Bavarian Beerhouse, the London-based group specialising in German-style bierkellers, is to open its first site under franchise in Bristol as is in talks about expanding into Hong Kong and China, M&C Report has learnt.
The company is looking to roll out 15 new venues over the next five years under its subsidiary Bavarian Beerhouse Franchise Ltd.
Bavarian Beerhouse Bristol on Queen Charlotte Street, near the waterfront, will include a seating area for 200 downstairs and a 50-cover private dining area upstairs. The venue is due to open in late August or early September.
Company founder Sabine von Reth told M&C Report that the company has just started talks about opening in Hong Kong as a prelude to rolling out in China.
The company, which currently operates two sites directly in Tower Hill and Old Street, is looking to expand in cities with a population of more than 500.000 people, pointing to Birmingham, Brighton, Leeds, Glasgow, Sheffield, Bradford, Edinburgh, Liverpool, Manchester, Cardiff, Nottingham and Leicester.
Franchisees are required to invest a minimum of £75,000, covering premises improvement, opening stock, equipment and launch costs. An upfront franchise fee of £25,000 is also required, which covers a five-year licence to run a Bavarian Beerhouse and a five-year extension dependent upon performance. Monthly management fees come in at 5% of revenue, and there is also a marketing fee of 1.5 % of monthly sales.
