Thursday 7 July 2011

SAGAR RATNA

WE PROVIDE FOLLOWING BENEFITS TO OUR FRANCHISEES
1. Provide opportunity to become part of our large and well established time tested business.
2. Business risks are minimised.
3. Advantage of goodwill of our business.
4. Availing readymade technology and operating system thereby saving on the need to develop one's own technology, systems and procedures.
5. Training in conduct of business as well as of manpower and continuous training support provided by us.
6. Research and development support of our organisation.
7. Reduced cost of business due to economy of scales.
8. Our business support helps on procuring easy finance.
CHECK OUT THE FOLLOWINGS:

FRANCHISE POLICY IN INDIA
FRANCHISE POLICY OUTSIDE INDIA
BECOME A FRANCHISEE








• FRANCHISE POLICY IN INDIA
1.

GROUP BACKGROUND

A modest effort that started in 1986 spiraled to a revolutionary style growth in culinary delights. Sagar Ratna restaurants have made a place for themselves due to popular demand of a “branded” quality and menu. The reputation carries the revolutionary vision and drive of the legendry Jayaram Banan whose touch endorses the Sagar Ratna quality.

Sagar Ratna the flagship outlet at Defence Colony in the capital of India started with a 40 seat south Indian restaurant with the simple philosophy based on honesty. Today the ever-growing demand has translated into 25 outlets in and around Delhi and 22 Franchisee outlets in India and 1 outlet outside India offering a range of multi cuisine options boast the Jayaram touch.

Having won every laurel, every respectable mention in the world of Gastronomy, the legend proceeded to the finest chain of fine dining restaurants with honourable mentions in the media, newspapers and amongst the highest circles.
2. CODE OF ETHICS
The vision of Sagar Ratna and its success are based on the strong principle that should form the common basis of any future relationship.
1. Honesty and Trust
2. Purity
3. High standards of cleanliness and Hygiene
4. CourteousManagementandpersonnel
5. Authentic South Indian Cuisine served in traditional style
6. Affordable budget for class and mass.
3. BASIC REQUIREMENTS
Space:
Approximately 5000 square feet in popular commercial zone preferably ground floor and ample parking space.
Experience:
Basic knowledge of catering and aptitude for hard work. Transparent business ethics.
Investment:
Largely dependant on city and class but approximately Rs. 52-60 lac.
4. OBLIGATION OF SAGAR RATNA
1. Sagar Ratna will allow the use of its brand name as per usage Manual
2. Give complete know-how for set up of Restaurant
3.
    Provide speciality raw materials on chargeable basis a per rate schedule
5. OBLIGATION OF FRANCHISOR
1. Entire investment of construction,  interiors, air- conditioning, Kitchen, Fixtures, gadgets, equipment, appliances, cutlery, linen in accordance with the specifications stipulated by Sagar Ratna.
2. Procurement of perishables like milk, vegetables, Groceries as per specifications provided.
3. High standards of   cleanliness in kitchen, toilets and restaurant shall be maintained along with pest control as per our schedule.
4. Shall observe and comply with all the rules and regulations of the shops and establishment Act, Entertainment Act and regulations that may be applicable by law from time to time, including obtaining licences as may be required in the state.
5. Manpower/ Management shall be on Franchisee’s roll and all related laws shall be honoured in respect of payment of salaries, EPF, ESI, Bonus, Gratuity,  Compensation &  minimum wages act as may be applicable from time to time. Sagar Ratna will bear no responsibility  on this behalf.
6. Uniform to be provided to staff as per our specification and design manual.
7. Shall personally be liable for the quality and purity of ingredients used for the preparation of Food and in case any adulteration or defect found used in the preparation of the said food, the Franchisee is personally be liable for civil and criminal action under prevention of Food & Adulteration Act 1954.
8. The Franchisee shall nominate one of representative as per the requirement of Food & Adulteration Act 1954 for this purpose
9. The Franchisee shall be responsible for operational expenses for running the business, staffing and maintain adequate manpower.
10. Shall be responsible for collection and timely deposit of sales Tax/other applicable taxes.
11. Shall maintain books of Accounts as per the requirements of Sales Tax/Income tax and other Government bodies.
12. The Franchisee shall provide bank Guarantee for Rs. 5 Lakhs at the time of signing the Franchise agreement.
6. ROYALTY/MONETARY IMPLICATION
An amount of Rs. 10 lacs plus applicable service tax will be paid as reimbursement for staff training expenses at the time of signing the agreement. 15.00% recurring royalty  plus service tax as applicable,  will be payable monthly on total net sales inclusive of outdoor catering, counter packing, home delivery (exclusive of sales tax).
7. GENERAL
1. The duration of Agreement is initially for a period of 10 years renewable for a further period on mutually agreed terms.
2. The name of the restaurant “Sagar” or “Sagar Ratna” is exclusive Property of the Franchisor, and the Franchisee has no Lien on it. On Expiry of/ termination of the Franchise agreement the Franchisee can not use identical names or their likeliness their-of what-so-ever.
3. The Franchisee or their associates are restricted to open on their own any other similar outlets in the same city or other cities in any part of India.
4. The Menu rates decided by the Franchisor  can not altered by franchisee without authorization
5. Sagar Ratna has the right to inspect all books of accounts by its authorized representative.
6. Sagar Ratna has the right to inspect all food items and raw materials through its representatives and point out deficiencies for correction at all times.
7. The Franchisee cannot ever represent as the Franchiser to any Government or other body or individual what so ever for any business promotion or otherwise without written authorization.
8. Any amendment to Franchise agreement has to be in writing with the endorsement of both parties.
9. Any disputes/or differences arising between this agreement shall be settled by arbitration in accordance with the provisions of the Indian Arbitration Act 1940 as amended from time to time.
10. The agreement can be terminated by the Franchiser in the event of any violation of the clauses by issuing one month notice.
8. SITE VISIT
If the Franchisee is satisfied with the above terms & conditions and desires to take up the Franchise, then he shall arrange for the site visit of Franchisor or their authorized representatives for final approval of the site. Before the site visit the Franchisee shall arrange to deposit with Franchisor a Demand Draft for Rs. 30,000.00 drawn in favour of “M/s. Sagar Ratna Hotels Pvt.Ltd.” payable at Delhi towards travelling/Incidental Expenses on site visit. It is optional on part of Franchisor either to approve or disapprove the site depending upon the requirements of the business. In case the site is disapproved for any reason the site visit fee of Rs. 30,000.00 paid is not refundable.

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• FRANCHISE POLICY OUTSIDE INDIA
1. BASIC TERMS & CONDITIONS  OF OVERSEAS FRANCHISE AGREEMENT
1. Provide name which is an exclusive property of the Franchisor.
2. Guide to  set up the restaurant as per their standard
3. Provide skilled manpower and management support
4. Provide speciality raw materials, semi- finished products on chargeable basis.
1. OBLIGATION OF FRANCHISOR
1. Entire investment towards construction of Building, Interiors, Air conditioning, Furniture & Fixtures, Kitchen Gadgets/Equipments, Crockery, Cutlery, Linen etc. in accordance with the specification of the business.
2. Procurement of raw materials, Vegetables, Milk, Groceries as per our quality specifications.
3. Running/operation of restaurant as per the directions/specifications provided by us
4. High Standard of house keeping services including cleaning materials, anti pest operations etc. Also Keep premises clean including kitchen, toilet etc, as per the standard prescribed.
5. Shall observe and comply with all the rules and regulations bye Laws prevailing in the state.
6. Shall be responsible to obtain and keep in force and pay at his cost for all necessary licenses from the state required for the purpose of running the business.
7. The manpower/management personnel provided shall be on Franchisee’s roll and he shall be responsible for payment of salaries to the employees and shall be liable for the implementation of all labour laws and social legislation existing as on date or enacted from time to time. Also Franchisor has no relationship of employer employee either direct or indirect.
8. Shall provide uniform for kitchen and Restaurant staff as per our specification.
9. Shall personally be liable for the quality and purity of ingredients used for the preparation of  Food and  in case any adulteration or defective materials used in the preparation of the said food, the Franchisee is personally be liable for  civil and criminal action under the act prevailing in the state.
10. (a) The Franchisee shall bear all the travelling and transit stay expenses of staff deputed for overseas assignment.

(b) The Franchisee shall reimburse the overseas travelling Expenses, Hotel stay and other travel related expenses of Franchisor and his Authorised representatives as and when called upon to visit the outlet.

(c)The Franchisee shall be responsible for work visit visas for the     staff to be deputed
11. The Franchisee shall be responsible for operational expenses for running the business, staffing etc.
12. Shall keep adequate staff as required for running the business and will bear all the expenses towards wages and remuneration, uniforms, Boarding and lodging, medical expenses etc.
13. Shall be responsible for collection and timely deposit of applicable government taxes.
14. Shall maintain books of Accounts as per the requirements of the Government bodies.
15. All the legal formalities and Government clearances for opening of the restaurant shall be exclusive responsibility of the Franchisee.
3. COMPENSATION TO FRANCHISOR
1. Rs. 25 Lakh towards reimbursement of staff training expenses to be payable at the time of signing of the Franchise Agreement.
2. 15% Commission on total net sales inclusive of outdoor catering, counter packing, Home delivery etc. payable monthly.
5. GENERAL
1. The duration of agreement is initially for a period of 5 years renewable for further period on mutually agreed terms.
2. The name of the restaurant 'Sagar' or 'Sagar Ratna' is exclusive property of the Franchisor, and the Franchisee has no lien on it. On expiry of/termination of the Franchise agreement the Franchisee can not use the name 'Sagar' or any other name identical to it and also restricted to continue the similar business for a further period of 7 years.
3. The Franchis or his associates is restricted to open on his own any other similar outlets in the same city or other cities in any part of the country.
4. The Franchisor is not obliged/bound to give any more Franchise outlets to Franchisee within the same city or outside. However the preference will be given to the Franchisee whenever the next outlet is opened in the same city.
5. The menu rates are decided by the Franchisor in consultation with the Franchisee and Franchisee can not increase or decrease the menu rates on his own.
6. The Franchisor shall be at liberty to check books of Accounts maintained by the Franchisee, and it is obligatory on part of the Franchisee to provide books of Accounts as and when demanded by the Franchisor or his authorised representative.
7. The Franchisor or his authorised representative is at liberty to check the quality of ingredients, raw materials procured by the Franchisee and may point out the deficiency found if any to the Franchisee for corrective measures.
8. The Franchisee on his own can not represent the Franchisor in the manner whatsoever with any Government Bodies, Public Institutions, Corporations for the business promotion etc.
9. Any amendment to Franchise Agreement have to be by the written consent of the both the parties.
10. Any disputes/or different arising between the parties in respect of Franchise agreement the same be settled by arbitration in accordance with the provisions of the Indian arbitration Act 1940 as amended time to time.
11. Franchisor is at liberty to terminate the Franchise agreement if he finds any violations of the clauses by the Franchisee by issuing a month's termination notice.

BARISTA

Barista’s Coffee Franchise: Attorney Violated Ethical Standards

(FranchisePick.Com)  Related story:  People Lie. People Cheat. People Advertise., Want to Franchise Your Business? Do Your Homework First.
The Kearney Hub reports that the “referee” overseeing disciplinary proceedings against Kearney, Nebraska attorney Jeff Orr is blowing the whistle on Orr, and giving him a 15 yard penalty for impersonating a franchise attorney. 
In 2002, Barista’s owners Sickler and Mettenbrink hired Orr to assist them in franchising their 1 1/2 year old coffee shop concept. Orr told Sickler and Mettenbrink that he had franchise legal experience.  His experience, however, was limited to having read a handful of disclosure documents.  He as much as admits that he copied the Quizno’s franchise agreement.
Here are some highlights from the Kearney Hub article:
“…Orr took on the Barista’s case knowing he was not competent to handle the work. “Not only had he never undertaken such a task previously, but also he was warned by an intellectual properties lawyer, whom he respected, that franchise law is ‘pretty specialized,’”
“… Although he knew that certain aspects of franchising were governed by the Federal Trade Commission, he did not adequately prepare himself for the task,” Olson said of Orr.
“Before learning that their disclosure statement did not comply with FTC rules, Barista’s sold 21 franchises between 2003 and 2006. Barista’s Daily Grind currently operates in west Kearney under new ownership.”
“Barista’s closed its two Kearney locations at 4402 Second Ave. and 2400 Central Ave. last summer after Sickler and Mettenbrink defaulted on loan payments and lost ownership of their properties to Kearney State Bank & Trust Co. in a foreclosure.”
“Although the exact nature and extent of the harm suffered by the clients was not addressed in detail, the evidence is clear and convincing that the consequences to the client were serious,” Olson said.
“Waldine Olson, who is acting as referee in Orr’s disciplinary proceedings, has ruled that Orr violated four of 13 ethical standards and provisions listed in the State Bar Association’s Code of Professional Responsibility and Rules of Professional Conduct.

Wednesday 6 July 2011

BURGER KING


As one of the major fast food franchises in the world, Burger King is a company that provides fast food restaurants in every country of the world. With its restaurant available anywhere in the world it makes it easier for investing in a local location for anyone who wants to become a Burger King franchises. It becomes also possible for an investor to invest in a Burger King overseas if the nearby franchises are not performing as a well. Basically with an international background, Burger King offers you, the investor, multiple opportunities to invest in their franchise restaurants.
With several advantages their main reasons why you would want to invest in a Burger King franchise instead of starting your own restaurant. A franchise is a restaurant with a very detailed process that is repeated over and over again so this means except for investing you wouldn't have to worry about the menu, the infrastructure or the process of cooking. It's basically like starting your own restaurant but everything has already been tested for you so all that is left to do is for you to manage the restaurant, satisfy your clients and you'll be rewarded with the profits.
Although it may seem so easy, there is one major barrier to entering the Burger King market and that barrier refers to money. In order for you to invest in a Burger King franchise you need to meet certain requirements and usually the investment required is the requirement that investors cannot meet. With investments starting at $800,000, many investors will rethink that investment because you will need to have a high ROI if you want to cover your investment as soon as possible. Although you do not have to pay the full amount in one payment you still have to consider all other expenses such as employees. You'll need to read the Burger King franchise agreement with the help of a lawyer or consultant.
If you have never started a restaurant, this is why starting with a franchise such as a Burger King franchise becomes useful. Burger King offers a support program for investors who have no idea how to start a franchise. The support programs offer training in fields such as site selection, marketing, restaurant operations and much more. Investing in Burger King franchises not only provides you with your own restaurant but also instructions on how to start it and run it properly so that you can start earning profits as soon as possible.
Investing in the Burger King brand is definitely a safe choice as it almost guarantees a certain ROI if you follow the steps to creating a Burger King franchise without deviating from it. It is also a good opportunity for you to decide if the food business for you and if you should continue investing in more restaurants in the near future. If you are a first-time investor, this will be a great challenge for you but also one of the best learning experience so you can become a better investor and restaurant manager.