Dairy Queen Grill & Chill Franchise Opportunities and Requirements
By Pam Krieghbaum
The financial requirements for starting a Dairy Queen Grill and Chill Restaurant are as follows:
Must have a net worth of at least $75,000 with liquid assets of at least $400,000. Of that, a minimum of $300,000 must be available to inject as cash equity. The fee structure of other costs as an owner/operator of a DQ Grill & Chill Restaurant include:
* Initial franchise fee: $35,000
* Ongoing royalties: 4% of sales
* Ongoing promotion fee: 5-6% of sales
The term of a DQ Grill & Chill Restaurant is 20 years with a 10 year renewal option. In addition to the initial expenses, you will also need to hire a staff to help run the restaurant.
Time requirements: If you plan on being hands on, in the start up of your new business, the hours you will put in are many. If the restaurant is open everyday each week, you will need to be there every hour until the staff is fully trained and can take over. That means you could be there as many as 84 hours a week or more!
Franchise failure rate: A resent study showed that the franchise failure rate is as high as 30% or more.
On the plus side: Assuming you have the time and money to invest, a franchise may be ideal for you, particularly if you lack hands on experience. You'll get help with everything you need to set up your business: site selection, inventory, management counseling, hiring practices, and every other necessary function for the operation of your business.
Pam Krieghbaum is a home based business coach who coaches people on how to make a living from the comfort of their own homes. She is a single mother who has made a wonderful living with her own home based business, while still having time for her family and friends. For more information please visit her website below: