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Updated RecentlyFriendly's Restaurants vs Zaxby's Franchise Comparison
Below is an in-depth analysis and side-by-side comparison of Friendly's Restaurants vs Zaxby'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 | $498,500 - $1,950,000 | $343,200 - $695,200 |
| Franchise Fee | $30,000 - $35,000 | $35,000 |
| Royalty Fee | 4% | 6% |
| Advertising Fee | 3.5% | 2.87%-5% |
| Year Founded | 1935 | 1990 |
| Year Franchised | 1996 | 1994 |
| Term Of Agreement | 20 years | - |
| Term Of Agreement | 20 years | - |
| Renewal Fee | $5K | - |
Business Experience Requirements |
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| Experience | Prospective Franchisees must meet the following criteria to be considered: Collective net worth of at least $1,000,000, with liquid assets greater than $500,000 (liquidity being defined as cash or any asset that could be converted to cash within ten business days). Ability to satisfactorily pass background checks for the following: reasonable credit worthiness, no criminal convictions, no history of extensive litigation, and satisfactory motor vehicle report. Willingness of all investors to personally guarantee any obligations that are required under the license agreement. Willingness to make a commitment to this venture within 60 – 90 days of signing a license agreement. Belief that guest service is of critical importance in restaurant operations. | |
Financing Options |
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| In-House/3rd Party | In-House/3rd Party | |
| Franchise Fees | No/No | -/- |
| Start-up Costs | No/No | -/- |
| Equipment | No/No | -/- |
| Inventory | No/No | -/- |
| Receivables | No/No | -/- |
| Payroll | No/No | -/Yes |
Training & Support |
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| Training | - | The initial training program is eight weeks long, consisting of a one-week orientation phase at Zaxby's Franchising, Inc.'s training center, three two-week phases at a training restaurant and the final one-week phase back at ZFI's training center. Ongoing support and training updates, in addition to other business development practices - including onsite inspections - are conducted regularly throughout the franchise system. |
| Support | Newsletter, Meetings, Toll-free phone line, Grand opening, Internet, Security/safety procedures, Field operations/evaluations | - |
| Marketing | Ad slicks, National media | - |
| Operations |
Franchisees required to buy multiple units/master licenses; 62% of all franchisees own more than one unit
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 | No | - |
Company Overviews
About Friendly's Restaurants
In Springfield, Massachusetts at the height of the Great Depression in 1935, 20 year-old Prestley Blake and his 18 year-old brother Curtis opened an ice cream shop called 'Friendly' that served double-dip cones for 5 cents. The brothers opened a second shop five years later in West Springfield, Massachusetts and added food to the menu. Within a decade, locations opened throughout western Massachusetts and Connecticut. In 1988 Donald N. Smith, the company's current CEO, purchased the company and a year later added an 's' to the name, making it 'Friendly's.'
In May 2000, Friendly's introduced a new food and dessert menu featuring colossal burgers, sandwich wraps, splits, sundaes and Cyclones. Friendly's produces 10 million snack cups and 230,000 gallons of fudge every year. In addition to its restaurants and cafes, Friendly's manufactures a complete line of frozen desserts.
About Zaxby's
Zaxby's Franchising, Inc., actively seeks highly qualified individuals be become licensees. Prior business experience, financial qualifications, motivation, team spirit and a track record of personal success are all important factors in our evaluation process. Prospective licensees must meet the following criteria to be considered:
Collective net worth of at least $700,000, with liquid assets greater than $400,000 (liquidity being defined as cash or any asset that could be converted to cash within ten business days).
Ability to satisfactorily pass background checks for the following: reasonable credit worthiness, no criminal convictions, no history of extensive litigation, and satisfactory motor vehicle report.
Willingness of all investors to personally guarantee any obligations that are required under the license agreement.
Willingness to make a commitment to this venture within 60 - 90 days of signing a license agreement.
Belief that guest service is of critical importance in restaurant operations.
The Zaxby's Mission Statement - Consistently Create Encore Experiences That Enrich Lives One Person At A Time - recognizes the value of all individuals.