Here’s a run through of all the Frequently Asked Questions we get about being an Oporto franchisee. We hope you find them helpful!
What is a franchise?
A Franchise is a trademarked business formula owned by a company (Franchisor) and is available to individuals to purchase the rights to operate a small business (Franchisee) for a set period of time.
Franchisees are in effect, small business operators located in metro, suburban, regional and rural areas.
When you buy the rights to open a Franchise, you’re buying the rights to use a proven business system, with proven prices, products, and marketing techniques. You’re also buying the rights to a brand: You get full access to the company’s trademarked materials including logos, slogans, and signage—essentially anything that has to do with the brand.
What is a franchisee?
The Franchisor is the provider of the Franchise System and the Franchisee is the purchaser of the franchise business.
A Franchisee is a person who want to own their own business however would prefer to work within a tried and tested framework. Rather than and are prepared to pay a Franchisee fee to be allowed to operate using someone else’s business system.
What is the length of my franchise agreement?
Generally 10 years with an option of a further 10 years for freestanding stores subject to the conditions of the Franchise Agreement. The length of a Franchise Agreement may be shorter in circumstances such as shopping centre food courts if the terms of occupancy are less than 10 years.
Can I own more than one Oporto store?
Yes you can, provided you have the financial resources and demonstrated core competency and management skills in your first restaurant. There are already a number of multi-site operators with Oporto.
I want to invest in an Oporto store, but I don’t want to work in the store. Is this acceptable?
Experience tells us that Oporto stores perform significantly better when their owners actively participate in the day to day running of their store. We therefore require that the owner of the business devotes his/her full time and attention to the business. However, we encourage franchise owners to employ a store manager, so the owners can take breaks and work on growing their businesses.
What are Master Franchisee agreements?
We get so many questions on these, they’ve got their own dedicated Master Franchisee FAQs page!
What will it cost me to set up an Oporto store?
The total cost will vary depending on the size and layout of the store. Typically, stores cost between $450,000 and $900,000 (plus GST) to establish. Smaller stores or stores with existing equipment may cost less and larger stores may cost more. In addition to this you will need to pay the franchise fee of $50,000 (plus GST).
How much money will I make as an Oporto franchise owner?
This depends on factors including the store’s location and how the franchise owner operates the business. Oporto does not provide franchisees with any sales or profit forecasts in relation to Oporto stores. Franchisees should prepare their own financial projections after seeking independent accounting advice.
Do I have to find a site?
We have agents constantly looking for sites, however they cannot cover the entire market. With this in mind we welcome potential franchisees who find their own sites to recommend these for our consideration and approval.
Who builds my store?
For new builds, Oporto provides a turnkey operation. We will contract with the builder and manage the project from construction to fit out completion. Construction and fit out usually occur while you’re in training.
I don’t know anything about running a food business. Is this acceptable?
Yes. Before you open your Oporto store, we will provide you with comprehensive training so that you can learn the Oporto systems and procedures.
Who will help me with the opening of my restaurant?
Our Franchise Business Managers actively participate in planning the opening and after-launch promotions. They will be there with you before and during the start of your trading.
Want to know more?
Our Franchising Team is here to help. Get in touch today!