EuroKids Franchise

Gaurav Panchal 054119

Gaurav Sharma 054120
Nikhil Jain 054128
Vaibhavi Panchal054130
Priti Jain 054134
EuroKids Introduction
 First of its kind Pre School in India with
international standards.

 More than 350 franchised Pre School's

centres across 94 towns and cities
across India.

 More than 40,000 students.

EuroKids Introduction
 New Initiatives

 Constantly evolves and thinks of new programs

beneficial to the young child.

 Euro Gym
 Summer Club
 Junior’s Club
 Senior Program
EuroKids Introduction
 EuroKids Programmes
 Playgroup
 Nursery
 EuroJunior
 EuroSenior

 World of EuroKids
 Typical day at EuroKids
 A Child’s second home
 Learning with fun
 International Experience
 EuroKids Franchise
Investment: Rs. 5,00,000 - Rs.
10,00,000
Areas available: International, Nationwide

Is there a unit franchise fee included Yes Extra Amount : Rs

in this figure?: 60000
How much working capital is required in unit Rs. 150000
franchise addition to this?:
Is there exclusive territorial rights given to a No
unit franchise?:
Are any performance guarantees given to No
unit franchisees?:
What is the anticipated percentage return on 35%
investment?:
What is the likely pay back period of 18-24 months
capital for a unit franchise?:
 EuroKids Franchise

• Property Details

What type of property is Ground/first floor in residential

required for this franchise location
opportunity?:
Floor area requirement: 1500 .

Preferred location of unit Residential Independent houses

franchised outlet:
 EuroKids Franchise

• Other Details

Do you have a standard Yes

Franchise Agreement?:

How long is the franchise term 3 Years

for?:
Is the term renewable?: Yes, 3 Years
Pre-school franchises, a growing trend

 First educational environment, a child

steps into.

 Age group between one-and-a-half

and four years.
Pre-school franchises, a growing trend
 There are many pre-school franchises like EuroKids, KidZee,
Apple Kids etc.

 It works like, they solicit prospective franchisees through

various media, and grant a franchise to someone suitable.

 The prospect need to have college degree, keen interest in

education services, love for working with young kids and
reasonable financial resources.

 It goes through a four-day orientation program, and gets a set

of manuals which indicate the ambience of school, the
equipment to be purchased, and the fee structure
What is a franchise?
 It is sharing proprietary, knowledge
and reputation with frenchisee for a
fee, the latter the business runs on his
behalf.

 It is an agreement to sell the product

on behalf of the owner and sharing
profits with him.
Why a franchise?
 The franchiser can expand its reach by
investing almost no money and capital.

 While the franchisee is almost sure of

success as he is working in a tested area.

 Good franchisers will help you get your

business rolling and to keep it that way.
Why is this a good time?
 India now is the world's largest franchise
market after North America and is growing
at about 30 per cent a year.

 A big opportunity is in the Rs 40,000-crore

(Rs 400 billion) organized retail sector, of
which less than a fifth is franchised.
Which franchise?
 Certain issues are to be considered while selecting a
franchisee.

o Abilities: Most franchisers will look for specific skills apart

from "entrepreneurial attitude and open mind.

o Costs & finances : How much can you invest in a franchise?

o Goals: What do you want your franchise to do for you?

Develop a three-tier strategy for investing, a long-term
strategy and an exit strategy.

o Due diligence: whether the franchise is likely to be profitable.

Final check list
 Understanding the franchise agreement is a
must as it formalizes your rights and
obligations. once you sign it, you will have to
abide by it.

 Term
 Territorial rights
 Exit and resale
 Termination
Final Check List
 About the franchiser:

 Experience, profitability and future plans.

 Is the brand strong and does it have a good promotion
push.
 Does the product/service have a franchisee checklisting
USP and a competitive price.
 What is its relationship with existing franchisees.
 Does it run a thorough check before selling a franchise.
 How much start-up support, including funding help, you
can expect.
Final Check List
 About the franchise agreement:

 Investment: what are the franchise fees,

deposits, other costs.
 Recurring costs: what are the franchiser's
charges, training fees, other operational costs.
 Territorial rights - who they belong to.
 Renewal, exit, resale and termination options.
Businesses that Use a Franchise Model

 Three types of Business Models

 Distributorships
 These grant the right to sell their parent company’s products

 Brand Name Licensing

 Gives the licensee the right to use the parent company’s
brand in conjunction with the operation of their own business

 Business Format
 The most common franchise format where a Franchisee
purchases the right to operate a unique business system
(retail, home-based, fast food concept etc.) that has an
established history and track record created by the
Franchisor.
Franchise: Shortcut to Success

 Advantages

 Lower Failure Rate

 Help with Start up and Beyond
 Buying Power
 Star Power
 Profits
Franchise: Shortcut to Success

 Disadvantages

 Their way or The highway

 Ongoing Costs
 Ongoing Support?
 Cost
 Shark-Infested Waters
Thank You