Most famous brands in the food industry are not always a good option for aspiring business owners, even for those who are already established in the sector.
That’s because these companies implement costly requirements and franchise fees before allowing anyone to join them. McDonald’s, for instance, require a startup cost between $1 million and $2 million with a franchise fee of $45,000.
Some low-cost alternatives include a franchise for sandwich shops, which only require a small investment and a low franchise fee. Before choosing your preferred kind of franchise, don’t forget to conduct due diligence on the company. It’s also important to find out the growth trajectory of the brand. If it’s too good to be true, then it probably is.
A turnkey franchise package would also be a better option since you no longer have to worry about most details, such as finding a location and buying equipment. Take note that franchisors’ turnkey deals are different. One may only offer to help you with finding a location and buy equipment, while another may just assist in hiring staff.
If your ultimate goal involves a franchise under a well-known brand, then it helps to know which brands are among the best. McDonald’s ranks as the best burger franchise for this year, while Smoothie King landed on the same spot for the beverage group. When it comes to retail food, Edible Arrangements topped the list of the best franchises. Papa John’s International and Taco Bell placed first on the pizza and Mexican food categories, respectively.
A franchise food shop is often the first thing to cross people’s minds when planning to open a business, yet it can be risky without the right strategies and funding. First-time franchisees, in particular, should consider buying a franchise from a lesser-known yet promising brand.