Quality Restaurant Ventures, Inc. Announces Its Business Model And Vision For The Future
Quality Restaurant Ventures, Inc., formerly Sobik's International Franchising, Inc., for years has been known as a high-quality submarine sandwich and deli concept having grown methodically through franchising, co- branding and development of non-traditional business venues.
Although those will remain key components for the Sobik's Subs brand to continue its existing growth, Quality Restaurant Ventures, Inc. (QRVI), will now begin to focus on a more aggressive model of acquisition and joint venturing with other brands.
Quality Restaurant Ventures, Inc.'s former majority shareholder, Ultimate Franchise Systems, Inc. (OTC Bulletin Board: UFSY - News) has long been positioned as an acquirer and manager of franchise systems in over 30 states across America. QRVI will now develop that model on a regional and multi-state basis.
Whereas five to fifty store unit chains are now potentially too small for Ultimate Franchise Systems, Inc. to acquire, they are ideal candidates for QRVI if they are in the south-eastern United States and, more specifically, in the state of Florida. QRVI will be able to take advantage of Ultimate's significant infrastructure and size while being able to take advantage of looking at smaller regional brands. Ultimate Franchise Systems continues to own a 19% non-dilutive preferred class of stock in QRVI. Ultimate will continue to give QRVI access to its product purchasing power, marketing/advertising economies as well as to its legal and accounting infrastructure. This will allow QRVI to focus on the purchasing and development of small regional franchisors.
QRVI's immediate business strategy will focus on expanding Sobik's Subs into the Tampa/St. Petersburg and Jacksonville markets. Subsequently, the south Florida market will be targeted. As Sobik's develops a foothold in these markets, the Company will be looking for strategic acquisitions or joint venture partners already established in these markets. Through the acquisition or partnering with additional restaurant brands, QRVI believes it can greatly mitigate three major hurdles to rapid growth. First, identifying and securing competitive retail locations; second, being able to develop human resources in the market rapidly and with quality business partners; and third, achieving brand equity rapidly and inexpensively. Through acquiring or partnering with new brands in these markets, QRVI can co-brand existing locations, have greater leverage in negotiating new locations or rollout partial product offerings in the new partnered company's existing locations. This will also greatly increase QRVI's ability to garner more marketing leverage. Finally, by having access to the new partnered brands' existing human resources, the Company expects Sobik's will be able to build their team of franchisees and area support team much more rapidly through cross-training and dual functioning.
QRVI will facilitate Sobik's to move along their current path of sourcing new area developers who will look to develop territories with multiple locations. They will also continue to rollout their express units in petroleum and non-traditional locations.
QRVI's corporate team members are many of the same individuals who were instrumental in growing Ultimate Franchise Systems from 36 units to over 300 units in eighteen months. While the Company certainly does not predict the same sort of growth rate, the management feels confident that it can identify and acquire strong regional brands and grow its holdings beyond Sobik's Subs. Management believes through this new business model they can develop QRVI into a leading consolidator in the southeast and, most importantly, increase shareholder value.
Quality Restaurant Ventures, Inc.'s former majority shareholder, Ultimate Franchise Systems, Inc. (OTC Bulletin Board: UFSY - News) has long been positioned as an acquirer and manager of franchise systems in over 30 states across America. QRVI will now develop that model on a regional and multi-state basis.
Whereas five to fifty store unit chains are now potentially too small for Ultimate Franchise Systems, Inc. to acquire, they are ideal candidates for QRVI if they are in the south-eastern United States and, more specifically, in the state of Florida. QRVI will be able to take advantage of Ultimate's significant infrastructure and size while being able to take advantage of looking at smaller regional brands. Ultimate Franchise Systems continues to own a 19% non-dilutive preferred class of stock in QRVI. Ultimate will continue to give QRVI access to its product purchasing power, marketing/advertising economies as well as to its legal and accounting infrastructure. This will allow QRVI to focus on the purchasing and development of small regional franchisors.
QRVI's immediate business strategy will focus on expanding Sobik's Subs into the Tampa/St. Petersburg and Jacksonville markets. Subsequently, the south Florida market will be targeted. As Sobik's develops a foothold in these markets, the Company will be looking for strategic acquisitions or joint venture partners already established in these markets. Through the acquisition or partnering with additional restaurant brands, QRVI believes it can greatly mitigate three major hurdles to rapid growth. First, identifying and securing competitive retail locations; second, being able to develop human resources in the market rapidly and with quality business partners; and third, achieving brand equity rapidly and inexpensively. Through acquiring or partnering with new brands in these markets, QRVI can co-brand existing locations, have greater leverage in negotiating new locations or rollout partial product offerings in the new partnered company's existing locations. This will also greatly increase QRVI's ability to garner more marketing leverage. Finally, by having access to the new partnered brands' existing human resources, the Company expects Sobik's will be able to build their team of franchisees and area support team much more rapidly through cross-training and dual functioning.
QRVI will facilitate Sobik's to move along their current path of sourcing new area developers who will look to develop territories with multiple locations. They will also continue to rollout their express units in petroleum and non-traditional locations.
QRVI's corporate team members are many of the same individuals who were instrumental in growing Ultimate Franchise Systems from 36 units to over 300 units in eighteen months. While the Company certainly does not predict the same sort of growth rate, the management feels confident that it can identify and acquire strong regional brands and grow its holdings beyond Sobik's Subs. Management believes through this new business model they can develop QRVI into a leading consolidator in the southeast and, most importantly, increase shareholder value.
