"Burger King" ("Burger King") is a popular chain of fast food restaurants around the world. The first institution under this brand was opened in the United States back in 1954. However, for more than 60 years the situation has changed radically, and at the moment, a network of 12 thousand partner restaurants and more than a thousand own establishments is operating and developing in 76 countries of the world.

On the territory of Russia, Burger King appeared relatively recently, only in 2010, but in a short period of its existence it managed to gain popularity and love among local residents. At the beginning of 2016, about 120 fast food restaurants were opened in Russia, however, the company plans to increase their number by at least 5 times within 1.5 - 2 years due to high consumer demand.

Burger King's main competitor is McDonald's. Both companies specialize in the production of hamburgers and other fast food dishes, pay maximum attention to the speed and quality of service, and carefully monitor the recipes of dishes. To date, McDonald's is the leader in public catering, while Burger King occupies an equally honorable second place.

Competing chains differ in the cost of the dishes sold (McDonald's always has a slightly lower price) and the way they prepare the dishes (Burger King exposes all meat products to grilling, which achieves a special memorable taste).

The official representative of the brand in Russia is Burger Rus LLC, which can be contacted using the contacts indicated on the official website of the restaurant.

Product range

"Burger King" is not only excellent quality, taste and prompt service, but also a wide range of dishes that is relevant for each restaurant of the chain. So, regardless of the location of the institution, its visitors can enjoy beef, chicken and fish burgers, desserts, salads and a variety of snacks.

Also, in the establishments of the network there is a special menu (children's and lenten), coffee, tea, cocktails, sweet carbonated drinks familiar to everyone and mineral water are served.

It is possible to try dishes from Burger King not only by visiting a restaurant or a pavilion in a shopping center, but also by filling out an application for the delivery of products to a place convenient for the client (for example, home). This service distinguishes this fast food chain from competing companies.

Franchise Services

What is a Burger King franchise? First of all, this is certainly a great opportunity to work under a well-known brand as part of a global catering network. Most investors and entrepreneurs are ready to invest heavily, assuming both return and high profits.

To achieve such results is really due to the franchise. A ready-made offer from Burger King implies the following services and opportunities for a company partner:

• the right to work under a global brand;
• staff training (including management);
• advertising support;
• marketing support;
• transfer of a ready-made and time-tested business model;
• assistance in creating an investment project;
• calculation of the budget and necessary investments;
• transfer of the original recipe, which is a trade secret;
• conducting regular consultations and assistance in the development of a partnership project;
• diverse assistance in opening a restaurant, as well as assistance at other stages of its work.

A full list of the benefits of working with Burger King is usually listed by the future franchisee during the interview. After agreement, it is fixed in the framework of a formal contract.

Franchising offer

The cost of a franchise from Burger King is impressive in size, however, you should not be afraid of the figures given.

Despite considerable investments, the project pays off, as a rule, in 18-20 months and begins to bring significant profit to its owners. The reason for this is the wide target audience of the restaurant and the increased demand of customers for its products.

Attention It should be noted that when opening a second and subsequent restaurants, the franchisee can count on a significant discount that applies to the lump-sum fee and royalties. The exact figures in this case are determined on an individual basis.

Requirements for the franchisee

The Burger King franchise is not for everyone - the company carefully selects its partners and makes an impressive list of requirements for them. The main one is the availability of suitable premises for opening a restaurant. So, it must meet the following characteristics:

• area - total from 300 sq. meters, food courts - from 120 sq. meters;
• ceiling height from 3 meters, facade height from 6 meters;
• design external and internal in accordance with the uniform standards of the network.

The minimum number of employees for such a room is 8 people.

Special wishes are presented not only to the place of opening of the restaurant, but also to the candidate for the role of the franchisee. To gain access to the trade secrets and business plan from Burger King, he must have experience in commercial and management activities in the food industry, as well as provide letters of recommendation.

Another important advantage for obtaining a franchise is the desire of an entrepreneur to open not one, but several restaurants (minimum 5). This condition seems to be one of the most difficult, but it is quite feasible, because for each subsequent object opened by the same legal entity, the financial conditions for cooperation change.

BURGER KING is one of the largest chains of fast food restaurants in the world. More than 12,000 Burger King restaurants operate in more than 75 countries around the world, serving about 12 million visitors daily. About 90% of BURGER KING's restaurants are operated by independent franchises, many of which are family businesses that have been in business for decades. In October 2010, BURGER KING Corporation was bought out by 3G Capital, a multi-billion dollar investment company specializing in long-term investments with a particular focus on maximizing the potential of brands and businesses.

Burger King Corporation (pronounced Burger King Corporation) (NYSE: BKC) is an American company that owns the Burger King fast food restaurant chain. The headquarters is in Miami, Florida.

Story

In Russia (as well as throughout the world) Burger King operates through a franchising system. Currently, Burger King has 2 franchises in Russia: the Shokoladnitsa chain and the Ginza Project restaurant company.

The first chain restaurant in Russia was opened on January 20, 2010 in the Moscow shopping and entertainment center Metropolis (Voikovskaya metro station). The second restaurant of the chain operates in the Moscow shopping center Evropeisky. As of April 2012, 42 chain restaurants were opened in Russia, including 32 in Moscow and the Moscow region, 9 in St. Petersburg. On February 14, 2012, the first chain restaurant in the city was opened in Yekaterinburg.

Recently, the company sued the cybersquatter for the domain name burgerking.ru.

The company was founded in 1940 by brothers Dick and Mac McDonald, who were the first in the world to formulate the principles of the concept of fast food. In 1955, entrepreneur Ray Kroc had the idea to develop a chain in order to increase the supply of his mixers to these establishments. He received consent to promote the company, and in 1961 he bought all the rights to it.

Most of the restaurants are operated by franchises, so the range, size and composition of portions may vary in different countries. For example, in many countries of the world, chain restaurants sell beer, but in Russia they have always been non-alcoholic.

The first Russian McDonald's (at that time the largest in the world) opened in Moscow on Pushkin Square in 1990. On that day, 30 thousand people visited it, which was a record for the network.

The interests of the network in Russia are provided by subsidiaries of the American structure - CJSC Moscow-McDonald's and LLC McDonald's. Due to the fact that the first restaurants in Moscow opened with a rental rate of 1 ruble per year, and contracts were concluded for a period up to 2041, rumors circulated that half of the chain belonged to the capital's mayor's office. The state enterprise Mosrestoranservice was indeed a co-founder and is listed as a co-owner of McDonald's in Russia. In 2010, the Moscow government tried to challenge the conditions and raise the rate to at least a thousand rubles, but the court sided with the network. The franchising scheme for opening restaurants in Russia began to be applied only in April 2012, after Subway overtook McDonald's in the number of eateries in Moscow.

Last year, the company's revenue grew by 19.6% - up to 55.4 billion rubles, while the year before - by 24.8%. The slowdown occurs from year to year.

subway

In 1965, 17-year-old Fred DeLuca told a family friend, Dr. Peter Buck, that he wanted to become a doctor and needed money for education. He advised to open a kiosk selling sandwiches and gave Fred a thousand dollars - start-up capital for the future institution. Soon the first Super Submarine Pete's kiosk appeared in Connecticut. The sandwich was shaped like a submarine, and was called a "submarine" and then shortened to a "sub".

Ten years later, the partners began to actively use the franchising scheme, transferring restaurants to management, and ten years later they solemnly celebrated the opening of the thousandth Subway restaurant. By August 2014, the network has 42,000 restaurants in one hundred and seven countries. In terms of the number of restaurants, it is ahead of McDonald's.

In Russia, the company began to actively develop in 2004, opening the first restaurant in St. Petersburg on Nevsky Prospekt. Today it is the only chain of restaurants represented in the Far East. The master franchise is owned by the American company Subway Russia Franchising Company, its owners are US citizens, the activities of the network in Russia are monitored by a representative office located in Moscow.

KFC

Until 1991, the network was called « Fried chicken from Kentucky" , which reflected specialization in chicken. KFC is the second largest cafe chain in the world, second only to McDonald's. As of December 2013, it has more than 18 thousand points in one hundred and eighteen countries of the world. The company is owned by Yum! Brands, which also includes Pizza Hut and Taco Bell.

KFC was founded by Harland Sanders, who began selling fried chicken during the Great Depression. He promoted the franchise to other states and regions. Thanks to the company, chicken has become an integral part of fast food and has gained the same popularity as the hamburger. Sanders himself, who called himself "the colonel", became an important figure in American cultural life, and his image is still used in the interiors and advertising of KFC. In 2013, KFC generated $23 billion in sales.

In Russia, KFC cooperated with the Rosinter company (Il Patio, Planet Sushi, Friday’s chains), cafes opened for a long time under the Rostik’s brand. In 2005 Rostik Group and Yum! Brands signed a cooperation agreement, which included the formation of a new unified brand "Rostik's - KFC". In 2011, an American company bought all the rights to the Russian part of the chain and returned the name KFC. In 2013, there were 245 outlets in Russia. The management plans that by 2015 450 restaurants will operate in Russia and the CIS.

Burger King

James McLamore and David Edgerton opened the first Burger King in 1954 in Miami. After visiting McDonald's, McLamore got excited about the idea of ​​​​creating his own fast food. In 2002, the company was acquired by a pool of investors for $1.5 billion, which includes Goldman Sachs, TPG and Bain funds. Ten years later, the company's capitalization amounted to 4.6 billion dollars.

The first chain restaurant in Russia was opened in early 2010 in the Metropolis shopping center, and the second in the Evropeisky shopping mall. Today, there are 220 chain restaurants in Russia, 121 of them in Moscow and the Moscow region.

In Russia, Burger King operates through a franchising system, it is represented by Burger Rus LLC, a joint company of Burger King Europe, the owner of the Shokoladnitsa chain, Alexander Kolobov, and VTB Capital. By 2016, the network plans to increase the number of outlets in Russia to five hundred. In place of the points of the Coffee House coffee shop, which was absorbed by the competitive Chocolate Girl, burger shops may appear. If this happens, Burger King will overtake McDonald's in the number of restaurants.

"Teremok"

In the late nineties, businessman Mikhail Goncharov developed a plan to create stalls with national cuisine - Russian pancakes with fillings. The first Teremok opened in Moscow in 1999 near the Aeroport metro station. Over time, the company entered the top four largest fast food chains in Russia, then Teremok restaurants opened. This year, information appeared that Goncharov plans to open outlets in America. In 2013, the turnover amounted to 2.65 billion rubles in Moscow and 2.3 billion rubles in St. Petersburg.

«Stardog!s»

In 1993, Russian businessman Sergei Shikharev bought meat and meat products from Denmark. There, he noticed many small stalls offering delicious hot dogs. There was nothing like this in Moscow, so he returned to Russia with the idea of ​​creating a similar network. Shikharev signed an agreement with the Steff Houlberg company, and soon the first Steff kiosk appeared in the city center. By the end of the nineties, there were a hundred tents, but during the crisis, business began to decline because the company could no longer work with Steff Houlberg. They decided to abandon the name "Steff", instead of it the "Stop Top" logo appeared.

In 2004, the company underwent a new rebranding, having received the name Stardog!s. Now it has 702 points of sale in sixteen regions. Most of them work around the clock. The hit of sales, like ten years ago, is the French hot dog.

"Tea spoon"

The idea for a Russian-style bistro came to St. Petersburg restaurateurs Boris Krupkin and Mikhail Avgustin, who had previously created the first gay club in the city - "69". In the crisis year, they decided to master the lower price segment, providing an average bill lower than that of McDonald's. 55 cafes opened in St. Petersburg, in 2009 the first restaurant opened in Klaipeda. 24% of the shares belong to the Neva-Rus fund, 19% - to private shareholders.

"Little Potato"

In 1998, Andrei Kononchuk and Vitaly Naumenko registered the Technology and Nutrition company. In August, the first point of the autocafe network was opened in Moscow. The main product is a whole potato baked in foil with a filling (cheese, butter and salads to choose from). For a long time, the chain worked in the format of street kiosks, and since 2003 it has appeared in the food courts of shopping centers.

According to information at the end of 2012, the Kroshka Kartoshka network includes more than 300 establishments, including 76 cafes in Moscow. The network is actively represented in Russian million-plus cities and is one of the five largest players in the market.

"Wokker"

Alexei Gisak worked as a copywriter for the BBDO Group and designed advertising campaigns for Pepsi and Mars until he wanted to become an entrepreneur himself. In 2008, from a trip to Amsterdam, he brought the idea of ​​​​pan-Asian food, which had never happened before in Moscow. Gisak and his friends registered the company: 70% from Alexei himself, 20% and 10% from Daniil Ostrovsky and Inna Petrova, his colleagues in the advertising market. Participation in food festivals helped the business: in one day of work at the Afisha Picnic festival, about a thousand portions of food were sold. Then word of mouth worked, I didn’t even have to spend money on advertising.

At first, Walker worked as a wok delivery service throughout the city, then points appeared at food courts in shopping centers. In 2012, the first Pan-Asian restaurant with affordable prices was opened. A year later, Vokker's revenue began to amount to 35 million rubles a month, while Gisak's other project, Supculture, was only 2.5 million. Now Walker, like its competitors, is developing its franchise network.

The article is devoted to such a topic as the history of Burger King, how was the world famous empire created? Who were the founders, what was the fate of the restaurant, what significant events took place? Let's consider the prospects for further development of the company, in particular, in the Russian market.

Burger King - one of the most famous fast food restaurants, appeared in the last century, started as an ordinary roadside cafe, but over time, the establishment has grown to the size of a full-fledged network. Next, we will study in more detail the history of formation.

History of Burger King

The history of the company begins in the middle of the 20th century. To date, Burger King is the second largest food company in terms of importance and size, primarily focused on such a segment as fast food. The corporation's restaurants became widespread first in the United States. And after that they began to appear in the world, at the moment institutions are represented in more than 56 countries of the world.

And where did it all begin? The history of the foundation is not so rich in surprises and mysteries, for the first time they started talking about creating a cafe in 1953, but the future founders did not have the proper knowledge. And plus, financial needs did not allow to start a great business right away. But, already in 1954, James McLamore and his friend David Engerton founded the Burger King company, to be more precise, they simply rename the already purchased restaurant. In those years, people were quite willing to leave money in such institutions, if in Europe people were moving away from the war, in the USA everything was calm, and the country was developing. This is what young entrepreneurs decided to take advantage of.

The company bought Insta-Burger King, also from the food industry, which suffered a series of failures and its owners had to look for new enthusiasts. Before organizing a fundamentally new line of service, the new owners of the already renamed Insta-Burger to Burger King visit McDonald's restaurants, which by that time had loudly declared itself.

Entrepreneurs paid attention to how hamburgers are prepared, what equipment is used in the kitchen and decided to use the experience in their cafes.

Founding date of Burger King

The first restaurant under the still Insta-Burger brand was opened in early December 1954. The main feature was fixed prices for absolutely all products.

Who is the founder of Burger King

Who are the founders? Despite the fact that over the entire period of its existence, the Burger King brand has been sold several times, entrepreneurs from the warm state of Miami, David Edgerton and James McLamore, are considered the founders. They bought the Insta-Burger King restaurant in 1953, but later renamed it Burger King.

Prospects for the development of the company

There were a significant number of factors for the development of Burger King in Russia in the 2010s:

• The desire of the population to get something new, everyone is tired of the usual McDonald's.
• The absence of major competitors as such.
• Ready meals at reasonable prices.
• Decent food quality, compared to the same McDonald's, which just fell into the abyss of scandals.
• Economic development, recovery after the crisis.

For the first time, the country got acquainted with the products of Burger King in the capital, Moscow became the first city where chain establishments appeared.

In the future, there is a pattern of network development in other regions, an increase in the number of cafes to at least 500 “points”, with 370 restaurants currently available. The prospects for Burger King look more than rosy compared to competitors, the same main enemy in the face is inferior in terms of sales by as much as 1.5%. Such have shown in market conditions, have significant weight. In total, according to the results of 2018, Burger King managed to increase sales by 2%. According to experts, the gap from competitors this year will be at least 3%.

Brand history

The history of the Burger King brand, why did they change the name and why was this name chosen as an alternative?

The founders initially wanted to get rid of the “stigma” so that customers would not have associations with the old Insta Burger, which is not distinguished by good food and service. But, given that the main dish of the cuisine is burgers, it was absurd to remove such a combination from the name, the founders nevertheless settled on the fact that only the first Insta prefix needed to be removed. There are no mysteries and secrets in the history of the brand itself, like the same competitors, the founders adhered to an exclusively practical point of view.

Cypriot Xomeric became the largest shareholder of Burger King in Russia, buying almost 17% of the shares from VTB. Founder of Xomeric - a fund associated with the Ukrainian ICU group of bankers Makar Paseniuk and Konstantin Stetsenko

Photo: Nicolas Maeterlinck / Zuma / TASS

At the end of February 2018, the ownership structure of the parent company for the Burger King network in Russia, Burger King Russia (Cyprus) Ltd, changed, according to the materials of the Cypriot register of companies. Xomeric Holdings Ltd, registered in Cyprus, became the owner of 16.62% of the Russian business. As a result of the transaction, the share of Xomeric increased from 18.4% to 35.02%, and now it is the largest shareholder of the company.

The seller of this package was the VTB structure - registered on the island of Guernsey (located in the English Channel, is a possession of the British crown, but is not part of the UK) Golden Star Investment Limited (belonging to the group follows from the latest list of affiliates of the state bank). VTB announced the forthcoming deal in its last published report in February. “Last year, we reached an agreement in principle to sell 16.62% of the shares [of the parent company of the Russian chain Burger King],” a bank representative explained two weeks ago. “This transaction has not been closed up to now, but we plan to complete it in the near future.”

The press service of VTB confirmed the "partial sale of a stake in the company." “Under the current agreements, the pre-emptive right to buy back shares is granted to current shareholders,” RBC’s interlocutor specified. — We sold part of our stake in Burger King upon reaching our target IRR (internal rate of return). — RBC) at 40% per annum”.

After the deal with Xomeric, VTB owns 19.98% of Burger King Russia. The shares of other shareholders - the structures of the American Restaurant Brands International (the owner of the Burger King brand), as well as Gladerom Investment Ltd, which is associated with the main owner of the Shokoladnitsa and Coffee House coffee shops Alexander Kolobov - remained unchanged, 15 and 30% respectively.

When asked by RBC whether VTB plans to further reduce its stake in Burger King Russia, the financial group only noted that “acting as a financial investor in the Private Equity segment, we always have clear expectations in advance on the price parameters for exiting an asset.” “When they are reached, we will consider the relevant proposals,” said a VTB representative.

Pancakes and burgers

Burger King Russia was established in 2012 as a joint venture between VTB Capital and Burger Rus LLC. The latter belonged to Alexander Kolobov, co-owner of the Shokoladnitsa chain, and at the time of the transaction was the largest Burger King franchisee. The State Bank, as the Vedomosti newspaper reported, promised to invest $100 million in the project over three years and received almost 50% for this. The share of co-owners of the Shokoladnitsa chain, headed by Kolobov, has never been officially disclosed. Now the businessman, together with a representative of VTB, are directors at Burger King Russia.

Alexander Kolobov declined to comment on the latest changes in the ownership structure of the Russian Burger King.

The book value of the package sold by VTB, as indicated in its statements, is 4.6 billion rubles. Thus, the book value of the entire Russian business of Burger King, according to VTB, is almost 27.7 billion rubles. But, as the representative of VTB clarified, the last transaction for the sale of the stake was based on a different assessment of the business (which the parties do not disclose).

According to a VTB representative, at the time of the transaction, in 2012, Burger King operated 38 restaurants in Moscow and St. Petersburg, today - more than 550 restaurants in all regions of Russia and three CIS countries. “Almost 90% of the products in Burger King restaurants are Russian-made,” emphasizes a representative of the financial group. The network's revenue in 2017 increased by 35%, to RUB 29.1 billion, while net profit increased ninefold, to RUB 900 million.

Ukrainian bankers

For the first time among the shareholders of eateries Xomeric Holdings Ltd appeared in 2014, follows from the data of the Cypriot registry. As the bank then reported, it sold 12.2% of the parent company to an unnamed "financial investor" for $ 25 million (about 965 million rubles at the average exchange rate of the Central Bank for that year).​

The new largest shareholder of Burger King in Russia is associated with the Ukrainian investment company ICU, follows from ICU licensing documents and materials on its official website. The founder of Xomeric Holdings Ltd is CIS Opportunities Fund SPC Ltd, registered in the British Virgin Islands. The license to manage funds in the interests of CIS Opportunities Fund SPC Ltd is held by ICU Investment Management Ltd registered on the same islands. The license is issued by the Financial Services Commission of the British Virgin Islands, the document is published on the website of the ICU itself. It also contains information about the CIS Opportunities Fund among the transfers of funds included in the structure of the group.

A representative of the ICU group declined to comment on RBC's connection between the fund, which is part of its structure, and the Russian Burger King eateries. VTB also declined to comment on the structure of the "other shareholder" - Xomeric Holdings Ltd.

The main owners of the parent ICU Holdings Limited, as follows from the materials of the Ukrainian bank Avangard owned by the investment group, are Makar Paseniuk and Konstantin Stetsenko.

Paseniuk's structures previously participated in the process of pre-sale preparation of the Roshen confectionery factory owned by the family of Ukrainian President Petro Poroshenko. The businessman reported this in an interview with Interfax-Ukraine in February. “The only contract that ICU fulfilled for the president [Poroshenko] was a joint project with Rothschild for the sale of Roshen, which ended for us in April 2016 after the asset was transferred to a blind trust,” Paseniuk specified.

Now, as Paseniuk said in an interview, ICU manages assets worth $500 million.

With the participation of: Irina Parfentieva