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Below is an in-depth analysis and side-by-side comparison of D'Angelo Grilled Sandwiches vs Tim Hortons including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
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Investment | $391,000 - $556,000 | $135,300 - $2,068,500 |
Franchise Fee | $20,000 | $35,000 |
Royalty Fee | 6% | 4.5% |
Advertising Fee | - | 4% of Gross Sales |
Year Founded | 1967 | 1964 |
Year Franchised | 1988 | 1965 |
Term Of Agreement | 20 years | 10 years |
Term Of Agreement | 20 years | 10 years |
Renewal Fee | $10K | - |
Business Experience Requirements |
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Experience | *An entrepreneurial drive and ability to build a high performing team. *Prior management experience. Experience in food service and/or restaurant operations is a plus. *A lifestyle that allows for the time commitment required to launch and build a franchise restaurant. *Net worth of $500,000 and liquidity in the amount of $300,000 (The full investment from a Tim Hortons could be over $1,600,000) *A personal passion and commitment to the development of the Tim Hortons brand. *Ability to exemplify and execute the Tim Hortons principles and standards of operation on a daily basis. *Understand the importance of being a community partner that is proud to represent Tim Hortons. |
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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/Yes | No/No |
Equipment | No/Yes | No/No |
Inventory | No/Yes | No/No |
Receivables | No/No | No/No |
Payroll | No/No | No/No |
Training & Support |
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Training | - | New franchisees undergo an intensive seven week training program at the Tim Hortons University, located next to the Oakville, Ontario, head office. The facility includes classrooms and a fully operational Restaurant, providing trainees with intensive hands-on experience in the preparation of all Tim Hortons products. Strong emphasis is placed on food handling and hygiene procedures, Team Member relations, equipment maintenance and in-Restaurant security systems. * Seven (7) week training program in the Oakville, Ontario, at Tim Hortons University * A Restaurant opening crew/Manager of Operations Standards (MOS) to assist the opening of the Tim Hortons Restaurant (for a maximum period of two weeks) |
Support | Newsletter, Meetings, Toll-free phone line, Grand opening, Internet, Security/safety procedures, Field operations/evaluations, Purchasing cooperatives | * The use of all Tim Hortons Manuals * Support from head office personnel who have vast knowledge in the food service business |
Marketing | Co-op advertising, Ad slicks, Regional advertising | Ad slicks, Regional advertising |
Operations |
Franchisees required to buy multiple units/master licenses; 77% of all franchisees own more than one unit Number of employees needed to run franchised unit: 12 Absentee ownership of franchise is allowed. (77% of current franchisees are owner/operators) |
58% of all franchisees own more than one unit Number of employees needed to run franchised unit: 25 - 30
Absentee ownership of franchise is NOT allowed. (100% of current franchisees are owner/operators) |
Expansion Plans |
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US Expansion | Yes | Yes |
Canada Expansion | No | No |
International Expansion | Yes | Yes |
On March 1, 1967, "Ma Riva's Sub Shop" in Dedham, Massachusetts opened its doors. The philosophy was simple: put the best quality meats, cheese, and ingredients in the freshest breads, and serve it in a quick, friendly way. Later the name was changed to Angelo and then added the letter D for delicious. And D'Angelo would serve as a pioneer in lunch offerings, making it possible for guests on the go to enjoy delicious, healthy options like fresh salads and Syrian pockets, made to order. In August of 1997, Papa Gino's Holdings Corporation, the parent company of Papa Gino's, acquired D'Angelo, creating an unparalleled combination in the quick service restaurant industry. Today, the D'Angelo menu includes over 44 sandwiches as well as a variety of soups and fresh-made salads. Together, D'Angelo and Papa Gino's share a commitment to provide high-quality products, attentive service, clean, convenient, attractive restaurants, and a premium value experience for every guest. With more than 200 D'Angelo Grilled Sandwiches restaurants and nearly 170 Papa Gino's restaurants, they serve more than 50 million guests every year, enjoying tremendous loyalty from both employees and guests.