DA SMOKEHOUSE. Owning a DA SMOKEHOUSE Franchise. Comprehensive Training

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1 DA SMOKEHOUSE DA SMOKEHOUSE specializes in an exciting specialty food concept. The need for our concept continues to grow steadily, and becoming a DA SMOKEHOUSE franchisee, you can be part of this exciting and rewarding field. The franchising concept is an American economic success story. With over $800 billion in sales annually, fifty percent of all consumer purchases are made through a franchise, with predictions of an increase to seventy percent in years to come. The United States Department of Commerce reports that less than 5% of the nation s franchises fail each year. Compare that to the Small Business Administration s records that 80% of all private businesses eventually fail, most of them within the first year. Franchising is a strategy that allows for the dynamic relationship of established business know how and the entrepreneurial spirit. Maybe franchising could be your personal success story. Right now there is the opportunity for qualified individuals to develop single or multiple franchise units in a suitable location of their choice. To help insure the success and growth of your operation, DA SMOKEHOUSE will continuously provide the support and assistance you need. Look at the DA SMOKEHOUSE franchise advantages: A corporate staff qualified professionals with expertise in all areas A proven system of success Comprehensive training programs On going support in operating your business Part of high demand, growing industry An exciting and meaningful career in the specialty food industry Owning a DA SMOKEHOUSE Franchise We know as a prospective franchisee your major concern is security for your investment. Let us put your mind at ease. A DA SMOKEHOUSE Franchise can be both exciting and profitable business. A successful franchise business can be truly rewarding, but the first step, the decision on the right franchise for your investment, is crucial. Comprehensive Training A very important benefit of your Franchise Package is our exceptional Training Program. That s why DA SMOKEHOUSE offers a comprehensive training program to our franchisees. Included in the program are both classroom and hands on training in valuable areas such as: promotional activities, food preparation, customer service, administrative duties, as well as problem solving.

2 What kind of site do I need? A typical DA SMOKEHOUSE unit occupies approximately 1330 feet of floor space. There are no costly or complicated structural designs or interior decorations required. Opening your unit is a simple and quick process as compared with many other businesses. What kind of training do I receive? A very important benefit of our Franchise package is our exceptional Training Program for owners and key personnel. Included in this comprehensive program are both classroom and hands on training in all areas of operations. In addition, supplemental training programs will be offered on an on going basis. What assistance and continued support do I receive? Beginning with your site selection, obtaining equipment and supplies, pre and post grand opening, through day to day operations, DA SMOKEHOUSE is with you every step of the way to help insure the success and growth of your business. You will receive a confidential complete DA SMOKEHOUSE Operations Manual with periodic updates covering all areas of the DA SMOKEHOUSE System. Our helpful management staff will communicate with each franchisee on an ongoing basis and is available for consultation and assistance on all facets of your operation. What is the investment necessary to open a DA SMOKEHOUSE? The initial franchise fee for an individual unit is $50,000. The total cost for operations will range from $2,000 $300,000. This includes the franchisee fee, leasehold improvements, equipment, initial inventory and supplies, advertising, required working capital and the training program. Keep in mind that costs do vary based on location, the size of the unit, suppliers and other factors. DA SMOKEHOUSE will work with you in obtaining the lowest costs when possible. What is the charge for continuing services? Each franchise owner is required to pay a monthly royalty for high level of services provided by DA SMOKEHOUSE. This monthly royalty is 7% of all gross sales per month or the amount of $1,000 per month whichever is the greater. What is the term of the Franchise License? The initial term is 10 years with the option for 2 renewals of 5 years each, for a total of 20 years. How soon can I open my DA SMOKEHOUSE franchise? Once the Franchise Agreement has been signed and the site is selected, your new business can be operational in approximately days.

3 I M INTERESTED! WHATS NEXT? If you like being in an exciting specialty food environment and have the ambition and desire to succeed as a business owner, a DA SMOKEHOUSE franchise may be right for you! Take your first step to a satisfying and rewarding career by exploring the DA SMOKEHOUSE franchise opportunity fully. 1. Complete the enclosed confidential Franchise Application in full and return to us as soon as possible. 2. When your application is received, your background and interests will be reviewed. In order to ensure the success of each DA SMOKEHOUSE, we make every effort to be most selective in granting franchise licenses. 3. A representative from DA SMOKEHOUSE will contact you within 2 weeks. If you appear to qualify you will be invited to visit with us personally and be provided with a copy of our Uniform Franchise Offering Circular. 4. Upon mutual agreement and the signing of documents, your training program will be scheduled. 5. You re on your way to becoming a DA SMOKEHOUSE Franchise Owner! DA SMOKEHOUSE FRANCHISE PROGRAM When you open your DA SMOKEHOUSE, you will have a streamlined, organized business operation. In addition to our Field Coordinators who will provide DA SMOKEHOUSE Franchisees hands on guidance during the preparation phase, we offer the following benefits: Long term franchise contract up to twenty(20) years On going guidance by a DA SMOKEHOUSE Director Operations Manual Interior unit design concept ON GOING SUPPORT To help insure the success and growth of your operations, DA SMOKEHOUSE will provide assistance, and in some cases, have final approval on the following: Site selection research and selection of unit location Accounting systems Advertising and promotions On going advertising

4 We are looking for individuals who are: Business minded Marketing oriented Adequately financed Possess a strong desire and ambition to succeed Outgoing in nature and who enjoy dealing with people

5 Questions and Answers What kind of franchise is available? There is an opportunity for financially and personally qualified individuals to develop single multiple specialty food/ restaurant units. What special qualities and skills does a DA SMOKEHOUSE Franchise need to successfully operate a unit? High energy level Good Communication skills Desire to be in the specialty food/restaurant business Understanding of business operations and management principles Sales and marketing skills Where will my DA SMOKEHOUSE unit be located? DASMOKEHOUSE is well suited for most locations and we will work with you in selecting a mutually approved site.

6 DA SMOKEHOUSE FRANCHISE SYSTEM, INC. FRANCHISE PROFILE If you are applying for a Franchise in partnership with another person, please complete separate profiles. Please attach a current resume if available. PERSONAL INFORMATION NAME RESIDENCE STREET CITY STATE ZIP OWN RENT HOW LONG HOME PHONE ( ) WORK PHONE ( ) BEST TIME TO CALL DATE OF BIRTH / / MARITAL STATUS NO. OF DEPENDENTS OCCUPATION IF MARRIED, WILL SPOUSE BE ACTIVE IN BUSINESS: YES NO HEALTH: EXCELLENT ( ) GOOD ( ) FAIR ( ) PHYSICAL LIMITATIONS ( ) EDUCATION BACKGROUND: SCHOOL/LOCATION MAJOR DEGREE(S) YEARS ATTENDED HIGH SCHOOL COLLEGE GRADUATE SCHOOL LIST ANY LICENSES OR CERTIFICATIONS HAVE YOU EVER BEEN SELF EMPLOYED? What, if any, Franchise involvement have you had? ACTIVITIES: What are your special interests of hobbies? List membership and level of activity in any civic, services or professional organizations: