W h a t y o u n e e d t o b u i l d t h e f u t u r e .

The franchise boombegan in the 1950’s and 60’s, a time when fax machines, digital

phones and communication via computer were the stuff of science

fiction. And the franchise relationship was built on a one-sided model

that often did not account for long-term growth…

THINGS HAVE CHANGED.Strong franchisee-franchisor relations and a “win-win” structure are paramount to success. Yet many

companies today build their franchise strategies based on that 40-year-old model. Those who build andrun franchise companies as if the rules of the past apply today will be sadly left behind. The iFranchise

Group works with companies that wish to grow by looking ahead, not behind. Whether you’re an experienced franchisor interested in refining or improving your established company or an entrepreneur

looking to expand through franchising for the first time, the iFranchise Group can provide the real-world guidance and hands-on assistance you need to reach your full growth potential.

VisionUnderstanding

Planning CourageD r i v e

O p p o r t u n i t y

“… The best f ranchise candidates want to be part of the best f ranchise systems… those in step with today ’s t imesand technology. Working with the i Franchise Group wi l l give you the competit ive edge you need to succeed. ”

Michael Messer, Marketing Manager, Br idgestone/Firestone

Why franchise?

FRANCHISING PROVIDES THECAPITAL FOR GROWTH.Franchising allows companies to expand without therisk of debt or the cost of equity. Since the franchiseeprovides the initial investment at the unit level, fran-chising allows for expansion with minimal capital.

FRANCHISING REDUCES THE RISK. Since it is generally the franchisee, not the franchisor,who signs leases and commits to various service con-tracts, franchising allows for expansion with virtuallyno contingent liability.

FRANCHISING PROVIDESMOTIVATED MANAGEMENT. Finding and retaining good unit management is oneof the greatest challenges facing expanding companies

today. Many business owners know the frustration oftraining good managers, only to have them one daybecome competitors. Having on-site franchise owners,who are motivated by the investment of their ownmoney, enables franchisors to eliminate or minimizethe reliance on finding and retaining managers. Infact, franchisee-managed stores routinely outperformcompany-owned stores.

FRANCHISING ENABLES RAPIDMARKET SATURATION.To bring a new concept to market, businesses need tobe fast enough to outpace the copycat concepts theirsuccess is sure to create. Franchising is generally acompany’s fastest growth vehicle since it enables franchisors to leverage off the time and efforts of their franchisees.

FRANCHISING PROVIDES THELAUNCHING PAD FOR GLOBALEXPANSION.Many franchisors find that the process of developingand refining their domestic franchise program laterprovides them with a strong foundation for interna-tional expansion. As the global market becomesincreasingly important, so does the ability to expandthrough franchising.

The rules of franchising have changed. However, franchising’s ability

to provide accelerated growth has only increased.

StrategyLeverage

People

Growth T i me

C a p i t a l

“… I personal ly bel ieve that the iFranchise Group has assembled the s ingle most knowledgeable and experienced team in f ranchise consult ing today.”

Scot Crain, Vice President, Auntie Anne’s Hand-Rol led Soft Pretzels

THE iFRANCHISE GROUP was formed to pro-vide the guidance and assistance today’s innovativecompanies need to compete in the Information Age.Our mission is to put the power of today’s technologyand franchised expansion techniques to work for ourclients’ success.

CLIENT SELECTIVITY: The iFranchise Groupaccepts a limited number of new clients in any givenyear. The iFranchise Group is dedicated to long-termrelationships with high-potential clients.

STRATEGIC FOCUS: To compete effectively,today’s franchisors need a clear vision of who they areand where they want to be. Each project componentis designed to advance a clearly detailed strategic plan.

INDIVIDUALIZED APPROACHES: TheiFranchise Group doesn’t “package” your business forfranchising. We provide customized strategies designedto maximize your unique strengths, to work withinyour available resources, to seize available opportuni-ties and to achieve your specific objectives.

REAL-WORLD EXPERIENCE: The hands-on,no-nonsense approach of the iFranchise Group comes from the real-world experience of its teammembers. Our recommendations aren’t based on what we’ve learned from textbooks but from decadesof experience building some of the world’s most successful franchise companies.

is a coalition of top professionals in franchise strategic planning,

franchise law, operations training and documentation, franchise

marketing and sales, brand development, consumer marketing, and

development of Internet-based applications for franchise companies.

Our focus goes beyond documentation—to the actual implementation

of franchise programs.

The iFranchise Group

Expertise

Marketing

SalesTraining

L e g a lO p e r a t i o n s Planning

“… Implementation is v ita l . The i Franchise Group improved our f ranchise sales eff ic iency by over 45% in thef i rst two months, and their help in developing a new franchise f inance program has helped us c lose sales more

quickly and improved our c lose rates dramatical ly. ” Scott Jewett, Managing Director, L ine-X Franchis ing

ASSESSMENT AND STRATEGY DEVELOP-MENT: Each new engagement begins with an overallassessment of goals, resources, opportunities andobstacles. This assessment is the key to developing awinning franchise strategy. For some clients, thisassessment can be relatively quick. For others, in-depthfeasibility analysis is required. For every client, theiFranchise Group will outline strategic options, a recommended path of action, and estimated costs.

FRANCHISE DEVELOPMENT: If you decide to pursue franchise expansion of your business, theiFranchise Group will help you develop all of the necessary components—business planning, legal

documentation, operations manuals, and marketingand sales materials.

ONGOING SUPPORT AND TRAINING:Once you have embarked on your franchise expansion,the iFranchise Group will be there, as a valuableresource in every functional area, to help guide yourexpansion. We will train you and your staff in allaspects of being a franchisor.

IMPLEMENTATION ASSISTANCE: Beyondsupport, the iFranchise Group can, in many instances,act as an outsourced department of your organization.For some franchisors, initial franchise sales efforts donot cost-justify the hiring of every needed professional

from day one. The iFranchise Group can place yourfranchise recruitment ads, manage your consumer adfund and promotions, screen and follow-up on initialfranchise sales inquiries, help you maintain legal com-pliance, generate publicity, organize annual conven-tions, and even visit units to maintain quality control.

INTERNATIONAL EXPANSION: If your goalsstretch beyond the bounds of the United States, theiFranchise Group can help there too. With extensiveinternational contacts and experience in over twodozen markets outside of the U.S., the iFranchiseGroup will assist with planning, brokering, and eventhe implementation of international expansion efforts.

Reaching your goals. Whether you’re an entrepreneur considering franchising for the first

time, a manufacturer considering alternate channels of distribution,

or an experienced franchisor evaluating your current system, the

iFranchise Group will help you determine the best way to drive your

expansion—even if franchising isn’t the answer.

Guidance

Assessment

Development

International

O u t s o u r c i ng

I m p l e me n t a t i o n

“… International expansion is of t remendous importance to us. The iFranchise Group helped us negotiate a l icense in Japan worth mil l ions, and their input has been vita l on structural and planning issues. ”

Dan Olsen, Vice President, International , Ace Hardware

FRANCHISING IN THE INFORMATION AGEenables business owners to grow innovative conceptsinto viable businesses, introduce new products and services with lightning speed, and transform dynamic,growth-oriented companies into regional, nationaland international powerhouses.

THE iFRANCHISE GROUP can help youdetermine the best strategies for growth in this newera and help you deploy emerging technologies foryour competitive advantage. We can help you create a franchise relationship with your franchisees that will help you succeed, and continue to succeed, well into the future.

To learn how the iFranchise Group can help youbuild a bold new future for your company, we inviteyou to speak with an iFranchise Group consultant at708-957-2300.

A bold new future.The franchising success stories of the 21st century will be written by

those who are willing to embrace the future of franchising.

Success

O p p o r t u n i t y

R e s u l t sG ro w t h

“…The days of cookie cutter, one-size-fits-al l franchising are long past. The iFranchise Group takes an individual ized approach focused on long-term success.”

Pat Wal ls, Director of Franchis ing, McAl ister ’s Del i (named to the Inc. 500 fastest growing companies two years in a row)

iFranchise Group Services

• Franchise feasibility assessments

• Franchise audits

• Strategic planning for franchise growth

• Business plans

• Franchise legal documents*

• Franchise operations and training documentation

• Marketing strategies and plans

• Franchise sales brochures

• Sales and training videos

• Franchise sales and implementation assistance

• Franchise executive recruiting

• Franchise search assistance

• Franchise brokerage

• Retail and prototype development

• Website optimization

• International expansion assistance

• Enhancement of dealer or distributor programs

*Provided by independent counsel

The i Franchise Group, 905 W. 175th Street, Suite 2 North, Homewood, IL 60430 • Phone: 708-957-2300, Fax: 708-957-2395 • www.ifranchisegroup.comThe iFranchise Group is a division of Siebert Hood Consulting, Inc. ©2003 Siebert Hood Consulting, Inc. SM iFranchise Group is a service mark of Siebert Hood Consulting, Inc.

SM

The iFranchise Group provides substantial depth in all of the key areas of franchising...

Franchise Strategy Development

n Franchise Readiness Assessmentn Franchise Feasibilityn Competitive Benchmarkingn Franchise Structuren Territory Analysis and Determinationn Strategic Implementation Plansn Financial Analysis and Fee Optimizationn Business Plans for Capital Formation

n Coordination with Franchise Legal Counsel on the Development of Required Legal Documents

Quality Control, Documentation & Training

n Operations Manualsn Systems and Formsn Quality Control Proceduresn Training Programs and Training Aidsn Training Videos

n Intranet Training Applications

n Operational Audits and Best Practices

n Learning Management Systems

Franchise Marketing Assistance

n Franchise Marketing Plansn Primary Research on Targeted Franchisees n Franchise Brochures and Flyersn Franchise Promotional Videos n Franchise Ad Designn Website Developmentn Website Optimizationn Franchise Marketing Auditsn Franchisee Validation

Franchise Implementation Services

n Franchise Sales Trainingn Implementation Consulting and Coachingn Franchise Brokerage Servicesn Management Recruitingn Acquisition Due Diligencen Expert Witness and Litigation Supportn Franchisee Council Developmentn Compliance and Sales Force Auditsn International Expansion Assistancen Franchise Organizational Audits, Competitive Positioning, and Best Practices Benchmarkingn iFranchise University

Fr a n c h i s e co n s u l t a n t s

®

Experience

Consultants for the iFranchise Group have assisted companies of all sizes in a diversity of industries, including:

AUTOMOTIVEAmoco (Certicare) Avis Rent-A-CarBig O TiresBridgestone/FirestoneCreative ColorsLine-XNational Auto Truckstops Ryder Truck RentalsTexaco Express LubeTruckstops of America

CONVENIENCE STORESAmoco (Split Second)British PetroleumCircle KDairy BarnDairy MartFlemingFoodini’s (Chevron)Mobil (On The Run)Shell OilTexaco Star MartWhite Hen Pantry

EDUCATIONALATA Tae Kwon DoBerlitzEncyclopedia BritannicaGoddard SchoolsJacki’s Aerobic DanceMad SciencePrimrose Schools

FOODSERVICEAuntie Anne’s Soft PretzelsBagel Street Café (Clark Oil) CosiD’AngelosDippin’ DotsEl Pollo LocoFamous FamigliaHaagen DazsHoneyBaked HamKnow FatKrispy KremeLa SalsaLe CroissantMarco’s PizzaMcAlister’s DeliMcDonald’sOberweis DairyOld Country BuffetOriginal Soup ManPapa Gino’sPollo TropicalQuaker Steak & LubeRoy RogersTasti D-LiteThe GrapeTin StarUncle Louie GWaffle HouseWestern Sizzlin’ Steakhouse

RETAILAce HardwareComputer RenaissanceDisc Go RoundEasyridersField of DreamsFoot EFXHallmark CardsHarris Teeteri9 SportsLemon TreeMichael’s CraftsPayless Shoe SourceSharper Image SuccessoriesVan Heusen (Gant)Woodcraft

MANUFACTURINGArmstrong TileFireside Hearth & Home (Hon Industries)Fruehauf TrailerFleetwood EnterprisesJohn DeereOndeo NalcoParker Hannifin Hose & FittingsPraxairStarmark Kitchens (MASCO)Superior Walls Of America

SERVICE (BUSINESS-TO-BUSINESS)FilterfreshK & N ElectricMillicareNorthern TelecomPIP PrintingSouthwestern BellToday’s Temporary TNT Express DeliveryU.S. Filter

SERVICE (PERSONAL)Atir Natural Nail ClinicBathfitters Baird & Warner Chem-DryColdwell BankerDelta DentalEastman KodakGarageTekGE Financial AdvisorsHair Club for MenLA Weight Loss CentersMail Boxes Etc.Massage EnvyPalm Beach TanSterling Optical

INTERNATIONALAcademy of Learning (Canada) Ace Hardware (Numerous Markets)Albaik (Saudi Arabia)Australia PostButler’s Chocolates (Ireland)Café Ceramiqua (U.A.E.)Crafter’s Marketplace (Canada)Farmacias Santa Fe (Mexico)Goldilocks (Philippines) Guinness Imports (Europe)IBM (Europe & Argentina) Kabab-Ji (Lebanon)Kudu (Saudi Arabia)Marti (Mexico)Max’s (Philippines)Mobil Oil (Australia)Pollo Campero (Guatemala)Texaco (Numerous Markets)VIPs (Mexico)

NON-PROFITAmerican Association of Franchisees & DealersConnections for Community OwnershipEaster Seal Society

Warning

YOU MAY ALREADY BE FRANCHISING!

Some companies are franchising without even knowing it.

Franchising is a legally defined term at both the state andfederal level. If you are involved in a business relationshipin which a third party uses your name, follows your systemand, in return, compensates you either through fees or bypurchasing products from you, you may be inadvertentlytriggering franchise laws.

If you have triggered these laws and are not in compliancewith applicable disclosure and filing requirements, you maybe subject to stiff fines that have, in some instances, runinto millions of dollars. What’s more, your franchisees mayhave rights to rescind their contracts and may even havegrounds to take further legal action. In fact, in some statesyou may even be guilty of a felony.

Remember: It does not matter whether you call it a fran-chise or not. If you meet the legal definition of a franchise,you must comply with applicable laws. If there is a chancethat you have inadvertently triggered these laws, call theiFranchise Group today.