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Treats International

Micro-bakery concept, featuring gourmet and specialty coffees and fresh-baked, on-site baked goods, including muffins, cookies and bagels. Three concept variations are available: TREATS BAKERY (~400 SF) serves the base menu offering; TREATS CAFE (~1,200 SF) also serves sandwiches (baguettes), soups and salads; TREATS COFFEE EMPORIUM (~1,200 SF) also offers coffee beans, coffee-related merchandise and sandwiches.

Franchisor Background

Year Established:

1977

Franchising Since:

1979

Operating Units:
Franchised Units:	89	96.7%
Company-Owned Units:	3	3.3%
	______	_____
Total Operating Units:	92	100%

Geographic Distribution:
U.S.:	5	5%	In 3 States
Canada:	95	95%	In 9 Canadian Provinces
International:	0	0%	In 0 Foreign Countries
	______	_____
Total:	100	100%

North America:
States/Provinces with the largest number of operating units:
Density	Units
1. Ontario	70
2. Quebec	20
3. Alberta	10

Registered in Following Registration States:

California, Florida, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, Oregon, Rhode Island, Virginia, Washington, Wisconsin, District Of Columbia, Alberta

Financial Requirements

Investment:
Minimum Net Worth:	$200K
Cash Investment:	$40-50K
Total Investment:	$100-250K
Average Total Investment:	$175K

Fees:
Initial Franchise Fee:	$25K
Average Franchise Fee:	$25K
On-Going Royalty:	7%
Average Royalty:	7%
Advertising Fee:	1%

Average Number of Employees:

3 Full-time, 2 Part-time

Space Needs (in square footage):

500-1,500

Preferred Sites:

Storefront, Strip Center, Regional Mall

Other Sites:

Encourage Conversions?

Yes

Earnings Claims Provided?

Listed in the SBA Registry?

Support and Training

International Franchise Association:	No
Canadian Franchise Association:	No
Franchisee Association/Member:	No
Size of Corporate Staff:	15
Site Selection Assistance?	Yes
Lease Negotiation Assistance?	Yes
Financial Assistance?	No

Marketing Support:
Co-Op Advertising:	No
National Advertising:	No
Regional Advertising:	No
Local Advertising:	No
Marketing Materials:	None Specified
Additional Services:	None Specified
Other Marketing Support:	None Specified

On-Going Support:
Central Data Processing:	Not Applicable
Central Purchasing:	Included in Fees
Field Operation Evaluation:	Included in Fees
Field Training:	Included in Fees
Initial Store Opening:	Included in Fees
Inventory Control:	Not Applicable
Franchisee Newsletter:	Included in Fees
Regional or National Meetings:	Included in Fees
800 Telephone Hotline:	Included in Fees

Training:
1. Training Center	2 Weeks
2. On-Site

Franchisee Qualifications

Ranked from 1 (unimportant) to 5 (important):

Financial Net Worth:	3
General Business Experience:	3
Specific Industry Experience:	3
Formal Education:	2
Psychological Profile:	3
Personal Interview(s):	5

Minority Representation

Units Owned by Minorities:
African-American:	N/A
Asian-American:	N/A
Hispanic:	N/A
Native American:	N/A
Other:	N/A
Specific Minority:	N/A

Terms of Contract

Term of Initial Contract:	Lease Year(s)
Term of Renewal Period:	Year(s)
Passive Ownership:	Allowed, But Discouraged
Area Development Agreements?	Yes, for 1 Year(s)
Sub-Franchising Contracts?	Yes
Franchisees Allowed to Expand Within Territory?	Yes

Expansion Plans

Projected New Units Over Next 12 months:

U.S.:	Yes, East Coast
Canada:	Yes, All Canada
Overseas:	Yes, Chile, Brazil, Middle East

Franchisor Background

Year Established:

Franchising Since:

Operating Units:

Geographic Distribution:

North America: