Investment
If you’ve been wanting to open a healthy fast-casual franchise, Pita Pit has the investment opportunity for you. When you partner with us, you’ll get a lot more than access to our iconic brand name – you’ll also learn the secrets of our time-tested business model and enjoy the guidance of our team of experts. If you’ve reviewed the rest of our website, you already know that investing in a Pita Pit franchise is a much better option than going it alone. Here, we’ll delve deeper into the details of the Pita Pit franchise cost.
Initial Franchise Fee
Like other franchisors, Pita Pit requires an initial franchise fee upon signing our franchise agreement. Depending on factors like your restaurant size and location, you should expect to pay $24,000-$30,000. Many prospective investors wonder why they should opt to open a healthy fast-casual franchise when they could start a restaurant from scratch and avoid this fee.
Your initial franchise fee helps offset some of the costs associated with your onboarding and training. The knowledge and skills you learn by franchising with Pita Pit have the potential to save you inestimable time and money compared to investors who go it alone. You’ll instantly be connected with great vendors who get you the ingredients you need at low prices, marketing experts who can help you deploy targeted campaigns, and a ready-made set of processes and systems that are designed to save you time and eliminate waste. All things considered, the franchise fee is one of the most important parts of your investment.
Setting Up Your Restaurant
The total initial investment includes a number of items that you’ll need to get your store up and running. One significant expense is the cost of furnishings and fixtures, which starts at around $71,500. This investment covers chairs, tables, counterspace, lighting, and more. It’s truly the key to transforming your space from a blank canvas to a fully-functioning restaurant.
You can’t run a restaurant without food, so another key expense included in your investment is the initial inventory package. The exact expense will vary depending on the quantity you need to order and the vendors you’ll be working with, but we estimate that franchisees will pay between $5,000-$8,000. This package will provide you with the food and supplies you need to start making pitas at your grand opening. We’ve worked hard to establish strong relationships with our vendors, so you can rest assured they’re fully prepared to keep your restaurant well-stocked as you grow.
Total Estimated Initial Investment
The franchise fee and initial inventory package are just two items that make up your total investment. Check out the table below for the full list! As you can see, the Pita Pit franchise cost includes just about everything it takes to open a new restaurant. Having been in business since 1995, we have a good idea of the expenses required to get a Pita Pit up and running, and we’re serious about helping our franchisees avoid unexpected costs.
Again, depending on factors like size and location, your total initial investment will vary. We estimate that franchisees will spend $321,934 - $497,382 to get their healthy fast-casual franchise up and running. Not only does this figure include estimates on a lease agreement, employee uniforms, signage, and build-out, it also includes cash-on-hand to nurture your business during its early months.
A quick review of the table below will provide you with a detailed look at the investment, but the best way to learn all about it is by reviewing our franchise disclosure document.
To learn more about the Pita Pit franchise cost, contact us today to request a copy of our franchise disclosure document.
Your Estimated Initial Investment
| Type of Expenditure | Method of Payment | Paid to | When Due | Amount From | Amount To |
|---|---|---|---|---|---|
| Initial Franchise Fee | Lump sum | Us | When you want to be considered for a franchise and upon signing a Deposit Agreement | $24,000 | $30,000 |
| Initial Rent & Security Deposit | Lump sum | Lessor, Sub-Lessor as they designate | Upon signing Lease or Sublease | $2,400 | $10,000 |
| Opening Cash | As incurred | Vendors | As incurred | $500 | $1,000 |
| Leasehold Improvements | As incurred | Contractor | Upon signing Lease or Sublease, or as arranged | $163,269 | $260,500 |
| Business License | As incurred | State, Municipal agencies | When required | $200 | $1,000 |
| Insurance | Varies | Broker, Insurance co. | These are estimated annual premiums. Payment is made as arranged and required | $255 | $716 |
| Store Launch And Local Marketing Program Package | Lump sum | Approved suppliers | As arranged | $3,300 | $4,200 |
| Legal & Acctg Fees | As incurred | Lawyers | As arranged | $500 | $2,500 |
| Initial Furn., Fix., Equip. Pkg | As incurred | Vendor, Lender | As arranged | $93,613 | $141,490 |
| Staff And Management Training Expense | Upon attendance | Accommodation providers, Restaurants, Airlines, etc. | As arranged | $1,000 | $3,200 |
| Uniforms & New Store Kit | As incurred | Vendor | As arranged | $1,243 | $1,586 |
| Initial Inventory Package | As incurred | Vendor, Lender | As arranged | $5,000 | $8,000 |
| Additional Funds (For 3 Months) | As required | Suppliers, Lessor, Employees, etc. | 1st day of the month following the opening of the restaurant or as needed | $25,650 | $31,500 |
| Local Advertising | As incurred | Vendors | As arranged | $ | $ |
| Laptop Computer | As incurred | Vendor | As arranged | $509 | $1,050 |
| Online Ordering & Loyalty Program | As incurred | Vendors | As arranged | $495 | $640 |
| TOTAL | $321,934 | $497,382 |
Though not required, you have an option to sell our smoothie line of products. If you choose to exercise this option, you will have additional initial investment costs which are not included in the table directly above. We estimate these costs as follows:
Optional Smoothie Package
| Type of Expenditure | Amount From | Amount To |
|---|---|---|
| Leasehold Improvements | $300 | $600 |
| Initial Term; fix; equipment package | $4,182 | $6,890 |
| Opening Advertisement | $200 | $500 |
| Initial Inventory Package | $300 | $500 |
| Additional Funds | $150 | $300 |
| TOTAL | $5,132 | $8,790 |
Multi-Unit Development Zone Program
| Type of Expenditure | Method of Payment | Paid to | When Due | Amount From | Amount To |
|---|---|---|---|---|---|
| Leasehold Improvements | Lump sum | Us | When you want to be considered for a Multi-Unit Development Zone Agreement and upon signing a Deposit Agreement | $66,000 | $98,000 |
| TOTAL | $66,000 | $98,000 |
Pita Pit does not provide direct financing to franchisees, however, we may be able to help you in the financing process with your bank. To be considered for a Pita Pit franchise you will most likely need a net worth of approxiPita Pit does not provide direct financing to franchiseesmately $100,000, of which $75,000 will most likely need to be in the form of a liquid investment or holding account. SBA applicants will probably need to inject 20% to 30% cash into their loan to promote immediate cash flow, and reduce monthly expenses. While this may be the bank’s typical minimum threshold, they may make exceptions to this requirement under special circumstances, or for those individuals who are close to the minimum requirements. Pita Pit is listed on the SBA Registry and has a Bank Credit Report (BCR). Our Franchise Development Team can discuss various options for financing, as well as help your local banker better understand Pita Pit franchising.
