Category: Real Estate

* * MasterMind Minutes * *

Posted on by Franchise Strategist

Each episode runs approximately 20 to 25 minutes and features an expert guest covering one question. The entire series is posted & update on this page so you can binge watch back-to-back “episodes”. New episodes are added each month so keep coming back to view the experts on an insightful topic that is sure to help you build, grow and run your business.

Photo by AbsolutVision on Unsplash

www.franchisegrowthsolutions.com

================================================

POSITIONING YOUR BRAND TO WIN, DETERMINING TRENDS INFLUENCING YOUR INDUSTRY, ANALYZE + ACT

MasterMind Minutes – One Guest – One Question – One Expert Answer in Minutes not Hours. Today’s Guest is Shelly Sun.

Shelly Sun is the CEO and Founder of BrightStar Care a national home care and medical staffing franchise with more than 365 locations that provide medical and non-medical services to clients within their homes, as well as supplemental care staff to corporate clients. Shelly is a dynamic and forward-thinking leader passionate about helping aspiring entrepreneurs become successful business owners. Shelly grew BrightStar Care from a local business to a $639M national enterprise. By franchising the concept, she was able to diversify & localize the brand’s operations, positioning franchisees to become prominent business owners. In 20 years, BrightStar Care has grown to over 365 locations, becoming the provider of choice for thousands of clients nationwide.

Shelly is also a well-known leader within the global franchising industry, serving as the 2017-2018 Chairwoman of the International Franchise Association (IFA), a top 25 association. Shelly was named IFA 2009 Entrepreneur of the Year and is a Certified Franchise Executive. Shelly published her first book in 2011, Grow Smart, Risk Less, where she discusses her journey as an emerging franchisor through growth, lessons, and game-changing ideas. Shelly and BrightStar Care were featured on an episode of CBS’ Undercover Boss, as the first franchise brand ever chosen on the show. Harvard Business School has written a case study about BrightStar Care’s expansion under Sun’s leadership. Prior to founding BrightStar Care, Shelly was a Certified Public Accountant and held executive positions with United Airlines, CNA Insurance, and BlueCross BlueShield.

An innovative, forward-thinking trailblazer, Shelly is focused on driving results, building a strong culture, and delivering the highest quality care by building a network of like-minded small business owners to activate her brand vision. Shelly’s strategic mindset to innovate, create new opportunities, and increase her brand’s market share drives brand growth and performance.

Learn more about Shelly and Bright Star: https://www.brightstarcare.com/
Contact Gary: [email protected]
Visit: www.frangrow.com

================================================
IS A MYSTERY SHOP PROGRAM VITAL TO YOUR CUSTOMER’S EXPERIENCE AND YOUR SUCCESS?

MasterMind Minutes – One Guest, One Question, One Expert Answer in Minutes not Hours.Today our guest is Kurt Eddins.
Kurt is the Owner and President of 360 Relay (formerly known as 360 Intel and Goodwin Hospitality over the last 20 years). 360 Relay provides an array of services centered on gathering various types of customer feedback, with mystery shopping being the primary service. Their portfolio of clients ranges from national chains all the way down to single units.

Kurt has been involved in the mystery shopping industry going back to his high school years, starting out in the family business setting (known Goodwin Hospitality at the time and then ultimately coming on board full time in a managerial role after graduating from UNH in 2012.
Contact Kurt at: https://www.360-relay.com
Contact Gary at: [email protected]
Visit: www.frangrow.com

==================================
HOW TO MOLD A MINDSET OF SUCCESS IN BUSINESS AND IN LIFE.

MasterMind Minutes One Guest One Question, One Answer. Today my guest is Darrell Bennett. Mr.Bennett is a Harvard Law School alum, former attorney and the founder of The B-Squared Global Group and creator of the Kingdom Wealth Circle, who has helped more than 100 business owners create more than $10M in profit and has sizable equity stakes in dozens of profitable enterprises.

Also known as The Comeback King, for his Voice, his personal story and his work helping people turnaround negatives into positives, Darrell has helped more than 100 people launch their business dreams.

In 2022, Darrell turned his personal memoirs, Come. Back. Swinging., into a Mentorship Accelerator, to help people beat the odds and break down barriers in their personal lives and business endeavors.

Contact Darrell via LinkedIn: https://www.linkedin.com/in/darrellbennett/
Contact Gary: [email protected]

===================================

CREATING A UNIQUE EXPERIENCE FOR PEOPLE IN THE PET SERVICE BUSINESS

Today our guest is Michelle Boggs. Michelle is the Managing Partner at MUTTS Canine Cantina, so she oversees MUTTS’ brand development and is well connected with the brand’s ongoing media and marketing efforts which have been crucial in MUTTS’ growth since their 2019 announcement to franchise. She is also the co-founder of McKinley Marketing Partners, a marketing consulting firm based in Virginia.

With her leadership, she has attracted hundreds of franchise leads and presented multiple ways to help position MUTTS as an unrivaled, first-of-its-kind restaurant, bar and off-leash dog park concept. I’m positive she has a wealth of valuable insight to share with your listeners that could help them grow their businesses and position them at the forefront of their industry.

Contact Michelle at: https://muttscantina.com/
Contact gary at: [email protected]
———————————-

HOW TO SUSTAIN GROWTH LONG-TERM VS. JUST SURVIVING TOMORROW.

Master Mind Minutes – One Question – One Question – One Answer in Minutes Not Hours. Today our guest is Ed Quinlan.
Ed is the President of Chem-Dry, part of the BELFOR franchise group. Chem-Dry is the world’s leading carpet and upholstery cleaning service with a network spanning 55 countries, serving over 11,000 homes and businesses a day worldwide.

Ed oversees business support services for Chem-Dry’s franchisees, including training and business coaching programs designed to improve performance and the implementation of software improvements designed to make business easier and more profitable.

Contact Ed: https://www.chemdry.com/
Contact Gary: [email protected]
Visit: www.frangrow.com

——————————————-

KEY CHALLENGES EMERGING FRANCHISORS FACE AND HOW TO OVERCOME THEM?

Today our guest is Tom Spadea..
Tom is the co-founder and Partner at Spadea-Lignana Law. The firm has offices in Philadelphia and NY and specializes in the areas of: Franchising, Buying or Selling a Business, Lease Negotiation, Litigation, Commercial law and Securities Law
But Tom didn’t start out as an attorney. He has a vast entrepreneurial background. He was the co-owner and President of a communications equipment manufacturer where he co-founded a factory in Latin America, successfully created an international sales network in Asia and invented a product for which he was granted a US Patent.
He spent more than 15 years in corporate and entrepreneurial positions before completing law school.
Tom has been named a “Legal Eagle” by Franchise Times magazine, a distinguished award recognizing Tom as a leader among his peers in franchising.
He is also the founding member of the Philadelphia Franchise Association and is the current President and Chairman.

Contact Tom at: https://www.spadealaw.com/
Contact Gary at: [email protected]
Visit: www.frangrow.com.
==========================

KEY TIPS FOR FRANCHISEES AND FRANCHISORS ATTEMPTING TO SECURE FINANCING FOR THEIR NEW BUSINESS, LLC
https://youtu.be/PkG_7ydGZ-o

Today our Guest is Beegees Hebert Senior Account Manager
Beegees came to Guidant in 2011, and since then, she’s become a small business financing aficionado. Every day, she puts her superior listening skills to good use to become a true advocate for her clients. As an Account Manager, she’s committed to helping individuals identify and deploy the financing solution(s) that will help them reach their short- and long-term goals, making the process to funding as smooth as possible.
Beegees also has firsthand knowledge of what it takes to run a small business or franchise. Prior to joining Guidant, she served as the General Manager for a chain of tanning salon franchises, and before that, she was the Sales & Marketing Director for an independent health and fitness business. Today, she uses that experience to relate to clients and provide firsthand advice.
Contact Beegees at. https://www.guidantfinancial.com/abou…
Contact Gary at: [email protected]
Visit www.franchisegrowthsolutions.com
Visit: www.franchisemoneymaker.com

=======================================================
MasterMind Minutes – WHY DOES FRANCHISE EXPERIENCE MATTER?
Our guest today is John Ramsay of Noodles & Company.

With over 28 years of experience in restaurant franchise sales and development, John Ramsay joined Noodles & Company in November of 2020 as the vice president of franchise sales. Prior to Noodles, John most recently held positions in franchise and restaurant growth efforts for Bruxie International and Marco’s Pizza Franchising. John’s successful career includes the growth of over 900 restaurants across all 50 states and 12 different countries. Having graduated from Virginia Tech University with an architecture degree, his vast skill set came through during his early career positions in design, construction and real estate for brands such as T.G.I. Friday’s and Jack in the Box.
A resident of southern California, John and his wife love traveling and spending time with their two kids in their free time.

Contact John at www.noodle.com
Contact gary at: [email protected],
Visit www.frangrow.com
Visit: www.franhisemoneymaker.com

============================

DEALING WITH RESTAURANT SUPPLY CHAIN ISSUES

Our Guest today is Bob Ray, who has been with Margaritas since 1992 in a wide variety of positions, became an owner and board member assuming the role of Chief Operating Officer. The brand also expanded its leadership team to include a star-studded mix of owners and board members with decades of experience managing and growing successful restaurants.

For more information about Margaritas’ franchise opportunities, visit www.margs.com/franchising/overview.
Contact Bob at: https://www.margs.com/Contact Gary at: inforwww.frangrow.com
Visit: www.frangrow.com
Visit www.franchisemoneymaker.com

=================================

WHAT ARE THE INNOVATIONS AND KEY DIFFERENTIATORS THAT HAVE LED McALISTER’S DELI TO ACCELERATED GROWTH OVER THE LAST FEW YEARS?

Our Guest today is; Mike Freeman, Chief Brand Officer, McAlister’s Deli
Mike has been working with the brand for 13 years and most recently served as vice president of operations.
Mike started as an assistant general manager at the McAlister’s Deli in Bossier City, La. He has worked in various operations and training leadership roles.
Contact Mike at:https://www.mcalistersdeli.com/
Contact gary at: [email protected]
visit: https://www.franchisegrowthsolutions….
visit: https://www.franchisemoneymaker.com/

==================================

WHY IS IT MORE IMPORTANT THAN EVER FOR LEADERS TO HONE THEIR LISTENING SKILLS & HOW CAN THEY DO THIS
MasterMind Minutes shares expert business information in Minutes Not Hours.

My guest today is Stephen Kohler. Stephen is the Founder & CEO of Audira Labs. Audira Labs enables leaders, teams and organizations to amplify their leadership through transformational 1:1 executive coaching and, music-infused, experiential team effectiveness workshops.
Contact Stephen at: https://audiralabs.com/
Contact Gary at: [email protected]
https://www.franchisegrowthsolutions….

==============================

MasterMind Minutes INVESTING IN PUBLICLY HELD RESTAURANT COMPANIES -WHAT DID THE PANDEMIC TEACH US?
Today’s guest is Roger Lipton – Roger is an investment professional with over 4 decades of experience specializing in chain restaurants and retailers, as well as macro-economic and monetary developments. After earning a BSME from R.P.I. and MBA from Harvard, and working as an auditor with Price, Waterhouse, he began following the restaurant industry as well as the gold mining industry. While he originally followed companies such as Church’s Fried Chicken, Morrison’s Cafeterias and others, over the years he invested in companies such as Panera Bread and shorted companies such as Boston Chicken.
Contact Roger at: https://www.liptonfinancialservices.com/contact/
Contact Gary at: [email protected]
www.franchisegrowthsolutons.com

=========================

MasterMind Minutes – BIGGEST CHALLENGES FACING A START UP OR EMERGING BRAND FRANCHISORS?
One Guest – One Question – One Expert Answer – Minutes Not Hours

WHAT ARE THE BIGGEST CHALLENGES FACING A START UP OR EMERGING BRAND FRANCHISORS? Today’s guest is Evan M. Goldman. Evan is a partner at A.Y. Strauss and serves as chair of the Franchise and Hospitality practice group and co-chair of the Litigation practice group. Evan is a leading expert on franchises, working closely with both franchisor and franchisee clients to draft, negotiate, and register disclosure documents, franchise agreements, and related key documentation. Evan represents franchisor and franchisee clients in dispute categories such as terminations, breach of contract, trademark disputes, fraud claims, employment matters, and enforcement of non-competes.
Contact Evan at:https://www.aystrauss.com/professionals/evan-m-goldman-esq/
Contact gary at: www.franchisegrowthsolutions.com

========================================
========================================

IN THIS TIME OF UNCERTAINTY, PANDEMICS, SOCIAL UNREST AND A TUMULTUOUS ELECTION YEAR, HOW CAN PEOPLE STAY MOTIVATED AND WORK TOWARD A MORE POSITIVE PERSONAL AND COMMUNITY FUTURE?

Today my guest is Jermain Miller, the Founder of MiLL Real Estate and CEO of Jermain Miller Consulting.
Prior to launching MiLL RE in 2015, Jermain carved his way to being one of the top real estate professionals in NYC after being homeless and starting with only 93 cents in his bank account.
He is a best selling author of two and soon to be three books Wake Up and Win and now Wake Up and Live…
You can reach Jermain at: [email protected]
You can reach Gary at: [email protected]
www.franchisegrowthsolutions.com
www.franchisemoneymaker.com

IN THE CURRENT ECONOMIC CLIMATE & LENDING ENVIRONMENT, WHAT ARE BANKS LOOKING AT WHEN CONSIDERING A BUSINESS LOAN.
Today’s guest is Reg Byrd.
Reg is the Managing Partner DCV Franchise Group
For over 25 years Mr. Byrd has been a business venture strategist assisting entrepreneurs with a focus on financing, business plan development, financial projections and blueprints for aggressive return on investments. The scope of his work ranges from sole proprietorship businesses to capital intensive Fortune 500 hotel development projects. To date, DCV Franchise Group has served more than 300 franchise systems placing debt for franchisees in the U.S., Puerto Rico, Panama and Canada.
Contact Reg at https://lnkd.in/eDhmeqs
Contact Gary at: [email protected]
Learn more at: https://www,https://lnkd.in/d89cb29

HOW TO EVALUATE A STARTUP OR EMERGING BRAND FRANCHISE WITH ONE OR NO FRANCHISEES?
Our Guest Today is: Ed Teixeira.
Ed has over 40 years of experience in the franchise industry and is the VP Franchise Development for FranchiseGrade.com a leading franchise market research firm. Ed is the author of Franchising from the Inside Out and The Franchise Buyers Manual and has spoken before the International Franchise Expo, Chinese Franchise Association in Shanghai, China and has lectured at the Stony Brook University Business School on Franchising.
Contact Ed at: https://www.franchisegrade.com/. 1-800-975-6101
Contact Gary at: [email protected]
Learn More About Franchising: https://www.franchisegrowthsolutions.com

WHAT SHOULD EMPLOYERS THINK ABOUT WITH RESPECT TO LIABILITY CONCERNING EMPLOYEES GETTING CORONAVIRUS AT THE WORKPLACE?
today’s guests are:
Joel Greenwald is the Founder and Managing Partner of Greenwald Doherty LLP, a national management-side employment law firm. Focusing on labor relations and employment law. AND Michael Einbinder is a founding Partner of Einbinder & Dunn. He is a participating member of the American Bar Association Forum on Franchising.
Contact Michael at: [email protected] – Contact Joel at:[email protected]

HOW A COMPANY CAN SUPPORT THE COMMUNITY, ITS EMPLOYEES AND ITS FRANCHISEES IN TIME OF CRISIS – Today’s guest is Hector Westerband. Hector is the Founder and CEO of ACAI EXPRESS. He has over 20 years in the hospitality industry. He was introduced to the amazing Acai Stone Fruit. It was there where he started his own Acai Food Truck Called Acai Express in 2013.development.
Acai Express: https://lnkd.in/eESYZ6U

WHAT ARE THE FRANCHISE BRANDS THAT ARE DOING WELL DURING AND WILL DO WELL AFTER THE PANDEMIC? – Today’s guest is Lance Graulich
Lance is the founder & CEO of ION Franchising, an industry leading franchise consulting and development group, that represents over 500 franchise brands & business opportunities within 90 categories. Lance helps prospective entrepreneurs find their perfect franchise for FREE.

ARE YOU OVERLOOKING POTENTIAL MONEY SAVING CHANGES IN THE FEDERAL TAX LAWS THAT WERE INCLUDED IN THE COVID STIMULUS BILLS? – Today’s guest is MICHAEL IANNUZZI
Michael Iannuzzi is a partner and co-leader in Citrin Copperman’s franchise practice providing a variety of services to a wide spectrum of clients within the franchise community.

GROWING YOUR FRANCHISE COMPANY POST COVID-19 – Today’s guest is Harold Kestenbaum.
Harold is a franchise attorney who has specialized in franchise law and other matters relating to franchising since 1977. https://youtu.be/OOCXqhGPA_U

WHY DO FRANCHISEES FAIL – Today’s guest is Tom Scarda, CFE, Founder & CEO of the Franchise Academy, Best selling author and Podcaster.

================================================================

MATTO FRANCHISE
A Revolution is Brewing
LEARN MORE HERE:
 https://www.mattofranchise.com/

=================================================================

HOW ARE BANKS RESPONDING TO LOANS FOR NEW BUSINESSES?
Today’s guest is Reginald Heard – Founder and CEO of Bankers One Capital.

HOW ARE YOU MARKETING AND GETTING THE WORD OUT THAT YOUR BUSINESS IS GETTING READY TO REOPEN? Laura Skulman, Director of Marketing and Events for B&D Burgers in Savannah Ga.

HOW FRANCHISORS ARE CREATING A DIGITAL STRATEGY AS THE ECONOMY OPENS UP – Today’s guest is Aubree Coderre, National Sales Manager at C-Squared Social

Stephen McCluskey Insurance Expert – Discussing what you can do if your Insurance Company is not paying business interruption insurance due to Covid 19 closure

Michael Einbinder – Founding Partner of Einbinder and Dunn, a Law firm focusing on the needs of franchisees and franchisors

===============================================================

MATTO FRANCHISE
A Revolution is Brewing
LEARN MORE HERE:
 https://www.mattofranchise.com/

================================================================

OPPORTUNITIES TO OPEN A RESTAURANT NOW! Today’s guest is David Simmonds – Commercial Rental Expert

MasterMind Minutes – One Question – One Expert Answer – Minutes Not Hours
Our guest today is Doug Smith… He is the Director of Sale for ROI Experts which is a digital marketing agency that works with restaurants around the world. ROI Experts generates trackable ROI using their unique ROI engine platform. Doug is 27 year veteran of the radio, sales and marketing. Visit their website at www.roiexperts.com‍

Love at First Bite: Oath Pizza Signs New Multi-Unit Franchisees to Fuel Growth in Austin

Posted on by Franchise Strategist

Oath’s simple operation drives attractive labor and supply chain advantages for traditional corporate and franchise locations. Oath’s nationwide supply chain distribution network creates reliability, the brand’s adaptive menu offers customers a quick, consistent product, and the business with attractive unit economics, including longer shelf life, reduced costs, and better throughput.

Love at First Bite: Oath Pizza Signs New Multi-Unit Franchisees to Fuel Growth in Austin

By Luca Piacentini – 1851 Franchise Senior Writer
Reposted with permission

Oath Pizza has become one of the most popular brands and sought-after franchise models in less than a decade. Since opening its first seaside shop on Nantucket Island, Oath has expanded to serve its fresh, feel-good pizzas to communities across the country. This year, momentum has picked up steam with Oath Pizza signing on multiple new multi-unit franchise owners to expand to new markets like Austin, Seattle, and Los Angeles.

Dilan Karunamuni and Sham Tyagi are the new franchise partners behind the three-unit signing in Austin. The two friends come from a background in the finance and tech industries, where they first met as consultants.

“I used to work in retail at Verizon and AT&T, so I had experience working with customers,” says Tyagi. “I eventually ventured into the cell phone business and started my own company. I sold that business to one of my competitors and founded my consulting firm specializing in subscription-based systems for software companies.”

Karunamuni eventually took a job at that firm, where his long-lasting friendship with Tyagi began. While the two never considered going into business together, that changed the day they each took their first bite of Oath Pizza.

“I was visiting Philly and stopped at the Apple store,” says Tyagi. “I was hungry, so I walked next door to Oath Pizza. I knew it was a brilliant experience when I had the first bite, and I called Dilan and told him he had to try it.”

Karunamuni stopped by Oath the next time he visited the area. “We were so blown away by the food, brand, store, [and] the look,” he says. “It was so good, and I even brought some home for my family to try.”

Soon, the duo recognized the unique opportunity ahead of Oath and decided to introduce the pizza to the growing Austin market.

“We knew this would work in Austin,” says Tyagi. “There are plenty of food options, but it is an ever-expanding market, and the palette of people moving from all over is always changing,” he adds. “People here want to explore new food options, and Oath Pizza is an option that is better for you with fresh toppings, organic proteins, and limitless customization options,” he shares.

As an experienced entrepreneur and business owner, Tyagi says he could also tell Oath Pizza’s business model was positioned for success thanks to the backing of its expert team and robust support infrastructure.

“Our process started by reaching out to the Oath team,” says Tyagi. “As we learned more, we saw the leadership team was very experienced, and how every franchise and corporate team member was knowledgeable and went above and beyond,” he adds. “We instantly felt comfortable with the company and wanted to be a part of the team that would take this brand to the next level.”

Karunamuni and Tyagi visited a store to explore how each location functioned inside and out. “I had never owned a food business, which I knew could be tricky, so I was doubtful about the simplicity at first,” says Tyagi. “We saw how it operated, and it was an instant no-brainer for us. Everything is seamless, with streamlined processes, a simplified menu, and a super smart and efficient model.”

Oath’s simple operation drives attractive labor and supply chain advantages for traditional corporate and franchise locations. Oath’s nationwide supply chain distribution network creates reliability, the brand’s adaptive menu offers customers a quick, consistent product, and the business with attractive unit economics, including longer shelf life, reduced costs, and better throughput.

“Efficiency is the key word,” says Karunamuni. “I have a little experience having worked at Quiznos and Dunkin Donuts, and I’ve seen how a messy back of the house can lead to problems in the front end,” he says. “When I saw the Oath Pizza model, I was in awe — everything is thought out precisely, from ordering the products to serving the customer. There are so many advantages to joining a brand so primed on efficiency.”

Karunamuni and Tyagi hope to open their first Oath Pizza in early 2023 and the rest of their stores by the end of 2024.

“It’s the best chain pizza I’ve ever had, and it can compete with mom-and-pops everywhere,” says Tyagi. “We are excited to have people in Austin taste this product. That’s what it is all about — it’s that good.”

Karunamuni and Tyagi aren’t the only entrepreneurs recognizing the strength of Oath’s franchise model this year. Brad and Jennifer Langford, a married couple of restaurateurs and franchise industry veterans outside Seattle, signed a three-unit deal to grow Oath Pizza throughout their market.

“Being an operations-focused owner, when I read about Oath Pizza’s business model, I realized they had found a way to streamline their operations and customer service to make the numbers work,” Brad Langford shares. “You can have the best product in the world, but if you can’t take the development of a product and streamline it through prep, product, and marketing to your customer, it doesn’t matter how great it tastes,” he adds. “I was shocked at how great this product tastes, and more importantly, the bottom line adds up.”

Another recent signing comes from former Target executive Mandeep Singh and his brothers-in-law, Garish Talwar and Kulwant Jafal. They are introducing Oath Pizza to Greater Los Angeles through a three-unit deal as franchise group Brothers Empire.

“We came across an article about Oath and liked what we read, so we dug deeper and decided to reach out to their team,” says Singh. “I was immediately impressed. They are great people and walked us through every question we had. They are passionate about what they do.”

Oath Pizza’s CEO Drew Kellogg says the team is excited to find more franchisees across the country as the brand continues to emerge as a leading force in the pizza segment.

“We’re excited about our continued expansion into growing markets like Austin,” Kellogg says. “We’re looking forward to bringing on more smart, passionate entrepreneurs like Dilan and Sham to help us expand to new markets and inspire happiness in our communities every day.”

The cost to open an Oath Pizza franchise ranges from $380,000–$550,000, including a $30,000 franchise fee. For more information on franchising with Oath Pizza, visit https://www.oathpizza.com/franchise.

About Oath Pizza: Oath Pizza is the fast-growing franchise known for its award-winning avocado oil crust, fresh, organic toppings, and efficient, innovative business model. Oath started in a seaside shop on Nantucket Island. Today, it has expanded nationwide under the leadership of former Chipotle executives who have built the brand and business to scale. The Oath franchise opportunity has quickly risen to a top business consideration for its unique advantages: low cost of entry, small 800 – 1,200 sq ft footprint, flexible build-out with no Type I venting or gas requirement, reliable supply chain, innovative digital systems, and a simple operation that requires only one-to-four employees per shift. Learn more at oathpizza.com/franchise.

An Overlooked Franchisor Recruitment Strategy

Posted on by Franchise Strategist

After having been in the franchise industry for many years, I have not seen enough emerging and mid-sized franchisors emphasize in detail, how it analyzes, identifies, and determines the territory a franchisee will be granted.

An Overlooked Franchisor Recruitment Strategy

FRANCHISING,
Ed Teixeira is Chief Operating Officer of Franchise Grade and was the founder and President of FranchiseKnowHow, L.L.C. a franchise consulting firm.

By Ed Teixeira
VP Franchise Grade, Author, MA Economics, Industry Partner Stony Brook U. and member of Advisory Board Pace U. Lubin School of Business.

To grow a franchise system a franchisor must have qualified franchise leads that can turn into viable franchise candidates. This is a fundamental truism of franchising, whether a franchisor generates their own leads, uses lead gen portals, or receives franchisee prospects from other sources. However, acquiring franchise leads is only a part of the franchise development process. A franchisee prospect needs to be sufficiently impressed with a franchise opportunity before proceeding to the next steps in the process.

To achieve this objective the usual approach employed by franchisors is to cite the market demand for the franchise’s products or services, franchisor training and support and providing a financial performance representation in an Item 19 disclosure. However, these benefits exclude one of the most critical requirements of any business, especially a franchise, the quality of the market territory the franchisee will acquire as part of their franchise investment.

After having been in the franchise industry for many years, I have not seen enough emerging and mid-sized franchisors emphasize in detail, how it analyzes, identifies, and determines the territory a franchisee will be granted. Although this subject is typically covered at the early stages of discussions between the franchisor and a franchisee prospect it has been my experience that the franchisee market does not receive enough focus by some franchisors. While the type of territory whether open, protected, or exclusive is an important factor for a prospective franchisee the market potential is equally important.

1. Franchisors should devote more resources and place more attention on how they identify and define a franchisee market and present this information at the earliest stages of the franchise process. This strategy may require a franchisor to invest additional resources into defining franchisee markets.

2. Avoid utilizing surface metrics to define a market. For example, a home care franchisor may use the number of residents over 65 to define a market, yet will that indicate how many of this market segment can afford to pay for home care services? The same concept relates to children’s services. Two markets with a comparable number of school age children should be analyzed to determine whether family incomes are available to pay for those services.

3. Invest in using a reputable market research firm with credentials to identify an ideal market profile. Franchisors should have a detailed franchisee and market profile. It is not necessary to describe all the details regarding the territory but rather to emphasize the importance that each franchisee has a quality market.

4. A number of franchisee prospects have a pre-determined choice of territory based upon where they live or their gut instinct. There are franchisors that readily accepts the choice, however if the franchise fails due to poor sales this issue will not be raised. Franchisors should not accept a franchise candidates’ preference for a territory unless the decision is based upon careful analysis.

Franchisors should devote the resources and focus upon the importance of a franchises market potential and present the franchisee market as a major feature of the franchise opportunity. This should be introduced at the beginning of the franchise presentation process including brochures and on the franchise website.

About the Author:
Ed Teixeira is currently the VP of Franchise Development for Franchise Grade.com. He’s had the opportunity to spend over 35 years in the franchise industry as a franchise executive and franchisee. Ed has an MA in Economics from Northeastern U. His franchise experience has included the retail, manufacturing, home health care, medical staffing and GPS fleet tracking industries. EWd has done international licensing in Asia, Europe, and South America and was a contributor to Forbes Magazine. He’s been qualified by the International Center for Dispute Resolution as an international franchise expert. Ed is a faculty member of LawLine.com I have Lectured at Stony Brook University Business School on the subject of Franchising. Been interviewed by the Wall Street Journal, Forbes, Bloomberg, Franchise Times, Franchise Update, New York Newsday and Long Island Business Review. He wrote and published The Franchise Buyers Manual a comprehensive book for people considering investing in a franchise. In 2004 Ed wrote Franchising From the Inside Out an overview of the franchise industry. He have established numerous franchise concepts for independent business owners and with my affiliates do international franchising. Ed has been designated a franchise industry expert by The Business Broker Press. Am a member of the Advisory Board Pace University Lubin School of Business and Industry Partner Stony Brook University.

What Are Common Area Maintenance Charges In A Commercial Lease?

Posted on by Franchise Strategist

What Are Common Area Maintenance Charges In A Commercial Lease?
Posted with Permission from Spadea Lignana Franchise Attorneys


What Are Common Area Maintenance Charges In A Commercial Lease?
Most commercial retail leases are triple net leases. The “triple” stands for (i) taxes (ii) insurance and (iii) maintenance.

Taxes: This is pretty straightforward, as the landlord will simply pass on to the tenant the real estate taxes proportionately based on the size of the overall property and the size of the tenant’s location.
Insurance: This is calculated in a similar manner based on the landlord’s insurance cost for the overall property, not the tenant’s specific insurance.

Maintenance: This is the big variable and is also called CAM or “common area maintenance.”
Basically, under a triple net lease, the landlord will pass through all of the expenses to maintain the property including landscaping, cleanup, snow removal and minor repairs to each tenant on a pro-rata basis. The CAM charges in a commercial lease are typically added on to base rent as additional rent (in addition to the taxes and insurance cost). This is an area fraught with danger for the unwary tenant. A landlord typically will try to pass through as much of their expenses as possible through CAM charges, and if not negotiated upfront, these expenses can grow and grow over the life of the lease.

CAM charges to be wary of are:

Administrative & Maintenance Fees
Roof Repair & Replacement
Capital Improvements
Lighting
Plumbing
Electrical Wiring
HVAC

Many of these charges should be considered capital expenses or general overhead of the landlord and should be excluded from CAM.

READ THE ENTIRE ARTICLE HERE:https://www.spadealaw.com/blog/what-are-common-area-maintenance-charges-commercial-lease

A New Magic Cup Franchise Is Coming To McKinney, Texas

Posted on by Franchise Strategist

Experienced investors with degrees in finance and biology respectively, Chi and Tam already had an impressive portfolio in the beauty industry (and two luxury spa locations to their credit) before they decided to investigate their next business venture. Self-confessed boba, tea, and coffee addicts, Chi and Tam were always drawn to the beverage industry but knew they’d need a franchisor with both the patience and the resources to steer them toward success.

A NEW MAGIC CUP FRANCHISE IS COMING TO MCKINNEY, TEXAS
By re:verb Marketers

Big news for Texas tea lovers: After a solid 5 years of hard work and dedication, Magic Cup Cafe is excited to announce that our business is expanding to a new location!

Our new cafe will soon be opening in McKinney, TX, allowing even more tea and coffee drinkers to enjoy Magic Cup’s unique and delicious beverages in-store or on the go. Our Vietnamese-American-owned company’s innovative east-meets-west menu and its friendly community atmosphere have made us a local favorite for residents of both Richardson and Houston, and soon the citizens of McKinney will have a chance to experience our refreshing take on boba, tea, and coffee firsthand.

The move from beloved mom-and-pop cafe to the full-on franchise was a labor of love for our co-founder My Lynn Nguyen, whose expertise in both boba and coffee helped build Magic Cup into a top contender in a highly competitive industry. Beyond 5 years of work, it took 14 months to put together our franchise program. My Lynn notes: “The new Magic Cup franchise opening has been, and will continue to be, a massive collaborative effort, involving lots of careful preparation and consultation with experienced franchise programmers as well as an enthusiastic commitment from Tam T Trinh and Chi Tran, Magic Cup’s newly-obtained franchisees.”

Experienced investors with degrees in finance and biology respectively, Chi and Tam already had an impressive portfolio in the beauty industry (and two luxury spa locations to their credit) before they decided to investigate their next business venture. Self-confessed boba, tea, and coffee addicts, Chi and Tam were always drawn to the beverage industry but knew they’d need a franchisor with both the patience and the resources to steer them toward success.

#bubbletea #franchises #Texas #Dallas #dallastexas #houstontexas #franchisedevelopment #franchise #franchising #frachisee #restaurantnetwork #Houston #sanantonio #entrepreneurlife #profit #coffee #smallbusinessowners #restaurantmastermind #smoothies #juice #investors #sales #innovation #restauantmanagement, #profitfirst #therestaurantprofits, #howtofranchise, #franchisemybusiness #career, #motivation #money #IFA #IFPG #franchiseinfo #FranchiseOwner #franchisegrowthsolutionss, #innovation #Subway, #Houston #investment #AHOA #Vietnam #salon #Nails, #jobs #business #franchisemybusiness #boba
Magic Cup Franchisees

Once they met with My Lynn and our Magic Cup franchise consultants, Chi and Tam knew their search for the perfect franchisor was over. “We instantly felt the strong passion they have for the brand,” Tam says, adding that Magic Cup’s vision, core values, and comprehensive training program were precisely the right fit for her and Chi.

When Chi, Tam, and their new Magic Cup family were scouting for locations, they saw massive potential in McKinney, which has seen a remarkable development in recent years. The team is currently working with real estate developers in the area to finalize the location as soon as possible.

When doors open at Chi and Tam’s Magic Cup Cafe location, they hope visitors will experience the same welcoming feeling and thirst-quenching satisfaction they’ve come to expect from our Magic Cup brand. Whatever the future brings, Chi and Tam know that My Lynn will offer them ongoing support every step of the way.
=============================================================

Franchise Money Maker
Franchise Growth Solutions is the Exclusive developer of Magic Cup Cafe franchises. For information on becoming a franchise partner please contact: [email protected]

What You Need To Know About Your Business and the Impact of COVID19

Posted on by Franchise Strategist

Legal Issues and COVID29 – Excerpt – Other potential avenues also turn on the exact language of the lease. If the tenant’s obligation to pay rent is conditioned on the landlord’s ability to deliver to the tenant continued access to the premises, it would reasonable to conclude that rent can be excused while the premises cannot be accessed.

==============================
Today’s post is written by New York attorneys Michael Einbinder and Richard Bayer of the law firm Einbinder & Dunn. They have years of experience handling a variety of legal work for businesses large and small. The post today reflects their thoughts and advice regarding how small businesses can deal with the current COVID 19 issue.

Whether you’re running the small independent business or are an independent contractor or if you are a franchisor or a franchisee, you will find the information contained in this post helpful. Of course, if you need greater detail or have questions, the contact information for Einbinder & Dunn is located at the bottom of the post.

We wish everyone to stay safe and look to the future as we move past this trying and critical time in our history.
===============================

A Message About COVID-19
By Michael Einbinder and Richard Bayer-
Photo by Clay Banks on Unsplash

Recently, we have received numerous inquiries from clients, including those in the retail and hospitality industries, concerned about the impact that Covid-19 will have on their businesses. Although the landscape appears to be ever-changing, we wanted to send this email to offer you general guidance and practical considerations as well as to highlight important legislature to keep in mind. As a firm, we are deeply committed to assisting our clients through these trying times and we will hold that commitment steadfast while new developments unfurl.

More and more states, counties and other municipalities are issuing “shelter-at-home,” work from home mandates and other restrictions on gathering in groups larger than 10, 20 or 50. The impact of such mandates has been felt across the board and has been especially painful for restaurants, bars, nightclubs, gyms, movie theaters, retail businesses, barber shops, health and beauty salons and countless other consumer facing businesses.

Real Estate Lease and Other Contracts

It is not surprising that in this current climate, many businesses are seeking help to understand their lease obligations. Can they close their store, restaurant, or business? Can they stop paying rent? The short answer is likely yes, but not in every instance. Your lease may contain clauses that may allow you to close your business and/or stop paying rent. Additionally, applicable case law may also support your ability to close your business and/or stop paying rent.

You are likely seeing the terms force majeure and “Acts of God” appear frequently in articles, newsletters and other publications as more and more businesses are looking for ways to freeze performance under a contract or perhaps, terminate the contract altogether. A force majeure clause, which typically includes a reference to “Acts of God,” is one that permits a party to a contract to be relieved from performing under that contract during a time when, due to some event outside of its reasonable control, the party’s ability to perform is impeded, hindered or prevented. Generally speaking, there is a high bar for the invocation of a force majeure clause and whether or not it will apply will depend on the exact language of the contract and the law of the jurisdiction set forth in the contract. In the context of a commercial lease, if the lease contains a force majeure clause that specifically relieves performance in the event of a pandemic or similar event, a tenant may be permitted to close and stop paying rent. However, force majeure clauses can often be a frustrating dead end because: (i) courts apply it very strictly; (ii) leases frequently apply it to limited circumstances such as delays in construction and few if any reference pandemics; and (iii) many leases specifically do not permit force majeure to forgive payment of rent.

However, in some jurisdictions case law may provide a stronger argument (than a contract) for relief from a contract, including possibly permitting a tenant to close its business and/or stop paying rent. Two such doctrines found in case law are the: (i) discharge by supervening impracticability; and (ii) prevention by governmental regulation or order. As to the former, a supervening event (such as a pandemic) may allow a tenant to close and/or stop paying rent if an event occurs, the non-occurrence of which was a basic assumption upon which both parties made the contract. The event must have been unforeseeable. The standard is high. It is not enough that the business has been made difficult or unprofitable, it must have been rendered impracticable, which means incapable of being performed. In the context of a lease, if customers are legally restricted from visiting a business location due to unforeseen circumstances (a pandemic lockdown), a court may find that to be sufficient under the supervening impracticability doctrine to permit the tenant to close and/or stop paying rent.

Prevention by governmental order is self-explanatory and much easier to prove. As in the case of the recent order by the Governor of New York, if a business is simply prohibited from operating due to unforeseeable circumstances, which prevents it from operating according to the terms of a contract (in a lease situation, the business is prohibited from operating in the premises), then the party may be excused from performance (in the case of a tenant, remain open or pay rent). The businesses that were targeted in the original Governor’s Orders in New York, such as gyms and movie theaters, certainly can argue they fall into this category. There is a gray area if businesses, such as restaurants, are able to partially operate through takeout and delivery. Whether their level of operation is enough to make their businesses legally “operable” will probably have to be tested in court.

Other potential avenues also turn on the exact language of the lease. If the tenant’s obligation to pay rent is conditioned on the landlord’s ability to deliver to the tenant continued access to the premises, it would reasonable to conclude that rent can be excused while the premises cannot be accessed.

Assuming for a moment that applicable law does not permit the tenant to close its business and/or stop paying rent, many businesses will make the practical decision to do just that. What repercussions may follow from that will likely be specified in the lease and subject to state/county/local municipality mandates. Many jurisdictions have already announced moratoriums on commercial evictions.

Many of the legal principles that offer an avenue for tenants to close and/or stop paying rent under a lease may also be applied to other contracts, including force majeure, doctrine of supervening impracticability, prevention by government regulation as well as others including frustration of purpose). Again, whether performance can ultimately be excused will depend on the exact language of the agreement and the applicable jurisdictional law.

We are urging clients to review their leases and contracts for the types of clauses that we highlighted above. We can help if you like with the review and the development of a plan of action for the future. With a proactive approach and open dialogue with the other party (whether your landlord, supplier or other contracting party), you may be able to develop a plan of action that gives you relief now and provides for the continuation of your business after things normalize.
=======================================

Franchise Money Maker
Franchise your company, expand your brand, collect your royalties!

=======================================

Banking and Customer Assistance

Businesses with insufficient cash reserves or access to capital will likely struggle during this time and for many, unfortunately, this outbreak will result in their permanent closure. For companies suffering from or expecting to suffer from a cash shortage, obtaining a credit line or increasing one is critical. We strongly recommend that such businesses immediately contact their existing banking partners to see what opportunities for financing are available. If your current banking partners are unable to assist, please let us know. We have cultivated strong relationships with contacts in the banking and financing industries and may be able to make an introduction.

The U.S. Small Business Administration has implemented a disaster loan assistance program under which, small businesses that have suffered economic injury as a result of Covid-19 may qualify for low-interest federal loans. Loans of up to $2,000,000 may be offered for use to pay debts, payroll, or other bills that cannot be paid due to the impact of Covid-19. Here is a link to the SBA’s website: https://disasterloan.sba.gov/ela/ Other relief may become available and businesses should continue to search for grants and programs that may provide additional funding.

In addition to increasing your access to capital, you should be acutely aware of voluntary assistance initiatives being offered by your existing business partners. Numerous credit card companies are encouraging customers who are experiencing financial hardship due to Covid-19 to reach out and discuss available options, which may include fee waivers, temporary interest rate reductions, waived penalties for missed payments Con Edison, a provider of electricity and gas in New York, is offering to extend payment deadlines to customers without penalty, provided that customers apply for that assistance. Throughout the country, other business partners will be offering similar assistance initiatives.

Insurance

We are advising all clients to review their insurance policies carefully and especially, their business interruption coverage. Business interruption insurance is generally intended to cover losses from a direct interruption to a business. It typically covers lost revenue, and fixed expenses, such as rent and utilities. Some companies may have additional coverage in the form of a contingent business interruption policy which is intended to cover losses resulting from indirect disruptions, such as supply chain issues. Because many insurers excluded viral or bacterial outbreaks from standard business interruption policies as a result of the SARS outbreak, whether your policies will cover losses resulting from Covid-19 business interruption will turn on the exact language of the coverage.

================================================================

MATTO FRANCHISE
A Revolution is Brewing
LEARN MORE HERE:
 https://www.mattofranchise.com/

=================================================================

Employment

These are extremely difficult times and businesses are forced to consider making equally difficult decisions regarding their employees. The White House has requested that states delay reporting lay off figures out of a fear that the skyrocketing numbers will set off another wave of panic in the stock market. Without a doubt, the number of layoffs will be staggering. Union Square Hospitality Group has already announced layoffs of 80% of its work force. Hotel and hospitality heavyweights such as Hilton, Marriott and MGM have furloughed tens of thousands of employees.

While not garnering the same media attention, small businesses will have to make the same decision. Principals will need to determine whether the business continue to pay staff their full wage during this outbreak or will it be forced to lay off employees, or short of that, furlough salaries until things recover.

Federal and state governments are keenly aware of this issue and are seeking to implement relief packages. Phase I included the Families First Coronavirus Emergency Response Act, which was signed into law on March 18th. The Act extends sick leave to workers diagnosed with or in quarantine due to Covid-19. A tax credit is made available to employers in an amount equal to 100% of the qualified sick leave wages paid by the employer. New York State has announced that employers are required to provide job protection and paid sick leave for individuals who have been quarantined as a result of Covid-19. New York City has enacted an Employee Retention Grant Program that offers assistance to New York City businesses with one to four employees that demonstrate at least a 25% decrease in revenue as a result of Covid-19. Other states and local municipalities may have similarly enacted assistance packages.

Further financial relief will required. As of today, potential recovery plans would give $1,200 to many Americans. Ongoing assistance will undoubtedly be necessary. New York has waived its seven-day waiting period to register for unemployment insurance and reports indicate that over 21,000 calls were made in a single day compared to approximately 2,000 the week before.

Government Support

In addition to the initiatives indicated above, the Federal government has extended the tax filing deadline until July 15, 2020. Tax payers will now have until July 15, 2020 to file and make tax payments that would have otherwise been due on April 15, 2020. If you are expecting a refund, you may want to file your Federal tax return as soon as possible. It is unclear when refunds will be issued, but those funds, if issued, would be helpful during this outbreak. New York State, at the moment, is silent on this issue, but we expect further guidance. We recommend that you keep abreast of state updates.
=====================================
About Einbinder & Dunn
Our story begins in 1990, when Michael Einbinder and Terrence Dunn became partners. We shared a vision to offer clients real value—by providing personalized, yet cost-effective legal services. We also employ a team of professional, highly dedicated associate attorneys and two paralegals, in addition to other support staff, all of whom share the partner’s vision of a sophisticated yet personalized practice. Based in Midtown Manhattan, with offices in White Plains and Millburn, New Jersey, Einbinder & Dunn serves mid-size and larger companies as well as small businesses and entrepreneurs.

====================================

DISCLAIMER
This post is not intended to constitute legal advice, which would require a full review of your agreements and further clarity on the government response, which is in constant flux. All information, content and links in this email are provided for general information purposes only. Information below may not constitute the most up-to-date legal or other information, as the same is continuously changing. This email contains links to other third-party websites. Such links are only for the convenience of the reader. We do not recommend or endorse the contents of the third-party sites. Readers should contact an attorney to obtain advice with respect to any particular legal matter. No reader should act or refrain from acting on the basis of this email without first seeking legal advice from counsel in the relevant jurisdiction. Only an attorney can provide assurances that the information contained herein, and your interpretation of it, is applicable or appropriate to your particular situation.

What Does It Take to Launch a Successful Restaurant?

Posted on by Franchise Strategist

It could be a Wine Bar with small plates, or a BBQ theme or a Create Your Plate concept. Whatever you decide, it is critical that the environment and “vibe” within the restaurant places the guest firmly inside the experience you’re attempting to create. Don’t confuse the guest with a concept that’s disconnected. As I often remind my clients, “everything touches everything else.”

Franchise Money Maker
CLICK HERE NOW: Franchise your company, expand your brand, collect your royalties!

BY GARY OCCHIOGROSSO – FOUNDER OF FRANCHISE GROWTH SOLUTIONS.

Tripwires to avoid – Desire and passion will only get you so far. Create your business plan as a road map.

For many people, opening a restaurant is a dream. One of the many things I find so interesting about the restaurant business is the blend of creative artistry and the detailed and challenging business aspects necessary to be successful. As an Adjunct Instructor at NYU’s School of Professional Studies, I teach restaurant concept development and business planning. On several occasions, I have been asked by my students to summarize the top issues that one must consider when planning to open a restaurant. Generally, regardless of the type of restaurant, the planning and considerations are the same. I’ll cover a few of the top line elements here.

At the beginning of the process, you should write a simple business plan. It would help if you thought about the many pieces of the puzzle connected to a successful outcome. Many novice restaurateurs, very often chefs, only consider the food component, but there is so much more. A well thought out business plan will include creating a unique concept, a competitive analysis, site selection, financial projections, equipment needs, staffing, and of course, the menu.

‍

Let’s start with a concept

It’s essential that your restaurant offers a unique experience. It could be a Wine Bar with small plates, or a BBQ theme or a Create Your Plate concept. Whatever you decide, it is critical that the environment and “vibe” within the restaurant places the guest firmly inside the experience you’re attempting to create. Don’t confuse the guest with a concept that’s disconnected. As I often remind my clients, “everything touches everything else.” For instance, you wouldn’t use elegant tableware in a fried chicken restaurant or disposable plates in an upscale steakhouse. As obvious as this may seem on the broader elements, it’s essential to take that idea to every detail of the restaurant concept, no matter how small. Everything from the paint color to the music to the tabletops to the wall hanging must work together. The decor elements, the menu, and the service level need to provide the guests with a seamless experience that, when done well, goes almost unnoticed because it’s natural and authentic.

‍

If You Build It, Will They Come?

Building a clientele is never as easy as hanging a sign over the door. It takes smart planning, execution of marketing, and living up to the promise in your mission and brand position statement. You should never assume, “if you build it, they will come.” Questions to ask yourself are; how will my restaurant connect with people? Why does my restaurant exist? What type of people am I looking to attract? What do they read or watch? How do they spend their spare time? What is the best way to reach them? Your concept should appeal to a particular, selected audience. There is no such thing as “everyone is my customer.” Knowing why and for whom your restaurant exists is crucial to success. Your marketing plan should offer compelling reasons why that guest base should frequent your establishment regularly. Is the concept created for health-conscious people? Is it aimed at Millennials or Baby Boomers? It is a full menu or dessert brand or a convenient, fast food, value-based concept. Your social media, print ads, and community outreach should focus on one single audience with one single message. Once you’ve built a loyal base of customers and repeat business, then you should consider expanding your base by marketing to others in the area with a proposition that appeals to them.

‍

Your People Plan is Key

A great team will help you win everyday. Hiring great people is the first step in delivering service excellence and a consistent product to your guests. Your mission statement “the why” along with a corporate culture that emphasizes respect for employees, commitment to your guests, service to the community, and concern for the environment will guide you when selecting your staff. It’s not enough to hire people with restaurant experience; they should also understand and be excited about the mission of the restaurant. If not, they will go through the motions with an inauthentic approach and often fail at exceeding guest expectations. Examine your corporate core values and hire people that match it. Next, supply your staff with comprehensive, ongoing training and the proper tools so can they carry out the day to day tasks flawlessly. Hire for qualities, train for skills.

‍

The Market and Competition

Understanding the market area where you’d like to open your restaurant is a crucial element to the plan. Carefully research the demographics to ensure there are enough people in the area that match whom you believe will embrace your concept. When looking for your location, work with an experienced commercial broker that can supply you with data to help you choose the area and the site correctly.

A full competitive analysis is also essential. For example, check the pricing of your competition. Be sure you’re not over or underpriced for the market. Check other services they offer, such as delivery and online ordering. Spend time in the market area, dine several times at as many competitors as possible, and position your restaurant to address the missing needs in the market. Having a unique value and selling proposition will keep you ahead of the game. Remember, everyone is vying for the same consumer dollars, so you need to create points of differentiation that will help your establishment stand out from the competition.

‍

Consistently Great Food

Your menu must not only be relevant to the concept and the market but should be prepared and served perfectly every time. Restaurant guests expect dishes they grown to love to have the same flavor and high quality each time they visit. Inconsistent products can lead to disappointed guests, bad reviews, and slumping business. Your menu should be not only delicious but also simple to execute. The more straightforward the menu, the less chance of mistakes in preparation. Consistency increases guest satisfaction. Some chefs and “foodies” create menu items that are too complicated and require a highly skilled professional in the kitchen. This approach is fine if you intend to open a high-end restaurant staffed with high price personnel, but not in a fast-casual or family restaurant setting. A winning menu is simple, fresh, relevant, and great tasting. A competent chef can assist in developing dishes that are unique and great tasting that are also simple to produce with less skilled labor. If you have aspirations of owning more than one location, then simple execution, and consistent products are a must to achieve the goal of operating multiple restaurants.

Cash Is King

There are many reasons why restaurants fold. It could be the wrong concept, poor choice of location, not correctly researching the competition, poor service, an uninspiring menu, or bad food, to name a few. That said, the negative impact of undercapitalization may be the most frequent cause of restaurant failures. Knowing how much money you need to launch the restaurant is only the tip of the iceberg. You must assess ongoing cash needs while the restaurant is newly opened and gaining momentum. It may take many months for a restaurant to break even and then eventually become profitable. Being able to support the financial needs during this phase is often the “make or break” challenge that many new restaurateurs cannot overcome. A well thought out projection model that you create with the help of a professional financial advisor can save you from the frustration, negative financial impact and heartbreak of a failed restaurant. Considering capital needs for the first twelve to fifteen months is not only prudent but essential to the success of any new restaurant. You must be prepared to cover the operational costs and expenses as the restaurant “ramps up.” Carefully consider your cash needs and how much working capital you must have on hand, ready to deploy.

‍

Have A Plan And Follow Your Dream

Owning a restaurant can be personally rewarding and profitable. Many people have built great restaurant companies following these simple guidelines. Desire and passion will only get you so far. Create your business plan as a road map. Your plan will help you stay on track when dealing with the many moving parts of launching and successfully operating a new restaurant.

For information on hiring the right restaurant consultant to help you get started visit: www.franchisegrowthsolutions.com