The restaurant industry has always been a popular destination for franchisees, because many of Australia’s most iconic eateries are successful franchises.
This is an industry where brand recognition can lead to a huge increase in revenue, so it’s not surprising that many savvy entrepreneurs who want to own their own restaurant take this route into the world of food services.
The systems put in place by franchises can make the starting off period for restaurant franchisees much easier than it would be if the entrepreneur was going into this avenue as an independent business owner.
Here are some facts and trends about the restaurant industryin Australia.
- The restaurant industry takes in around $19bn in revenue annually.
- Solo reservations are on the rise, according to several recent studies. That means if you go down this route, you might be hearing the words “table for one please” more often than you think!
- The most popular cuisines among Australian consumers are Italian, Chinese, Thai, Indian, Vietnamese, Japanese, Korean, and Mexican.
- Typically, consumers are becoming more health conscious, with many seeking out healthier alternatives to traditional menu items.
- It is estimated that approximately 12 percent of Australia’s population is either vegetarian or vegan.
Why You Should Consider a Restaurant Franchise in Australia
In Melbourne alone, there are close to 20 restaurants of Michelin-star quality, proving Australia has a thriving foodie scene. Entrepreneurs who want to get involved in the food business should consider investing in a restaurant franchise in Australia. The franchise journey is an exciting opportunity for someone who wants to start their own business and has a strong support network.
These are a few benefits:
- Access to an established customer base and business model
- Access to suppliers without having to start from scratch
- Purchasing power — the cost lessens when franchisees buy the same items in bulk
- Ready-to-go branding and marketing collateral
- Well-established business and franchise support network
- Participation in marketing and advertising campaigns
- Set operational procedures and guidelines
- Assistance with location scouting, lease agreements, and financing
How Much Does It Cost to Start a Restaurant Franchise?
This is dependent on the size and scale of the franchise. There are always start-up costs when you start a restaurant franchise. Restaurant franchises can be more expensive than retail franchises, due to the necessary equipment, insurance, labor, and supply chain management.
For a small-scale coffee shop, bakery, or café, the initial franchise fee could be anything from A$200,000 to A$260,000. A simple setup like a bespoke tea franchise could cost around A$130,000. If you're looking at a high-profit, big-brand fast food restaurant, expect to pay upward of A$750,000. For specific cuisine or healthy on-the-go options, you can expect to pay anything from A$150,000 to A$450,000
Before buying into a restaurant franchise in Australia, make sure there are no hidden costs.
How Franchise Direct Can Help You Get Started
Franchise Direct can connect you with a database of franchise opportunities to suit your budget and interests. We vet each of the franchises listed and ensure each offers reliable investment opportunities. Franchise Direct can help you figure out what the franchisor will give you in return for their initial franchise fee.
While you still need to source the ideal location and study the market and economics of the area, Franchise Direct provides you with the tools needed to make an informed decision about your investment.
For more information on restaurant franchise opportunities, search Franchise Direct now.