franchising | entrepreneur roadmap | 7 eleven
DESCRIPTION
7 Eleven presents at the Washington, DC Economic Partnership's (WDCEP) Entrepreneur Roadmap Starting a Franchise seminar (5/14/14).TRANSCRIPT
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CONFIDENTIAL
Copyright © 7-Eleven Inc. 2014. All rights reserved. This information is not an offer to sell a franchise. An offer can only be made in applicable states with authorized documentation. Our Franchise Disclosure Document (FDD) will disclose all the material facts about a 7-Eleven Franchise. 7-Eleven Inc. One Arts Plaza; 1722 Routh Street, Suite 1000; Dallas, Texas 75201.
Seminar
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CONFIDENTIAL
Copyright © 7-Eleven Inc. 2014. All rights reserved. This information is not an offer to sell a franchise. An offer can only be made in applicable states with authorized documentation. Our Franchise Disclosure Document (FDD) will disclose all the material facts about a 7-Eleven Franchise. 7-Eleven Inc. One Arts Plaza; 1722 Routh Street, Suite 1000; Dallas, Texas 75201.
2What We Will Cover
• From the Beginning to the Future• The 7-Eleven Way• Our Retail Information System• 7-Eleven’s Franchise Model• Mutual Responsibility• Benefits of Franchising a 7-Eleven• Closing
2
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CONFIDENTIAL
Copyright © 7-Eleven Inc. 2014. All rights reserved. This information is not an offer to sell a franchise. An offer can only be made in applicable states with authorized documentation. Our Franchise Disclosure Document (FDD) will disclose all the material facts about a 7-Eleven Franchise. 7-Eleven Inc. One Arts Plaza; 1722 Routh Street, Suite 1000; Dallas, Texas 75201.
3Beginning in 1927: The Convenience Concept
“Give the customers what they want, when and where they want it.”
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CONFIDENTIAL
Copyright © 7-Eleven Inc. 2014. All rights reserved. This information is not an offer to sell a franchise. An offer can only be made in applicable states with authorized documentation. Our Franchise Disclosure Document (FDD) will disclose all the material facts about a 7-Eleven Franchise. 7-Eleven Inc. One Arts Plaza; 1722 Routh Street, Suite 1000; Dallas, Texas 75201.
4Around the Corner – Around the Globe
Serving 6 Million Customers Daily (U.S.)
40 Million Worldwide
Total U.S. Revenues $20.5 Billion
Total Worldwide Sales $76.5 Billion
Operating in 16 Countries
52,000 Stores Worldwide – Opening a new store every
2 hours!
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CONFIDENTIAL
Copyright © 7-Eleven Inc. 2014. All rights reserved. This information is not an offer to sell a franchise. An offer can only be made in applicable states with authorized documentation. Our Franchise Disclosure Document (FDD) will disclose all the material facts about a 7-Eleven Franchise. 7-Eleven Inc. One Arts Plaza; 1722 Routh Street, Suite 1000; Dallas, Texas 75201.
5Our Global Brand Strength
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CONFIDENTIAL
Copyright © 7-Eleven Inc. 2014. All rights reserved. This information is not an offer to sell a franchise. An offer can only be made in applicable states with authorized documentation. Our Franchise Disclosure Document (FDD) will disclose all the material facts about a 7-Eleven Franchise. 7-Eleven Inc. One Arts Plaza; 1722 Routh Street, Suite 1000; Dallas, Texas 75201.
6Our Vision
To be the BEST
Retailer of Convenience!
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CONFIDENTIAL
Copyright © 7-Eleven Inc. 2014. All rights reserved. This information is not an offer to sell a franchise. An offer can only be made in applicable states with authorized documentation. Our Franchise Disclosure Document (FDD) will disclose all the material facts about a 7-Eleven Franchise. 7-Eleven Inc. One Arts Plaza; 1722 Routh Street, Suite 1000; Dallas, Texas 75201.
7Our Mission
To Consistently Serve the Changing Needs of Customers for their
Convenience.
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CONFIDENTIAL
Copyright © 7-Eleven Inc. 2014. All rights reserved. This information is not an offer to sell a franchise. An offer can only be made in applicable states with authorized documentation. Our Franchise Disclosure Document (FDD) will disclose all the material facts about a 7-Eleven Franchise. 7-Eleven Inc. One Arts Plaza; 1722 Routh Street, Suite 1000; Dallas, Texas 75201.
8Our Focus
“If we don’t serve the customer,
someone else will.”
Franchisees, Store Managers & Associates (Stores)
Field Consultants
Market Managers & Zone Leaders
Store SupportCenter
CEO
Guest
“To lead you must serve.”
SE
RV
ICE
“These customers are not obligated to
visit our stores.”– Masatoshi Ito
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CONFIDENTIAL
Copyright © 7-Eleven Inc. 2014. All rights reserved. This information is not an offer to sell a franchise. An offer can only be made in applicable states with authorized documentation. Our Franchise Disclosure Document (FDD) will disclose all the material facts about a 7-Eleven Franchise. 7-Eleven Inc. One Arts Plaza; 1722 Routh Street, Suite 1000; Dallas, Texas 75201.
9Our Five Fundamentals
Assortment
Service
Quality
Value
Cleanliness
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CONFIDENTIAL
Copyright © 7-Eleven Inc. 2014. All rights reserved. This information is not an offer to sell a franchise. An offer can only be made in applicable states with authorized documentation. Our Franchise Disclosure Document (FDD) will disclose all the material facts about a 7-Eleven Franchise. 7-Eleven Inc. One Arts Plaza; 1722 Routh Street, Suite 1000; Dallas, Texas 75201.
10Our Fresh Food & Bakery
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CONFIDENTIAL
Copyright © 7-Eleven Inc. 2014. All rights reserved. This information is not an offer to sell a franchise. An offer can only be made in applicable states with authorized documentation. Our Franchise Disclosure Document (FDD) will disclose all the material facts about a 7-Eleven Franchise. 7-Eleven Inc. One Arts Plaza; 1722 Routh Street, Suite 1000; Dallas, Texas 75201.
11Our Grill & Hot Foods
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CONFIDENTIAL
Copyright © 7-Eleven Inc. 2014. All rights reserved. This information is not an offer to sell a franchise. An offer can only be made in applicable states with authorized documentation. Our Franchise Disclosure Document (FDD) will disclose all the material facts about a 7-Eleven Franchise. 7-Eleven Inc. One Arts Plaza; 1722 Routh Street, Suite 1000; Dallas, Texas 75201.
12Our Innovation in Technology
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CONFIDENTIAL
Copyright © 7-Eleven Inc. 2014. All rights reserved. This information is not an offer to sell a franchise. An offer can only be made in applicable states with authorized documentation. Our Franchise Disclosure Document (FDD) will disclose all the material facts about a 7-Eleven Franchise. 7-Eleven Inc. One Arts Plaza; 1722 Routh Street, Suite 1000; Dallas, Texas 75201.
137-Eleven’s Franchise System
Awards & Recognition:• Ranked #3 in Entrepreneur magazine's Franchise 500 list• #2 on Forbes’ Top Franchise for the Money• #1 in Store Growth by Convenience Store News • #2 on All Business Top 25 Franchise Opportunities for 2012 • G.I. Jobs magazine named 7-Eleven on the “Top 100 Military
Friendly Franchises® 2012 list” • Recognized by U.S. Veterans Magazine as one of the Top 100
Veteran-friendly companies• Recognized by Retail Information Systems News (RIS) as an original
retailing pioneer in “10 Retailers That Shook the World Part 2”• #4 among Top 100 Global Franchises by Franchise Direct
Leader in the Franchise Industry for more than 50 years.
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CONFIDENTIAL
Copyright © 7-Eleven Inc. 2014. All rights reserved. This information is not an offer to sell a franchise. An offer can only be made in applicable states with authorized documentation. Our Franchise Disclosure Document (FDD) will disclose all the material facts about a 7-Eleven Franchise. 7-Eleven Inc. One Arts Plaza; 1722 Routh Street, Suite 1000; Dallas, Texas 75201.
14Franchisee’s Investment
• Franchise fee• Down payment on initial inventory and supplies• Initial cash register fund• State & local licenses, permits & bonds• Goodwill (if applicable)
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CONFIDENTIAL
Copyright © 7-Eleven Inc. 2014. All rights reserved. This information is not an offer to sell a franchise. An offer can only be made in applicable states with authorized documentation. Our Franchise Disclosure Document (FDD) will disclose all the material facts about a 7-Eleven Franchise. 7-Eleven Inc. One Arts Plaza; 1722 Routh Street, Suite 1000; Dallas, Texas 75201.
15Our Financial Picture
Your Share of Gross Profit
7-Eleven’s Share of Gross Profit
- Less expenses
= Your Net Income
- Less expenses
= 7-Eleven Net Income
Net Merchandise Sales
Cost of Goods
Total Gross Profit=
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CONFIDENTIAL
Copyright © 7-Eleven Inc. 2014. All rights reserved. This information is not an offer to sell a franchise. An offer can only be made in applicable states with authorized documentation. Our Franchise Disclosure Document (FDD) will disclose all the material facts about a 7-Eleven Franchise. 7-Eleven Inc. One Arts Plaza; 1722 Routh Street, Suite 1000; Dallas, Texas 75201.
167-Eleven Royalty
GP Dollars
$280,000
$350,000
$500,000
$600,000
$700,000
$1,000,000
Annual Sales
$800,000
$1,000,000
$1,428,571
$1,714,286
$2,000,000
$2,857,143
% Margin
35%
35%
35%
35%
35%
35%
7-Eleven Charge
48.5%
49.0%
50.1%
50.9%
51.5%
52.8%
Assumptions
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CONFIDENTIAL
Copyright © 7-Eleven Inc. 2014. All rights reserved. This information is not an offer to sell a franchise. An offer can only be made in applicable states with authorized documentation. Our Franchise Disclosure Document (FDD) will disclose all the material facts about a 7-Eleven Franchise. 7-Eleven Inc. One Arts Plaza; 1722 Routh Street, Suite 1000; Dallas, Texas 75201.
17The Financial Picture (cont’d)
Your Share of Gross Profit
- Less expenses
= Your Net Income
Net Merchandise Sales
Cost of Goods
Total Gross Profit=
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CONFIDENTIAL
Copyright © 7-Eleven Inc. 2014. All rights reserved. This information is not an offer to sell a franchise. An offer can only be made in applicable states with authorized documentation. Our Franchise Disclosure Document (FDD) will disclose all the material facts about a 7-Eleven Franchise. 7-Eleven Inc. One Arts Plaza; 1722 Routh Street, Suite 1000; Dallas, Texas 75201.
18Franchisee’s Responsibilities
• Payroll, Payroll Taxes• Workers Compensation Insurance• Business and Inventory Taxes• Cash and Inventory Shortage• Your Share of Credit Card Fees• National Advertising Fee• Business Licenses and Bonds• Interest Expense• Telephone• Janitorial and Laundry• General Maintenance and Upkeep of
Store Equipment• Common Area Maintenance• Store Supplies
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CONFIDENTIAL
Copyright © 7-Eleven Inc. 2014. All rights reserved. This information is not an offer to sell a franchise. An offer can only be made in applicable states with authorized documentation. Our Franchise Disclosure Document (FDD) will disclose all the material facts about a 7-Eleven Franchise. 7-Eleven Inc. One Arts Plaza; 1722 Routh Street, Suite 1000; Dallas, Texas 75201.
19The Financial Picture (cont’d)
7-Eleven’s Share of Gross Profit
- Less expenses
= 7-Eleven Net Income
Net Merchandise Sales
Cost of Goods
Total Gross Profit=
Reinvest in Business
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CONFIDENTIAL
Copyright © 7-Eleven Inc. 2014. All rights reserved. This information is not an offer to sell a franchise. An offer can only be made in applicable states with authorized documentation. Our Franchise Disclosure Document (FDD) will disclose all the material facts about a 7-Eleven Franchise. 7-Eleven Inc. One Arts Plaza; 1722 Routh Street, Suite 1000; Dallas, Texas 75201.
207-Eleven’s Responsibilities
• Land, Building, Equipment, Rent and Property Taxes
• Utilities (water, gas, electric, sewer)• Record Keeping• Quarterly Audits• Individual Contractual Indemnification• Building Maintenance and repairs• Business Consulting• POP/Advertising Materials• Market Research and
Product Selection• Price and Vendor Recommendations• Ongoing Store Support Services
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CONFIDENTIAL
Copyright © 7-Eleven Inc. 2014. All rights reserved. This information is not an offer to sell a franchise. An offer can only be made in applicable states with authorized documentation. Our Franchise Disclosure Document (FDD) will disclose all the material facts about a 7-Eleven Franchise. 7-Eleven Inc. One Arts Plaza; 1722 Routh Street, Suite 1000; Dallas, Texas 75201.
21
21
Benefits of Franchising a 7-Eleven
Name Recognition Turn Key Operation Established Business System Share in the profits system A Leader in Support & Training Daily Distribution of Fresh Foods Leader in Technology Innovation Continual Operational Support Over 80 Years of Business
Experience
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CONFIDENTIAL
Copyright © 7-Eleven Inc. 2014. All rights reserved. This information is not an offer to sell a franchise. An offer can only be made in applicable states with authorized documentation. Our Franchise Disclosure Document (FDD) will disclose all the material facts about a 7-Eleven Franchise. 7-Eleven Inc. One Arts Plaza; 1722 Routh Street, Suite 1000; Dallas, Texas 75201.
22Next Steps
Apply Now!www.Franchise.7-Eleven.com/Apply-Now
More Questions?
1-800-782-0711
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CONFIDENTIAL
Copyright © 7-Eleven Inc. 2014. All rights reserved. This information is not an offer to sell a franchise. An offer can only be made in applicable states with authorized documentation. Our Franchise Disclosure Document (FDD) will disclose all the material facts about a 7-Eleven Franchise. 7-Eleven Inc. One Arts Plaza; 1722 Routh Street, Suite 1000; Dallas, Texas 75201.
23Questions?
Oh Thank Heaven!
Thank You!