www.groomers4pets.co.uk Introducing Pet Grooming Studio Franchise Prospectus



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www.groomers4pets.co.uk Introducing Pet Grooming Studio Franchise Prospectus 1. Our Business The founding company was set up in the early 1990 s and quickly grew to a small but highly successful supply business and pet stores. Being a forward looking business, we have always looked for ways of growing and hence we introduced a single operator grooming parlour at our Codsall store. It was there that we set about learning all about the fascinating world of pet grooming. Codsall soon became a very popular and profitable grooming studio. Indeed the business became so successful that bigger premises rapidly became an urgent requirement. During that early period of learning, growth and development, Glynne Owen, our founder, had also begun to envisage a very strong personal vision of how he believed the business should develop and how he perceived grooming studios ought to be. He wanted to see studios: That would bring pet grooming into the 21 st century That would make a good addition to any thriving shopping area That would be bright, cheerful and inviting to both pets and owners alike That would be open plan so that anyone could look in and see the studio operating That would be memorable, with a good corporate image that everyone could quickly and easily recognise That would be run by friendly, skilled staff who would grow the business by their own reputations So - the idea of a Groomers 4 Pets franchise grew; soon to be followed by Groomers 2 U our mobile grooming service. For our pilot franchise we chose a shopping parade location in Bilbrook, a small village on the outskirts of Wolverhampton, close enough to our Codsall store making it easily accessible, as we worked at creating and developing the business. Page 1 of 9

The choice of site was typically, though not exclusively, what we look for: A lively local shopping area Both local and passing trade potential Good parking Vet surgery nearby The pilot studio was fitted out with the very best equipment, much of which was custom designed and manufactured by us in light of our experiences of developing our initial studio at Codsall. These items included custom-built stainless steel baths, kennels, grooming tables and equipment. The premises were also designed with the principles that Glynne had been developing, its strong features being an open plan vista, bright decor and strong high street image and presence. Glynne Owen and our first Franchised Studio Clean look, modern fittings, open views throughout Even with the six-fold additional capacity that came from the Bilbrook pilot, the business has become so popular, with a customer list that has never failed to grow, that capacity has now been maximised and waiting lists for grooming are the norm. The studio operates 6 days of the week and employs eight groomers and apprentices. 2. Our Products and Services There are seven million dogs in the UK, which gives us a tremendous customer base from which to be able to offer the sort of services that busy people need and demand today. Every Groomers 4 Pets offers the same range of services: Full clip and trim Hand stripping Washing and drying Bathing While-U-Wait service a very profitable addition Flea treatments Conditioning De-odorising Glands Page 2 of 9

Ear plucking and cleaning Nail trimming Free ID tagging Customer reception area with refreshments Internet booking and groomer locator Non-canine pet grooming eg cats, rabbits, guinea pigs We also sell a small range of retail products including items such as ID tags, collars and leads. Equally, a Groomers 4 Pets can be operated as part of a fully-fledged Pet Supplies Store as we did at the very beginning and we would be happy to consult clients if they wish to do both. 3. Our People Glynne Owen Operations & Marketing Director Glynne is the business founder and his role in the franchise is Operations and Marketing Support. His main spheres of operation include: Franchisee Recruitment Marketing Site Development Business development Operational support Glynne spent his early career in the convenience store business, starting in Operations as an Assistant Manager and then Area Manager. He was then promoted into Buying & Marketing as Group Grocery Product Manager for a chain of over 300 stores. He was responsible for sourcing new lines, promotional and space management, and major programmes of store refitting. Wanting to be his own boss, and to gain the rewards for his own efforts he looked around for a business of his own. His experience as a Grocery Product Manager had told him that one of the biggest growth areas instore was in pet care and pet foodstuffs. So, he decided to open his own Pet Supplies Store. Not one to do things by half, everything had to be done to the same level of corporate excellence that he had developed as Grocery Manager for a major convenience store chain. Pet Stop was born. Logo, livery and design were uppermost in Glynnne s thoughts, though also at the top of his list came staff presentation, tip-top customer service, and stock ranging and levels that kept both the customer and the bank manager happy. With the same energy and the same vision Groomers 4 Pets came next. Page 3 of 9

Jill Doughty Pilot Franchisee Jill is our pilot franchisee operating the studio at Bilbrook and has been grooming pets for 12 years. Prior to that Jill worked in Finance for 10 years though she did have previous retail experience with a well-known high street department store. Driven by the same desire as Glynne in wanting the independence of a business of her own Jill began by managing the original Pet Stop. This she did for 12 months so that she could learn what pet food retailing was all about. She had an excellent teacher. Jill then got caught up with the idea of having her own grooming studio. She undertook a period of intense professional training before opening up the original grooming studio at Codsall. When the chance came for her to run her own business, she was quick to grasp the opportunity of becoming Groomers 4 Pets first franchisee. Starting with just one part time assistant, she now employs 8 staff and is an example of what can be done if you have the desire and the support of Groomers 4 Pets. Bill Baker, MCIPD, BSc Hons, GradIPD, DipSysApp HR and IT Manager Bill is a Human Resources and Information Technology professional, and his main responsibilities in the franchise are: Franchisee Recruitment Training Programme Development and Management IT systems Bill Baker has been in training for over 15 years and in IT and retail management for even longer. He is a graduate and corporate member of the Chartered Institute of Personnel and Development, a Batchelor of Science, and holds a number of teaching diplomas in food hygiene, systems, management, health and safety, IT, and first aid. Groomers 4 Pets holds training very high in esteem, not only because of its unequalled 10-week franchisee training programme but also as the key to developing its business through its own people. As a well-respected ex-colleague, Bill was invited by Glynne to develop and manage the company systems and training programmes. A keen recruit, he too was soon hooked on the business. Quote from Bill: Whenever I visit a studio, I really enjoy myself. It s such a great environment to be in especially if you like pets and people, Page 4 of 9

Chris Gee Operations Support Officer Chris is our Operations Support Officer and plays a key role in helping new franchisees develop their skills and business. He came to Groomers 4 Pets as a fifteen-year-old schoolboy looking for some work experience. He enjoyed the work so much he asked for and was given a Saturday job, learning the business from the start by bathing pets. He then left school and went to Agricultural College where he could pursue his interests, gaining NVQs in Animal Husbandry. On completion of his college course & extensive grooming training, Chris became a full time groomer at the Bilbrook studio. After five years of hard work and his own skills, he has now become one of the key members of the Groomers 4 Pets support team. Teresa Pearce Training Officer Teresa has been a professional pet groomer for more than 15 years. College trained in Animal Husbandry, she began grooming at the age of sixteen. During her time at the studio she has become a much-favoured groomer by many clients and their pets. For this reason she was chosen as the best person to test out our franchisee training programme, and this she did with a young apprentice, who emerged from it ten weeks later with flying colours and has now, himself, become another great asset to the business. Having shown a real aptitude for training in the process Teresa then became an obvious choice as the senior trainer for the franchise but also expect a lot of input and support from Jill too. 4. Our Franchise Proposition This section outlines the main attributes of the franchise proposition. Those persons successful in applying for a franchise will be privy to and bound by a legal document between the Franchiser and the Franchisee. But, briefly, Groomers 4 Pets will: Recruit only franchisees that meet strict entry requirements and who have the ability to succeed Offer three different levels of franchise entry: o Bronze, Silver, Gold Arrange finance where it is required Train successful applicants for 10 weeks in: o Grooming o Health and Safety o Pet Care Page 5 of 9

o Recruitment and Staff Development o Law o Business Management Offer an exclusive postcode trading area Enter full discussion where a new franchise borders an existing one Offer full disclosure where franchised areas are re-offered Provide opportunities to expand the number of studios Identify and or approve suitable premises Plan and implement studio fitting Manage the promotional launch One-to-one grooming support for first 2 weeks of launch Provide ongoing support in: o New products and services development o Business development o People development o Promotional activity o Advertising o Web site presence o Systems o Consumables supply o Equipment supply Provide the following tools and equipment: o Shop & van signage o Comprehensive Operation/Marketing/Training Manuals o Computerised Software developed and written by Groomers 4 Pets o Start up pack - Uniforms - Clippers - Blades - Brushes - Initial stationery and other consumables 5. Trade Memberships Groomers 4 Pets is a member of the following associations: The Pet Care Trust The British Dog Grooming Association Provisional listing with The British Franchise Association is applied for. Page 6 of 9

6. Costs and Projections 6.1 Entry Levels There are 3 entry levels to the Groomers 4 Pets franchise. The different entry levels have been designed to suit the needs of different investors, but generally speaking the more you invest the more profit you will potentially make. The following table summaries costs and projections: Entry Level Franchise Fee *Capital Cost **Projected Operating Profit Usual Franchise Benefits PLUS Bronze 11,995 + VAT 14,000 38,079 pa 1 groomer trained Notes: Silver 16,250 + VAT Gold 20,500 + VAT 17,000 52,568 pa 27,000 69,926 pa 2 groomers trained, potentially doubling sales 3 groomers trained, potentially tripling sales * Capital costs are estimates only as each refit is wholly customisable ** Projections are based on our own experience, though no guarantees can be given Detailed breakdowns of costs and projections will be given during Step 1 of our application process detailed in Section 7 What to do next. 6.2 Management Services Fee A Management Service Fee is payable, as in any franchise. The MSF is 5% of gross sales, and is payable monthly. The service fee is waived for the first six months to enable the new franchisee to establish their business. The MSF is used to maintain operational support of franchisees, to protect franchisees dedicated postal code areas, to protect corporate brand and marks (Groomers 4 Pets is a registered trade mark,) to maintain website presence and on-line find a groomer business referrals, to provide directory listings, and access to training and stationery. It is also a business expense to the franchisee and as such is tax deductible. Page 7 of 9

7. What to do next There are four main steps to becoming a Groomers 4 Pets franchisee: Step 1: Initial Application 7.1 Complete and return our application form (available on-line, downloadable from our website or just ring and ask for one) Post to: Groomer 4 Pets Ltd 11, Station Road Codsall Wolverhampton WV8 1BX 7.2 Arrange for a no-obligation initial interview by calling Glynne Owen on 01902 843666 to discuss: Benefits of becoming a franchisee Potential earnings in more detail Different entry routes and capital investment options Your business plan and finance Premises Then if we are both happy to proceed and in order to give you plenty of time to consider our offering: Step 2: Second Round Interview 7.3 Second appointment arranged to confirm application Bring any outstanding questions along for discussion Bring along partner (if appropriate) Step 3: Agreement and Training Plan 7.4 Sign franchise agreement 7.5 Pay initial deposit 7.6 Discuss and agree timescales for refit and training 7.7 Discuss staffing 7.8 Arrange training schedule and refit Step 4: Refit and Launch Arrangements 7.9 Discuss, agree and schedule capital expenditure costs 7.10 Refit 7.11 Training Page 8 of 9

7.12 Generate pre-launch customer base 7.13 Launch 7.14 Post launch support 7.15 On-going support 8. Why choose Groomers 4 Pets? 8.1 High income potential in an exclusive area 8.2 Lower overheads than many other businesses 8.3 Regular client business 8.4 Credibility and use of company brand 8.5 Training and on-going support 8.6 Lead generation and marketing assistance 9. Why franchise? Franchising is a great way of starting your own business because most of the hassle and hard work of creating and developing the business has already been done for you. You take on a proven business concept that someone else has developed and refined. You can then quickly learn the new business and start earning the high incomes that properly reflect the effort you put in. You also get the level of backup and support that only a franchisor can provide. This backup and support is the real key to the success of franchised businesses. The simple fact is that far fewer new franchised businesses fail than new non-franchised businesses. A franchise business, properly trialled, developed and tested as Groomers 4 Pets has indeed been, that has proven to work very successfully, will help you become the independent businessperson you want to be, but with the added comfort of being part of a wider support community. 10. Summary Now you know a little more about Groomers 4 Pets we really hope to have attracted your interest. It s a great opportunity to be your own boss, and to get in at the start of a fantastic new franchise. If you enjoy hard work, and like to be rewarded for it, then this is for you. All of us here at Groomers 4 Pets are dedicated to making our business and your business a great success. We look forward to hearing from you. Glynne Owen, Founder Page 9 of 9