FlyerTalk Forums - View Single Post - Why are chain restaurants so popular in the US?
Old Oct 13, 2009 | 6:56 am
  #51  
Raffles
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No-one has yet mentioned the property angle. Imagine you are a landlord opening a new building with a restaurant on ground level - would you rather have a blue-chip tenant who you know will pay the rent, or a mom-and-pop operation? Its a no-brainer for a landlord. Equally, buying a lease on an existing property can require a huge lease premium to be paid up front which will be out of reach of most small operators.
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