaign with precision is critical – it forms the cornerstone of the impactful connections between investors and franchisors. Our strategy leans on three key pillars: targeted specificity, the leverage of educational content, and diligent follow-through. Targeting becomes effective when backed by a data provider with reliable financial information, ensuring our reach extends only to those genuinely interested and financially capable of franchising. When it comes to education, it’s essential to offer thorough insights into the franchise landscape, empowering potential investors to evolve into franchisees through informed, confident decision-making. Lastly, once the lead’s interest has been sparked, it’s crucial to engage in a strategic follow-up process. This approach not only sustains their interest but guides them steadily towards realizing their aspirations of franchise ownership.”

8. Select Your Franchisees Carefully

Not everyone who wants to buy a franchise is necessarily a good fit. You need to vet potential franchisees thoroughly. Look for enthusiastic individuals about your brand who have the necessary capital, demonstrate business acumen, and possess the drive to succeed.

9. Facilitate Training and Support

Once you have selected your franchisees, ensure they receive comprehensive training. Training should cover everything from managing day-to-day operations and understanding the business model to using specific systems or software. Continual support and regular communication are also necessary to ensure that franchisees are up-to-date and operating at their best.

10. Monitor and Expand Your Franchise Network

Finally, once your franchise network is established, monitor its performance. Keep communication lines open, provide ongoing support, and address any challenges promptly. You can plan for further expansion as you learn and refine your system.

In conclusion, transforming your restaurant into a franchise requires careful planning and execution, but it can be a successful strategy for growth. It’s a collaborative journey where you and your franchisees work together to achieve mutual success. Remember, franchising is not just about expanding your business; it’s about sharing your vision and working together to build a lasting brand.

GENERATION Z AND THEIR ENTREPRENEURIAL ASPIRATIONS: NURTURING THE NEXT WAVE OF INNOVATORS

Posted on by Franchise Strategist

Photo by RF._.studio

Generation Z, born between the mid-1990s and early 2010s, has emerged as a generation driven by entrepreneurial ambitions. Unlike their predecessors, Generation Z possesses unique characteristics, experiences, and attitudes that have shaped their desire to become entrepreneurs. This article delves into the factors contributing to Generation Z’s entrepreneurial aspirations and explores how society can nurture and support their potential. By examining their digital nativism, exposure to technology, changing work landscape, and desire for autonomy and purpose, we gain insights into the motivations driving Generation Z’s entrepreneurial spirit. Furthermore, this article highlights the importance of educational initiatives, mentorship, and inclusive opportunities for fostering Generation Z’s entrepreneurial growth.

Generation Z and Their Entrepreneurial Aspirations: Nurturing the Next Wave of Innovators
By Gary Occhiogrosso – Founder and Managing Partner – Franchise Growth Solutions

Introduction:
Generation Z, the youngest cohort in the workforce, is demonstrating a strong inclination toward entrepreneurship. Unlike previous generations, their mindset is shaped by an ever-evolving digital landscape, exposure to advanced technologies, and a desire for autonomy and purpose in their careers. This article explores the factors contributing to Generation Z’s entrepreneurial aspirations and discusses how society can support and nurture their potential. By understanding their unique characteristics and motivations, we can create an environment that fosters their entrepreneurial growth and enables them to impact the global economy positively.

Digital Nativism and Technology: Generation Z is often called “digital natives” due to their lifelong exposure to technology. Growing up with smartphones, social media, and instant access to information, they possess remarkable digital fluency. This inherent familiarity with technology provides them with the tools and resources to navigate the digital landscape, build online businesses, and leverage social media platforms for entrepreneurial endeavors. The ease with which they can create and market products and services online has fueled their aspirations to become entrepreneurs.

Changing Work Landscape: Generation Z is entering the workforce during a time of rapid change, where traditional career paths are no longer the only option. The rise of the gig economy, remote work, and the increasing demand for flexible work arrangements have opened up new avenues for entrepreneurial pursuits. This generation values freedom, flexibility, and the ability to work on their terms. Entrepreneurship allows them to create their ideal work-life balance, paving the way for their desire to be their own boss and control their professional destiny.

Autonomy and Purpose: Generation Z seeks more than financial success; they are driven by a deep desire for autonomy and purpose in their careers. They value work that aligns with their passions and allows them to make a meaningful impact on society. Entrepreneurship provides an avenue for them to pursue their interests, develop innovative solutions, and address societal challenges. By starting their own businesses, Generation Z can shape their work environment, prioritize their values, and contribute to causes they care about, fueling their entrepreneurial aspirations further.
Education and Mentorship:
To nurture Generation Z’s entrepreneurial spirit, it is crucial to provide them with relevant education and mentorship opportunities. Traditional education systems must adapt to the changing landscape and incorporate entrepreneurship programs that equip young individuals with the necessary skills, knowledge, and mindset to embark on entrepreneurial journeys. Mentorship programs and initiatives connecting experienced entrepreneurs with Generation Z can offer guidance, support, and valuable insights into the world of entrepreneurship, helping them overcome challenges and develop their ventures.

Inclusive Opportunities:
Creating an inclusive environment for Generation Z is vital for their entrepreneurial aspirations. Many young entrepreneurs need help with barriers such as limited access to capital, lack of networks, and biases. By providing equal opportunities, eliminating systemic barriers, and promoting diversity and inclusivity, society can ensure that socioeconomic factors, gender, or race do not hinder entrepreneurial ambitions. Inclusive programs, incubators, and support networks are crucial in leveling the playing field, fostering a diverse entrepreneurial ecosystem.

Conclusion:
Generation Z’s desire to be entrepreneurs is driven by a unique combination of factors, including their digital nativism, exposure to technology, changing work landscape, autonomy, and purpose-driven mindset. Understanding and nurturing their entrepreneurial aspirations can contribute to the growth of a dynamic and innovative economy. By providing relevant education, mentorship, and inclusive opportunities, we can empower Generation Z to harness their creativity, overcome challenges, and make a lasting impact as the next wave of entrepreneurs.

HARNESSING POSITIVE ATTITUDE AND MINDSET IN RUNNING A BUSINESS

Posted on by Franchise Strategist

Photo by Olena Bohovyk

Your mindset profoundly impacts how you perceive the world and respond to situations. You demonstrate a positive mindset if you see challenges as learning opportunities rather than obstacles. This mindset determines whether you’ll rise to the occasion or let difficulties dampen your spirit.

Harnessing Positive Attitude and Mindset in Running a Business

Entrepreneurship is not for the faint-hearted. Starting and running a business is a journey fraught with hurdles and uncertainties. But with a positive attitude and mindset, a business owner can overcome these obstacles and forge a path to success. Harnessing a positive outlook is an essential skill every entrepreneur must cultivate to navigate the tumultuous business terrain successfully.

A positive attitude and mindset work as a force multiplier in business, exponentially amplifying your capacity to achieve your goals. A positive attitude motivates you to persist even when the going gets tough, while a negative mindset may bog you down at the slightest hurdle.

But what exactly does it mean to have a positive mindset? A positive mindset is not just about being cheerful or optimistic. It is an overall attitude that permeates all aspects of your life. It involves having faith in your abilities, staying committed to your goals, being resilient in the face of adversity, and maintaining a hopeful outlook despite setbacks. It’s the mental readiness to take on challenges head-on, unflinchingly, and with unwavering determination.

Your mindset profoundly impacts how you perceive the world and respond to situations. You demonstrate a positive mindset if you see challenges as learning opportunities rather than obstacles. This mindset determines whether you’ll rise to the occasion or let difficulties dampen your spirit.

For instance, consider the case of a business that fails to meet its quarterly revenue targets. An entrepreneur with a negative mindset might view this as a sign of impending failure, while one with a positive mindset sees it as a chance to reevaluate and refine their strategy. This difference in perspective is what sets successful entrepreneurs apart from the rest.
When running a business, a positive attitude and mindset allow you to stay motivated, foster creativity, and build resilience. They enable you to take calculated risks and stay committed to your goals, regardless of your challenges.

The power of a positive attitude goes beyond personal development. It can influence your business culture, affecting your team’s morale and productivity. A positive leader inspires positivity in the team, leading to improved communication, better problem-solving skills, and higher productivity levels.

Harnessing the power of positivity starts with understanding your thought processes. Reflect on your thoughts and identify any negative patterns. Then, make a conscious effort to shift your thinking toward the positive. It may feel unnatural initially, but you’ll cultivate a more positive mindset with time and practice.

Use meditation, visualization, and positive affirmations to reinforce your positive attitude. Surround yourself with positivity regarding the people you interact with and the content you consume. Remember, positivity begets positivity.

Moreover, focus on setting SMART goals (Specific, Measurable, Achievable, Relevant, and Time-bound) for your business. This provides direction and allows you to measure progress, which can help maintain a positive outlook.

Running a business can be a roller-coaster ride. The key to navigating this journey successfully lies in maintaining a positive attitude and mindset. Remember, your mindset is the lens through which you view your world. Make sure it focuses on opportunities, not obstacles.

In conclusion, cultivating a positive attitude and mindset is beneficial and vital for running a successful business. It builds resilience, fosters creativity, and acts as a driving force behind every business endeavor. So, take charge of your mindset and steer your business toward success.

HOW TO CHOOSE THE RIGHT FRANCHISE – The Pieces of the Puzzle

Posted on by Franchise Strategist

Selecting the right franchise is a significant decision that requires thorough research and consideration. By evaluating factors such as franchise opportunities, market analysis, investment, support, reputation, and growth potential, you can increase your chances of choosing a franchise that aligns with your goals and leads to long-term success.

HOW TO CHOOSE THE RIGHT FRANCHISE: The Pieces of the Puzzle

Introduction

Embarking on a franchise journey can be an exciting and rewarding venture. Franchising offers individuals the opportunity to own a business with a proven model and support from an established brand. However, with numerous franchise options available, it’s crucial to make an informed decision to ensure long-term success. In this article, we will explore the key factors to consider when choosing the right franchise for you.

Franchise opportunitiess
When starting your research, it’s important to look for franchises that align with your interests and passion. Identifying industries that pique your curiosity will help you maintain enthusiasm throughout your entrepreneurial journey.

Franchise market analysis
Conducting a thorough market analysis is essential to assess the viability and growth potential of the franchise. Research the current market trends, target audience, and competition within the industry. Understanding the market dynamics will enable you to make an informed decision.

Franchise investment
Determining your budget and evaluating the financial requirements of the franchise is crucial. Consider the initial franchise fee, ongoing royalties, marketing expenses, and working capital needed. Ensure that the financial commitment aligns with your available resources and long-term financial goals.

Franchise support and training
One of the key advantages of franchising is the support and training provided by the franchisor. Look for franchises that offer comprehensive training programs, ongoing support, and access to operational resources. This will significantly increase your chances of success and help you navigate any challenges along the way.

Franchise reputation
Research the reputation of the franchisor within the industry and among franchisees. Read reviews, testimonials, and news articles to gain insights into the franchisor’s track record and credibility. A reputable and trustworthy franchisor will contribute to the overall success of your business.

Franchise location
Consider the location requirements and whether the franchise can thrive in your desired area. Evaluate factors such as demographics, foot traffic, competition, and local regulations. A strategic and well-suited location can significantly impact your business’s profitability.

Franchise flexibility
Assess the level of flexibility the franchise offers. Some franchises provide more autonomy, while others have stringent operational guidelines. Determine if the franchise’s structure aligns with your management style and personal preferences.

Franchise growth potential
Evaluate the growth potential of the franchise by researching expansion plans, new product offerings, and emerging markets. Understanding the franchisor’s vision for the future will help you assess the long-term sustainability of the business.

Franchise legal considerations
Consult with a franchise attorney to review the franchise agreement and disclosure documents. They will ensure that you fully understand the terms, conditions, and legal obligations associated with the franchise. This step is crucial to protect your interests and minimize potential risks.

Franchise network
Engage with existing franchisees to gain valuable insights into their experiences and satisfaction levels. Ask about their relationship with the franchisor, support received, and overall business performance. Their perspectives will provide you with a realistic view of what to expect as a franchisee.

Franchise competitive advantage
Evaluate the unique selling proposition (USP) of the franchise and analyze its competitive advantage in the market. A strong USP can differentiate your business from competitors and attract a loyal customer base.

Franchise growth history
Research the franchise’s historical performance and growth trajectory. Look for franchises with a consistent track record of success and stable financial performance. This information will give you confidence in your investment decision.

Franchise exit strategy
Consider the exit options available to you in the future. Understanding the franchisor’s policies on transferring or selling the franchise will help you plan for the long term and ensure a smooth transition if needed.

Franchise innovation
Assess the franchisor’s commitment to innovation and staying ahead of industry trends. A forward-thinking franchisor will continuously invest in research and development, ensuring the franchise remains relevant and competitive in the market.

Franchise compatibility
Finally, evaluate the franchise’s compatibility with your skills, experience, and lifestyle. Reflect on whether the franchise aligns with your personal and professional goals. Choosing a franchise that matches your strengths and aspirations will increase your chances of long-term success and fulfillment.

Conclusion
Selecting the right franchise is a significant decision that requires thorough research and consideration. By evaluating factors such as franchise opportunities, market analysis, investment, support, reputation, and growth potential, you can increase your chances of choosing a franchise that aligns with your goals and leads to long-term success. Remember, investing time and effort into finding the perfect franchise match will provide a solid foundation for a fulfilling entrepreneurial journey.

HARNESSING SOCIAL MEDIA FOR SMALL BUSINESS GROWTH: TACTICS, TARGETING, AND COST-EFFECTIVE CAMPAIGNS

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Photo by Tracy Le Blanc

Social media platforms are indispensable tools for small businesses looking to expand their reach, attract new customers, and build relationships with existing ones. By understanding and employing demographic and geographical audience targeting, managing costs effectively, and choosing the right strategy for your needs, you can leverage these platforms for remarkable business growth.

Harnessing Social Media for Small Business Growth: Tactics, Targeting, and Cost-Effective Campaigns

Introduction
Small businesses continue to leverage social media platforms as cost-effective means to engage their audiences, drive growth, and foster brand loyalty. With over 3.6 billion users worldwide, platforms like Facebook, Instagram, Twitter, LinkedIn, and Pinterest present unprecedented opportunities to reach local and global markets. However, The key to success lies in effectively targeting demographic and geographical audiences, creating engaging content, and tailoring your social media strategy to align with business objectives.

Demographic and Geographical Audience Targeting
The first step to effective social media marketing is understanding your target audience. Social media platforms have intricate systems for demographic targeting, allowing businesses to reach specific age groups, genders, occupations, and interests. For example, a local women’s boutique may target women aged 18-34 interested in fashion within a 30-mile radius. Similarly, a car dealership may focus on men and women aged 24-54 in the local city and its suburbs.

Geographical targeting is particularly beneficial for small businesses seeking to make an impact within their community. You can narrow down your audience to your city or state, ensuring that your ads reach potential customers in your locality. For instance, a farm-to-table restaurant in Seattle might use geographical targeting to reach food enthusiasts in the Pacific Northwest, thus optimizing their advertising spend and increasing the potential for in-person visits.

Cost and Potential Return
Social media advertising offers a flexible and scalable solution for small businesses. The cost can be as little as $1 per day on platforms like Facebook and Instagram. These platforms employ a bidding system for ad placement so that costs can vary based on factors like ad quality, relevance, and the competitiveness of your target audience.

The potential return on investment (ROI) for social media advertising can be significant. In 2022, businesses made an average of $5.20 for every dollar spent on Facebook ads. Moreover, 75% of customers said they use social media as part of their buying process. When designed and executed correctly, campaigns can drive traffic, generate leads, and convert followers into loyal customers.

DIY Posting vs. Hiring a Digital Marketing Firm
Small business owners can manage their social media presence or hire a digital marketing firm to run their campaigns. Doing it yourself can be cost-effective and allows you to connect personally with your audience. However, it requires time, effort, and an understanding of each platform’s algorithm.

Alternatively, hiring a digital marketing firm can offer expert guidance, a professionally crafted strategy, and detailed analytics. Firms can also save you time, allowing you to focus more on running your business. These services can range from $1,000 to $20,000 per month, depending on the size and scope of your campaigns.

15 Must-Use Hashtags
Including popular, relevant hashtags in your posts can significantly boost their visibility. Here are 15 top hashtags for small businesses:
#SmallBusiness
#SupportLocal
#ShopLocal
#SmallBiz
#Entrepreneur
#BusinessGrowth
#DigitalMarketing
#BusinessOwner
#Success
#MarketingTips
#StartupLife
#BusinessGoals
#CustomerLove
#BrandAwareness
#CommunityOverCompetition

Conclusion
Social media platforms are indispensable tools for small businesses looking to expand their reach, attract new customers, and build relationships with existing ones. By understanding and employing demographic and geographical audience targeting, managing costs effectively, and choosing the right strategy for your needs, you can leverage these platforms for remarkable business growth. Remember to measure your results and adjust your strategy to maximize your ROI.
While the prospect of advertising on social media may initially seem daunting, the potential rewards are substantial. Whether via DIY posting or enlisting the help of a digital marketing firm, a well-executed social media strategy can elevate your business to new heights.

Keywords: Small Business, Social Media Marketing, Demographic Targeting, Geographical Audience Targeting, Cost-Effective, Advertising, ROI, Digital Marketing Firm, Hashtags, Business Growth, Local Community, Customer Retention, Brand Loyalty, Facebook, Instagram, Twitter, LinkedIn, Pinterest.

THE ESSENTIAL ROLE OF BRAND CONSISTENCY IN SUCCESSFUL FRANCHISING

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Photo by Samuel Figueroa

Success in franchising hinges on delivering a unified and harmonious brand experience across all outlets. For example, if you were to walk into a McDonald’s in any part of the world, you would expect the same ambiance, service, and product quality. This uniform experience is a testament to brand consistency.

The Essential Role of Brand Consistency in Successful Franchising
By Johnny Dey

Franchising has been a critical engine of growth for numerous successful businesses, providing opportunities for market expansion while mitigating the associated risks. It presents a lucrative platform for businesses to amplify their brand’s success, extend their market reach, and maximize profit margins. At the core of this successful strategy lies brand consistency.

Brand consistency is more than just a trending buzzword; it is a fundamental strategy for ensuring a franchise’s growth and longevity. Why so? Because consistency cultivates familiarity, and familiarity breeds trust, which is the cornerstone of customer loyalty.

The essence of franchising is a replication model. The underlying principle is to replicate the parent company’s successful business model across multiple locations, ensuring a consistent customer experience. This is where brand consistency comes to the forefront.

Success in franchising hinges on delivering a unified and harmonious brand experience across all outlets. For example, if you were to walk into a McDonald’s in any part of the world, you would expect the same ambiance, service, and product quality. This uniform experience is a testament to brand consistency.

restaurant, franchise , coffee
Photo by Erik Mclean

Brand consistency not only refers to visual elements such as logos, colors, and store design but also includes communication style, customer service, and the overall quality of goods or services offered. Thus, the importance of brand consistency in franchising is paramount.

Brand identity plays a significant role in making a brand recognizable and memorable. Consistency in brand identity across all franchises enhances brand recall, leading to increased customer loyalty and repeat business.

Customer loyalty is a pivotal element for any business, but for franchises, it holds supreme importance. When customers experience consistency across different locations, their trust in the brand deepens, resulting in enhanced loyalty.

Investment in brand training is a key aspect of maintaining brand consistency. Training programs should strive to instill employees with the brand’s values and mission, ensuring they can deliver the consistent service that is expected. Therefore, the implementation of regular and comprehensive training programs is crucial for the success of a franchise.

Another domain where brand consistency plays an integral role is in digital marketing. With the surge of customers turning to online platforms for their needs, franchises need to ensure that their online presence is reflective of their in-store experience. Consistent messaging and tone across all digital channels, including the website, social media, and email marketing, can significantly enhance the brand’s reputation and visibility.

Lastly, brand consistency contributes to the franchise’s value proposition. It offers a sense of reliability to both the franchisee and the customer. A well-established, consistent brand identity can often simplify the marketing efforts of franchisees, as they can leverage the pre-existing brand recognition and customer loyalty.

In conclusion, brand consistency is a vital ingredient for successful and sustainable franchising. It is instrumental in building trust with customers, fostering brand loyalty, and ensuring the overall success of the franchise. Therefore, businesses venturing into franchising should prioritize maintaining brand consistency across all their outlets.

HOW TO RECRUIT & RETAIN “GEN Z” EMPLOYEES

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It is essential to consider Gen Z key preferences and values. Gen Z employees prioritize meaningful work and a sense of purpose. They are often motivated by opportunities for personal growth, career advancement, and the ability to impact society positively. Providing clear career paths and development opportunities is crucial to engaging and retaining them.


HOW TO RECRUIT & RETAIN “GEN Z” EMPLOYEES
By Johnny Dey

Finding, hiring, and retaining Generation Z employees requires understanding their unique characteristics, preferences, and attitudes toward work. As the newest generation to enter the labor force, Gen Z comprises individuals born between 1997 and 2012. According to the U.S. Department of Labor, as of 2020, Gen Z accounted for around 9% of the labor force, which is projected to grow in the coming years.

To attract Gen Z workers, it is essential to consider their key preferences and values. Gen Z employees prioritize meaningful work and a sense of purpose. They are often motivated by opportunities for personal growth, career advancement, and the ability to impact society positively. Providing clear career paths and development opportunities is crucial to engaging and retaining them.

Gen Z employees also value work-life balance and flexibility. They seek workplaces that offer flexible schedules, remote work options, and healthy work-life integration. According to a study by Ernst & Young, 75% of Gen Z employees believe that a flexible work schedule is essential to achieve work-life balance. Emphasizing work-life balance and offering flexible arrangements can be attractive to Gen Z job seekers.

Gen Z workers are also tech-savvy and expect employers to leverage technology effectively. They are comfortable with digital communication tools, collaboration platforms, and automation. Companies prioritizing technological advancements and providing a digital-friendly work environment will likely appeal to Gen Z candidates.

Gen Z employees also value diversity and inclusivity. They seek companies that foster a diverse and inclusive culture where they can express their authentic selves. Organizations that demonstrate a commitment to diversity, equity, and inclusion through policies, initiatives, and representation are more likely to attract and retain Gen Z workers.

Moreover, Gen Z employees tend to have a robust entrepreneurial spirit. They are interested in opportunities for innovation, autonomy, and creativity in the workplace. Companies that offer a supportive environment for entrepreneurial endeavors and provide platforms for idea sharing and collaboration will likely appeal to Gen Z employees.

In conclusion, attracting, hiring, and retaining Gen Z employees involves recognizing their preferences for meaningful work, work-life balance, flexibility, technological integration, diversity and inclusion, and entrepreneurial opportunities. By aligning company values with these preferences, organizations can better position themselves to attract and retain Gen Z talent in a competitive labor market.

Please note that while the U.S. Department of Labor provides information about the labor force and various demographic trends, specific statistics on the exact number of Gen Z individuals in the labor force may not be available as of my knowledge cutoff in September 2021. It’s advisable to refer to the U.S. Department of Labor or other reliable sources for the most up-to-date statistics.

MANAGING COST OF GOODS: KEY CONSIDERATIONS FOR RESTAURANT SUCCESS

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Photo by Pavel Danilyuk

Effectively managing these factors requires a strategic approach that includes proper menu engineering, efficient food distribution, in-season sourcing, optimizing drop size by the distributor, managing contract pricing and rebates, minimizing waste, implementing appropriate menu pricing, and addressing spoilage and shrinkage. This blog explores the importance of managing COGs and their impact on a restaurant’s profit and loss (P&L) while providing insights and statistics from reputable sources.

Managing Cost of Goods: Key Considerations for Restaurant Success
By Johnny Dey

Introduction: Managing the “Cost of Goods” (COGs) is crucial for long-term success in the highly competitive landscape of the restaurant industry. Cost of Goods encompasses various elements such as food costs, the cost of paper packaging, and beverage costs. Effectively managing these factors requires a strategic approach that includes proper menu engineering, efficient food distribution, in-season sourcing, optimizing drop size by the distributor, managing contract pricing and rebates, minimizing waste, implementing appropriate menu pricing, and addressing spoilage and shrinkage. This blog explores the importance of managing COGs and their impact on a restaurant’s profit and loss (P&L) while providing insights and statistics from reputable sources.

Menu Engineering: Reducing SKUs and Optimizing Profitability: Proper menu engineering is critical to managing COGs. By strategically reducing Stock Keeping Units (SKUs) and optimizing the menu, restaurants can streamline operations and enhance profitability. A focused menu simplifies inventory management, allows for better control over purchasing, and reduces the risk of excess food inventory leading to spoilage. According to a study by Cornell University, effective menu engineering can increase restaurant profitability by up to 10%.【1†source】

Efficient Food Distribution: Ensuring Quality and Cost-effectiveness: Partnering with reliable food distributors is vital in managing COGs. Restaurant operators should prioritize selecting distributors who offer competitive prices, timely deliveries, and consistent quality. Optimizing drop sizes by distributor helps reduce transportation costs and minimize the risk of food wastage due to overstocking. Establishing solid distributor relationships can also lead to negotiated contract pricing and rebates, further driving cost savings.

In-Season Sourcing: Freshness, Flavor, and Cost Savings: Emphasizing in-season sourcing of ingredients benefits both the restaurant and its customers. By incorporating seasonal produce into the menu, restaurants can offer fresher, tastier dishes while benefiting from lower prices due to increased supply. In addition, supporting local farmers and suppliers strengthens the community and enhances the restaurant’s sustainability efforts.

Waste Management: Minimizing Loss and Maximizing Efficiency: Waste is a significant contributor to COGs and can harm a restaurant’s profitability. Implementing effective waste management practices, such as accurately tracking inventory, controlling portion sizes, and training staff on proper handling and storage techniques, can help minimize waste. Technology solutions like inventory management systems can streamline these processes and provide valuable insights to reduce waste and increase operational efficiency.

Proper Menu Pricing: Balancing Value and Profitability: Setting reasonable menu prices is essential for maintaining a healthy bottom line while providing customer value. Careful consideration should be given to factors such as ingredient costs, overhead expenses, and competitive pricing in the local market. Striking a balance between profitability and customer perception of value is crucial to attract and retain patrons.

Addressing Spoilage and Shrinkage: Mitigating Losses: Spoilage and shrinkage are persistent challenges in the restaurant industry. By implementing proper inventory control measures, such as First-In, First-Out (FIFO) rotation, rigorous quality checks, and staff training on storage practices, restaurants can minimize the risk of spoilage and shrinkage. Regular monitoring and analyzing these factors can provide valuable insights for making informed decisions to reduce losses.
Impact on P&L: Effectively managing COGs directly impacts a restaurant’s P&L. By optimizing food cost, minimizing waste, and implementing strategic pricing, restaurants can enhance their profitability. According to a survey conducted by the National Restaurant Association, food, and beverage costs typically account for 28-35% of sales in full-service restaurants, making it a significant controllable cost that directly affects the bottom line.【2†source】

Conclusion: Managing the Cost of Goods is critical to running a successful restaurant. By employing effective strategies such as menu engineering, efficient food distribution, in-season sourcing, waste management, proper menu pricing, and addressing spoilage and shrinkage, restaurants can achieve a balance between cost control and providing exceptional dining experiences. By understanding the impact of COGs on the P&L and implementing best practices, restaurants can increase their profitability and maintain a competitive edge in the ever-evolving restaurant industry.

Sources: 【1†source】 Cornell University School of Hotel Administration – “The Impact of Menu Engineering on the Profitability of a Restaurant.” 【2†source】 National Restaurant Association – “Restaurant Operations Report: Food and Beverage Cost”

20 KEY FACTORS FOR FINDING A BETTER LOCATION

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Photo by Erik Mclean

A broker specializing in retail/restaurant real estate can be a huge resource in navigating through these puzzle pieces. And the landlords usually pay their fees, making this service free of charge to the business owner.

20 Key Factors For Finding a Better Location
By David Simmonds – Founder & President, RESOLUTE RE

Finding the right location is one of the most important processes you will be engaged in for your business. Like the old adage goes: location, location, location. Many factors go into site selection for your business. In this article, I’ll discuss the factors to consider about the retail space itself.

Size of space needed

• Do you need an end cap, or are you willing to go in-line? Do you need a freestanding location and/or a drive-thru?
• Construction budget
• Anticipated sales projections Rent is always a function of sales, and most businesses want their rents to be between
6%-8% of their total costs to run the business.
• Rent/NNN budget…make sure that you are realistic about what can be achieved in the market/s that you are looking at
and how that compares to your budget
• Do you need referrals for a general contractor/architect/etc? Do you have a prototype for your layout?
• Which kind of tenants do you want to be around or stay away from?

Interior of the space:

• What size HVAC do you need?
• Do you need the space to come with equipment left behind by the previous tenant? 2nd gen restaurant space, for
example, could save a restauranteur a lot of capital. Or could you do new construction or a plain Jane retail space?
For example, if you would do a non-2nd gen restaurant space, how much would it cost to retrofit a space?
• Do you have to have natural gas?
• What size electrical service do you need?
• Do you need a grease trap or a vent-a-hood
• Does your space need to be sprinkled?

Selling yourself to landlords:

• What kind of credit will be going on the lease?
• Are you willing to personally guaranty the lease?
• Where is your source of funding coming from to do this new location?
• Your Resume: Have you worked for a competitor in the past, or do you have existing stores? If so, how long have you
been in business? If not, do you have a resume showing your operations prowess?

Use a professional broker

A broker specializing in retail/restaurant real estate can be a huge resource in navigating through these puzzle pieces. And the landlords usually pay their fees, making this service free of charge to the business owner. When hiring such a broker, engage in a meaty interview process:

* Ask for and check References
* How many similar-type deals has that agent closed in the past week, 30 days, 60 days, and YTD?
* If he works in other commercial real estate verticals, such as office, industrial, land (not related to retail), farms & ranch, medical or investment sales, for example, how much time does that agent spend working in those verticals versus retail/restaurant?

I highly recommend a broker who specializes in the retail/restaurant field. That broker will have the expertise, knowledge, and relationships in the market to get you the best space for your business. It’s an exciting journey you are embarking on…you’ll never forget it!

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About The Author: DAVID SIMMONDS

David Simmonds founded RESOLUT RE in January of 2009 and has since built a massive, international, 3rd-party brokerage platform. RESOLUT RE has 6 offices across Texas (Dallas/Fort Worth, Houston, Austin/San Antonio, McAllen, Midland & El Paso), and serves the great states of Louisiana and New Mexico out of offices in Lafayette, Albuquerque and Santa Fe.

RESOLUT RE represents 68 tenants nationally/internationally. We have the ability to service our clients’ expansion needs anywhere in the United States and up to 130 countries around the globe.

RESOLUT RE markets over 800 projects and exclusively represents over 250 tenants regionally across Texas, New Mexico and Louisiana.

David is a member of the International Franchise Association (IFA) and the International Council of Shopping Centers (ICSC) and received a Bachelor of Arts degree in Economics from Columbia College/Columbia University in New York City.

Press Release – Oath Pizza Franchisee Partner Launches New Fast-Casual, Feel-Good Pizza Concept in El Segundo

Posted on by Franchise Strategist

Oath Pizza Franchisee Partner Launches New Fast-Casual, Feel-Good Pizza Concept in El Segundo
Press Release supplied by Oath Pizza

El Segundo, Southern California – El Segundo, we have some delicious news for you! Franchise Group Brothers Empire, made up of partners Mandeep Singh, Kulwant Jafal, and Garish Talwar opened a new Oath Pizza location right here, celebrating their Grand Opening on Friday, May 26th. Our team is incredibly excited to bring its feel-good menu and experience to life in such a vibrant hub of Southern California. Oath El Segundo will beautifully highlight the team’s updated brand design, take-out, and delivery-focused prototype, alongside its seamless and rewarding online ordering capabilities. Join us on our mission to inspire happiness under this new and exciting leadership group.

“We could not be more pleased and encouraged by our partnership with Mandeep and his family in bringing Oath Pizza to the Los Angeles community. I have great respect for the roots of elevated pizza, and as a personal hero of mine, hope we are able to live up to Wolfgang’s high standards and proud tradition. Thank you for the opportunity L.A.!” – Drew Kellogg, CEO
Oath was founded to help our guests eat better without having to give up the food we all love most, Pizza! Our flagship store on Nantucket Island was born in 2015, and we have since become known for our award-winning crust: hand stretched (with love!), grilled, and seared in avocado oil. What is Oath? Oath is a team of like-minded individuals that strive for individual excellence, to empower themselves and those around them, and to have some fun! Delicious food crafted by hand selected teams is our vehicle to bring this vision to life. “The crew is ecstatic and eager to provide the tastiest pizza in town. We are convinced that you will fall in love with both our pizza and our service.” – Mandeep Singh, Franchise Co-Owner

Let’s talk about the Oath Experience. Our goal is to provide you with pizza in whatever way works best for you. If you are looking to dine in and hang out with us (yay!), simply walk in, someone from our team will greet and walk you through our menu options. Looking for a quick grab and go? Our experience is designed to be fast paced with our ovens that cook our pies within just a minute and a half… Yes, you read that correctly! We of course offer delivery & pick up options as well. Our recommendation is to place your orders directly through our website or app, so that you can take full advantage of our loyalty program. Delivery is also available from your choice of third party platform: ubereats, doordash, grubhub, and more.
“Oath is about great pizza, pure and simple. As the leader of Oath’s operations, my job is to make the system easy to train, and easy to execute, so that the pizza can shine. Pizza is a happy experience and our mission is to inspire happiness, one pizza at a time. We can’t wait to meet you!” – Dave Jamieson, VP Operations

Oath continues its nationwide expansion through its optimization of the brand and business under the leadership of former Chipotle executives. Oath franchising is now available to applicants nationwide. The opportunity has quickly risen to a top business consideration for its future-forward advantages: a small footprint, simple operation, reliable supply chain, and minimal labor requirements per shift. Oath Pizza’s better-for-you product and brand intersect the billion-dollar-and-growing pizza industry and trillion dollar global wellness market. Want to join the quickly growing team of Franchise Partners? Learn more here.

We always welcome any questions or requests for further information about the opening, and are excited to continue sharing our story with the first (of many!) new locations in this community. Our team is always available to provide interviews, arrange visits to the restaurant, and share what we’re all about. Oath Pizza has not only a unique story, but a unique mission driven by intentional values, and we are eager to share this.

For more information about becoming an Oath Pizza franchisee, please contact: [email protected]
Learn More Here: https://franchisegrowthsolutions.com/listing/oath-pizza/

(FRANCHISE OFFER MADE BY PROSPECTUS ONLY)