Franchise vs. Independent Restaurant
So, you’re considering opening a restaurant. That’s great! But now you are faced with a critical decision—do I invest in a franchise or start an independent restaurant? When deciding to open your own business, knowing and understanding your options can help you make the best decisions for your lifestyle and budget, while also avoiding failing as a business owner. Opening a restaurant should be an exciting adventure, full of new opportunities, experiences, and financial reward. But before diving into the deep end of entrepreneurship, you must educate yourself on the differences between franchises and independent restaurants to fully comprehend the advantages and shortcomings of both options.
Did you know that a 2014 study performed by two UC Berkeley economists revealed that 17 percent of independently owned full service restaurants failed in their first year of operation? However, don’t let fear of failure deter you from considering owning your own restaurant. By knowing the differences between striking out on your own with an independent restaurant versus joining a franchise with an established business model and network, those fears will begin to subside and give you clarity on the best choice for your long-term business and financial goals.
How are Franchise and Independent Restaurants Different?
As the name might suggest, owning an independent restaurant means you are solely responsible for all aspects of the business, while owning a franchise makes you a part of a larger brand that consists of a network of restaurants in the region, or even nationwide. While owners of either type of restaurant operate with autonomy, the differences in financial obligation, structure, and more can make or break the success of a restaurant after opening.
Let’s start with the biggest consideration for most people—money. To cover the traditional start-up costs, marketing plans, design and construction of the building that will house your restaurant, and other necessary expenditures, independent restaurant owners must source their own vendors and services, and continuously pay the entirety for each out of their own pockets. Oftentimes, this means it can take several years before owners start to see a profit from their business. Franchise owners, on the other hand, pay an upfront lump sum, making it a comparably lower initial investment that grants access to the resources for all their startup and extra needs, saving time and expenses that could be allocated to other needs.
While independent restaurant owners can be more creative with the design of their establishment and the offerings, they must also create and test their own business model. Franchise owners can rely on an already established business model that has been tested countless times and comes with the training and support needed for a first-time restaurant owner. Independent restaurants must build their brand’s reputation and customer base from scratch, whereas franchised restaurants become part of a brand that is already recognized and trusted by customers.
Opening your own franchise restaurant, like a Blimpie sub sandwich quick service restaurant, offers more business and financial security than taking the leap to start your own unique restaurant from scratch. As part of a franchise, restaurant owners are equipped with the support of a larger group that is just as invested in the success of their franchisees’ restaurant as the success of the brand in its entirety. As these franchise organizations have experience and practice building, owning, and operating their chain of restaurants, owners can rest assured that they will have the support to see their business grow.
Trying to juggle the many responsibilities that come with business ownership can be a stressful struggle, especially for first time business owners. Investing in a franchise can save time and remove the logistical stress of opening a business. While there are still plenty of hours and effort to be put in to open and operate your own business, opening a franchise gives you the starter kit and owner’s manual to open your own location and build a loyal customer base. This framework can include a number of services, including marketing and public relations, real estate support, training, and business development.
What You Get When You Franchise with Blimpie
Is a franchise starting to sound more appealing for your next, or maybe first, business venture? Then joining the Blimpie family is the perfect quick service restaurant franchise to launch you into business ownership. With more than 50 years in the sub sandwich industry, the brand has spent decades adapting and approving its business model, and building a reliable brand for its many diners nationwide.
As Blimpie is part of Kahala Brands—a network of 28 different restaurant brands—franchisees are provided with access to passionate in-house teams with seasoned industry veterans that support each owner in various fields of expertise, ranging from real estate and design to marketing to research & development to operations. Each Blimpie’s is outfitted with cutting-edge technology for efficient operations and customer service, and as a brand, embraces change to face the challenges of the times. Each owner receives thorough training to walk through the ins and outs of being a thriving sub sandwich shop owner.
These tools, and so many more, are truly the keys to growth for each Blimpie franchise owner. With affordable options ranging from $74,780, Blimpie is a quality, time-honored brand to invest in, and set yourself up for growth as your own boss without the fear of failure holding back.
Join the Blimpie Franchise Family Today!
Is the idea of owning a franchise and becoming part of an established brand of restaurants with proven growth and a lower initial investment sounding more and more like your path to business ownership? Learn how you can own a Blimpie franchise by reading through our extensive and thorough research pages here and filling out our request franchise information form here.