Support and Training
In 2016, after a life of contracting and construction, Russell Grabow opened his first location of Joe’s Bagel & Grill. That original location was the basis for the business that has since extended the original prototype restaurant into a five- (soon to be six) unit chain. Mr. Grabow has expanded the business with each location thoughtfully clustered in New Jersey, although some locations are more seasonal than others. With the knowledge and operational experience gained from these ventures, the next project is to expand the business via franchising.
The system itself is well positioned and poised for growth with a proven track record and a highly experienced operations and management team. The business model is reasonably simple to operate and requires limited, but highly trained staff. All of the food is sourced from direct suppliers (as well as a centralized commissary) and the management and visionary principles are derived from the tightly knit management team and its vast experience and business acumen.
The concept fits very well into today’s franchise marketplace. It is a business model that allows for a reasonable and wide range of initial investment options, as each franchisee will be responsible for their own site selection and build-out, with help from the Franchisor. A franchisee can get into the business with all the required initial inventory and equipment - all for around $218,600, although we will be keen on making sure they will be suitably capitalized. The business can be highly profitable and is a flexible and scalable business model, which would allow for a franchisee to add revenue and profitability in significant multiples as appropriate to operational capabilities and market size.
The Joe’s Bagel and Grill operating model has been structured with well-defined processes and systems in place, which allows for ease of replication and will make for a straightforward training program with new franchise partners.
The Joe’s Bagel facility will be a fixed retail location in average-rent areas to provide a neighborhood feel with plenty of traffic. The operating model is relatively simple from an operational standpoint, but delivers an extremely diverse and quality experience to the customer with great results to the bottom line. The Joe’s Bagel model offers a high-end food service experience, all at competitive prices.
Locations will range in size up to 2,100 square feet and will be located in areas with annual rent per square foot of $20 to $36 on average. The interior of each location will be bright and inviting with appropriate and consistent branding, which may be localized by the franchisees.
Employees and management in the units should be courteous, professional and should have an expert understanding on the menu to offer an educational dining experience. They will have branded uniforms and will enrich the high-energy environment that sets Joe’s Bagel apart from other settings.
Although the product line may vary slightly by location, most of the products carried by each Joe’s Bagel location will be purchased through the Franchisor or an affiliate/third party company (we anticipate that some multi-unit franchisees could operate a commissary). The Franchisor will have final approval of anything sold in the business.
Joe’s Bagel prides itself in offering top quality ingredients with a list of hand rolled bagels, breakfast and lunch sandwiches, waffles, omelets, and more! In addition to these favorites, customers can also choose from sides and a vibrant selection of coffees and smoothies. Joe’s Bagel furnishes all the necessities for an exclusive environment with no cost spared in what amounts to a great place to retreat from the daily grind while spending time with friends or family.
The most important factor in analyzing Joe’s Bagel is the service. Joe’s Bagel staff members make sure to represent the company as a professional and knowledgeable business where the customers can enjoy the atmosphere and delicious food with exemplary service in a fun atmo- sphere of better bagels and quality ingredients.
A Revolutionary Opportunity in Franchising
A member of Joe’s Bagel and Grill field support staff will visit each franchisee according to the following schedule:
First Year – One to two visits per month Second Year – One to two visits per quarter Thereafter – One to two visits per year
It is estimated that Joe’s Bagel will need to hire one field supervisor for every 20-25 franchises in the field. This is a relatively “de-leveraged” support model that should allow for the high quality of support and guidance provided to franchisees. The Franchisor will incorporate a formalized mechanism for ensuring quality control among franchisees that will be implemented by these field supervisors. Designated staff members will perform supervision of field support duties.
In addition to field support, members of the Franchisor organization will provide the services listed below. The Franchisor must assign a specific person to cover each of these support areas (one person can be assigned to more than one task). The names of support staff members who are officers, directors, or have significant management responsibility in conjunction with franchisees will be disclosed in Joe’s Bagel Disclosure Document. The Franchisor has the responsibility to assign a person/people to each task during the development of the franchise program.
Joe’s Bagel and Grill will provide ongoing training and support in many areas critical to the success of the franchisee's business, including unit operations and maintenance, customer-service techniques, product ordering, suggested pricing guidelines and administrative procedures.
Joe’s Bagel and Grill will coordinate development of advertising materials and strategies for the benefit of all members of the franchise network. It will also supply franchisees with consumer marketing plans and materials for use at the local or regional level, and retains the right to approve all local advertising materials that the franchisee chooses to develop. Eventually, all marketing materials and collateral may be uploaded on to an intranet that would provide the franchisees the ability to download documents whenever needed.
Joe’s Bagel and Grill or its affiliate will negotiate quantity discounts on behalf of all of its members, passing some or all of these savings on to the franchisees. It will also facilitate the ordering process through its internal purchasing system. This will include elements such as consumables, food, retail items, marketing materials, and other needed items for operating a Joe’s Bagel location.
Reporting directly to administration, this department is responsible for the financial and legal oversight of franchisees. Joe’s Bagel will be providing support and guidance to franchisees on how to manage their books, but they will ultimately be instructed to hire their own CPA for their individual business.
Ongoing Research and Development
Joe’s Bagel management and leadership will continue to research methods and techniques for franchise operations (including purchasing and promotional schemes) that enhance unit-level profitability. There will be continued research and development on how to better operate the locations and how to more profitably manage a Joe’s Bagel franchise.
Join an emerging concept serving the increased need for a better bagel shop. Join the growing number of owners who have taken control of their futures. Join Joe’s Bagel and Grill.
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