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Below is an in-depth analysis and side-by-side comparison of Blackjack Pizza vs Mellow Mushroom 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 | $168,300 - $392,300 | $1,624,000 |
Franchise Fee | $35,000 | $50,000 |
Royalty Fee | 3% | - |
Advertising Fee | - | 2% |
Year Founded | 1983 | - |
Year Franchised | 1988 | - |
Term Of Agreement | 10 years | 15 years +5 |
Term Of Agreement | 10 years | 15 years +5 |
Renewal Fee | $1K | - |
Business Experience Requirements |
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Experience | - | |
Financing Options |
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In-House/3rd Party | In-House/3rd Party | |
Franchise Fees | No/Yes | No/- |
Start-up Costs | No/Yes | No/- |
Equipment | No/Yes | No/- |
Inventory | No/Yes | No/- |
Receivables | No/Yes | No/- |
Payroll | No/No | No/- |
Training & Support |
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Training | Ongoing assistance & classroom training available | Your ownership group and senior management staff will train for three weeks at our Shroom University training facility in Douglasville, Georgia prior to opening. When your store opens our training staff will assist you for a week prior to opening, and for two weeks after the opening. Shroom University offers a comprehensive program designed to teach you about the Front of House, Back of House, and Administrative aspects of running a Mellow Mushroom. You and your managers will learn how to make food, place orders, hire and retain personnel & maintain your POS system and mine the data it collects. A special emphasis is given to teaching you proven methods of supervising your store to decrease food and labor costs and increase cash flow. Quality control systems are also shared with you at Shroom University, and you will be provided with several financial and cost management spreadsheets. |
Support | Newsletter, Meetings, Grand opening, Internet, Security/safety procedures, Field operations/evaluations, Purchasing cooperatives | Members of our operations team will visit your store(s) to ensure that our standards and practices are being upheld. These visits are also opportunities for us to continue to train your staff and help train any new employees. Our operations team will also help you implement new initiatives that are developed in conjunction with the marketing department. Our marketing team will advise you on coordinating local promotions and create collection-wide campaigns in which your store can participate. The marketing team will also provide you with designs for business cards, banners, stickers, magnets, and spec ads for use in your local market. |
Marketing | Co-op advertising, Ad slicks, Regional advertising | - |
Operations |
25% of all franchisees own more than one unit Number of employees needed to run franchised unit: 15 - 30
Absentee ownership of franchise is NOT allowed. (100% of current franchisees are owner/operators) | - |
Expansion Plans |
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US Expansion | Yes | - |
Canada Expansion | No | - |
International Expansion | No | - |
Blackjack Pizza was founded in 1983 by Vince Schmuhl. After working several years for Dominos Pizza, the founder felt that there was plenty of room for competitors in the fast growing pizza delivery business. At that time, Dominos Pizza was the only major player in the pizza delivery business in the Rocky Mountain region and he felt that customers would really appreciate an alternative to Dominos Pizza. The first Blackjack Pizza store was opened on June 29, 1983 in Federal Heights, CO. The second store opened in Greeley, CO in February of 1984. Vince continued to open new stores, mainly in the Denver Metro Area. By 1986, there were six corporate owned stores and one franchisee in operation. In 1988, Blackjack officially became a franchisor using the concept of an owner/operator franchisee at each store location. Several corporate stores were sold to franchisees, and other franchisees were added to the system through conversions of independent operators who saw the value in being part of Blackjack Pizza. We have continued to add franchise outlets to the system under a policy of slow, controlled growth. There are 45 stores in operation in four states.