Franchise and Initial Fees
franchisor will only enter into
a franchise agreement with potential master
franchisees that have a proven financial
strength to enter into such business venture.
Therefore, the master franchisor
seeks a qualified master franchisee
for the exclusive rights to operate a franchise
in a given country and who has the ambition and
proven financial resources to further sub-franchise
to other potential franchisees.
For each additional
unit (the sub-franchise unit), the master
franchisor shall receive an amount
of € 40'000 from franchisees to cover all
costs related to a site and market study, pre-opening
expenses, management and staff training, and the
issuance of operating and training manuals. This
sum shall be paid to the master franchisor
until the master franchisee
has acquired the above stated ‘know-how’
to consult the individual operations on his/her
own. From that point on the master
franchisee shall receive the €
40’000 from any new franchise units and
will be responsible to aid them in the opening
of their restaurants.
franchisee shall pay the master
franchisor a Lump Sum amount that
shall be determined according to the location
and size of the operation in the respective country.
Simultaneously, this gives the master
franchisee the unlimited rights
to further develop the number of business units.
In return, the master franchisee
shall be entitled to receive 5% of the Gross Sales
from each unit (Gross Sales minus applicable Value
Added Tax - VAT), from which 4% shall be retained
by the master franchisee
and 1% will be handed over to the master