Why do people invest in bar and grill franchises?
First short answer: Simple ’Cause it’s fun!
Second short answer: ’Cause it can be rewarding.
Third short answer: ’Cause it’s ideal for people who like people and love helping others enjoy themselves.
That’s why investing in a bar and grill franchise can be so perfect! Nothing can warm an owner’s heart more than seeing a houseful of patrons enjoying themselves over a cold brew or cocktail, having a great time with friends, and enjoying their favorite sports on television. People who love dining out are consistently on the hunt for good food at “neighborhood” prices, in a place that makes them feel warm and welcomed.
Above all, when you have a franchising model that has proved to work through the years, multiple operations show constant improvement across the United Estates, showing the foundations of a scalable business model. One can tell when all the pieces are well-oiled and functioning like a Swiss watch, attracting investors into one of the more stable industries nationwide.
As a result, there’s a constant demand for high-quality dining spots in the marketplace, and bar-and-grill franchise establishments are competing vigorously all over America to meet that demand. It really is a good time for serious investors to explore bar and grill franchise opportunities.
Why should you invest in a bar and grill franchise?
As we said before, running a sports bar and grill franchise can truly be a blast — if you do it right.
It can be a tough business, no bones about it. It takes a lot of effort to start up a new restaurant, and a heck of a lot of work to run it smoothly and successfully.
But the great advantage of buying a sports bar franchise is that it comes complete with a sports bar business plan built in, a tested menu, and lots and lots of technical and operational support from headquarters. So starting up a franchise operation tends to remove many of the hurdles of trying to build a place from scratch.
Another advantage? There’s money to made in those delicious drinks. Alcohol served in restaurants can be a primary source of revenue – and profit margin. According to BinWise [1] (a bar industry inventory-control software company) some successful bar and grill franchises have seen average net profits exceed annual returns from investments in the stock market — which is a solid frame of reference for determining if a bar investment is a good one.
Are you willing to invest in bars?
Do your homework before making your choice!
If you’re considering different bar and grill franchise business plans, then there are a number of key questions you should get answers to before finally deciding on your brand of choice. In this article, we’ll look at three of them and highlight one bar and grill franchise opportunity – Hotshots Bar and Grill.
Hotshots Bar and Grill is a go-to destination for sports fans, with menu of home-run options and a great lineup of favorite beverages. Their interactive concept stands out in the restaurant arena with more than just the game on TV – patrons can enjoy pool tables, darts, video games and more.
1. How much net worth do I need for a bar and restaurant investment?
While “net worth” can be defined in many ways, it generally means the total of your liquid and nonliquid assets combined. Most franchisors look for a certain minimum net worth in order to agree to award a franchise to a prospective owner. The minimum net worth that any bar and restaurant investment asks for reflects the company’s best (and usually time-tested) estimate of what a franchisee would need in order to succeed in that type of business. This amount is often a calculation based on the estimated initial investment for the franchise business.
For Hotshots Bar and Grill franchises, the minimum liquid capital requirement for prospective investors is $150,000.00.
2. How much will I have to pay in royalty fees, advertising fees, and other required payments?
- Many bar and grill franchise opportunities require franchise owners — in addition to initial franchise fee payments and other start-up costs — to pay a fee as a royalty for the use of the company’s logo and other services. This fee is usually biweekly or monthly, typically a percentage of gross sales, and can typically range from between one and eight percent.
- Some bar and grill franchise companies, in addition, ask their franchisees to regularly contribute a percentage of sales to a national advertising or marketing fund, which the company then uses to support local, regional, and national advertising and marketing initiatives.
- And still other bar and grill franchises charge owners a flat fee or percentage-based fee for certain centralized services they provide to their franchisees (e.g., purchasing
Seeking to make sports bar profitable is really important, that is why Hotshots Bar and Grill keeps their fees competitive, in line with industry averages, and royalty calculations are based on each location’s gross sales.
3. How do current franchise owners feel about this brand investment?
Another useful indicator when investing in a bar is the satisfaction level of the franchise owners. In general, those franchises that have the highest satisfaction rate among current owners would appear to most investors to be the more attractive.
At Hotshots Bar and Grill, we’re incredibly proud of our high satisfaction rate among our franchise locations. That validation is one of many reasons Hotshots is a solid option for investors who are considering a bar and grill franchise opportunity.
Franchisee Support: a Must for Sports Bar and Grill
Franchise Sports Bar and Grills are renowned for being “hands-on” operations-driven companies, with extensive history, the sports bar and grill industry is both amazing but needs a dedicated team taking a firm grip, always. As a franchisee, you need to be viewed as an integral part of the franchise team, with your success as a primary goal. You will benefit from a dedicated Corporate Support Team, that will have to provide you with comprehensive guidance from the pre-opening phase to daily operations.
Pre-Opening Guide and Real Estate Assistance
Once you sign your franchise agreement, a designated opening specialist or a team can be assigned to work with you during the initial stages. This includes providing you with the franchise pre-opening guide or a step-by-step roadmap to opening your new location. This specialist team will be there for you throughout the process, helping with site selection, construction, and opening.
Finding the perfect location for your franchise is a crucial aspect of the process. Real estate franchise team members offer an in-depth analysis of available lots in the market that meet our site criteria. You should aim to identify several locations convenient for you and personally evaluate each one. After identifying the best locations, go ahead submit a Letter of Intent on your behalf, addressing all the main business points required. Finally, negotiate and finalize the main deal points, ensuring the chosen location maximizes the return on investment.
Once you’ve found your location, you will be assigned a dedicated project manager who will oversee the construction process. Working closely with the architect, contractor, and you to ensure your location is opened in a timely and cost-efficient manner. Our franchise team focuses on teaching you how to own and operate a Hotshots, rather than getting caught up in the construction process.
Training and Operational Support
Before you open your pub franchise, all operational owners and managers will need to participate in a comprehensive franchise training program. This hands-on training aims to ensure you and your management team understand every aspect of the operation. After training, work alongside a team from the franchise group that can arrive at your location to ensure a smooth transition into operations.
Once you’re up and running, support doesn’t need to end, it’s only starting. You should aim to have a franchise team provide ongoing operational support for any questions or situations that may arise. Dedicated support specialists with years of hands-on experience and are available daily to assist you, so you should take advantage of that. Furthermore, asking for franchise marketing support to help you navigate the ever-changing marketing world is also a wise thing to do. We provide a complete annual marketing plan that includes traditional media as well as web and social media strategies.
Investing in Bar & Grill Franchises: A Thriving Journey!
In summary, Hotshots Sports Bar and Grill offers extensive support to its franchisees, ensuring that you have everything you need to succeed in your new venture.
Contact Hotshots today for more information about their growth opportunities.
Coming Up: Next month, we’ll discuss some other key decision points for you to consider in deciding which bar and grill franchise company to join — things like the brand’s typical build-out schedule, and the franchisor’s technical, advertising, and training support.
Source:
[1]https://home.binwise.com/blog/are-bars-profitable/ Last checked date: 29/11/2021
