Introduction:

The Coffee business is a multi – million dollar industry around the world. Everyone, everywhere, consumes coffee on a daily basis.

Regardless of race, background, education, social status or gender, coffee remains the most favorite hot beverage consumed by all. In our fast moving societies and way of life, coffee shops are becoming a necessity rather than a luxury.

People of all ages stop at a coffee shop for all reasons, whether resting briefly on a busy shopping day, or meeting for a business discussion, or perhaps just relaxing a bit and meeting with friends over a hot cup of coffee.

The Colombiano Difference:

Colombiano emphasizes providing a first class environment, service, and atmosphere offering a varied menu, while maintaining a moderate and highly affordable prices.

Colombiano Coffee House (CCH) is a business AND social meeting place for everyone, providing a pleasant experience that is relaxing, cheerful and passionate.

What differentiates CCH MOST from it's competitions is the warm and friendly atmosphere coupled with very efficient and highly trained personnel, the large and appetizing variety of hot and cold food and beverages, the possibilities to enjoy hours of your personal time, the way you want it, all combined to provide a new experience in the coffee house industry.

Expansion:

Territory Franchises are now available for Russia where the business environment in general, and the hospitality sector in particular, offer great potential for investors interested to become involved in a highly successful business line which has proven its success worldwide... the coffee house business.

In partnership with the International Franchising Group, Colombiano's expansion plans aim to cover the most lucrative territories in Russia, including the capital of Moscow.

Depending on demographics, territory and special factors, CCH franchisees are encouraged to develop between 15 to 60 branches in every territory.  Considering the relative LOW cost of developing each Coffee House, this would provide a vast business opportunity for the Master Franchisor who will hold the license to open such branches or to sub franchise individual CCH branches within his or her territory.

Coffee House Business Micro Opportunity:

Your own Colombiano Coffee House business

CCH provides operation manuals and a business development plan that takes away the guess work and reduces the usual risks involved in any start up business. Each CCH has a fixed start up investment and running costs that are properly evaluated with the exception of variations in the location and size of the real estate.

All CCH branches are located in prime, high traffic areas , which are an essential basis for it's success. The CCH Franchisee can expect training support at the pre-launch phase and continued monitoring and upgrading support as time goes by.

The CCH Franchisee will benefit from a general outline of every detail of the house decoration, furniture, menus, operations and management procedures.

As such, every CCH, regardless of city and location, will have the same feel, concept, menu, service, and standard as any other CCH, which helps create a regional image. The CCH franchisee will also benefit from the Overall CCH Image as well as from the branding efforts and concept market positioning provided by the Franchisor, thus creating an attractive and prestigious business opportunity for the Franchisee.

The Franchisee will also appreciate the support provided during the profiling and selection process of the coffee house staff and other Human Resources requirements, at all levels for the CCH branches. Since the success of every business depends on the skills and professionalism of its management and employees, even the training manuals for personnel and staff, needed to comply with the high standards of CCH , are also provided to the franchisee.

The CCH franchisee will also receive a master marketing plan outlining the recommended marketing guidelines and procedures, making it simple for local adaptation in every territory. A staff incentive plan based on performance and efficiency is also recommended by the Franchisor, with the purpose of making all CCH branch members in the territory feel that they are part of one large CCH family.
 

Being part of the CCH family also means that the Franchisee is part of a strong and growing international group and can enjoy the continued support, backing and know how of a large number of people , committed to the success of CCH.

Successful People - Successful Brand

There is an old proverb that says “Businesses don’t fail, people do”

Colombiano Coffee House believes that a business reflects the efforts of the people who are running it and mirrors the abilities of the individuals. In any kind of business, the strengths and weaknesses of the management will be reflected in business and results.

 

Every CCH Franchisee must be able to balance their entrepreneurial initiative with a willingness to comply with the business formulas used by the Franchisor. Furthermore, a successful partnership between a Franchisee and a Franchisor involves a mutual understanding of each other's values and achievements.

Becoming a CCH Franchisee is based on an ongoing relationship between the Franchisor and the CCH Franchisee. As Franchisors, we care about our long term successful relationship with the Franchisee and consequently look for the entrepreneur that best satisfies the following criteria:

Financial Stability

A CCH Franchisee may be the perfect candidate as a CCH territory Franchisee or sub-Franchisee, in terms of social standing and reputation, but may not be capable, or at least ready, personally and / or financially, to properly devote the needed financial support and cash-flow backing that the Colombiano Coffee House Franchise may need for success in a particular territory.

The potential CCH Franchisee must therefore have a positive financial track record. In particular, the candidate must have, individually, as an investor in a company, or part of a group, a proven history of positive cash flow and strong financial health, which will render the Franchisee’s support level much safer and comfortable when facing unexpected business pitfalls.

The candidate must also be , at the time of evaluation, financially very stable, personally , and – or capable of having easy access to financial institutions willing to provide him with the financing needed for the successful development of the CCH Franchise and network of branches.

Management Expertise

A CCH Franchisee may have both, great Moral standing and excellent Financial capabilities. Still, to increase chances for success, the CCH Franchisee must have a solid previous management experience to ensure the success of the business. The candidate must also enjoy a clear understanding of both, the profiles of the key positions in the management team and the experience needed for every person in each one of these key positions, as recommended by CCH, and then a carefully selected professional team to efficiently perform the job tasks in order to insure maximum success.

Although the CCH Franchisor offers a highly advanced level of support in terms of Coffee House management and operation, NO plan can implement itself without GOOD and professional front line people, and no Coffee House can succeed without the full and effective support of the Back office management and support staff. For the success of the CCH business, it is very crucial that the Franchisee possesses a carefully selected professional management team who will in turn be the main reason for the smooth running and professional success of the business.

Historical Success

A CCH Franchisee may have high Moral standards, large financial resources, and successful Management capabilities.

Still, success may not be evident except maybe if the Franchisee has already registered previous business successes as well as continued potential for success. This may be demonstrated if the candidate has historically accumulated the needed experience to positively deal with, and successfully surmount, the common (and not so common) business challenges, with which he / she will normally have to deal with in his / her other businesses and which are normally needed to ensure the success of the CCH Franchise.

The Franchisee must prove his capability and expertise to run the business effectively and to make the right management choices and to take financial decisions even during an economic recession to ensure the continued successful and profitable running of the franchise. Although the Franchisor is always there to offer solutions when there are problems, it is the Franchisee who needs to immediately identify and quickly respond to all operational problems, and overcome any and all business difficulties, with unquestionable success. Proven track records will back-up the Franchisee for a far better and more rewarding CCH operation.

Strategic Vision

A CCH Franchisee may have it all, Moral wealth, financial wealth, Management wealth as well as Historical wealth. However, to increase the chances of success, the CCH Franchisee must have as well a clear vision of the required strategy to achieve his / her CCH goals successfully.

He / she must be able to establish a clear development strategy and growth plan for the CCH franchisee in the Franchisee’s territory (or country) and must clearly understand the needed requirements to realize them, thereby making sure that they are met in a positive and successful way.

The CCH Franchisee should be clearly focused on establishing, believing in and continuously upgrading the long term goals and strategies that best fit the CCH business and best comply with the success requirements of both, the Franchisee and the Franchisor. The Franchise agreement duration goes up to a decade, and may extend with time. This will bind both the Franchisee and the Franchisor for a long, long time, for the worse or for the better, and preferably for the BEST.

A clear, well stretched out and well defined strategic vision for the CCH business expansion and development in the territory (or country), together with a detailed execution plan, should therefore be carefully prepared and presented to the Franchisor by the potential CCH Franchisee for evaluation and approval by both parties before any binding accord is made.

A CCH Franchise is a business with a blueprint for success...

Colombiano Coffee House is actively looking for associates, partners and team players who believe they encompass the above listed criteria for success. We would be very pleased if you would join our team and become part of the Colombiano Coffee House way of life.
 

Frequently Asked Questions:

1. What are the recommended opening hours?

Depending on the local market breakfast trend and night habits, in the franchisee territory ,as well as on the competition & the traffic .
Normally, opening between 7:00 am to 12:00 pm is recommended.
Of course, It should be parallel to the Market opening hours for similar or competing operations, and may vary per location.
 

2. How many employees per shift?

This will vary depending on the area of the coffee house.
Normally for a 90 to 100 sqm, the morning shift would require 3 baristas & the night shift would require at least 3 baristas. (assuming Rush Hour is at night)
One manager is also required who will be present in the night shift.
He can play the role of the Fourth Barista at night


3. What would be the pay scale of the employees?

It should be parallel tp the Markets pay for similar or competing operations, as an average. We may need to consider overpaying the existing staff working the competitions to attract them to come & work with CCH.

This will reduce the training period for our staff & will help the operation proceed with more self-confidence. In any case, we recommend that a detailed Market research be conducted by the territory's Franchisee after the signature of the Development agreement for the territory in order to determine the market parameters regarding this issue


What would you estimate for the percentage of payroll from sales?

As a Maximum, a healthy CCH operation should run at a payroll less than or equal to 12% of sales.


Assume the store is located in a reasonably successful Mall. What would you estimate the total weekly sales should be?

Of course, the territory franchisee will eventually need to conduct a serious market evaluation after the Development agreement is signed. A healthy traffic should hover around 300 tickets daily, at an average of 30 Tickets per hour, at 5 USD average. In any feasibility study, we recommend to consider 290 Tickets per day.

This will vary greatly depending on the territory. Again, the territory's franchisee will eventually need to conduct a serious market evaluation after the Development agreement is signed. Usually in coffee shop's , 60 to 70 % of the consumed items are drinks , 35 % food , & up to 5 % retail products.

Of course, the drinks have a higher profit margin that the food margin, with the retail margin being equal or lower than the food margin. This will finally be determined after the local food and beverage suppliers are selected in the franchisee territory.

What is the CCH franchise fee?:

The franchise fee is $ 30 000 USD per coffee House
 

What are CCH royalty fees?

The royalties are 7% of sales.
 

Does CCH select my site?

We do not choose your location. We do provide general site criteria and evaluate and approve each specific location.

How long does it take to get my CCH franchise store up and running?

The timeline depends on the site. The time can range between 60 days to six months. It depends on how much construction work is required and how fast our franchisees want to move.
 

A Ground Floor Opportunity

• CCH is a ground floor opportunity for the smart investor / entrepreneur.

• CCH offers a high IRR on investment.

• CCH presents a chance to be part of a highly prestigious first class business.

• Risk is minimized by the research done and by the standardization of the systems and procedures.

• This is a one time opportunity as only one Franchise license is available per territory, the duration of which is for up to 10 years.

• Act now before someone else does!