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Below is an in-depth analysis and side-by-side comparison of Tim Hortons vs AraVita including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
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Investment | $135,300 - $2,068,500 | $113,400 - $181,200 |
Franchise Fee | $35,000 | $19,900 |
Royalty Fee | 4.5% | 4.5% |
Advertising Fee | 4% of Gross Sales | 2% |
Year Founded | 1964 | 2013 |
Year Franchised | 1965 | 2016 |
Term Of Agreement | 10 years | - |
Term Of Agreement | 10 years | - |
Renewal Fee | - | - |
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. | - |
Financing Options |
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In-House/3rd Party | In-House/3rd Party | |
Franchise Fees | No/No | -/Yes |
Start-up Costs | No/No | -/Yes |
Equipment | No/No | -/Yes |
Inventory | No/No | -/Yes |
Receivables | No/No | -/Yes |
Payroll | No/No | -/Yes |
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) | On-The-Job Training: 43 hours Classroom Training: 37 hours |
Support | * The use of all Tim Hortons Manuals * Support from head office personnel who have vast knowledge in the food service business | Newsletter Meetings/Conventions Grand Opening Online Support Security/Safety Procedures Field Operations Site Selection |
Marketing | Ad slicks, Regional advertising | Co-op Advertising Ad Templates Regional Advertising Social media SEO Website development Email marketing |
Operations |
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 | - |
International Expansion | Yes | Yes |
Owning an ARAVITA franchise provides you an opportunity to partner with an industry leader in a highly competitive industry whose sales grow more and more annually. Do not let the competitive nature of the industry stifle you. Our concept is unlike any other. We have geared our company to provide you with knowledge, support and training that will allow you to effectively meet and surpass any consumer expectations.
Offerings
We offer two different types of franchise opportunities.