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Below is an in-depth analysis and side-by-side comparison of Groucho's Deli vs Melt Shop including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
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Investment | $82,548 - $380,768 | $368,240 - $698,800 |
Franchise Fee | $18,000 - $28,000 | $35,000 |
Royalty Fee | 5% | 6% |
Advertising Fee | - | 2% |
Year Founded | 1941 | 2010 |
Year Franchised | 2001 | 2017 |
Term Of Agreement | 10 years | 5 Years +5+5+5 |
Term Of Agreement | 10 years | 5 Years +5+5+5 |
Renewal Fee | - | - |
Business Experience Requirements |
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Experience | Melt Shop is seeking well capitalized partners who are entrepreneurial and have a strong knowledge of their market. The ideal franchisee is a proven multi-unit operator in the restaurant industry. At this time we are not offering sub-franchises. | |
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 | - | On-The-Job Training: 224 hours Classroom Training: 24 hours |
Support | Newsletter, Meetings, Toll-free phone line, Grand opening, Internet, Security/safety procedures, Field operations/evaluations, Purchasing cooperatives | Newsletter Meetings/Conventions Toll-Free Line Grand Opening Online Support Field Operations Site Selection Proprietary Software Franchisee Intranet Platform |
Marketing | Co-op advertising, Regional advertising | Co-op Advertising Ad Templates Regional Advertising Social media Website development Email marketing Loyalty program/app |
Operations |
20% of all franchisees own more than one unit Number of employees needed to run franchised unit: 13 Absentee ownership of franchise is allowed. (100% of current franchisees are owner/operators) | Number of Employees Required to Run: 15 |
Expansion Plans |
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US Expansion | Yes | Yes |
Canada Expansion | No | - |
International Expansion | No | Yes |
Harold "Groucho" Miller came to Columbia, S.C. in 1941 with a handful of original recipes for potato salad, coleslaw, and various salad and sandwich dressings, most of which were thought up during his childhood in a Philadelphia orphanage. These humble beginnings along with the idea that, "quality is the most important ingredient in a sandwich," have led Groucho's to legendary restaurant status for 80 years.