The Process

PROGRAM STRUCTURE & DESIGN

A. Client’s Initial Phone Client Meeting:

The Client’s team and Signature Franchising’ team will discuss via phone conference call the franchise development for Client’s for the purpose of reviewing the company’s history, operations, and goals, as well as identifying Client’s principal franchise strategy. Subsequently, in meetings with individual departments, issues related to developing a customized franchise program will be discussed in detail, and preliminary schedules for completion of work product will be established.

B. Concept Research and Review for Client’s Segment of Franchising:

Signature Franchising’ personnel will examine the basic concept, operational format, and general marketing characteristics of Client’s business. Each will be benchmarked against those of comparable franchisors and businesses in various industries and will be evaluated in terms of their overall effect upon the franchise program. This review will encompass types of products and services offered; types and sizes of locations utilized; total investment for establishing an outlet; and sales and earnings of the corporate entity and franchising concept.

C. Signature Franchising’ Consultant Analysis of Client:

A Signature Franchising’ Consultant will analyze the operations of Client to review its operational characteristics and recommend policies and procedures aimed at retaining or improving those suitable for franchising and altering or eliminating those that are not. The Signature Franchising’ Consultant will also identify operational elements of the business critical to the legal, operations, and marketing aspects of the franchise program, and relay this information to appropriate Signature Franchising’ personnel.

D. Client’s Franchise Structure:

Signature Franchising’ will make recommendations relating to the critical business decisions that become the foundation of the franchise program for Client’s and that are incorporated into the legal, operations, and marketing documents and strategies. These issues include policy formulation, market potential, speed of expansion, the franchise structure best suited to Client’s situation, and current company resources available to meet franchise goals.

  1. Client’s Franchise Owner Profile

The ability to identify specific characteristics of the target franchisee is essential to structuring a franchise program. Qualifications, such as financial resources, previous experience, and business skills, will be addressed, based on the needs of Client and Signature Franchising’ knowledge of the franchise marketplace. Proper education and training as a service person within the wedding industry may be a requirement for ownership of this franchise model.

  1. Type of Franchise Offered

Client’s may offer individual franchises (Single Territory), multi-unit franchises (Larger Area, multiple units), or sub-franchises (Brokerage Structure) – or all three – depending on such factors as unit investment, complexity of operation, cost and nature of support programs, and expansion goals. In addition, Client may offer a start-up franchise or a conversion franchise (to a compatible existing wedding business) or both. Signature Franchising’ will recommend a franchise program designed to meet Client’s needs and to most effectively accomplish the company’s goals.

  1. Determination of Territory for Client’s Franchisees

Based on the nature of the Client’s business, competition and other factors, Signature Franchising’ will suggest whether or not the franchisee needs an exclusive territory and the degree of exclusivity. If it does, Signature Franchising’ will analyze available territorial and demographic data from Client existing business and prioritize appropriate criteria, such as population, competition, income levels, size of the market needed to support a franchise, industrial base, or business base. It is critical that we accurately establish the size and scope of each of the franchisee’s territories.

  1. Franchisee Support Programs

Signature Franchising’ will identify the type and scope of services to be provided to Client franchisees, including initial training, supervisory visits, site selection, and advertising support. In this manner, a comprehensive support program can be planned and the cost of that program anticipated

  1. Internal Staffing

Signature Franchising’ will assess human resource needs for implementing the franchise program and will determine how best to meet the needs, whether by expanding the roles of current employees, or by creating new positions. Signature Franchising’ will also review Client’s organization structure, assess its adaptability to franchising, and recommend changes, if necessary.

E. Franchise Revenue Sources for Client’s Franchise Holdings:

Signature Franchising’ will review Client’s revenue options and recommend appropriate revenue sources that may contribute to the new franchise organization’s income and profits. Among the available revenue sources are the following:

  1. Initial Franchise Fees:

Franchise fees will be determined after weighing various factors, among them the marketability of the franchise at various price levels, competition from other business opportunities available to potential buyers, and the cash flow produced by the business. The recommended initial franchise fee will be structured in light of a number of factors, such as front-end selling expenses, advertising, commissions, training, site and start-up assistance costs, market needs, and other variables.

  1. Royalties:

Royalties will be recommended after a review of Client’s business and in light of the needs of franchisees and current industry practices. They will be based on the need to maintain sufficient corporate cash flow, to support general and administrative costs and franchise services, and to provide ongoing income for the continuing operation of the franchise. They must also be affordable for franchisees while being profitable for the franchise entity. Signature Franchising’ will develop a structure for collection and management of royalty income for the Client Franchise entity.

  1. Advertising Fees:

Local, cooperative, and corporate advertising fees will be recommended after an evaluation of the amounts currently spent for advertising in operating units and the type of advertising needed at the unit level. Corporate advertising fees required of franchisees will be based on the need for finished advertisements in their various forms. Although Client currently uses very little advertising dollars for promoting the business, we will want to establish a program for the franchisees that we can hold them to in their respective markets.

  1. Other Income for Franchisor:

Some franchisors derive income from other sources as well, including the sale of products and services that Client’s may wish to distribute to the franchisees. Signature Franchising’ will assist the Client in determining which sources are appropriate and practical.

F. Client’s Franchise Structure Planning:

Following the Signature Franchising’ Consultant’s analysis, team members assigned to the Client project will review all critical decisions and weigh the impact of these decisions on key aspects of the franchise program. Signature Franchising’ will prepare detailed pro-forma and financial projections, including a five-year cash flow analysis of both individual units and the Client franchisor organization. In addition, Signature Franchising’ will make recommendations relating to the operational, legal, and marketing characteristics of the business that may impact the success of the franchise program for Client.

G. Signature Franchising’ will make recommendations relating the operational and marketing characteristics of the program:

This plan provides key franchise business decisions, assumptions, and financial projections needed to set short and long term goals. Client could use this plan in presentations for financial institutions or for corporate planning.

H. Individual Franchise Agreement:

Signature Franchising will draft and submit to the Client’s attorney for review and approval, a Franchise Agreement defining the contractual relationship between the Client’s corporate entity and the new Client’s franchisees. This Agreement will be developed in conjunction with input received from Signature Franchising’ program analysis and recommendations, and will be based on current industry practice and recent developments in franchise law.

I. Disclosure Document:

Signature Franchising’ will draft and submit to the Client’s attorney, for review and approval, the Disclosure Document required by the Federal Trade Commission and state regulatory agencies. This document will contain required information, arranged in the format stipulated by Franchise Disclosure Document (FDD) guidelines.

J. Franchise Registrations and Filings:

After the Client attorney has approved the final drafts of the Franchise Agreement and Disclosure Document, Signature Franchising’ will prepare the franchise registration applications required by the client’s state regulatory agencies. Applications will be based on information provided to Signature Franchising’ by Client and will be submitted to Client for submission to the state regulatory agency. Included in these applications are materials such as the Uniform Franchise Registration Application, Supplemental Information Form, Salesman Disclosure Form, Uniform Consent to Service of Process, and Corporate Acknowledgment and Certification Page, as well as copies of advertising materials and the Disclosure Document. K. Client’s Manual:

Initial Analysis and Outline: Signature Franchising’ will develop an outline that identifies and describes the topics that should be covered in the comprehensive Client’s Franchise Operations Manuals. Based on discussions at the initial Client meeting and material supplied by Client’s team, this outline will reflect Signature Franchising’ initial understanding of the issues relevant to the franchisee and will be specifically tailored to the franchise concept. The Operations Manual will then be designed and developed to be used specifically for the Client's franchise business.

L. Client's Website:

Signature Franchising web designers have the creative talent to appeal to your sense of style when designing your franchise web presence. The training and knowledge of current web development standards and practices will enhance your ability to turn your Franchise Program into reality!

If you presently have a website, then our web designers will develop additional pages devoted to the Franchising arm your of your business and add/link them to your present website. If you do not have a website, then our Signature Franchising website designers will create a complete Franchising website specifically for your franchise sales.

Domain Name Registration / Website Hosting: If needed, we will immediately secure your desired domain name (pending availability) and include the first year of service. The domain will be registered in your name with your information and you will be the only registrant contact on file.

If you require hosting services, we will provide top quality hosting services. Many of Signature Franchising clients host their websites with us and they have great server uptime, lots of features as well as good customer support.

Franchise Website Analysis: Based on the information you provided when requesting your website, we attempt to determine your needs, what you are expecting from your website, and try to get a feel for your industry and its position in Franchising. This is why it is important for you to be as detailed as possible.

We may have questions for you to help clarify certain issues and we will express those before starting on your project.

Web Home Page: We will provide three possible custom designed home page concepts for your project. In most cases, we will be able to provide these designs to you soon after your URL has been secured.

After you have reviewed the designs and decided which one you would like to use, we will continue to make modifications to the design until the final desired look is achieved. Once the final desired look is realized, we will create the interior page layout, convert the design to HTML, add programming, etc. During this process, you will have the opportunity to review progress.

M. Franchise Brochure: Signature Franchising will have its' professional brochure designers prepare a full color brochure for distribution to Clients potential franchise prospects. The brochure will ready to print in whatever quantities requested by Client. The cost of printing the Brochure will be at the expense of Client and Client may select printer of their choosing. Signature Franchising will print the Brochure for Client, if requested, but the printing cost is not included in the program.

N. One Year General Consulting: For one year, beginning at the time Client’s initiates the development program with Signature Franchising’, members of Signature Franchising’ professional staff assigned to the Client project, will be available on a consulting basis to advise and assist in the implementation of Client’s franchise program and to supply useful information concerning current practices in the industry and in franchising in general. Signature Franchising’ personnel can be consulted, via mail, electronic mail, or telephone. These consultation services may be used to discuss franchise issues, review the Client’s marketing and sales performance, monitor development of the Operations Manual, refine growth objectives, or for any other consulting purpose, provided that these services do not constitute creation or revision of actual work product beyond that specifically described in this Proposal. If Signature Franchising’ attendance is required at meetings elsewhere than at Signature Franchising’ headquarters, the Client will be charged for reimbursable expenses, as specified at the end of this Proposal. Client will have the option of extending the Consulting Program with Signature Franchising after the one year period.

For more information and to speak with a representative call 913 888 1400

Disclaimer: No expenses will be incurred by Signature Franchising’ without the Client’s prior approval. Reimbursable expenses shall be paid as billed. All franchise documents and forms provided by Signature Franchising’ that are required for compliance with state and federal law are prepared based on information provided to Signature Franchising’ by the Client and will be submitted to the Client’s attorney for review and approval. Neither Signature Franchising’ nor its employees can or will act as the client’s attorney. Signature Franchising’ will not be responsible for performing due diligence and will not independently verify representations of fact made by the client to Signature Franchising’ in the preparation of franchise documents and other work products described in this Agreement. Client assumes all liability for any misrepresentations or intentional omissions of fact contained in the franchise documents and agrees to release from all liability and indemnify and hold harmless Signature Franchising’, Inc., as preparer of these documents, from and against any and all claims, losses, damages and liabilities arising either from any misrepresentations or intentional omissions of fact contained in said documents prepared by Signature Franchising’, Inc. or made during or resulting from the sale of any franchises by client.

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