/biz/ - Business & Finance

>>12753789
In poor economic conditions, fast food become a luxury so naturally people consume more of it. Is it a safe bet? No. Can it make money? Yes.

What you need to remember is that a fast food franchise will cost you between $300k and 400k in start-up costs. In poor economic conditions, banks won't sign loans and you won't find capital to start the business in the first place.

In 2018, in my city, 60% of all new businesses folded within the first year. I saw four popular fast food franchises fold within months in a new shopping complex nearby. Imagine laying out $300k only to fold in 4 months without recouping ANY of those losses.

My martial arts business cost $30k to start up and I spent about $40k over the first year in operating costs. The majority of that went to rent. It folded as well, but at least I didn't need to declare bankruptcy.

Business is cutthroat and it doesn't matter how good your idea is if your execution sucks.