How much cash will I initially need when I sign the franchise agreement?
- The minimum amount of cash needed to begin a unit Franchise Relationship with MDC is the franchise fee, varies depending on the location.
- In addition to that, the franchisee must be able to arrange up to $170,000 in order to cover installation, decoration, and start-up expenses so that it gains the consideration and approval of the board.
- However, for a master Franchisee, the amounts will vary depending on the territory size.
What type of training and field support program does MDC offer?
- The Franchisee is provided with an A to Z training program before the opening in addition to a continuous training and follow- up during all the operation cycle, step by step. This follow up will guarantee excellence and perfect performance.
Am I permitted to offer other products and services in the café?
We believe that each market has its particularities. Thus, we accept a 20% market adaptation but, never on our coffee related items.
Therefore, we welcome any suggestions and recommendations.
Those will be considered and duly decided upon. Until that should happen, the franchisee is obliged to abide by the Franchisor’s rules and follow the
What kind of marketing assistance is provided?
We will help the Franchisee to devise a marketing program that is suitable to the local market.
In addition to that our marketing department is constantly developing campaigns, this includes advertising, PR, specialists etc…
However, it is worth mentioning that we do charge a 2% for contribution to the global advertising.
What is the royalty fee charged for the rights to participate in the franchise system?
There is a set operation Royalty Fee of 6% on the total net sales.
What level of return on investment and net profit can I expect?
As Franchisor, we do not provide others with our earning claims, especially not in our circular. Therefore, we cannot tell the franchisee what to expect as level of profit. The Franchisor recommends that the Franchisee carry out an analysis and feasibility study in order to formulate meaningful cash flow projections.
We also provide assistance in the preparation of the feasibility study, as well as in the site selection and the market research.
What is the length of time of the Franchise agreement?
Terms of the agreement lasts 10 years and is subject to renewal if the Franchisee and Franchisor remain in agreement over this period of time.
What is unique and special about the MDC franchise offering?
- We provide a home-like environment that is relaxed and up-market.
- Coffee may not be our invention, but we have perfected it with our own secret recipes. Our complimentary products such as cakes, sandwiches, salads, and ice cream are unique and imaginative.
- We are La Maison Du Café: Simply we are:“The House of Coffee”.
Does the Franchisor provide real estate service?
The Franchisor provides assistance in identifying the adequate property and has to approve the location. However, it is not the duty of the Franchisor to provide the real estate. The Franchisee must identify various possible sites. The Franchisor, through experience, will pick the convenient site.
Can I count on MDC for assistance when I have operating problems?
Yes. Ultimately, it is our name that you are using and we are also partners in this business. The Franchisee is responsible for operation based on the system the Franchisor provides. If these guidelines are followed, operating problems should be minimal.
What do I get for my franchise fee payment?
In exchange to your franchise payment you are offered the key to success, and the right to use the "La Maison du café - Café Najjar’s concept". This includes the secret recipes for our aromas, pastry, sandwiches, salads, and ice cream. Our special blends cannot be found anywhere else. You also get training before, during, and after opening as well as continuous training during operation. You will be provided with the specialty designed operations manual, which was developed at great expense and put together by experts in the franchising business. Other privileges are the design of the store, the list of chosen suppliers, the software, and above all, a headache-free operation.
How long before I can be in business?
Once the Franchise Agreement Fee is settled, a location will be selected. The Franchisee will have to work on the build out.
The time needed for all to be completed should be no longer than six months from signing, depending on the Franchisee’s efforts.
Will the Franchisor provide a protected territory?
Yes. This will be determined by the Franchise Agreement
May I purchase more than one store?
Franchisees are encouraged to purchase more than one operation, should they be financially capable of doing so.
What steps do I need to initially take in order to establish an MDC franchise?
The guidelines are provided in a simplified ‘Step-By-Step Guideline On How to Proceed' section.
What are the areas of standardization required by the Franchisor?
- Décor, presentation of food, coffee preparation and presentation, internal forms, menus, logo, merchandising, etc… All stores must be identical in both looks and operations.
- All LA MAISON DU CAFÉ – CAFÉ NAJJAR shops enjoy the same style of decoration, menu and the coffee. Obviously as all the franchised concepts we have a 15 to 20 % “market adaptation” without compromising the quality, consistency or service.
- Obviously our coffee is specially prepared for LA MAISON DU CAFÉ – CAFÉ NAJJAR by our sister company Café Najjar; and is shipped to all our shops in Lebanon and abroad.
- We try our utmost to find all the other ingredients in the local market, until now we have been lucky with few exceptions.
- Normally the prices are a balance between our basic prices here in Beirut and the local prices levels in the shops locations.