fastfood franchising is the sweetspot. McDonalds in LA make ateast $1mill/day
fastfood franchising is the ultimate passive income
Be me
Gavin Gray
Landon Jackson
Even an Applebees branch makes that much a day, maybe even less actually. What I don't know is how much of that goes to material(food), labor, utilities, whatever their financing is for the building/land, advertisement, franchise fees, etc. I would be curious to see what their net profit is as the end of the day. It probably isn't much.
Isaac Torres
Grade A Larp :^)
Liam Price
Just going on the WIkipedia article(which is a couple years outdated), they made a net income of 4.868 billion, and have 36,900 branches. That sticks the average branch at $132k per annum. I make more than that at my desk job and I don't have to deal with retard employees asking for $15/hr to screw up customer orders, and especially customers who forgot they're ordering at McDonald's. Doesn't sound very attractive to me.
Levi Kelly
A chad posting on Jow Forums? C'mon who do you think you're fooling?
Hudson Baker
>still feel 7 figures is not enough
>why do i still feel this way
Uhh because that's not enough, fucking duh. No one talks about "making it" after having 50k.
$10mil minimum is making it.
Easton Hughes
So I googled it after reading your comment:
Source: mymoneyblog.com
> Average annual profit per franchise: $150,000 a year
Your estimate is pretty good.
But then on the other hand:
> most franchisees own multiple locations; Businessweek says the average is six.
Wow... that's quite a bit out of reach right now lol.
Kevin Cook
Sure, but that doesn't come immediately. I'm surprised it's only 6, maybe that's as much bullshit as one can put up with. Google around a little more. Opening a restaurant requires an investment of between $1MM-$2MM and available liquid capital of $750k.
Bottom line is that the people who own these things have enough wealth to handle it external to the franchise itself. Great "passive" income for them if they hire managers.
This is profitable as a high-volume/low-margin company, same as Walmart. I couldn't stomach that.
Ethan Jenkins
thats great passive income. w/ a franchise, you are not even stuck in your office and earn that amount
Jason Long
Nah it's pretty shit considering it takes 1 - 2 mil to open one. After all those expenses you end up with like $150k NOI a year and it's probably not passive at all.