McAlister's Deli vs Hooters Franchise Comparison

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

Start-Up Costs and Fees
 
McAlister's Deli Franchise
Hooters Franchise
Investment $398,000 - $2,094,200$956,500 - $4,275,000
Franchise Fee $15,000 - $35,000$75,000
Royalty Fee 5%5%
Advertising Fee 3%2.5%
Year Founded 19891983
Year Franchised 19941986
Term Of Agreement 10 years +5+5+5-
Term Of Agreement 10 years +5+5+5-
Renewal Fee --


Business Experience Requirements
 
McAlister's Deli Franchise
Hooters Franchise
Experience
  • General business experience
    		• -

    Financing Options
     
    McAlister's Deli Franchise
    Hooters Franchise
      In-House/3rd PartyIn-House/3rd Party
    Franchise Fees No/Yes-/Yes
    Start-up Costs No/Yes-/Yes
    Equipment No/Yes-/Yes
    Inventory No/Yes-/Yes
    Receivables No/Yes-/Yes
    Payroll No/Yes-/Yes

    Training & Support
     
    McAlister's Deli Franchise
    Hooters Franchise
    Training On-The-Job Training: 206 hours Classroom Training: 45 hours On-The-Job Training: Varies Classroom Training: Varies
    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/Conventions Toll-Free Line Grand Opening Security/Safety Procedures Field Operations Site Selection
    Marketing Co-op Advertising Ad Templates Regional Advertising Social media SEO Website development Email marketing Loyalty program/appAd Templates National Media Regional Advertising Social media Website development Loyalty program/app
    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)

    		-

    Expansion Plans
     
    McAlister's Deli Franchise
    Hooters Franchise
    US Expansion YesNo
    Canada Expansion No-
    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
    "Entrepreneur
    #72 in Franchise 500 for 2020.
    #47 in Franchise 500 for 2021.



    About Hooters

    There are no franchise opportunities available in the United States. Every region has been sold and our franchisees are not allowed to sub-franchise. International Hooters of America has franchise opportunities in the following countries: * Baltic States * Belorussia * Benelux * Bolivia * Bulgaria * Canada (Newfoundland) * Czech Republic * Denmark * Dominican Republic * Ecuador * Finland * France (multi-territory) * Hungary * Iceland * Italy (multi-territory) * Netherlands * Norway * Poland