HuHot Mongolian Grill vs Gyu-Kaku Franchise Comparison

Below is an in-depth analysis and side-by-side comparison of HuHot Mongolian Grill vs Gyu-Kaku including start-up costs and fees, business experience requirements, training & support and financing options.

Start-Up Costs and Fees
 
HuHot Mongolian Grill Franchise
Gyu-Kaku Franchise
Investment $984,000 - $1,219,000$1,200,444 - $2,526,540
Franchise Fee $40,000$50,000
Royalty Fee 5%4%-5%
Advertising Fee 0.5%1.5%
Year Founded 19991996
Year Franchised 20011997
Term Of Agreement 15 years-
Term Of Agreement 15 years-
Renewal Fee --


Business Experience Requirements
 
HuHot Mongolian Grill Franchise
Gyu-Kaku Franchise
Experience

# Have a proven track record of business ownership & restaurant ownership that can contribute to the development of our brand

# Have local knowledge and expertise in the areas of consumer preferences, real estate, government regulations, labor, and distribution issues in the area in which you'll be franchising

# Have access to adequate capital

# Philosophically aligned

-

Financing Options
 
HuHot Mongolian Grill Franchise
Gyu-Kaku Franchise
  In-House/3rd PartyIn-House/3rd Party
Franchise Fees No/No-/-
Start-up Costs No/No-/-
Equipment No/No-/-
Inventory No/No-/-
Receivables No/No-/-
Payroll No/No-/-

Training & Support
 
HuHot Mongolian Grill Franchise
Gyu-Kaku Franchise
Training - On-The-Job Training: 304 hours Classroom Training: 46 hours Additional Training: At company-owned restaurants
Support Grand opening, Internet, Security/safety procedures, Field operations/evaluationsPurchasing Co-ops Newsletter Meetings/Conventions Grand Opening Security/Safety Procedures Site Selection
Marketing Co-op advertising, Ad slicks, Regional advertisingCo-op Advertising Regional Advertising Social media Website development Email marketing Loyalty program/app
Operations 50% of all franchisees own more than one unit

Number of employees needed to run franchised unit: 50

Absentee ownership of franchise is allowed. (50% of current franchisees are owner/operators)

Absentee Ownership Allowed Number of Employees Required to Run: 20

Expansion Plans
 
HuHot Mongolian Grill Franchise
Gyu-Kaku Franchise
US Expansion -Yes
Canada Expansion No-
International Expansion NoYes

Company Overviews

About HuHot Mongolian Grill

HuHot Mongolian Grills, L.L.C. started with a Mongolian BBQ grill called Mongos Mongolian Grill in Missoula, Montana in June 1999. Since then, the concept has proven to be very successful and the company plans to rapidly expand. The name HuHot (the ancient capital of inner-Mongolia) was chosen for future and franchised restaurants. It’s trampling old notions of full-service dining. Warming lamps and steam tables lie smashed in its wake. At HuHot, diners customize their own meals by choosing from dozens of fresh vegetables, meats, noodles and sauces.

About Gyu-Kaku

Gyu-Kaku System operates over 700 locations worldwide and has more than 10 years franchising experience in Japan.

Reins International USA has more than 8 years operating experience in the U.S. to modify the system for the U.S. market w/ 12 units.
Gyu-Kaku has been awarded the prestigious Hot Concept Award by the restaurant industry's premier trade publication, Nation's Restaurant News!
We like to think of it as the Oscars of the restaurant business. The Hot Concept Award is given each year by the editors of NRN to six emerging restaurant brands that have distinguished themselves as Hot Concepts: "fast-growing, financially proven overachievers that are on their way to becoming tomorrow's giants." Each winner must be a clearly defined concept that appeals to consumers and positions the company at the leading edge of foodservice.
The goal is to recognize brands for their innovation, successful business strategies and entrepreneurial spirit.

The initial franchise fee is $50,000. The estimated investment necessary to begin operation of a Gyu-Kaku franchise unit franchise range is $1,200,444 to $2,526,540. This includes $56,500 to $71,500 that is paid to the franchisor and its affiliates.
The franchisor may also offer you the optional right to execute an Area Development Agreement granting you a right to open one to four additional Outlets for an additional investment of $25,000 (for one additional Outlet) to $100,000 (for four additional Outlets), all of which must be paid to the franchisor.

"Entrepreneur

#240 in Franchise 500 for 2020.
#227 in Franchise 500 for 2021.