Wholesale food costs will ease significantly for restaurants this year, but operators will still feel a pinch on margins because of customers’ resistance to pass-along increases in menu prices, according to the National Restaurant Association.
Chris Partyka bought into the Pizza Patron franchise system seven years ago with three units in San Antonio, intent on developing that market for the Latin-inspired, Dallas-based chain. Since then, he’s opened five more stores in San Antonio and another three in Austin. But he’s done a lot more for the brand than simply expand its presence. He helped the chain develop its new QSP (quick-service pizza) prototype, a carry-out only variation of its stores specializing in LISTA-NOW READY products as well as in custom-made pizzas baked in just over three minutes.
Relations between franchisee and franchisor have always been a make-or-break dynamic for restaurant chains. But the prescription for a mutually lucrative partnership has been scrambled a bit by the Great Recession. Ditto for the list of taboos that can spur either party to speed-dial their attorney.
We asked franchising vets from both the franchisor and the franchisee side to share their tips for maintaining a happy and satisfying marriage. Here’s their turn at playing Dr. Phil:
When Myron Allen wanted to open a Toppers Pizza franchise in Rochester, Minnesota, he turned to an old friend: his local banker. His banker passed him to another bank, which left him hanging for a month. It was then that he gave computer dating a try.
He listed himself with Boefly.com, a year-old online exchange that introduces lenders to borrowers who meet their criteria. Within a week, he had eight interested parties. Four weeks later, he was approved for a Small Business Administration loan.
Next time you order a pizza for delivery, note the insulated bag that keeps your pie piping hot all the way to your door. While you’re tipping the driver, take a glance at the car. Chances are you’ll spot one of those illuminated portable car-top signs. Now tip your hat to Glenn Mueller and the gang at RPM Pizza, Domino’s largest franchisee, because both the bag and the car-top sign are RPM innovations that have become ubiquitous in the food delivery business.