IS A PIZZA BUSINESS A GOOD INVESTMENT? 4 THINGS YOU SHOULD KNOW
Wondering if owning a pizza business is a good investment? Find out what you should consider before you buy.
Pizza has long been one of the world’s favorite foods. In the United States alone, 350 slices are eaten every second, and 40 percent of Americans claim to eat pizza at least once a week. It is a comfort food, a quick meal, a communal experience all wrapped into one. The undeniability of pizza makes it an appealing investment opportunity for prospective business owners, but with over half of the thousands of pizza restaurants operating across the country, what makes franchising a better option than taking the independent route?
NOT ALL PIZZA BUSINESSES ARE CREATED EQUAL
Many entrepreneurs will choose to open a pizza business as a passion project and armed with a lot of great ideas and lofty dreams, they choose to helm an independent venture. Unfortunately, these endeavors are riskier and often more expensive than the franchising path. Not only are you required to front the start-up costs, but you also must create your own marketing plan, build your brand, establish customer loyalty, and carve out a plan for long-term success all on your own. On the other hand, franchising allows you to make an agreed upon initial investment and open your doors with the backing and recognition of an established brand.
RISK AND REWARD
There are arguably more risks involved with opening an independent restaurant than buying a franchise operation. Statistically speaking, franchises have a higher success rate in the long-term. Many independent restaurants struggle or end up closing shop within the first few years of opening due to a variety of factors including lack of support and financial uncertainty.
From a purely financial standpoint, franchises carry much less risk. Upon signing your franchise agreement, the cost of entry and ongoing fees are laid out in plain, itemized descriptions, allowing you to avoid the curveballs and pitfalls that many independent restauranteurs may face.
Even with a focus as beloved as pizza, an independent business must go through challenges of establishing a name for itself among a crowded marketplace. With a franchise, you have a built-in business model, successful concept, and dedicated, ongoing support from a franchisor who is invested in your success. On top of that, you are opening your business with an already built-in customer base, therefore bypassing the time and effort it takes to make a name for yourself as an independent business.
TRIED AND TESTED
If you choose to open a pizza franchise instead of an independent business, you’ve likely done your due diligence in identifying the brand that best aligns with your values, plans, and goals. With so many options on the market it can seem like a daunting endeavor, but it also gives you the opportunity to find the perfect fit for your future.
One of the best things about investing in a pizza franchise like Your Pie is the knowledge that you’re partnering with a brand that has an established history of quality, customer loyalty, and franchise success. There is no period of trial and error; everything is systematically planned out and provided for you, established by the successful franchise owners who carved the path before you.
After years of experimenting, learning, and development, the best pizza franchises know what it takes to make a business thrive. Because of this, the business opportunity becomes very easy to scale if you so choose. In addition to more significant financial gain and security, multi-unit franchise owners often receive discounted franchise fees for every unit acquired after the first one. This benefits both the franchisor and franchisee by facilitating control over a particular territory, ensuring proliferation of the brand.
MAKE THE BEST INVESTMENT WITH YOUR PIE
As the nation’s first ever customizable fast casual pizza destination, Your Pie has been satisfying hungry diners and setting franchisees up for success since 2008. Optimizing the qualities that set us apart and keep us growing ensure that pizza business is always a good investment with Your Pie.
To learn more about franchising opportunities, click here.