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Below is an in-depth analysis and side-by-side comparison of Burger King vs Johnny Rockets including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
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Investment | $333,100 - $3,398,600 | $581,000 - $877,000 |
Franchise Fee | $50,000 | $49,000 |
Royalty Fee | 4.5% | 5% |
Advertising Fee | 4% | - |
Year Founded | 1954 | 1986 |
Year Franchised | 1961 | 1987 |
Term Of Agreement | 20 years | 10 years w/two 5-year options |
Term Of Agreement | 20 years | 10 years w/two 5-year options |
Renewal Fee | $50K | - |
Business Experience Requirements |
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Experience | You and/or a business partner(s) must have at least two years restaurant owner/operator experience. You and/or a business partner(s) must have a net worth of $500 thousand per unit, and available liquid capital of $200 thousand per unit, or more, (net worth of $1.5 million per unit, and available liquid capital of $500 thousand per unit, or more, outside of the U.S.), in order to qualify for development of up to five units. Development of six units or more will be considered on a case by case basis, pending your net worth and available liquid capital. |
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Financing Options |
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In-House/3rd Party | In-House/3rd Party | |
Franchise Fees | No/No | No/No |
Start-up Costs | No/No | No/No |
Equipment | No/No | No/No |
Inventory | No/No | No/No |
Receivables | No/No | No/No |
Payroll | No/No | No/No |
Training & Support |
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Training | Before the opening of the Restaurant, franchisees must successfully complete the franchisor's training program. The training program is held in Miami, Florida or other locations specified by the franchisor. In-Restaurant Training will be held in various Restaurant locations that have been authorized as Training Restaurants. The franchisor may require additional training programs for individual Owner/Operators or Managing Directors to implement current operations, standards, and procedures and to facilitate the growth and changes of the franchisee. The franchisor also makes available and sometimes requires periodic workshops and seminars for managers, which include management courses and updating of operational skills. The franchisor will provide Pre-opening and Restaurant opening assistance as it deems appropriate. The franchisor also provides continuing operations training programs, which franchisees (as an Operating Partner, Managing Director, Director of Operations, or Managing Owner, as applicable) may be required to attend. For certain training courses, franchisees must pay a course or materials fee to the franchisor or third parties. The franchisor may make changes and revisions to the training program, locations or materials at any time. | - |
Support | Meetings, Toll-free phone line, Grand opening, Security/safety procedures, Field operations/evaluations | Meetings, Grand opening, Field operations/evaluations |
Marketing | Co-op advertising, National media, Regional advertising | National media, Regional advertising |
Operations | - |
Franchisees required to buy multiple units/master licenses; 95% of all franchisees own more than one unit Number of employees needed to run franchised unit: 48 - 53
Absentee ownership of franchise is NOT allowed. (98% of current franchisees are owner/operators) |
Expansion Plans |
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US Expansion | - | - |
Canada Expansion | No | No |
International Expansion | Yes | Yes |