|
|
Q1) For which year are franchisee preparing themselves?
The franchisee will be trained to start operations for the year 2008. For schools academic year 2008-09.
Q2) What is the term of the franchisee contract?
The term of the contract is for 3 years and after that their will be revision of commercial considerations, though the changes/ modifications to the contract would be decided after mutual discussion with the franchisee.
Q3) How do you define my area of operation?
The territory of operation is decided based on following factors:
• Geographical area.
• Market segments available.
• Economic index of the population in the territory.
• Business Potential.
• Sustainable long term growth availability for a territory.
Q4) What if I want to leave the contract in between?
The term of the contract is for 3 years. If the franchisee wants to terminate the association in between, it has to give a prior notice of 6 months, in writing and duly signed by the franchise owner, to the company.
The business developed, clients, enquiries, associations, vendors and all aspects of business deemed necessary for company's sustainability in the territory will automatically become the property of the company.
The franchisee and its employees will be bound by the 'No-competition clause' part of the franchise agreement.
The franchisee will have to give up any claims on the business/ brand/ research/ products/ services developed by the company for the franchisee or developed by the franchisee and used under company's brand during its operations as franchisee of the company.
No-refund of any franchise fee paid at the beginning or investment made by the franchisee during the operations as franchisee will be made by the company. Any dues, as finalized after mutual consultation with the franchisee, payable by the franchisee towards the company have to be paid within the stipulated date of disassociation b/w the two parties. Barring which penalties will be levied in accordance with the agreement terms.
Q5) What happens if the business is not profitable as expected?
The business projections made by the company and communicated hitherto to the franchisee are based on minimum business potential markings for a territory. The targets hence decided and communicated to the franchisee are the minimum targets for a territory and are expected to be met by the franchisee. Though the company fully believes in nurturing its franchisees and full support will be extended to the franchisee to turn around the business. A thorough review of the business operations and business development initiatives of the franchisee will be undertaken with the franchisee to iron out any vagaries and expertise will be extended to the franchisee in running the business profitably and to its maximum potential.
Q6) Can I own more territories and how?
Yes, it is possible to set up more than one centre. Every year the company will undertake a business review of the franchisee based on a 360 degree approach. All performing franchise partners on request will be extended the opportunity to own more territories.
Q7) How is the cost of the products decided and how much say do I have? |
|
|
|
The pricing of each program has been finalized after testing the market. Though franchisee feedback may be incorporated in pricing, after careful analysis. The franchisee can suggest his/ her price list that can be then deliberated on. For customized programs pricing would be decided in consultation with the franchisee.
Q8) How can I get more services and products to market in my territory and on what conditions?
The franchisee can choose from our bouquet of services and apply for different programs for his territory. The terms and conditions for the new programs will be decided at that time based on various factors. Business Unit's performance is a key factor is deciding the launch of new programs and services in a territory.
Q9) What will be my ideal rate of return on investment?
Profitability will depend on the investment made, the revenues earned and the expenses incurred. It really depends on how effectively you can manage your business.
Q10) How do I prepare the infrastructure?
Once the sign up process is over, you will be provided with a “Project Implementation Manual.” This manual will assist you with complete details of the infrastructure setup.
Q11) What qualities does SPACE seek in a Business Partner?
We have been always in search of people who have an ambition to be entrepreneurs. Other than this, they should have a strong desire to influence the lives of thousands of children providing them the best in quality education and science popularization. Also, they have to fulfill the following criteria:
• Hold a graduation degree.
• Have the ability to invest full time in the venture.
• Should share the vision
• An ability to meet our financial and operative requirements
• An ability to motivate and train people |
|
|
|
Q12) What is the amount of financial investment needed to establish a franchise centre?
A5. The Minimum initial investment for the project varies from Rs. 12 lakhs to Rs. 15 lakhs and can go up to Rs. 30 lakhs. The investment varies with various factors such as the location, centre capacity, programs extended through the franchisee.
Q13) How many partners I can have for my territory?
It is recommended by SPACE that you do not have more than three partners for the venture.
Q14) Does SPACE offer any financing arrangements?
No, SPACE doesn't offer any financing arrangements. The applicant has to arrange for all the finances.
Q15) How long will it take to complete business partner selection process?
Once the application is received from the potential applicant, it takes 4-8 weeks more for the Business Partner selection process.
Q16) What happens after I submit the application form?
After you submit your form, a mail will be sent to you which will act as a confirmation to the receipt of your application. Soon you will be contacted by our Development Team officials for further details.
Q17) After how many years will my license need to be renewed?
The initial validity for the license with SPACE is for three years. The license will be renewed after the end of third year depending on the terms and conditions prevailing at that point of time. |
|
|
| |
Q18) What is the minimum manpower requirement to start a franchise?
The manpower requirement varies and is based on territory capacity and location.
Initially, however, you will need the following:
• 1 City Head.
• 2 Faculty members.
• 1 Business executive.
• 1 Faculty Assistant.
• 1 Admin executive.
• 1 Accountant.
Q19) What will be the process for recruiting manpower for my territory?
A12. The profile of the manpower will need to be drawn up by the Business Partner/ City head, though support will be extended in best practices by the development team. The final approval will have to come from SPACE.
Q20) What is the process for selecting a site for the observation purposes?
Initially Business Partner has to enumerate a list of possible site locations for the above purpose. In latter stages SPACE will single out the best of all the locations suggested.
Q21) What are the ongoing supports SPACE provides to its Business Partner for running the business?
SPACE provides ongoing support to Business Partner in the area of Sales, Marketing, Education Delivery, Business operations, Outreach programs of S.P.A.C.E. & Centre Management through reporting systems & regular support visits by SPACE officials.
Q22) Do I have to become the territory centre for S.P.A.C.E. and why?
It is a mandatory requirement for the franchise to become the territory centre for S.P.A.C.E. and its philanthropic programmes. It is in accordance with the CSR mandate of the company. Also, these programs connect the potential market to the franchisee and hence are beneficial for business growth. |
|
| |
|
|
|
|
