DO YOU HAVE WHAT IT TAKES TO BE A WASABI WARRIOR?
BUSINESS WARRIORS FRANCHISE INFORMATION
HONOUR THE HEALTHY FIGHT Thank you for taking the time to consider your business journey with Wasabi Warriors. We are very proud of our Wasabi Warriors brand and all it represents. We live and breathe our Customer and Business Bushido’s and are searching for Business Warrriors who will do the same. Our organisation has a history of sushi, with over 10 years of operating the successful Go Sushi national franchise. Our success in sushi has come from constantly seeking feedback from our customers, and they have told us they want more. More quality, more freshness, and more genuine interactions with businesses that are doing the right thing, for the ocean, earth and animals.
From this feedback we developed, and are now opening Wasabi Warriors stores in all major cities, and Business Warriors are joining us across the country. The Wasabi Warriors success can be attributed to first rate systems and a commitment to honour both our customers and the planet through products that are fresh, high quality and come from sustainable sources. Our focus is also on the “bottom line” for our franchised stores, and I urge you to refer to our finance section to fully understand the profit potential of our system. We look forward to you walking the path of a Warrior. Yours sincerely,
Nicola Mills Group Managing Director
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CONTENTS
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HONOUR THE HEALTHY FIGHT
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EAT GOOD DO GOOD FEEL GOOD
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OUR CUSTOMER BUSHIDO
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THE WARRIORS STORY
10 12 14 16 WHY BE A BUSINESS WARRIOR?
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THE BUSINESS OPPORTUNITY
A BRAND WITH A HEART BEAT
OUR MENU
18 23 26 28 WHAT’S IN IT FOR YOU?
WHAT DO WE NEED FROM YOU?
BEST IN CLASS PARTNERS
BUSINESS WARRIOR STORY
30 32 36 38 THE FINANCIAL COMMITMENT
DOING THE NUMBERS
CASH FLOW WORKSHEET
YOUR STORE SET UP
40 42 BECOMING A BUSINESS WARRIOR
THE NEXT STEP 5
EAT GOOD DO GOOD FEEL GOOD High Quality
Healthy
Unhealthy
Low Quality Wasabi Warriors was created from understanding a need in the Quick Service Restaurant (QSR) market. Following extensive independent research in 2010, we found there was a gap in the market for a higher quality sushi offering - and Wasabi Warriors was born. Sushi has grown in popularity as a lunchtime regular, and our research shows that more and more customers are 6
looking for higher quality healthy light food for dinner also. Combine a high quality, tasty product with an underlying passion to honour both our consumers and the planet through products that are fresh, high quality and come from sustainable sources and you have the makings of a formidable business!
OUR CUSTOMER BUSHIDO In order to provide a quality sushi product to our customers each and every day our Business Warriors commit to our Customer Bushido.
... is the moral code of principles that the Wasabi Warriors live & fight by...
Respect the Journey
Every journey has an origin. Ours is in traditional Japanese food. A wise Warrior always looks behind... before stepping ahead.
Quality - Born of Wise Choices
There is much that can be achieved when one has respect for sustainability & honours quality, from the earth to the sea.
Fresh Before Dishonour
When you eat at Wasabi Warriors,you know that it’s always fresh.
Bushido: Meaning “Way of the Warrior-Knight” is a Japanese word which is used to describe a uniquely Japanese code of conduct and a way of the samurai life.
Taste... No Prisoners!
Whilst training in ancient techniques, Wasabi Warriors are also forging new weapons in flavour everyday.
The Sword is drawn only to Do Good. We only draw our sword to...
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THE WARRIORS STORY
The Wasabi Warriors are five brothers: Ocean, Porky, Beefy, Chicken & Veggie Warrior. The five young brothers were mentored by their father, who trained them in the ways of the traditional Warriors – to honour the ocean, earth and animals. As the brothers grew, they separated, but with the passing of time they reformed, and now search for Business Warriors to join them in sustainable and honourable practices to eat good, do good, and feel good.
Ocean Warrior The eldest brother and the leader of the five, is an old soul who fights for the protection of the Ocean and it’s inhabitants.
Porky Warrior Happy and social, he fights for high quality food and lots of it!
Beefy Warrior The strongest of the brothers. He is the one who lives by healthy eating and fights for all to walk the healthy path.
To Eat Good, is to eat food that is fresh, good for you, and makes you want to come back for more.
Chicken Warrior
To Do Good, is to support business practices that help our oceans, our earth & our animals.
The youngest and cheekiest. When he’s not getting in trouble he fights to do the right thing for all earth’s animals.
To Feel Good, is knowing that when you eat well with the Wasabi Warriors, you are helping to honour practices that are good for our ocean, earth and animals.
Veggie Warrior Earthy and calm, Veggie Warrior is the organic brother. The search continues for their long lost sister….
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ie
ick en Ch
Be
efy
Ve gg
y
Oc
ean
Por k
Which Wasabi WarrioR Are You? Scan the QR code to the right with your mobile device to find out 4 9
WHY BE A BUSINESS WARRIOR?
Wasabi Warriors is a wholly Australian owned and operated brand and has franchised stores open or being built in all state capital cities across Australia. As part of the Pacific Retail Management team you will benefit from the vast experience gained over years of brand building.
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Sushi is one of the fastest growing food category’s in australia We know starting a business is a complex & stressful time & to ensure things happen as smoothly as possible Wasabi Warriors offers you: ԎԎ A proven business formula with High NET profit potential and great margin on goods sold ԎԎ Entry into a turnkey operation ԎԎ IMMEDIATE return & cashflow from Day One ԎԎ Business, financial & operational training at the Retail Training Group ԎԎ Business, operational & marketing support focused on sales for your store ԎԎ Network information sharing through the Support Office & other Business Warriors ԎԎ High quality products with superb branding.
The Pacific Retail Team build award winning systems: ԎԎ Winner of DC Strategy Leading Franchisors ԎԎ BRW’s Top 50 fastest growing franchises. We also value your hard earned dollars & understand that this is a big step so we want to minimise risk via 3 options: 1. Our successful and popular Manage to Own Program 2. $100,000 First Year NET PROFIT Guarantee 3. $100,000 set up loan for NEW Business Warriors.
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THE BUSINESS OPPORTUNITY
The takeaway & Quick Service Restaurant “QSR” food market is currently a massive $14.2 BILLION business in Australia. This market is set to grow even bigger to $15.5 BILLION by 2015. With a long term trend towards healthier food, sushi is now a significant part of this market & continues to grow. Customers sushi tastes are becoming more sophisticated & our menu is ever changing to these tastes. Our experiences in our stores is customers want higher quality sushi…..and Wasabi Warriors is fulfilling this need. Sales into corporate offices are a major revenue stream for our stores. Providing sushi to corporate chefs is an increasing market.We envisage this market to continue to grow & become a $0.25 MILLION PER YEAR business for some of our stores.
THE AUSTRALIAN TAKEAWAY FOOD RETAIL INDUSTRY GROWTH H WT GRO L UA NN % A 4 . 2 $15.5 bn
$14.2 bn
$14.6 bn
$14.9 bn
$13.8 bn
2009
2010
2011
2012
2015
To assist in greater understanding of the sushi market we commissioned independent research in 2010 (quantitative & focus groups within Brisbane, Sydney, Melbourne). Results from our research clearly show the growing market for sushi and how popular it has become.
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LUNCHTIME PREFERENCE
F R E Q U E N C Y O F E AT I N G TA K E A W AY S U S H I
B R I S B A N E , S Y D N E Y, M E L B O U R N E
B R I S B A N E , S Y D N E Y, M E L B O U R N E Burger 6%
Daily 3% Weekly 15%
Rarely 9%
Sushi 31%
Fortnightly 15%
Salad 37%
Sandwiches 26%
Every 2 - 3 months 17%
Once a month 41%
Wasabi Warriors research 2010. Qualitative and quantitative research groups held in Sydney, Brisbane and Melbourne
“ I tend to eat a lot lighter at lunchtime, I just want to run & grab it & go back to my desk & it’s easy if you’ve got sushi ” Sydney customer
Capitalising on the dinner market: From our research, and from sales within our current stores – we are seeing a trend towards sushi and Japanese food being purchased for dinner also. A number of our planned stores will have a liquor licence to capitalise on this dinner market. 13
A BRAND WITH A HEART BEAT
THE JOURNEY OF A THOUSAND STEPS BEGINS WITH A SINGLE SUSHI
All good Warriors require knowledge & training; without one, the other is made redundant. To set the Wasabi Warriors brand apart, Wasabi Warriors has unleashed upon the fast food world a man who possesses both... Master Sushi Chef, Hideo Dekura. 14
IN THE BEGINING...
Upon arriving in Australia, Master Chef Dekura established his own catering & consulting company, Culinar y Studio DEKURA. He also set about writing several Japanese cookbooks including: Sashimi, Sushi Modern, Japanese Flavours – Modern Classics, Japanese Cooking at Home, & The Complete Book of Sushi & Teppanyaki.
HONOURING THE HEALTHY FIGHT
Recognising the need to bring top quality sushi to the convenience market, Master Chef Dekura has joined the Wasabi Warriors in battle for fresh, quality & unique Sushi flavours. Master Chef Dekura ensures that Wasabi Warriors is a cut above the competition. He has done this by developing the menu & trains Business Warriors in the ancient art of sushi making as his father trained him.
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OUR MENU
DO GOOD MEAL
E AT G O O D M E A L
OCEAN MEAL
BENTO
HOT BOX 16
SUSHI SANDWICHES
NIGIRI
INARI
VIETNAMESE ROLLS
Mount Franklin
Coca Cola
Eco Island
Sprite
Nestea
Fanta
Powerade
Lift
Goulburn Valley Fruit Juice
GYOZA
TA S T E T E M P T E R S
PA N T R Y P R O D U C T S
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WHAT’S IN IT FOR YOU?
“ everything we do helps our BUSINESS WARRIORS succeed”
GREAT LOCATION & STORE LAUNCH
Your success is our success. Our franchise system & support is geared to you our Business Warriors being successful in your business life.
ԎԎ Site location search, analytics & lease negotiation
Here is a summary of some of the support & systems you can expect when joining our franchise:
ԎԎ Store design maximising ”hot spots” exposure ԎԎ Store construction & project management ԎԎ Purchase & installation of all equipment
“ The training for a Business Warrior is simply First Class ” Mark Blake, Business Warrior 289 Queen Street Brisbane CBD
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ԎԎ Total “turnkey” package ԎԎ Full marketing plan for store launch.
LOCATION, LOCATION, LOCATION Location is KEY in retail. No if ’s, but’s or maybe’s! Our location & leasing consultants will work with you to find a great location for your business.
◼◼ Local business analysis & area demographics
To ensure optimal positioning of your site, we have developed a stringent set of charting and metrics to minimise business risk. Metrics include:
◼◼ Days of trade available
◼◼ Optimum site position “scorecard” built on results of current store locations
◼◼ Lease term negotiation is then completed on the site of choice to ensure the business is set up to optimise rent to turnover ratios.
◼◼ Foot traffic analysis & Population density
◼◼ Lease terms provided by the site
◼◼ Competitor proximity
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WHAT’S IN IT FOR YOU?
Knowledge to run your business at optimum performance ԎԎ Business management, customer ser vice & compliance training in classroom
ԎԎ On-site “pre & post launch” staff training at your store including Boom Workshops
ԎԎ Point of Sale training to maximise management information from store’s daily, weekly & monthly figures
ԎԎ Master Classes with Master Chef Hideo Dekura
ԎԎ In-store operational training at a Wasabi Warriors store ԎԎ Provision of full operations & systems manuals to operate and run your store 20
ԎԎ Over 3 full weeks of training with the Retail Training Group.
ONGOING SUPPORT & ANALYSIS FOCUSED ON STORE BOTTOM LINE ԎԎ A proven & tested custom made menu & comprehensive in-store recipe instructions + new product development including seasonal offers & annual “full menu” updates ԎԎ Dedicated support office to advise & consult on the catering function of your business including website sales via e-cater ԎԎ Group purchasing power with dedicated support office personnel to negotiate on improving pricing, quality & supply
ԎԎ Clear Key Performance Indicators including business analysis, seminars, & consulting services to focus on driving the success of your business ԎԎ Annual conferences. Meet other Business Warriors to discuss ideas, improvements & get support ԎԎ Cost of Goods & Labour cost analysis tools for your business analytics ԎԎ Franchise operations & marketing newsletter each month packed full of information.
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WHAT’S IN IT FOR YOU?
MARKETING AND PROMOTIONS TO DRIVE BUSINESS REVENUE ԎԎ Marketing campaign to launch your store: A series or mixture of Local Radio Adverts, TV Adverts, Facebook Adverts or Letterbox Drops, Group Buying Website Local Offers, Newspaper Adverts, or combination, depending on the demographics of your local area ԎԎ National marketing campaigns including advertising & other promotional materials throughout the year ԎԎ Online printing portal to access all marketing tools & campaigns 22
ԎԎ Communication with other Business Warriors via online support systems & the Wasabi Warriors monthly newsletter, My Link ԎԎ Regular updates to the Local Area Marketing manual, to assist in your local marketing plans ԎԎ Local store training, advice & on-line resources ԎԎ The operations & marketing teams will visit your store throughout the year to talk through any areas of improvement &/or innovation with you.
WHAT DO WE NEED FROM YOU?
For a Business Warrior to be successful, it is crucial that dynamic individuals join our system - people that are able to create high performance environments within their organisation. They must also be great brand ambassadors and run outstanding stores to deliver on our brand promise.
A key factor in both our growth and the growth of our Business Warriors is the care we take in recruiting, screening, training, developing and retaining qualified Business Warriors.
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WHAT DO WE NEED FROM YOU?
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Becoming a successful Business Warrior requires dedication, commitment and leadership. Below are our requirements to join the Wasabi Warriors system:
ԎԎ You have had a successful business or career, demonstrated significant team leadership and know how to get the most out of people
ԎԎ You are looking to make a minimum 5 year commitment
ԎԎ Wasabi Warriors will be your main business, and you’re prepared to put in hard work and long hours to make it a success
ԎԎ You aspire to become an integral part of your community as an employer, service provider, and local business leader
ԎԎ You will commit yourself full time to the business rather than being an absentee investor
ԎԎ You are energetic and take a hands-on approach
ԎԎ You are able to make a significant financial investment.
You will need to display the following qualities to meet our Business Bushido:
BUSINESS BUSHIDO
Business management skills U nderstanding of the rules of our franchise system
and regulations
Self-motivation Hard working Iwith ntelligence - to work well and staff, suppliers & customers
respectfully
Drive to innovate & grow Others - honour our business & that of others by following our franchise bushido, operations manuals & systems.
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BEST IN CLASS PARTNERS
Without the full support of our partners we cannot reach our business goals. We have hand selected our Business Warrior Partners who support us through service excellence, value and quality of products:
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Business warrior storY
BUSINESS WARRIOR Eddy Yang MLC Food Court Sydney CBD
or usiness Warri
Eddy Yang, B
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“ We opened to a massive first week! Opening the first sushi store in one of Sydney’s Top 3 food courts has been incredible. The Wasabi Warriors store and product is just perfect for the CBD, and our sales are going through the roof. I’ve learned already that this is going to be a big business……and I will really need to rely on the training that I did to ensure my processes and financial planning are in place.”
“ As this is my first business – the support from the PRM team has been invaluable and I simply wouldn’t have been able to do it without them. Add to this that I am a Manage to Own Business Warrior also – the opportunity I’ve got here is fantastic! ”
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THE FINANCIAL COMMITMENT
A Wasabi Warriors franchise requires an investment, from $350,000 depending on site selection, store size & location. With current NEW stores profitability, payback of this investment is tracking within 3 years.
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This initial investment covers the following: ԎԎ Franchise fee for the brand, system & support ԎԎ Store location & lease negotiations ԎԎ Complete store design & build. Walk in, & start operating from day one ԎԎ Training in store, in all aspects of the Wasabi Warriors system & Retail Training Group business workshops ԎԎ A full equipment package including Task Retail Point of Sale ԎԎ All the tools & equipment needed to operate your Wasabi Warriors store ԎԎ A fully co-ordinated marketing campaign for your store launch.
ONGOING CHARGES To maintain the Wasabi Warriors support, system & structure, Business Warriors are required to pay the following monthly support fees:
FRANCHISE SERVICE FEE The Franchise Service Fee covers the costs of administering & managing the Wasabi Warriors franchise, and is payment for the continued use of the Wasabi Warriors trademark, design, manual, system & recipes. The franchise service fee is 6% of turnover, plus GST.
MARKETING FUND CONTRIBUTION The Marketing Fund Contribution is accumulated within a group-marketing fund, & used on advertising & marketing costs to promote the brand & products, as a whole. The marketing fund contribution consists of a $5,000 annual fee plus 4% of turnover, plus GST.
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DOING THE NUMBERS
We understand that there is considerable outlay in joining our franchise system. That’s why we have three initiatives to assist our new Business Warriors. To help minimise risk and capital expenditure.
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MANAGE TO OWN PROGRAM.
Are you ready to own and run your own business now? Are you ready to join the fastest growing sushi franchise in Australia? Do you want to pay for the business as you go, and while you are getting on the job training? We are looking for entrepreneurs who have the skills, attitude and energy to run their own business, and are only being held back because of the up-front capital investment required. 32
“ The Manage to Own Program
was a really good way of helping me get into owning my own business. I didn’t have the capital to set things up without the MTO assistance. Everything was clearly explained - and I’m now on my way to owning my store outright! ” Eddy Yang Manage to Own Business Warrior, April 2012 MLC Centre, Sydney
80% OF THE COSTS OF SETTING UP YOUR BUSINESS NOW! WE WILL PAY UP TO
YOU WILL NEED: Minimum $75,000 deposit + GST that goes towards your franchise fee, full training and marketing launch of the store. Plus, the financial capability to provide a 3 month rent bank guarantee for the store lease.
OUR MANAGE TO OWN PROGRAM PROVIDES: ԎԎ Rent to own program over the term of the lease (normally 5 years) ԎԎ You pay for the business from the profits you make, instead of a large up-front capital investment ԎԎ Full national franchise training and support ԎԎ Great locations that are available now. 33
DOING THE NUMBERS
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$100,000 FIRST YEAR NET PROFIT GUARANTEE. REDUCE BUSINESS RISK & MAKE PROFIT IN YOUR 1ST YEAR.
No if ’s, but’s or maybe’s! We stand by our franchise system and brand and guarantee minimum $100,000 net profit in your first year. We’re sure you will make this profit anyway, but just in case, we have this “safety net” for peace of mind. For full terms and conditions please refer to the Wasabi Warriors Disclosure Document or visit www.wasabiwarriors.com.au 34
A. Average store – total turn-key package
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$100,000 SET UP LOAN. 6 MONTHS INTEREST FREE, 8% ONGOING, 5 YEAR TERM.
To assist with the set up costs of a Wasabi Warriors franchise we can provide up to a $100,000 loan over a 5 year term. This means that your up-front capital expenditure will be around $300-350,000 (ex GST). We also work closely with an independent finance broker who can speak with you direct to assist with funding your business.
Including franchise fee, store fit-out, legals, project management, training & marketing launch of your store
$400,000.00
B. Current available equity in house
$
C. Current cash on hand
$
D. Wasabi Warriors Finance To approved Business Warriors. First six months interest free
E. Remaining amount needed to finance A-(B+C+D)=E
$100,000.00 $
Figures ex GST
To assist with working through your funding of a franchise please refer to the worksheet above.
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CASHFLOW WORKSHEET
To assist you in determining the “bottom line” potential of a Wasabi Warriors store the following table (right) is a simple example of how NET profit relates to store turnover minus costs and expenses.
$ 15,000.00 $ 780,000.00
AVERAGE
$ 65,000
Please note: This example shows profit potential if your store is run well and efficiently and is no guarantee of profit from a Wasabi Warriors store. We advise that you seek independent financial advice to determine whether joining the Wasabi Warriors franchise system is right for you.
“ Our products have provided
30%
$ 19,500.00 $ 45,500.00
AVERAGE
$ 12,000 Rent/Occupancy Costs (Eg. $90,000/year)
customers with a high quality sushi and shaken up the Brisbane CBD market ” Mark Blake, April 2012 Business Warrior, 289 Queen St., Brisbane CBD
$ 7,500.00 4%
$ 2,600.00
6%
$ 3,900.00
8%
$ 5,200.00 $ 31,200.00
Please also refer our Profit Calculator at www.wasabiwarriors.com.au or use your mobile device to scan here
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$14,300.00 22% $171,600.00
* Includes Manager’s wage
IMPORTANT: All of the above figures are indicative only and are no guarantee of final business running costs. The information provided above is confidential and can not be reproduced, copied or sent on to unauthorised persons.
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THE EFFECT OF INCREASED TURNOVER GENERATING EXPONENTIAL INCREASES IN NET PROFIT
As rent is a fixed cost, and Cost of Goods is a percentage of turnover (eg.30%) the key in significantly increasing profit is the relationship between turnover and staff costs.
eg. An additional $10,000 per month in turnover may not require any additional staff therefore NET profit will significantly increase.
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YOUR STORE SET UP
Store footprint are: Shopfront (c.80sqm) or Kiosk (c.40sqm) + seating
$10,000 - $20,000.00
Bank Guarantee for lease
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3 months gross rent
$12,000 - $22,000.00
Payable to the landlord prior to trade
$10,000.00 $10,000.00 $15,000.00 $220,000.00 $37,000.00 Task Retail Point of Sale
$17,500.00
Wasabi Warriors Drums
$4,500.00
Marketing Materials
$1,500.00
Refrigeration display, Microwave, Grill
$50,000.00
$435,500.00
$450,000.00
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BECOMING A BUSINESS WARRIOR
1
PRELIMINARY MEETING.
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Meet with us to discuss the Wasabi Warriors business, and to raise any questions you may have over and above those outlined on the website and information pack. The more questions the better.
FILL IN APPLICATION FORM, which includes your experience, who will be managing the business, and tells us a bit more about you as a new owner of a Wasabi Warriors store. You will need to forward a deposit of $5,000 to our legal representative at this point.
3 4
Upon approval of your application and when agreed to go ahead our legal representative will provide you with our DISCLOSURE AND FRANCHISE DOCUMENTS. In addition, we will work with you to answer any questions that may have been raised by your accountant or solicitor.
Warriors LEASING CONSULTANT will continue the process of securing a great site for your business.
Our
Wasabi
5 6
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Once a site is confirmed and lease negotiated you will need to sign the Design and Location: Approval to proceed form and pay $15,000 to commence design of your store.
FRANCHISE AGREEMENT is signed followed by payment of the Franchise fee, Marketing and Training fees + shop fit-out and equipment.
FINAL LEASES are signed for the selected location.
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RETAIL TRAINING GROUP sessions completed in classroom & in-store.
OPENING DAY followed by on-going support, with the power of group purchasing, marketing & brand management.
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MARKETING LAUNCH once the store is operating properly.
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THE NEXT STEP to becoming a business warrior
David Hill T: 61 2 9425 6217 M: 61 403 037 664 m.au E: davidhill@pacificretail.co
WE LOOK FORWARD TO WORKING WITH YOU!
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