Are you interested in the Steak n Shake Franchise? Here’s the information of brand profile, franchise brand, Investment details, potential profitability, and requirements of the Steak n Shake franchise. Where classic flavours meet a relaxed dining experience, known for our juicy Steak-burgers made with 100% beef and hand-dipped milkshakes crafted with real milk and ice cream, Steak n Shake franchise brand offers much more than just great food.
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Steak n Shake Franchise Brand Profile
Brand Name: Steak n Shake
Steak ‘n Shake’s slogan, “In Sight, It Must Be Right”
Founder Name: Augustus Hamilton “Gus” Belt
Founded Year: February 1934, 90 years ago
Total Outlets: Approximately 600 locations worldwide (as of the latest data)
Last Year Revenue: $349 million (2023 estimate)
Headquarters: Indianapolis, Indiana, USA
About the Steak n Shake Franchise Brand
Steak n Shake, is an American casual restaurant chain concentrated primarily in the Midwestern United States with locations also in the South, Mid-Atlantic, Western United States, and the Middle East. The company is headquartered in Indianapolis, Indiana and is a wholly owned subsidiary of Biglari Holdings. The company has since attempted to convert to a fully franchised model. Steak ‘n Shake’s originally referred to Belt’s practice of wheeling a barrel of T-bone, sirloin, and round steaks into the public area of his restaurant, then grinding them into burgers in front of his customers. Steak’n Shake is a classic American dinner chain known for its steakburgers and milkshakes. Over the years, it has become a staple in the fast-casual dining sector, offering a nostalgic dining experience.
Steak N Shake has spread its global brand into Europe, Saudi Arabia, and Qatar, with its international development team headquartered in Monaco, a sovereign city-state located entirely within France(via Global Franchise Partners). Let’s discuss an in-depth look at the franchise brand, investment details, potential profitability and requirements to open a franchise. In this article, we’ll explore the challenges faced by Steak ‘n Shake franchisees, especially when dealing with slim profit margins and stiff competition. We’ll give you a comprehensive overview of the brand, investment details, potential earnings, and what you need to get started. By diving into these topics, you’ll be better equipped to decide if a Steak ‘n Shake franchise is the right investment for you.
Competitors:
The Steak and Shake’s top competitors include Shake Shack, Burger King, and Arctic Circle Restaurants.
Steak n Shake Earning Report:
Steak n Shake’s sales and earnings improved last quarter. Its store count did not. Sales at the burger chain, owned by the San Antonio-based investment firm Biglari Holdings, increased 7% in the second quarter to $61.6 million, according to the company’s most recent earnings report.
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Steak n Shake Investment Details Breakdown
The total initial cash investment by you is $10,000. The total investment necessary to begin operation of a franchised Steak n Shake Restaurants ranges from $165,097 to $410,657. The total investment includes $10,000 that is paid by you with the remaining investment funded through Restaurants operations.
| Franchise Partnership | Traditional Franchising | Profit Potential |
| $10,000 total investment Earn 50% net profitsUnlimited earning potential Royalty Fee: 5.5% of gross sales. 6 months on the job training. | Single-unit and multi-unit options. Most restaurant investments $1.34-2.34M Non-traditional as low as $316k 1,860 to 3,400 Sq ft prototypes available | Franchise fee: $25,000 Liquid Capital: Greater than $10,500. Net worth: Greater than $1 million excluding primary residence |
Requirements to Open Steak n Shake Franchise
Franchise Partnership: The minimum total investment for a Steak n Shake franchise is $10,000, which covers the franchise fee.
Tradition Franchising: The initial fees of Steak n Shakes is $25,000.
Royalty Fee: The Royalty and System fee of Steak n Shakes is $5 ½% of gross sales
Additional Support: For additional support during the opening, fees range from $100 to $300 per day, plus travel, lodging, and meals, billed 30 days after the service.
Experience and Commitment: You don’t need prior experience owning a business to start a Steak ‘n Shake franchise, but you must be ready for full-time, hands-on management. You’ll attend a mandatory, multi-week training program and should have a passion for delivering excellent customer service and high-quality food.
Documents Required for Steak N shake Franchise Application
Franchise Disclosure Document: This is a legal document Steak n Shake franchise provides that details the franchise agreement, fees, risks, and other important information. You’ll likely receive this after your initial contact and before a formal application.
Formal Application: Once you’ve expressed interest and reviewed the Franchise Disclosure Document (FDD), Steak n Shake will guide you through their formal application process. This process typically requires the following documents:
Business Resume or Plan: Outline your experience and qualifications, demonstrating why you are a good fit for running a franchise.
Proof of Funds: Provide documentation showing you have the financial resources to cover the investment.
References: Include personal or professional references to support your application.
Business Licenses or Permits: Depending on your location, you might need to submit relevant business licenses or permits.
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Is the Steak ‘n Shake Franchise Worth the Investment?
Advantages
Variety: They’ve got more than just burgers and shakes—think salads, sandwiches, and even breakfast options! Perfect for whatever you’re craving.
Tradition: Since way back in 1934, Steak n Shake has been known for its top-notch quality and that cozy, nostalgic vibe everyone loves.
Affordability: Generally considered reasonably priced for the quality of food served, making it accessible to a wide range of customers.
Casual Dining Experience: At Steak n Shake, you’ll find a laid-back vibe that’s great for hanging out with family, friends, or just enjoying some chill time on your own.
Disadvantages
Service Speed: During busy times, you might experience longer wait times at Steak n Shake compared to faster fast-food places.
Limited Menu Customization: At Steak n Shake franchise brand, you might find fewer choices for customizing your meal compared to some other spots.
Price Sensitivity: Some folks might feel the prices are a tad higher here than at regular fast-food joints, which could impact those on a budget.
Limited Dietary Options: If you have specific dietary needs like vegan or gluten-free, the menu options might be a bit limited for you.
Conclusion
In summary, Steak n Shake provides a nostalgic dining experience with its classic burgers and milkshakes, complemented by a diverse menu that includes salads, sandwiches, and breakfast items. While it offers quality ingredients and a relaxed atmosphere suitable for families and friends, potential downsides include slower service during peak times, limited menu customization, and higher prices compared to typical fast-food options. Despite these considerations, Steak n Shake remains a favored choice for those looking to enjoy hearty, traditional American fare in a welcoming setting.
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FAQs:
The Franchise Partnership model allows individuals to own and operate a Steak n Shake restaurant with an initial investment of $10,000, plus a commitment to manage the restaurant full-time.
Prospective partners need to have significant restaurant or retail management experience and be prepared to oversee the restaurant’s daily operations.
Steak ‘n Shake is owned by Biglari Holdings.
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