Making The Right Cut

Friday, July 17, 2009

some comments from satisfied customers

Thursday, July 09, 2009

newsbarbers franchise


Contact us at 952-78-79. Look for Mr. Buddy Gonzales.

After seven branches and growing, Newsbarbers Co. is finally embarking on its franchising program to bring the newsbarbers brand closer to more number of places and people.

We’re looking for entrepreneurs who want to start a business in the grooming industry and would like to bank on a tested brand...

Businessmen who want to expand to another field are also welcome.

Newsbarbers primarily caters to male clientele but has grown over the years to become a full service unisex salon.

Join us and become our first 5 franchisees this year.

newsbarbers franchise

Basic facts on Newsbarbers franchise

1. How do interested party/ies apply?

Interest parties are required to submit a formal letter of intent including information on their background and existing business/s if they have.

The franchise applicant is also requested to name at least two possible locations that they think would be suitable for a Newsbarbers branch.

The letter must be addressed to:

Newsbarbers Company

Lower Ground Floor, Ever Gotesco Commonwealth

Commonwealth Avenue, Diliman, Quezon City.

Contact Nos. 952-78-79

The letter could be hand-carried or sent via mail.

Note: The applicant must indicate his or her complete contact details in the letter. Other documents will later be requested depending on the status of the application.

2. What is the minimum area for a Newsbarbers shop?

The ideal area is between 40 to 55 square meters, preferably located inside a mall, which could accommodate seven to eight barbers chairs.

Prospective shops located outside the mall milieu could be between 30 to 45 square meters with parking provision for at least two cars.

3. How much is the franchise fee?

The franchise fee for a mall-based Newsbarbers shop is P500,000 for a five-year term. Outside the mall is P250,000 for three years. This is exclusive of the total cost of putting one Newsbarbers shop. The franchise contract is renewable upon expiration.

The fee covers the following:

- Use of Newsbarbers name and trademark

- Finding/securing a suitable location

- Recruitment and training of staff

- Managerial training and other assistance

- Construction assistance

4. How much capital is needed to put up a Newsbarbers shop?

The capitalization for one Newsbarbers shop is P2.5 million to P3 million when located inside the mall. When outside the mall, it is P1.5 million. The price may still vary depending on the size of the area.

This includes:

- Shop construction or improvement

- Construction/design management fee

- Advance rental/security deposits

- Licenses and permits

- Equipment and other effects (including barber chairs and fixtures)

- Initial stock/supply of service and office supplies

- Staff requirements

- Initial marketing and promotion

5. How much is the royalty fee?

The royalty fee is ten percent of the monthly gross sales.

6. Does Newsbarbers Co. provide possible locations or does the franchise applicant look for the site?

A. If a franchise applicant has a location or site in mind, Newsbarbers will evaluate its viability.

B. In the absence of a preferred available site, Newsbarbers will look for a prospective location on behalf of the franchise applicant.

7. What is the projected return on investment (ROI)?

ROI varies depending on the location and market. Rate of rental, operating costs and management policies are also key factors.

In some of our successful branches, the ROI is one and a half to two years.

8. How do you market/promote a franchise shop?

Advertising/promo costs for a particular Newsbarbers shop are jointly shouldered by the franchisees and the mother company.

The company, from time to time, may embark on its own advertising blitz for the benefit all of the branches (company owned or franchises) while a franchisee may do the same with the consent of the mother company.