🍟 2/7/2022 – Yum! Brands Launches Accelerator
Yum! Brands Launches Accelerator
Yum! Brands, the parent company of KFC, Pizza Hut, Taco Bell, and The Habit Burger Grill, is working with two universities on a master’s-level program to assist female entrepreneurs and people of color in franchise careers.
The program is kicking off with 10 grad students doing a 5-month fellowship program. 6 of the students are from Howard University, and four are from the University of Louisville – all of them are second-year MBA candidates.
The program will end with a pitch contest – where the top two competitors will be given start-up capital and an opportunity to operate a Yum! Brands restaurant franchise.
The Wolf’s Take
A few weeks ago I covered the “business school” of sorts that Yum was launching specifically for Taco Bell franchisees. I wrote that I would love to see Yum launch something similar for all of its brands – I didn’t expect it to happen so soon!
Going forward I expect many big brands to launch similar programs. Start-up capital and quality training are the biggest barriers to becoming a successful franchise owner. Programs like these from Yum! not only create positive press for the company but also ensure a pipeline of candidates for its thousands of restaurant locations.
Kudos to Yum! Brands for leading the charge!
America’s Hottest Startup Fast Casuals
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The 40 square foot robot can crank out pizza with up to 8 toppings
Franchise of the Week
- Founded: 1948
- Units Open: 12,800
- Investment Range: $437,500 – $1,787,700
- Average Revenue per Location: $1,336,281
Did You Know?
The brother in-law of Dunkin‘ founder William Rosenberg, broke his partnership with Dunkin’ and created his own company: Mister Donut.
While the company only has 1 location remaining in the US, it’s flourished abroad and is the largest donut chain in Japan.
Must’ve been some awkward family parties over the years..
Detroit Wing Company
- Founded in 2015, franchising since 2021
- Based in Detroit; 7 locations open as of 2021
- A restaurant serving a variety of wings, with 19 signature sauces that gets prepared on-site daily
Fees + Investment
- Royalty: 6% of gross sales
- Brand Fund: 2% of gross sales
- Franchise Fee: $30,000
- Initial investment: $339,839 – $572,339
- The below information contains performance data for the year 2020 for 3 licensees (the brand no longer awards licenses as it’s franchising now)
The Wolf’s Take
$1.6M in revenue is a VERY impressive return. But beyond that, Detroit Wing Co. has the qualities you’d hope for in a modern fast-casual restaurant:
Carryout focused – heading into covid, 85%-90% of orders were carryout.
Small footprint – units are just 1,200 – 1,500 square feet, and many new locations will include a drive-up window.
Great product – the wings + signature sauces have gotten coverage locally and nationally, earning it representation on numerous “best of” lists from MSNBC, Esquire, Men’s Health, and more.
The franchise has a goal of hitting 100 units open nationwide over the next 2 years, and given all it has going for it, I think they have a legit shot at accomplishing this!
- Detroit Wing Co Franchise Website
- Detroit Wing Company Named to QSR’s 40/40 List for 2022
- Detroit Wing Company Voted as Best Chicken Wings in Michigan
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