Which are the cheapest food franchises to open? Don’t stress out, here is a list of the most profitable top five.
Whichever area of food business you’re interested in, there are appropriate franchise opportunities available.
By reading further, you’d find exciting food franchises that have been in business for long. All of these have turned out to be hugely successful.
Besides, these franchises have a presence in several countries of the world.
Consequently, this creates a huge opportunity to invest in a franchise brand with guaranteed returns on investment.
Let’s jump right into business, shall we?
Jack in the Box
Jack in the Box came into the scene in 1951. However, it wasn’t until 1982 that it went into franchising.
Headquartered in San Diego, California, this food franchise specializes in delicious products that include tacos, chicken sandwiches, breakfast, sides, shakes, and salads among several others.
Due to its success story, it has built loyal partnerships in its several decades of existence.
So, what do you need to qualify as a Jack in the Box franchise? There are simple steps you must follow including meeting its financial demands.
These include a franchise fee of $50,000, liquid cash that varies from $250,000 to $750,000, an initial investment sum within the $1,481,500 to $3,336,600 range and a net worth of nothing less than $1,500,000.
Ongoing and Ad Royalties are charged at 5% each.
There are financing options provided through a third-party arrangement. This covers inventory, franchise fee, equipment and start-up costs.
Also, one of the biggest names in food franchising is Jimmy John’s and headquartered in Champaign, Illinois. It all began in 1983 when it first opened its doors for business.
However, its franchising arm came much later, 10 years after it was founded. Today, this franchise has become a success story. Its doors are still open to franchisees to become a part of something big.
To become a Jimmy John’s franchisee, there’s an estimated initial investment requirement. This represents a low of $313,600 and a high of $556,100. Although real estate purchase cost isn’t included. You’ll need to pay for other fees as well.
A few of these include royalty fees, area manager training, transfer, cooperative advertising programs, and testing fees among several more.
The KFC food franchise is headquartered in Louisville, Kentucky and is one of the biggest fast-food chains in the world. It has a presence in several countries of the world with as much as 21,000 units and growing.
KFC was founded in 1939 but began franchising in 1952.
Since then, it has seen a huge expansion across the world. The abbreviation KFC stands for Kentucky Fried Chicken.
Due to its success, it has attracted positive reception with its franchisees spread within and beyond the shores of the United States.
Owning a part of this brand requires fulfilling its financial demands.
That being so, its estimated initial investment stands at a low of $1,442,550 and a high of $2,771,550. This covers the deposit, option, application and background check, building and site cost, start-up inventory and real property fees among several others.
Applying for this food franchise opportunity requires visiting its site. The contact details are also supplied there. A KFC representative handles as well as guides you through the application process.
All its terms and conditions are available in its Franchise Disclosure Document. You are given this after you must have met its conditions and successfully screened.
KFC is one of the best food franchises to open.
With a presence in over 32 countries and counting, Dunkin’ Donuts is a food franchise success story that offers tremendous opportunities.
Its products include specially prepared breakfast sandwiches, bagels, cold and hot coffee, with over 70 donut variants.
Dunkin’ Donuts began franchising 5 years after it was founded in 1950. Its corporate headquarters is located in Canton, Massachusetts.
Like every franchise opportunity, there are conditions to be met.
As a prospective franchisee, you are required to have a net worth of not less than $500,000, liquid cash of $250,000, an initial investment within the $228,621 to $1,717,103 range as well as an initial franchise fee from $40,000 to $90,000.
There are ongoing fees you’d need to pay. These include the Royalties and Ad Royalty fees of 5.9 and 5% respectively.
Dunkin’ Donuts provides financing options as well as Veteran incentives. The latter rewards veterans for their service to the nation and includes a 20% discount off of the franchise fees for your first 5 traditional Dunkin’ restaurants.
It has a third party agreement that allows for financing covering different aspects of its business. These include equipment purchase, start-up costs, inventory, franchise fee, payroll and accounts receivable.
What more? As its franchisee, you get to benefit from support covering a grand opening ceremony, online support, field operations, a toll-free line, newsletter, its proprietary software, and co-operative advertising.
Others are website development, social media marketing, ad templates, as well as training.
This is one of the easiest food franchises to open that specializes in subs and salads among several other items on its menu.
Founded in 1965, Subway started franchising 9 years later in 1974. It has grown from humble beginnings in Milford, CT where its corporate headquarters is to become a global food brand.
This is evident in its presence in over 90 countries.
Therefore, whether you reside in the United States or not, chances are that you can invest in a Subway franchise in your home country.
Its financial requirements include an initial investment sum with a low of $150,050 and a high of $328,700. You need to have a net worth of not less than $80,000 to $310,000 depending on your preferred scale of operation.
Others include an initial franchise fee starting at $15,000, an ongoing royalty fee of 8% and an Ad Royalty fee of 4.5%.
Financing options include in-house financing covering equipment and franchise fee.
An additional financing option is its agreement with third-party sources. These provide financing covering equipment, start-up costs, inventory and franchise fee.
These are just a few food franchising opportunities you can make use of. As we’ve seen, they present tremendous opportunities for persons willing to own a part of an already successful brand.
To commence your application process, you only need to visit the links as provided above to find out more.