Egg fried rice, sweet and sour pork, prawn crackers… The merest mention of those names will set most Chinese food fanatics salivating. Though Chinese cuisine was once reserved for a few fabulously sweet-smelling enclaves of London and New York, Chinese restaurants are now everywhere in the US. They crop up in the unlikeliest corners of Eastern Europe. And with the migration from first to second-generation oriental cuisine which has seen the introduction of healthier Thai and low-fat Chinese foods and the toppling of monosodium glutamate, its popularity is set to rise 2008 onwards.
Consumers are interested in buying food products that are healthier and more nutritious than traditional fast food products. Increased awareness of obesity levels and the dangers associated with obesity has created a demand for health conscious fast food eateries…and the Chinese restaurant and ethnic restaurant franchises are filling this gap in the market.
Interesting Chinese Restaurant/Takeaway Franchise Facts!
- In 2006, more than a quarter of Americans reported eating ethnic food at least once a week, with more than 4 in 10 American adults eating at a Chinese restaurant within a 30-day time frame.
- Nearly one-half (46%) of a household’s food budget is spent on food prepared away from home.
- For the first time, consumers with higher incomes ($75K+) spent more on fast food than at full service restaurants--$796 versus $790 in 2006.
- 3 in 4 consumers reported changing their purchasing behaviors in mid-2006, including visits to restaurants, due to rising gas prices
(Source: GE Capital Solutions Franchise Finance 17th Annual Chain Restaurant Review)
Why invest in a chinese restaurant franchise?
Would-be Chinese restaurant franchisees can expect astronomical demand in most locales, if they play their cards right. Chinese food can be either reliable and predictable or subtly flavored and hugely varied. It caters for palates both sophisticated and uninitiated.
The first step in planning your franchise is making a calculation of financial feasibility. The high-end US-based City Wok or Mandarin Restaurant franchises ask around $250,000 in total investment. Add to that between $30,000 and $50,000 in initial franchise fees and it is clear that you'll need to draw up a balance-sheet of your assets and liabilities.
Still, it is salutary to remember that if your business plan is sound and your confidence in the sales potential of your retailing proposition unshakeable, loans are an option. Some franchisors support franchise owners to borrow up to 70 per cent of initial investment. This could help you get off the starting blocks.
The sheer popularity of Chinese food may mean running a Chinese restaurant franchise makes exceptional demands on your time. Many customers' cravings for Chinese will be most acute just when you'd rather be sound asleep. Late night store opening and home delivery are a must to satisfy the customers who could become your biggest fans.
The resulting strains on your work-life balance could be intense, so it's vital to anticipate and manage them from the start. It is worth considering what role, if any, your spouse or partner would play in the business. Would a time-consuming job in a Chinese restaurant impinge on your ability to look after your children or dependents?
For example, your joint financial situation might dictate that your partner stays in secure, permanent employment during the restaurant's initial set-up stages. The risks of opening your own franchise are calculable and should not deter you. It is simply important to enter your venture with a solid, realistic appreciation of possible drawbacks as well as potential boons.
That said if you want a life lightly spiced with a little dash of sweetness thrown in, opening a Chinese restaurant franchise could be the best choice you ever make. For more information on top chinese restaurant franchises you can invest in, please click on the link provided and request free information...