McAlister's Deli vs Big Boy Restaurants Franchise Comparison

Below is an in-depth analysis and side-by-side comparison of McAlister's Deli vs Big Boy Restaurants including start-up costs and fees, business experience requirements, training & support and financing options.

Start-Up Costs and Fees

 
McAlister's Deli Franchise
Big Boy Restaurants Franchise
Investment $398,000 - $2,094,200$861,800 - $3,568,000
Franchise Fee $15,000 - $35,000$40,000
Royalty Fee 5%4%
Advertising Fee 3%1% local +2% Nat'l
Year Founded 19891936
Year Franchised 19941952
Term Of Agreement 10 years +5+5+520 years
Term Of Agreement 10 years +5+5+520 years
Renewal Fee --


Business Experience Requirements

 
McAlister's Deli Franchise
Big Boy Restaurants Franchise
Experience
  • General business experience

  • Industry & general business experience preferred

  • Financing Options

     
    McAlister's Deli Franchise
    Big Boy Restaurants Franchise
      In-House/3rd PartyIn-House/3rd Party
    Franchise Fees No/YesNo/No
    Start-up Costs No/YesNo/Yes
    Equipment No/YesNo/Yes
    Inventory No/YesNo/Yes
    Receivables No/YesNo/Yes
    Payroll No/YesNo/Yes

    Training & Support

     
    McAlister's Deli Franchise
    Big Boy Restaurants Franchise
    Training On-The-Job Training: 206 hours Classroom Training: 45 hours -
    Support Purchasing Co-ops Newsletter Meetings/Conventions Toll-Free Line Grand Opening Online Support Security/Safety Procedures Field Operations Site Selection Proprietary Software Franchisee Intranet PlatformNewsletter, Meetings, Toll-free phone line, Grand opening, Internet, Security/safety procedures, Field operations/evaluations, Purchasing cooperatives
    Marketing Co-op Advertising Ad Templates Regional Advertising Social media SEO Website development Email marketing Loyalty program/appCo-op advertising, Ad slicks, Regional advertising
    Operations Franchisees required to buy multiple units/master licenses; 95% of all franchisees own more than one unit

    Number of employees needed to run franchised unit: 40

    Absentee ownership of franchise is allowed. (66% of current franchisees are owner/operators)

    20% of all franchisees own more than one unit

    Number of employees needed to run franchised unit: 60

    Absentee ownership of franchise is allowed. (90% of current franchisees are owner/operators)


    Expansion Plans

     
    McAlister's Deli Franchise
    Big Boy Restaurants Franchise
    US Expansion Yes-
    Canada Expansion NoNo
    International Expansion NoYes

    Company Overviews

    About McAlister's Deli

    Founder Don Newcomb's goal when he launched McAlister's Deli in 1989 was to create a 'gourmet deli with Southern charm.' The restaurants serve more than 90 different menu items, including sandwiches, salads, super-stuffed baked potatoes, appetizers, desserts and kid's meals. Customers make their selections at the counter, receive their appetizers and drinks and then sit wherever they choose, while roving servers bring their food and drink refills. McAlister's has grown to more than 350 franchised units.

    The total investment necessary to begin operation of a franchised McAlister’s Deli Restaurant (“Traditional Restaurant”) ranges from $927,900 to $2,094,200. This includes $35,000 to $35,400 that must be paid to the franchisor or their affiliates.
    The total investment necessary to begin operation of a franchised McAlister’s Express Restaurant (“Express Restaurant”) is $398,000 to $607,850. This includes $15,000 to $15,400 that must be paid to the franchisor or their affiliates.
    Veteran Incentives  $5,000 off franchise fee
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    About Big Boy Restaurants

    The Big Boy itself began with Bob Wian in Glendale, California. Bob sold his car for $350.00 and opened a small restaurant called Bob's Pantry. He set into operation a policy that persists today throughout all Big Boy restaurants ... the finest quality food and the best service. Members of an orchestra playing in the vicinity stopped in the restaurant and asked Bob Wian if he could dream up something different than just a plain hamburger. "Why not," Wian mused. As if his hands were guided by an unseen force, he cut a regulation hamburger bun into three slices, and inserted not one but two hamburger patties into place. It was then garnished with a special and very delectable relish he had prepared. Wian handed the innovation to the players and anxiously awaited the decision. "Wow," they chorused. "This is it!" and it was. Other customers saw him preparing it and asked for one. They agreed with the musicians. Wian had made a better hamburger. One day a chubby youngster walked into Wian's now flourishing restaurant. "He was about six," Bob recalled, - and rolls of fat protruded where his shirt and pants were designed to meet. I was so amused by the youngster -- jolly, healthy looking and obviously a lover of good things to eat, I called him Big Boy.. - So why not name the new hamburger Big Boy? Wian did. That was the birth of the first double-decker hamburger. At Big Boy, we thank all of those who served our country. For your service and dedication, Big Boy Franchise Management has created an incentive program for veterans of the United States Armed Forces. For qualified veterans, Big Boy has greatly reduced the initial Franchise Fee for your first Franchise Agreement. Initial Franchise Fee - $40,000 Military Incentive Program Initial Franchise Fee - $20,000 Being a Big Boy franchisee means you'll be part of one of America's most iconic brands. It also means you'll be backed by an exceptional team that will support your franchise and help it become successful. Learn more about owning your own Big Boy franchise by taking a look at our Virtual Brochure. There you can see what it could be like being your own burger boss.

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