LITTLE CAESARS: What Franchisees Make on a $5 Pizza

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• Max - thanks for the feedback, if we assume your figures are right, 40K on 400K is a 10% return, which I'd say is a success. If you have to live on it then so be it, but it's a still a solid return, am i right? if you are a good operator then this can go higher i'd assume.

  anyone able to speak to the general accuracy of these figures?

  and i agree low-income, densely populated areas are the way to go, no argument there

• Here's a smart way to run a Little Ceasers have the morning people make a hundred or so Hot and Readys don't cook them and put them in the refrigerator. with parchment paper on the top then when you need one or ten throw them in the oven simple. also fountain drinks are basically 99% profit not bottles or cans how do you think Movie Theaters stay in business. because believe it or not they only make 10% off each ticket during the first 2 weeks I believe. then its 20% then 30% that's how small small Independent Movie theaters can't show any new movies for the first month and most closed down. in this struggling economy it's pretty sad if you think about it...!

• $40,000 is indeed 10% return, but how did one obtain the original $400,000? Was it borrowed with interest? Also, that $400k will grow as new equipment is added or needed such as POS equipment, computer systems, software, etc. So, that $40,000 could very well end up being a 4-5% return.

• Where do you guys buy your pizza supplies (Ingredients)? Can you buy from someone else or just the supplier your franchisor approves?

• If you do not have anything of use to say, please do not waste everyone's time giving out your uneducated opinion on a franchise that you know nothing about. If you are a franchise owner I would be very interested in any,thing you have to share.

  Thanks

  Steve

• I am interested in franchising. I am a vet and I have been reading about some discounts that may exist for those vets with a disability. If you have any information on how much the overall startup will cost and where might I get some finacial assistance. Thanks in advance.

• Vernon - those discounts are for any honorably discharged veteran and many franchisors offer them. The trouble is the discount is off the franchise fee which is only a small part of opening most businesses. But, there are special SBA loans for veterans with good credit. They require vary little down and may be something to look at. You can contact me through our website and I can direct you to some resources. Thanks for your servies too.

• I know this is a little off topic. I'm a firefighter and have to work about 10 24 hour shifts a month. How much should a owner be at the restaurant?

• Sorry I guess I should have stated I was considering getting into a little ceasers franchise.

• My name is Todd Peterson and I have 6 1/2 years experience in a franchise bus. It all boils down to this, is your franchisor taking care of those who are buying his franchises now and how often are franchisees losing their franchise.

  Is your franchisor a member of the IFA (International Franchise Association)?

  If your franchisor is a member of the IFA understand this, "Your are screwed if your franchisor commits criminal acts against your franchise." The IFA has been protecting franchisors for years. They have their members build into their contractual agreements things like if you have an issue the state of the franchisor will be your choice of forum for getting that issue resolved. If the issue can't be resolved then you agree to arbitration (binding?).

  There are 4 tool companies with franchise agreements: Matco, Snap-On, Cornwell and Mac. All of them are based out of Ohio and if you are unhappy with them Ohio is where they make you go if you want justice when criminal acts occur upon your franchise.

  The FTC is the organization responsible for policing the industry but many complaints have been filed and they do nothing and if your case involves fraud, threats, false documents and a false termination then you better hope someone else has had those crimes committed against your franchise as well because per MY conversation with the FTC they will only take action against a group of franchisee complaints. My franchisor is advertising his franchise as an employment opportunity which is against FTC rules and I know of several complaints against my franchisor Matco for this but the IFA does nothing. They are still advertising their franchise as an employment opportunity through careerbuilder.com.

  My best advice is RUN from franchising! I know it is a wonderful concept but if it is so protected that no one will do anything about those who commit crimes against your franchise why would you risk it.

  But if you decide to go forward:

  1) Read your F.D.D. THOROUGHLY! (Franchise Disclosure Document)
  2) Call 10 AT RANDOM off your F.D.D. who already own a franchise. DO NOT LET YOUR FRANCHISOR PICK!
  3) Call 10 who are terminated! Yes, more than likely there are A LOT to pick from.
  4) Very Important! Attorney! Find a reputable attorney (this is really hard) who can do some homework on your franchisor and give you advice. JUST KNOW! (as an American who was falsely terminated and threatened with the loss of his franchise to surrender customers as well as had false documents created to terminate him from his franchise) there are not many attorneys who don't roll over for big money and you are not the one with the money.
  5) Finally! Ask yourself "Do I really need this franchisor?" "Would I be a lot better opening my own small business than making myself a slave to a franchisor who has nothing for me to gain but a name?" "Do I really want to be a slave to royalty fees and buying the vendors prices for the stuff to make a pizza when I can get them elsewhere?"

  If ANYONE wants to ask me a question involving a franchise contact me through facebook or through unhappyfranchisee.com

  Just for the record I was #41 out of almost 1500 franchisee locations my first full year in business.

  I am a veteran of the United States Army who served in Korea during "Desert Storm"

  I love America and the People! I hate our government that puppets us and chooses who will succeed!