International investment team

• Luis Bonilla• Alicia Gonzales • Daniellla Gnecco• Marialejandra Serrano

Why franchising is a good idea?

Benefits of franchising:- Minimization of financial risk- Avoids error period when going into new

business (experience, knowledge from mistakes)

- Motivation ( capital at risk)- Corporate image- training

Target market

BACKGROUND

• Couple of university students.• A small rustic French crêperie.• High prices Low prices.• Variety of Products• Other countries.• Social Responsibility.

FRANCHISES IN JOHANNESBURG• FASA• International Franchising Fair• South Africa’s Top 10 Franchises:- KFC USA- McDonalds USA- SPAR The Netherlands- Steers South Africa- Wimpy United Kingdom- Debonairs South Africa- Kumon Japan- Mug and Bean South Africa- Keg Portuguese- South Africa- Nando’s South Africa

The Nature of the Business:

• Is a chain of restaurants that

opened in 1980 in Bogota,

Colombia.

• Successful company in the

gastronomic sector in our

country.

• There are 52 restaurants

located in the country and 14

franchise.

The Financial Requirements

• The price of complete franchise :167.000US dollars.

Franchise Fee.This fee is established for being

allowed to be :• Part of the enterprise. • Use the name and credit of the

business.

Advantages

• Brand recognition.

• Acquisition of new customers.

• Reasonable prices to the

public.

• The initial fee for a transfer is

lower than a new restaurant.

• Trained employees.

Disadvantages

• Just because a franchise is

well-known does not mean

that it will be successful in all

the cases.

• Reduce in corporate profit

• Follow the instructions set by

Franchisor.

south africa

Major cities

City Population

(millions)

Johannesburg 3.607

Cape Town 3.353

Ekurhuleni 3.144

Durban 2.837

Pretoria 1.404

Why Johannesburg?

• Major city of South Africa• Capital province of Gauteng• City host of the International Franchising Fair• English is the predominant language37%

17%

16%

6%

24%

Languages

EnglishZuluAfrikaansSothoOther

Location of the franchise

Sandton city shopping center

CONCLUSION AND RECOMMENDATIONS