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Einstein
Bros. Bagels Spotlight |
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From
in-store environments that ooze warmth and eccentricity
to sandwiches stuffed with mind-bageling ingredients,
Einstein Bros promotes the concepts of originality,
craveability, and hospitality.
With its new franchising program, Einstein Bros.
invites you to join a leader in the quick casual
bakery segment that offers craveable cuisine at
breakfast, lunch or anytime. |
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Earnings
Claim Hall of Fame: Relax the Back |
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Source
Book Publications has long argued (with very modest
success) that all franchisors should be required to
submit an earnings claim statement (Item 19) in their
UFOC. Given that submission of an Item 19 is entirely
voluntary, only 20% of franchisors choose to do so.
The reasons for non-submission range from the ludicrous
to vaguely plausible.
To
us, it seems entirely one-sided to ask a prospective
franchisee to invest in excess of $200,000 (on average)
to “buy” a franchise without providing him
or her with a clear understanding what he or she might
earn from the investment. Although there are numerous
variables that preclude franchisors from coming up with
an exact projection of future Net Operating Income,
the franchisors clearly have the ability to determine
the historical sales and related expenses for operating
units currently within their system. At a minimum, they
can work backwards from royalty payments to come up
with a gross sales figure. To the extent that they closely
monitor and support their franchisees, they should have
a good sense of average operating costs as well. Given
this information and the latitude they have to provide
as much detail as they see fit, they can break out summary
operating data for those franchisees or company-owned
units that have been around for say 5 years, 10 years,
etc.
Our
sense is that the FTC will ultimately acknowledge the
need for a mandatory Item 19. Given the difficulty from
industry to industry to provide a workable template
for the submission of information, the FTC will continue
to allow franchisors to provide as much or as little
information as they deem necessary. Those franchisors
that do in fact provide real, in-depth information will
clearly enjoy a competitive advantage over those that
do not. At any rate, those franchisors that go to the
trouble of including an Item 19, even if only cursory,
should be acknowledged and applauded.
As
an on-going feature of future newsletters, World Franchising
will publish an exemplary Item 19 each month. This month,
we honor Relax
the Back for the exceptional detail that they provide
in their Item 19. My guess is that the rapid growth
and success of their system has a great deal to do with
the forthrightness with which they celebrate the success
of their existing franchisees. To view their Item 19,
please click
here.
Those
companies who feel they provide exceptional disclosure
in their Item 19s are free to submit their Item 19 electronically
for consideration in subsequent newsletters.
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Industry
Focus: Coffee |
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Any
member of the working population can appreciate
the necessity for a good, strong cup of coffee.
The fact of the matter is, this social segment includes
the majority of society. For this reason, coffee
franchises are some of the most successful food
and drink related franchises on the market today.
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Source
Book Publications Video Feature |
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Prompted
by the increasing importance of Web 2.0
media and the desire to keep all of us
from becoming too serious, we thought
we would add a monthly feature that highlights
an incredible new on-line video each month.
This
initial video lasts only a minute and
is one of the most poignant we have seen.
To view, click
here.
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Source
Book Publications |
1814
Franklin St., Suite 815, Oakland, CA 94612 |
(510)
839-5471; Fax (510) 839-2104; www.worldfranchising.com |
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In
This Issue |
Einstein
Bros. Spotlight |
Earnings
Claim Hall of Fame |
Industry
Focus |
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Franchise
Spotlight |
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Einstein Bros. Bagels is taking our award-winning
concept into the franchise arena for the
first time. Beginning in the Southeastern
U.S., we are bringing our established
brand and loyal customer base into new
markets with a spiffy new neighborhood
store prototype. Join a leader in the
quick casual bakery segment that offers
craveable cuisine at breakfast, lunch
or anytime. Start today by visiting our
website at www.einsteinbros.com/franchising.
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Meineke
has been offering superior automotive repair
services at discount prices for over 30
years. We are a nationally-recognized brand
with a proven system. Brand recognition,
comprehensive training and on-going technical
and operational support are some of the
benefits enjoyed by Meineke franchisees.
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The HoneyBaked Ham Co. & Cafe is a truly
exciting franchise opportunity with 50 years
of experience building a strong brand. We
are the original (and the world's largest)
specialty retailer of high quality spiral-sliced
glazed hams, turkeys and other special occasion
center-of-the-table products complemented
by a full service cafe.
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PostNet's franchise opportunity offers a
proven method of marketing products and
services, which consumers and businesses
need on a daily basis. The opportunity to
get in on the ground floor of a rapidly
expanding business is a rarity -- PostNet's
domestic and international franchisees have
the opportunity to tap into the world market,
offering personal and business services
including UPS, FedEx, DHL Shipping, B/W
and color copy services, private mail boxes,
fax, printing and much more.
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With 3,700 hotels worldwide, Accor is
the industry leader. With three well-established
brands, Accor has a quality product, proven
operational results and is easy to operate.
Many open markets are available.
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