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Below is an in-depth analysis and side-by-side comparison of Fuddruckers vs Great Steak including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
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Investment | $495,000 - $1,565,000 | $155,900 - $520,300 |
Franchise Fee | $35,000 | $30,000 |
Royalty Fee | 5% | 6% |
Advertising Fee | .25% | - |
Year Founded | 1980 | 1983 |
Year Franchised | 1983 | 1986 |
Term Of Agreement | 20 years | 10 years |
Term Of Agreement | 20 years | 10 years |
Renewal Fee | $25K | $5K |
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/No |
Start-up Costs | No/No | No/No |
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 | 6-week training program | K-Tec is a 5-day training all Kahala franchisees receive and is the companion to brand specific in-store training. It introduces participants to the Kahala culture, level of support provided, and the roles and responsibilities for supporting franchisee and franchisor success. It provides exposure to basic business concepts such as customer service, profitability, quality assurance, inventory, purchasing and distribution, and more. |
Support | Newsletter, Meetings, Grand opening, Internet, Field operations/evaluations | Newsletter, Meetings, Grand opening, Internet, Security/safety procedures, Field operations/evaluations, Purchasing cooperatives |
Marketing | Regional advertising | Ad slicks, National media, Regional advertising |
Operations |
53% of all franchisees own more than one unit Number of employees needed to run franchised unit: 40 Absentee ownership of franchise is NOT allowed. (99% of current franchisees are owner/operators) |
International franchisees required to buy multiple units/master licenses; 35% of all franchisees own more than one unit Number of employees needed to run franchised unit: 10 Absentee ownership of franchise is allowed. (70% of current franchisees are owner/operators) |
Expansion Plans |
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US Expansion | - | - |
Canada Expansion | No | No |
International Expansion | Yes | Yes |
The first Fuddruckers opened in San Antonio, Texas in 1980 with a classic American nostalgia theme. Fuddruckers operates and franchises more than 200 restaurants in the United States, Puerto Rico, Canada and the Middle East. The emphasis today is the same as it was in 1980 - we use only the freshest ingredients. Our restaurants serve only the freshest beef and feature on-premise bakeries where bread and dessert items are baked fresh daily. It's truly a "build-your-own meal" experience.