Anyone here own a franchised business?

[SMKR]

It usually goes in one ear and right out the other. I always tell them to look at McDonald's. Shit food aside, there is a reason they are so successful and you rarely see one go out of business. Their requirements for operating capital are seriously high. But it works for them, obviously.

I think people fall in love with the idea of owning a bar, or restaurant, and that love blinds them to the point where they won't listen to anyone.

x100. If I had a dollar for every corporate refugee that told me they wanted to own and run a successful bar.....smh

[GhostTX]

I love their chili-cheese dogs.. Have always been my favorite.

I'm bummed they closed the Del Taco in Irving.

I miss me some Weinerschnitzel...

...and about a dozen other chains up here.

[Broncojohnny]

Amen, that franchise is a joke.

http://www.unhappyfranchisee.com/

Read the comments about Snap On. Hilarious! Who would have thought it would be tough selling $50 wrenches?

[bluecollar]

Some chains have high net worth requirements. I'd like to open a Napa store but really haven't done much but think about it.

Although not a franchise, this is the problem that a lot of people run into if they think they are going to start up a pawn shop. You have to have a decent stack in the bank to get approved. And trust me, they check and double check to make sure it's there.

I love hearing all of the "yeah I thought about opening one but ya know, I didn't feel like it"

[SMKR]

Read the comments about Snap On. Hilarious! Who would have thought it would be tough selling $50 wrenches?

lol........

[SMKR]

I love hearing all of the "yeah I thought about opening one but ya know, I didn't feel like it"

yep, everyone says that once their credentials don't check out.....

[Broncojohnny]

Although not a franchise, this is the problem that a lot of people run into if they think they are going to start up a pawn shop. You have to have a decent stack in the bank to get approved. And trust me, they check and double check to make sure it's there.

I love hearing all of the "yeah I thought about opening one but ya know, I didn't feel like it"

And not only is it a matter of having the capital, it is also a matter of being willing to tie it up. If I remember right it was $100K. I have read the rules but it wasn't real clear if you could keep the money in a brokerage account or if it has to sit in a bank account earning jack shit for a return.

[bluecollar]

And not only is it a matter of having the capital, it is also a matter of being willing to tie it up. If I remember right it was $100K. I have read the rules but it wasn't real clear if you could keep the money in a brokerage account or if it has to sit in a bank account earning jack shit for a return.

150k. Has to be unencumbered cash in the bank, or combination of cash and owned inventory. They can and will randomly pull your bank info to verify that the funds are still readily available.

[gearjammer351]

I think people fall in love with the idea of owning a bar, or restaurant, and that love blinds them to the point where they won't listen to anyone. The fact of the matter is they are a shit ton of work, and EVERYONE is stealing from you.

I read some advice on an open forum about opening/operating a bar, and one guy claims to have done it; the exchange went like this:

Poster A: "If you open a bar, you should hire your relatives"

Poster B: "That sounds like a bad idea. why do you say that?"

Poster A: "Because your employees are going to steal from you, and you might as well keep the money in the family."

[AdamLX]

High net worth and high operating costs set aside in a separate account. Not all franchises, but many. And I personally agree with the operating costs. It's the biggest reason restaurants and bars fail.


Then there are franchises like Dickey's. They'll franchise anyone with a pulse, and a couple pennies

Just saw a Dickeys franchisee that I worked with (approved by Dickeys already) with a credit score just north of 500, and the bare minimum in assets.

[bluecollar]

Just saw a Dickeys franchisee that I worked with (approved by Dickeys already) with a credit score just north of 500, and the bare minimum in assets.

Wow. What's the requirements to be approved, breathing and possibly own your own vehicle? lol

[Craizie]

I know several people that disagree with that. Their franchisees do pretty well. It's more possible than not that foodservice just wasn't her thing.

The people that work for Lear ( managers and up ) that I know do very well for themselves and love working there.

[BradM]

I had no idea what I was getting into when I opened my bar. Probably why it was only open 2 years. I had to learn so much stuff it was pretty overwhelming. I'm glad I did it but wouldn't do it again unless I just had retarded amounts of money.

[bcoop]

Wow. What's the requirements to be approved, breathing and possibly own your own vehicle? lol

You have to buy a van as part of the franchise deal, so yeah, basically. If you can get approved for a van, you can buy a Dickie's franchise. Credit and bank accounts be damned. Even if you're an RSO.

[Tyrone Biggums]

Some chains have high net worth requirements. I'd like to open a Napa store but really haven't done much but think about it.

You've never mentioned this that I can recall. After 17 years in one, I may be able to provide some answers to certain questions. Been a while since we've had a drink anyways.