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Wings Etc. Franchise ProfileFood Franchises > Casual Dining |
What Are the Initial Investment Requirements for a Wings Etc. Franchise?
To open a Wings Etc. franchise, you should prepare for an initial investment ranging from $368,150 to $2,567,100. This includes a franchise fee of $39,500. Additionally, you will need to have cash reserves of $45,000 to $60,000 and a net worth between $500,000 and $1,500,000. Understanding these financial commitments is crucial to ensure you are adequately prepared for the journey ahead.
What Are the Financial Performance Metrics for Wings Etc. Units?
Wings Etc. franchises have shown promising financial performance, with an average annual revenue of $1,583,587 per unit. The median revenue stands at $1,401,572, while the highest revenue reported is $3,628,334. With a breakeven time of just 12 months and an investment payback period of 24 months, these metrics highlight the potential profitability of operating a Wings Etc. franchise.
What Ongoing Fees Should Franchisees Expect?
Franchisees of Wings Etc. are required to pay a royalty fee of 5% on their gross sales, along with a marketing fee of 1%. These ongoing fees are essential for supporting the brand's marketing efforts and ensuring the franchise network continues to thrive. It's important to factor these costs into your financial planning to maintain a healthy bottom line.
How Many Wings Etc. Franchises Are Currently Operating?
As of 2023, Wings Etc. operates a total of 80 units, comprising 54 franchised locations and 26 corporate units. The growth in franchised units from 52 in 2021 to 54 in 2023 indicates a steady expansion, reflecting the brand's appeal and potential for future franchisees. This growth trend can provide confidence to prospective owners considering joining the Wings Etc. franchise family.
Wings Etc. 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:
Wings Etc. 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 | 74 | 80 | 80 |
| Net Change YoY | 6 | 0 | |
| Franchised Units | 52 | 55 | 54 |
| Net Change YoY | 3 | -1 | |
| Corporate Units | 22 | 25 | 26 |
| Net Change YoY | 3 | 1 |
Initial Investment
The Wings Etc. franchise offers a range of initial investment options, with costs ranging from $368,150 to $2,567,100. This investment includes a franchise fee of $39,500, ensuring new franchisees have the necessary support and resources to launch their business successfully.
Financial Requirements
Franchisees should be prepared to meet specific financial criteria, including a cash requirement of $45,000 to $60,000 and a net worth of $500,000 to $1,500,000. These requirements help ensure that franchisees have the financial stability to operate and grow their Wings Etc. units effectively.
Revenue Potential
Wings Etc. units demonstrate strong revenue potential, with average annual revenues reaching $1,583,587. Franchisees can expect a median revenue of $1,401,572, with some locations generating as much as $3,628,334 annually, showcasing the brand's appeal in the competitive food service market.
Operational Performance
The average operating expenses for a Wings Etc. franchise total $451,375, accounting for approximately 28.5% of revenue. Franchisees benefit from a gross profit margin of 43.3%, indicating a healthy balance between revenue generation and operational costs.
Breakeven and Payback
Franchisees can anticipate a breakeven period of around 12 months, allowing for quicker recovery of initial investments. The investment payback period is estimated at 24 months, making Wings Etc. a potentially lucrative opportunity for motivated entrepreneurs.
Franchise Growth
As of 2023, Wings Etc. operates a total of 80 units, with 54 being franchised and 26 corporate-owned. The brand has shown steady growth, increasing from 74 total units in 2021 to its current count, indicating a strong market presence and ongoing expansion opportunities for new franchisees.
Frequently Asked Questions
The initial investment for a Wings Etc. franchise ranges from $368,150 to $2,567,100, which includes the franchise fee, equipment, and other startup costs.