Established in 1970
Under the Pancake house Group owning six food concepts
With over 160 outlets across all brands in the Philippines
The Pancake House brand alone with 80 outlets including 2 in Malaysia
Category: Franchise

History and Development of Business

Pancake House, Inc., a 100% Filipino-owned corporation, is principally engaged in the development, operation and franchising of a casual dining chain of restaurants under the trade name “Pancake House”. The consumer brand name has traditionally been associated with specialty pancakes and waffles and has likewise expanded to offer an array of popular international dishes such as spaghetti, tacos and chicken.

The original Pancake House was established in 1970 by Milagros Basa, Leticia Zamora and Carmen Zaragosa to introduce pancakes and waffles to a predominantly rice-based consuming market. The first Pancake House branch opened that same year in Magallanes alongside the old Magallanes Theater. The restaurant positioned itself to serve the A, B and upper C markets.

In 1974, Sta. Rosa Food Services Corporation and Extrovert Holdings were incorporated to hold ownership of the succeeding Pancake House outlets. It successfully opened its first franchised outlet in Greenhills, San Juan in 1978.

On February 15, 2000, a new investor group led by Mr. Martin P. Lorenzo entered into an Asset Purchase Agreement with SRFSC and Extrovert for the purchase of all the operating assets of the latter. On February 16, pending the final purchase, a new team of management and employees was organized to take over the company-owned outlets operated under the new management. On March 1, 2000, the new investor group incorporated Pancake House, Inc. On March 2, 2000, PHI, as the acquisition vehicle of the investor group, finalized the purchase of the operating assets.

The Pancake House franchising operations aim to establish more outlets in various locaBusiness Opportunitytions nationwide to reinforce its position in the market. The opportunity is open to Franchisees who can commit to the financial resources and the business expertise required by the Company.

PHI actively seeks prospective investors who wish to engage in a restaurant operation under the Pancake House consumer brand. The company employs an in-house group that specifically handles the study and evaluation of identified sites in as much as the location of the restaurant is a key success factor. A market study forms part of the franchise package offered to prospective Franchisees, assisting them in their own evaluation of their investment. The furbishing and turn-key of the proposed outlet runs between a period of 45 to 75 days. All outlets are built according to the specifications developed by Pancake House for all equipment, furniture, fixture, kitchen and dining lay-outs, interior and exterior décor, signage and color schemes. Most of these items are custom built for the Company.

Support is provided to the Franchisee on a continuing basis Management assistance is terms of business planning, hiring, training and marketing support are well provided. The Company engages in food, services and cleanliness audits to ensure that operating systems are executed consistently. To uphold the quality of food and services of each outlet, strict adherence to to the Pancake House standards is required of all Franchisees.

Franchise Scheme

Investment of US$ 195,000 – US$ 210,000 inclusive of franchise fee

8 – 10% continuing license fee

18 – 20% per annum I.R.R.

2 – 3 years payback period

10 years franchise term

Franchise Value System

Reliable commissary supply chain
Continuing marketing and promotions support
In-depth training and development
Restaurant operations expertise

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