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Below is an in-depth analysis and side-by-side comparison of Buscemi's Pizza vs Russo's New York Pizzeria including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
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Investment | $36,000 - $55,000 | $400,000 - $1,500,000 |
Franchise Fee | $10,000 | $49,500 |
Royalty Fee | $700/ month | 7% |
Advertising Fee | - | 2% |
Year Founded | 1955 | 1978 |
Year Franchised | 0 | 1998 |
Term Of Agreement | - | 10 years +5 |
Term Of Agreement | - | 10 years +5 |
Renewal Fee | - | - |
Business Experience Requirements |
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Experience | - | No Restaurant experience necessary but helpful Minimum financials are $175K to $400K in investment capital and a $600K to $1.0MM net worth. |
Financing Options |
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In-House/3rd Party | In-House/3rd Party | |
Franchise Fees | -/- | -/- |
Start-up Costs | -/- | -/- |
Equipment | -/- | -/- |
Inventory | -/- | -/- |
Receivables | -/- | -/- |
Payroll | -/- | -/- |
Training & Support |
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Training | - | Corporate Store, Houston, TX . 8 Week GM & Key Supervisor Training and Certification. |
Support | - | Central Data Processing: At Additional Cost
Field Operation Evaluation: At Additional Cost Field Training: At Additional Cost Initial Store Opening Inventory Control Regional or National Meetings 800 Telephone Hotline |
Marketing | - | - |
Operations | - | Average Number of Employees: 10 Full-time, 6 Part-time Passive Ownership: Allowed, But Discouraged |
Expansion Plans |
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US Expansion | - | Yes |
Canada Expansion | - | - |
International Expansion | - | Yes |
Buscemi’s present competition comes from single unit operators of party stores. Consequently, as the only party store chain of any real size in Michigan, Buscemi’s has for years enjoyed a good measure of leadership in the Southeastern Michigan marketplace.
Management believes the superior food products and services offered in the Buscemi’s Party Shoppes, if coupled with greater marketing and advertising, could place the Company in a truly dominant position in Michigan. If rapid growth can be attained in the Michigan market area, Buscemi’s may eventually consider expansion into the national market for party and convenience stores.
Growth in Michigan will be through the conversion of existing party and liquor stores in southeastern Michigan, which hold state liquor, beer and wine licenses, and lottery licenses. New licenses are becoming increasingly difficult to obtain, so the purchase of an existing license is a much surer method. These stores will then be converted by remodeling with a new Buscemi’s decor package, signage and menu. The Submarine sandwiches. Such stores can be converted to the Buscemi’s concept and reopened in as little as 60-90 days.
The initial focus for selling new franchises will be accomplished through store conversions and offering reduced franchise fees and royalty payments to persons who convert their stores to Buscemi’s Party Shoppes.
Russo's Restaurants is a national and international franchisor of the fast casual and casual dining brands Russo's New York Pizzeria and Russo's Coal-Fired Italian Kitchen. Based in Houston, Russo's Restaurants are composed of a mix of corporate and franchised locations across Texas, Oklahoma, Arkansas, Tennessee, Florida and Hawaii. Russo's has entered international markets as well, with locations in Dubai, Abu Dhabi and Sharjah in the United Arab Emirates. There are an additional 20-plus units in development both in the United States and internationally. Chef Anthony Russo has created his concepts from years of applying his unique, family recipes featuring New York-style pizza along with a broad variety of handcrafted pasta creations, calzones, salads, sandwiches, soups and desserts, reflecting his commitment to his New York roots where food and family come first.