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Southern Fried Chicken

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About Southern Fried Chicken

One of the cornerstones of SFC's success is our permanent Demonstration Centre and Cook School. Here, the prospective operator is taken through the complete programme that highlights the correct methods of preparation and cooking as well as identifying the minimum requirements of a successful operation. Simply stated, our aims are to ensure that SFC operators offer, quality food products, value for money prices, quick and courteous service and clean and pleasant surroundings. Southern Fried Chicken is now successfully established in 68 countries worldwide. Fast Food Systems was one of the world's first organisations to recognise the independent operators desire for an identifiable public image, quality products, with professional back-up and realistic prices! Enabling them to prosper in an increasingly competitive world! That's why people say Southern Fried Chicken gives "a premier franchise image for the independent operator".

The Premier Franchise Opportunity
Convenience
Quality
Value
Cost summary
Frequently asked questions

The Premier Franchise Opportunity

Southern Fried Chicken is the UK's premier fast food franchise opportunity for the 1990's - a complete turnkey fast food restaurant concept tailored to suit qualified investors and investment groups seeking entry into the exciting fast food restaurant market. During the 1980's the fast food industry in the UK, has grown at a more rapid rate than any other sector and is currently worth around 3.5 billion. Major high street retailers have concentrated on the development of three individual products - namely hamburgers, pizza and chicken. Now, for the first time, Southern Fried Chicken combines all of these top selling items into a single restaurant concept which is perfectly positioned to deliver exactly what the customer wants - the convenience, quality, value and something different.

Convenience

Convenience is the dominant motivator in determining what today's customer wants from the fast food restaurant sector. This trend is reflected in a larger and larger share of sales volume going for food to be taken off premises as well as in-store. Major restaurant chains have recognised and responded to this trend with the addition of drive-through windows to their conventional seating capacity. Southern Fried Chicken offers the consumer all available options to suit the convenience needs. Selected ingredients and state-of-the-art production technology combine to prepare and deliver food products of top quality, served by well-trained and friendly people in the minimum time. Drive-through facilities can be built in to new designs or added to established units to further enhance this product delivery.
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Quality

The Southern Fried Chicken operating system delivers products of prime quality. Our food is served fresh, we select only the best ingredients for all our menu items and use proven equipment and production techniques to ensure consistency in taste and presentation. Our exclusive Southern Fried Chicken packaging has also been extensively tested and utilised in almost all types of fast food operations, from suburban take-aways to major theme parks and, is equally proven in terms of its environmental acceptability. The Southern Fried Chicken store itself is also characterised by quality. Our scheme designs have been applied to create clean, spacious and comfortable restaurants, and are suited to all types of premises and existing architecture. Our theme designs provide that touch of originality, which draws customers to return time and time again.

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Value

Southern Fried Chicken provides fresh foods, hearty portions, good service, fair prices and a multi-choice menu, which combines the most successful fast food restaurant products. All these add up to good value for money for customers, and generates increased brand loyalty.
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Cost Summary

Costs for developing and opening a SFC Express will vary depending on many factors unique to the specific site or market. The following information is designed to provide guidelines for initial evaluation purposes.

Franchise
A Multiple License may be granted to a qualified franchisee or group who agrees to develop multiple restaurants on a specific schedule of openings, commonly referred to as a Performance Schedule in exchange for this development commitment and payment of the initial franchise fees of £10,000 (Sterling) per area, the company will grant exclusive development rights in a specific geographic area. Single unit franchises are granted provided they do not conflict with Area License territories.

Service Fees
There are no on going service fees.

Advertising Royalties
An advertising Marketing and Promotions Contribution of £3,000 (Sterling) per Trading Period during the first year increasing by 10% for preceding year of the term.

Property
Premises required for a SFC Express should generally be a minimum of 50 square metres, but must have a minimum shop front of 16 feet with access to high-traffic street that permits a free flow of customer traffic. The Company must approve premises identified for the development of a SFC Express. The Company provides assistance in site evaluation and preliminary legal enquiries.

Building and Fitting
A standard SFC Express is approximately 100 square metres and internal construction costs are generally £30,000 to £50,000. Costs will vary according to the amount of internal work required and the condition of the premises.

Equipment
Standard equipment costs range from £30,000 up, depending on the size and type of SFC Express unit. Production and service equipment for an SFC Express is tightly specified and available by the way of both outright purchase or lease through a number of nominated equipment and service agents.

Franchise vs. Independent Business
Research statistics show that franchised food service businesses have in general a significant success record when compared to the success and failure rates of independent businesses. Franchised businesses have a high success ratio because they have a proven system. Franchise operators like ourselves require the franchisee to adopt and follow an established system, thus reducing the franchise owner's risk and likelihood of making a costly mistake. The Southern Fried Chicken operating system has been developed and refined by many years of operating experience in all aspects of the fast food market with particular expertise in our product operations. Fast Food Systems Limited people are capable of directing your resources and energy to help you achieve success for both your Southern Fried Chicken franchise and yourself.

Profitability of Southern Fried Chicken
Our company cannot forecast either sales or profits for any given location due to many variables including marketing conditions and quality of management. But with proven success and experience in fast food operations nation-wide and internationally, we can identify sound operating profitability attributed to low development costs, low operating costs and total efficiency, made possible by exploiting expert systems.

Securing your Southern Fried Chicken Franchise
We have set out the order of procedure, which you would normally follow in securing a Southern Fried Chicken franchise. Representatives of our company will be happy to discuss any aspect of the Southern Fried Chicken concept prior to your application and to furnish you with any other information that you require.

Company Support
Fast Food Systems Limited offers pre-opening assistance to its franchise operators in the development of new units, and provides quality on-going support in operations, marketing, advertising, training and management development for the unit once it is opened.

New Unit Development
Professional assistance is available at every step to assist franchise operators in developing new stores, whether the franchise operator has a multi-unit license or plans to develop a single unit.

Property
The Company assists multi-unit franchisees in the orderly development of their territory. The area is initially evaluated to determine the optimum number of Southern Fried Chicken units for maximum market penetration, and trade areas identified for population and traffic generators. The market's future development, long term street planning and changes in the social and economic environment are also taken into consideration. Franchisees are also assisted in the identification and evaluation of their proposed sites, including the legal processes required to secure it. Profitability projections can also be systematically produced.

Construction
Support in the actual development of the project is provided through our nominated design and construction and contractors. Our scheme designs are adapted to suit the selected premises, both internally and externally, and cost estimates prepared.

Equipment
Standard, approved preparation, storage and cooking equipment will be supplied by an authorised supplier who will install, commission and maintain the total equipment package. An on-going preventative maintenance contract becomes operative from the date of opening the store.

Financing
Fast Food Systems Limited does not finance equipment for franchise owners, however assistance can be made available to franchise prospects in locating lease finance for equipment.

Support Services
Once the new unit is developed, Fast Food Systems Limited assists the new operator in the actual opening and during the critical early days. Product and operations training is provided and supported by a comprehensive series of operating procedures manuals, covering standard operations, health hygiene and safety, training, marketing and finance. Further on-going advice and Field Agents of the Company, including equipment maintenance and unit servicing, provide support.

Marketing and Advertising
The company co-ordinates a central advertising and marketing operation, the scale which increases in line with the growth in Southern Fried Chicken numbers. Our strategy concentrates on reaching new customers through emphasising our major competitive points of difference resulting from our unique product range combination, and our tried and tested product quality formula. This is achieved through campaigns in newspapers, radio spots, direct mail pieces and product-sponsored promotions.

Purchasing
The company provides group purchasing for Southern Fried Chicken franchise owners. We have substantial purchasing power with major national manufacturers, suppliers and distributors in all market areas in which our company operates. Our highly competitive national supply agreements permit attractive margins as well as continuity and consistency in supplies, in turn enhancing value for the customer.

Accounting
Fast Food Systems Limited is able to provide a comprehensive management information service, based on information provided by franchise owners as a part of the franchise agreement. Control and reporting of gross profit margins and sales statistics are provided regularly, whilst budget and forecasting guidelines and consultancy can be made available at the option of the franchisee. The company does, however, require that specific accounting information is returned on a regular and specific basis, including monthly profit statements.
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Frequently asked questions

Q. Is fast food or restaurant experience required to obtain a Southern Fried Chicken franchise?
A. Experience is always preferable, but not necessary. Our franchise system has been developed to allow any individual, regardless of experience, an opportunity to own and operate their own business profitably.

Q. What about training?
A. Southern Fried Chicken requires the key personnel from each franchise to attend and complete a training programme. Training is broken down into equipment commissioning and actual trading training. Equipment commissioning is conducted by fully qualified personnel or nominated representatives of the Company. Trading training is broken down into different areas of requirement and is chargeable at £400 per day. This training is at your request and there are areas to meet all requirements. One day free training will be given if more than five days of trading training is booked. Furthermore, trading training can be provided prior, during or after opening, to suit individual requirements. Accommodation and travel expenses are additional, chargeable at cost.

Q. What assistance does Southern Fried Chicken provide in site location?
A. At the present time the company does not become involved in site or premises location, however an evaluation of prospective sites located by prospective franchisees is carried out in depth. All sites are approved by the company prior to an application being accepted.

Q. What is the term of the franchise?
A. The franchise agreement is for a five-year period, renewable at the option of the franchisee for a further five years at the end of the first term.

Q. How much is the Franchise fee and the royalty fee?
A. Southern Fried Chicken requires an initial franchise fee of £10,000 per outlet payable to the franchisor, there is no annual royalty fee.

Q. Does the Agreement give any exclusivity?
A. There is an exclusive area given however the size of the area depends on the number of franchise the area can withstand before reaching saturation point and the proposed number of outlets to be opened by the proposed franchisee, i.e if the operator is wishes to have a multiple licence, then he may be given exclusivity for a town or city.

Q. Are there any fees required on an on-going basis?
A. There is no on going service fees, however there is a Marketing and Promotions Contribution of £3,000 (Sterling) for the trading period in the first year, increasing by 10% in the following years, from which the franchisee derives central marketing economies of scale as numbers of franchises increase.

Q. Am I obligated to pay the fees?
A. Non payment will be a breach of the agreement and can lead to termination of the agreement and the franchise.

Q. In what legal procedures do I become involved following successful application?
A. You will be required to sign a Confidentiality Agreement and, depending on the nature of the business entity proposed to operate the store(s), certain other documents. The franchise agreement itself is split into two parts, these being a Franchise Purchase Agreement and the Agreement itself.

Q. What costs are incurred by me at this stage?
A. The training fees are payable at the time of signing the Purchase Agreement, after your indication that you wish to proceed.
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