A View From The Top

5 reasons to purchase a franchise NOW

By Downing Barber, founder & CEO of Barberitos, explains why it's smart to buy a franchise when there is fear in the market.

Downing Barber, founder and CEO of Barberitos, believes the pandemic should not stop someone from getting into the franchise game.

November 18, 2020

By Downing Barber, founder and CEO, Barberitos

I've been told my whole life that I march to the beat of my own drum. Quite frankly, I take that as a huge compliment, but believe me when I tell you that now is the perfect time to jump in the restaurant franchise business.

In 2000, I followed my passion and took the risk of opening my first restaurant in downtown Athens, Georgia. I couldn't have imagined that 20 years later I would have more than 50 locations across seven southern states.

Along the way, I have made decisions that others may have questioned. However, I've learned that it's sometimes better to listen to your instincts, along with a dash of historical knowledge.

I've heard others say that the restaurant industry is bottoming out, but that's not what Barberitos is experiencing. We have discovered new ways to differentiate ourselves during the pandemic with original marketing and creating unique sales opportunities.

Contrary to popular opinion, I would like to share the top five reasons why now is the time make the investment of owning your own franchise — and why I have decided to open another location for myself.

1. Real estate prices are depressed.
   There is a glut of prime property available right now. This increases your ability to secure a good location. Additionally, landlords are looking for good tenants and are willing to negotiate on price. With the cost of real estate dropping, we are experiencing an increase in our current franchisees seeking another location to expand their footprint.
2. Money is cheap to borrow.
   Securing a loan is more readily available due to interest rates being at an all time low. In addition, the Small Business Administration is more willing to work with entrepreneurs who seek to open a business at this time.
3. Gas prices are down.
   The cost for transporting goods continues to remain at a low price.
   The reduction in fuel prices means getting products is cheaper. Plus, consumers have more disposable income in their pocket when gas costs less.
4. Food prices are down.
   The cost for food is down compared to recent times because supply is high due to closed borders. When you combine the fact that gas and commodities prices are down and have been stable through summer and fall without huge increases, it all adds up to lower food prices, which increase profit.
5. Increase in sales opportunities.
   Barberitos, along with other restaurants, were forced to become more innovative when dining rooms were shut down during the pandemic. We began to implement or focus on additional avenues to sell, including curbside, online and mobile. Our business is built for these types of transactions, as well as a focus on catering.

In my opinion, if you're looking at becoming a franchisee or even on the fence to make the leap, the best time to move is when there is fear in the market. Buy low, and enjoy the tremendous upside during 2021.

In 2000, Downing Barber utilized both his master's degree in international business and his skills as a trained chef to open the first Barberitos restaurant in downtown Athens. Today, Barberitos has grown to become an award-winning, fast-casual Southwestern Grille and Cantina with 50 locations across seven Southeastern states. While Barberitos continues its steady momentum of growth by adding new locations and introducing new menu items throughout the years, many of its procedures and values have stayed the same during its 20-year history. For example, menu items are prepared and cooked in-house daily including hand-smashed guacamole, home-made salsas, fresh-cut vegetables, rice and beans, as well as chicken, steak, turkey, pulled pork and tofu.

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