At a Glance
Products & Services: Newsstand and sundry store
Number of Locations: 392
Total Investment: $55.9K - $501.8K
Began Franchising: 1983
About Gateway Cigar Store/NewstandsGateway Newsstands was founded in 1983 by Michael Aychental and David Goldman, who started franchising the concept the same year. A family-owned and -operated partnership based in Canada, Gateway has grown to more than 300 stores in North America, including locations in Toronto, New York and Chicago.
Gateway emphasizes a hands-on business approach, putting a franchise owner in each of its locations. Franchisees work from kiosks or stores in large office buildings, selling snacks, drinks, candy, cards, tobacco, reading material, lottery tickets and other impulse buys. Open from 7:30 a.m. to 6:00 p.m., Gateway stores have less demanding working hours than most convenience stores.
Startup Costs, Ongoing Fees and Financing
Franchise Fee: $15,000 - $150,000
Ongoing Royalty Fee: 3.5%
Term of Franchise Agreement: 5, 7 or 10 years, renewable
Financial RequirementsNet Worth: $200,000
Liquid Cash Available: $75,000
OperationsNumber of employees needed to run franchised unit: 1 - 2. Absentee ownership of franchise is allowed. (90% of current franchisees are owner/operators).
|Financing Type||In-House||Third Party|