They may also be required to take up-to-date or complementary training, including franchisees and managers. Wingstop flies to the Philippines With 50 new sites, Wingstop Restaurants Inc. has taken a step further in its international expansion plans and has entered into a franchise agreement that will accommodate 50 new restaurants in the Philippines. The Dallas-based restaurant company has signed a development contract with the… Territory granted: The franchise agreement offers franchisees the protection of competition in an area of activity around the restaurant. The franchisor does not open or grant a franchise for another restaurant (as defined in the franchise agreement) whose physical premises are located in the commercial area. Except in densely populated centres, a restaurant`s commercial area consists of the area within a circle whose center is located at the restaurant`s front door and whose radius extends from the center of the district to the outside. The radius of a franchised restaurant depends on the market area, including population density, travel times and similar factors. There is no defined minimum or maximum radius.
However, the franchisor does not (generally) expect the radius to one day exceed three miles of the restaurant or, if the restaurant is located in the downtown core of a large city, it will be less than two blocks away. The specific radius of the franchisee`s restaurant will be located somewhere in this sector, depending on the market and circumstances. However, when a franchisee operates in a non-traditional location, the industrial area may be limited to the physical footprint of the site/business location concerned. They also require multi-unit restaurant management and development experience, with a strong preference for former franchise owners. In addition, franchise contracts with Wingstop for a period of at least 10 years. This growth is not only reflected in established markets. In fact, there are several different markets available for expansion, so you have several options where you can open your Wingstop franchise. Odds are there is a market close to you that Wingstop is looking to expand into, which provides an opportunity for new, would-be franchises to set up shop. 14. Renewal fee: 25% of Wingstop`s development and franchise fee (currently $7,500).
If you extend your deductible for 2 years (after the first 10-year extension period), you will have to pay Wingstop 50% of its development and deductible costs (currently $15,000). The current licence fee to the franchisor amounts to 6% of gross sales. However, royalties represent 5% of the gross sales of franchisees renewing their franchises, which have committed to acquire and install the point-of-sale system currently required in the Wingstop system by December 31, 2016. Royalties must be paid by direct debit from the account on the Tuesday of each week for gross sales during the week that ended the previous Saturday. Gross sales include all restaurant revenues, but excluding revenue taxes, coupons, staff discounts and gift card receipts sold. When exploring Wingstop franchises, remember that you can only choose a multi-store development of at least three units. Franchise fee: Wingstop franchise fees are $20,000 per store. There is also a development fee of $10,000 per company.
Note that you must open at least three stores.