Red Robin Franchise In USA Cost, Profit, How to Apply, Requirement, Investment, Review | SkillsAndTech

For more than 50 years, Red Robin is been recognized as the go-to destination to get gourmet burgers. Red Robin pairs casual-dining with quality burgers, craft beers, and uniquely seasoned French fries. They’re a well-known dining spot for families and friends. So if you’re looking for a gourmet burger place to franchise, set your sights on a Red Robin as a business opportunity.

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Red Robin Franchise In USA Wiki

Red Robin’s beginnings started in a small tavern located in Seattle, Washington. The owner, Sam, was known to be in a barbershop quartet where he apparently loved the song “When the Red, Red Robin Comes Bob, Bob, Bobbin’ Along” that he changed the name of the tavern from Sam’s Tavern to Sam’s Red Robin.

In 1969, Gerry Kingen bought Sam’s Red Robin and started putting food on the menu and calling the place a “Grownup’s McDonalds”. Unfortunately, the original location doesn’t exist now as it was closed down in 2010.

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But business boomed for Gerry Kingen considering that he was near the University of Washington where students would frequent the establishment. Eventually, brothers Mike and Steve Snyder who were considered regulars of Red Robin, opened up the first franchise located in Yakima, Washington. Many more locations started opening up right after that. At present, Red Robin has over 546 locations all over the United States and in British Columbia, Canada with 81% of those are company-owned and 19% franchised.

Red Robin Franchise In USA Benefits

Macro Trends reports Red Robin’s annual gross profit is $187 million in 2021. This is considered an increase in their profit in 2020 which was $73 million but they did not surpass their numbers in 2019 which was $257 million.

Advantages of a Red Robin Franchise

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Almost sold on franchising Red Robin and their delicious gourmet burgers? Well, here are a few more reasons to look forward to opening a Red Robin in your area.

Burger Selections

Yes, the gourmet burgers are part of the big reason why Red Robin is a hit. But it’s their vast selection of burger items on their menu that makes them a go-to place for burger enthusiasts. They have the classic burgers such as your regular cheeseburger. But they also have specialty ones such as their Sautéed ‘Shroom Burger with lots of garlic-and-parmesan sautéed mushrooms or their Burnin’ Love Burger with their fried jalapeño coins, house-made salsa, and chipotle aioli.

And if you’re not up for burgers, they have wraps and salads too as well as fish options if your customers are looking for a lighter meal. The choices are plenty that your customers are surely going to keep on coming back to try every item on the menu.

Bottomless Sides

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Sides are very important when it comes to having a burger meal and Red Robin takes their sides seriously by making it bottomless. This means unlimited free refills of steak fries, Yukon chips, steamed broccoli or side salad when you order a meal. For an additional price, you can also choose bottomless sweet potato fries or garlic fries as well.

So when your customers dine at Red Robin, you’re sure they’re not leaving hungry because they not only have a hearty burger meal but they’ll be filled up with lots of sides too.

Locations

Red Robin has over 546 locations in the United States and British Columbia, Canada. And if you check their specific locations on Red Robin’s website for the United States, they almost have all states covered. This is a big advantage to you if you decide to franchise Red Robin because everyone already knows who you are so you don’t have to worry about reeling in customers.

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Vegetarian

Vegetarians can also come and enjoy Red Robin burgers because there are veggie burgers available. Their Impossible Cheeseburger makes use of a plant-based patty while their Veggie Burger is made with ancient-grain-and-quinoa veggie patty. Their bottomless sides also consist of steamed broccoli for that extra helping of vegetables customers are looking for.

Challenges of a Red Robin Franchise

Red Robin’s business continues to thrive, but that doesn’t mean there aren’t challenges. Here are a few you can expect to prepare yourself.

Unhealthy Selections

Be prepared to tackle unhealthy menu discussions with your customers. It’s not a secret that Red Robin has options that go beyond the daily recommended amount of calories. Their Monster Style add-on allows customers to add an extra patty and cheese to their gourmet burgers. So coupled with a drink like a milkshake perhaps and even bottomless sides, you’ll definitely reach more than your daily recommended calories.

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You could also point out that there are healthier options such as salads or wraps which hopefully your customers would be fine with just those selections.

Lawsuits

Red Robin has been embroiled in several lawsuits through the years. In 2015, a Red Robin franchise in Lower Macungie Township paid $1.3 million to settle a lawsuit that claimed that Red Robin required their server staff to share their tips with kitchen workers that were underpaid to “satisfy minimum wage obligations”. In recent news, an assistant manager from Red Robin sued the company for unpaid overtime work and breaks.

These lawsuits may not happen regularly, but these things can be mentioned over time. It also may not happen in your location but it can give the entire Red Robin name a bad reputation.

No International Locations

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It’s true that Red Robin is well known throughout the United States. With over 546 locations, it would be hard to miss them. But for a business that’s been around for 50 years, they still haven’t expanded worldwide. Their only international location is in Canada.

Red Robin has the potential in going global. We’re not sure what’s stopping them from doing so or maybe they already have these expansion plans in place for the near future. But going global could definitely help boost Red Robin’s name even further.

Red Robin Franchise In USA Cost

To franchise Red Robin, you’ll need a liquid capital of $750,000 and a net worth of $1.75 million. Expect the investment for this food chain to be around $1,865,000 to $4,115,000 that includes a franchise fee of $35,000.

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Red Robin Franchise In USA Requirements

This is highly confidential information. Because this company had not disclosed it. You can only know about this after applying for the franchise. All this will be discussed when the basic criteria are met and fulfilled. You can know the procedure as follows.

Red Robin Franchise In USA Profit

Franchise revenue depends on a wide range of factors, as does profit. How much money you can make from any franchise depends on a number of specific factors such as franchise location, labor costs, commercial lease rates and a number of other factors.

Macro Trends reports Red Robin’s annual gross profit is $187 million in 2021. This is considered an increase in their profit in 2020 which was $73 million but they did not surpass their numbers in 2019 which was $257 million.

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How to Apply For Red Robin Franchise In USA 

To get the franchise first you have to fill the form. Then the company officials will contact you for further details. After that you you can open this franchise.

Apply Here

Red Robin Franchise In USA Contact details

Website

https://www.redrobin.com

FAQ

Is it profitable or not?

Ans: It is fast moving products, so there is fewer margins but your sale is too high. So, obviously you can make more profit from this business.

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Is the Red Robin Franchise Right For You?

Red Robin looks like it could be the franchise for you. But the financial requirements are a little steep compared to other restaurants. Still, the investment could be worth it considering the revenue numbers. But do remember to have a legal advisor check through all the fine print in the Franchise Disclosure Document that will provided to you once you meet up with the franchise development team of Red Robin.

What is an alternative Red Robin franchise?

If it’s a burger place you’re looking for, check out Five Guys. They’re known to be in the top burger scene in the United States and compete alongside famous burger places like Shake Shack and In-N-Out. Their burger selection may not be extensive as that of Red Robin’s. But they’re very well-known for it that it’s worth giving Five Guys a try.

Conclusion

So far we have shared the basics for this franchise. It is the most profitable franchise. You will never doubt your decision to start this franchise. Go ahead and achieve your goal. If you find more information please feel free to share with us. Share your thoughts and we will definitely contact you with new franchise and opportunities. Stay Tuned for more franchise. Thank you

Disclaimer: The information given in this article like investment may vary from place to place, so we are not sure about the investment part.

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