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Below is an in-depth analysis and side-by-side comparison of Manchu Wok vs Chester's including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
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Investment | $476,050 - $787,500 | $12,385 - $277,313 |
Franchise Fee | $30,000 | $3,500 |
Royalty Fee | 7% | - |
Advertising Fee | 1% | - |
Year Founded | 1981 | 1952 |
Year Franchised | 1989 | 2004 |
Term Of Agreement | 5 years | 10 years |
Term Of Agreement | 5 years | 10 years |
Renewal Fee | $3K per year | - |
Business Experience Requirements |
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Experience | ||
Financing Options |
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In-House/3rd Party | In-House/3rd Party | |
Franchise Fees | No/No | No/Yes |
Start-up Costs | No/No | No/Yes |
Equipment | No/No | No/Yes |
Inventory | No/No | No/No |
Receivables | No/No | No/No |
Payroll | No/No | No/No |
Training & Support |
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Training | - | On-The-Job Training: 30 hours Classroom Training: 3 hours Ongoing training as required |
Support | Newsletter, Meetings, Toll-free phone line, Grand opening, Security/safety procedures, Field operations/evaluations, Purchasing cooperatives | Newsletter Meetings/Conventions Toll-Free Line Grand Opening Online Support Security/Safety Procedures Field Operations Franchisee Intranet Platform |
Marketing | Co-op advertising, Ad slicks, National media, Regional advertising | Ad Templates Social media |
Operations |
20% of all franchisees own more than one unit Number of employees needed to run franchised unit: 12 Absentee ownership of franchise is allowed. (90% of current franchisees are owner/operators) |
International franchisees required to buy multiple units/master licenses Number of employees needed to run franchised unit: 8
Absentee ownership of franchise is allowed. (50% of current franchisees are owner/operators)
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Expansion Plans |
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US Expansion | - | Yes |
Canada Expansion | No | No |
International Expansion | Yes | Yes |
Conceived and founded in 1980, Manchu Wok grew into a national chain across Canada and into the United States over the next nine years. Ownership changed in 1989, and expansion continued with a focus on the United States. Manchu Wok now has close to 150 stores, of which more than 70 percent are franchised.