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The New Foodservice Rent Equation: How Much Can a Restaurant or C-Store Afford to Pay for Real Estate?
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The New Foodservice Rent Equation: How Much Can a Restaurant or C-Store Afford to Pay for Real Estate?
There is one fact about foodservice real estate that has remained true for decades: If you pay too much for the location, you eventually pay for it with your profits according to Steven Johnson, Grocerant Guru® at Tacoma, WA based Foodservice Solutions®. But today’s foodservice business is considerably more complicated than simply saying, “Keep rent between 6% and 10% of sales.” That old rule of thumb can be useful as a starting point, but it is…
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