Buffalo Wings And Rings
Buffalo Wings & Rings offers club-level sports restaurants serving Buffalo wings and other wing-inspired dishes. Known for its spicy chicken wings, the franchise operates in the quick-service restaurant sector.
Buffalo Wings And Rings franchise FAQ
How much does it cost to open one — the total initial investment?
The total initial investment to begin operation of a Wings and Rings restaurant ranges from approximately $1,563,100 to $2,055,500. This includes an estimated franchise fee ranging from $10,000 to $40,000 paid to the franchisor [p.2], plus any additional development rights fees for opening at least one outlet under a Development Rights Agreement, which can range from $0 to $20,000 multiplied by the number of outlets you agree to open [p.2].
What is the initial franchise fee?
The initial franchise fee is $40,000 and it is fully earned when you sign the Franchise Agreement. If you qualify for the Development Incentive Program, this fee can be reduced to $0. [p.12]
What are the ongoing royalty and advertising fees?
Ongoing royalties are calculated as a percentage of franchise restaurant sales related to the performance obligation under the franchise agreement [p.165]. Advertising fees are up to 4% of Net Sales, with Wings and Rings currently charging 2% of Net Sales to the national advertising fund [p.29]. Interest on these payments is payable to Wings and Rings or the national advertising fund as specified [p.18].
How long is the initial franchise agreement, and can I renew it?
The initial terms of the franchise agreement do not specify a duration; however, renewal is conditional. You may need to sign a new agreement with potentially different terms and conditions in order to continue operating your business after the initial term expires [p.7]. Consider what rights you have to renew and what terms you might have to accept before signing [p.7].
Can I sell or transfer my franchise, and what does that require?
According to the FDD, you can transfer your ownership of the franchise, but the franchisor has the right not to unreasonably withhold its consent [p.4(g)]. To proceed with a transfer, you must pay the current transfer fee, which is $5,000 as of the time of this excerpt [p.104].
On what grounds can the franchisor terminate the agreement?
According to [p.3], a franchisor may terminate a franchise agreement prior to its expiration only for good cause, which includes the failure of the franchisee to comply with any lawful provision of the franchise agreement and curing such failure after being given written notice and a reasonable opportunity (no more than 30 days) to do so.
What financial requirements — net worth and liquid capital — do I need to qualify?
To qualify, you must demonstrate adequate financial resources and capital to operate the business as assessed by the franchisor [p.105]. This isn't specified in the excerpts regarding exact net worth or liquid capital amounts required.
Do I get an exclusive or protected territory?
Yes, you receive a protected territory [p.36], but it is not exclusive [p.37]. You will have restrictions on operating from multiple locations or changing your location without permission, and other Wings and Rings Restaurants can operate in your protected territory except for special purpose outlets [p.36]. Additionally, the size of your protected territory may change upon renewal of your franchise agreement [p.36], and there are no minimum sizes specified [p.37].
What training and ongoing support does the franchisor provide?
The franchisor provides an initial management training program that lasts between 5 to 7 weeks, which is mandatory before opening the franchise. This training includes customization based on individual experience and assessments by the Wings and Rings training team. Additionally, the franchisor offers preopening services such as training [p.163] and ongoing support including the development of training materials and menu items, management of the advertising fund contributions, and restaurant monitoring [p.155].
How many franchised outlets are there, and how many have closed or been terminated?
This isn't specified in the excerpts.
Does the franchisor share any financial performance or earnings information?
The franchisor does not make any financial performance representations, either orally or in writing [p.56]. However, if purchasing an existing outlet, actual records of that outlet might be provided [p.56]. The franchisor may provide financial performance information only under specific conditions, such as having a reasonable basis and including it in the disclosure document [p.47]. This isn't specified in the excerpts for regular new franchisees regarding detailed earnings or revenue projections.
What am I restricted to selling, and where must I buy supplies?
You are not strictly restricted to selling only certain items, but you may have to buy or lease specific items from the franchisor or designated suppliers as mentioned on [p.6] and [p.21]. This includes some goods and services that may be more expensive than those available elsewhere.