Pizza Factory
Pizza, pasta, wings, sandwiches, salads
- 2023 Franchise 500 Rank
-
#423 Ranked #470 last year
- Initial investment
-
$279K - $630K
- Units as of 2023
-
108 10.2% over 3 years
Pizza Factory is a family-owned and operated chain of restaurants. The company strives to provide delicious pizza, pasta, and calzones to customers in the western United States. Danny and Carol Wheeler opened the first Pizza Factory under the name Danny's Red Devil Pizza in 1979 near Yosemite National Park. They began to franchise locations in 1985.
Today, the Pizza Factory franchise has around 100 locations spanning states on the West Coast. For over 30 years, the company has built a reputation for quality meals and solid customer service. Pizza Factory has been ranked in Entrepreneur’s Franchise 500 for more than 30 years consecutively. That ranking is based on an evaluation of more than 150 data points in the areas of costs and fees, size and growth, franchisee support, brand strength, and financial strength and stability.
Why You May Want to Start a Pizza Factory Franchise
The Pizza Factory franchisees are empowered to become hometown pizzerias in their neighborhoods through store customization and marketing. The franchisor adds just the right touch of local to each of the franchised stores with the backing of a recognized brand name. This is a big reason why many of their franchisees are thriving in smaller communities.
Franchisees can be inclusive and build a strong community presence. Franchisees can choose to support local sports teams, hold fundraising nights, or donate pizzas to show their support of their local community. Franchisees have the choice to either build a dine-in restaurant or open an express store, truly catering to the needs of the local community.
What Might Make a Pizza Factory Franchise a Good Choice?
The ability to thrive in small markets has several benefits. There is a potential for reduced competition in smaller communities, less real estate costs, and a more significant market share. With lower franchise startup costs, you would be off to a good start in the pizza business.
The Pizza Factory franchisees enjoy exclusive pricing that the company has negotiated with vendors nationally. This is why a Pizza Factory store is well suited to thrive just about anywhere in the country. A pizza restaurant can be a lucrative business if well managed since there is a considerable demand for pizza. The average American eats four slices of pizza per month.
To start this franchise, the company has a franchise fee and other initial investment expenses that all franchisees must meet. Applicants are required to have working capital and a minimum net worth. Some veterans are also eligible for a discount when first investing in a Pizza Factory location.
How Do You Start a Pizza Factory Franchise?
If you pass preliminary screening to be a franchisee, you may attend a discovery day at headquarters. At the discovery day, you may meet the executive team of Pizza Factory. Here you will also have the opportunity to speak to current Pizza Factory franchisees to hear about all the ins and outs of operating a location.
Ideal candidates do not need to have experience in the restaurant business, but should love food, their community, and business.
Company Overview
About Pizza Factory
Business Overview
| Franchising Since | 1985 (38 years) |
|---|---|
| # of employees at HQ | 13 |
| Where seeking |
This company is offering new franchisees in the following US states: Arizona, California, Georgia, Idaho, Nevada, Texas, Washington |
| # of Units | 108 (as of 2023) |
|
|
|
Information for Franchisees
Here's what you need to know if you're interested in opening a Pizza Factory franchise.
Financial Requirements & Ongoing Fees
Here's what you can expect to spend to start the business and what ongoing fees the franchisor charges throughout the life of the business.
|
Initial Franchise Fee
|
$20,000 - $25,000 |
|---|---|
|
Initial Investment
|
$279,000 - $630,000 |
|
Net Worth Requirement
|
$250,000 - $500,000 |
|
Cash Requirement
|
$90,000 - $150,000 |
|
Veteran Incentives
|
25% off franchise fee |
|
Royalty Fee
|
5% |
|
Ad Royalty Fee
|
3% |
|
Term of Agreement
|
10 years |
| Is franchise term renewable? | Yes |
Financing Options
Some franchisors offer in-house financing, while others have relationships with third-party financing sources to which they refer qualified franchisees.
| In-House Financing | Pizza Factory offers in-house financing to cover the following: payroll |
|---|---|
| Third Party Financing | Pizza Factory has relationships with third-party sources which offer financing to cover the following: franchise fee, startup costs, equipment, inventory, accounts receivable |
Training & Support Offered
Franchisors offer initial training programs and a variety of ongoing support options to help franchisees run their businesses.
| On-The-Job Training | 202 hours |
|---|---|
| Classroom Training | 23 hours |
| Ongoing Support |
Newsletter
Meetings & Conventions
Toll-Free Line
Grand Opening
Online Support
Security & Safety Procedures
Lease Negotiation
Field Operations
Site Selection
Proprietary Software
Franchisee Intranet Platform
|
| Marketing Support |
Co-op Advertising
Ad Templates
National Media
Regional Advertising
Social Media
SEO
Website Development
Email Marketing
Loyalty Program/App
|
Operations
Additional details about running this franchise.
| Is absentee ownership allowed? | Yes |
|---|---|
|
Can this franchise be run from home/mobile unit?
|
No |
|
Can this franchise be run part time?
|
No |
| # of employees required to run | 8-10 |
|
Are exclusive territories available?
|
Yes |
Franchise 500 Ranking History
Compare where Pizza Factory landed on this year's Franchise 500 Ranking versus previous years.
Additional Rankings
Curious to know where Pizza Factory ranked on other franchise lists? Find out below.
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