Marco’s Pizza, one of the nation’s fastest-growing pizza brands, announces the launch of its new Franchise Development Royalty Incentive Program designed to empower aspiring, qualified multi-unit franchise owners with early-stage royalty incentives starting at 0%. In the face of an ever-changing economy, including inflation pressures and increased minimum wage rates, the program aims to help entrepreneurs step into ownership.
“As a brand committed to responsible franchising, we’re mindful of the cost pressures today’s franchise candidates face,” said Gerardo Flores, Chief Development Officer of Marco’s Pizza. “Our goal is to make franchise ownership more accessible and ease multi-unit franchisees’ initial costs. By managing controllable costs, we’re proud to offer a program that reflects our commitment to supporting future owners as they navigating this ever-changing economic landscape.”
Incentives of the Development Program Include:
- 3-5 Franchise Agreements: Franchisees who sign three to five franchise agreements will benefit from a phased royalty fee structure designed to support their growth.
- For the first six months after each store opens, they will pay 0% royalty fees.
- From months seven to 18, the fee will increase to 2.5%, and after 18 months, it will reach the then-current royalty fee offered. This gradual increase allows franchisees to reinvest in their locations during the critical early years of business.
Marco’s has designed this incentive to provide a pathway to ownership that prioritizes sustainability and growth for prospective multi-unit owners. This initiative also aligns with Marco’s commitment to fostering entrepreneurship – a value the brand actively promotes via the Marco’s Pizza Foundation’s charitable collaboration with Junior Achievement, encouraging young people to pursue their entrepreneurial goals.
By championing the entrepreneurial spirit, the company is not only expanding its reach but also strengthening communities across the country with opportunities for local ownership. Prospects are taking note of the business opportunity, as the Marco’s Franchising Franchise Disclosure Document reports the Top 50% of Marco’s franchised stores generated average net royalty sales of AUV $1,208,653 during the 2023 fiscal year.
In addition to the incentive support, Marco’s leadership prioritizes a development support system, including technology and tools to help identify territories for expansion, plus support in real estate, construction management, field operations, and information related to financing.
FRANdata, a leading research and advisory firm that analyzes the franchise market, reports Marco’s 2024 FUND Score ranks among the Top 10 of all evaluated franchise systems. More impressively, Marco’s ranks in the Top 3 scores for all QSR brands and No. 2 in the pizza category, maintaining its strong position from 2023. These impressive rankings are a testament to the brand’s commitment to financing guidance as a core focus of its franchise development strategy which has led the 1,200-unit brand on the path to continued growth.
“Supporting entrepreneurs isn’t just a goal; it’s a core part of our mission,” added Flores. “With this program, we aim to ease the initial investment costs that come with franchise ownership, so franchisees interested in multiple units can focus on what matters most: providing exceptional service and growing their business.”
