Restaurants and franchises generate over a trillion dollars every year, and more people are dining out, whether it is to grab a quick bite to eat or to sit down and enjoy a fine dining experience. For entrepreneurs, the decision between launching a restaurant or a franchise can be challenging, because both offer similar yet very distinct opportunities.
The Advantages of Owning a Restaurant
Opening a restaurant allows you to control everything from the décor to the menu, specials, hours of operations, and the pricing. The first year is usually the leanest in terms of profits, but a restaurant with staying power can be extremely profitable. It takes a daring entrepreneur to make the plunge into restaurant ownership, but with a lot of hard work and dedication, a good restaurant becomes a destination for people to go and experience your creations. To launch a restaurant, an entrepreneur needs to do thorough research to see what other nearby establishments are offering, because an identical menu will not gain much traction. Additionally, restaurant owners need real estate, equipment, supplies, inventory, trained employees, a strong marketing campaign, permits, licenses, and enough working capital to sustain operations.
The Advantages of Owning a Franchise
Franchises offer some of the most turn-key opportunities for entrepreneurs. Franchise companies have training, suppliers, and marketing built-in, and the best practices have been tried and tested for years. As with restaurants, franchises also require real estate, equipment, and working capital, except the franchisor will help you choose the optimal location to get the most customers. Another benefit of launching a franchise is that the franchisor can offer guidance if you run into any obstacles. There are also options to purchase existing franchise establishments or launch one from the ground up. Franchises are also very lucrative, and many owners end up growing operations by purchasing multiple establishments.
Financing for Restaurants and Franchises
Nanaki Capital help entrepreneurs who want to open or expand restaurants and franchises. From working capital loans to real estate, equipment, unsecured lines of credit, and more, we’ve got you covered. Whether you are launching your first restaurant or franchise or if you are expanding your empire, the experts at Nanaki Capital will work with you to create a solution tailored to your needs.
