Simple Steps to Expand Your Franchise Restaurants - PowerPoint PPT Presentation

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Simple Steps to Expand Your Franchise Restaurants

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Simple Steps to Expand Your Franchise Restaurants Before you start looking for business partners and roll out your Franchise Restaurant License, you should evaluate your business from end-to-end. The most crucial aspect to consider is, is your concept scalable? Can it be systemized and standardized? Often, Franchise Outlets fail because they are not able to maintain the consistency and standards of the leading brand.(BBGV622021) – PowerPoint PPT presentation

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Title: Simple Steps to Expand Your Franchise Restaurants


1
Simple Steps to Expand Your Franchise
Restaurants
2
  • Before you start looking for business partners
    and roll out your Franchise Restaurant License,
    you should evaluate your business from
    end-to-end. The most crucial aspect to consider
    is, is your concept scalable? Can it be
    systemized and standardized? Often, Franchise
    Outlets fail because they are not able to
    maintain the consistency and standards of the
    leading brand.(BBGV622021)The cost structure
    includes the following Initial setup cost
    Infrastructure development Equipment required
    Technology Marketing plan Human resource

3
  • 2. Robust ProcessIf your concept is
    replicable,then you need to establish a robust
    and efficient process to ensure consistency
    across outlets. The main aspects are Sales
    Reporting and Tracking Stock and Inventory
    Process Supply Chain Management Vendor
    Management Pay-outs and Commission Management
    Staff Training New call-to-action3.
    Trademark and Logo RegistrationWhen you
    franchise your restaurant, you give someone the
    right to use Your logo and Trademark. Hence,
    registering your brands logo and acquiring a
    trademark is the most important, yet often most
    ignored the step of franchising your restaurant.
    Registering for a trademark becomes essential
    when you begin to think of Franchise Restaurants.
    To protect your Intellectual Property,
    franchisors should get everything registered, to
    protect from a fraudulent Franchise party.

4
  • 4. Cost EstimationAfter deciding the processes,
    you need to prepare an initial setup cost or
    investment plan for Franchise Restaurants. The
    top restaurant franchise business models owe
    their success to accurate cost estimation and
    cutting down on their food costs, wherever
    possible. It should have all the possible heads
    of expenditure. Based on your restaurants
    business model, divide the initial setup
    costs. Infrastructure Location (Rent for
    three months) Interiors Electric and
    Electronic Fittings Furniture Branding /
    Signage (Interior / exterior) Licensing
    Establishment Cost5. Cash Flow and Financial
    ProjectionBased on the current and the past
    sales of your restaurant, consider the current
    Cash Flow and the Financial Projections. The
    franchisor should prepare a cash flow for the
    revenues based on the number of orders per day
    and multiply it by the average ticket size.

5
  • 6. Brand ProfilePrepare a Brand Profile and to
    give a better understanding of your Franchisees.
    You must be in the zone of competing with the top
    restaurant franchises in India. The documents
    should contain the vision of the brand. It should
    also give the vision of the brand provide a brief
    detail about the products and services offered
    along with the schedule of the opening of the
    news outlet.You also need to mention what kind
    of support you would be providing to the
    restaurant franchise before and after the
    establishment. This will enable you to induce
    some level of consistency in the brand. As
    mentioned earlier, consistency may be lost when
    you franchise your restaurant, which will tarnish
    the parent brands reputation. To avoid such a
    situation, create a culture of adhering to the
    brand values from the start.7. Franchise
    AgreementSince there are no laws specific to
    Restaurant Franchising, it is vital to have a
    registered agreement between the two parties to
    protect the rights of both the franchisor as well
    as the franchise. The Agreement should speak
    about the payment, plan, tenure, schedule,
    royalty, and the support the franchisor will
    provide to the franchise. At times, the Franchise
    Restaurants stops paying the royalty once the
    business has been set up.

6
  • 8. TrainingTraining of the Staff is essential
    to maintain the standards of the product as the
    original Franchise Restaurants. The franchisor
    should execute the training of the entire staff,
    right from the Head Chef to the busboys. The
    induction and training of the new employees
    should be done much before the opening of the
    Franchise Outlet.Most successful Franchisors
    prefer to recruit at least a few employees one
    month before the opening of the new outlet and
    give hands-on training to the existing outlets to
    provide the recruits with an idea of the level of
    services expected from them. Some Franchisors
    also employ some of their old stuff at the new
    outlet to train the new employees.9. Marketing
    and AdvertisingBased on the geographies, the
    franchisor can support the franchisee in
    marketing and advertising by including it in the
    original plan or help them understand the market
    and execute marketing activities on behalf of the
    franchisee in the initial days. It is vital to
    have a clear Brand Guideline for the Franchisees
    to adhere to.Clearly outline what all tasks the
    individual Franchise Outlets are responsible for,
    such as having a Social Media presence, listing
    on Restaurant Review Sites, etc. Remember to
    provide templates, logos, and other
    Brand-specific items such as menu design to
    ensure consistency across all outlets.

7
  • 10. SupportThe franchisor should clearly spell
    out the support it will give to the franchise.
    For example, some Franchisors only offer support
    in Infrastructure Development, operations,
    training, and Software, while some also supply
    raw materials. The support should be mentioned in
    the Agreement to avoid any confusion later on.
    Replicating the success of an already established
    restaurant is quite a daunting task. There are
    multiple challenges at each level, the primary
    ones maintaining consistency in terms of the
    taste of the food and the service provided.11.
    Do you need help?Do you also want to Expand
    Your Franchise Restaurants? Do you need our help?
    You too can take a step forward. Contact us for
    more information.Contact Us
  •  Ph 91 92220 86563
  •  
  • Address 450, Mastermind One - IT Park, Royal
    Palms, Aarey Colony, Goregaon(E), Mumbai,
    Maharashtra 400065.
  •  
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