One Question Friday: How Do You Scale A Ghost Kitchen Business?

yeah i feel like i could rule world i know i could be what i want to put at all in it like a days on on a goal travel never looking back this is one question friday where we answer a grand total of one question from a listener one lucky listener gets to ask a question me and sam are gonna give a give our raw off the cuff answer we haven't seen the question before jonathan has it and these are tips and they are just the tips as i like to say we try not to go too deep alright jonathan don't hit this with the question hey guys my name is brian and i'm calling about ghost kitchens i've first learned about ghost kitchens on pods so thanks for that so i developed model to implement a couple of ghost kitchen concepts into my restaurant i had great success lifting my margins over four hundred fifty percent over six months with just one of the concepts now i'm looking to scale the business by offering licensing agreements for operators in other markets to use these concepts including the branding recipes etcetera it's very simple you find an operator that wants a new revenue new stream and wants to do a ghost kitchen and they can start sling product within a matter of weeks i've researched the model that much larger comp companies are using where they leverage celebrities to sell these concepts my model is better it's cheaper and the recipes are second to none in the space assuming you didn't have the following and the platform that you do how would you go about selling this idea to restaurant operators across the nation where would you start sidebar i love what you guys do on the pod sam just signed up for copy that and i can't wait to get started good man so yep what's his name by the way we're we're gonna call him joe no it was yeah i don't remember so thanks for the question ryan yeah two weeks in a row we have one question and we do not know the guy's name again what it sounded smart it sounds like it's got his game plan together but so let's recap the business is is what alright so he owned here's what i mo what i understand he owns a restaurant and then he added in a ghost kitchen meeting he like created a a ghost brand which is like what that means is if you go on door dash or uber eats or one of these delivery apps you can order from a restaurant but there's no physical restaurant for that thing it's just a virtual brand and his restaurant would then like have the packaging label so let's say my normal restaurant is sean's pizza well then i could also have a ghost brand called sean you know you know silly sandwiches and silly sandwich if i get an order from silly sandwiches my restaurant crew will just like package it up as a silly sandwich order and it'd be ready to go and so i'm kinda running multiple restaurants out of one restaurant is the idea and why does the restaurant owner wanna do that with them versus on their own so what he said was he i don't know if he created that ghost brand or he added of that gross brand but he said my have improved my restaurant margins is four hundred fifty percent so he four his restaurant margins so let's say normal restaurant has may sounds a little unbelievable right like let's say he had out don't know six percent margins before you know don't do public math but he's saying that that basically four his margins i'm not not sure exactly what he's was talking about here that's cool but you know what business would be way better is do you remember alex for mo business that's exactly gym launch gym launch exactly what i was gonna recommend go ahead well i think he i well maybe you weren't gonna say this i was gonna say go listen to the episode he that what his model was he had a gym and he was like alright how do i get my gym to be more profitable and then he figured out like a sales method to get his gym if he opened up a gym he figured out a sales method that would get him to have a bunch of customers paying high prices and making a bunch of money on a gym and his friend at a mastermind one day was like y you need to like not do this you need you don't need to open up fifty jim's doing this you need to go teach other gyms how to do this like your product isn't the gym it's a sales process to make any gym more profitable and so that's what he did then he created a gym launch which would basically advertise hey are you a gym owner i can help you make an extra hundred thousand dollars a year guaranteed using my sales method to get you more customers paying higher prices and they'd be like alright cool and then he would fly out to that gym and he would spend the next i don't know couple weeks or whatever implementing that process so that they would then have more revenue more customers coming in using his thing and he would teach them hey here's how you do it here's your offer here's your facebook ads when they come in here's your sales script then you sign them up for a free trial then you how you here's how you close them then here's how you up upsell them protein powder and this other stuff here's how you up upsell them training packages that's the that's a sales process and he builds a multi million dollar business doing that if you did that for restaurants to teach them how to do this that sounds like a business one hundred percent no brainer that's what i would do except so you said that alex but fly out there eventually he wasn't actually flying out there eventually it was basically it it's not fair to call a course but he would it it that was part of it so he would teach you stuff but then also he would be like here's the facebook ads like i've already made them for you you can use my facebook ads that already made here's the drip email sequence here's the script that we use here's everything and then he would say oh by the way if you don't wanna do this and you just want me to run the ads find pay us and we'll do it and here's how you sell protein you wanna sell protein and by the way the protein that sells best we just went bought it so we already own it so if you wanna to be get on a subscription subscription and we'll just send it to you and right here's how you sell it we'll just go ahead and do all that for you anyway so i would one hundred percent do that we on that pod we go alex what's a good market for gym launch for a blank and we actually didn't have that many good answers the answers this restaurant business yeah but this is the answer this that's a great example and like lucky for you know our our buddy here ryan we're calling him for a second that there's like a pretty great blueprint to follow right like there's a blueprint that he was very public about how he did it he's now exited the business and also by the way this what his business does now is it invest in other people doing this model and he's like dude i know how to do this i can scale it up now you have to be at some scale before he'll do it but like he gives away the free content on how he structured jim launched to do to be able to do this so that's i think what you should do which is like restaurant launch or ghost the ghost kitchen process that goes kitchen system which is basically hey if you're if you're a independent restaurant and trust me it's tough foot traffic it's tough with covid it's tough it's blah everyone's ordering delivery here's how you can increase your margins blah blah here's how i did it you kind of open up your financials and you say look i was making thirty two thousand dollars you know a quarter doing it this way now i make fifty eight thousand and that extra bit is from my ghost kitchen concept and here's how i do it and basically they can either pay you for the course on how they can do it or you'd hit him with the alex or mo where you're like if this sounds too complicated i can also do it for you and if you qualify i'll do it for you what he did was risk free he's like here's my offer for you you pay me nothing i only get money once i've increased your sales by over thirty thousand dollar thousand dollars so once you've made that much more money off this then i get to get my cut of thirty percent of whatever the total is that that we get and i'm so confident that i'm gonna be able to raise your sales that i'll will do that for you i'll take the risk on that how does that sound and they're all like yeah you're gonna fly out here you're gonna to implement your process it's worked for you and you're saying that i only pay you once i'm making all this extra money that's a pretty pretty damn good offer and so you could do a similar thing for the restaurant i saw a guy the other day do a sales process where he was like trying to sell a service just like this and the let's just say the brush restaurant owner was like i don't know if i wanna do and he goes that's fine but how about this we you implement what i say and if it works i get a split of the revenue and the guy goes great i'm one hundred percent do that what's the split and then the seller goes well how about fifty fifty and the buyer goes i don't know man a lot and the seller goes well but i'm i'm you know it's fifty fifty on it's free money for you i'm doing all the work and the guy goes well what if it blows up you know like that you're gonna get a lot of money and the seller goes you know i think you're right i well he goes he goes it might blow up but i'll tell you what you might be right fine we'll go back to the original deal you're only gonna pay five thousand dollars brandon the guy goes okay fine it was like it was like the best sales sequence like it totally worse i like oh my god that's beautiful yeah yeah i would totally do this business as well i think that that that's way better i would continue running the main thing just so you're in the no and like getting results that you could post with social media but that's what i would do too are there any other industries that jump out now that this could work for probably physical probably physical therapist i would imagine doctor's offices and physical therapist i think maybe barber real estate brokers so every real estate brokers like running their own little small business sometimes as part of a brokerage sometimes their own brokerage and there's a whole process to basically like you should leave caldwell banker they're taking half of your commission the i i spun out my own here's how i did it here's how much more i make and i will spin you out of this big brokerage firm hey i'll set up your website i'll set up your back office legal legal structure i'll set up your marketing package i'll show you exactly how this all works and you know like instead of cold baker taking half of your commission i will take five percent of your commission it you know to do this so i think you could basically i think selling a sales system is a is a pretty good business to be in in general yeah i mean you it's it's like very very high margin i think that a lot of course businesses top out at a certain level i think when you're selling a sales cycle or or a sales product like this i don't think you're i think the the cap is way higher by the way also now that alex is not doing gym launch you could also just do lit gym launch again like you know now that he's like checked out do another shit like you know you could have always competed with them but like he put a playbook out there he exited the company there's it's still running but like you could just do it again you could literally recycle his business i i think this is so underrated just recycling business ideas once the person has exited and you they've let their foot off the gas or they've expanded they've moved up market it's like they just leave you an exact playbook on what to do and more often the not that timing still will work dude we we had a couple at the house we had a few companies that were just copy and paste our content and just create a new newsletter and they some of them got traction yeah edit that out i don't want people doing that now well it doesn't work in the end it's a very short term thing you know but alright that's it you got the tip yeah i feel like i could rule where i know i could be what i want to put my all in it like a day's off on a travel never looking back