Top 40 Food and Beverage Franchises of 2017
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SPECIAL INDUSTRY REPORT<br />
FranchiseBusinessREVIEW<br />
Ratings <strong>and</strong> Reviews <strong>of</strong> the Best Franchise Opportunities by Franchisees<br />
www.FranchiseBusinessReview.com<br />
<strong>2017</strong><br />
TOP FOOD FRANCHISES<br />
Rated by the Franchisees Who Own Them<br />
Ranked #1 in overall franchisee satisfaction, Kona Ice has skyrocketed to nearly 1,000<br />
locations in 45 states since 2008.<br />
Pizza Factory’s<br />
Ernest Amorim shares<br />
tips for success<br />
PAGE 5<br />
A Look<br />
Inside the <strong>Top</strong><br />
<strong>Food</strong> <strong>Franchises</strong><br />
PAGE 8<br />
How Much Do<br />
<strong>Food</strong> & <strong>Beverage</strong><br />
Franchise Owners Make?<br />
PAGE 10
INGREDIENTS FOR SUCCESS<br />
TECH ADVANTAGE<br />
• One st<strong>and</strong>ardized POS system with mobile app <strong>and</strong> online ordering for all stores<br />
• Proprietary app to help you manage your business with “real time” sales figures, labor & more<br />
IMPRESSIVE SALES GROWTH<br />
• 7 years <strong>of</strong> consecutive same store sales growth*<br />
EXPERIENCED LEADERSHIP<br />
• Executives average 30 years <strong>of</strong> industry experience<br />
FIRST IN FLAVOR<br />
• The originators <strong>of</strong> Flavored Crust® Pizza with 8 customizable crust options<br />
• 100% mozzarella cheese<br />
• Dough made freshly daily right in-store<br />
ESTABLISHED BRAND WITH TERRITORIES AVAILABLE<br />
• Over 30 years <strong>of</strong> franchising<br />
INDUSTRY RECOGNITION<br />
• Technomic’s <strong>2017</strong> Consumers’ Choice Award Winner for “Overall Takeout Capabilities”<br />
• Entrepreneur Franchise 500 (2013-<strong>2017</strong>)<br />
• <strong>2017</strong> <strong>Top</strong> <strong>Franchises</strong> - Franchise Business Review<br />
To learn more go to<br />
franchising.hungryhowies.com<br />
or call us today at 248.414.3300<br />
*Results measure company-wide same store sales figures for each calendar year over the previous calendar year. The measuring period is January 1, 2010 through March 26, <strong>2017</strong>. Excludes store sales from the State <strong>of</strong> Florida, units which are not obligated to <strong>and</strong> do not report sales to Hungry Howie’s, <strong>and</strong> units which<br />
opened <strong>and</strong>/or closed during the measuring period. Not all individual stores experienced the same results. New franchisees may have results that differ. This advertisement is not an <strong>of</strong>fer <strong>of</strong> a franchise. <strong>Franchises</strong> are <strong>of</strong>fered <strong>and</strong> sold only through a Franchise Disclosure Document<br />
2016. STATE OF CALIFORNIA: THESE FRANCHISES HAVE BEEN REGISTERED UNDER THE FRANCHISE INVESTMENT LAW OF THE STATE OF CALIFORNIA. SUCH REGISTRATION DOES NOT CONSTITUTE APPROVAL, RECOMMENDATION, OR ENDORSEMENT BY THE COMMISSIONER OF CORPORATIONS NOR A FINDING BY<br />
THE COMMISSIONER THAT THE INFORMATION PROVIDED HEREIN IS TRUE, COMPLETE, AND NOT MISLEADING.<br />
STATE OF NEW YORK: THIS ADVERTISEMENT IS NOT AN OFFERING. AN OFFERING CAN ONLY BE MADE BY A FRANCHISE DISCLOSURE DOCUMENT FILED WITH THE DEPARTMENT OF LAW OF THE STATE OF NEW YORK. SUCH FILING DOES NOT CONSTITUTE APPROVAL BY THE DEPARTMENT OF LAW OF THE STATE OF<br />
NEW YORK. MINNESOTA STATE REGISTRATION NUMBER F-2873.<br />
HUNGRY HOWIE’S PIZZA & SUBS INC., 30300 STEPHENSON HIGHWAY, SUITE 200, MADISON HEIGHTS, MI 48071, 248-414-3300
SPECIAL REPORT: <strong>Top</strong> <strong>Food</strong> <strong>Franchises</strong><br />
Features //<strong>2017</strong><br />
11<br />
4 13<br />
3 Letter from the Founder <strong>and</strong> CEO<br />
<strong>Top</strong> <strong>Food</strong> <strong>and</strong> <strong>Beverage</strong> <strong>Franchises</strong> Outpace Competition<br />
4 <strong>Food</strong> <strong>and</strong> <strong>Beverage</strong> <strong>Franchises</strong><br />
Businesses You Can Sink Your Teeth Into<br />
8 THE LIST<br />
Best <strong>of</strong> the Best: <strong>Top</strong> <strong>Food</strong> <strong>Franchises</strong><br />
14 Marketplace<br />
More on the award-winning<br />
franchise opportunities for <strong>2017</strong><br />
14 <strong>2017</strong>’s <strong>Top</strong> 200 <strong>Franchises</strong> Overall<br />
<strong>Franchises</strong> with high franchisee satisfaction<br />
in every industry sector<br />
Franchisee Pr<strong>of</strong>iles<br />
5 Ernest Amorim, Pizza Factory<br />
Get his tips for success.<br />
7 Dave Chantrell, The Melting Pot<br />
Providing guests with the Perfect Night Out.<br />
+<br />
Reviews, interviews, satisfaction awards,<br />
<strong>and</strong> more resources are available at:<br />
www.FranchiseBusinessReview.com<br />
LEARN WHAT FRANCHISING IS LIKE<br />
FROM REAL FRANCHISEES<br />
Access insightful franchisee Q&As, strategic advice <strong>and</strong> more.<br />
Visit FranchiseBusinessReview.com<br />
For more information on this report, visit: www.FranchiseBusinessReview.com | 1
YOU could be<br />
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© <strong>2017</strong> Checkers Drive-In Restaurants, Inc. 4300 W. Cypress St., Suite 600, Tampa, FL 33607. 1. Per Item 7 Checkers & Rally’s <strong>2017</strong> FDD. 2. Per Item 6 Checkers & Rally’s <strong>2017</strong> FDD. Written substantiation will be provided on request. This advertisement is not intended as an <strong>of</strong>fer to<br />
sell, or the solicitation <strong>of</strong> an <strong>of</strong>fer to buy, a franchise. It is for information purposes only. The franchisor, Checkers Drive-In Restaurants, Inc. is located at 4300 West Cypress Street, Suite 600, Tampa, Florida 33607, <strong>and</strong> is registered as file number F-4351 in the state <strong>of</strong> Minnesota.<br />
In New York, an <strong>of</strong>fering can only be made by a prospectus filed first with the Department <strong>of</strong> Law, <strong>and</strong> such filing does not constitute approval by that Department. <strong>2017</strong>1122
SPECIAL REPORT: <strong>Top</strong> <strong>Food</strong> <strong>Franchises</strong><br />
<strong>Top</strong> <strong>Food</strong> <strong>and</strong> <strong>Beverage</strong><br />
<strong>Franchises</strong> Outpace Competition<br />
High franchisee satisfaction <strong>and</strong> performance is driving double-digit<br />
growth at today’s top food <strong>and</strong> beverage franchise br<strong>and</strong>s<br />
Say the word “franchise” <strong>and</strong> most people immediately think food. “<strong>Food</strong>” is synonymous with<br />
franchising, <strong>and</strong> the food sector is one <strong>of</strong> the largest <strong>and</strong> most popular industries for people to<br />
consider when thinking about investing in a franchise.<br />
Despite the industry’s popularity, an investment in the food franchise is not a guaranteed<br />
slam-dunk. Franchise owners must overcome strong competition, fickle consumer tastes,<br />
fluctuating food costs, labor challenges, operational complexities, <strong>and</strong> many other business<br />
challenges. As one franchise operator put it, “A food franchise has more moving parts than<br />
almost any other business.” Yet for the right person who invests in the right franchise br<strong>and</strong>, the<br />
food industry can <strong>of</strong>fer an exciting, rewarding, <strong>and</strong> pr<strong>of</strong>itable opportunity.<br />
In this, our annual report on the <strong>Top</strong> <strong>Food</strong> <strong>and</strong> <strong>Beverage</strong>s <strong>Franchises</strong>, we’ll take a close look at<br />
the many opportunities within the food <strong>and</strong> beverage sector, <strong>and</strong> dramatically narrow down the<br />
list <strong>of</strong> potentials to just the highest rated br<strong>and</strong>s, based exclusively on our satisfaction research<br />
with franchisees. We will explore these award-winning opportunities <strong>and</strong> the outlook for the<br />
food <strong>and</strong> beverage industry, as well as discuss what it takes for a franchisee to be successful.<br />
A food franchise<br />
has more moving<br />
parts than almost<br />
any other business.<br />
Happy Franchising!<br />
Eric Stites, Founder <strong>and</strong> CEO<br />
Franchise Business Review is the leading national franchise market research firm<br />
that performs independent surveys <strong>of</strong> franchisee satisfaction <strong>and</strong> franchise buyer<br />
experiences. Before you invest in any franchise opportunity, read our reports to get<br />
the facts from those who know best—franchisees. We publish 13 annual research<br />
reports including <strong>Top</strong> <strong>Franchises</strong> Guide, <strong>Top</strong> Low-Cost <strong>Franchises</strong>, <strong>Top</strong> Multi-Unit<br />
<strong>Franchises</strong>, <strong>Top</strong> <strong>Food</strong> & <strong>Beverage</strong> <strong>Franchises</strong>, <strong>and</strong> <strong>Top</strong> <strong>Franchises</strong> for Veterans. All are<br />
available for free at FranchiseBusinessReview.com. To see our list <strong>of</strong> the top 200<br />
franchises according to the franchisees who own them, visit FBR50.com.<br />
Eric Stites, CEO & Managing Director<br />
Michelle Rowan, President & COO<br />
C.J. Fleck, Senior Web Developer<br />
Michael Kupfer, Online Marketing Manager<br />
Ali Forman, B2B Marketing Manager<br />
Nicole Kenney, Client Services Manager<br />
Linda Lorrey, Client Consultant<br />
Wes Graves, Client Consultant<br />
Amy LaLime, Office Manager<br />
Margot Doering, Accounting<br />
The Secret Agency, Design <strong>and</strong> Production<br />
Call us at 866-397-6680<br />
HOW WE IDENTIFY THE TOP FRANCHISES<br />
Participation in Franchise Business Review’s franchisee satisfaction<br />
research is free for all North American franchise systems with a<br />
minimum <strong>of</strong> 10 franchisees. For this report we looked at franchisee<br />
satisfaction from over 4,300 franchisees representing nearly 100 food<br />
br<strong>and</strong>s that we collected between February 2016 <strong>and</strong> July <strong>2017</strong>.<br />
We asked each franchisee to answer 33 benchmark questions ranking<br />
their franchise in the areas <strong>of</strong> financial opportunity, training <strong>and</strong> support,<br />
leadership, operations <strong>and</strong> product development, core values (e.g., honesty<br />
<strong>and</strong> integrity <strong>of</strong> franchisor), general satisfaction, <strong>and</strong> the franchisee<br />
community. We also asked them to answer an additional 16 questions<br />
about their market area, demographics, business lifestyle, overall<br />
enjoyment running their franchise, <strong>and</strong> role in the franchisee community.<br />
From this data, we identified our list <strong>of</strong> top food franchises with the<br />
highest franchisee satisfaction. More detailed information about our<br />
research methodology is available at FranchiseBusinessReview.com.<br />
Surveys to determine the <strong>Top</strong> <strong>Franchises</strong> for 2018 are underway.<br />
If you are a franchisor <strong>and</strong> would like to participate, please call 866-397-<br />
6680 or contact info@FranchiseBusinessReview.com.<br />
For more information on this report, visit: www.FranchiseBusinessReview.com | 3
SPECIAL REPORT: <strong>Top</strong> <strong>Food</strong> <strong>Franchises</strong><br />
Above: Pizza Factory franchisees<br />
serve up piping hot pizza goodness.<br />
Right: Fast-casual concept, Zoup!,<br />
<strong>of</strong>fers guests award-winning soups,<br />
salads, <strong>and</strong> s<strong>and</strong>wiches.<br />
<strong>Food</strong> <strong>and</strong> <strong>Beverage</strong> <strong>Franchises</strong>:<br />
Businesses You Can Sink Your Teeth Into<br />
BUSINESS MODELS AND CONCEPTS<br />
Although food <strong>and</strong> beverages are at the heart<br />
<strong>of</strong> every concept within this franchise category,<br />
there are countless investment options, business<br />
models, <strong>and</strong> types to choose from.<br />
A prospective franchisee can choose to run<br />
anything from a van-based, delivery business<br />
to a full-service restaurant—with dozens <strong>of</strong><br />
other business types in between.<br />
A food <strong>and</strong>/or beverage franchise can be<br />
a substantial moneymaker, <strong>and</strong> multi-unit<br />
operators in particular may realize a significant<br />
return on their investment once they are<br />
established. The wide range <strong>of</strong> business models<br />
within the food <strong>and</strong> beverage franchise sector<br />
makes the business a feasible endeavor at<br />
almost any investment level.<br />
Franchise Business Review surveyed over<br />
4,300 franchisees from nearly 100 different<br />
food <strong>and</strong> beverage br<strong>and</strong>s to name this year’s<br />
<strong>Top</strong> <strong>40</strong> <strong>Food</strong> <strong>and</strong> <strong>Beverage</strong> <strong>Franchises</strong>.<br />
In terms <strong>of</strong> food <strong>and</strong> beverage types, this<br />
year’s <strong>Top</strong> <strong>40</strong> <strong>Food</strong> <strong>and</strong> <strong>Beverage</strong> <strong>Franchises</strong><br />
list <strong>of</strong>fers a little bit <strong>of</strong> everything—pizza,<br />
burgers, wings, s<strong>and</strong>wiches, tacos, fish, ice<br />
4 | For more information on this report, visit: www.FranchiseBusinessReview.com
SPECIAL REPORT: <strong>Top</strong> <strong>Food</strong> <strong>Franchises</strong><br />
cream, c<strong>of</strong>fee, soup, <strong>and</strong> more. While Subway<br />
<strong>and</strong> McDonald’s may be among the biggest<br />
br<strong>and</strong>s in the industry, it’s <strong>of</strong>ten smaller<br />
regional players like Checkers & Rally’s, East<br />
Coast Wings & Grill, <strong>and</strong> Lenny’s Subs that<br />
dominate when it comes to franchisee satisfaction<br />
<strong>and</strong> long-term growth opportunities.<br />
“First <strong>and</strong> foremost, it’s our people <strong>and</strong><br />
the team that we have built—coupled with a<br />
rebuilding <strong>of</strong> our br<strong>and</strong>,” said Kevin Martin,<br />
President <strong>and</strong> CEO <strong>of</strong> Lenny’s Subs. “That<br />
combination has really made a difference in<br />
how we interact with our franchisees, <strong>and</strong> the<br />
confidence they have in our ability to carry the<br />
br<strong>and</strong> forward.”<br />
Martin, who grew up a Bobby Knight fan<br />
<strong>and</strong> dreamed <strong>of</strong> playing basketball for the<br />
Hoosiers, joined Lenny’s Subs in 2013 as an<br />
owner <strong>and</strong> CFO. Stepping into the CEO role<br />
last year, Martin takes a servant leadership<br />
approach, <strong>and</strong> he is committed to the growth<br />
<strong>of</strong> Lenny’s through serving their guests <strong>and</strong><br />
franchisees.<br />
That laser focus on people, br<strong>and</strong>, <strong>and</strong><br />
unit-level economics—helping drive bottom<br />
line pr<strong>of</strong>its for franchisees, not just top line<br />
sales—is a common thread with many <strong>of</strong><br />
the br<strong>and</strong>s on our <strong>2017</strong> <strong>Top</strong> <strong>40</strong> <strong>Food</strong> <strong>and</strong><br />
<strong>Beverage</strong> <strong>Franchises</strong> list.<br />
FRANCHISE RELATIONS KEY TO SUCCESS<br />
For anyone considering an investment in a<br />
franchise business, it’s so important to do your<br />
homework. Every franchise company has a<br />
different culture, <strong>and</strong> a different approach<br />
to training, support, <strong>and</strong> on-going franchise<br />
relations.<br />
“To be ranked as a top food franchise by<br />
FBR is a great validation for our continuous<br />
efforts to find ways to strengthen <strong>and</strong> enhance<br />
the relationships we have with our franchisees,”<br />
says Jennifer Durham, Vice President<br />
<strong>of</strong> Franchise Development for Checkers &<br />
Rally’s Restaurants, Inc. “As we grow to more<br />
than 850 locations, we will continue providing<br />
franchisees <strong>of</strong> varying backgrounds with personal<br />
support so they can continue building a<br />
successful restaurant business.”<br />
At the end <strong>of</strong> the day, successful franchising<br />
is all about relationships <strong>and</strong> treating<br />
franchisees like the business partners they<br />
truly are. At many companies, franchisee concerns<br />
can take a back seat to the vision <strong>and</strong><br />
direction senior management <strong>and</strong> investors<br />
have for the br<strong>and</strong>. Certainly, not all franchises<br />
have alignment when it comes to the key<br />
stakeholders. On the flip side, the companies<br />
on our <strong>Top</strong> <strong>40</strong> <strong>Food</strong> <strong>and</strong> <strong>Beverage</strong> <strong>Franchises</strong><br />
list go out <strong>of</strong> their way to make franchisee<br />
performance <strong>and</strong> success their top priority.<br />
“We’re honored to be recognized by<br />
Franchise Business Review, <strong>and</strong> we’re proud<br />
that our team <strong>and</strong> family <strong>of</strong> franchisees have<br />
achieved this award by working together,”<br />
continued Durham. “We look forward to<br />
providing one <strong>of</strong> the best franchising opportunities<br />
in the U.S. to the growing number<br />
<strong>of</strong> franchisees joining our br<strong>and</strong>, <strong>and</strong> as<br />
we open new locations, we are happy to <strong>of</strong>fer<br />
the famous Checkers & Rally’s experience to<br />
more guests.”<br />
Strong franchise relationships are just one<br />
<strong>of</strong> the keys fueling Golden Corral’s success.<br />
The full-service restaurant concept, famous for<br />
their comfort food buffets, generates average<br />
annual sales <strong>of</strong> over $3.5 million from many<br />
<strong>of</strong> its larger locations, <strong>and</strong> nearly $5 million on<br />
average from its top performing restaurants.<br />
“What makes Golden Corral unique is that<br />
we concentrate on making sure our franchisees<br />
are engaged <strong>and</strong> involved in every decision—<br />
even the little ones,” says Bob McDevitt, who is<br />
SVP <strong>of</strong> Franchise Development for the company.<br />
While investing in a Golden Corral franchise<br />
would set you back something north <strong>of</strong><br />
$2 million <strong>and</strong> is only for seasoned restaurant<br />
operators, Kona Ice <strong>of</strong>fers franchise opportunities<br />
a little better suited for first-time<br />
business owners with more limited financial<br />
means.<br />
Kona Ice earned the #1 spot on the Franchise<br />
Business Review <strong>2017</strong> <strong>Top</strong> <strong>Franchises</strong><br />
list this year, beating out more than 350 other<br />
franchise br<strong>and</strong>s, <strong>and</strong> posting the highest<br />
franchisee satisfaction score in the history <strong>of</strong><br />
our 12 years <strong>of</strong> franchise research.<br />
Kentucky-based Kona Ice quietly appeared<br />
on the franchise scene back in 2008 with the<br />
goal to disrupt the ice cream truck business.<br />
With their flavorful shaved ice products, fun<br />
br<strong>and</strong>ing, <strong>and</strong> a core mission <strong>of</strong> giving back,<br />
Kona Ice has skyrocketed to nearly 1,000 franchises<br />
in 45 states (including nine in Hawaii)<br />
<strong>and</strong> raised over $<strong>40</strong> million dollars for local<br />
charities.<br />
Kona Ice founder <strong>and</strong> CEO Tony Lamb<br />
is humbled by their growth <strong>and</strong> success.<br />
“The ONLY metric we go by is franchisee<br />
FEATURED<br />
Franchisee<br />
Ernest Amorim<br />
Pizza Factory<br />
South Salinas, North Salinas,<br />
Gustine & Santa Nella, CA<br />
Franchisee since 2005<br />
What was it about the franchise model <strong>and</strong>/or<br />
leadership that led you to purchase it?<br />
What drew me to Pizza Factory was the amazing<br />
food <strong>and</strong> how the restaurant would be involved<br />
with the community <strong>and</strong> schools. At the time<br />
I purchased the franchise, it wasn’t growing as<br />
much as they are today. With the current new<br />
leadership in place, I feel really confident in the<br />
direction we’re headed.<br />
What type <strong>of</strong> business experience, education,<br />
<strong>and</strong>/or skills did you have prior to becoming<br />
a franchisee that you have found particularly<br />
helpful? I had just graduated with a degree in<br />
Business Administration from Cal State Stanislaus<br />
when I purchased my first store. I had also worked<br />
in restaurants <strong>and</strong> customer service. The skills<br />
I attained were good building blocks for starting<br />
my own franchise.<br />
What things do you like most about your job?<br />
What I like most is working with my managers<br />
<strong>and</strong> employees to always improve our stores <strong>and</strong><br />
customer experiences. I also like working with all<br />
the communities we are a part <strong>of</strong>.<br />
How did you fund your franchise? I purchased<br />
my first store with a loan from my parents. It was<br />
a big help not having to pay interest, especially<br />
when first starting out!<br />
What advice do you have for prospective<br />
franchise buyers? Make sure you want to be the<br />
face <strong>of</strong> your stores or have someone who cares<br />
as much as you do be that person. Don’t get into<br />
a franchise because other franchisees are making<br />
a lot <strong>of</strong> money—it doesn’t always translate to<br />
every store. Research the area you want to open,<br />
<strong>and</strong> ask existing franchisees a lot <strong>of</strong> questions.<br />
For more information about Pizza Factory<br />
opportunities, call (562) 3<strong>40</strong>-6925 or visit<br />
www.pizzafactoryfranchise.com.<br />
For more information on this report, visit: www.FranchiseBusinessReview.com | 5
SPECIAL REPORT: <strong>Top</strong> <strong>Food</strong> <strong>Franchises</strong><br />
A Look at <strong>Food</strong> Franchisees<br />
71%<br />
18%<br />
male/female<br />
11% partnerships<br />
Mutli-unit owners make<br />
up more than half <strong>of</strong> all<br />
food franchisees surveyed.<br />
51% own at least two units<br />
<strong>and</strong> 49% own one.<br />
64%<br />
have a Bachelor’s degree or higher.<br />
29%<br />
<strong>of</strong> <strong>Food</strong> franchises<br />
are minority-owned.<br />
Nearly a third<br />
<strong>of</strong> <strong>Food</strong> franchisees<br />
have been in business<br />
10 years or more.<br />
happiness. . .our FBR franchisee satisfaction<br />
score,” said Lamb.<br />
Last year, Lamb took his corporate team<br />
<strong>of</strong> 35 people to Orl<strong>and</strong>o, <strong>and</strong> put them all up<br />
for a few nights at a Four Seasons Hotel to<br />
help embed the feeling <strong>of</strong> “above <strong>and</strong> beyond<br />
customer service.”<br />
“They all came back so inspired to treat<br />
customers at an unbelievable degree,” continued<br />
Lamb. And his message to the team after<br />
the trip? “This is how we want to treat our<br />
franchisees each <strong>and</strong> every day! These are our<br />
customers. . . the people we know, <strong>and</strong> love.<br />
And they’re the ones that pay our salaries!”<br />
Lamb’s leadership <strong>and</strong> focus on franchisee<br />
satisfaction has created strong dem<strong>and</strong> for<br />
their franchise opportunity. If you want to<br />
invest in a Kona Ice franchise, you might have<br />
to get in line. In fact, Kona is selling their<br />
custom shaved ice trucks as fast as they can<br />
build them—as existing franchisees continue<br />
to exp<strong>and</strong> <strong>and</strong> dozens <strong>of</strong> new franchisees join<br />
their system.<br />
Kona’s total franchise investment ranges<br />
between $120,000–$1<strong>40</strong>,000, much <strong>of</strong> which<br />
is the cost <strong>of</strong> the truck itself—which can be<br />
financed. Actual startup capital required to<br />
get into the franchise starts at around $25,000.<br />
And Kona Ice has a unique fee structure compared<br />
to many other franchises—charging a<br />
flat royalty fee starting at just $3,000 per year,<br />
<strong>and</strong> a $500 per year marketing fee.<br />
31 % Nebraska-based Scooter’s C<strong>of</strong>fee focuses on quality beverages, speedy service, <strong>and</strong> big smiles.<br />
32% <strong>of</strong> <strong>Food</strong> franchisees make<br />
$100,000 or more in pre-tax<br />
income. That jumps to 37%<br />
for franchisees who have been<br />
in business longer than 2 years.<br />
INVESTMENT RANGES AND<br />
CAPITAL REQUIREMENTS<br />
The food <strong>and</strong> beverage services sector <strong>of</strong>fers a<br />
wide range <strong>of</strong> investment options for prospective<br />
franchisees. Some concepts require less<br />
than $100,000 to get started, while others can<br />
cost millions. The investment range <strong>of</strong> our<br />
<strong>2017</strong> <strong>Top</strong> <strong>40</strong> <strong>Food</strong> <strong>and</strong> <strong>Beverage</strong> <strong>Franchises</strong><br />
starts at $45,000 for a Happy <strong>and</strong> Healthy<br />
Products franchise (distributors <strong>of</strong> Fruitful<br />
ice pops) to upwards <strong>of</strong> several million dollars<br />
required to open a Golden Corral. The median<br />
initial investment <strong>of</strong> our <strong>Top</strong> <strong>40</strong> averages out<br />
at $450,000.<br />
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SPECIAL REPORT: <strong>Top</strong> <strong>Food</strong> <strong>Franchises</strong><br />
It’s critical that you go into a new business<br />
being properly capitalized. That being said, it’s<br />
important to emphasize that the figures listed<br />
above are the total initial investment, but with<br />
financing <strong>and</strong> lease options, the typical upfront<br />
cash requirements tend to be much lower.<br />
Using the example <strong>of</strong> buying a home, the<br />
total value <strong>of</strong> a house might be $300,000, but<br />
you’re only required to put down $30,000<br />
cash, or even less. Investing in a franchise<br />
business is similar. For example, a Marco’s<br />
Pizza franchise might cost $<strong>40</strong>0,000 “all in,”<br />
but the liquid capital requirements (the cash<br />
you need to have initially) starts at $100,000<br />
with the balance being financed through business<br />
loans.<br />
The size <strong>of</strong> the initial investment typically<br />
depends on the real estate <strong>and</strong> equipment<br />
needed to run the business. Businesses that are<br />
delivery-based <strong>and</strong> do not require a large<br />
physical footprint are obviously far less expensive.<br />
A business based in a retail strip center<br />
can cost less than $250,000, depending on<br />
square footage, build-out, <strong>and</strong> equipment<br />
needs. On the other h<strong>and</strong>, a full-service<br />
restaurant, which requires a large, st<strong>and</strong>-alone<br />
site (<strong>and</strong> more employees <strong>and</strong> overhead for<br />
day-to-day operation), typically starts at over<br />
a million dollars.<br />
The time investment for a food service<br />
franchisee varies as much as the monetary<br />
investment, depending on the size <strong>and</strong> capacity<br />
<strong>of</strong> the franchise concept, the number <strong>of</strong> locations,<br />
<strong>and</strong> how long the franchisee has been<br />
in business. Obviously, the more employees<br />
a business has, the more management is<br />
required on the part <strong>of</strong> the franchisee. Distributor-type<br />
concepts can sometimes be run on a<br />
part-time basis, <strong>and</strong> some <strong>of</strong> the snack/pizza/<br />
ice cream concepts <strong>of</strong>fer more flexibility. Fullservice<br />
<strong>and</strong> breakfast-to-dinner QSR concepts,<br />
on the other h<strong>and</strong>, require considerable night<br />
<strong>and</strong> weekend involvement. Even franchisees<br />
with onsite managers to h<strong>and</strong>le day-to-day<br />
operations must invest a lot <strong>of</strong> time promoting<br />
<strong>and</strong> marketing their businesses.<br />
PROFITABILITY AND INCOME<br />
The number one question any potential franchisee<br />
wants to know is “How much money<br />
can I make?” The quick answer is if you’re<br />
lucky, you might get rich. Alternatively, you<br />
might lose your entire investment. The reality<br />
for most franchisees is somewhere in between.<br />
Exactly how much money YOU will make<br />
as a food franchise owner is a difficult question<br />
to answer. There are many factors that will<br />
influence your potential earnings, the biggest<br />
<strong>of</strong> which include the br<strong>and</strong> you invest in, <strong>and</strong><br />
your own personal performance as a business<br />
owner.<br />
It’s true that some people in franchising—<br />
we’ll call them the top performers—have<br />
done very well for themselves. These are most<br />
<strong>of</strong>ten the people that end up owning multiple<br />
franchise locations, <strong>and</strong> have built a successful<br />
team <strong>of</strong> people around them. This group<br />
represents only about 20% <strong>of</strong> the franchisee<br />
universe, yet it is their success stories that<br />
attract thous<strong>and</strong>s <strong>of</strong> people to invest in a franchise<br />
every year.<br />
So what about the other 80% you ask?<br />
From our survey research for this report,<br />
the average annual income (defined as any<br />
income, salary, or pr<strong>of</strong>it the owner takes out <strong>of</strong><br />
the business) for the “average food franchisee”<br />
that had been in business at least two years,<br />
is $117,000. Additionally, franchisees from<br />
our <strong>Top</strong> <strong>40</strong> br<strong>and</strong>s report even higher annual<br />
incomes—roughly 15% to 20% higher.<br />
While aggregate income data like this can be<br />
an interesting starting point, it is important to<br />
note that average numbers can be misleading.<br />
Average income data includes all franchisees<br />
together—both single <strong>and</strong> multi-unit owners—<br />
as well as franchisees that have been operating<br />
for many years. Those “top performers” in every<br />
br<strong>and</strong> can dramatically inflate the averages.<br />
In most cases, median income data can be<br />
much more useful, <strong>and</strong> more accurately predict<br />
what you or the typical franchisee might<br />
earn. In the case <strong>of</strong> our food <strong>and</strong> beverage<br />
franchisee data, the median annual income<br />
is around $70,000, <strong>and</strong> if we include startup<br />
franchisees (those in business for less than<br />
two years) the median falls to around $50,000.<br />
Only 34% <strong>of</strong> all food franchise owners earned<br />
more than $100,000 last year—<strong>and</strong> many<br />
earned much less.<br />
When doing your research <strong>and</strong> business<br />
planning, it is also important to distinguish<br />
between “business pr<strong>of</strong>it” <strong>and</strong> “owner<br />
income.” Prospective franchisees <strong>of</strong>ten confuse<br />
a business’s pr<strong>of</strong>its with their potential<br />
annual income/salary, which is a big mistake.<br />
Continued on page 10.<br />
FEATURED<br />
Franchisee<br />
Dave Chantrell<br />
The Melting Pot<br />
Richmond, VA<br />
<strong>and</strong> Louisville, KY<br />
Franchisee since 2016<br />
What type <strong>of</strong> business experience, education,<br />
<strong>and</strong>/or skills did you have prior to becoming a<br />
franchisee that you found particularly helpful?<br />
Having joined the Melting Pot as a server while<br />
attending the University <strong>of</strong> Virginia, allowed me<br />
to fully underst<strong>and</strong> the culture <strong>of</strong> the Melting Pot<br />
<strong>and</strong> the importance <strong>of</strong> providing each guest with<br />
the Perfect Night Out.<br />
What do you like most about your job? The best<br />
part <strong>of</strong> my job is seeing someone experience<br />
fondue for the first time. They leave really<br />
enjoying the dining style <strong>and</strong> the conversational<br />
environment it provides. The connection with the<br />
guests <strong>and</strong> building those relationships is what<br />
has made me successful in this company.<br />
How did you fund your franchise? When the<br />
opportunity arose to purchase the Richmond<br />
Melting Pot, my partner, Brian Tunney, <strong>and</strong><br />
I contacted the bank for a Small Business<br />
Association loan. This was a longer than expected<br />
process, but it was worth all the effort.<br />
What do you wish you had known prior to going<br />
into franchising? I wish I would have had more<br />
experience marketing <strong>and</strong> some general<br />
bookkeeping s<strong>of</strong>tware knowledge. Learning<br />
those two things have been the biggest<br />
challenges but have helped me meet others<br />
within the company <strong>and</strong> many local business<br />
partners.<br />
What advice do you have for prospective<br />
franchise buyers? Spreading the love <strong>and</strong><br />
tradition <strong>of</strong> fondue has become a long-term goal<br />
for me. Locally, we target younger audiences to<br />
invite them to celebrate straight A’s, perfect<br />
attendance, <strong>and</strong> even first dates or prom dinner<br />
with us. Remember, buying a restaurant is a<br />
long-term investment, so I start by investing<br />
in the younger guests.<br />
For more information about Melting Pot<br />
opportunities, call (813) 425-6209 or visit<br />
www.meltingpotfranchise.com.<br />
For more information on this report, visit: www.FranchiseBusinessReview.com | 7
SPECIAL REPORT: <strong>Top</strong> <strong>Food</strong> <strong>Franchises</strong><br />
THE LIST<br />
Best <strong>of</strong> the Best:<br />
Today’s <strong>Top</strong> <strong>40</strong><br />
<strong>Food</strong> <strong>Franchises</strong><br />
Bahama Buck’s<br />
Ice cream/Yogurt/Frozen treats<br />
Biggby C<strong>of</strong>fee<br />
<strong>Beverage</strong>s<br />
Survey<br />
Date<br />
Sep.<br />
2016<br />
Oct.<br />
2016<br />
Startup<br />
Investment<br />
$223,346 –<br />
$720,825<br />
Cash<br />
Requirement<br />
Total<br />
Units<br />
$90,000 89<br />
$220,000 $70,000 254<br />
Billy Sims Barbecue<br />
Fast casual<br />
Jan.<br />
<strong>2017</strong><br />
$169,000 –<br />
$433,000<br />
$60,000 59<br />
Buffalo Wings & Rings<br />
Fast casual<br />
Jan.<br />
<strong>2017</strong><br />
$1,224,000 –<br />
$3,085,000<br />
$300,000 57<br />
“[Franchisee Training<br />
<strong>and</strong> Support] is as<br />
good as it has ever<br />
been in my 39 years<br />
being in the business<br />
with Captain D's.”<br />
– Captain D's Franchisee<br />
* Captain D’s — more on p. 13<br />
Fast casual<br />
* Checkers & Rally’s — more on p. 2<br />
Quick-service<br />
Dick’s Wings & Grill/<br />
American Restaurant Concepts<br />
Casual dining<br />
Donatos Pizza<br />
Quick-service<br />
* East Coast Wings & Grill — more on p. 12<br />
Casual dining<br />
June<br />
<strong>2017</strong><br />
May<br />
<strong>2017</strong><br />
Jan.<br />
2016<br />
July<br />
<strong>2017</strong><br />
April<br />
<strong>2017</strong><br />
$771,000 –<br />
$1,003,000<br />
$96,414 –<br />
$1,501,265<br />
$237,500 –<br />
$772,500<br />
$449,000 –<br />
$667,000<br />
$658,875 –<br />
$1,133,502<br />
$350,000 844<br />
$250,000 855<br />
$100,000 23<br />
$449,000 –<br />
$667,000<br />
152<br />
$250,000 35<br />
Fazoli’s Restaurants<br />
Fast casual<br />
May<br />
<strong>2017</strong><br />
$883,000 –<br />
$1,399,000<br />
$250,000 334<br />
Fuzzy’s Taco Shop<br />
Fast casual<br />
Oct.<br />
2016<br />
$335,000 –<br />
$1,035,000<br />
$250,000 112<br />
Golden Corral Buffet & Grill — more on p. 15<br />
Casual dining<br />
Nov.<br />
2016<br />
$2,120,644 –<br />
$6,170,713<br />
$500,000 482<br />
Ground Round Grill & Bar<br />
Casual dining<br />
April<br />
2016<br />
$450,000 –<br />
$2,200,000<br />
$350,000 27<br />
* Happy & Healthy Products, Inc.<br />
Ice cream/Yogurt/Frozen treats<br />
April<br />
<strong>2017</strong><br />
$45,000 –<br />
$90,000<br />
$45,000 –<br />
$90,000<br />
65<br />
* Hungry Howie’s Pizza —<br />
Quick-service<br />
more on inside front cover<br />
Nov.<br />
2016<br />
$251,375 –<br />
$495,850<br />
$100,000 548<br />
Hwy 55 Burgers Shakes & Fries<br />
Casual dining<br />
Oct.<br />
2016<br />
$191,255 –<br />
$385,155<br />
$125,000 137<br />
Jamba Juice<br />
Fast casual<br />
Dec.<br />
2015<br />
$201,000 –<br />
$619,300<br />
$350,000 953<br />
Jason’s Deli<br />
Fast casual<br />
April<br />
<strong>2017</strong><br />
$905,891 $905,891 261<br />
*This br<strong>and</strong>’s Franchisee<br />
Satisfaction Report is available at<br />
www.FranchiseBusinessReview.com<br />
* Kona Ice<br />
Ice cream/Yogurt/Frozen treats<br />
LaRosa’s Pizzeria<br />
Fast casual<br />
July<br />
<strong>2017</strong><br />
April<br />
2016<br />
$120,225 –<br />
$143,025<br />
$800,000 –<br />
$1,000,000<br />
$20,000 941<br />
$500,000 66<br />
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SPECIAL REPORT: <strong>Top</strong> <strong>Food</strong> <strong>Franchises</strong><br />
Survey<br />
Date<br />
Startup<br />
Investment<br />
Cash<br />
Requirement<br />
Total<br />
Units<br />
Lenny’s Sub Shop — more on p. 14<br />
Quick-service<br />
July<br />
2016<br />
$188,216 –<br />
$396,146<br />
$75,000 96<br />
Marco’s Pizza<br />
Quick-service<br />
July<br />
2016<br />
$221,592 –<br />
$546,592<br />
$221,592 –<br />
$546,592<br />
682<br />
Mooyah Burgers & Fries<br />
Quick-service<br />
July<br />
<strong>2017</strong><br />
$412,750 –<br />
$620,000<br />
$250,000 98<br />
Nothing Bundt Cakes<br />
Snack retailer<br />
May<br />
<strong>2017</strong><br />
$392,875 –<br />
$545,475<br />
$150,000 168<br />
Penn Station<br />
Quick-service<br />
March<br />
2016<br />
$293,102 –<br />
$593,027<br />
$300,000 310<br />
Pizza Factory — more on p. 5<br />
Quick-service<br />
Planet Sub<br />
Quick-service<br />
Scooter’s C<strong>of</strong>fee<br />
Fast casual<br />
* Smoothie King — more on p. 16<br />
Fast casual<br />
Oct.<br />
2016<br />
Jan.<br />
2016<br />
Sep.<br />
2016<br />
April<br />
<strong>2017</strong><br />
$156,000 –<br />
$643,500<br />
$182,500 –<br />
$<strong>40</strong>2,000<br />
$334,000 –<br />
$514,000<br />
$225,650 –<br />
$426,185<br />
$90,000 109<br />
$100,000 58<br />
$100,000 167<br />
$100,000 907<br />
“Their core values reflect<br />
what is truly important<br />
to them as an<br />
organization... They are<br />
what holds the company<br />
culture together.”<br />
– Lenny's Sub Shop Franchisee<br />
The Haagen-Dazs Shoppe Company<br />
Ice cream/Yogurt/Frozen treats<br />
July<br />
<strong>2017</strong><br />
$154,158 –<br />
$542,<strong>40</strong>8<br />
$154,158 –<br />
$542,<strong>40</strong>8<br />
206<br />
The Honeybaked Ham Co. And Cafe<br />
Fast casual<br />
July<br />
2016<br />
$299,200 –<br />
$468,200<br />
$100,000 <strong>40</strong>5<br />
The Melting Pot Restaurants Inc. — more on p. 7<br />
Casual dining<br />
June<br />
<strong>2017</strong><br />
$969,227 –<br />
$1,441,089<br />
$325,000 125<br />
The Wendy’s Company<br />
Quick-service<br />
<strong>Top</strong>pers Pizza<br />
Quick-service<br />
Tropical Smoothie Cafe<br />
Fast casual<br />
Uno Chicago Grill<br />
Fast casual<br />
Wings Etc.<br />
Fast casual<br />
June<br />
<strong>2017</strong><br />
Aug.<br />
2016<br />
Nov.<br />
2016<br />
April<br />
2016<br />
June<br />
<strong>2017</strong><br />
$300,000 –<br />
$3,000,000<br />
$291,666 –<br />
$527,152<br />
$198,050 –<br />
$478,550<br />
$736,000 –<br />
$1,850,500<br />
$300,000 –<br />
$780,000<br />
$2,000,000 6,564<br />
$150,000 99<br />
$125,000 541<br />
$750,000 196<br />
$300,000 –<br />
$780,000<br />
<strong>40</strong><br />
“World class organization!<br />
Everybody in our Support<br />
center cares a great<br />
deal about the franchise<br />
system <strong>and</strong> are there<br />
to help in any way<br />
they can.”<br />
– The Wendy's Company Franchisee<br />
Wingstop<br />
Quick-service<br />
April<br />
<strong>2017</strong><br />
$227,888 –<br />
$650,790<br />
$200,000 725<br />
Zaxby’s<br />
Fast casual<br />
Nov.<br />
2016<br />
$352,000 –<br />
$664,300<br />
$300,000 946<br />
Zoup! — more on p. 17<br />
Quick-service<br />
June<br />
2016<br />
$321,<strong>40</strong>0 –<br />
$609,<strong>40</strong>0<br />
$321,<strong>40</strong>0 –<br />
$609,<strong>40</strong>0<br />
87<br />
For more information on the companies in this report, visit www.FBR50.com | 9
SPECIAL REPORT: <strong>Top</strong> <strong>Food</strong> <strong>Franchises</strong><br />
Continued from page 7.<br />
As a business owner, before you can “pay<br />
yourself,” you <strong>of</strong>ten have to pay business taxes,<br />
debt repayments on loans, <strong>and</strong> reinvest in<br />
your business (that new piece <strong>of</strong> equipment<br />
you need, or the new signage you’re required<br />
to buy, for example). While your business may<br />
grow to be quite pr<strong>of</strong>itable, your actual take<br />
home income could be substantially lower.<br />
Talk with as many franchisees as you can,<br />
<strong>and</strong> confirm that your business projections<br />
<strong>and</strong> income expectations are realistic. Underst<strong>and</strong><br />
that most business owners can’t take<br />
any money out <strong>of</strong> the business for the first few<br />
years during the startup phase, <strong>and</strong> it may take<br />
you even longer to start paying yourself a salary<br />
from your new business. Plan accordingly<br />
<strong>and</strong> try to have alternative sources <strong>of</strong> income<br />
(i.e. a spouse’s salary) to live <strong>of</strong>f <strong>of</strong> while your<br />
new business is getting <strong>of</strong>f the ground.<br />
Finally, on the topic <strong>of</strong> income <strong>and</strong> pr<strong>of</strong>itability,<br />
while many food franchises report<br />
relatively high unit-level sales, <strong>and</strong>/or pr<strong>of</strong>itability,<br />
it is important to look at the whole<br />
picture when considering a franchise investment.<br />
For example, a food franchise may <strong>of</strong>fer<br />
slightly higher pr<strong>of</strong>itability compared to other<br />
businesses, but if the initial investment is three<br />
times higher, your overall return on investment<br />
is potentially going to be significantly<br />
lower. Work through your long-term financial<br />
projections with a good accountant, <strong>and</strong><br />
compare your potential franchise investment<br />
to other businesses, as well as other investment<br />
opportunities (i.e. real estate, stocks,<br />
etc.) to see how they compare.<br />
The importance <strong>of</strong> a new franchisee being<br />
well-capitalized cannot be overstated. Prospective<br />
franchisees should carefully review<br />
a br<strong>and</strong>’s Franchise Disclosure Document<br />
(F.D.D.) <strong>and</strong> ask current franchisees how<br />
much they recommend a new franchisee have<br />
in the bank before opening.<br />
<strong>Food</strong> <strong>and</strong> beverage franchise operators<br />
<strong>of</strong>ten tell us that one <strong>of</strong> the biggest issues<br />
new franchisees run into is managing the<br />
wild cash flow swings associated with operating<br />
a new business. Many franchisors have<br />
started including an Item 19—the “financial<br />
performance representation”—as part <strong>of</strong> their<br />
F.D.D. The latest trend in Item 19s is providing<br />
both gross <strong>and</strong> net numbers in order to<br />
really give c<strong>and</strong>idates <strong>and</strong> franchisees a better<br />
idea <strong>of</strong> potential pr<strong>of</strong>itability, not just top-line<br />
revenue. Franchisors told us they have become<br />
much more frank in their discussions with<br />
franchisees about what exactly they’ll need for<br />
capital in order to be successful.<br />
Reported Pre-Tax Income <strong>of</strong> <strong>Food</strong> & <strong>Beverage</strong> Franchise Owners<br />
$50,000 or less $50,000–$100,000 $100,000–$200,000 $200,000+<br />
7% 7% 17% 29%<br />
9%<br />
15%<br />
19%<br />
26%<br />
23%<br />
26%<br />
65%<br />
29%<br />
52%<br />
28%<br />
31%<br />
17%<br />
Less than 2 years 3 – 5 years 6 – 9 years 10+ years<br />
Years Owning Franchise Business<br />
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SPECIAL REPORT: <strong>Top</strong> <strong>Food</strong> <strong>Franchises</strong><br />
Left: Pizza Factory empowers franchisees to be their neighborhood’s “hometown pizzeria”.<br />
Right: Fuzzy’s Taco guests enjoying the Fuzzy’s vibe.<br />
“We’ve had an Item 19 for over 20 years,”<br />
said Ken Switzer, Treasurer <strong>of</strong> Marco’s Pizza.<br />
“We try to go overboard in providing useful<br />
information for people to make an informed<br />
decision. We encourage prospective franchisees<br />
to check with other franchisees about<br />
any problems they have—we don’t want any<br />
surprises.”<br />
PROS AND CONS OF OWNING<br />
A FOOD AND BEVERAGE FRANCHISE<br />
Ask a franchisor or a franchisee to talk about<br />
the benefits <strong>of</strong> the food industry, <strong>and</strong> you’ll<br />
undoubtedly hear “exciting, people-filled,<br />
<strong>and</strong> food-loving.” It’s an industry that <strong>of</strong>fers<br />
franchisees <strong>and</strong> their customers immediate<br />
gratification. At the same time, it’s ever-changing,<br />
never boring, <strong>and</strong> impossible to outsource<br />
(everyone needs to eat!).<br />
“Our franchisees have this huge passion for<br />
what they’re selling,” said Adam Hanson,<br />
President <strong>of</strong> The Häagen-Dazs Shoppe Company.<br />
Hanson started with Häagen-Dazs in<br />
1996, scooping ice cream as an assistant shop<br />
manager in Minneapolis <strong>and</strong> working his way<br />
up through the ranks over the last 20 years to<br />
now lead the franchise division.<br />
Passion for a premium ice cream br<strong>and</strong> by<br />
both customers <strong>and</strong> franchisees, along with<br />
national marketing support from Swiss-based<br />
parent company Nestlé, help drive average<br />
Shoppe revenues <strong>of</strong> $519,427 according to the<br />
Häagen-Dazs F.D.D.<br />
Perhaps more than in any other franchise<br />
sector, operators <strong>of</strong> food <strong>and</strong> beverage<br />
franchises may reap significant benefits<br />
from being part <strong>of</strong> a large franchise system<br />
rather than operating alone. The food <strong>and</strong><br />
beverage industry is highly competitive <strong>and</strong><br />
trend-driven, <strong>and</strong> operators in this space<br />
must constantly be marketing themselves <strong>and</strong><br />
developing new products. Franchisees benefit<br />
from having a recognized br<strong>and</strong> <strong>and</strong> the support<br />
<strong>and</strong> resources <strong>of</strong> a corporate <strong>of</strong>fice to help<br />
with these tasks.<br />
The food <strong>and</strong> beverage sector is not for the<br />
faint <strong>of</strong> heart in terms <strong>of</strong> what it takes to run<br />
<strong>and</strong> operate a successful business. Rising food<br />
costs, soaring competition, high employee<br />
turnover, <strong>and</strong> long hours are just a h<strong>and</strong>ful <strong>of</strong><br />
the sector’s drawbacks.<br />
The expenses—both initial <strong>and</strong> ongoing—<br />
are much higher than in other sectors <strong>and</strong> can<br />
fluctuate greatly based on what’s going on in<br />
the world. A nationwide drought in 2012<br />
forced restaurants <strong>of</strong> all kinds to deal with<br />
considerable cost increases in chicken, beef,<br />
<strong>and</strong> corn. Although franchisors obviously<br />
hope this was a rare event, climate-related<br />
price increases have become more common in<br />
the past few years, <strong>and</strong> fuel prices can also<br />
have a significant impact on commodities.<br />
Prospective franchisees should ask franchisors<br />
what safeguards (supply contracts, cost-cutting<br />
efforts, increased menu prices) they’ve<br />
put in place on an ongoing basis to help <strong>of</strong>fset<br />
high supply costs.<br />
Getting started in the food sector <strong>of</strong>ten<br />
requires a large investment, <strong>and</strong> early pr<strong>of</strong>it<br />
margins can be much lower than some other<br />
service industries—especially for operators <strong>of</strong><br />
high-cost, single-unit operations. Therefore,<br />
it can take a long time for a new operator<br />
to recoup start-up costs. Many franchisees<br />
choose to operate several locations because<br />
this typically helps them turn a higher pr<strong>of</strong>it<br />
<strong>and</strong> lowers their overall costs.<br />
The food sector is probably the most competitive<br />
space in franchising (<strong>and</strong> in business<br />
in general). There are millions <strong>of</strong> options for<br />
consumers, both franchised <strong>and</strong> not, <strong>and</strong><br />
the market is strongly driven by what’s hot<br />
now, which can change overnight. Franchise<br />
companies must constantly be researching<br />
<strong>and</strong> developing new products to keep up with<br />
the latest food trends. At the same time, they<br />
must be careful not to act too quickly. Every<br />
menu addition or concept change requires<br />
an additional investment from franchisees<br />
to re-vamp equipment <strong>and</strong> train staff, so if a<br />
seemingly hot trend is actually a short-lived<br />
fad, franchisees lose out. Good franchisors<br />
watch trends carefully <strong>and</strong> know when to act<br />
<strong>and</strong> when not to.<br />
There is also significant pressure in the food<br />
space in terms <strong>of</strong> pricing. Franchisors must<br />
constantly keep an eye on their prices, adjusting<br />
them to compete with other concepts. In<br />
recent years, a number <strong>of</strong> QSR concepts have<br />
introduced value-menu pricing as a means<br />
to out-price competition <strong>and</strong> keep customers<br />
coming in the door. Franchisees ended<br />
up losing money as they were forced to <strong>of</strong>fer<br />
more food for less money (while at the same<br />
time paying more for basic food supplies like<br />
For more information on this report, visit: www.FranchiseBusinessReview.com | 11
SPECIAL REPORT: <strong>Top</strong> <strong>Food</strong> <strong>Franchises</strong><br />
corn <strong>and</strong> flour). In many concepts, even when<br />
sales were up, unit-level pr<strong>of</strong>itability suffered<br />
considerably.<br />
To <strong>of</strong>fset this, some br<strong>and</strong>s have created<br />
new value product lines that cost less to<br />
produce. Marco’s, for example, created a new<br />
pizza that takes less time to make (because it<br />
isn’t h<strong>and</strong>-tossed), requires fewer ingredients,<br />
<strong>and</strong> is slightly smaller than their traditional<br />
pie. With this product, franchisees can <strong>of</strong>fer<br />
customers a cheaper alternative without losing<br />
money themselves. And because the pizzas are<br />
smaller <strong>and</strong> cost less, customers <strong>of</strong>ten buy two,<br />
so franchisees end up actually making money<br />
on the deal.<br />
Hiring <strong>and</strong> retaining quality staff is probably<br />
the biggest challenge facing most food<br />
operators. Many concepts require a large<br />
numbers <strong>of</strong> employees to operate <strong>and</strong> deliver<br />
the high-level guest experience that customers<br />
have come to expect.<br />
“Staffing is definitely the number one<br />
challenge facing the food industry today,”<br />
said Michelle Rowan, President <strong>of</strong> Franchise<br />
Business Review. Business owners can’t find<br />
enough quality help, <strong>and</strong> many in the industry<br />
have resorted to using temporary workers<br />
from overseas. Couple this with minimum<br />
wage increases, health care requirements, <strong>and</strong><br />
other employee regulation issues, <strong>and</strong> you<br />
can quickly underst<strong>and</strong> why business owners<br />
everywhere are looking for ways to make their<br />
businesses more efficient through technology,<br />
<strong>and</strong> less people-dependent.<br />
MARKET ANALYSIS<br />
The business outlook for the food sector<br />
continues to look strong. Despite some in<br />
the industry pointing to signs <strong>of</strong> a potential<br />
downturn due to commodity price increases<br />
from rising fuel costs, most business owners<br />
remain cautiously optimistic.<br />
The National Restaurant Association’s<br />
<strong>2017</strong> Restaurant Industry Forecast predicts<br />
that total restaurant industry sales will reach<br />
a record high <strong>of</strong> $799 billion this year—up<br />
26% in the past five years. All franchisors we<br />
spoke with for this report were equally bullish<br />
on continued steady sales growth for the next<br />
few years.<br />
FRANCHISEE SATISFACTION<br />
In the last few years, we’ve seen a marked<br />
improvement in franchisee satisfaction within<br />
the food <strong>and</strong> beverage sector. Over 70% <strong>of</strong><br />
food <strong>and</strong> beverage franchisees surveyed said<br />
they would recommend their br<strong>and</strong> to other<br />
franchisee c<strong>and</strong>idates—a strong indicator <strong>of</strong><br />
business owner satisfaction.<br />
Forty br<strong>and</strong>s make up our list <strong>of</strong> the top<br />
food <strong>and</strong> beverage franchises for <strong>2017</strong>. These<br />
are the companies that received the highest<br />
ratings from their franchisees in our independent<br />
satisfaction survey, which covers<br />
financial opportunity, training <strong>and</strong> support,<br />
leadership, operations <strong>and</strong> product development,<br />
core values, general satisfaction, <strong>and</strong> the<br />
franchisee community.<br />
Most food <strong>and</strong> beverage franchisors<br />
underst<strong>and</strong> that satisfied franchisees are more<br />
successful, more engaged, <strong>and</strong> only improve<br />
their corporate bottom line. All <strong>of</strong> the franchisors<br />
we spoke with (all from companies with<br />
high franchisee satisfaction) said they spend<br />
a considerable amount <strong>of</strong> time focusing on<br />
unit-level economics <strong>and</strong> working with their<br />
franchisees.<br />
It’s All About the EBITDA<br />
Our Franchisees Averaged<br />
$369,217 EBITDA* (Owner/Operated)<br />
$184,700 EBITDA* (Portfolio Operators)<br />
Celebrating 11 years <strong>of</strong> same store<br />
sales growth<br />
Unparalleled Franchisee Support includes:<br />
- an entire division dedicated to Unit Economics<br />
- data-driven pr<strong>of</strong>itability analysis<br />
- assistance with local store marketing<br />
-<strong>and</strong> much more...<br />
Contact Lee S. Easley, CFE<br />
1-800-381-3802 or<br />
vls@eastcoastwings.com<br />
Full Service Restaurants - 2014<br />
listed as <strong>Top</strong> Franchise Value<br />
“Future 50” in growth for<br />
small chains in America<br />
www.eastcoastwingsfranchise.com<br />
*This advertisement is not an <strong>of</strong>fering <strong>of</strong> a franchise. An <strong>of</strong>fering can be made only by prospectus. We only<br />
sell franchisees in states where our <strong>of</strong>fering is registered. “EBITDA as submitted by our full service franchised<br />
restaurants operating in 2014 as published in item 19 <strong>of</strong> our April 2015 Franchise Disclosure Document.<br />
Individual financial performance will vary.”<br />
©2015 East Coast Wings & Grill All Rights Reserved<br />
12.11.15 Lead Generation Ad 7.5" x 4.625".indd 1 12/11/15 11:52 AM<br />
12 | For more information on this report, visit: www.FranchiseBusinessReview.com
SPECIAL REPORT: <strong>Top</strong> <strong>Food</strong> <strong>Franchises</strong><br />
Melting Pot franchisee Mark Conway<br />
(left) is joined by his General Manager<br />
Tom Ford (far right) <strong>and</strong> their team.<br />
SUMMARY<br />
<strong>Food</strong> <strong>and</strong> beverage franchises <strong>of</strong>fer an exciting<br />
environment to business owners who don’t<br />
mind making a bigger financial investment,<br />
working long hours, <strong>and</strong> managing a large<br />
<strong>and</strong> diverse workforce. <strong>Food</strong> operators remain<br />
some <strong>of</strong> the most passionate in all <strong>of</strong> franchising,<br />
<strong>and</strong> while the investment is higher, so is<br />
the potential for return.<br />
Potential business owners may be initially<br />
attracted to the hype around a particular br<strong>and</strong><br />
or the overall idea <strong>of</strong> running a restaurant;<br />
but this should come second behind thorough<br />
due diligence. Prospective franchisees must<br />
do their homework <strong>and</strong> compare opportunities<br />
side-by-side—looking at both well-known<br />
br<strong>and</strong>s, as well as smaller, lesser-known<br />
companies. Every food franchise has its own<br />
culture, <strong>and</strong> franchisees should carefully<br />
consider how that culture fits with their own<br />
business goals before committing to a br<strong>and</strong>.<br />
For more detailed research on specific food<br />
<strong>and</strong> beverage franchises, as well as our Franchise<br />
Buyer’s Toolkit, which includes information<br />
on funding a franchise, F.D.D.s, a franchise<br />
comparison tool, <strong>and</strong> more, please visit us<br />
online at www.FranchiseBusinessReview.com.<br />
“ I believe what makes<br />
Captain D’s successful today<br />
is the revamped br<strong>and</strong>, from<br />
its signature high quality<br />
seafood <strong>and</strong> ongoing menu<br />
innovation to its modern<br />
restaurant design. Captain<br />
D’s clicked with me from day<br />
one, <strong>and</strong> I’m proud to be the<br />
owner <strong>of</strong> a great restaurant.”<br />
Ben Patel<br />
Multi-unit franchisee<br />
1.866.956.3501 | CaptainDsFranchising.com<br />
©<strong>2017</strong> Captain D’s, LLC. This is not an <strong>of</strong>fer to sell a franchise, which may occur only in applicable states <strong>and</strong> through<br />
a Franchise Document or prospectus.<br />
For more information on this report, visit: www.FranchiseBusinessReview.com | 13
SPECIAL REPORT: <strong>Top</strong> <strong>Food</strong> <strong>Franchises</strong> // MARKETPLACE<br />
<strong>2017</strong><br />
TOP 200<br />
FRANCHISES<br />
Today’s leading br<strong>and</strong>s based<br />
on FBR’s owner satisfaction data.<br />
*Full Satisfaction Report Available<br />
at FranchiseBusinessReview.com<br />
BUSINESS SERVICES<br />
ADVERTISING & SALES<br />
* Our Town America<br />
Pr<strong>of</strong>orma<br />
Welcomemat Services<br />
Natural Awakenings<br />
Town Money Saver<br />
AUTOMOTIVE<br />
* Christian Brothers Automotive<br />
* Snap-on Tools<br />
Mighty Distributing System<br />
Auto Appraisal Network<br />
Tint World<br />
Honest-1 Auto Care<br />
Carstar<br />
Priceless Rent-A-Car<br />
BUSINESS SERVICES<br />
Sanford Rose Associates<br />
* FASTSIGNS — more on right<br />
* S<strong>and</strong>ler Training<br />
* Minuteman Press<br />
* Murphy Business & Financial<br />
* ActionCOACH<br />
YESCO<br />
* Supporting Strategies<br />
Sir Speedy<br />
Brightway Insurance<br />
The @WORK Group<br />
Speedpro Imaging<br />
CHILD SERVICES<br />
* Soccer Shots<br />
JumpBunch<br />
* Amazing Athletes<br />
Great Play<br />
Young Rembr<strong>and</strong>ts<br />
Goldfish Swim School<br />
Drama Kids<br />
College + Nannies + Tutors<br />
CompuChild<br />
TGA Premier Golf & Tennis<br />
The Little Gym<br />
* TSS Photography<br />
KidsPark<br />
CLEANING & MAINTENANCE<br />
* MaidPro<br />
* Office Pride<br />
Aire-Master <strong>of</strong> America<br />
Rooterman<br />
Oxi Fresh Carpet Cleaning<br />
You’ve Got MAIDS<br />
Two Maids & A Mop<br />
Jan-Pro (Master Franchisors)<br />
Anago Cleaning Systems (Master Franchisors)<br />
* Image One<br />
EDUCATION<br />
* Mathnasium<br />
* The Goddard School<br />
The Tutoring Center<br />
Huntington Learning Center<br />
The Learning Experience<br />
Creative World School<br />
FINANCIAL SERVICES<br />
Estrella Insurance<br />
Padgett Business Services<br />
* Payroll Vault<br />
FITNESS<br />
Planet Fitness<br />
Orangetheory Fitness<br />
Fit4Mom<br />
9Round<br />
The Exercise Coach<br />
ILOVEKICKBOXING.COM<br />
Baby Boot Camp<br />
* Crunch Fitness<br />
The MAX Challenge<br />
Iron Tribe<br />
World Gym<br />
FOOD & BEVERAGE<br />
* Kona Ice<br />
Zaxby’s<br />
Culver’s<br />
Hwy 55 Burgers Shakes & Fries<br />
* Captain D’s — more on p. 13<br />
See page 16 for additional top franchises.<br />
Visit FBR50.com for br<strong>and</strong> details.<br />
FASTSIGNS<br />
Startup Investment: $82,239 – $267,520<br />
Cash Requirement: $80,000<br />
Total Units: 650+<br />
Signage has never been more important.<br />
Businesses are looking for new <strong>and</strong> better ways<br />
to compete. Industries must meet compliance<br />
st<strong>and</strong>ards. And advertisers are exp<strong>and</strong>ing into<br />
new media. Join the franchise that’s leading<br />
business communication. Our high st<strong>and</strong>ards<br />
for quality <strong>and</strong> customer service have made<br />
FASTSIGNS the most recognized br<strong>and</strong> in the<br />
industry, driving significantly more traffic to the<br />
Web than any other sign company. Recently,<br />
FASTSIGNS was named a 2016 Department <strong>of</strong><br />
Defense Employer Support Freedom Award<br />
winner. The Award is the highest recognition<br />
<strong>of</strong> employers for their exemplary support <strong>of</strong><br />
National Guard <strong>and</strong> Reserve members.<br />
For more information on FASTSIGNS<br />
opportunities, call (800) 827-7446<br />
or visit www.fastsigns.com.<br />
FOOD & BEVERAGE<br />
Lenny’s Sub Shop<br />
Startup Investment: $188,216 – $396,000<br />
Cash Requirement: $75,000<br />
Total Units: 96<br />
At Lennys Grill & Subs our vision is simple—<br />
consistently make <strong>and</strong> serve great food. Known<br />
for its fan favorites like “World Class Philly<br />
Cheesesteaks,” grilled <strong>and</strong> deli s<strong>and</strong>wiches as<br />
well as wraps <strong>and</strong> salads, Lennys Grill & Subs<br />
<strong>of</strong>fers breads baked fresh daily, premium meats<br />
sliced to order <strong>and</strong> freshly prepared toppings.<br />
Since launching a reimaging effort in 2016, the<br />
br<strong>and</strong> has provided guests with a new look, feel<br />
<strong>and</strong> an exp<strong>and</strong>ed menu at its restaurants to<br />
enhance the dining experience. With more than<br />
95 locations today, Lennys Grill & Subs continues<br />
to exp<strong>and</strong> throughout the Southeast by <strong>of</strong>fering<br />
single <strong>and</strong> multi-unit franchise opportunities.<br />
For more information on Lenny’s Sub Shop<br />
opportunities, call (877) 705-7827<br />
or visit www.lennysfranchise.com.<br />
14 | For more information on the companies in this report, visit www.FBR50.com
WARNING:<br />
BUYING THE WRONG FRANCHISE<br />
CAN SERIOUSLY DAMAGE YOUR FINANCIAL HEALTH.<br />
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one that will give you <strong>and</strong> your family a bright future. Franchise Business Review can help.<br />
Our Franchise Buyer’s Toolkit provides all the resources you need to make an informed franchise<br />
investment. Learn the ins <strong>and</strong> outs <strong>of</strong> buying a franchise, get tips from the pros, <strong>and</strong> access insider<br />
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Multi-Unit Deals<br />
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With more than <strong>40</strong> years <strong>of</strong> success <strong>and</strong> over 480 locations,<br />
Golden Corral is recognized as “America’s #1 buffet <strong>and</strong> grill.” †<br />
Our concept is a proven winner — a high-value, family-oriented lunch<br />
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*Actual restaurant size determined by building design; †Nation’s Restaurant News<br />
Contact: Annette Bagwell | abagwell@goldencorral.net | 800-284-5673 ext. 4479 | goldencorralfranchise.com/fbr<br />
For more information on the companies in this report, visit www.FBR50.com | 15
SPECIAL REPORT: <strong>Top</strong> <strong>Food</strong> <strong>Franchises</strong> // MARKETPLACE<br />
<strong>2017</strong> TOP 200<br />
FRANCHISES<br />
FOOD & BEVERAGE<br />
<strong>Food</strong> <strong>and</strong> <strong>Beverage</strong> continued<br />
Home Services continued<br />
* Hungry Howie’s Pizza & Subs —<br />
LaRosa’s Pizzeria<br />
* Checkers & Rally’s — more on p. 2<br />
more on inside<br />
front cover<br />
Fazoli’s Restaurants<br />
The Wendy’s Company<br />
Billy Sims Barbecue<br />
Ground Round<br />
Tropical Smoothie Cafe<br />
Penn Station<br />
* East Coast Wings & Grill — more on p. 12<br />
Nothing Bundt Cakes<br />
Wingstop<br />
Planet Sub<br />
* Marco’s Pizza<br />
* Firehouse Subs — more on back cover<br />
Lenny’s Sub Shop — more on p. 14<br />
Fuzzy’s Taco Shop<br />
Smoothie King — more on right<br />
Pizza Factory — more on right<br />
Donatos Pizza<br />
Taziki’s Mediterranean Cafe<br />
Dick’s Wings & Grill<br />
Pizza 9<br />
Jason’s Deli<br />
Jamba Juice<br />
Scooter’s C<strong>of</strong>fee<br />
* Happy & Healthy Products<br />
Biggby C<strong>of</strong>fee<br />
<strong>Top</strong>pers Pizza<br />
Bahama Buck’s<br />
Zoup! — more on p. 17<br />
* PJ’s C<strong>of</strong>fee<br />
Uno Chicago Grill<br />
Repicci’s Italian Ice<br />
Buffalo Wings & Rings<br />
HEALTH & BEAUTY<br />
Palm Beach Tan<br />
Sport Clips<br />
MY SALON Suite<br />
LaVida Massage<br />
HOME SERVICES<br />
* CertaPro Painters<br />
Budget Blinds<br />
* HouseMaster<br />
See page 17 for additional top franchises.<br />
Visit FBR50.com for br<strong>and</strong> details.<br />
Miracle Method Bath & Kitchen Restoration<br />
Surface Specialists Systems<br />
WOW 1 DAY PAINTING<br />
* DreamMaker Bath & Kitchen<br />
ASP – America’s Swimming Pool Co.<br />
Tailored Living<br />
California Closets<br />
ShelfGenie<br />
Five Star Painting<br />
AdvantaClean<br />
The Grout Doctor<br />
* Kitchen Solvers<br />
MarbleLife<br />
Go Mini’s<br />
PET SERVICES<br />
The Dog Wizard<br />
In Home Pet Services<br />
Pet Supplies ‘PLUS’<br />
Sit Means Sit Dog Training<br />
Dogtopia<br />
REAL ESTATE<br />
Keller Williams<br />
Sotheby’s International Realty<br />
Better Homes & Gardens Real Estate<br />
Weichert Real Estate<br />
* HomeVestors <strong>of</strong> America<br />
Coldwell Banker<br />
ERA<br />
Help-U-Sell Real Estate<br />
PropertyGuys.com<br />
United Country Real Estate<br />
Coldwell Banker Commercial<br />
Showhomes Home Staging<br />
RETAIL<br />
* Wild Birds Unlimited<br />
Pinch A Penny<br />
Rhea Lana’s<br />
Just Between Friends<br />
Family Fare<br />
* Big Frog Custom T-Shirts<br />
* Vapor Shark<br />
Color Me Mine<br />
Learning Express<br />
Good Feet Worldwide<br />
Pizza Factory<br />
Startup Investment: $156,000 – $643,500<br />
Cash Requirement: $90,000<br />
Total Units: 109<br />
Founded 30 years ago, Pizza Factory has become<br />
well known for serving fresh, high-quality pizza,<br />
s<strong>and</strong>wiches, salads <strong>and</strong> more. The br<strong>and</strong> is<br />
also widely recognized for its close community<br />
connection, which includes its iconic “No Bully<br />
Zone” program <strong>and</strong> impactful fundraising<br />
partnerships. Currently, there are more than 100<br />
locations based in five states throughout the<br />
West Coast. Pizza Factory looks to add additional<br />
franchise locations in key markets throughout the<br />
country, with a special focus on Texas, Colorado,<br />
New Mexico, Wyoming <strong>and</strong> Montana.<br />
For more information on Pizza Factory<br />
opportunities, call (562) 3<strong>40</strong>-6925<br />
or visit www.pizzafactoryfranchises.com.<br />
FOOD & BEVERAGE<br />
Smoothie King<br />
Startup Investment: $255,650 – $426,185<br />
Cash Requirement: $100,000<br />
Total Units: 907<br />
Smoothie King <strong>Franchises</strong>, Inc. is a privately held,<br />
New Orleans-area-based franchise company with<br />
more than 900 stores worldwide. By creating<br />
each smoothie with a purpose, Smoothie King<br />
makes it simple <strong>and</strong> pleasurable for guests to<br />
achieve their individual health <strong>and</strong> fitness goals<br />
as part <strong>of</strong> a low-calorie diet <strong>and</strong> regular exercise<br />
routine. The franchise also <strong>of</strong>fers a number <strong>of</strong><br />
better-for-you retail products, including sports<br />
beverages, energy bars, vitamin supplements<br />
<strong>and</strong> more. In 2016, Smoothie King was ranked<br />
No. 1 by Entrepreneur magazine in the juice bar<br />
category for the 24th year <strong>and</strong> No. 123 overall on<br />
the 2016 Franchise 500 list.<br />
For more information on Smoothie King<br />
opportunities, call (985) 635-6984<br />
or visit www.smoothiekingfranchise.com.<br />
16 | For more information on the companies in this report, visit www.FBR50.com
Join the Leading<br />
Soup Differentiated<br />
Restaurant Franchise<br />
• Lower cost <strong>of</strong> entry &<br />
shorter hours than other<br />
restaurant concepts<br />
• Strategic & authentic<br />
culture<br />
• Structure committed to<br />
relationships & support<br />
LOOKING FOR<br />
SOMETHING<br />
DIFFERENT?<br />
SENIOR CARE<br />
* Visiting Angels<br />
* Home Instead Senior Care<br />
Home Care Assistance<br />
* FirstLight Home Care<br />
Right at Home<br />
Assisting H<strong>and</strong>s<br />
Interim HealthCare<br />
* CarePatrol<br />
* Senior Care Authority<br />
Assisted Living Locators<br />
SERVICES<br />
* Weed Man<br />
* Two Men <strong>and</strong> A Truck<br />
* Window Genie<br />
Truly Nolen <strong>of</strong> America<br />
Men In Kilts<br />
FRSTeam<br />
Fibrenew<br />
Leather Medic<br />
* Fish Window Cleaning Services<br />
College Hunks Hauling Junk<br />
Complete Weddings <strong>and</strong> Events<br />
Precision Door Service<br />
A All Animal Control<br />
* Mosquito Joe<br />
PortraitEFX<br />
Real Property Management<br />
Creative Colors International<br />
101 Mobility<br />
Fastest Labs<br />
Paul Davis<br />
Glass Doctor<br />
SPORTS & REC<br />
* Pinot’s Palette<br />
American Poolplayers Association<br />
Painting with a Twist<br />
Kampgrounds <strong>of</strong> America/ KOA<br />
APEX Fun Run<br />
Sky Zone<br />
Wine <strong>and</strong> Design<br />
TECHNOLOGY<br />
TeamLogic IT<br />
TRAVEL & HOSPITALITY<br />
* Cruise Planners<br />
* CruiseOne<br />
Expedia CruiseShipCenters<br />
Learn more about our growing<br />
fast-casual concept at:<br />
zoupfranchise.com | 800.9<strong>40</strong>.9687 Ex 2<br />
LOCATIONS<br />
Visit FBR50.com for br<strong>and</strong> details.<br />
For more information on the companies in this report, visit www.FBR50.com | 17
©<strong>2017</strong> Firehouse Subs<br />
#1 America’s Favorite Chain<br />
for “<strong>Top</strong> 5 Br<strong>and</strong>s Overall”<br />
Restaurant Business<br />
#1 America’s Most Loved<br />
Fast <strong>Food</strong> Restaurant<br />
Business Insider<br />
#1 America’s Favorite<br />
S<strong>and</strong>wich Chain<br />
Market Force<br />
To own a franchise, visit FirehouseSubs.com/Franchising or call 877.887.8330.<br />
A STRATEGIC INITIATIVE OF THE INTERNATIONAL FRANCHISE ASSOCIATION SINCE 1991