The Franchiser and the Franchise

Is the market's population growing, remaining static, or shrinking? Is the demand for your product or service growing, remaining static, or shrinking?

Yes. Nowadays many people like to having dinner while using our wi-fi to search for internet by using their smart phone.

Is the product or service safe and reputable?

Yes. Noodle station provide a good service for the customer, so until now me also din't heard any complain from my customer.

Is the franchise international, national, regional, or local in scope? Does it involve full-or part-time involvement?

Noodle is local, and some of the prosperous places, they will be open 24 hours. We are not 24 hours because we are doing the business in the shopping center.

How many years has the franchiser been in operation? Does it have a sound reputation for honest dealings with franchisees?

I think is around 5years. Yes. They have a sound reputation for honest dealings with franchisees.

How many franchise outlets now exist? How many will there be a year from now? How many outlets are company-owned?

In this kind of case i think i not that sure.

How many franchises have failed? Why?

I'm not sure on this.

How many franchisees have left the system within the past year? What were their reasons for leaving?

[No answer]

What service and assistance will that franchiser provide? What kind of training program does the franchiser offer? How long does it last? What topics does it cover? Does the franchiser offer ongoing assistance and training?
The Initial training fee includes 8 weeks training & accommodation for a maximum of 15 staff. Additional Management staff is chargeable at RM1900 per person and Service staff at RM1200 per person.

Will the franchise perform a location analysis to help you find a suitable site? If so, is there an extra charge for doing so?

The franchisee to identity suitable locations and initial rent negotiations. After that, the franchisor will approve location. On site visit by franchisor is optional.

Will the franchiser offer you exclusive distribution rights for the length of the agreement, or may it sell to other franchises in this area?

Yes. If the franchise wants to open their outlet location they preferred, we will investigate your location and provide you with analysis of its viability for development.

What facilities and equipment are required for the franchise? Who pays for construction? Is there a lease agreement?

The equipment are table, chair and machine, ingredient and so on. We pays for the the construction. Yes, there is a lease agreement.

What is the total cost of the franchise? What are the initial capital requirements? Will the franchiser provide financial assistance? Of what nature? what is the interest rate? Is the franchiser financially sound enough to fulfill all its promises?
Term is 5 years + 5 years (option). Upfront franchise fee of RM 38,000 (one-off) and an additional RM 323,200 - RM 436,500 if franchisee exercises option to extend tenure and then 5% royalty fee on the gross revenue derived from monthly sales, and 3% advertising and promotion fees of the gross revenue derived from monthly sales. 

How much is the franchise fee? Exactly what does it cover? Are there any confining fees? What additional fees are there?
Franchise Fees is RM 38,000Advertising fees corporate – 2%  Advertising fees local – 1%

Does the franchiser provide an estimate of expenses and income? are they reasonable for your particular area? Are they sufficiently documented?
Yes.

Does the franchiser offer a written contract that covers all the details of the agreement? Have your attorney and your accountant studied its terms and approved it? Do you understand the implications of the contract?
This process normally will follow by it original statement,this is because we need very clearly to know the agreement and so law in this agreement.

What is the length of the franchise agreement? Under what circumstances can it be terminated? If you terminate the contract, what are the costs to you? What are the terms and costs of renewal?
This wan i really not sure about it.

Are you allowed to sell your franchise to a third party? Does the franchiser reserve the right to approve the buyer?
Yes, but need get the approved by the franchisor.

Is there a national advertising program? How is it financed? What media are used? What help is provided for local advertising?
I'm not sure about that, i just know normally for the local advertising, sure will be customer to customer, how to say customer to customer? it through what the first customer will know then they will introduce to their friend  and then keep spam the news to get more friend to our shop.

Once you open for business, exactly what support will the franchiser offer you?
Use their brand, and trade mark for doing their business.

How does the franchise handle complaints from and disputes with franchisees? How well has the system worked?

I didn't heard any complaint and disputes with franchisees, in or working system is very strict on the worker, if our supervisor hve seem the mistake they done, they will been warm for the first time, if reach until the third time, we will fire the worker directly.