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- 2023 Franchise 500 Rank
N/R Not ranked last year
- Initial investment
$427K - $767K
- Units as of 2020
19 137.5% over 3 years
Here’s what you need to know if you’re interested in opening a Melt Shop franchise.
A sandwich dripping with melty cheese is the heart of Melt Shop. This restaurant was founded by Spencer Rubin in New York in 2011. The sandwich shop promised only melty cheesy goodness in their sandwiches, a pledge they have done everything they can do keep. They want it to be so that the thought of grilled cheese results in thinking about Melt Shop.
Apart from their decadent, melted sandwiches made from freshly baked bread and top-quality cheese, the Melt Shop serves up an array of salads, shakes, and tenders. The restaurant also serves up wings and cheesy mac and cheese with their eat-in or take-out menus.
Their fast-casual comfort food may be what makes this franchise a success. In addition to their New York location, Melt Shop now has outlets in New Jersey, Pennsylvania, Delaware, and Minnesota.
Since beginning to franchise in 2017, Melt Shop has opened several locations across the United States. Melt Shop is actively seeking to expand its reach.
Why You May Want To Start a Melt Shop Franchise
If creating a culinary experience sparks something in you, then you may just be the right person to open a Melt Shop franchise. A Melt Shop franchisee should enjoy creating mouth-watering dishes and keeping the melting cheese a staple in their sandwiches. Additionally, you should have a keen business sense, a competitive spirit, and a willingness to learn that keeps your fire burning.
Experience in the casual fast-food sector is not necessary, but may be an asset.
What Might Make a Melt Shop Franchise a Good Choice?
Grilled cheese sandwiches are what Melt Shop may be known for in all its locations. The franchise strives to create mouth-watering dishes, which could be their signature in the fast-casual comfort food niche. When you open a franchise with this company, a Melt Shop franchisee is expected to get their hands dirty in the day-to-day operations of the company.
To be part of the Melt Shop franchise team, you should make sure you’re financially ready for an initial investment made up of a franchise fee and other startup costs. In addition, you should prepare yourself for ongoing fees that will include advertising, royalty, and renewal fees.
How To Open a Melt Shop Franchise
To help others unlock the moments, feelings, and joyful memories that comfort food brings, you may consider opening a Melt Shop franchise. After applying, the Melt Shop franchising team may reach out and take you through an initial interview process to take you through the franchise opportunity.
Be prepared with questions for the Melt Shop franchising team. As part of your due diligence period, complete market research for your desired location and target audience. The more knowledge you have of the franchising process, the better prepared you may be to open a Melt Shop franchise.
If awarded a franchise, franchisees receive a great deal of support from the Melt Shop brand throughout the franchising process. In addition to pre-opening training, franchisees receive support through brand awareness, marketing, research, and construction. They also receive hands-on training and continued support after their franchise location has opened.
About Melt Shop
- Franchising Since
- 2017 (6 years)
- # of employees at HQ
- Where seeking
This company is offering new franchisees in the following US states:
- # of Units
- 19 (as of 2020)
Information for Franchisees
Here’s what you need to know if you’re interested in opening a Melt Shop 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
Definition: The initial fee paid to a franchisor to join their system
What you need to know: Found in Item 5 of the FDD, this may be a flat fee, or may vary based on territory size, experience, or other factors.The franchise fee is an up-front (one-time) cost that a new franchisee pays to the franchisor. This fee is usually due at the signing of the franchise agreement and covers the right to use the franchisor's trademarks, name, and related business systems.
- Initial Investment
- $426,946 - $767,369
Definition: The total amount necessary to begin operation of the franchise
What you need to know: The initial investment includes the franchise fee, along with other startup expenses such as real estate, equipment, supplies, business licenses, and working capital. This is outlined in a chart in Item 7 of the FDD, showing a range of possible costs from low to high.
- Royalty Fee
Definition: A ongoing fee paid to the franchisor on a regular basis.
What you need to know: Most franchisors require franchisees to pay an ongoing royalty fee, which is detailed in Item 6 of the FDD. This fee is typically a percentage of weekly or monthly gross sales, but may also be a flat weekly, monthly, or annual fee.
- Ad Royalty Fee
Definition: An going fee paid to the franchisor on a regular basis to support advertising or marketing efforts.
What you need to know: This may also be called advertising fee, marketing fee, brand fund fee, and more, but the basic purpose is the same-- to support promotion of the brand systemwide. As with the royalty fee, it is detailed in Item 6 of the FDD, and can be a percentage of weekly or monthly gross sales or a weekly, monthly, or annual fee.
- Term of Agreement
- 10 years
Definition: The length of time your franchise agreement will last.
What you need to know: Franchise terms are typically anywhere from 5 to 20 years in length, but are sometimes instead dependent on factors such as the term of your lease. Once your term is up, you may have the option to renew your agreement, typically for a smaller fee than the original franchise fee.
- Is franchise term renewable?
- Third Party Financing
- Melt Shop has relationships with third-party sources which offer financing to cover the following: franchise fee, startup costs, equipment, inventory, accounts receivable, payroll
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
- 160 hours
- Classroom Training
- 40 hours
- Ongoing Support
NewsletterMeetings & ConventionsToll-Free LineGrand OpeningOnline SupportSecurity & Safety ProceduresField OperationsSite SelectionProprietary SoftwareFranchisee Intranet Platform
- Marketing Support
Co-op AdvertisingAd TemplatesRegional AdvertisingSocial MediaSEOWebsite DevelopmentEmail MarketingLoyalty Program/App
Additional details about running this franchise.
- Is absentee ownership allowed?
Definition: Absentee ownership means that the franchisee does not actively work in the franchise business or manage day-to-day operations.
- Can this franchise be run from home/mobile unit?
Definition: The business can be run from your home and/or a vehicle, and it is not necessary to have a retail facility, office space, or warehouse.
- Can this franchise be run part time?
Definition: This business can be run by the owner on a part-time basis (less than 40 hours per week) and/or as a side business; it is not necessary for the business to be open/run full-time.
- # of employees required to run
- Are exclusive territories available?
Definition: An exclusive territory is a fixed area in which you are given the right to operate and in which no other units of the same franchise may be opened.
What you need to know: Territory size may be based on factors such as radius, population size, zip codes, and more. Details can be found in Item 12 of the FDD.
Interested in ownership opportunities like Melt Shop? Request a free consultation with a Franchise Advisor now.
Are you eager to see what else is out there? Browse franchises that are similar to Melt Shop.
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