Opening a franchise restaurant means operating a franchisor’s brand through a contract and in exchange for a royalty fee, usually a percentage of turnover. This business model is appealing because it offers significant advantages. Franchisees benefit from the transfer of know-how, as well as support and resources made available to them for implementing, launching and developing their business. In addition, they also benefit from the brand’s existing reputation.
If you are considering becoming an entrepreneur in the hospitality and restaurant sector with the security offered by franchising, this article is for you ! To support you in this entrepreneurial adventure, the experts at Shoes For Crews have created a guide to the steps you should not forget. Follow us !
Steps to open a franchise restaurant
Before venturing into this new world, we recommend that you familiarise yourself with the different steps to take in order to develop your project and make sure of your motivation. Discover the key steps!
Step 1: determine your restaurant concept and its location
As a leading country in gastronomy, France has many franchise restaurant networks. Consider the sector that appeals to you, taking into account the geographical area where you want to establish your restaurant, in order to find an innovative or promising concept that will achieve the success you are looking for:
Fast food: this sector offers original ideas that are experiencing strong growth. Burgers, bagels, salad bars… what type of food service do your potential customers expect?
Themed restaurants: Italian, Spanish, Japanese, vegan cuisine, crêperies… a diverse range of concepts is available for you to join a leading brand.
Coffee shop : offering a relaxing or indulgent moment around a coffee, a concept that continues to be popular with franchisees and their customers.
Bars and brasseries: at the heart of cities, these establishments continue to be well received and thrive.
Next, define the criteria to consider when choosing the location of your premises: catchment area, footfall, competition, amenities; then start looking for premises with the characteristics you need to successfully complete your project.
Step 2: learn about the chosen franchise network
Before committing by signing the franchise agreement, it is essential to find out about the network in order to confirm that it meets your expectations. To do this, the Doubin law requires the franchisor to provide you with the Pre-contractual Information Document (DIP), so that you have an overview of its financial situation, history, market profitability and the size of the network.
After signing the franchise agreement, the franchisor will provide you with its operations manual, a mandatory document that describes its know-how in order to pass it on to its franchisees, who must replicate it.
Step 3: sign the franchise agreement
To become a franchisee, you will sign a franchise agreement with the franchisor. This agreement sets out the rules governing the collaboration between the two parties, namely their rights and obligations, the applicable financial terms and the terms for ending the agreement. Do not hesitate to seek the assistance of a lawyer specialising in franchise law during these formalities.
Step 4: set up your business
Like a traditional restaurant, you must create a legal structure in order to operate your business and join the franchise network. You will then need to declare its opening.
Step 5: obtain the necessary authorisations and licences
However, setting up a company is not enough to open a franchise restaurant. As a highly regulated sector, the restaurant industry involves other administrative procedures, such as obtaining your operating permit as well as your alcohol sales licence. You will also need to make a declaration for handling foodstuffs of animal origin. At the same time, you must also comply with rules relating to hygiene and welcoming the public.
Step 6: recruit your staff
The search for the team that will work in your restaurant is just as important as the previous steps, as your employees will be part of your brand image. Their professionalism and friendliness will be essential to building customer loyalty. The number of employees will depend not only on the type of establishment chosen, but also on its size. In all cases, labour law provisions and those specific to the restaurant sector must be observed.
Step 7: plan and prepare your restaurant opening
Creating a schedule to prepare for the opening of your restaurant will help you avoid forgetting anything or falling behind. We recommend that everything be ready three weeks before your restaurant opens. Your list should of course include construction work and fitting out the premises, training for both your employees and yourself, the marketing campaign, as well as building up your stock and providing uniforms and personal protective equipment (PPE) specific to the restaurant industry, such as safety or work shoes. These elements will largely be provided and specified in the operations manual given to you by your franchisor; however, you will have the freedom to choose some of them.