There are 344 listings in this section of the directory. 288 of them state a starting investment, ranging from $475 to $11,800,000, with a median of $250,000. Figures are franchisor-supplied and should be confirmed before you rely on them.
Quick service is the most heavily franchised part of Canadian food service and the part with the most standardised economics. The format decides the cost: a food court counter in a mall, a street-level unit in a strip plaza, and a freestanding building with a drive-thru are three very different capital commitments, and the drive-thru is usually the most expensive and the most profitable per unit. Many franchisors in this category will only grant a drive-thru site to an operator who already runs units for them, so a first store is often an inline location whether or not that was the plan.
Two things separate quick service from the rest of the directory. One is that labour is the binding constraint rather than demand, so ask what the model assumes for hourly rates and staffing hours and compare that with what you can actually hire for locally. The other is that mall and plaza leases in this category frequently run percentage rent on top of base rent, which caps your upside on a strong location. Get the lease terms for a specific site before you treat any projection as real.
Multi-unit development is the norm here. If you intend to own one store, say so early, because some franchisors in this category only award area development agreements and will expect a commitment to three or more units.
Based on the 288 listings here that state a starting investment. The other 56 give no figure, or give one that cannot be read as a number.
Head office locations for the listings on this page: Ontario (12), Alberta (4), Quebec (2), British Columbia (1), Saskatchewan (1). Head office is not the same as where territory is available, so ask the franchisor which provinces they are currently granting.
Generally a food court or inline unit rather than a freestanding building, and a concept with a small kitchen footprint rather than a full cook line. Mobile and kiosk formats are cheaper again. The trade-off is usually lower sales volume per unit and, in a mall, percentage rent on top of base rent.
Some will and some will not. Multi-unit development agreements are common in this category and several franchisors only award territories of three units or more. Ask about single-unit availability in the first conversation rather than after you have spent money on due diligence.
Whether there is percentage rent on top of base rent, who is responsible for the fit-out and for restoring the unit at the end, how long the term is relative to the franchise term, and whether the franchisor holds the head lease and sublets to you. A franchise term that outlasts your lease, or the reverse, causes real problems later.
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