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Below is an in-depth analysis and side-by-side comparison of Krystal Restaurants vs Jack in the Box including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
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Investment | $900,000 - $1,300,000 | $1,651,500 - $2,638,600 |
Franchise Fee | $32,500 | $50,000 |
Royalty Fee | 4.5% | 5% |
Advertising Fee | - | 5% |
Year Founded | 1932 | 1951 |
Year Franchised | 1990 | 1982 |
Term Of Agreement | 20 years | 20 years |
Term Of Agreement | 20 years | 20 years |
Renewal Fee | $8.1K | 1,651,500 to $2,638,600 |
Business Experience Requirements |
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Experience | *Multi-unit restaurant operations experience *Minimum liquidity of $750,000 *Minimum net worth of $1.5 million *Ability to acquire and/or develop at least 5 restaurants *Operating partner is an equity partner and resides in the desired market | |
Financing Options |
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In-House/3rd Party | In-House/3rd Party | |
Franchise Fees | No/No | -/Yes |
Start-up Costs | No/Yes | -/Yes |
Equipment | No/Yes | -/Yes |
Inventory | No/Yes | -/Yes |
Receivables | No/No | -/- |
Payroll | No/No | -/- |
Training & Support |
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Training | - | On-The-Job Training: 183 hours Classroom Training: 110 hours |
Support | Newsletter, Meetings, Toll-free phone line, Grand opening, Internet, Security/safety procedures, Field operations/evaluations, Purchasing cooperatives | Meetings/Conventions Toll-Free Line Grand Opening Online Support Security/Safety Procedures Field Operations Site Selection Proprietary Software Franchisee Intranet Platform |
Marketing | Co-op advertising, Ad slicks, Regional advertising | - |
Operations |
Franchisees required to buy multiple units/master licenses; 94% of all franchisees own more than one unit Number of employees needed to run franchised unit: 30 Absentee ownership of franchise is NOT allowed. (100% of current franchisees are owner/operators) | - |
Expansion Plans |
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US Expansion | Yes | - |
Canada Expansion | No | - |
International Expansion | No | - |
The Krystal Company is the oldest quick service restaurant chain in the South and the second oldest in the United States. The Chattanooga-based company currently has more than 450 restaurants in Alabama, Arkansas, Florida, Georgia, Kentucky, Louisiana, Mississippi, North Carolina, South Carolina, Tennessee, Texas and Virginia. Founded in 1932, Krystal restaurants have become more than sparkling-clean eateries where friendly employees serve up fresh, delicious food. Krystal has become a cultural icon and an experience that virtually every man, woman and child in the South has shared. Nearly everyone in the region has a Krystal memory. The Krystal brand, and the great food, service, value and setting which it represents, has taken a prominent place in the South's cultural landscape.