Papa John’s is a Pizza delivery chain of restaurants in the United States. It is named as one of the largest and fastest growing pizza companies in the world and is ranked high in customer satisfaction.
The concept of Papa John’s was visualized and initiated by John Schnatter who started his career in the same industry by delivering pizzas as a pizza driver. After graduation he had an opportunity to work in his father’s bar, but he wanted to serve his own pizza to his own customers. To accomplish this goal John sold his car.
In a very short time, Papa John’s has achieved huge success of being one of the largest pizza companies and getting high ranks in customer satisfaction. One reason for their success, as stated by their tag line “Better Ingredients, Better Pizza”, Papa John’s uses the finest of ingredients in its preparation and presentation. From water to protein enriched flour, meats, cheeses, vegetables and other ingredients Papa John’s focuses on fresh, clean and hygienic products. Each pizza is served with the required garlic sauce to dip and thin crust.
In case you are looking to partner with Papa John’s in the business of serving the high quality pizzas to your customers, and opting for a Papa John’s franchise you must have at least a rough idea about the initial franchise fees.
Franchise Cost:
• Minimum net worth for one unit is $250,000; 4 to 10 units are $1 million, and 11+ units require $2 million in net worth.
• Liquid assets consisting of cash and/or readily available financing should total at least $250,000 for any number of units.
• At least one partner, a successful business management background, and close proximity to the location chosen.
• Franchise fee is low at $25,000
• 5% ongoing royalty fee payable monthly.
• The estimated investment is between $160,000 and $395,000 with an average unit of 1200 to 1400 square feet in a strip center running about $220,000.
• Renewable every 10 years.
Pros
• Absentee Ownership – Actually encouraged if you don’t have QSR experience.
• Ranking – Recently named the #10 Global Franchise by Entrepreneur Magazine.
Cons
• Forced Marketing Budget – A franchisee must spend a minimum of 7% of the monthly net on marketing.
Papa John’s Franchise Information:
Business Established: 1985
Franchising Since: 1986
Franchise Fee: $25,000
Total Investment (US): $160,000 to $395,000
When looking to start any business it is important, particularly considering today’s market, that you look for specific ways to cut minimize or reduce overhead and risk. Any business is going to have risk, but it is important to have a full understanding of the amount of investment, startup cost and “ROI” (Return on Investment).
Did you know that 80% of ALL franchise endeavors fail in the first two to five years leaving large debts looming for years thereafter?
You can cut your risk by taking advantage of the new age of entrepreneurship. Opportunities have emerged in the online market that are creating millionaires every single day. Learn more about the exciting opportunities tied to a business model that begins profitable by visiting: http://whatsbetterthanafranchise.com.