Franchising

TATERS Enterprises, Inc (TEI) , Franchisor of the Taters and Chimara stores, is a 100% family-owned Filipino Company incorporated in November 2004. Its nationwide franchising program started in June 2005 after many inquiries that the company had been receiving from the time its first store opened.

TEI provides the franchisee step-by-step guidance in site evaluation and architectural planning. Comprehensive training on food preparation, production and inventory controls, customer service, and equipment use and maintenance is done to ensure standardization of all outlets. All franchise stores also share in the benefits of corporate programs, advertising / promotional campaigns and merchandise innovations.

WHAT WILL IT COST TO OPEN A TATERS FRANCHISE?

The investment required to open a TATERS store is approximately P2.5M to P3.5M. Cost figures are estimates only and differ according to geographical area, size of store, cost of construction, equipment requirement, and lease conditions.

A sample capital investment for a 35 sqm space is given below:

*Does not include required Mall deposits (security deposit, construction bond, meter deposits, etc.) which depends on Mall terms.

COVERAGE OF A TATERS FRANCHISE

A TATERS franchise gives the Franchisee rights to:

• The use of its trademark, trade name, operating systems and other copyrighted materials of Taters Enterprises, Inc.
• Exclusivity for the specified Franchise territory;
• Professional services for architectural design and project management services.
• Pre-operation training and support;
• Training materials and Standard Operating Manual;
• Preparation and supply of store opening promotional materials

Details of the Taters Franchise are contained in the Master Franchise Contract. The term of the franchise contract is for three (3) years, renewable thereafter on a year-to-year basis at terms to be agreed upon by both parties.

FRANCHISE TERMS & FEES

Franchise Reservation Fee representing 20% of the Franchise Fee is payable upon acceptance of the terms and signing of the Franchise Agreement.

Franchise Fee is P350, 000.00 (less reservation fee) payable upon signing of the Franchise Contract.

Royalty Fee is 4% of monthly Gross Sales payable each month.

Share in Common Advertising is 1% of monthly Gross Sales payable each month.

Construction and Equipment (supplied by contractors other than Taters) shall be paid according to agreements with external contractors and suppliers. Equipment supplied by Taters is payable within 7 days from delivery.

Merchandise Materials and Supplies. Products and supplies are exclusively supplied and delivered by Taters Enterprises, Inc. to the franchise outlet and shall be payable within 7 days from billing date or within 14 days from delivery date, whichever comes first.

Site Inspection Fee (if outside Metro Manila) is charged to cover transportation and accommodation expenses.