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Eggs Up Grill Franchise ProfileFood Franchises > Casual Dining |
What Are the Initial Investment Requirements for an Eggs Up Grill Franchise?
To open an Eggs Up Grill franchise, you'll need to prepare for an initial investment ranging from $752,500 to $988,000. This includes a franchise fee of $45,000. Additionally, you should have a cash reserve of $45,000 to $125,000 and a net worth between $500,000 and $1,000,000. Understanding these financial commitments is crucial for aspiring franchisees to ensure they are well-prepared for the journey ahead.
What Are the Financial Performance Metrics for an Eggs Up Grill Franchise?
Eggs Up Grill franchises have shown promising financial performance, with an average annual revenue of approximately $1,263,825 per unit. The median revenue stands at $1,074,235, while the highest revenue reported is $1,903,801. With a breakeven time of around 15 months and an investment payback period of just 12 months, this franchise offers a potentially lucrative opportunity for investors willing to engage in the breakfast and brunch market.
What Are the Ongoing Fees Associated with an Eggs Up Grill Franchise?
As an Eggs Up Grill franchisee, you will be responsible for ongoing fees that include a 5% royalty fee on gross sales and a 1% marketing fee. These fees contribute to the support and resources provided by the franchisor, which can help in driving sales and brand recognition. Understanding these ongoing costs is essential for effective financial planning and ensuring profitability over time.
How Many Units Are Currently Operating Under the Eggs Up Grill Franchise?
Eggs Up Grill has experienced steady growth, with a total of 71 units operating as of 2023. This includes 70 franchised units and 1 corporate unit. The franchise has expanded from 52 franchised units in 2021 to 70 in 2023, indicating a strong demand for its breakfast offerings and a robust business model that attracts new franchisees. This growth trajectory may provide confidence for prospective investors looking to join a thriving franchise system.
Eggs Up Grill Franchise Financial Requirements
Below, you’ll find an overview of the initial investment needed to launch the business, along with the ongoing fees required by the franchisor to maintain operations over time.
The minimum total assets (minus liabilities) you must possess.
Net Worth Required:
The estimated period to recoup your total investment.
Investment Payback:
The initial fee paid to join the franchise system.
Franchise Fee:
Ongoing percentage of revenue paid to the franchisor.
Royalty Fee:
Regular contribution toward the franchise’s advertising fund.
Marketing Fee:
The estimated timeframe to recover your initial costs.
Breakeven Time:
The total amount required to launch the franchise.
Initial Investment:
The minimum liquid capital you must have on hand.
Cash Required:
The typical yearly revenue generated per franchise location.
Average Revenue:
The middle value of yearly revenue among franchise locations.
Median Revenue:
The largest reported annual revenue among franchisees.
Highest Revenue:
The smallest reported annual revenue among franchisees.
Lowest Revenue:
A broad sector defining similar types of franchise businesses.
Industry:
A more specific division within the broader industry.
Category:
The key individuals guiding the franchise’s strategy and growth.
Leadership:
The official business address of the franchisor’s headquarters.
Corporate Address:
Available financing options to help start the franchise.
Funding Year:
The main organization that owns the franchise brand.
Parent Company:
Eggs Up Grill Franchise Unit Growth Summary
A breakdown of corporate, franchised, and total units, with yearly net changes.
Total Units
Franchised Units
Corporate Units
| Units | 2021 | 2022 | 2023 |
|---|---|---|---|
| Total Units | 53 | 59 | 71 |
| Net Change YoY | 6 | 12 | |
| Franchised Units | 52 | 58 | 70 |
| Net Change YoY | 6 | 12 | |
| Corporate Units | 1 | 1 | 1 |
| Net Change YoY | 0 | 0 |
Investment Overview
Eggs Up Grill offers a compelling investment opportunity with an initial investment ranging from $752,500 to $988,000. The initial franchise fee is set at $45,000, and franchisees can expect a royalty fee of 5% on gross sales along with a 1% marketing fee. To qualify, potential franchisees must have a cash requirement of $45,000 to $125,000 and a net worth between $500,000 and $1,000,000.
Revenue Potential
The average annual revenue per Eggs Up Grill unit stands at $1,263,825, with a median revenue of $1,074,235. Franchisees can expect a range of revenues, with the lowest reported at $758,303 and the highest reaching $1,903,801. This revenue potential highlights the brand's strong market presence and customer appeal.
Operational Efficiency
Eggs Up Grill units typically achieve breakeven within 15 months, allowing franchisees to recover their initial investment in approximately 12 months. This swift payback period reflects effective operational strategies and a robust business model that supports franchisee profitability.
Franchised Growth
The franchise has shown steady growth, expanding from 52 franchised units in 2021 to 70 in 2023. This 34.6% increase in franchised locations indicates strong demand and the brand's ability to attract new franchisees, contributing to its overall market expansion.
Financial Performance
Eggs Up Grill boasts a gross profit margin of 75.3%, with operating expenses at 51.1% of revenue. The EBITDA stands at 48.9%, showcasing the franchise's ability to maintain healthy profit margins while managing operational costs effectively.
Support and Training
Franchisees receive comprehensive support, including training programs designed to equip them with the necessary skills for successful operations. This support extends to marketing, operational guidance, and ongoing assistance, ensuring franchisees are well-prepared to thrive in the competitive restaurant landscape.
Frequently Asked Questions
The initial investment for an Eggs Up Grill franchise ranges from $752,500 to $988,000. This includes the franchise fee, equipment, and other startup costs.