When you’re considering the thought of beginning a franchise business, there are many options to choose from. You not only want to choose an industry that you’re passionate about but one that’s values and requirements meet your needs.
And if you’re a food who especially enjoys breakfast, Einstein Bros Bagels is a fantastic franchise opportunity. Freshly baked bagels, specialty crafted sandwiches, delectable coffee, and so many more options to choose from.
The franchise opportunity is no different.
There are a lot of conditions and benefits for franchising this specific establishment. I’ll go through them all and then you can decide if Einstein Bros Bagels is the best decision for you.
Although, you may want to go further and ask the company themselves about certain financial and turnover rate questions. I’ll still give you the run-down that can help you make a quick and educated choice for beginning a franchise business for this company.
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Choosing the Best: Einstein Bros Bagels
What’s better than going to the corner bagel shop for an amazingly crafted sandwich and fresh-baked bagels for your morning commute?
Possibly, franchising that exceptional establishment?
At Einstein Bros Bagels, they take your morning (or brunch) meal and turn it into a wonderful time. Not only do they offer an actual store for you to visit, but they also provide catering for special events or corporate meetings.
With Einstein Bros, it’s more than just food, it’s an experience. They are ready to serve their customers with fresh food and Caribou coffee, wholesomely made.
The company provides your neighborhood with an exceptional establishment to enjoy a tasty breakfast and lunch. If you want a piece of that, keep reading to find out more about this awesome franchise opportunity for Einstein Bros Bagels.
Calculating Growth and Turnover Rates
Although you won’t get a direct answer of how much you can potentially make with this opportunity (due to federal regulations), there are many other aspects that you will want to check into before making the life-changing decision to franchise Einstein Bros Bagels.
What exactly do I mean by that?
Things like the growth in the number of franchise outlets and the turnover rates of franchises that are no longer in business are especially important for you to know.
Since the beginning of the franchise opportunity in 2006, there have been an exceptional number of outlets opened.
As of 2016, there are currently 374 outlets being run by franchisees. That is a very high number for only being available for franchising for a little over 10 years.
In fact, in 2010, that number was only at 19. So that means the growth of franchise outlets rose by 355 in only 6 years. I can only guess that Einstein Bros Bagels is obviously considered a wonderful opportunity for a franchise.
Although, that’s not the only consideration that you need to factor in. The turnover rate needs to be looked at and completely understood.
After all, you don’t want to get into this business if the turnover rate is extraordinarily high. That would mean that the past franchisees did not see any worth or profit in the business.
So, what is the turnover rate for Einstein Bros Bagels?
It actually comes in pretty low at about 7.9. Which is very decent considering the number of outlets is almost 400.
However, when speaking with the company, you’ll want to make sure to ask for more detailed information about their turnover rate. Such as how many of those were non-renewals, terminations, or transfers.
This will be able to tell you how often individuals decided that the business wasn’t worth it for the money, or if they just decided not to renew their franchise outlet.
While we’re talking about the outlets, let’s find out how much the opportunity costs and if there are any specific perks to running the business.
Franchising Requirements
What exactly is the whole franchising business going to run you, and is it even going to worth it in the end?
Honestly, compared to other establishments like Einstein Bros Bagels, it’s not too expensive for the initial fee. The initial franchise fee will cost you between $12,500 and $35,000.
Sure it’s a pretty heavy range, but it’s not too pricey.
However, when you take a look at the total amount that you need to invest, you’ll be shelling out between $138,000 and $920,000. That’s also a very wide range.
But it will all depend on certain conditions. Besides the regular franchising fee, you’ll also be paying an ongoing royalty fee of 5% and an advertising fee of 4%.
Compared to other establishments like Einstein’s, the royalty fee is pretty low, but the advertising fee is slightly higher than average.
There are some perks to franchising the business of Einstein Bros Bagels, though. They provide an excellent amount of financial transparency.
If you decide to pursue this business, you’ll get generated reports on expense data, average revenue numbers, hypothetical information, sales numbers from other locations, and a few other metrics for the industry.
All of the information that they are willing to provide is definitely a great quality of the company, considering not all businesses offer this level of transparency.
The company also offers training and computer support so that you’re not feeling entirely lost when you begin your new journey.
You also receive territory rights and discounts if you’re purchasing more than one outlet.
So overall, you’ll be getting a decent number of perks for the amount that you’re investing in this franchise opportunity.
Wrapping it Up
You’ve got your heart set on beginning a new adventure into franchising, but you’re completely lost on where to get started and what to look for.
However, now, you should have some more insight on the franchise opportunity for Einstein Bros Bagels.
You should also now be able to understand the requirements and figure out if it’s something that you would like to look into further. There are most likely many other questions filling your head about this opportunity.
Which would make it the perfect time to get in contact with Einstein Bros Bagels and ask the best and most relevant questions to fully understand the entire process.
Some more important questions to ask would be; What is the cost to renew the franchise outlet?
If need, how can the franchise agreement be terminated?
Also, how many times can the agreement be renewed?
How many outlets have been renewed and closed?
All of these are great questions to consider when speaking with the company. After getting these questions answered (and more), you should be on your way to making one of the best and most important decisions in your lifetime!
Why Lead Generation Is Preferable Business Than Franchising In 2019
Like any other risks in business, you must have around $250,000 as an initial startup before you can start franchising brands like Einstein Bros Bagels. As I pointed out earlier, the startup fee may cost you close to a million dollars plus training as a franchisee.
Not including the market research, you need to comply with the company requirements before they grant you the authorization to sell their products under you.
Though they promise low rates when it comes to royalty fees, you need to spend a higher fee for the advertising without assurance you’ll get the ROI you expected from the beginning.
Besides, you’re dealing with physical goods. It’s also your responsibility to handle the inventory and other-related tasks to make it run smoothly.
This is where the lead generation business becomes the biggest advantage.
Apart from the low-cost startup, your business guarantees a 100% long-term and longest viability because the internet continues all through the years.
I don’t the internet shuts down anytime soon.
Plus, according to the recent US Small Business Administration reports, there are around 30 million small businesses operating across the country. Research tells there are at least 50 niches available out there.
In the modern business industry, it is a must for every small business owners to gain knowledge about how online visibility works.
In 2019, everyone is already connected to the worldwide web using their smartphones. Thus, every businessman is aware their potential customers lurk around the corners on the search engine in search of products or services they could purchase and use.
The problem is they don’t know how to position their selves right through their target market. They may hire someone to put up a website for them, however, it doesn’t generate enough traffic to rank on the top page on Google search results.
This is why I am convinced that you can make use of that need to build your business this year.
Why would you risk so much to a business nobody wants, right?
In 1.5 billion different available markets, rest assured that each small business need you to provide them the leads they’re desperate getting. That entails a high-income skill set and a laser-focused attitude when it comes to reaching your financial goals.
Take a look at my first lead gen site for a Limo company in Lansing, MI. I created a simple website like this for around 6 hours, including the time I spent on ranking it on the search engine. Since then, I am earning $750 per month from without touching anything after I made it 4 years ago.
Knowledge alone won’t be enough. Rather, the skills you will learn in our lead generation coaching program will give you more opportunities to be an effective online marketer without being too sales-y to your clients.
In our program, you will learn not only the EXACT steps how I, as well as other successful online entrepreneurs in lead generation, had gone through and succeeded half-a-year after I quit my day job.
But you will learn the fundamentals of success: YOUR HIGH-INCOME ATTITUDE.
It’s going to coach you how to be A REAL, BEST entrepreneur out there that is capable of building a profitable as well as a scalable business, giving you so much abundance & financial freedom you’re after.
By following and trusting the process—with hard work and patience—I got 45 clients across the US with $45,000 to $50,000 in residual income with 90 to 95% profit margin versus 50% or less in franchising.
Why I prefer lead generation than franchising business?
The reason is simple.
I didn’t have to spend so much and risk—way too much—to expand someone’s business. In my business now, I own 100% of my online assets. Currently, I own 88 operating lead gen sites on the web. And all of them perform great.
As part of the mentees, I got the chance to make use of the teams to help me build lead gen sites as well as the systems and automation I learned from my mentor, Dan.
If I made it, you can do it, too.
If you become one of us, you’ll get the following:
- Entire blueprint of our successful 6- to 7-figure lead generation business
- Effective high-income skill set to become the best of the best successful online entrepreneurs, earning $$$ in passive income
Are you ready? Go here and visit our lead generation coaching program to get started.