What is Greene King’s Hive franchise pub model?

Hive Pubs will be operated by franchisees who have local knowledge and experience of running a pub. Its first site is the Maldon Grey in Sudbury, Suffolk, opened this month after a £200,000 renovation.

GKPP said each of its Hive Pubs will receive investment up to £300k for interior and exterior revamps and said it will “incorporate the best-in-class systems and processes to enable the delivery of a consistent and superior level of service”. 

Annual income

It added franchisees will ideally have some pub experience either from a retailed managed background or running other tenancy or lease pubs. Ingoing costs to the scheme start at £5,000 and the company said the franchisee will receive a guaranteed annual income as a management fee of £20,000 plus a percentage of weekly sales. Bonuses based on business performance and standards audits can be attained too. The responsibility for pub set-up, liability for the property and running costs including stock and supplies, marketing, training and ongoing support, is held by GKPP.

GKPP managing director Wayne Shurvinton said: “We’ve created an exciting partnership where the franchisee can bring their individual know-how of the local community to a branded pub concept and deliver the best local experience. 

“This is a new format where the franchisee gets an invested ready-to-go pub with a lower risk from inception and going forward. It’s a model where we want our franchisees to feel part of something bigger, with the collaborative relationship with our talented team supporting them and backed by the scale of Greene King.”