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Franchisees | Inspire

franchise agreements. It was quite a lot, about $330,000. We refinanced our property to get the cash.” The shop is situated between Woolworths and K-Mart but Jon is waiting to see what happens to trade when the second stage of the redevelopment is completed and three or four more food outlets are located in the cafe lounge area.

Image: Thinkstock

A bustling location has proved a great boost to newbie Deganis franchisees Irene Tzallas and Helen Papadotoulos.

Image: Degani

So what was the process? For the lease, RFG, the parent company of Michel’s Patisserie, handled negotiations with the landlord and Jon co-operated with the group’s regional development manager. “We were involved in floor planning. We put in our suggestions, what was needed by law, and approved the plans before they went to the centre. They made some changes like moving the washing up area. Operationally it’s harder but it’s better for customers.” The next stage, the refit, was all organised by the RFG team and it came in within the timeframe. The kiosk seated 58, now the shop only caters for 42 sit-down customers. But a separate storage area was created and that’s been a great help, says Jon. Jon has just renewed his franchise agreement for

JUSt StARtING oUt

This is a fantastic location at the edge of the centre five years, with the lease expiring in six years. He had signed a three-year agreement at the kiosk, and this A became D _ F RaArolling L S 2 agreement M A R _ 1 3after . p the d f three P ayears ge because the centre renovation was scheduled.

“We wanted to have a little cafe, and this is a fantastic location at the edge of the shopping centre, in front of the car park so everyone has to go past us to go in, and they come past on their way out and they pop in for a coffee. “None of us have hospitality experience, I was a receptionist for a real estate agent, Irene was in the cleaning sector,” explains Helen. “I did work in other Deganis before opening up, I worked in the kitchen, in front and back of house, so I had an idea of what to expect. “The cafe is open from 7am to 10pm. It’s a long day but because you’re so busy, you don’t notice. “We’ve been open two and a half months, and 1we’re 7 /loving 0 2 / it,1 we’re 3 , enjoying 1 1 : 0 making 8 A Mfriends. The business is going well.” F

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Franchising Magazine May / June 2013  

What should you look for in a franchise? Find out nine key elements to consider before you purchase in the latest issue of Franchising magaz...

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