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Below is an in-depth analysis and side-by-side comparison of Zoup! Fresh Soup Company vs Erik's DeliCafe including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
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Investment | $355,900 - $648,500 | $303,500 - $521,600 |
Franchise Fee | $39,900 | $35,000 |
Royalty Fee | 6% | 5% |
Advertising Fee | 1% | - |
Year Founded | 1998 | 1973 |
Year Franchised | 2003 | 1986 |
Term Of Agreement | 5 years, Renewable for 3 additional 5 year periods | 10 years |
Term Of Agreement | 5 years, Renewable for 3 additional 5 year periods | 10 years |
Renewal Fee | - | - |
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/Yes | No/No |
Start-up Costs | No/Yes | No/No |
Equipment | No/Yes | No/No |
Inventory | No/Yes | No/No |
Receivables | No/Yes | No/No |
Payroll | No/Yes | No/No |
Training & Support |
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Training | On-The-Job Training: 72 hours Classroom Training: 40 hours | - |
Support | Purchasing Co-ops Newsletter Meetings/Conventions Toll-Free Line Grand Opening Online Support Security/Safety Procedures Field Operations Site Selection Proprietary Software Franchisee Intranet Platform | Newsletter, Meetings, Grand opening, Internet, Security/safety procedures, Field operations/evaluations |
Marketing | Co-op Advertising Ad Templates National Media Regional Advertising Social media SEO Website development Email marketing Loyalty program/app | Co-op advertising, Ad slicks |
Operations |
30% of all franchisees own more than one unit Number of employees needed to run franchised unit: 10 - 14 Absentee Ownership Allowed |
78% of all franchisees own more than one unit Number of employees needed to run franchised unit: 16 Absentee ownership of franchise is allowed. (100% of current franchisees are owner/operators) |
Expansion Plans |
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US Expansion | No | Yes |
Canada Expansion | Yes | No |
International Expansion | No | No |
The first Zoup! opened in 1998 in Southfield, MI, a suburb of Detroit. Over the next five years, the founders opened five more Detroit-area locations, and in 2003 they began to franchise the concept. Zoup! restaurants feature 12 rotating daily varieties of soup, including low-fat, vegetarian, gluten and dairy free options. Made-to-order salads, sandwiches and baked goods are also available.
After receiving his bachelor's degree in business and marketing, Erik Johnson tried his hand at accounting, security, food service and real estate before purchasing a 600-square-foot store in Scotts Valley, California, back in 1973. With help from his family, Johnson founded Erik's Deli Cafe, a quick-service and catering restaurant that served sandwiches, salads, soups and baked goods.
Johnson expanded his chain throughout Northern California before selling the first franchise in 1986.