scholarship

Former CFL player Klassen offering scholarship for post-secondary students

Michael Klassen is giving back in a rather unique way.

The former CFL player has launched an unconventional scholarship contest through his company, strEATS, a Calgary-based restaurant chain. The promotion, dubbed, “strEAT Cred,” is offering entrants a chance to win a $5,000 prize.

The event is open to those students pursuing a postsecondary education in Canada – excluding Quebec as strEATs doesn’t yet have restaurants in the province. Entrants provide video submissions regarding why they feel they should receive the top prize. The more creative the message, the better.

“We pride ourselves on serving a younger demographic,” Klassen said. “We’re after students, we’re after the young millennials, that’s who we want in our stores.

“That’s kind of the vibe and atmosphere we’ve created in the various strEATS locations. We wanted to do this to give back while at the same time doing something fun with it.”

The contest is in its second phase with the number of eligible submissions having been reduced to 20. The top-15 were based upon votes, with the final five being random selections.

Voting on the remaining 20 will be conducted until Oct. 31 on the strEATS website (www.streats.ca). The winning submission will be announced Nov. 1.

The contest isn’t limited to students pursuing a career in the food industry.

“No, they don’t have to be going to culinary school or anything like that,” Klassen said. “We’ve opened it right up.

“It [school] all costs money so how can we be of help? The program puts us on the radar a bit more and also we can help people out.”

Klassen said the scholarship was something strEATS had worked on for over a year. Initially, the thought was to launch it last spring before the decision was made to do so when students were heading back to school.

Klassen, a Calgary native, played seven CFL seasons as a defensive lineman with Montreal (2013-2016), the Stampeders (2017) and Ottawa (2018-2019) after being selected in the fourth round, No. 32 overall, in the 2013 draft.

The 6-foot-5, 275-pound Klassen registered 108 tackles, 14 sacks and two forced fumbles in 87 career CFL games. Upon retirement, the former Calgary Dinos player moved back to Alberta.

Klassen, 32, began working with strEATS in 2017 and opened his own location in April 2020 after the COVID-19 pandemic had hit Canada. To date, strEATS has establishments in B.C., Alberta, Saskatchewan, Winnipeg and Ontario that specialize in street-style food like tacos, rice bowls, fish and chips and poutine.

Klassen said life after football hasn’t been nearly as taxing physically, but has been every bit as busy with its own levels of stress and anxiety.

“Football was very busy, obviously,” he said. “You’re go, go, go for six months and work every day but then you kind of get a bit of a break in winter and spring where your most pressing things are getting to the gym and maybe an appointment every week with your chiropractor.

“Now, it’s busy all day, every day but it’s a different kind of grind. You’re not necessarily getting beat up on a daily basis, but I’d say there’s just as much stress, a bit more anxiety as well with projects coming up.

“But it’s nothing compared to what I went through preparing for a game. I mean, I’d barely talk before a game because I’d get so nervous and some nights I’d have trouble sleeping, all of those fun things.”

Klassen’s home life has changed, too, as he and his wife have two young boys, aged two and two months.

“It (parenthood) can cause you added stress and anxiousness,” Klassen said. “But at the same time you have this beautiful being you created who’s amazing and nothing but fun.”

Klassen envisions a new and improved version of the strEAT Cred program being launched in 2024.

“It’s all about tweaking,” he said. “Marketing is one giant science experiment, you never quite know.

“You can think something is going to work amazingly and just like the strEAT Cred scholarship, I think there’s a lot of things we can fine-tune for next year when we launch it again.”


Joey's Seafood Rebrands into Joey's Fish Shack in Red Deer

Embracing the Future of Seafood Dining

Are you ready for a fresh catch in Red Deer, Alberta? We’re thrilled to announce that we’re making waves with a significant transformation – Joey’s Seafood is evolving into Joey’s Fish Shack! This exciting rebrand marks a pivotal moment in our culinary journey as we bring a younger, more vibrant, and exciting dining experience to our beloved community.

From Seafood to Fish Shack: The Evolution

 

At Joey’s, we’ve always been committed to serving the freshest seafood and creating memorable dining experiences. However, as times change and culinary preferences evolve, we believe that embracing change is essential to stay at the forefront of the dining industry. That’s why we’re transitioning from Joey’s Seafood to Joey’s Fish Shack.

 

Joey’s Fish Shack brings a youthful, vibrant atmosphere to our dining establishment. We want our customers to experience seafood dining like never before. From the moment you walk through our doors, you’ll be immersed in a vibrant ambiance that’s perfect for a night out with friends, a family dinner, or a fun date night.

 

Embracing New Opportunities: Red Deer, Get Talking About Joey’s Again

 

Rebranding comes with its own set of challenges and a lot of hard work, but we see it as an opportunity to grow. The change to Joey’s Fish Shack is our way of responding to your evolving tastes and the changing dining landscape. It’s an exciting transformation that will allow us to serve you better and provide an elevated seafood dining experience.

 

From a marketing perspectyive our name change gives us a reason to celebrate and promote. We’re confident that the Red Deer community will embrace Joey’s Fish Shack, and we can’t wait for you to experience all the incredible changes we’re bringing to the table. This is not just a rebrand; it’s a revival of the love for seafood dining in our community.

 

The Menu You Love, With a Dash of Freshness

 

While we’re unveiling a dashing new look and a more vibrant atmosphere, we want you to know that our commitment to serving the same mouthwatering seafood dishes you love remains unchanged. We’re still your go-to place for the freshest fish and the most delightful seafood options in town.

 

In conclusion, our transition from Joey’s Seafood to Joey’s Fish Shack is a pivotal moment for us and for the Red Deer community. We’re embracing a new identity to better serve your evolving tastes and create unforgettable dining experiences. The rebrand is not just about change; it’s about growth, vibrancy, and a fresh start for seafood dining in Red Deer. Join us in this exciting journey as we redefine the seafood dining experience, all while keeping the beloved menu items you know and love.

 

 

Come to Our (re)Opening!

Come, dive into the future of seafood dining, and experience Joey’s Fish Shack for yourself. Stay tuned for updates, events, and special promotions as we embark on this exciting journey together.

Remember, for the latest news and updates, make sure to follow us on social media and subscribe to our newsletter. Joey’s Fish Shack is here, and we can’t wait to serve you!


The Booming Growth of Quick Service Restaurants (QSRs) in the Modern Age

QSR Case Study: strEATS Kitchens

In today’s fast-paced world, Quick Service Restaurants (QSRs) have become an indispensable part of our lives. These eateries, characterized by their speedy service and affordable menu options, have experienced remarkable industry growth over the years. This article delves into the key factors driving the surge in QSR popularity and showcases the success story of strEATS, a brand that exemplifies the thriving business model.

The Evolution of Quick Service Restaurants

Quick Service Restaurants, commonly known as fast-food joints, have come a long way since their inception. What started as small burger stands and drive-thru diners in the early 20th century has now evolved into a multi-billion-dollar global industry. The reasons behind this impressive growth are manifold, and one shining example is strEATS.

 

strEATS: A Case Study in QSR Success

strEATS, a trailblazing QSR brand, has proven that innovation and customer-centricity can lead to incredible success in the industry. Established just a few years ago, strEATS has quickly become a household name in the world of Quick Service Restaurants.

At the heart of strEATS’ success is its innovative business model. Instead of following the conventional brick-and-mortar approach, strEATS focused on a mobile and agile concept. Strategically positioned in high-traffic areas, strEATS tapped into the burgeoning demand for gourmet street food. strEATS is a place where people can sit down for a beer or grab everything they need and be out the door within a few minutes. This duality of service and atmosphere makes for a unique experience that customers love

 

Technology Integration

To enhance customer convenience, strEATS fully embraced technology. Their user-friendly mobile app allowed customers to track the location of food trucks in real-time, place orders in advance, and customize their meals. This seamless integration of technology not only streamlined the ordering process but also helped build customer loyalty.

 

Rapid Expansion

strEATS’ initial success led to rapid expansion. They strategically rolled out restaurants in high-demand areas and collaborated with event organizers, influencers, and local clubs further increasing their visibility and customer reach. Since They’re first store opened in 2020, they already have over 20 locations across the country.

 

Technology Integration

To enhance customer convenience, strEATS fully embraced technology. Their user-friendly mobile app allows customers to place orders in advance and customize their meals. This seamless integration of technology not only streamlined the ordering process but also helped build customer loyalty. With a mix of online orders through their website, app, and third-party delivery services, a proper QSR is empowered to reach a much larger audience than they could ever have dining in house.

 

The Future of strEATS and QSRs

As the success story of strEATS exemplifies, Quick Service Restaurants have a promising future filled with opportunities for innovative brands. The success of strEATS can be attributed to its unique business model, commitment to local flavors, technology integration, sustainability efforts, and rapid expansion.

 

The future of strEATS looks equally bright, with plans for nationwide expansion and continued innovation in the pipeline. As the Quick Service Restaurant industry evolves and adapts to changing consumer preferences, strEATS serves as an inspiring example of what can be achieved through creativity, dedication, and a keen understanding of the market.

 

In conclusion, strEATS has demonstrated that the QSR industry is not only thriving but also open to innovative ideas and business models. As long as QSRs continue to embrace trends, prioritize customer satisfaction, and remain agile in responding to consumer demands, the industry will continue its impressive growth trajectory. The strEATS success story is proof that the future of Quick Service Restaurants is filled with exciting possibilities.


strEAT Cred Scholarship: Nurturing the Future of Restaurant Franchising

Introduction:

In the ever-evolving world of restaurant franchising, staying ahead of the curve requires not only culinary innovation but also a commitment to nurturing young talent. At strEATS, we understand the importance of investing in the future of the industry, and that’s why we proudly present the “strEAT Cred” scholarship. In this article, we will explore how this scholarship is making waves in the B2B world of restaurant franchising, drawing in enthusiastic students from all corners and helping us forge a unique brand identity.

 

The strEAT Cred Scholarship – A Platform for Aspiring Minds

The strEAT Cred scholarship is more than just financial support; it’s a platform for students to showcase their passion. By encouraging them to create fun, engaging videos explaining why they deserve the $5000 scholarship, we not only identify young talent but also generate content that resonates with our audience.

The submissions we’ve received for the scholarship vary widely in tone and style. Some are humorous, some tug at the heartstrings, while others present logical and compelling arguments. This diversity mirrors the multifaceted nature of the restaurant franchising world. Our scholarship isn’t just about academic excellence; it’s about recognizing creativity and adaptability.

 

The Power of social media

In the digital age, social media is where conversations happen. Students are not just sending in their scholarship videos; they’re sharing them with their friends and peers on social platforms. This viral effect extends our reach far beyond what traditional marketing strategies can achieve. We are becoming a part of the daily discussions of young people interested in the restaurant industry.

 

Building Personal Connections

In our commitment to being more than just a brand, we’ve taken our scholarship program to the campuses. By interviewing students in person, we’re building personal connections and solidifying our presence in the hearts of young individuals. This approach fosters trust and helps us be the brand we aspire to be.

All these efforts converge to position strEATS as the heart of young aspirations in the restaurant franchising arena. We are not just a franchise; we are a platform that nurtures dreams and celebrates the vibrant, dynamic spirit of the industry. Our “strEAT Cred” scholarship is just one way we are achieving this.

 

Conclusion:

The “strEAT Cred” scholarship program has transcended its financial purpose to become a beacon for young talent and a testament to our commitment to the restaurant franchising industry. Through diverse student submissions, social media engagement, on-campus interactions, and our overarching brand vision, we are not just franchising restaurants; we are nurturing the future of the culinary world. Join us in this exciting journey, and let’s create a tastier, brighter tomorrow together.


Connecting to Students with a Unique Scholarship

Connecting with the Next Generation

At strEATS, we understand the pulse of the younger generation. We recognize that traditional scholarship programs might not capture the vibrant spirit and enthusiasm that define today’s students. With strEAT Cred, our aim is to bridge that gap and create a scholarship that resonates deeply with this dynamic demographic. We’ve crafted an experience that’s relatable, exciting, and aligned with the values and aspirations of the youth. By offering a scholarship that celebrates individuality, creativity, and the joy of living life to the fullest, we’re not just giving away funds – we’re creating a lasting connection with the generation that’s shaping the future.

Our $5000 Scholarship!

The Fun Scholarship for Every Student

At strEATS, we’re all about breaking the mold, and that’s why we’re offering a scholarship that defies convention. This isn’t your typical academic scholarship that relies solely on grades or test scores. strEAT Cred is designed to be inclusive, engaging, and, most importantly, fun. We believe that everyone deserves a shot at winning, and that’s why we’re putting the spotlight on students who embrace life with passion and enthusiasm.

 

The Application Process

Getting involved in strEAT Cred is as exciting as it sounds. To apply for the scholarship, students are invited to submit a creative video answering a selection of prompts that showcase their personality, passions, and what makes them stand out. This isn’t about delivering a rehearsed speech; it’s about being authentic, expressive, and having a blast while doing it.

 

Nominate a Star: Beyond Students

But wait, there’s more! We recognize that the college experience extends beyond the confines of classrooms. If you’re not a student yourself, you can still get in on the action. strEAT Cred allows individuals to nominate a student they believe truly deserves the scholarship. It’s a chance to uplift others and be a part of something bigger – a true embodiment of the spirit of community that defines college life.

 

The Power of Public Vote

What sets strEAT Cred apart is our commitment to fairness and inclusivity. The winner of the scholarship isn’t determined by a closed-door panel; it’s left up to the public vote. This encourages participants to rally their friends, family, and peers to support their journey. The power of social sharing takes center stage, turning the scholarship into a viral sensation that engages students across the board.

 

Embracing the College Experience

strEAT Cred isn’t just about handing over a scholarship; it’s about tapping into the heart of the college experience. We’re here to celebrate those nights you said you would study and instead turned into all-night adventures, the friendships formed over shared meals, and the unforgettable moments that shape who we become. Our program captures the essence of those years when the world was our oyster, and every day was a new adventure waiting to unfold.

 

Positioning strEATS as the Vibrant Brand We Are

At strEATS, we’ve always been the brand that resonates with students’ hearts. We’re not just about food; we’re about creating memories that last a lifetime. strEAT Cred solidifies our position as the ultimate fun brand that understands the importance of balance between academics and making memories. By embracing the college experience wholeheartedly, we show that life’s best moments are often shared with friends and a delicious meal.

 

Conclusion

With strEAT Cred, we’re not just offering a scholarship; we’re offering a chance to embrace life to the fullest. It’s a reminder that the college experience is about more than just classrooms and textbooks – it’s about the people you meet, the stories you share, and the adventures that shape your journey. Join us in celebrating the college spirit, one video at a time. It’s time to show the world that at strEATS, we’re not just a franchise; we’re a family, and we’re here to make memories that last a lifetime.


Joeys fish shack streats

Expanding Horizons: Marlborough Dual Restaurant

Fish + Chips
JOEY'S FRANCHISE GROUP

Two Beloved Brands, One Efficient Kitchen, Coming Soon to Marlborough, Calgary

OPENING AUGUST 28TH, 2023
150 52 St NE #10, Calgary, AB

The culinary scene in Marlborough, Calgary is about to get twice as exciting with the grand opening of a groundbreaking dual-location restaurant on August 28th. Nestled at 150 52 St NE #10, Calgary, AB T2A 1X1, this innovative establishment promises to redefine dining experiences by offering the best of both worlds: strEATS and Joey’s Fish Shack, all under the same roof.

 

An Array of Flavors and Convenience

 

The concept of a dual-location restaurant may be novel, but its benefits are boundless. This ingenious approach is poised to deliver an array of advantages that are certain to tantalize the taste buds and delight every diner who walks through the doors.

Culinary Diversity in Every Bite

 

With strEATS and Joey’s Fish Shack side by side, patrons can now indulge in a wider range of culinary offerings. Craving our famous Fish Sandwich? No problem. Hankering for sizzling fusion tacos? You got it. Whether you’re in the mood for seafood delights or international street food flair, this dual-location setup has you covered, making it the perfect destination for groups with diverse cravings.

 

Distinct Brand Identity

 

By seamlessly blending two distinct restaurant concepts, the dual-location format promises an atmosphere that caters to various preferences. Whether you’re a fan of strEATS’ vibrant and bustling street food vibe or you prefer the cozy coastal charm of Joey’s Fish Shack, you can expect a dynamic environment where everyone feels at home. This dual restaurant means that our franchisees have the freedom to serve multiple demographics with often opposite tastes and preferences, without sacrificing any quality or ambiance. While it’s no secret that both brands are operating under the same kitchen, the customer experience is seamless and many patrons wont have any idea both restaurants are under the same ownership.

 

Efficiency Redefined

 

From a business perspective, operating two restaurant brands under a single roof provides exceptional efficiency. Shared infrastructure, including kitchens, utilities, and even staff resources, can result in reduced operational costs. This innovative strategy allows for more strategic allocation of resources, which ultimately benefits both the establishment and its patrons.

 

A Remarkable Journey of Growth

 

The excitement surrounding this new dual-location venture isn’t just about the culinary offerings; it’s a testament to the rapid growth and success that strEATS and Joey’s Fish Shack have achieved. The decision to expand into Marlborough, Calgary, reflects the undeniable popularity and demand for these beloved brands.

 

“We’re thrilled to embark on this new chapter of growth,” shares Micheal Klassen, Director of Brand Development at strEATS and Joey’s Fish Shack. “Our aim has always been to provide our patrons with extraordinary dining experiences, and this dual-location setup allows us to do just that while embracing innovation and efficiency.”

 

The journey that began with a passion for exceptional food has transformed into a remarkable success story, paving the way for future expansion and exciting culinary endeavors.

 

As August 28th approaches, anticipation mounts, promising the residents of Marlborough and visitors from all around Calgary an unparalleled dining adventure. The combination of strEATS’ global street food inspiration and Joey’s Fish Shack’s coastal charm is set to create memories and flavors that will linger long after the meal is over.

 

In a world where culinary possibilities are endless, strEATS and Joey’s Fish Shack stand as pioneers, proving that sometimes, the best way to delight food enthusiasts is by offering them not just one, but two exceptional dining experiences under a single, welcoming roof.

Joeys fish shack streats
150 52 St NE #10, Calgary, AB T2A 1X1

Dual concept restaurant

Embracing Dual Concepts with StrEATS and Joey's Fish Shack

Use a Dual Concept to Optomize Your Franchise Investment

In the dynamic world of food service, innovation is the key to success. We are thrilled to announce the successful opening of our new dual concept restaurant, where two distinct brands, StrEATS and Joey’s Fish Shack, have found a harmonious home under one roof. This pioneering approach allows us to cater to separate age demographics, reduce overhead costs, and introduce an exciting rebranding journey for Joey’s Fish Shack.

 

  1. Lower Overhead, Higher Efficiency:

 

Combining two brands under the same kitchen significantly reduces overhead costs, a game-changing factor in the highly competitive restaurant industry. By sharing kitchen space and resources, we optimize operational efficiency without compromising on the quality and uniqueness of each brand’s offerings. This synergy enables us to focus on delivering exceptional dining experiences for both the younger crowd who love StrEATS and the older patrons who cherish Joey’s Fish Shack.

 

  1. Tailoring to Different Age Demographics:

 

Understanding the diverse tastes and preferences of our customers, we carefully curated two distinct brands that cater to separate age demographics. StrEATS, the vibrant and trendy concept, appeals to the younger generation seeking adventurous flavors and exciting presentations. On the other hand, Joey’s Fish Shack, formerly known as Joeys Seafood, celebrates the rich tradition of seafood in a warm and inviting ambiance, attracting the more mature audience seeking classic favorites and a relaxing atmosphere.

 

  1. Introducing StrEATS:

 

StrEATS welcomes diners to embark on a journey of global street food delights. From mouthwatering tacos bursting with international flavors to smash burgers that smash expectations, StrEATS promises an adventurous dining experience like no other. The colorful and contemporary dining room complements the eclectic menu, creating a vibrant ambiance that resonates with the younger crowd.

  1. The Rebirth of Joey’s Fish Shack:

 

Undergoing a successful rebrand from Joeys Seafood to Joey’s Fish Shack was an exciting milestone for us. The transformation allowed us to refine and update the brand’s identity while preserving its reputation for delectable seafood dishes. With an emphasis on fresh, sustainably sourced seafood and a menu that celebrates coastal culinary traditions, Joey’s Fish Shack takes diners on a nostalgic journey by the sea.

 

  1. Seamless Experience, Unique Offerings:

 

While both brands operate from the same kitchen, each brand’s dining room exudes a distinct personality and ambiance. We have meticulously designed each space to match the theme and vibe of the respective brand. The separation of dining areas ensures that diners can enjoy a seamless experience tailored to their preferences.

 

Conclusion:

 

The successful launch of our dual concept restaurant, StrEATS, and Joey’s Fish Shack, is a testament to the power of innovation, adaptability, and customer-centricity. By embracing this novel approach, we have not only reduced overhead costs but also delighted two different age demographics with unique culinary experiences. StrEATS appeals to the adventurous spirit of the younger crowd, while Joey’s Fish Shack continues to serve classic seafood dishes to our beloved mature patrons.

 

We are excited about the journey ahead and look forward to continuing to delight our guests with the vibrant flavors of StrEATS and the timeless charm of Joey’s Fish Shack. Come, join us on this gastronomic adventure, where the culinary worlds of two distinct brands collide in a harmonious and unforgettable union.


3 Pillars to a Successful Restaurant

What are the 3 Pillars of a successful restaurant?

Running a successful restaurant requires a combination of factors, including food quality, customer service, and the atmosphere of the space. Each of these factors plays a critical role in creating a memorable dining experience that keeps customers coming back. In this blog post, we'll explore these three main factors and why customer service is the most important.

These items are things that we all know intutivley but often forget about in the 'heat of the kitchen'. Buckle down and make sure you have all three of these facors down pact before you do anything else. A slip on one of these three pillars could make the diffrence between a lifetime customer, and a bad review online that only hurts your business.

1. Food Quality

The quality of the food is the foundation of any great restaurant. It's the reason why customers choose to dine out rather than cook at home. A restaurant's food must be fresh, flavorful, and prepared with care. The quality of the ingredients, the cooking techniques, and the presentation of the dishes are all factors that contribute to the overall quality of the food.

A restaurant that serves high-quality food will create a loyal customer base that returns again and again. Positive word-of-mouth recommendations from satisfied customers can also help to attract new diners.

2. Customer Service

Customer service is the most important factor in running a successful restaurant. Customers want to feel welcome and appreciated when they dine out, and the way they are treated can make or break their experience.

A restaurant with excellent customer service will have staff who are friendly, attentive, and responsive to the needs of their customers. They will greet customers with a smile, offer recommendations, and ensure that their dining experience is enjoyable from start to finish.

Good customer service can turn a mediocre meal into a great one and can create a loyal customer base that returns time and time again. On the other hand, poor customer service can ruin even the best meal and lead to negative reviews and a decrease in business.

3. Atmosphere of Space

The atmosphere of a restaurant is also important. It sets the tone for the dining experience and can influence the way customers perceive the food and the level of customer service they receive. A restaurant's atmosphere includes everything from the décor, lighting, and music to the cleanliness and comfort of the space.

Creating the right atmosphere requires attention to detail and a focus on the customer's needs. A restaurant that is too loud or too dark may be off-putting to some customers, while a space that is too bright or too sterile can feel cold and unwelcoming.

Conclusion

In conclusion, running a successful restaurant requires a combination of factors, including food quality, customer service, and the atmosphere of the space. While each of these factors is important, customer service is the most critical. A restaurant with great customer service can overcome mediocre food or a less-than-ideal atmosphere, while a restaurant with poor customer service will struggle to attract and retain customers, no matter how great the food or the atmosphere may be. By focusing on providing excellent customer service, restaurants can create a loyal customer base and build a reputation for excellence in the industry.


The Biggest Costs to Run a Restaurant

How Much Does it Cost to Run a Restaurant?

The restaurant industry can be a highly rewarding business, but it's also known for being notoriously difficult to turn a profit. In order to run a successful restaurant, it's essential to understand the profit margins and expenses associated with the industry. In this blog post, we'll explore the typical profit margins in the restaurant industry, based on industry standards of 30% for food costs, 30% for labor costs, and 20% for other expenses such as rent, utilities, supplies, chemicals, repairs, and maintenance.

Food Costs

Food costs are one of the biggest expenses for restaurants, and typically account for around 30% of a restaurant's total revenue. Food costs include the cost of all the ingredients that go into the dishes served at the restaurant, as well as any other food-related expenses such as packaging and waste disposal. In order to maintain a healthy profit margin, restaurants need to carefully manage their food costs by sourcing quality ingredients at the right price, minimizing waste, and optimizing their menu pricing to ensure that their prices reflect the cost of ingredients.

Labor Costs

Labor costs, which include the cost of all the employees who work at the restaurant, typically account for around 30% of a restaurant's total revenue. This includes both front-of-house employees, such as servers and hosts, and back-of-house employees, such as cooks and dishwashers. In order to manage labor costs effectively, restaurants need to optimize their staffing levels, carefully manage scheduling, and ensure that their employees are well-trained and productive.

Other Expenses

Other expenses, which typically account for around 20% of a restaurant's total revenue, include rent, utilities, supplies, chemicals, repairs, and maintenance. These costs are necessary for maintaining the physical infrastructure of the restaurant and ensuring that it remains in good working order. In order to manage these expenses, restaurants need to carefully track their expenditures and ensure that they are getting the best value for their money.

Profit Margins

Based on the industry standards of 30% for food costs, 30% for labor costs, and 20% for other expenses, a typical restaurant would have a profit margin of around 20%. This means that for every dollar of revenue generated, the restaurant would retain 20 cents as profit. However, it's important to note that profit margins can vary widely depending on a number of factors, including the type of cuisine served, the location of the restaurant, and the level of competition in the market.

Conclusion

It's important to note that while industry standards suggest a 20% profit margin, the actual profitability of a restaurant can vary depending on the sales volume. For instance, if sales are low, the labor and other expenses may run higher, which would reduce the profit margin. Conversely, if sales are high, labor costs may decrease as a percentage of revenue, and the other expenses may also decrease since they are fixed costs.

One important fixed cost to keep in mind is rent. Rent is typically a significant fixed expense for a restaurant, and it's important to ensure that it does not exceed 10% of total expenses. By keeping fixed costs such as rent low, restaurants can maximize their profit margins and ensure long-term success.

In conclusion, while ideal profit margins for a restaurant are typically around 20%, the actual profitability of a restaurant can vary widely depending on sales volume and the management of expenses. By carefully managing food costs, labor costs, and other expenses, and keeping fixed costs such as rent low, restaurants can maximize their profit margins and run a successful business.

 


Franchisor

Buying a Franchise VS Starting a Restaurant

Every Restauranteur Has To Make the Decision

The decision to start a business can be challenging, and one of the key factors to consider is whether to open an independent business or become a franchise owner. Both options have their advantages and disadvantages.

Independent ownership allows you to have complete control over your business operations and branding. You can make all the decisions, set your own prices, and choose your own suppliers. However, being an independent owner can be costly, as you need to invest more time and money into building your brand and creating a customer base.

On the other hand, becoming a franchise owner means you have access to a proven business model, established branding, and ongoing support from the franchisor. This can help you get started quickly and avoid the risks associated with starting a business from scratch. However, you may have less flexibility in decision-making, and there are typically ongoing fees and restrictions that come with being part of a franchise system.

PROS & CONS

Starting Your Own Resturant

Pros:

  • •  Complete control over the restaurant's concept, menu, and branding
  • •  Ability to create a unique dining experience that stands out in the market
  • •  Flexibility to adapt the restaurant as needed to meet changing market trends or customer preferences
  • •  Potential for greater profits and return on investment
  • •  Ability to establish a local presence and become part of the community

Cons:

  • •  High start-up costs and ongoing expenses, including rent, equipment, and supplies
  • •  No established business model or brand recognition
  • •  Greater risk of failure and lack of support
  • •  Need to create a customer base from scratch
  • •  Need to develop and implement all business systems and processes, including marketing, human resources, and financial management

Buying a Restaurant Franchise

Pros:

  • •  Access to an established business model and brand recognition
  • •  Proven track record of success and profitability
  • •  Ongoing support from the franchisor, including training and marketing assistance
  • •  Access to established supply chains and preferred pricing
  • •  Greater potential for success and reduced risk compared to starting a restaurant from scratch

Cons:

  • •  Ongoing fees and royalties paid to the franchisor
  • •  Less flexibility in menu and branding, and adapting to local market conditions
  • •  Limited ability to differentiate the restaurant from other franchise locations
  • •  Potential for conflicts with other franchisees or the franchisor
  • •  Risk of changes in the franchise system or business model over time, which may not align with the owner's vision

Conclusion

Ultimately, the decision to start your own restaurant or buy a franchise depends on your personal preferences, goals, and financial situation. It's important to weigh the pros and cons carefully before making a decision.