|Franchises||14 under development including 4 scheduled to open in 2020|
|Began Franchising||Q3 2019|
|Start-up Costs||From $153K|
|Multi-unit & Area Development||Encouraged but not required|
|Primary Market Development||Houston, San Antonio, Austin, Dallas, Fort Worth|
|Secondary Market Development||Small Cities, Growing Markets & College Towns throughout Texas|
|Headquarters||New Facility in Houston|
|Financial Performance Representation||See Item 19 of Pepperoni's FDD|
|Location||Gross Sales 2019||Cost Of Sales 2019||Cost of Labor 2019||Gross Margin 2019|
|2710 Montrose, Houston||$2,049,452||$483,620 (23.6%)||$565,648 (27.6%)||1,000,184 (48.8%)|
Have you ever expressed interest in owning your own pizza business? After all, pizza is fun. And, for the most part, it tastes great! But really, aren’t there enough pizza places dotting local neighborhoods across the U.S.? Well, according to FranchiseDirect.com, “Pizza industry growth isn’t showing any signs of slowing down.” So, we know the demand is high and as consumers love convenience foods and ones that can feed a whole family, pizza continues to be a popular choice.
However, investment for most pizza franchises is high – from $450,000 to over $1,000,000! Locations require over 1500 square feet with many exceeding 2000 square feet. The staff to run these businesses typically require 15-20+ employees. And, with so much competition, you may be asking yourself, how can a pizza franchise be a good investment?
Established in 1990 by serial restaurateur, Ray Salti, Pepperoni’s was your typical local pizza place and business was good. So good that Ray proceeded to open 14 Pepperoni’s over the next 25 years. But times were changing. Real Estate costs continued to escalate. Labor was becoming more difficult to find and even at higher hourly rates. More and more customers were utilizing takeout and delivery as opposed to dining in. The challenges were mounting… while profits decreased. Not one to discount quality of product and ingredients, customer service and community involvement – all pillars of Pepperoni’s success formula – Ray knew significant changes were necessary to improve operational efficiencies in order to continue to satisfy customers while positioning the brand for future growth.
Today, after five years of redeveloping the business model AND proving it in the marketplace, including throughout COVID-19 period, we’re excited by the results. Improvements have included lower real estate costs, reduced labor and associated costs, technology integration and significant production efficiencies. The result? Higher revenue and profitability! AND, a franchise opportunity with an investment level lower than most other pizza franchises starting at $153k.
If you’re interested in understanding the details behind this great transformation and possibly, how you might be able to capitalize on the same with a Pepperoni’s franchise of your own, please let us know. We promise your time will not have been wasted as you’re introduced to what will quickly become one of the popular franchises of our time… yet, at yesterday’s investment levels.
© 2017 FRANCHISE FOUNDRY