Is opening up a franchise fast food restaurant a good idea?
Asked by
naivete (
2463)
December 29th, 2009
from iPhone
If someone in a big city were to open up a Subway in a shopping
plaza, would this be
cause for a great investment
or just a money loss? Have any of you had experience with franchises? What is your
opinion?
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7 Answers
well in a shopping plaza..yeah
I guess you would have a better chance with a franchise than to open your own sub shop !
Whether it’s a worthwhile investment depends on many things.
Which franchise? Is it a major one like Subway or a smaller one like Blimpie?
How many other Subways are there in the area and how close are they?
Is the shopping center busy?
Is there another place to eat in the shopping center that would be competition?
Is it in an upwardly mobile neighborhood or just somewhere the rent is cheap?
Is the person who will manage it a good manager?
With a bad economy now, i would be leary of opening anything new in business. i would wait at least six more months to see if our economy is really going to recover or if the Feds are just blowing smoke with their figures.
Fast food joints, when placed and advertised well, usually make for good small business investments. Make sure to scope out what kind of food places are in the area first before you set down, figure out your target demographic and how to most efficiently sell to them in the are you are setting down, and if you are building a franchise, make sure to go with one whose contract you can stomach. If you’re planning on going it alone, you’d be surprised on how many skills the common pedestrian pool has that go to waste because of the bureaucracy and red tape associated with getting a craft or skill job.
If you are fully familiar with the food industry, and experienced with franchise contracts, it can be a good investment. I would not recommend a novice get into it without knowing what they are getting into. You could gain experiemce by working as a manager in a francise restaurant and find out the inside information.
@YARNLADY Good answer. It’s always a good idea to start a fast food joint; but only if you know how.
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