If this is your first introduction to Kitchen Tune-Up, you may be surprised by what you learn. Let’s go through the facts:

History: Dave Haglund, the founder, started his own cabinet company in 1975. In working with wood cabinetry he developed a process to maintain the wood which he eventually systemized to start this unique franchise concept in 1988.

Services Offered: In our case, our name does not say it all. Our four core services: include our unique 1 Day wood reconditioning Tune-Up, cabinet redooring, cabinet refacing and new cabinetry. In addition, we also offer storage solutions for any room of your home or business including closets, pantries, laundry rooms, garages and more. We offer solutions for any budget, with services available for every price point.

Customers: Collectively there has been a shift from the “Do ItYourself” mentality to the “Do It For Me” approach prevalent in customers today. Along with the shift, HGTV gave homeowners the desire to change their home, specifically their kitchen and bath. We show our franchise owners how to market and sell to this large target audience. Everyone has a kitchen and bath, and we help you find the customers that are ready to make a change. Highlights: We hate to brag, but you should probably know a little about how we are viewed by others in the industry. We are proud to be the leader as the #1 rated franchise in our category for over 20 years by Entrepreneur magazine. We have been featured in many magazines, newspapers and online as the expert in our industry. Kitchen Tune-Up franchise owners take pride in their brand and it shows. It takes teamwork to become an industry leader!

THe kiTCHen Tune-up brand

Marketing & SaleS…the ktU approach

Our specialized services demand a specialized marketing and sales approach. We set the bar for all other service businesses. Our marketing revolves around our signature “In-Tune Trustpoints.”

I’m sure you’re asking yourself, “How would I find customers?” Below are a number of ways our franchise owners find their customers:

internet leads: As part of the start-up package for each owner, they receive a customized website. With our national advertising campaign we do search engine optimization and generate leads for our owners with our PPC program. Along with that, owners will do local marketing to direct traffic to their website.

traditional Marketing: As part of the initial start-up package we supply owners with artwork, brochures, literature, etc. that they can use in their marketing efforts locally. We also aid our owners in customizing ads and flyers that they can distribute. We have a “Campaign Calendar” to help them in formulating an advertising plan.

Social Media Marketing: During our training process we teach you how to take advantage of social media in building your brand: Facebook, Houzz, Google+ and many more opportunities that you can implement.

press releases: We develop press releases for you to use starting when you first launch your business. As you grow your business there will be many other opportunities for press releases and public relations.

Booth Set-Up opportunities: There are many places that franchise owners can promote their business: home shows, fairs, real estate agent meetings, community events, chamber of commerce events, etc. The list is very long. This is a great way to get in front of many customers in a short amount of time. We have professional booths for rent or you can purchase your own.

networking: There are a number of groups within your community that you can network with: business networking groups, builder associations, chamber of commerce, etc. These again are good places to find potential business but also make connections within your community to find sub-contractors, other service providers and potential employees!

Marketing & SaleS…the ktU approach

cross Marketing: Speaking of other service providers, you can do joint marketing with other home improvement or service businesses to generate leads: carpet cleaners, window cleaners, lawn care services, furniture stores, flooring and tile shops, etc. People that use these services are typically people that take pride in their homes and will remodel or update their kitchens and baths at some point.

customer referrals: We have a Friends and Family Referral Program to encourage your current clients to help you grow your business. They actually need very little encouragement because they are so happy with the results the first time they work with you. It’s just another way that we go the extra mile to “remodel expectations.”

promotions: You would be surprised the amount of leads that can be generated from a professional signed vehicle. People will see you in their neighborhood, on the freeway, in a parking lot. And add that exposure to your yard signs, event sponsorships, branded clothing and so many other ways to build your brand in your market.

The best thing about joining an established franchise is that you do not need to “reinvent the wheel.” We have all the ads you need built and ready to go to print! Brochures, letterhead, flyers, business cards? Done! Our marketing team vigilantly vets out all marketing vendors and presents only the most qualified to our franchise owners. How about doing bids for customers? We have customized quoting software that gives our owners the ability to quote customers right in their home on the very first visit.

When you decide to become a Kitchen Tune-Up franchise owner your initial investment is $39,995. We offer one of the lowest investments that you will find in franchising today and this investment includes the franchise fee, protected franchise territory, initial start-up package, pre-training program, in-class training and post-training program. Below is a list of some of the items that are included in your initial package:

Proprietary Software Sales & Training Aids Customized Website

Specialized Tools Business Operation Manuals Tablet Computer

Marketing Material & Plan Business Coaching Ongoing Training & Support

Tune-Up Restoration Products Product Samples

WHAT ELSE CAN YOU EXPECT FROM KITCHEN TUNE-UP?

A PROVEN SYSTEM OF OPERATIONExperience is defined as the act of living through an event. With our number of years in franchising, our system has seen it all. Our system of operation gives you the knowledge, guidelines and methods you need to be successful.

A PROVEN MARKETING SYSTEMRunning a home improvement business has its own set of rules and Kitchen Tune-Up has the rule book. With or without marketing experience, you will learn a whole new way to find the clients you need. Kitchen Tune-Up knows what it takes to get business and we cover all the bases.

A PROVEN TRAINING PROGRAMYou want to learn how to run a successful business. We begin your training with a two week home study course, which is followed by our comprehensive five day, in-class training at our Home Office in Aberdeen, SD. You will learn how to run, manage, market and sell your products and services. After the in-class training you will work one-on-one with our Marketing Specialist to complete your 12 Week Action Plan helping you hit the ground running with your KTU business. We work together to ensure your growth as a business owner and as an individual. But remember, this is only the beginning.

INITIAL INVESTMENT - A FRANCHISE YOU CAN AFFORD

ONGOING TRAINING AND SUPPORTOur philosophy at Kitchen Tune-Up is that training and learning is an ongoing process. Our industry is always growing with new ideas. With this in mind, we strive to keep you informed and trained in the home improvement field. Your knowledge will keep expanding with our weekly emails, monthly newsletters, online owner’s forum, National Reunions and webinars.

GROUP BUYING POWERNegotiating a better price for the franchisees and their customers is just one more benefit of working within a franchise system. With the buying power of a group of franchise owners, you will enjoy some very competitive pricing! With larger volume buys each owner will benefit from special perks not afforded to local kitchen and bath businesses.

THE OPPORTUNITY IS YOURS!

There are millions of homes, apartments and commercial locations that exist today and as these properties age, more and more are in need of our services. There are billions of dollars spent each year to remodel both residentially and commercially. Kitchen Tune-up has found a unique niche’ in this industry with our “minor improvement” products and services. We bring over 40 years of industry experience, coupled with 26+ years of franchise expertise, so you so you don’t have to re-invent the wheel!

INITIAL INVESTMENT - A FRANCHISE YOU CAN AFFORD

One huge advantage to being a Kitchen Tune-Up franchise is the variety of products and services you can offer. You truly are able to offer a price point that will fit any remodeling budget! Plus, you’re not limited to the residential market. Our franchise system has done many jobs commercially: banks, hotels, motels, colleges and universities, churches and many more places. Look around your community, how many places do you thing would benefit from Kitchen Tune-Up and the services we provide?

Specialty Wood care ServiceS:

the tune-Up: This is an exclusive one day restoration process that includes a complete reconditioning of woodwork. We work with the original finish to bring it back to like-new condition. With the process we can fix problems such as color damage, scratches, gouges, finish damage and more. In addition to cabinetry, this process works on other wood surfaces including furniture, window frames & sills, interior doors and trim, banisters & mantels and almost any wood surface. This service gives you the ability to offer maintenance programs in both the home and office. Wood is not maintenance free and some people like to keep their wood services looking new year around. Think of the potential in restaurants, hotels & motels, universities, banks and so many more places. The average sale of a Tune-Up is $1,480* with a gross profit margin of just over 68%*. See the results by viewing some before and after picture on our website.

* These figures are disclosed in Item 19 of our Franchise Disclosure Document.

oUr ServiceS

Before after

Specialty Door replacement ServiceS:

cabinet redooring: An affordable one day option to replace cabinet doors & drawer fronts. We can match the existing cabinet color or change the color by painting or custom stain matching the cabinets to match the new doors. This is a very cost effective way for a customer to get the look of a brand new kitchen but not have the price tag associated with it. It also gives the customer the opportunity to put a little “sweat equity” in to their remodel if they would like to paint the cabinet boxes on their own. The average sale for this service is $3,946* with a gross profit margin of just under 54%*. To see the difference redooring can make click here.

* These figures are disclosed in Item 19 of our Franchise Disclosure Document.

our ServiceS

Before

after

Specialty Door replacement ServiceS:

cabinet refacing: Refacing differs from redooring because in addition to new doors and drawer fronts, the cabinet box face frames, exposed ends and more are finished with a new real wood veneer. This is typically a 3 to 5 day process and gives the customer the opportunity to completely change the look of their kitchen or bathroom. Compared to custom cabinetry, refacing saves the time, cost, and mess that can be involved with a complete remodel. The average sale for this service is $6,836* with a gross profit of just under 50%. Click here to see some dramatic changes that our owners have made to their customers’ homes.

cabinet refacing plus: If a customer likes the ease of refacing but desires a few other changes, we can do that! Clients can add an island, pantry or additional cabinets to their existing layout to match the refacing material. This makes it possible to improve the functionality of a kitchen or add storage without the need for a full remodel.

* These figures are disclosed in Item 19 of our Franchise Disclosure Document.

our ServiceS

Before after

Specialty cuStom cabinetry:

new cabinets: We offer multiple cabinet lines and options to our customers: stock, semi-custom and custom. We have design services available for our owners. With a variety of price points available, you can meet the needs of the small builder to the high-end client. The average sale of cabinets is only $10,525* with a gross profit margin of just over 41%*.

and there’S more!

There are a variety of additional profit centers associated with our services beyond kitchens. They include bathroom remodeling, custom closet organization, countertops, roll-out shelves, organization systems, accessories, hardware, lighting and so much more. Our services can be used in other rooms in the customers’ home or office.

* These figures are disclosed in Item 19 of our Franchise Disclosure Document.

our ServiceS

Step by Step - becoming a KtU FranchiSe

Step 1 - attend Webinar: This is a 30 minute informational webinar with the KTU Vice President, Heidi Morrissey. This is a great way to start your evaluation of Kitchen Tune-Up! Call Craig Green or Chris Tye at 800-333-6385 or email us at franchise@kitchentuneup.com to schedule a webinar time.

Step 2 - return application: Once you attend a webinar you’ll be asked to complete and return an application for consideration. At this point you’re not committing yourself to anything! You’re just telling us you have a genuine interest in Kitchen Tune-Up and you want to learn more. You can mail, email (franchise@kitchentuneup.com) or fax it to the Home Office at 800.308.4206.

Step by Step - becoming a KtU FranchiSe

Step 3 - receive FDD, Sign & return receipt, review FDD: Once your application is approved, you’ll be emailed an electronic version of the Franchise Disclosure Document (FDD) which contains all the pertinent information about the franchise. It also includes a copy of the franchise agreement. Upon receiving the FDD, immediately sign, date and fax us the Receipt as we use this date as your starting point for disclosure. You must have possession of the FDD for a minimum of ten business days for your review.

Step 4 - talk to Kitchen tune-Up franchise owners: At this point you’ll also have the opportunity to call existing KTU franchise owners to learn about their experiences in our system. They will supply you with valuable insight in learning more about our system.

Step 5 - Determine protected Franchise territory: We will work together to determine your protected franchise territory. We consider household income, age of housing units, owner occupied housing units and much more when we determine a franchise area.

Step 6 - Sign & return Deposit agreement: After reviewing the FDD and determining the franchise territory, if you decide Kitchen Tune-Up is the right franchise for you, email or fax us the signed Deposit Agreement, and mail your deposit to the Kitchen Tune-Up Home Office.

Step 7 - complete pre-training: Kitchen Tune-Up provides an online home study Pre-Training course, to help maximize your education and to prepare you for training school.

Step 8 - receive copies of Franchise agreement to review: Prior to attending training school we will supply you with two copies of the franchise agreement to review. You will bring these with you to training school and they will be signed the first morning.

Step 9 - attend training School: We have a list of training school dates for you to choose from. Our 5 day training school is comprehensive and includes everything you need to start your franchise. We’ll provide you with a Trip Planner checklist so you can make your travel arrangements. Plan early in the process which training school you’ll attend.

If you have any questions about this process please feel free to contact Craig or Chris at 800-333-6385 or email either one of us at craig@kitchentuneup.com or chris@kitchentuneup.com.

OptiOns fOr YOur Business

Kitchen tune-up – Home Based or retail, it’s up to You!

Along with the variety of products and services that our franchise owners can offer, they also have options when it comes to a business location. Each owner has different goals when it comes to owning their own business. Some people want a retail business that customers can visit, some want to be home-based so they’re not tied to store hours, some want the best of both worlds. Kitchen Tune-Up can be operated in any of these formats:

1- Operate from your home: With this option you’ll operate with lower overhead and lower start-up costs compared to a retail location. You’ll have a mobile franchise business and bring your store to the customer’s door to offer the full range of Kitchen Tune-Up products and services.

2 - Design studio: A small location (400-500 sq. feet) open for clients to visit by appointment. A studio functions as a business setting for employees and clients to gather and explore a greater range of product options.

3 - Kitchen & Bath Design Center: A larger retail location (ideal for strip malls) with an impressive full service showroom at a minimum of 800 sq. feet. This option is for the aggressive business owner who wants to establish substantial market share. This is a business model you can start with or work your way into.

The choice is yours! Contact us today to learn more about Kitchen Tune-Up and how we can work with your dream of owning a business.