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Below is an in-depth analysis and side-by-side comparison of Papa John's vs Extreme Pizza including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
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Investment | $26,500 - $844,420 | $209,200 - $462,500 |
Franchise Fee | $25,000 | $30,000 |
Royalty Fee | 5% | 5% |
Advertising Fee | 8% | 1% |
Year Founded | 1985 | 1994 |
Year Franchised | 1986 | 2000 |
Term Of Agreement | 10 years | 15 years |
Term Of Agreement | 10 years | 15 years |
Renewal Fee | - | - |
Business Experience Requirements |
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Experience | The prospective franchisee should have at least one partner with a successful business management background and one partner who qualifies as the Principal Operator. For single-unit development, an individual can apply to be both owner and Principal Operator. The Principal Operator must have prior general management experience relative to the number of units to be developed and must own or have the right to acquire at least 5% equity in the business within 12 months of hire date. A fully completed Request for Consideration Form and current resume must be submitted for each member of the proposed franchise group or the owner operator, including the proposed Principal Operator. Also, Papa John's will request supporting documentation from each proposed owner | |
Financing Options |
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In-House/3rd Party | In-House/3rd Party | |
Franchise Fees | No/No | No/Yes |
Start-up Costs | No/No | No/Yes |
Equipment | No/No | No/Yes |
Inventory | No/No | No/Yes |
Receivables | No/No | No/Yes |
Payroll | No/No | No/Yes |
Training & Support |
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Training | We provide initial training for the operator of 6-8 weeks. In addition, we continue to provide ongoing training for your operator and team. | While our pizza may be extreme, you don’t have to be. The Extreme Team is dedicated to providing you everything you need for success. All Extreme Pizza franchisees are thoroughly trained in all facets of the business operations, marketing, finance, inventory control, food preparation, purchasing and scheduling. Our training, combined with our negotiated vendor pricing, allow our restaurants to maintain impressive overall cost controls. Our intensive and extensive 6-week training program we believe prepares you for everything that might come your way while owning a local fast-fresh, made-to-order pizza business. Prior to opening a new location, we require that all franchisees be thoroughly trained in all facets of running a pizza business. As part of the initial franchise fee, we provide hands-on training at our Extreme Pizza® corporate offices and restaurants in San Francisco and on location as well. While in San Francisco, new franchisees work with the corporate training team for up to 4 weeks where they learn food and product preparation, food and labor management, human resource management, customer relations, financial management, inventory and cost control and marketing. Additional on-site training in the new restaurant for 2 weeks solidifies the training in your actual local restaurant kitchen and community. |
Support | - | Of course it’s impossible to learn everything in six weeks that our team has learned in more than twenty years of a doing business. Which is why we provide you with a rock-solid support system to help you throughout your entire Extreme Pizza franchise experience. Once your store is up and running, an Extreme Pizza business coach, and the rest of the corporate team, will be available for ongoing support and training. As necessary, we will make visits to your location to provide one-on-one counsel. Additionally we will provide group training sessions open to all franchisees throughout the year, and will offer the opportunity to attend regional meetings and seminars that will enable you to meet and mingle with other franchisees in the Extreme Pizza system. |
Marketing | - | Co-op advertising, Ad slicks |
Operations | - |
Number of employees needed to run franchised unit: 7 Absentee ownership of franchise is allowed. (90% of current franchisees are owner/operators) |
Expansion Plans |
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US Expansion | Yes | - |
Canada Expansion | No | No |
International Expansion | Yes | No |
We didn’t start our business in a boardroom. We started it in a broom
closet. Back in 1984, our Founder, John Schnatter (that’s Papa John to
you) sold his beloved muscle car to buy pizza‐making equipment. Armed
with only an oven and a love for making quality pizza, John opened the
very first Papa John’s in the crowded broom closet of his father’s
tavern.
Over the years, this passion for making better pizza
informed every decision and pizza we made...because the last thing we
wanted to be was a pizza company. So instead of chopping vegetables with
machines, we chop them by hand every day. Instead of investing in
gimmicks, we invest in fresh ingredients. And we pile them high on our
fresh, never-frozen original dough.
Today, we’ve surrounded ourselves with like-minded people
with a passion for making better pizza, including franchisees,
suppliers, athletes, pizza makers, and farmers we’ve known for over 30
years. Like our friend Dino in California - "he grows the best tomatoes.
In the end, John’s desire to create a better pizza built more than a pizza company...he built a pizza family.
Extreme Pizza® began in 1994 in a small 20 seat location on Fillmore Street in downtown San Francisco. Since then we have added new menu items and have been awarded many accolades over the years including "Best Pizza in San Francisco”, the East Bay and in other Bay Area communities numerous times.
Extreme - From the Start
Todd Parent-Founder It’s only natural that CEO Todd Parent would be the founder of a fresh concept named... Extreme Pizza. Born within the New York Metropolitan Area, Todd grew up on pizza. An avowed fan of extreme sports such as mountain biking, windsurfing, sailing, kite sailing and downhill skiing, Todd used his love for fierce competition and his culinary roots to formulate a concept devoted to serving the perfect pizza.