how much sale should be good to get good profit?
2006-12-02 06:50:48 · 3 answers · asked by Anonymous in Business & Finance ➔ Corporations
Quiznos is ranked as the #2 franchise in the US today after Subway. So you can expect a demand for its products
However, it requires a stiff investment with total requirements reaching as high as $71.7K-251.1K depending on your location and size of the store. In addition, you pay a franchise fee: $10K-25K PLUS an ongoing royalty fee: 7%. With all the fees, you need to really make a good profit
To be accepted as a franchisee, here are the requirements (you need to have money at hand as well as industry experience):
- Net worth requirement: $125K
- Cash liquidity requirement: $60K
- Business Experience: Industry experience and General business experience
2006-12-02 06:58:14 · answer #1 · answered by imisidro 7 · 0⤊ 0⤋
I would recommend you go beyond the corporate details and look at some of the problems. Recently, there has been litigation regarding location selections. Franchisees have stated that Quiznos is growing so fast that their attention has been diverted from proper operational issues of the franchise itself. Now that's not to say that Quiznos isn't addressing the issues but it is still something you want to take a good look at before you dive in.
Additionally, I'll suggest what I always do when looking at a franchise..............Look at EXISTING shops. There are some great deals out there from disillusioned or burned out owners. Often, you can find an existing business at or below what it would take to open one from scratch and many times it is either profitable or at least breaking even. Realize that opening one from scratch could take 1-2 years just to reach the point where you're not having to supplement it out of your working capital before it holds its own. This is true with any franchise.
2006-12-04 02:15:48 · answer #2 · answered by fedupfranchisee 2 · 1⤊ 0⤋
Quizno's was just named in a huge lawsuit by 25 franchise owners in Wisconsin for lieing to it's owners about how much profit can be made and makeing them buy expensive supplies from them but not allowing them to charge more for subs to offset the expense. I would stay away from Quizno's. Liberty Tax Service is another well known franchise for lieing to potential owners about the cost's and revenue expectation's so watch out for them also.
2006-12-05 23:46:43 · answer #3 · answered by mrfoxhorn 5 · 1⤊ 0⤋