BudgetBeauty ORANGEFranchise Sales Presentation for States of J & K

Index1. Background.2. Physical manifestation of brand.3. Business concept.4. Competitive business advantage.5. Customer profile.6. Brand positioning.7. List of services offered.8. Human Asset Planning.9. Training policies.

10. Architectural drawings.11. Retail pricing strategy.12. Brand communication.13. Brand Mascot Spiky.14. Marketing, Advertising and Sales Promotion.15. Timeline.16. Ideal Location.17. Our requirement..18. Profit Estimation.19. Territory reservation.20. Next step forward.

Background● Grooming is a fast growing, recession proof industry that enjoys over 10%

YOY growth.

● Zafar Khan promoter of BudgetBeauty brand has over 25 years business

experience, first as an business consultant then as an very successful

entrepreneur.

● BudgetBeauty Private Limited is an company constituted and headquarted in

Mumbai, India.

● BudgetBeauty began its business operation in June 2013 and in few short

months has built 2 franchised centres in Mumbai.

● BudgetBeauty plans to build a global chain of salons in next few years.

● BudgetBeauty is professionally managed.

● BudgetBeauty was formed to provide value-for-money services to retail

consumers that is by cutting out business frills and passing the benefit to the

retail patrons.

BudgetBeauty Brand Mascot Spiky.

BudgetBeauty mascot with logo

Business concept.BudgetBeauty Orange Salon is a very compact salon that needs no plumbing and is built in high retail footfall area which provides DRY hair cutting and DRY hairstyling services at lowest possible cost to retail customers.

Competitive business advantage.● BudgetBeauty Orange Salon is built to become

an unorganised sector salon killer. ● National branded services provided at par with

pricing of local salons would act as a magnet to wean away customers from unorganised sector salon to BudgetBeauty Salon.

Target customer profile● Females who shop at Big Bazaar type of retail

outlets are primarily value hunters they are the same type of people who patronise BudgetBeauty Value-for-money-salon.

● Students with limited pocket money find BudgetBeauty quick designer haircuts and hairstyling at low prices a big draw.

● Young stylish male wanting a fashionable haircut find BudgetBeauty Orange irresistibile.

Brand positioning.1. BudgetBeauty as the name suggest stands for

beauty services provided in a budget.2. BudgetBeauty as a brand stands for ‘Value-for-

money-concept.3. BudgetBeauty as salon brand is best

compared to ‘GoAir’ Airline services that is great service without frills.

List of services offered1. Dry Haircut.2. Dry Head Massage.3. Hair Straightening.4. Hair Blow Drying.5. Beard and Mustache Trimming.6. Eyebrows shaping.

Human Asset PlanningBudgetBeauty Salon would need a minimum of 3 Hair Stylist and 1 cleaner.The franchisee owner is expected to manage the salon on a day to day basis.However once the salon is well set a Senior Hairstylist could be promoted as Salon Manager.Its best to hire local staff however the franchiser would assist franchisee in sourcing staff from Mumbai.

Training PoliciesIt is mandatory that staff hired for BudgetBeauty Salon are screened, graded, and trained by BudgetBeauty Corporate Office.We will depute our corporate trainers from Mumbai however the franchisee will need to directly bear their out of pocket cost such as Air Travel, Lodging and Boarding for a week.Franchisees can also opt to arrange video conferencing based training at their end. The training feed provided from our corporate office is without obligation and same is imparted as per need.

Architectural drawingsThe corporate office provides standard architectural drawing as part of the package.The franchisee needs to get the target premises measured and measurements converted to an Autocad drawing at their end. They also need to take pictures of premises externally and internally.Empanelled design and design audit architects list will be provided the franchisee will need to source their design adaptation from them upon paying recommended design adaptation and design audit fees.

Retail Pricing StrategyThe base unit price for availing of any services is Rs. 149/- Only. This includes local taxes.Haircut Rs. 149/-Blow Dry Rs 149/-Head Massage Rs 149/-Hair Straightening by Hair Ironing Rs 149/-Beard/Mustache Trimming Rs 99/-Eyebrows shaping. Free if taken with any other service on week days only.

Brand CommunicationMarketing, Advertising, Sales Promotion are to be carried out in accordance the franchisers brand rule book. Pre-press/Pre-fabrication advertising design and artworks are provided upon request and as per need of the franchisee partner and without any extra cost.

It is mandatory that franchisee promotes and provides 7 days of free trial services to carefully selected target groups at time of their Salon inauguration.

Franchisee is expected to publish one advertisement from provided artwork in their local daily announcing the inauguration of their salon.

BudgetBeauty Kiosk Model

BudgetBeauty Kiosk Model

Time-LineIt takes around 60 days from date of payment realisation to building and inugurating your salon.

For staffing please inform 30 days prior to inauguration.

It will take 45 days to build and ship your ready to assemble kiosk from mumbai/ If it is a shop model and fabrication is involved then franchise will need to execute the fabrication part locally.

Ideal LocationThe ideal location to select for building your BudgetBeauty Orange Salon would be any area that has a natural retail footfall catchment area such as a Mall, Shopping Plaza, Bus/Railway Terminus/Airport waiting room, Universities, Colleges, Courts, Large Hospitals, City Square, Retail High Streets, Next to Mac Donalds/ Cafe Coffee Day etc. Close to Large Format Big Bazaar. It is advisable to pay a little extra for prime retail space as it pays for itself.

Ideally your retail lease rental budget should not exceed Rs 75,000/- per month. Pan-India average is Rs, 50,000/-

Our requirements:1. You should be willing to make necessary capital investment.2. Be in a position to operate your salon according to our rules and

regulation on a day to day basis.Description Amount Comment

Franchise Establishment Fees 4 Lac Paid once prior to contract signing.

Territory Reservation Deposit 1 Lac Refundable and non interest bearing.

Royalty Payment As per your capacity

Computed as Rs. 15000/- plus Rs 3000/- per styling chair.

You will need to make provisions for lease rental deposit, cost of interior, cost of tools and equipment. Pan-India average to build a BudgetBeauty Orange Salon is around Rs 10 to Rs 13 Lacs all said and done till Inauguration which completes Phase I. In Phase II you will incur only operational expenses.

Contract period is 5 years, renewable upon mutual consent and by paying franchise renewal fees of Rs 2 Lacs to acquire renewal of next tenure of 5 years.

Profit estimationDescription Amount Comment

Pan-India average sales

2.5 Lac pm To arrive at projected steady state sales it would take around 18 months.

Average Monthly Operating Expenses.

1.5 lac pm Includes all kinds of operating costs, such as salary, rent, electricity, royalty, mainrenance, phone, stationary and refreshments.

Profit Estimation 1.0 Lac pm Profit before taxes.

Territory reservation rulesBetween two BudgetBeauty Salon 1 km distance shall be maintained as reserved territory so that franchisee partners could reap rich rewards from their own effort upon development of their own territories.

However a Mall is an exception to the rule. A Mall is treated as an universe unto itself and reserved as part of contract.

While calculating distances Google Map cartography is marked as final for measuring distance by the road as an vehicle would travel.

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1. Promoter Zafar Khan. 2. BudgetBeauty Mascot. 3. Terence Lewis inaugurates and gets maiden haircut at BudgetBeauty Salon. 4 Ribbon being teid up pre-inauguration.

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1. Customers que up for promotional haircut at just inaugurated BudgetBeauty Orange Salon at Growel 101 Mall. Mumbai on Sept 2013. 2. Franchisee partner Steven, Bollywood Choreographer Terence Lewis. 3. Terence Lewis franchisee and his staff. 4 BudgetBeauty Orange as seen from Mumbai’s largest BigBazaar Department Store.

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Photo gallery

BudgetBeauty Super Star Centre breaks records of sort, achieves 301 haircut in a single day earning for the franchisee single day sales revenue of Rs 30,000/-+...Hurrah!

For Jammu and Kashmir please contact our Authorised Master Franchisee: Mr. Basheer Khan Mobile: 09419091627

BudgetBeauty Mascot Spiky being sculpted in a Mumbai Studio.