McAlister's Deli is a fast-casual restaurant serving deli sandwiches, baked potatoes, salads, soups, and desserts. The franchise offers a variety of fresh, made-to-order meals in a casual dining atmosphere.
Key Insights
- McAlister's Deli began as a single restaurant, evolving into a popular chain known for its diverse menu of sandwiches, soups, salads, and its signature sweet tea. The franchise model allows for expansion and brand recognition, offering a proven operational framework and a recognized name in the casual dining sector.
- The business operates on a fast-casual dining model, emphasizing speed of service without compromising on food quality and a comfortable dining atmosphere. Customers can order at a counter or receive table service, catering to various dining preferences and providing flexibility for different dayparts.
- McAlister's Deli operates within the broad casual dining and quick-service restaurant industry. This sector is characterized by its demand for convenient and flavorful food options, appealing to a wide demographic seeking value and a pleasant dining experience.
Franchise Fee and Costs to Open
Exploring the financial picture of McAlister's Deli gives insight into both the upfront commitment and the potential revenue opportunity. According to FDD Item 7, opening this franchise typically involves an investment in the range of $1,247,725 - $2,442,200, along with a franchise fee of $35,500 - $35,500.
Financial Performance and Revenue
Yearly gross sales of $1,792,471 and estimated earnings of $215,097 - $268,871 show the potential financial performance of this franchise. These figures are crucial for prospective franchisees as they help to project revenue and profitability. They offer insight into the business's ability to generate income and can be used to compare its performance against other investment opportunities. The Franchise Payback Period of 8.1-10.1 provides an estimation of the time it might take for an owner to recover their initial investment. This metric is a key consideration for anyone evaluating the financial viability of a franchise, as it relates directly to the speed at which the business can become profitable. A shorter payback period can indicate a faster return on capital, which is a significant factor in making an informed decision about a franchise investment.
Training and Resources
McAlister's Deli provides comprehensive training for new franchisees. This program offers in-depth operational and management knowledge. The initial training spans two weeks and takes place at the McAlister's Deli corporate headquarters in Atlanta, Georgia. McAlister's Deli also offers ongoing support and resources throughout the franchisee's journey.
Legal Considerations
Legal considerations for a McAlister's Deli franchisee are outlined in the Franchise Disclosure Document (FDD) and the Franchise Agreement. Note that this franchise discloses lawsuits and/or bankruptcy information in its FDD, which may impact your evaluation. Subscribe now to access more details and be sure to consult a qualified attorney before proceeding.
Challenges and Risks
Operating a McAlister's Deli franchise presents considerations around navigating local market competition from established and emerging eateries. The operational complexity of managing a full-service deli, from food preparation to customer service, requires robust staffing and training. Furthermore, maintaining consistent quality hinges on reliable performance within the specific supply chains, ensuring ingredient availability and freshness.
Franchise Datasheet
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