The franchise described in this disclosure document is for the establishment and operation of a Little Caesars restaurant, which features pizza, chicken wings, Crazy Bread products and other related products. You may purchase a single franchise or you may sign a territory reservation agreement that allows you to reserve a territory for potential development of a specified number of franchises.
Company Background
Little Caesars is all about providing people with great food at a great value. That's why we offer Hot-N-Ready pizzas, pizza by the slice, crazy bread products and other related items that are fully baked when you order them. Little Caesars has been in business since 1959, but it wasn't until 1977 that they introduced their now famous "Pizza! Pizza!" advertising campaign which helped establish the company as one of America's favorite takeout restaurants.
Franchise Opportunity
Establishing and operating a Little Caesars restaurant can be a daunting task. Owning and running a Little Caesars franchise can be a very profitable endeavor, but there are many things that need to be considered in order to be successful. Our team of experts have put together this comprehensive disclosure document to help you make the most informed decision possible about investing in a Little Caesars franchise. We want to help you make your dream of owning and operating your own little Caesars restaurant a reality.
Corporate Structure
Little Caesar Enterprises, Inc. is a Michigan corporation incorporated in 1962. Their principal business address is 2125 Woodward Avenue, Detroit, Michigan 48201-3400. They opened their first carry-out restaurant in 1959. They first offered franchises for Little Caesars® restaurants in 1962.
Investment and Franchisee Fees
The total investment necessary to begin operation of a single Little Caesars® restaurant franchise ranges from $359,700 to $1,686,000. This includes $181,000 to $285,000 that must be paid to the franchisor or its affiliate. The total investment necessary for a territory reservation agreement, assuming it allows for development of four restaurants, ranges from $21,000 to $25,000, which is in addition to the cost of each single franchise to be developed. This includes $20,000 (generally $5,000 per Restaurant franchise) that you must pay to the franchisor as a Territory Reservation Fee.
Royalties and Marketing Fees
Royalties : 6.0% of revenue
Royalties : Up to 7% of Gross Sales, as determined by us
Franchisee Attrition
6 /10
This franchise's rate of attrition in 2021
of 2.01%
was
Slightly Lower
than the 4% in the QSR industry. Generally speaking, a higher rate of attrition represents a less stable franchise system and a lower rate of attrition indicates a more successful system
What's Included in franchise attrition?
We define the franchisee attrition rate as the sum of terminations, re-acquisitions by
franchisor, non-renewals, and ceased operations, divided by the number of outlest at the start of the year.
It is a strong indicator of the strength of the underlying operating model
Employee Contact Database
#
Name
Position
Phone Number
Email Address
Franchise Disclosure Documents
FDD
Effective Date
Distribution of Little Caesars Franchisees
Little Caesars Franchise System Development in 2021
FAQ
How much investment do I need to start my own Little Caesars business?
Franchisees typically require at least
$359,700 to
$1,686,000 investment to get their
Little Caesars business started
What are the initial franchise fees for Little Caesars?
Franchisees typically need to pay at least
$181,000 in fees directly to
Little Caesars in order to earn the right to launch their business
How much money can I make with a Little Caesars franchise? What are
the average revenues for a typical Little Caesars business?
We haven’t done the math on how much revenue a typical
Little Caesars brings in each year. We estimate that other
franchisees in the Food & Beverage industry generate
$0 revenue, so we would expect
Little Caesars to generate a similar amount
How long do I need to commit to running a Little Caesars unit? What
is my contractual commitment?
Little Caesars franchisees are typically required to sign up to a
10 year contract initially. The renewal length
is 10 years. You can of course exit early but
don’t expect to get any refund!
Accessibility
9 /10
The Franchisor's investment costs ranges from
$177,500 to $341,000
which is
Much Lower
than the $619,545 to $1,693,635 average in the QSR industry
What determines the investment cost?
Item 7 of the Franchise Disclosure Document lays out the full list of initial investment costs, including the fee payable to the franchisor, security deposits, equipment, professional fees etc
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