Franchise Facts
- Mike Ilitch and Marian Bayoff created the organization in 1959.
- 1962 was the year when the company began franchising
- Franchise units – 5,509 units in the United States, 6,000 units globally
- Little Caesars franchises account for around 90 percent of the company’s locations.
- Little Caesars corporate-owned stores account for around 10% of all Little Caesars locations.
| Liquid capital required | $50,000 |
|---|---|
| Investment | $359,700 - $1,686,000 |
| Franchise fee | $181,000 |
| Royalty | 6.0% |
| Units in operation | 5,509 |
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How many franchises Does Little Caesars have?
Little Caesars is an American multinational pizza chain. It is the third-largest chain in the US after Domino's and Pizza Hut. Little Caesar's has 4100+ locations across the USA.
How Much Does a Little Caesars franchise owner make?
Average Franchisee Profit The average Little Caesars franchisee will make $50,000 – $200,000 per year after expenses.
How much is Little Caesars Pizza franchise?
Here are the costs and fees associated with opening a new Little Caesars location: Estimated total investment: Starting at $379,000. Net worth requirement: $350,000. Liquid asset requirement: $150,000.
What franchise owns Little Caesars?
Little Caesar Enterprises, Inc.Franchise Description: Little Caesar Enterprises, Inc. is the franchisor. Little Caesars restaurants feature pizza, chicken wings, Crazy Bread products and other related products. Little Caesars restaurants generally are carryout-only restaurants, sometimes with a drive-thru window.
How much money can you make as a franchise owner?
According to a survey done by Franchise Business Review involving 28,500 franchise owners, the average pre-tax annual income of franchise owners is about 80,000 dollars. However, this number should be taken with a grain of salt bearing in mind that it could be inflated by high incomes of a few top performers.
What does a Taco Bell franchise cost?
Total cost: A standalone Taco Bell franchise location is estimated to cost between $1.2 million and $2.6 million, exclusive of land and lease costs. Initial investment: Initial investments will vary significantly based on your location and the type of restaurant.
What is the cost of McDonald's franchise?
Documents- ID cards, lease documents, etc. Franchise Investment Cost- In India, if anyone wants to start a McDonald's franchise in India, then their net worth should be between INR 10 to 15 Crore. Also, assets worth INR 5 Crore should be in the form of cash or liquid assets.
How much does Domino's franchise cost?
Initial franchising fee: The Domino's initial franchise fee is $10,000 for building a new store or refranchising a closed store. Do note that Domino's sometimes charges a "reservation fee" of $25,000. The franchise disclosure document that you receive will have more details on this additional fee.
What is the cost of a Starbucks franchise?
What are the Financial requirements for a Starbucks licensed store? You need to pay the licensing fee of between $50,000 – $315,000 and you must have over $1,000,000 in liquid assets to be considered for a licensed store by Starbucks.
What is Little Caesars net worth?
Today Little Caesars is one of the nation's largest pizza chains, with estimated revenues over $4.2 billion. Ilitch and his wife paid $9 million for the NHL's Detroit Red Wings in 1982. The team won four Stanley Cups during his time as owner and is now worth $625 million.
Who is the CEO of Little Caesars?
David Scrivano (Jan 2005–)Little Caesars / CEODavid Scrivano is President and CEO of Little Caesar Enterprises, Inc., the third-largest pizza chain in the world.
What does a Pizza Hut franchise cost?
Pizza Hut has a franchise fee of $25,000 for a 20-year agreement, although the total initial investment ranges between $297,000 and $2,109,000. Additionally, franchisees must pay the company ongoing royalty fee of 6% on all sales, as well as an additional 3% to be applied toward national marketing efforts.
How much does it cost to franchise a McDonald's?
McDonald's franchisee applicants must have a minimum of $500,000 available in liquid assets and pay a $45,000 franchise fee. Those looking to launch a new McDonald's franchise can expect to shell out between $1,314,500 and $2,306,500. Existing franchise prices can cost upwards of $1 million or more.
How Much Is a Subway franchise?
The initial franchise fee ranges from $10,000 - $15,000* (US dollars) depending on your country.
What does a Pizza Hut franchise cost?
Pizza Hut has a franchise fee of $25,000 for a 20-year agreement, although the total initial investment ranges between $297,000 and $2,109,000. Additionally, franchisees must pay the company ongoing royalty fee of 6% on all sales, as well as an additional 3% to be applied toward national marketing efforts.
What is the franchise fee for Dunkin Donuts?
Here is a breakdown and ranges of the financial requirements to open a Dunkin' franchise: Total investment range: $97,500 to $1.7 million. Initial franchise fee: $40,000 to $90,000 (varies by location) Net worth: $500,000 minimum.
How many pizzas did Little Caesars deliver?
Little Caesars donated and delivered 1 MILLION pizzas to healthcare workers and first responders across the country. Be a part of a family that gives back.
How Much Does it Cost to Own a Little Caesars?
Little Caesars is an exciting investment in the wildly popular pizza segment. Our straightforward business model, world-class support and millions of devoted customers make us a worthy investment for entrepreneurs who want to make an impact. You can even choose to invest in your franchise with a partner and use consolidated liquidity and net worth. Here are the costs and fees associated with opening a new Little Caesars location:
Where is Little Caesars located?
Headquartered in Detroit, Michigan, Little Caesars was founded in 1959 as a single, family-owned restaurant. Since then it has become the third largest pizza chain in the world* with stores in more than 25 countries and territories worldwide, including in each of the 50 U.S. states.
Does Little Caesars offer veterans?
Veterans Program. Little Caesars offers honorably discharged veterans and Gold Star families financial incentives to open a Little Caesars franchise of their own. Benefits include a franchise fee discount, equipment and supply discount, financing assistance, and advertising and publicity support, among others.
Who is the founder of Little Caesars?
The Veteran's Program was established in 2006 by Little Caesars founder Mike Ilitch, who proudly served with the United States Marine Corps during the Korean War. His vision was to expand business opportunities for his fellow military veterans.
Does Little Caesars offer a first responder discount?
First Responders Program. Little Caesars has extended its franchise incentive program to first responders. First responders receive a franchise fee discount, equipment and supply discount, financing assistance, and advertising and publicity support, as well as other benefits.
When is the FDD of Little Caesars?
The above information has been compiled from the FDD of Little Caesars. Year of FDD: 2021.
How many hours of training do franchisees need?
Training Overview: Before starting the training program, franchisees who are new to the brand must complete 36 hours of pre-training. Franchisees (or, if they are a corporation, limited liability company or other entity, the principal acceptable to the franchisor) must attend the training program.
What are the obligations of a franchisee?
Obligations and Restrictions: The franchisor requires that the franchisee (or, if the franchisee is a business entity, a principal) or an individual approved by the franchisor devote his or her full time and best efforts to on-site management and operation of the restaurant. If franchisees are granted franchises for more than one restaurant, they must continue to personally supervise the operation of all their restaurants. If the restaurants are located in different market areas or if franchisees elect not to reside in the same geographic area as their restaurants, the franchisor must approve their on-site operator (s), and it may require that they have a minimum equity interest in the entity that operates and/or owns the restaurants they supervise. To ensure that the highest degree of quality and service is maintained, franchisees must operate the restaurant in strict conformity with the methods, standards and specifications that the franchisor prescribes in the Operational Resource Guide or otherwise in writing.
What is a protected territory in a franchise agreement?
The Franchise Agreement typically defines a territory within which the franchisor will not establish or operate , or franchise any entity to establish or operate, a business using the proprietary marks and system. The protected territory is usually defined the as the territory within a one mile radius of the approved location. Under certain circumstances, however (e.g. the restaurant will be located in a highly populated urban area), the protected territory may be reduced to a distance of ½ mile or less, or a protected territory won’t be granted. If the approved location is within any of the five boroughs of the City of New York, New York, the franchisor will not provide a protected territory.
How long is a franchise agreement?
Term of Agreement and Renewal: The length of the initial franchise term is generally 10 years. There is generally one renewal term of 10 years from the initial term. All renewals are subject to contractual requirements. Financial Assistance: The franchisor does not offer direct or indirect financing.
Does Little Caesars have a franchise agreement?
The franchisor currently offers both single Little Caesars restaurant franchises and a territory reservation agreement that allows franchisees to reserve a territory for potential development of multiple Little Caesars restaurant franchises.
Does franchising offer financing?
Financial Assistance: The franchisor does not offer direct or indirect financing. The franchisor does not guarantee a franchisee’s note, lease or obligation.
How much does a Little Caesars franchise make?
As with any business, profits from a Little Caesars franchise depend on a variety of factors. Typically, profits are proportionate to the size of investment. Demand for your products, labor costs, commercial lease rates and a number of other variables also play a huge role in your bottom line. For system-specific data, unlock this franchise .
What is Little Caesars?
Little Caesars® franchise businesses offers a restaurant, which features pizza, chicken wings, Crazy Bread® products and other related products.
What is franchise grade?
Franchise Grade is dedicated to providing research and education that can help you make confident franchise investment decisions.
Are there any Little Caesars franchise opportunities near me?
Based on 2020 FDD data, Little Caesars has franchise locations in 50 states. The largest region is the South with 1782 franchise locations.
What is Little Caesars franchise?
Little Caesars provides qualified franchisees with the tools they need to follow the brand’s proven system, including ongoing training, architectural services to help with design and construction, preferred lenders to assist with financing, sustained research and development of new products, and continuing, effective marketing promotions.
How much does it cost to franchise Little Caesars?
Opening one Little Caesars pizza restaurant franchise requires a total investment of $350,000 to $1,427,500, including a $20,000 franchise fee. Potential owners should have a net worth of at least $250,000. Reserving a territory for future development of up to four Little Caesars restaurants requires a total investment of $21,000 to $25,000, which is additional to the cost of every franchise unit to be developed. Franchisees pay an ongoing royalty that is the greater of 6% of the week's gross sales or $100, payable weekly. For national advertising, franchisees must contribute up to 7% of gross sales toward the franchisor advertising fund.
How many Little Caesars are there?
Little Caesars Franchise System Size and Composition. Little Caesars has expanded to around 6,000 locations worldwide. About 90% of the chain's locations are franchised and about 10% are corporate owned. Roughly 80% of the restaurants are located in the United States.
How long does it take to open a Little Caesars?
The timeline for opening a Little Caesars is 4 to 12 months from initial application to grand opening, depending on factors like store location, permitting, and the franchise format selected. Little Caesars is, of course, known for its walk-in restaurants, but, beyond the traditional carryout format, Little Caesars franchise owners have several non-standard options for their store build-out:
How much royalty do franchisees pay?
Franchisees pay an ongoing royalty that is the greater of 6% of the week's gross sales or $100, payable weekly. For national advertising, franchisees must contribute up to 7% of gross sales toward the franchisor advertising fund.
When did Little Caesars start selling hot n ready pizza?
By 1969, Little Caesars began its international expansion into Canada, and by 1987, had locations throughout all 50 states in the US. The pizza chain began offering its "Hot- N-Ready" menu item, which is a large pizza sold for $5, in 2005. This new feature was a major success, which led the item to become a permanent fixture on the menu.
Where was Little Caesars founded?
Mike Ilitch and his Wife Marian founded the first Little Caesars in 1959 in Garden City, Michigan. Originally named Little Caesars Pizza Treat, the first franchise was sold in 1962 and began expanding quickly thereafter. By 1969, Little Caesars began its international expansion into Canada, and by 1987, had locations throughout all 50 states in the US. The pizza chain began offering its "Hot- N-Ready" menu item, which is a large pizza sold for $5, in 2005. This new feature was a major success, which led the item to become a permanent fixture on the menu. Little Caesars has remained the fasted-growing pizza chain for nearly a decade.
How many Little Caesars franchises are there?
Little Caesars provides franchise opportunities and, as of 2018, the company operates 3500+ franchises in the United States and 1500+ ones outside the country.
Where is Little Caesars located?
The company was founded in 1959 and is based in Detroit, Michigan.
How much does it cost to buy a Little Caesars franchise?
To buy a franchise with Little Caesars® Pizza, you'll need to have at least $50,000 in liquid capital and a minimum net worth of $150,000. Little Caesars® Pizza charges a franchise fee of $20,000. They also offer financing via 3rd party. *.
How long is Little Caesars training?
Little Caesars offers training at its headquarters for one week for new franchisees as well as 1-2 weeks of on-site training. Ongoing support for marketing, operations and more is also available.
Why Little Caesars?
Little Caesars franchise owners enjoy a world famous brand known for good value and convenience well-known HOT-N-READY ® pizza. The pizza franchise values offering a quality product at an affordable price
Does Little Caesars Pizza require foodservice experience?
Because Little Caesars Pizza offers a comprehensive training program for new franchisees, it's not necessary to have foodservice experience although it is helpful. Franchisees should be committed to exceeding customer expectations and providing extraordinary value.
What is a Little Caesars franchise?
Little Caesars franchise is a take-out style pizza restaurant that sells pizza, chicken wings, “Crazy bread”, and other food related products. The franchisor offers both individual franchise units as well as a “territory reservation agreement”, which is when a single investor can reserve an entire area of land to develop multiple Little Caesars restaurant franchises.
How does Little Caesars compare to other brands?
So how do these numbers compare to other brand name businesses in the Food & Beverage industry? Below is a chart comparing the net change of Little Caesars units in 2020 to those of other restaurant brands. Compared to non franchise brands, Little Caesars lags significantly behind companies like Starbucks and Chipotle, but is fairly equally matched to franchised fast food restaurants like Subway and McDonalds.
Where is Little Caesars located?
Little Caesars is headquartered in Detroit, Michigan. It was founded in 1959 as a single, family-owned restaurant, and sold its first franchise in 1962. Nowadays, Little Caesars is the third fastest growing pizza chain in the United States, behind competitors Pizza Hut and Domino’s Pizza. The company was founded by Mike Ilitch and his wife Marian Ilitch, and is currently owned by Ilitch Holdings Inc.
Does Little Caesars provide franchisees with financial information?
According to their FDD, Little Caesars does not provide any “representations of a franchisee’s future financial performance or the past financial performance of company owned or franchised outlets.” The only financial information that Little Caesars provides is if an investor purchases an existing outlet, and Little Caesars will only provide information of that specific establishment.
Is Little Caesars franchise disclosure required?
Although this aspect of the Franchise Disclosure Document, called the Item 19, is not required by law, it is unusual for a good-standing franchisor to exclude financial performance information from prospective investors.
Who are the competitors of Little Caesars?
Competitors of Little Caesars Pizza are other pizza restaurants such as Domino’s, Pizza Hut, and Papa John’s. They also compete with other fast food chains in the Food and Beverage industry, such as McDonalds, Burger King, and Wendy’s. Furthermore, franchisees must compete with other Little Caesars in the area.
Is Little Caesars growing?
Even when compared to other pizza franchises, Little Caesars lags significantly behind in terms of growth, at least on the franchised end. For example, out of the above three example franchises, only Little Caesars had a negative net number of restaurants in 2020. This could be in part due to the worldwide pandemic that stifled economic growth during this year, but as mentioned before, it was still able to grow significantly on the company end. Although pizza is a promising industry in the United States thanks to its relative popularity as a food item, Little Caesars appears to lack in potential for franchise expansion.