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Walk-On's Bistreaux & Bar Franchise ProfileRestaurant Franchises > Full-Service Restaurants |
What Are the Initial Investment Requirements for a Walk-On's Bistreaux & Bar Franchise?
To open a Walk-On's Bistreaux & Bar franchise, you need to prepare for an initial investment ranging from $1,314,500 to $4,989,300. This includes a franchise fee of $60,000. Additionally, you should have a net worth of between $500,000 and $1,000,000, and be ready to cover ongoing costs such as a 5% royalty fee and a 2% marketing fee. Having sufficient cash on hand is crucial for both startup and operational expenses.
What Is the Financial Performance of Walk-On's Bistreaux & Bar Franchise Units?
On average, each Walk-On's Bistreaux & Bar unit generates annual revenues of approximately $4,810,701. The financial metrics show a gross profit margin of 70.46%, with operating expenses accounting for about 66.76% of revenue. With a breakeven time of around 18 months and an investment payback period of just 12 months, the franchise presents a compelling opportunity for potential investors.
How Has Walk-On's Bistreaux & Bar Grown Over Recent Years?
Walk-On's Bistreaux & Bar has experienced steady growth in franchised units, increasing from 28 units in 2020 to 55 units by 2022. The total number of units expanded from 32 in 2020 to 58 by 2022. This growth trajectory indicates a strong demand for the brand and suggests a positive outlook for future expansion in the franchise market.
What Operational Support Does Walk-On's Bistreaux & Bar Offer Franchisees?
Franchisees of Walk-On's Bistreaux & Bar benefit from comprehensive operational support, including training programs that equip them with the necessary skills to run a successful restaurant. The franchise team provides ongoing guidance in areas such as marketing, management, and financial performance, ensuring that franchisees are well-prepared to navigate the competitive food service industry. This support system can be particularly beneficial for those new to restaurant ownership.
Walk-On's Bistreaux & Bar 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:
Walk-On's Bistreaux & Bar Franchise Unit Growth Summary
A breakdown of corporate, franchised, and total units, with yearly net changes.
Total Units
Franchised Units
Corporate Units
| Units | 2020 | 2021 | 2022 |
|---|---|---|---|
| Total Units | 32 | 42 | 58 |
| Net Change YoY | 10 | 16 | |
| Franchised Units | 28 | 39 | 55 |
| Net Change YoY | 11 | 16 | |
| Corporate Units | 4 | 3 | 3 |
| Net Change YoY | -1 | 0 |
Investment Overview
Walk-On's Bistreaux & Bar offers a robust investment opportunity with an initial investment ranging from $1,314,500 to $4,989,300. The franchise fee is set at $60,000, while ongoing royalty and marketing fees are 5% and 2% of gross sales, respectively. Potential franchisees should be prepared with a cash requirement that falls within the same range as the initial investment, ensuring they have adequate financial resources to support their new venture.
Financial Performance
The average annual revenue per unit for Walk-On's Bistreaux & Bar stands at approximately $4,810,701, with a median revenue of $4,862,123. Revenue can vary significantly, with the lowest reported annual revenue at $2,629,114 and the highest reaching $8,192,076. This performance indicates strong potential for profitability, especially when combined with a breakeven time of only 18 months and an investment payback period of just 12 months.
Franchise Growth
Walk-On's Bistreaux & Bar has demonstrated impressive growth in franchised units, increasing from 28 units in 2020 to 55 units in 2022. This upward trend highlights the brand's expanding footprint and appeal in the market. The total number of units has also grown, reflecting a strong demand for the franchise concept and the brand's successful operational model.
Operational Insights
The franchise operates with a gross profit margin of approximately 70.46%, which is indicative of efficient management of costs, particularly in the cost of goods sold (COGS) at 29.54% of revenue. Operating expenses account for 66.76% of revenue, suggesting a need for careful management to maintain profitability. The EBITDA margin of 24.25% further underscores the financial health of individual units.
Marketing Strategy
Walk-On's Bistreaux & Bar allocates a marketing fee of 2% of gross sales, which is essential for maintaining brand visibility and driving customer engagement. With annual advertising and promotional expenses averaging around $445,825, the franchise emphasizes strategic marketing initiatives to enhance brand recognition and attract new customers, ensuring sustained growth and market presence.
Franchisee Support
Franchisees benefit from comprehensive support from Walk-On's Bistreaux & Bar, including training, operational guidance, and marketing assistance. This support is crucial for new franchisees transitioning into ownership, as it equips them with the tools necessary to navigate the complexities of restaurant management and optimize performance from the outset. The focus on franchisee success is a cornerstone of the brand's operational philosophy.
Frequently Asked Questions
The initial investment for a Walk-On's franchise ranges from $1,314,500 to $4,989,300. This includes the franchise fee, equipment, and other startup costs.