Search for Your Franchise
About Me

Jason Rager is President of Franchise Analyzer.

Read more about Jason...

Tuesday
Apr272010

McAlister's Deli Franchise

Quick/casual restaurant chain

Founder Don Newcomb's goal when he launched McAlister's Deli in 1989 was to create a 'gourmet deli with Southern charm.'

The restaurants serve more than 90 different menu items, including sandwiches, salads, super-stuffed baked potatoes, appetizers, desserts and kid's meals. Customers make their selections at the counter, receive their appetizers and drinks and then sit wherever they choose, while roving servers bring their food and drink refills.

McAlister's has grown to more than 45 franchised units throughout the South and Midwest.

Start-up Costs & Franchises Fees

What is the total cost to open a McAlister's Deli Franchises?

Total Cost: $417,500-$1,524,000 USD
Total Franchise Fees: $20,000 USD -$40,000 USD
Ongoing Royalty Fees: 5%
Ongoing Advertising Fees: 3%
Term of Agreement: 10 years +5+5+5

Contact Information for McAlister's Deli

McAlister's Deli
731 S. Pear Orchard Rd., #51
Ridgeland, MS
39157

Toll Free: (888)855-3354
Fax Number: (601)952-1138

Franchise Homepage:

McAlister's Deli In the Press

No results at this time.

Historical Expansion

In what year did McAlister's Deli begin operations? 1989
When did McAlister's Deli begin selling franchises? 1994

Year United States Canada International Corporate
2005 143 0 0 23
2004 121 0 0 23
2003 92 0 0 23
2002 74 0 0 14
2001 61 0 0 12

Future Expansion

Countries of Interest:

Franchise Financing Information

Cost In House Financing Available? 3rd Party Financing Available?
Franchise Fee No No
Initial Start-up Capital No Yes
Plant, Property, and Equipment No Yes
Inventory No Yes
Accounts Receivable No Yes
Payroll No No

3rd Party Financing Available? Financing Source(s): GE Capital, Comerica Bank, Irwin Franchise Finance

Training & Support

Support
In the Pressletter, Meetings, Toll free phone number, Grand opening support, Internet referrals, Safety and Security procedures, Field support and site evaluation, Purchasing cooperatives
Marketing
Ad slicks, Regional advertising support

Franchise Operation Restrictions

Franchise business owners required to buy multiple units/master licenses; 95% of all franchise business owners own more than one franchise location.

Number of employees needed to run franchised unit: 40

Absentee ownership of franchise is allowed. (66% of current franchise business owners are owner/operators)

Qualifications & Business Experience

Business Experience:
  • General business experience
  • Franchise Analyzer Professional's Inside Information

    Can you buy this franchise for no money down? Yes
    What key terms in the franchise agreement can be negotiated? Cross-default provisions, arbitration clause, personal guarantee, default cure periods, non-compete agreement, favorable valuations for corporate buyout
    Can you negotiate lower royalties during start-up? Yes
    Can you purchase multiple franchises for a discounted franchise fee? Yes
    Can you receive lower advertising fees? Yes
    Will I know when the franchise break even? Yes
    Will my personal assets including my home be safe in case my franchise business fails? Yes
    Please note: You must download a free copy of Franchise Analyzer Professional to receive these benefits and so much more. Click here to download your FREE copy now.