We are in the process of growing our international franchise base and outlined below, are some of the basic terms relating to the establishment of a master franchise.
- License Fee.: The license fee is variable depending on the country size and the potential number of outlets proposed over the licence term. This is a "once-up" payment which is very reasonable and covers the transfer of our intellectual property rights, know-how and expertise to the licensee. As a guideline, license fees range from $50,000 for smaller markets to $200,000 for larger, more developed markets.
- Term: Normally 10 years with an option for a further 10 years subject to a reasonable store opening and operational performance criteria.
1st Cookie machine purchase price: A$ 55,000 This price is delivery ex-works Sydney and current lead time to delivery is 4 months (subject to confirmation). At the present time, we have a special offer of $39,500 for the 1st Cookie Machine (subject to availability at the time)
- Dough Mixing: There are a number of ways to source the cookie doughs required for the business. You can 1) purchase a Z arm mixer and, with our assistance and recipes, manufacture on site 2) purchase the cookie dough from Australia at a very favourable price 3) sub contract the manufacture to another party in your region (subject to verification by Cookie Man Australia). We have found that the easiest and most economical way in the initial period is to purchase the dough from Australia, as the quality is guaranteed and you can focus exclusively on the success of the retail operation.
- Royalty: If you purchase the cookie dough from Australia, there is no ongoing royalty. If you decide to manufacture the cookie dough in country, then a 2% royalty on shop sales applies.
- Support: Whilst Cookie Man is a relatively simple operation, there is a lot to learn and we would expect that you would come to Australia for training. We in turn would provide assistance selecting the initial retail site, assist in shop design, provide the necessary operations and product manuals, R&D for local tastes, help with equipment sourcing plus provide initial on site training and assistance with the opening. Further, if you decide to manufacture the cookie doughs in country, you will need assistance with raw material sourcing, mixing, baking and frozen logistics.
Apart from what we term "fresh-baked" cookies and biscuits (made from the refrigerated or frozen doughs), we also sell chocolate coated cookie lines, hand decorated cookie lines, exclusive Cookie Man gift lines, American Style Cookies (big and chunky), savoury items such as toasties, piadines, pies and a large range of beverages including espresso coffee, tea, frappes, chillers & cold drinks.
Finally, the cost of commissioning the first shop is to your expense. This means that you will have to bear the airfare, accommodation (to airline standard), meals etc. for one of our technicians / business development managers.
We look forward to your inquiry.