How did it all start?
Sakae Sushi’s history dates back to 1997 in Singapore. This is a typical Japanese sushi restaurant that began with the conveyor belt or Kaiten concept. It operates under Apex-Pal International Ltd in Singapore, offering affordable and quality food for its customers. Since then, Sakae Sushi has grown its network of outlets from Singapore to other countries in the region.
How big is Sake Sushi?
Since its launch, Sake Sushi has been expanding very well. To date, Sake Sushi has more than 70 outlets operating across the region. In Malaysia, there are more than 10 branches in operation including 2 in East Malaysia.
What does Sake Sushi sell?
As the name implies, Sakae Sushi’s main offering is sushi and salami dishes. Its trademark conveyor belt dining style makes it a popular choice among its customers. In every branch, you will find more than 200 different items on their menu.
What should I know about running a Sakae Sushi business?
You can own and operate your own Sakae Sushi outlet by being a franchisee of the brand.
- Brand Reputation – Sakae Sushi has a strong following of brand loyalists. However, it faces stiff competition from home-grown brands such as Sushi King.
- Initial Capital – USD500,000 – USD700,000
- Franchise Fee – About USD100,000
- Royalty Fee – 5% to 8%
- Advertising Fee – 4% to 6%
- Return on Investment – The initial capital is quite high which means you should ideally have funds that can sustain you for at least 2 to 3 years.
- Location – This is a very crucial factor for your business to work. While you depend a lot on your repeating customers, the outlet should be in a highly visible location with high footfall.
- Customer Segment – Younger crowd, shoppers and families
The Final Word
A business like Sakae Sushi has a very specific market segment. While it does not appeal to the mass market like fast food and generic restaurants, you would enjoy business from your regular customers. While Sakae Sushi is a very established brand, the initial capital outlay is on the higher side. Cost management for this business is very crucial where you will need to be able to sustain through the first few years.