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Updated RecentlyPapa John's vs Cottage Inn Pizza Franchise Comparison
Below is an in-depth analysis and side-by-side comparison of Papa John's vs Cottage Inn 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 | $200,000 - $350,000 |
| Franchise Fee | $25,000 | $15,000 |
| Royalty Fee | 5% | 5% |
| Advertising Fee | 8% | 3% |
| Year Founded | 1985 | 1948 |
| Year Franchised | 1986 | 1986 |
| Term Of Agreement | 10 years | - |
| Term Of Agreement | 10 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 | A minimum net worth of $100,000 A minimum of $60,000 in liquid assets or financing or a combination thereof Five Star Customer Service for staff and customers alike Product Quality — using only approved ingredients and the amounts set forth by the Cottage Inn Standard Operating Procedures Professional Image — uniforms should be clean and pressed, and employees should be well-groomed at all times. The Right Personality As a member of the food service industry, our franchisees must have the right personality, too. We look for clean-cut professionals who will take pride in being a Cottage Inn franchisee. We also look for candidates who are strong leaders, can motivate a staff, and treat customers with the utmost care and respect. In the food service industry, it’s important that your store pass the white glove test every day. Safety is always a concern when it comes to proper food handling. To be a successful Cottage Inn franchisee you must also understand profit and loss statements. You need to input tools to measure your expenses on an on-going basis. We lay out what has been successful for Cottage Inn throughout our corporate stores and we want to make sure each franchisee who joins the Cottage Inn family follows the same equation to success. |
Financing Options |
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| In-House/3rd Party | In-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 |
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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. | Cottage Inn offers a world-class training program On-The-Job Training: 240 hours Classroom Training: 6 hours |
| Support | - | On-going support to keep your store running successfully and smoothly. We want you to succeed, which is why we offer our support and advice gained from years of experience in the pizza industry. We’ve been in the business since 1948 and operate 40 locations in two states, so it’s safe to say we know how to run a business. 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 |
| Marketing | - | We collaborate with a digital marketing agency to help make Cottage Inn the top-ranked pizza company in relevant markets across Michigan, Ohio and Indiana. Cottage Inn employs an in-house creative team and offsite agency to produce a myriad of digital marketing vehicles, including e-blasts, mobile CRM, social media (Twitter, Facebook, Pinterest, FourSquare, Instagram). We also leverage traditional print solutions such as bulk mail menus, EDDM (every day direct mail) cards, magnets, box toppers and door hangers. We also invest in branding the Cottage Inn name, making us more desirable across all relevant markets. Cottage Inn is the Preferred Pizza Provider at MIS (Michigan International Speedway) where we serve over 100,000 guests at NASCAR events and the Country Music Festival. Cottage Inn engages franchisees in strategic marketing meetings to receive their input on marketing campaigns and new product development. We also help franchisees market their specific stores via community fairs, business expos, entertainment venues and more. We are family first at Cottage Inn, having been owned by the same family for over 65 years! How we market each of our franchises: Dynamic corporate website with pages dedicated to each franchise location Convenient online ordering A loyalty program to attract and retain customers Mobile marketing to engage with the on-the-go world E-marketing to offer the best deals to our dedicated customers Traditional print marketing menus, direct mail, door hangers, box toppers, magnets and specialty pieces Social media to engage our most dedicated consumers. Branding by way of special event sponsorships |
| Operations | - | Cottage Inn maintains control of its product and distribution by operating a 22,000 square foot commissary in Ann Arbor, Michigan. Fresh products are delivered weekly and our warehouse staff is always on call in case of emergency. Cottage Inn produces fresh dough daily. For locations more than 200 miles away from Ann Arbor, we encourage and assist franchisees with setting up their own dough production. This assures a fresh, high-quality product and will help you secure a customer for life. Absentee Ownership Allowed Number of Employees Required to Run: 15 |
Expansion Plans |
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| US Expansion | Yes | Yes |
| Canada Expansion | No | Yes |
| International Expansion | Yes | - |
Company Overviews
About Papa John's
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.
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About Cottage Inn Pizza
At Cottage Inn we believe that if you're going to craft a pizza, it should be to a
certain degree of perfection and that you should never skimp on the
quality of your ingredients. It's these two simple statements that drive
our process for constructing truly gourmet pizzas.