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Below is an in-depth analysis and side-by-side comparison of Humpty's vs La Madeleine including start-up costs and fees, business experience requirements, training & support and financing options.
Start-Up Costs and Fees |
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Investment | $495,000 - $695,000 | $1,249,362 - $3,088,747 |
Franchise Fee | $30,000 | $40,000 |
Royalty Fee | 5% | 5% |
Advertising Fee | 2% | 2.5% |
Year Founded | 1977 | 1983 |
Year Franchised | 0 | 2011 |
Term Of Agreement | - | Term of agreement not renewable |
Term Of Agreement | - | Term of agreement not renewable |
Renewal Fee | - | - |
Business Experience Requirements |
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Experience | - | • Passionate about the la Madeleine brand and our food • $5 million net worth; liquid assets of $2.5 million • Dedicated to developing multiple restaurants in a given market • Excellent knowledge of the local retail real estate market • Resources to develop and operate at least three (3) bakery cafés in a given territory • Strong track record as a multi-unit restaurant operator • Cultural fit |
Financing Options |
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In-House/3rd Party | In-House/3rd Party | |
Franchise Fees | -/- | No/No |
Start-up Costs | -/- | No/Yes |
Equipment | -/- | No/Yes |
Inventory | -/- | No/Yes |
Receivables | -/- | No/Yes |
Payroll | -/- | No/Yes |
Training & Support |
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Training | - | • Ongoing field support • Store opening assistance • Continuous training • Extensive six-week training program for Operations Directors, General Managers, and Managers • Ongoing culinary development On-The-Job Training: 416 hours Classroom Training: 64 hours |
Support | - | Real Estate • Market evaluation and planning • Site selection assistance • LOI and contract negotiation assistance • In-house real estate resources • Identifying and securing local representation Newsletter Meetings/Conventions Toll-Free Line Grand Opening Online Support Security/Safety Procedures Field Operations Site Selection Proprietary Software Franchisee Intranet Platform |
Marketing | - | • Grand opening assistance • Store opening and PR resources • Local marketing support • Creative support for national promotional events Co-op Advertising Ad Templates National Media Regional Advertising Social media SEO Email marketing Loyalty program/app |
Operations | - | - |
Expansion Plans |
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US Expansion | - | Yes |
Canada Expansion | No | - |
International Expansion | No | Yes |
Humpty’s Restaurants International Inc. (HRII) has developed restaurant concepts and operating systems that require lower levels of franchisee experience, fewer menu changes and less refurbishment to be profitable and competitive. We provide comprehensive training, support, restaurant operations, purchasing and marketing systems to minimize franchisee risk. We place a great deal of importance on system-wide procedures and operating standards to ensure store-level food service, food quality and operating efficiencies are maintained and continually improving.
One of the main mandates of HRII is to develop restaurant concepts that do not rely on abnormal economic conditions, specialized operating skills, narrow market niches and/or culinary trends to be viable. Humpty’s have developed an operating system that allows the Company to implement and control standardized product purchasing, staff/franchisee training, restaurant operations, system-wide marketing and in-store/area management infrastructures and systems. Our objective is to place franchises in low-density/high traffic, outer-metro urban, small urban and rural market centres with high concentrations of lower to middle income families and business travelers.