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Transcript of tunity The ACDC Express Prospectus he ACDC Express · PDF fileAbout the ACDC Express Franchise...
The
ACD
C Ex
pres
s Fr
anch
ise
Opp
ortu
nity Annexure 1E:
The ACDC Express ProspectusAnnexure 1E:
The ACDC Express Prospectus
THE
ACD
C EX
PRES
S PR
OSP
ECTU
S
A Giant in the Electrical Industry Takes a Step into The World of FranchisingEstablished in 1984, ACDC Dynamics is the leading manufacturer, importer & distributor of quality products in the electrical, pumps & tools industries. Manufacturing includes transformers, power supplies, electronic timers, motor starters and power factor correction systems.
Quality products and servicesIn 2007 the ACDC Franchise company was formed, as a retail extension of the already well-established manu-facturer, importer and distributor of quality electrical products, ACDC Dynamics. These franchise stores were aptly named ACDC Express.
ACDC Express consists of independently owned electrical retail stores whose products are primarily sourced from ACDC Dynamics and boasts a product range of over 60 000 individual items, that include security, hygiene, automation, telemetry systems, pumps, switchgear and instrumentation, energy management and power factor control, solar, tools, wiring and cable management, as well as a comprehensive range of lighting products. We are stockists of premium brands such as Gewiss, Terasaki, Datalogic, C & S Electric, Rhomberg, Weicon, Moël, Orbis and Oérre.
We specialise in the electrical sector, catering for the household (DIY), contractor, industrial, agricultural,
versatile shopping experience, allowing customers to browse at leisure in an electrical ‘supermarket’. Our
customers. Their knowledge extends but is not limited to instrumentation, home and business automation, sustainable energy solutions, agricultural tools and lighting.
The ACDC Express Prospectus
About the ACDC Express Franchise
Organisation Mission StatementACDC Express endeavours to provide a complete range of electrical solutions, in the most convenient way
solutions to all their electrical needs.
The company is known for its premium brands and vast product range that allows ample choice for all target markets. Our principles are customer driven, as we constantly source the best products, at competitive prices.The company philosophy stems from its family orientated history, which leads to employee and customer satisfaction. ACDC regards itself as an ethically sound business, whose practice ensures that the highest standards are maintained.
Vision
quality products, excellent customer service, convenience and competitive prices.
Customer Satisfaction“A sale is not something that you pursue; it is something that happens to you while you are immersed in serving your customer.”
them with superior product knowledge and unrivalled customer service etiquette. The brand managers
included in our newsletters. It is possible to subscribe to our exclusive subscription list through registration on our website.
ACDC express is about being a one-stop shop, about competitive pricing, stock availability and preferential supply, quality products all detailed in a fully comprehensive catalogue, online ordering, early opening for early trade of the retail outlet and an established relationship with its customers.
and feel, convenience, novelty, and technical know-how. ACDC Franchising undertakes to develop its network of franchises and recruit and select the correct franchisees to grow the brand. Also, national marketing will take place to create product and brand awareness, the best nominated suppliers will be
up-to-date in terms of IT trends and advise you on ideal stockholding.
ABO
UT
ACD
C EX
PRES
S FR
AN
CHIS
E
The Ideal Franchisee
JOB DESCRIPTION OF A FRANCHISEE
• Assist and build relationships with customers• Stock management • Logistics• Quality control • Service and maintenance of the outlet • Stock ordering and control• System controls• General business administration• Legislative compliance (PAYE / UIF etc)• Implementation of new franchise policies and procedures• Reporting and administrative requirements of the Franchisor• Business planning (forecasts, budgets etc)
• Sales & marketing - including local area marketing
PERSONAL CHARACTERISTICS• Prepared to work very hard and work long hours• Passionate, committed and dedicated• Common sense and lateral thinker
are looking forward to grow our franchise network along with us:
SKILLS• Financially savvy
• Communication, relationship, interpersonal and leadership skills• Systems oriented • Organised• Computer literate• Multi-tasking – operations and administration• Sales abilities• Management skills
OTHER POINTS
• Retail experience is preferable – understand stock management• Unencumbered cash requirement• Prepared to be an owner-operator - ideally not have other employment or other business interests (at Franchisor discretion)
THE
IDEA
L FR
AN
CHIS
EE
with ACDC Franchising
WHAT KIND OF SUPPORT WILL I RECEIVE?In t erms o f the franchise n etwork and t he F ranchisor’s ongoing c ommitment to i ts n etwork o f growing franchisees, ACDC Franchise will honor its obligations in the following manner:
• Recruitment and selection of franchisees.• Approval of sites (approval of lease).• Advisory role in terms of store set up.
• Training of the franchisee.• Assistance with the initial recommended order.
a. Additional responsibilities to be taken care of by the franchisor: The franchisor shall provide the franchisee with advice and consultation of the following:i. Initial set-up requirements;ii. Incorporation of the trade name and trademarks on stationary, uniforms etc.iii. The location of the premises;iv. Internal and external signage for the premises;v. ACDC Franchise’s systems;vi. The launch of the business whereby the cost will be incurred by the franchisee;vii. Advice on the management and accounting aspects of the business;
computer hardware and software. The costs thereof is to be funded by the franchisee;
Should certain parties not m eet t he required competency l evels of ACDC Express i t shall inform t he franchisee accordingly;x. ACDC Franchise will provide the franchisee with a manual(s) specifying certain policies and procedures the franchisee is required to adhere to in the management and operation of the business.
Ongoing Obligations of the franchisor to its franchisees: • Marketing.• Building the brand.• Ongoing training.• Research and development.• Sourcing new products.• Approval of suppliers.• Supplier quality control.• Benchmarking on performance.• Field service systems.• Examine management accounts from the franchisees on a monthly basis.
• Systems development.• Approval of local marketing initiatives.
BEN
EFIT
S O
F BE
ING
A F
RAN
CHIS
EE
Our Existing FranchisesEX
ISTI
NG
FRA
NCH
ISES
ACDC EXPRESS BALLITO ACDC EXPRESS BLOEMFONTEINACDC EXPRESS BELLVILLE
ACDC EXPRESS POLOKWANE ACDC EXPRESS RUSTENBURG
ACDC EXPRESS MAPUTO
ACDC EXPRESS SOMERSET WEST ACDC EXPRESS STEELPOORT
ACDC EXPRESS CENTURION
ACDC EXPRESS NELSPRUIT
ACDC EXPRESS STRIJDOM PARK ACDC EXPRESS STRUBENS VALLEY
ACDC EXPRESS LICHTENBURG
How Do I Become A Franchisee?
The Recruitment & Selection Process of an ACDC Franchisee
The franchisee selection process is detailed and thorough simply because we want to be sure that we have recruited the right personality to join our franchisee network and also to help us grow the ACDC Express brand successfully.Below is a step by step breakdown of the recruitment process.
HO
W T
O B
ECO
ME
A F
AN
CHIS
EE
INITIAL STAGESTAGE
1 DETAIL STAGESTAGE
2
site assessmentSTAGE
7inceptionSTAGE
8
INTERVIEW STAGESTAGE
3COMMITMENT STAGESTAGE
4
FRANCHISOR SITE EVALUATIONSTAGE
5 PSYCHOMETRIC ASSESSMENTSTAGE
6
• Obtain the application form from
Tel: 010 202 3360 or [email protected]• Complete 1B and submit.
• 2A Complete full application form and submit.• A credit check is performed.• Fillout questionaire.• 2F A business plan guideline is sent to you.
• Interview with Franchisor.• 3A First assesment interview.• 3B Express presentation • 3C disclosure documents.
• Franchisor evaluates site.• Sign and submit 5A Franchisor site evaluation and selection.
• Signing of the • 8A Franchise Agreement.• 8B Franchise Supply Agreement.• 8C Suppliers Application Form• Pay balance of franchise fee upfront.
• Undergo psychometric assessment.• Business plan review.
• External site evaluation by Franchisor.
• 4A Sign commitment undertaking document. • 4B Draft franchise agreement.• 4C Draft supply agreement.• 4D Disclosure document.• 4E Franchise site evaluation.• Invitation to psychometric test
Investment Information
• This store requires a retail location between 500m - 700m .• The type one store is best suited for larger areas.• We guarantee that another Express store will not be opened within an 8km radius.•
• 75% of the store is retail.
• This store requires a retail location between 200m - 300m .• The Express mini store is best suited for smaller areas such small towns.• Priotity will be given to existing Express store owners.•• 90% of store is retail.
LARGE STORE EXPRESS MINI STORE
Upfront Franchise Fee:Shop Set-up:
TOTAL SETUP COSTS R 1 400 000, 00
TOTAL COST R 4 000 000, 00
Delivery VehiclePeugeot Boxer
StockWorking Capital / Overdraft
R 2 000 000, 00R 600 000, 00
Shop Fittings (Cleaning, Painting, Tiles, Security)
Shelving & MerchandisingIT InfrastructureSignageProduct DisplaysTraining Opening Event
R 160 000, 00R 270 000, 00R 340 000, 00R 70 000, 00R 50 000, 00R 25 000, 00R 35 000, 00
R 100 000, 00
R 350 000, 00
R 950 000, 00
INVESTMENT BREAKDOWNUpfront Franchise Fee:Shop Set-up:
TOTAL SETUP COSTS R 900 000, 00
TOTAL COST R 2 500 000, 00
Delivery VehiclePeugeot Partner
StockWorking Capital / Overdraft
R 1 200 000, 00R 400 000, 00
Shop Fittings (Cleaning, Painting, Tiles, Security)
Shelving & MerchandisingIT InfrastructureSignageProduct DisplaysTraining Opening Event
R 90 000, 00R 165 000, 00R 260 000, 00R 50 000, 00R 30 000, 00R 20 000, 00R 35 000, 00
R 150 000,00
R 650 000, 00
INVESTMENT BREAKDOWN
required should be a minimum of 50%institution at the applicable point in the Recruitment and Selection Program.
Note: All costs shown are indicative and subject to change and are exclusive of VAT.
Working capital will be required to carry the new business for at least 6 to 9 months. This will vary from franchisee to franchisee and from business to business. We too will assist you in calculating the working capital
Royalties are calculated on a monthly store turnover.
* Example: 2% of R1.2 million = R24 000.00
INV
ESTM
ENT
INFO
RMAT
ION
R 0,00 - 500 000,00R 500 000,00 - 1 000 000,00 R1 000 000,00 - 1 500 000,00R1 500 000,00 and above
0 %1 %2 %3 %
First year Second year onwards
3%Flat Rate
Royalty Fee Structure
R 100 000, 00
AVA
ILA
BLE
FRA
CNH
ISE
LOCA
TIO
NS
Available Franchise Locations
ExistingStores Ballito Bellville Bloemfontein Centurion Lichtenburg Polokwane Nelspruit Rustenburg Steelpoort Strijdom
ParkStrubens
Valley Somerset
West
Franchises in South Africa
InternationalStores
Maputo
Botshabelo
Bethlehem / Harrismith
Gauteng
Oakdene
Boksburg
Sandton
Soweto
Vereeniging
Welkom
Limpopo NorthernCape
EasternCapeMpumalangaFree State Kwa Zulu
Natal
New Castle
Richards Bay
Pietermaritzburg
PortShepstone
Isipingo
Pinetown
Durban Central
Vryheid
Ladysmith
Klerksdorp
Potchefstroom
Vryburg
Bunalahleni
Ermelo
Piet Retief
Lydenburg
Hazeyview
Barberton
Middelburg
UpingtonKathu
PortElizabeth
EastLondon
Mthatha
Port Alfred
North West
Fourways
Edenvale
Messina
Tephalale
Modimolle/Bela-Bela
Tzaneen
Rosebank
Stellenbosch
Vredenburg
WesternCape
George
Paarl
Tokai
Malmesbury
Worcester
Cape TownCity
Midrand
Silverton
Montana
Faerie Glen
Pretoria West
Pretoria Central
Paarden Eiland
Montage Garden
1 1 1 1 1 1 12 2 2 2 2 2 2
Parklands
Hermanus
2
Existing Stores
Express Mini Store
Large Store(Store size: 500-700m )
Other Regions Out Of South Africa Available
(Store size: 200-300m )
Distribution ReachD
ISTR
IBU
TIO
N R
EACH
Target Market
PRIMARY
SECONDARY
End-Users
AUTOMOTIVE
PUBLIC SECTOR
ELECTRONICS
ENTERTAINMENT ENGINEER
ARCHITECT / DESIGNER
HOSPITALITY
PETROCHEMICAL
MANUFACTURING MEDICAL
MINING / MINERAL PROCESSING
IRRIGATION / PUMPS
CORPORATE / COMMERCIAL
AGRICULTURAL
RETAIL
Contractors
BUILDING / SHOPFITTER ELECTRICAL
GENERAL IRRIGATION / PUMPS
MINING / MINERAL PROCESSING SERVICE
SIGN-WRITING
Resellers
Manufacturers
ELECTRICAL WHOLESALER
RETAIL
STOCKIST
ORIGINAL EQUIPMENT MANUFACTURER
PANEL BUILDER
HARDWARE
SPECIALIST
DISTRIBUTOR
OU
R M
ARK
ETIN
G E
FFO
RTS
The ACDC Express brand is backed by a dynamic and motivated marketing team that is committed to creating awareness and excitement around each store, as well as maintaining a strong brand presence within the market.
National:• Print
• Radio• Exhibitions• Social media• Online marketing• Quarterly and seasonal specials
Local:• Community publications• Street pole advertisements• Sponsorships• Charity drives• Corporate gifts• Launches
Some Existing AdvertisingEX
ISTI
NG
AD
VER
TISI
NG
PRINT ADVERTS
SPECIALS
Lighting
Wire & Accessories
Sockets & Switches
Security
Audio & Visual Alarms
Enclosures
Solar
Pumps & Levels
Electronics
Household Tools
Switch Gear Industrial
Automation Timers & Sensors
Specialists in:Lighting
Wire & Accessories
Sockets & Switches
Security
Audio & Visual Alarms
Enclosures
Solar
Pumps & Levels
Electronics
Household Tools
Switch Gear Industrial
Automation Timers & Sensors
Specialists in:
www.acdcexpress.com
@A
CDC
Expr
ess
Everything Electrical for the Home, O�ce & FactoryEverything Electrical for the Home, O�ce & Factory
EXTRACTIONFANS
DOWNLIGHTSDECORATIVELIGHTING
Strijdom ParkTel: 011 251 5600
Strubens ValleyTel: 011 675 2137
CenturionTel: 012 003 2030
BloemfonteinTel: 051 101 0206
Somerset WestTel: 087 310 0120
MaputoTel: 00258 217 20636
NelspruitTel: 013 752 3797
PolokwaneTel: 015 297 6136
RustenburgTel: 087 150 1354/5
BallitoTel: 032 946 2131
Stores Nationwide:
LED STRIP LIGHTING
SOCKETS &SWITCHES
Strubens ValleyTel: 011 675 2137
CenturionTel: 012 003 2030
BloemfonteinTel: 051 101 0206
Somerset WestTel: 087 310 0120
NelspruitTel: 013 752 3797
PolokwaneTel: 015 297 6136
Strijdom ParkTel: 011 251 5600 www.acdcexpress.com
MaputoTel: 00258 217 20636
@A
CDC
Expr
ess
RustenburgTel: 087 150 1354/5
BallitoTel: 032 946 2131
Pool Lights
Flood Lights
Wall Lights
Downlights
Decorative Lights
Garden Lights
Everything Electrical for the Home, O�ce & Factory
Follow us on:Stores Nationwide
Solar
Pumps & Levels
Electronics
Household
Switch GearAutomation
Lighting
Wire & Accessories
Sockets & Switches
Security
Audio & Visual Alarms
Enclosures IndustrialTimers & Sensors
Tools
Specialists in:
Earthworks, Half Page, June 2013
EXIS
TIN
G A
DV
ERTI
SIN
G
Some Existing AdvertisingEX
ISTI
NG
AD
VER
TISI
NG
SOCIAL MEDIA MARKETING
EXHIBITIONS
STREET POLE ADVERTISING
FACEBOOK TWITTER
Some Existing AdvertisingEX
ISTI
NG
AD
VER
TISI
NG
BILLBOARDS
NEWSLETTER & PRODUCT ALERTS
Everything Electrical for the
PLUG TOP
Take advantage of this
ONCE OFF
SPECIAL SNP300-WH
SNP300-BK
SNP300-R
SNP300-CL
SNP300-BL
SNP300-OR
SNP300-Y
SNP300-BR
15A White Snapper Plug Top
15A Black Snapper Plug Top
15A Red Snapper Plug Top
15A Clear Snapper Plug Top
15A Blue Snapper Plug Top
15A Orange Snapper Plug Top
15A Yellow Snapper Plug Top
15A Brown Snapper Plug Top
R 6.83Only
Each
Valid from 1 June - 30 June 2013
NOW!www.acdcexpress.com
Q: What size of the store is needed?A: This will depend on the location of the site as we have speci�ed areas that need large or small sites.
Q: Can the franchise sell any brands other than that of ACDC?A: No, ACDC Dynamics will be the primary supplier of the brands to be sold. Secondary suppliers will need to be nominated by ACDC Franchise.
Q: Will ACDC Franchise �nd a location for me to lease?A: No, ACDC Franchise will provide you with a site selection guideline that will assist you in �nding the ideal location to open your store. Its suggested that at least three possible sites are selected encase the �rst one does not qualify.
Q: What is ACDC Franchise’s discount structure?A: As the recruitment process continues, this information will be made available to you. It must be said that the discount structure is very attractive and favourable at this point in time. Q: If I register as an interested applicant, am I �nancially committed?A: The process of registering merely shows your interest in the possibility of becoming a future franchisee. It needs to be highlighted that there is no �nancial commitment when registering. We as the franchisor will walk with you in terms of providing the necessary guidance and advice.
Q: Once the franchise agreement has been signed how long will it take before i can open my store and begin trading?A: To open and begin trading can take up to three months. This is primarily because of the branding requirements of the store, packing stock and any renovations the store may require.
Q: Can i take initiative and market my store locally?A: Yes, you are encouraged to locate and take part in possible marketing opportunities in your local area. All artwork will need to be designed and approved by head o�ce to ensure brand integrity.
FREQ
UEN
TLY
ASK
ED Q
UES
TIO
NS
Frequently Asked Questions
16
ACDC Express Initial Enquiry Application Form (Page 1)
ENQ
UIR
Y FO
RMM
Name: Surname:Contact No: Cell No:Physical Address: Postal Address:
ID No: Email Address:
Do you own a business?Business Name:Business Industry (Some Information):
orAre you currently employed?Employer:Position/ Occupation:Years Employed:
Q&AQ: Are you going to pursue this opportunity on a full time basis?
A:
Q: In which geographical area are you interested in pursuing this opportunity?
A:
Word of Mouth
Website
Publication
Other, if other, please specify:
Annexure 1E: The ACDC Express Prospectus 13
ACDC Express Initial Enquiry Application Form (Page 2)
Q: What do you know about ACDC Express?
A:
Q: Why are you interested in ACDC Franchise?
A:
A:
Q: Do you have any retail experience?
A:
Q: What business and/or sales skills do you have?
A:
Q: What unencumbered cash contribution do you have on hand to invest in ACDC Franchise?
A:
Q: What do you hope to achieve through owning this business?
A:
Q: Why are you interested in the retail industry?
A:
Q: Why are you interested in the electrical industry?
A:
Q: What are your interests and hobbies outside of the business arena?
A:
ENQ
UIR
Y FO
RM M
Annexure 1E: The ACDC Express Prospectus 14
ACDC EXPRESS STORE INFORMATION
www.acdcexpress.com
26 Nguni Drive, Longmeadow Estate West, Edenvale, Gauteng
Ricardo Maio-(Franchise Manager)Tel: 010 202 3360, Email: [email protected]
HEAD OFFICE
ACDC Building Douglas Crowe DriveBallito, Kwazulu-Natal
Tel: 032 946 2131Tel: 087 150 1584
BALLITO1-11 Hornby Street
Oranjesig, Bloemfontein, Free State
Tel: 051 101 0206
BLOEMFONTEIN
Shop 1 Cnr Kerk & Bantjies street,
LichtenburgTel: 018 632 2027
LICHTENBURGCrossing Centre
Cnr of Madiba Drive & N4Nelspruit, Mpumalanga
Tel: 013 752 3797
NELSPRUITShop No. 6
Hyundai Park, Howick AvenueWaterfall Mall, Rustenburg
North WestTel: 087 150 1354/5
RUSTENBURG
Unit E1 StrijdomCommercial Park, Tungsten Road
Strijdom Park, RandburgGauteng
Tel: 011 251 5600
STRIJDOM PARK
Cnr of Strand & Ford StreetLoumar, BellvilleTel: 021 946 1390
BELLVILLE
Cnr of N2 & Gerber BlvdStrand, Cape Town
Western CapeTel: 087 310 0120
SOMERSET WEST
Av. Uniao AfricanaNo. 759 Loja 1 MatolaMaputo, Mozambique
Tel: 00258 217 20636
MAPUTO
CENTURIONShop No. 10 Lenchen Centre
9 Jakaranda StreetHennopspark EXT 7Centurion ,Gauteng
Tel: 012 003 2030
POLOKWANEShop No. 8
Polokwane Lifestyle CentreCnr of Market & Landros
Mare StreetsPolokwane, Limpopo
Tel: 015 297 6136
STRUBENS VALLEYLifestyle Corner West
Rand Cnr of Nic DiederichsBlvd & Florin Road
Wilgeheuwel EXT 30Strubens Valley, Gauteng
Tel: 011 675 2137
STEELPOORT179 Bergsering EXT 3
SteelpoortTel: 013 230 9535