*Information contained within is subject to change at the sole discretion of the franchisor. Fees and charges are a guide only and may be subject to change.
- Q: Do I require any special experience?
A: No, although having business experience is always an advantage. We provide comprehensive training for all areas of your new store.
- Q: What is the term of a franchise agreement?
A: New franchisees are ordinarily granted a five (5) year initial franchise term together with an option to renew for a further five (5) years. This may vary depending upon the term of the lease applicable to the site.
- Q: What is the total cost of acquiring and opening a Michel’s franchise?
A: A new Michel’s Patisserie store can range in price from $300,000 to $400,000 (excluding GST). A new Michel’s Patisserie & Café store can range in price from $350,000 to $400,000 (excluding GST).
- Q: What does the total cost include?
A: It includes a fully fitted-out store and equipment, training, manuals and initial franchise fee but excludes GST.
- Q: Do I have to pay a deposit? If so when and under what circumstances would I lose my deposit or any part of it?
A: A deposit is payable upon second stage application – Post suitability assessment. These monies, less the franchisor’s reasonable expenses, are generally refundable if the application is not approved.
- Q: What are the ongoing fees of the franchise?
A: A franchise service fee of 7% (plus GST) of your total gross sales calculated weekly is payable in connection with the Michel’s Patisserie franchise system. A marketing contribution equal to 3% (plus GST) of your total gross sales calculated weekly is also payable into an independently audited marketing fund.
- Q: How much profit will I make?
A: This depends largely on several factors such as the sales performance of the outlet, the value of wages paid, cost of goods and other operating costs and generally how you operate your business. We have identified certain key performance indicators which are monitored in
order to maximise your profitability.
- Q: Who selects the site?
A:Michel’s Patisserie will select the site and secure the lease. Ultimately however, you must satisfy yourself as to the suitability of the premises.
- Q: What initial franchise fees are payable?
• $50,000 (plus GST) – initial franchise fee
• $13,750 (plus GST) – training fee
• $3,000 (plus GST) – initial marketing fee
The Franchisor’s disclosure document provides full details of all fees and costs in connection with the establishment of a Michel’s Patisserie franchise.
- Q: Do I need any other money to start?
A: It is recommended that you have money available to be used as working capital and as a minimum we would expect you to have $16,500. This will cover costs such as accounting and legal fees, business and public liability insurance and
your first day’s trading stock and packaging. You will also need to budget for accommodation and living away from home expenses while at our training academy in Queensland. The Franchisors Disclosure Document will provide a more precise list of costs associated with the acquisition of a franchise.
- Q: What services are included in return for the franchise and marketing fees?
A: The services you will receive cover a wide range of management assistance and operational services, including:
• On-going operational training, tools and support;
• Marketing support including national advertising, public relations campaigns, media selection and national media placement;
• Stringent quality control standards; and
• A Sales and Performance Manager to assist franchisees with all aspects of daily operations
- Q: What finance options are available to me?
A: Our franchise system is accredited with several major financial institutions which Retail Food Group can provide contact details for on request. From time to time the franchisor may offer special financial accommodations to potential franchisees.
Please enquire with your Franchise Sales Executive if there are offers available to you.
- Q:Have you got any sites ready to go?
A: Yes. Please speak with our Sales Executives for further information.
- Q: Are Franchisees expected to actively work in store?
A:Yes. Franchisees are expected to work in store. This is an important factor in the success of our stores.
- Q: Why should I purchase a Michel’s Patisserie?
A:• Michel’s Patisserie offers delicious cakes and savouries as well as award winning espresso coffee;
• Comprehensive training at our purpose built training academy on the Gold Coast with dedicated, experienced and qualified trainers;
• Proven franchise operating system;
• Field training and ongoing support;
• National integrated advertising and promotional campaigns;
• A cash business offering minimal risk of bad debt; and
• The opportunity to become a successful business owner.