If you are looking towards opening a This Is It! Bar-B-Q & Seafood Franchise, it will be nice for you to have a preview of what the company represents before going ahead to enquire about the total cost of opening the franchise in your location.
This Is It! Bar-B-Q & Seafood was founded in 1982 and they began franchising in 1992, about 28 years ago. Shelley Anthony is the present CEO of the company and they have their corporate head office at 105 McIntosh Crossing Fayetteville, GA 30214, USA. This Is It! Bar-B-Q & Seafood owns and operates 9 franchises in the United States of America.
The dream started in Tampa, Fl where Butch’s parents owned a diner, and Butch played an active role working in the diner. Butch picked up both their entrepreneurial spirit and ability to cook. Over 35 years ago when Butch relocated to Atlanta, he opened his first restaurant. This restaurant, combined with several other locations he opened became This is it! Bbq and seafood. Now with 11 locations in the greater Atlanta area, This is it! Bbq and seafood stands as a shining example of a true American success story.
Here are areas where you are expected to spend money and the costs associated with it;
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Initial Franchise Investment
$413,754 – $840,205
Please note that the total cost to open a This Is It! Bar-B-Q & Seafood ranges from $413,754 – $840,205 depending on the size of the space. You will need minimum liquid cash of $100,000 and a net worth of $200,000 either individually or cumulatively amongst a group of investors to obtain necessary bank financing.
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Franchise Fee
$35,000
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Royalty Fee
5 percent of Gross Sales and the Due Date for this fee is Paid by electronic funds transfer every Friday for the preceding Reporting Period. The amount of the Royalty Fee for any renewal term will be that provided in the Franchise Agreement executed for such renewal term.
Please note that “Gross Revenues” include all revenues generated from the provision of any and all services and/or the sale of any and all products and, whether by the franchisee or a third-party provider, that relate to or arise from the Franchised Business. It does not include taxes collected from customers.
- Local Advertising Spend, Local Marketing Fund, or Cooperative Advertising Contribution: At least 1 percent per calendar year and the Due Date: for this is Monthly.
Please note that each local advertising Cooperative may elect to increase the monthly contribution if approved by a two-thirds majority of the members, and the minimum contribution is subject to adjustment by an amount not to exceed the increase in the CPI.
Centers owned by This Is It! Bar-B-Q & Seafood and its affiliates are also members of their respective local Cooperative and each company-owned Center has the same voting rights as the franchised locations within the Cooperative.
If the company-owned Centers comprise the majority of a given Cooperative, the maximum and minimum fees for that Cooperative will be consistent with the range stated in this Item 6.
- Liquidated Damages Under Area Development Agreement: This fee varies but the Due Date is Payable within 30 days of the termination of the Development Agreement.
- Audit Costs: All costs and expenses associated with the audit, reasonable accounting and legal costs.
- Indemnity: This fee will vary under the circumstances and the Due Date is As incurred.
Please note that you must reimburse This Is It! Bar-B-Q & Seafood if it is held liable for claims arising out of your franchise operations.
- Insurance: Reimbursement of costs the franchisor’s out-of-pocket costs.
- Equipment, Supply, or Supplier Testing or Inspecting: Fee not to exceed the actual costs of inspecting and testing. (Due Date: Due on receipt of invoice.)
Please note that This fee covers the cost of testing or inspecting equipment, supplies, or suppliers you propose.
- POS Hardware and Software: Depends upon vendor and products purchased. (Due Date: Depends upon vendor and products purchased.)
- Attorneys’ Fees and Costs: Will vary under circumstances. (Due Date: As incurred.)
Payable to This Is It! Bar-B-Q & Seafood if it is forced to retain independent counsel and seek damages or injunctive relief to enforce the Franchise Agreement (whether or not suit is filed) or if This Is It! Bar-B-Q & Seafood is required to defend your unsuccessful claim against it.
- Veteran Incentives: This incentive is negotiable
- Term of Agreement and Renewal: The length of the initial franchise term is 10 years. If requirements are met, franchisees can renew for one additional term of 10 years.
- Financial Assistance: This Is It! Bar-B-Q & Seafood has relationships with third-party sources which offer financing to cover the following: startup costs, equipment, and inventory amongst others.
In Summary,
- Initial Investment: $413,754 – $840,205
- Net-worth Requirement: $200,000 – $750,000
- Liquid Cash Requirement: $100,000 – $200,000
- Ongoing Initial Franchise Fee: $25,000 – $35,000
- Ongoing Royalty Fee: 5%
- Ad Royalty Fee: 1%