Worth the risk

Hey guys

want to get a little feedback. would you guys think it is too much of a risk to open a small franchise shop " burger perfect " in our current time. I mean it will open just after the world cup?

Location is next to a highly succesfull pizza perfect and the ideal location.

But worth the risk??

Hmmmm its not easy work hey Roooz>

Tough stuff and if it doesn't go well then that's your buy in out out the window?? And opening after world cup?? I don't know what franchise and how much is buy in if you don't mind me asking>?<

Peace

Hahaha i know moose

But in my defence i paid my own school fees and varsity fees by working in hospitaly 3 diff jobs hahahaha was fun. Goeie drink tye hahaha, but could not afford the varsity anymore anywhoo. it is R 900 000 buy in, i am very impressed with the figures and business plans and the guy i am incorporating with is 16 years with the food group, I am just worried of this malema dillema hahahaha that it would influence a whole lot of shit on the wrong time

Hmmm, pizza perfect also makes chicken burgers dont they?? So then the only thing your shop would have is beef burgers? Thats a pretty limited menu

Well spike in the market pizza's are dominating and the market is killer because you have a lot of players. debonairs, scooters, pizza perfect, del forno, romans, and 1 or 2 more, the burger perfect is like steers. ribs, rolls, all that kind of stuff just with more variety on the burgers side, and players on burgers are very limited to uhm steers, macdonalds and uhm thats all i can think of. i know of market research there is a big demand for something differ from steers.

Hmmm, sounds alright. I just know that the pizza perfect chicken burgers are killer. Used to work at a pizza perfect and still know a couple guys involved in the francise down here in durbs.
Also whats the profit margin like on takeaway joints? Its fairly low isnt it?

Ja it is hey but thats why every one has 4 hahaha the turnover is about 200k a month minimum on that you will pay out about 40k net profit

Roozer, you're gonna defend all the angles we're gonna throw at you. I've looked into the Pizza/Chicken/Burger Perfect franchise and the franchise cost is quite high and also the profit sharing.

Why is the other guy looking for a partner?

It normally makes good business sense to have at least two to three times input cost as back up. Meaning if you putting in R900000 you'll need upwards of R1.8mil!

Remember in the food industry there's continuous and intensive running costs.

Hahaha i know vega and that is why i like the critisism. the guy isnt looking for a partner. shop opened next to him and head office asked him to open burger perfect but he has already to much to handle. and yes i am aware of the running capital for about a year hahaha.

Roozer wrote:

Hahaha i know vega and that is why i like the critisism. the guy isnt looking for a partner. shop opened next to him and head office asked him to open burger perfect but he has already to much to handle. and yes i am aware of the running capital for about a year hahaha.

Just checking!

Roozer wrote:

Hey guys

want to get a little feedback. would you guys think it is too much of a risk to open a small franchise shop " burger perfect " in our current time. I mean it will open just after the world cup?

Location is next to a highly succesfull pizza perfect and the ideal location.

But worth the risk??

Its the location thats going to be the critical factor in the investment. Why not do a month long analysis of the feet that pass through/past the location and then canvas people in the area in regards to whether they would actually support a Burger Perfect?

Franchises are in general a good investment as they are based on a working formula in regards to menus, ingredients as well as the advertising resources of a larger organisation plus the franchisee has access to a large support base by being able to consult with existing franchises in regards to best practices etc. The flip side is that you will have to pay franchise fees and in some cases they can be excessivly high so be really careful in establishing your exact overheads.

We have a Burger Perfect up the road in a really busy strip mall right next door to a Scooters Pizza. Seems to be doing really well and on Friday to Sunday you normally see clients in an out the shop. Thing is, I dont believe Scooters sells burgers whereas in your case Pizza Perfect does so you`ll have a direct competitor right next door. If you went ahead you could possible end up in a price war which would erode your already low margins.

Hahahah thanx for the info barbell. well With the group there are no franchise fees, you only pay royalties on say your merchandise and packaging, so works out a small percentage of your monthly turnover about 6%. Canvassing was already done people are liking the idea. Because other take away plaves are a drive away.

And remember the pizza perfect and burger perfect are in the same group prices will be the same on the burgers then. they compensate both owners with a fair chance

Haha the one main reason is i am young with no wive or kids.
Can still take the chance, but had a rough 2 years lost quite alot. i mean i am back with the parents hahahaha. I am a financial advisor and market killed me, because there is no secrurity, hahahaha. I need a job that i can finish my studies with a fixed salary. Or I am going to take the chance with this hahahahahaha. You got to risk it to get the biscuit

Roozer where are you based? If I can give you a good Idea contact a GIS company in your area and ask them for to give you the information about average incomes in the area surrounding the business. They can do this from sensus records. You will then be able to check whether the franchise figures matches up with real world figures.

thanx beast well i am based in west rand. I actually know the people good and surroundings so i canvassed them my self and all is good better than head office of the food group projections.

Which Pizza Perfect on the West Rand? I know them all then I'll tell you if its a good idea.

There is one a few blocks from me. Just off Hendrik Potgieter ?!?

I still have to go past a buy some chow.. If its your place , I will wink twice , pull my ear and do the secret bambie dance on one leg

acidkidsa wrote:

There is one a few blocks from me. Just off Hendrik Potgieter ?!?

I still have to go past a buy some chow.. If its your place , I will wink twice , pull my ear and do the secret bambie dance on one leg

The guy who owns that one and the on 14th Ave in Blackheath is at my gym.

It is actually the one in Roodekrans on Ouklip.

acidkidsa wrote:

There is one a few blocks from me. Just off Hendrik Potgieter ?!?

I still have to go past a buy some chow.. If its your place , I will wink twice , pull my ear and do the secret bambie dance on one leg

I will do the secret downsyndrome chicken dance to wave back

If I can make two suggestions:

1. Listen to Superbeast and get a GIS analysis of the area - its really worth it and might surprise you. I work with it and I can vouch for it.

2. When it comes to food dont take too much for granted - family member of mine is in the food industry (supplying a whole province's chain stores) When he got to this one new place the stuff that sell's 5-6X more in the rest of the province just wont sell and his pheriperal product shot through the roof. Reason - last place was close to a gym = people who are more health consicous.

Just throwing it out there

Oh and on the topic of location..... (File Removed)

Roozer wrote:

It is actually the one in Roodekrans on Ouklip.

Yeah, I know that one. Its on my way home in the afternoon. Is that not a Pizza/Chicken Perfect combo also?

How plans going on this one Roozer?

Hey Vega this the plans are still intact. I am just taking it slowly getting all info to supress the risk? then i am looking into buying a well known newscafe aswell, still waiting for an answer from my partner.

All thumbs crossed and hoping it will realise. Everything is sorted its now just the moola $$$$$$$$ i am waiting for hahahaha. Thanx for asking

News Cafe's are not the same as they use to be..
Out dated.. Old ..

They need a new look or something...

I fogot!! Hooters is opening in Fourways