14 Nov Franchise Business Plan – International House of Pancakes
Successfully operating since 1958, International House of Pancakes (IHOP) restaurants are franchised and operated by California-based International House of Pancakes, LLC and its affiliates. International House of Pancakes, LLC is a wholly-owned subsidiary of Dine Brands Global. Dine Brands Global is one of the largest global dining companies and franchisor of IHOP and Applebee’s Grill + Bar, two of America’s most renowned brands. International House of Pancakes, LLC provides strong support to IHOP franchisees in people, brand, and growth management. There are over 1,600 franchised, licensed, and company-owned IHOP restaurants across the U.S. and in Canada, Mexico, Puerto Rico, and the U.S. Virgin Islands.
IHOP requires all franchisees to possess operational capabilities, restaurant experience or identification of an operator with full-service restaurant experience, management experience, business acumen, and demonstrated leadership skills. The franchisor also requires all new franchisees to take part in a training program that includes an intensive six-week operations and brand training and a two-day capstone workshop. The franchisor may at any time require franchisees to attend additional training and refresher courses. Joorney Business Plan has extensive experience in writing plans for the management of the IHOP restaurants and matching their training to their designated roles.
IHOP defines franchise development areas by taking into consideration location demographics, property characteristics, lease terms, and utility service requirements, among other. In addition to traditional, the company offers nontraditional location opportunities such as travel centers, casinos, airports, and universities. However, franchisees cannot receive an exclusive territory and a guarantee that they will not face competition from other franchisees, from outlets that the franchisor owns, or from other channels of distribution or competitive brands that it controls. Joorney Business Plans experts are experienced in developing detailed location-based market and competition analyses for IHOP franchises.
All IHOP franchisees need to develop a solid business plan that includes the proposed financing of the business development. Franchisees must demonstrate the financial capability to develop, equip, and operate an IHOP restaurant. The initial investment for establishing an IHOP restaurant ranges from $1,151,056 to $6,037,017 depending on the restaurant’s location. The initial investment covers a wide range of expenses such as signage, construction, and insurance. In addition, all potential franchisees should have a minimum net worth of $1,500,000 and the liquid capital of $500,000 per restaurant. The franchisor may under specific circumstances offer third-party financing assistance. Joorney Business Plans has extensive experience in developing long-term financial projections for IHOP franchises and our experts understand the initial investment requirements.
By becoming an IHOP franchisee you will benefit from a renowned American brand with a strong heritage, operational excellence, stable profits, cutting-edge operational systems, and continuous support from a well-established franchisor.