Franchising

Kelly's Roast Beef franchising beyond Boston borders

Photo: Kelly's Roast Beef via Instagram

October 20, 2020

QSR and Boston-area fast food staple, Kelly's Roast Beef, is opening up to franchising outside Greater Boston and into Providence, Rhode Island and throughout the Northeast U.S., a news release said.

Kelly's Roast Beef Franchising CEO Neil Newcomb will spearhead the franchising initiative, the brand said. Newcomb's family founded the McAlister's Deli chain, which is where he began his franchise career, followed by a stint as head of franchising for Brixx Wood Fired Pizza until 2019.

"Even though the pandemic has slowed things down, we have received incredible interest in Providence and we believe that, with the right franchise partners, we could open three new locations in the area," Newcomb said in the release. "We believe that there is a lot of opportunity to expand throughout New England and Providence is a great place to start."

The 69-year-old concept began franchising earlier this year and now has five Boston-area locations, which the company said now sell 1 million sandwiches annually.

Including a franchise fee of $40,000, the total initial investment to open a Kelly's franchise runs from between $900,000 and $1.7 million, the company said. For the first 10 franchise agreements signed, the first year's royalty will be 3%, followed by 4% the second year and 5% for the remainder of the term after that.