INITIAL REQUIREMENTS

• Financial Requirements & Start-Up Costs
As of 2019, the initial investment varied from just above $1300,000 to 2,000,000 USD for three studios + a liquid cash requirement ≥ $350,000 for initial operating expenses.

• Location: ability to find a location suitable to franchisor business model compliant to local regulations and licensing requirements

• Significant Business Experience: Individuals who have demonstrated successful ownership or management of multiple business units or have managed multiple departments

• Business Plan: The ability to develop and execute a business plan

• Manage Finances Well: Ability to manage finances including a thorough understanding of business financial statements

• Good Management Skills: Commitment to personally manage the day-to-day operations of the restaurant business.

• Training: Willingness to complete an extensive, comprehensive, training program, to become proficient in all aspects of operating a CulianryON Franchising

• Exceptional Customer Experience: The capability to effectively manage an organization that recruits, trains, and motivates employees who deliver exceptional customer experience.

• Good Credit History: You must have an acceptable credit history

SUBSIDIARY MANAGEMENT

• Initial Construction and business set-up
Lead the construction process and initial business set up according to the standards set by the franchisor

• Local management
The franchisee manages the local subsidiary independently and punctually reports operating results and eventual difficulties to the franchisor

• Finance
- Manage local subsidiary cash-flow
- Pay franchising dues
- IT licensing fees (e.g. CRM system)

• Sales management
- Build a strong customer base
- Manage active sales team
- CRM system management

• Marketing & PR
- Manage local marketing and PR
- Protect and develop franchised brand in the territory

• Operations Management
- Manage local operations in compliance with operating standards, including event management team, F&B department, cleaning, etc

• HR management
- Ensure a committed, capable and well trained team
- Ensure high employee satisfaction
- Ensure efficient staffing according to standards

• Legal Compliance
- Compliance to Franchising contract agreement
- Compliance to local laws and regulations

ONGOING FEES
During the term of the franchise, the franchisee pays the franchisor the following fees:

• Service Fee:
- A quarterly fee based on the business sales performance (a service fee of 5.0% of monthly sales)

ROLES & RESPONSIBILITIES

• Partner selection
Select qualified franchisees who understand the franchise's concept and have the capabilities and commitment to operate the system according to the established standards.

• Legal rights
- Guarantee to the franchisees geographical exclusivity and usage rights for Franchisor's brand & trademarks

• Business advisory and support role
- support the franchisee with business advisory services including all aspects of business

• Construction
- Layout definition & standards
- Construction & materials guidelines

• Operations
- Operating standards
- Quality audits
- Guest satisfaction tracking system
- Operating benchmarks across locations
- Business process management software (BPM)

• Sales
- Proprietary CRM system
- Sales techniques and training system
- Blueprints for commercial offers
- Cross-location benchmarks

• Commercial controlling
- Centralised commercial controlling
- KPI definition and tracking
- Cross-location benchmarking

• Experiences / event formats
- Provide a differentiated range of experiences including
> 1. Culinaryon: Cooking events
> 2. PaintON: Art parties
> 3. WineON Las Vegas: WineOn Casino
> 4. ShakeON: cocktail masterclasses
> 5. QuizOn: Intellectual games
> 6. KidsON: Parties for kids

Marketing
• Product development & innovation
• Digital marketing support
• Social media marketing support
• Best practice sharing among markets
• Blueprints for sales & commercial materials
• Brand books and marketing guidelines
• Assistance in developing local commercial strategy
• Web site infrastructure
• Brand reputation management

• Kitchen and Bar
- Recipies and menus
- Training for executive chef
- Operating standards
- Quality and safety audits
- Food cost benchmarking

• HR management
- Job descriptions & organisational charts
- Staffing standards
- Employee happiness tracking
- 360 degree employees performance assessment
- Standards for Employee KPI and performance appraisals

• IT Management
- Access and training for business process management and CRM system (Creatio)
- CRM system training

• Partners
- Support franchisee during the negotiation with eventual partners (Kitchen manufactures, Alcohol producers / distributors, Food suppliers)