I will answer that question right off the start. YES, among all the fast food Burger restaurants – Burger King has the tastiest burgers from them all, at least to my personal taste…:) I find their meat is richer and tastier, their bread is better, and they put more vegetables in each bun. Is that a reason to get a Burger King Franchise?
No, not at all. Well, first off – becoming a Burger King Franchisee in the Philippines is actually not possible at this moment. However, even when that day arrives soon and the Franchising for Burger King starts rolling out – I couldn’t sa if it’s a profitable business or not, as it depends on dozens of factors (detailed below).
For those of you waiting for the day that the Burger King Franchise will become available also for Filipinos – I’ll try to lay down the basic facts, so you can decide if this Burger Business could be something for you, in the future.
Let’s start with a few quick facts about the history of the brand and the present state of the Burger King Franchise in the Philippines.
Quick Facts about Burger King
- Did you know that Burger King is the 2nd biggest fast food hamburger chain in the world? Well yes it is. With over 15,000 Burger King restaurants in 91 countries worldwide – it’s HUGE.
- Burger King was founded in 1953 in Jacksonville, Florida, by Keith J. Kramer and Matthew Burns, who were inspired by the McDonald brothers’ first store in San Bernardino, California. However, it wasn’t called Burger King yet…The first name of the famous Franchise was Insta-Burger King. Why? Because the two founders purchased the rights for cooking equipment knowns as the Insta-Broiler. It was a great broiler for cooking burgers, but the company began to falter in 1959, and was purchased by franchisees James McLamore and David R. Edgerton. The new owners quickly began restructuring the Burger shop business, and renamed it Burger King.
- Around 99% of all Burger King restaurants are operated and owned by independent Franchisees.
- In Asia, this famous worldwide Burger Business is managed by Singapore-based BK Asiapac Pte. Ltd.
- In the Philippines, in 2011, local fast food giant Jollibee Foods Corp. took over the Philippine operations of the Burger King Franchise. It acquired 54% of the shares of BK Titans Inc., for around P66 million.
What Are The Facility Types Offered to Burger King Franchisees?
In the U.S and other locations in the world, Burger King offers three different facility types which Franchisees can choose from:
- The Traditional Burger King Restaurant Facility: This is a full size self-contained Burger King Restaurant, which doesn’t share any common areas with other businesses. This facility serves the standard approved menu for Burger King Restaurants.
- Non-Traditional Burger King Facility: This is a Burger King Restaurant that can be located at a site which shares common areas with other businesses, such as retail stores, other food vendors, gas stations, and other similar facilities.
- Institutional Facility: This means the Burger King restaurant is located in either government buildings, medical facilities, airports, train and bus stations, corporate campuses, , theme parks, zoos and educational institutions.
I can’t say for sure if these facility types will be available for franchisees in the Philippines. We need to wait for the day Burger King announces they are open for franchise, and then we’ll see…
I want to Prepare For The Day. What Will Be The Steps to Becoming a Burger King Franchisee?
In general, when the day arrives and Burger King opens up for franchise, there will probably be 6 basic steps to starting a Burger Business with BK:
- Online Pre-Qualifying Questionnaire + Pre-Candidate Interview. First step will be to fill up an online questionnaire. If you pass that first step, you’ll get an email with a number of the franchising contact person. You will need to call him and go through a pre-candidate interview. If you pass this step, they will send you an application package asking you to submit all sorts of documents like a Franchise application form, financial statements, resume, etc.
- Franchising Interview. In this step, Burger King will mainly review the documents you submitted, evaluate your business experience, and maybe discuss available franchise locations that are relevant.
- Opportunity Selection. In this step, you will sit with Burger King Franchise execs to identify relevant acquisition opportunities.
- Operations Interview. In this step you will submit your business plan, be interviewed by the relevant Division Vice President, who will determine your training requirements.
- Approval of Transaction. In this step they will discuss your capitalization plan and review your financial situation.
- Final Approval. In this final step you will either receive Burger King’s YES or NO. If it’s a yes, you can start your Burger Business! If not, you can learn from the process, what you missed or lacked, and try again.
Will a Burger King Restaurant Be a Profitable Burger Business?
As explained many times before, I can’t say if a Burger King restaurant (or any other restaurant or business to this matter) will be profitable. And to be honest – if anyone else tells you otherwise – they are bluffing you.
A good burger business can net very big amounts a day, fairly easily, but it still won’t guarantee profitability.
There are several basic factors which contribute to success of any food or retails business:
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Location. Foot traffic is the number 1 factor for good and consistent sales. If your store is in a bad location, you’ll need to invest heavily in marketing, increasing monthly expenditure, with no guarantee that it will deliver.
Quality. If your burgers (or any other food or products) are good, people will come back. If your products aren’t good – they won’t, even if your location is fabulous.
Efficiency. This is also an incredibly important factor that determines the success or failure of a business. Efficiency means getting food out on time and in perfect manner. Efficiency means a good manpower system. Efficiency means limiting the waste of products and raw materials. Luckily when buying a Franchise – you get that system built in, together with extensive training and consultation.
When will the Burger King Franchise Be Available in the Philippines?
We can’t say yet, but we’re following up with JFC and will update this article when we get any news from them. You can also follow up with JFC or Burger King at these online sites:
Contact details:
Follow Burger King on Facebook: FB.com/burgerkingph or @burgerkingph
Or – contact the owners of the franchise, Jollibee Foods Corporation at: www.jollibee.com.ph
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