🍟 2/8/2024 – Teriyaki Madness With $1.1M AUV

FRANCHISES OF THE WEEK

1) Teriyaki Madness

Fast Facts

Background

  • HQ: Denver, CO
  • Founded in 2003, franchising since 2005
  • Teriyaki Madness is a fast casual restaurant specializing in Asian cuisine.

Franchise Fees

  • Royalty: 6%
  • Brand Fund: 3%
  • Franchise Fee: $38,250 – $45,000

Financial Overview

  • The below table discloses information on 29 Teriyaki Shops that met the following criteria: (a) have been in operation for at least one year; (b) have had no change of ownership within such one-year period; (c) were not managed by a management company affiliated with the franchisor; (d) were in traditional locations

The Wolf’s Take 🍟

Teriyaki Madness is showing an impressive average unit volume of $1.1M.

Outside of the numbers, I like that this is a fast-casual brand built around asian cuisine. There’s a gluttony of competitors in just about every restaurant sector:

  • Burgers
  • Fried Chicken
  • Salad Houses
  • Mediterranean
  • Mexican cuisine

…but not in Asian cuisine. Outside of Panda Express, there are really no other big players. And Teriyaki Madness is a fast-casual restaurant versus fast food, so they have a lot of differentiation from Panda Express in that respect.

They’re a growing brand who could be great for aspiring or current restauranteurs. You can even potentially invest passively into them via FranShares!

Resources

2) Mr. Rooter

Fast Facts

Background

  • HQ: Waco, TX
  • Founded in 1968, franchising since 1972
  • Mr. Rooter is a business that specializes in plumbing and bathroom remodeling.

Franchise Fees

  • Royalty: 5% – 7%
  • Brand Fund: 2%
  • Franchise Fee: $42,500

Financial Overview

  • The below table discloses information on 195 Mr. Rooter franchises that were open and operating for the full 2022 calendar year.

The Wolf’s Take 🍟

Roto Rooter is a plumbing franchise backed by the neighborly platform. 

Plumbing franchises have a lot of positives..but plumbing hold co owner John Wilson sums up the best reason with this tweet:

For aspiring home services business owners, this is a competitive industry, but one that isn’t going anywhere. 

Check them out via the link below!

Resources

FROM THE POD

Dru Carpenito – The Franchise Hype Cycle

This week’s podcast was co-hosted with Dru Carpenito! We talk about the franchise hype cycle and other things happening in the industry!
Check out our conversation here!

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