Circle K Franchise Review
Circle K Franchise Review
In 1951 the circle K convenience store chain emerged in the market. Mr. Fred Hervey the founder of the circle K started with three kay's food stores in El Paso which is in Texas. He expanded his business throughout southwestern U.S., which required a series of acquisitions, and ultimately emerged as an international player in the year 1979. By this time, he signed the licensing agreement and spread the business in Japan.
Expanding Franchise Business By Circle K
In the year 1995 the Circle K started franchising to expand its business. Not only in the southern, western and southwestern U.S., but also in other six different countries the stores of Circle K can be found. Thus today it became one of the renowned food store corporate house in the world. Over the decades, hundreds of franchise units of circle K emerged in U.S. Canada and in other foreign countries. In 2009, 469 franchises started in the U.S. the number of foreign franchise were 3,704 in the year 2009.
Being a Circle K franchise is a good choice to expand food store business. The amount of total investments to start a franchise business in this case varies from $161,000 to $1,353,000. The fee will be $15,000. The term of agreement will be 10 consecutive years, which must be renewed to continue franchising. By thus time the Circle K will earn a royalty fee of 4% from the franchiser.
Financing Facility And Operational Support
There exist two different types of financing one In-house and other third party. The two financing method are exactly same except, they differ in respect of equipment. No franchise fee, startup cost, inventory cost, accounts receivable and payroll cost is incurred for the two methods The. franchise must possess some other qualification in order to run the business smoothly. The Net worth requirement in this case is $500,000 and the cash liquidity requirement is $200,000. Business experience is another most important aspect, which mainly concentrates on general business experience. Regarding the operational technique of such business is that.
There must be at least 10 employees in a franchise unit.
No franchise will be allowed having absentee ownership.
Franchises owning more than one unit should not be less than 15%
Training And Support
Circle K provides training program and ongoing support to its franchise. Training is available both in the head quarters and also at the location of the franchise. In both cases, the training duration is for 2 weeks. Ongoing support is given in various forms such as Newsletter, meetings, internet, toll free phone lines, spot evaluations and many others. Internet and toll free phone facility helps in interacting with the customer and know their needs instantly. Similarly, the spot evaluation is the direct contact process to get customers preference and choice. Circle K also assists with market support, which mainly refers to with co-operative advertising. Both ongoing and market support is essential to achieve desired goals of business. Festival List in Mexico Golden Triangle Tours – Golden Opportunity for the Tourists to Come In India Review: Letters from Father Christmas by J.R.R. Tolkien Char Dham Tour: A Great Spiritual Centre In Garhwal Region Key Aspects of a Franchise Agreement Packing for a trip to Spain Jim Corbett National Park: A Perfect Wild Life Destination In India Getting the foreign-local point of view when you travel When On Holidays Visit Provence France Rajasthan With Khajuraho Tour A Corporate Thank You In A Christmas Hamper Dog Halloween Costumes Are a Lot of Fun - Here's How to Make Them a Success! Barcelona Travel Guide Trip