Operational Risks

Operational risks result from internal failures. That is, your businesss internal processes, people or
systems fail unexpectedly. Therefore, unlike a strategic risk or a financial risk, there is no return on
operational risks. Operational risks can also result from unforeseen external events such as transportation
systems breaking down, or a supplier failing to deliver goods.

An interested applicant should primarily have the financial acumen to start a Chowking franchise
aside of course from being a keen entrepreneur, a good leader and one who possesses good
moral character. Franchise fee is P1Million pesos exclusive of VAT and the required investment
fee ranges from P15 Million to P17 Million for leased site. This amount still depends on the size
of the store. This investment fee covers construction, kitchen facilities, furniture and fixtures and
signage. The typical Chowking store size must at least have an area ranging from 250 to 300
square meters. Moreover, the franchise is only offered to individuals but if corporation is formed,
the franchise is still granted to the person who owns majority of the shares. The contract is good
for ten (10) years which is renewable for another term on the condition that provisions stated in
the contract are met. Lastly, there is a royalty fee 6% of gross sales and marketing/advertising
fee of 4% gross sales.
End of day undone. Register 1 needs to be shut down due to burnt smell hence cannot close
reg, already reported. Please dont use it just wait for the technician.