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Frequently Asked Question
1 What is franchising?
 
Franchising is a relationship between two companies in which the first company provides a license to second company/Individual to do business under the brand name of first company, in return the first company will charge a royalty fees from the second company in lieu of providing the assistance in organizing, training, establishing and A to Z management of the business.
   
2 Why I should take a Franchisee and not open my own outlet?
 

The following are the benefits of taking a franchisee

No.

Type and class Of Benefit

Franchisee

Own

01

Established Brand Names/ Goodwill

Yes

No

02

A tested and High quality menu

Yes

No

03

Quality Operations System

Yes

No

04

Comprehensive Training Support

Yes

No

05

Purchasing and Distribution guidelines

Yes

No

06

Research & Development facility

Yes

No

07

Effective Advertising and Marketing Plans

Yes

No

08

Account & Control System

Yes

No

09

Corporate Identity System

Yes

No

10

Technical Support

Yes

No

11

Site Selection Assistance

Yes

No

12

Renovation Advisory Services

Yes

No

13

Established proven cost cutting system

Yes

No

14

BREWERS THE COFFEE BAR Equipments

Yes

No

15

Exclusive Know How of the business

Yes

No

16

Complete BREWERS THE COFFEE BAR Manuals

Yes

No

17

Launching Assistance

Yes

No

18

Investment Saving

Yes

No

19

Time Saving

Yes

No

20

On-going Operational and Management Support

Yes

No

21

Standard recipes of products with unique taste

Yes

No

22

Training by highly qualified professionals

Yes

No

23

Time commitment at outlet

zero

full

24

Lost sale tension and analysis

zero

full

25

On-going information about new trends in f & B industry

yes

no

 

3 Do I have to work in my outlet?
 
The professionally hired asst Manager/manager will run the show. You or any of your representatives will just have to manage the financial aspects of the outlet. Your time commitment on the outlet is zero as A to Z operation of the outlet shall be controlled by the Company except financial control.
   
4 Can I have a business partner if I don't meet the financial requirements on my own?
  A franchisee applicant may have a business partner but with written information to the Company.
   
5 How much does it cost to become a Brewers™ The Coffee bar franchisee?
 
The cost depends largely on the module of the franchise. A Brewers™ The Coffee bar outlet can be started with an investment of as low as Rs. 6 lakhs and can go up to Rs. 13.8 Lakhs inclusive Franchisee Fee and Refundable security amount
   
6 Are there any fixed vendors for equipments, civil works etc.?
 
The vendors for the equipments and Machinery are fixed and all critical equipments like Coffee Machine , Beans grinders shall be purchased by the Company and the payments are made by the franchisee to the company for such equipments, as far as the civil work is considered the vendor can be decided at the time of start of work. But if the vendor is fixed by franchisee the entire civil work has to be done in coordination with our team and as per the design supplied by the Company.
   
7 Are there any other expenses I should be prepared for, which are not evident in the beginning?
 
You must be prepared to manage the finances for an initial period of 3 to 4 months or until your outlet breaks even on an operational level.
   
8 How much credit is given to location while opening an outlet? Do you help the franchisee in selecting the location?
 
A big credit goes to the location when we decide any outlet. We are equally dedicated for the investor who is going to run the business. We cannot compromise the business while choosing the specific geographical area. The boundaries are clearly defined. And moreover, we consider our franchisee as our business partners.
   
9 What are the franchise fees, royalties and security deposit?
 
The term of the franchise agreement is Ten years from the date of agreement (Renewable every Five years). The franchise fee (non-refundable) is 3 Lacs The refundable security amount is Rs. One lac. Royalty fees will be 6+2% of the Net sales which is payable on monthly basis to be paid on every 5th of the calendar month. (franchisee fee is charged for providing rights to use the brand name, expertise to run business, lodging & boarding expenses of the Company’s team, Interior design, Training expenses & the support mentioned in point no. 11 below)
10 What kind of support does Brewers™ The Coffee bar provide to the franchisee?
 

Provide rights to use the Brand name " BREWERS THE COFFEE BAR"
Location analysis and feasibility report.
Professional training for the staff for:-.

1 Hygine and sanitization
2 Salesmanship, services & executing orders.
3 Telemarketing, Etiquette & yesmanship
4 Food handling, shelf life, display and presentation techniques Etc.
5 Preparation of all products.
6 Preservation Techniques.

Provide Stationery items like letter heads, visiting cards Etc. free of cost
Provide Staff Uniform and Caps free of cost.
Designing of main signage, Menu and posters, printing cost is to be borne by Franchisee
Periodical updates regarding menu and upcoming trends.
Café designing and interiors.
System implementaion of the café.
Comprehensive assistance from pre opening to Café operation stablisation.
Cross Promotion Schemes designed as per the city and location.
Price fixing as per the location.
Periodical price change after analysis of periodical data
Proactive approach and event management for sales promotion.
Regular updates of the software due to changes in Govt. policy.
Preparation & training about the cost cutting plan after the data analysis.
Pre opening process
Provide Interior design.
Pre-opening Program including PERT Chart
Training
Corporate Standards
• Maintain corporate standards at all times
• Audit schedule Planning and implementation
• Annual operational reviews
Research and development

   
11 Is there any pre conditions to becoming a Brewers™ The Coffee bar franchisee?
 
You should have a clear understanding of Franchising Concept You should be financially stable and have the potential of taking business related calculated risks

You should have Confidence in you and zeal to make the outlet profitable by joining hands with Brewers™ The Coffee bar
   
12 What are the local permissions and licenses required for running the outlets?
 
Health and hygiene license, Shop & Establishment, PPL and police permission are the pre requisites. Company shall provide all the help in getting these permissions.
   
13 What will be the expected return on my investment if I become a Brewers™ The Coffee bar Franchisee ?
 

The ROI depends upon the module of franchisee and the sales revenue being generated from the same. You may request a separate projected Profit & Loss statement from Brewers™ The Coffee bar specially for your outlet.

As a standard average estimate for a owned outlet for a per month sale of
Rs. 1 Lac the net profit is 21000/-
Rs. 2 Lac the net profit is 82000/-
Rs. 3 Lac the net profit is 142000/-

   
14 When do you think I could break even?
  You can break even on an operational level within 2 to 4 months only.
   
15 Do I have to sign a contract to become a franchisee?
 
Yes both parties (Brewers™ The Coffee bar and the franchisee) have to sign the contract that guides the relationship and can be upheld in the court of law.
   
16 Do I get exclusivity in a particular location where I open my outlet?
 
Well, opening a new outlet does demarcate the territory in that area, which is available to the outlet for soliciting business. However exclusivity is not provided to individual outlets. But Brewers™ The Coffee bar makes it sure that the sales of the existing outlet do not get affected.
   
17 What will be the role of Brewers™ The Coffee bar in supply chain management and logistics?
 
We have a strong management and qualified people in our organization to support the entire supply chain and logistics. A supplier means not only a company who supplies to you; it means a channel that supports your business in terms of foods, equipments, transport, etc. before we start any outlet, we ensure that the supplier is able to fulfill the requirements & that too economically.
   
18 How will Brewers™ The Coffee bar support me in marketing my outlet at the local level?
 
We will work closely with you to ascertain your marketing requirements and provide continuous support in terms of planning, as well as implementation of marketing activities. Approximately 2% to 4% of the sales is spent on marketing activities from the franchisee’s end, rest all the designing, innovation and other expenses such as web designing, Advertisement on Net etc. on the same are borne by the Brewers™ The Coffee bar .
   
19 Is this 2% to 4% of the sales covers the entire marketing activities?
 
This 2% to 4% of the sales amount is to be utilized at the outlet promotion by way of distribution of menu cards, which will directly effect the sales of the concerned individual outlet. As far as the other marketing and advertising activities such as print media advertisement, audio and visual advertisement are concerned those amount is to be equally divided amongst all the outlets (franchisee and company owned) on actual basis.
   
20 What kind of training will Brewers™ The Coffee bar provide me to run my outlet efficiently?
  You will get start up training covering all aspects of outlet operations
You will get product training for introducing new products.
You will get in-depth software training which is specially designed for outlet.
   
21 Who will take care of my financial aspects?
 
The outlet sale will be deposited in the bank on daily basis in your account OR collected by you personally. All the expenses that are vendor’s payments, utilities bills, staff salaries inclusive of management staff and other indirect expenses will be managed by the manager with your help.& Consent.
 
 
 
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