Steak, seafood, ribs, chicken; yum, it’s making my mouth water as I type this. Now add in a wonderful and welcoming environment inspired by the Australian Outback and we’re set.
What could make this experience even better?
How about adding in a franchising deal for one of the best steakhouses in the area?
Owned by Bloomin’ Brands, Outback Steakhouse is one of the many establishments that offer high-quality customer service with a fantastic experience.
Their franchise opportunity is no different. In fact, it’s an outstanding opportunity for individuals looking to provide an excellent customer experience and offer exceptional foods.
Before we get into the whole opportunity, let’s keep in mind what a franchise means.
As a franchise, you are responsible for investing in the company of your choice and running the establishment as your own business for however many years the agreement requires.
You are held responsible for respecting the company’s brand and name by providing excellent service according to the company’s standards.
So, why would one even want to open a franchise outlet?
Because you have the chance to have a part in your favorite companies and run a business on your own without building from the ground up. While franchising has some requirements and restrictions, it can definitely be very rewarding and fun.
As for the Outback Steakhouse franchise opportunity, we’re about to get into every detail we can to find out if this establishment is a great fit for you personally.
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The Outback Steakhouse Vision
Is there really anything better than a perfectly seared steak matched with the perfect sides at just the right portions and not being too pricey?
Of course, if red meat isn’t your thing, then you also have chicken, ribs, and seafood to choose from.
At the Outback Steakhouse, they pride themselves in serving customers high-quality food with excellent customer service. The restaurant is inspired by the Australian atmosphere and you can be sure that you’ll feel it.
The flavors are bold and their service is exceptional. It’s truly n experience that you’re sure to never forget. They are dedicated to keeping their customers happy with a full and satisfied tummy.
What more could you ask for?
Well, what about having the chance to open and run your very own Outback Steakhouse franchise? The possibility is hanging over your head and you’re getting quite curious.
So, let’s dive in and take a look at the opportunity to see if it’s the right fit for you!
Details on the Franchise Outlets
It’s time to figure out all of the details about the current and past franchise outlets that have been opened.
I’m not talking about just how many outlets there currently are. I mean, we’re going to get deep into the growth, turnover rates, and the financial transparency that the company provides its franchisees with.
Since the beginning of the franchise opportunity at Outback Steakhouse in 1993, the growth has been like a roller-coaster. In 2010, the number of franchise outlets was recorded at 108.
However, in 2014, that number decreased by 3 and dropped down to 105. While it’s not extremely low, it shows a definite decline and you have to wonder why that number dropped within a short 4 years.
That brings us to the next subject; turnover rates.
A turnover rate could explain a lot about the business opportunity. It may even cause you to change your whole decision on franchising the business if the number is too high.
Luckily, even with the decrease in growth, Outback Steakhouse still has a decently low turnover rate of .75. This could mean that not as many franchisees decided on renewing. Or it could mean that there were a few franchises that decided on terminating their agreement.
To understand the calculations behind the turnover rate, you are going to have to ask the company specific questions that will answer these concerns.
Some good questions would be…
How many franchise outlets decided to not renew their agreement?
How many outlets terminated or transferred their contract?
How can you feel a little more rest assured in knowing that the franchise will work or you if it didn’t for those people?
Well, while federal regulations prohibit the company from releasing any data on potential income, the company can still offer some level of financial transparency with the franchise.
Unfortunately, Outback Steakhouse does not seem to be one of those companies that offer this type of financial data to its franchisees. While there is no recorded level of transparency, the company may still offer some when confronted by you personally as a franchisee.
Basic Requirements and Cost for Franchising
Now that you know most of the major details on the franchise opportunity and the background of previous outlets, let’s get into the requirements for franchising the Outback Steakhouse.
Everything costs money, and obviously, owning a business is no different. But not every business opportunity is going to cost the same.
Outback Steakhouse is one of the more expensive franchises to start up. In fact, the franchise fee alone is $40,000. Then you still have to take into consideration the total investment; which can be anywhere from $2,500,000 to $6,000,000.
Yes, it’s going to take millions to start and keep this franchise running.
And the initial term agreement is a long 20 years with a renewal of 20 years as well.
This term length is double as long as what the competitors are requiring with their agreement. This could clue you in for some reasoning behind the turnover rate.
If the term length is so long, maybe franchisees decided on cancelling out sooner than when their agreement was up.
The franchise fee and total investment are not the only fees that you’re going to have to calculate. Actually, you’ll have ongoing royalty fees and advertising fees that will be based on your gross revenue.
While the royalty fee is exceptionally low, at 3.5%, the advertising fee is higher than average at 3.9%. And the only thing (besides the fact that you are running and operating your own franchise outlet and making profit) that they offer you in return are territorial rights.
There are no refunds available, no financing, no training or tech support, and no discounts for purchasing more than one outlet.
Wrapping it Up
With the number of franchise outlets that are currently running, you have the advantage to open a franchise in your community and become the go-to restaurant in the neighborhood.
There are tons of perks to running your own business, and even more when running a franchise. Since you don’t have to re-brand or build anything from scratch, it’s an easier opportunity for an entrepreneur than it would be to start your own individual brand.
In the end, the decision is yours.
The Outback Steakhouse franchise opportunity definitely has some advantages to it that could possibly outweigh the negatives.
And the company itself is a wonderful establishment that serves great food at a great price. So you will definitely enjoy the atmosphere of your new business.
Outback Steakhouse has built a brand from the ground up, and continues to strive for excellence.
If you are an individual that enjoys great food, excellent customer service, and a well-established business, then this could be an outstanding franchise opportunity for you to venture into.
Contact the company with any and all further questions to ensure that you have all of the information that you need to get started on your journey.
Why Its Best To Start Business With Lead Generation Versus Franchising In 2019
There’s nothing wrong with investing in a franchising business. Really. That is if you have an incredible amount of money to invest in this business model. However, to most people, they prefer something scalable but long-term and thriving.
Another factor I consider is the amount of time I have to spend to put my work into place. I need amass of time to prepare an intense market research to make sure I get the ROI or the Return of Investment I expect to my business.
Yet, this isn’t possible to most franchisees. I’m not saying this is a bad business option because there are a lot of people succeeded in it.
What I’m trying to point out is there are only 50% chances to earn more or less $50,000 and only 7% with $250,000. Plus, royalty fees as well as the marketing fees involved to promote the business.
To me, it would be strategic to invest in a business that doesn’t cost me much but a 100% ROI is guaranteed by getting almost a 100% of the profit margin, equating to the amount of work I put into a project like this.
I am passionate when it comes to business. But I have to take into consideration the hard work I have to put in exchange of the income I deserve. I don’t think there’s no more valuable reason besides escaping my day job fast.
And I know you do, too.
That had frustrated me way back when I worked in a corporate job with $2,000 monthly salary, 40+ hours per week in a cubicle to work repeated tasks every single day.
When I attended the lead generation coaching program, it does cost me a few hundreds of dollars but I am earning a steady income later on.
Compared to the franchising business, I had to monitor my sales every single day; versus in an online business like the lead generation, I only spend around 6 hours to create a simple website and rank them on the search engine.
Take a look at the first lead gen site I created in 2014 which has been generating leads for a Limo company in Lansing, MI. I made a simple lead gen site for them in exchange for $750 per month paycheck. To date, I am earning $36,000 since then.
That means $36,000 / 6 hours = $6,000 / hour activity paid on my account.
Where could I get such an amount except building more lead gen sites like this?
This is possible in a lead generation business because of the number of small businesses around the locality in need of the leads to survive, to earn an income enough for their monthly expenses, if not higher.
In fact, there are 30 million small businesses registered and operating all over the country, with at least 50 different niches available. That makes approximately 1.5 billion various markets ongoing.
That also shows the number of small business owners aware of the vast need of online visibility to compete against the Giants in their respective industry.
However, the problem is they don’t know how to position their selves right to their target market and play guessing games on the web by placing a few Facebook ads or spend $$$ on ineffective online marketing and print advertising would do the trick.
This is where you can be of help.
Once you become one of the mentees in our lead generation coaching program, you’ll get the chance to learn the fundamentals of earning an income via lead generation and at the same time the opportunity to hone your financial confidence.
It is indeed valuable to improve your financial confidence by mastering the art of high-income skill, which gives you the capacity to earn millions afterward. This isn’t limited to lead gen alone but to the rest of the businesses you’ll pursue. Be it franchising or what.
Once you master the high-income skill, you don’t have to worry whatever happens with your digital assets because you know how to build your wealth quickly with ease.
You master the best and effective online marketing skills you can take advantage in your own business without being intimidated by competitors. This is why our lead generation coaching program is an amazing option for you as an online entrepreneur.
To get started, you can go here and visit our lead generation coaching program and see yourself the value you’ll get with your investment.