What is

BRIGHT

SHOPE?

What is

Bright

Shope?

BRIGHT SHOPE is the

most “AFFORDABLE” growing

convenience store chain in the

country today!

The first store was opened at Project 6, in Quezon City;

then a 5 months after, the 2nd store, located at Sogo Cainta in

Imelda Avenue, was launched.

BRIGHT SHOPE HISTORY

2013

In 2014, during the first 2 quarters, a Branch in Pangasinan and

Marikina are being opened.

Currently we have a total of 2company owned stores and 2

Franchisees

2014

…and still counting

more branches to

open…….

…. 2014 Target is to

end by 6 stores…

Why Bright

Shope?

VISION

To succeed in providing

opportunity to grow as an

individual, develop character,

build new skills, help

in creating multiple revenue

generation with the help of the

Philippine's current economic

trend.

MISSION

Our primary focus is to work closely with clients and help them succeed in setting and meeting their

goals.

UNIQUE SELLING POINTS

• Lowest franchise investment

• No franchising fee

• No royalty fee

• Highest gross profit share at 100% for franchisee

• Minimum of 16-hrs operation

• Choices of two convenience store formats

- Grocery

- Express

TARGET MARKET

Primarily, 16 – 45 years old

belonging to B and C

households.

They are impulse buyers, have a busy lifestyle,

and are always looking out for

best value for their money.

STORE IMAGE

Bright Shope is fresh, lively,

state-of-the-art, sincere and approachable,

where CUSTOMERS are given the

highest priority in

value-added services.

STORE

LOCATION

Bright Shopes makes quality

products and services more accessible to the Filipino

consumers by establishing stores that are conveniently

located in every Filipino

community.

STORE MERCHANDISE

BRIGHTSHOPE has an optimum level of assortment that will allow a wide choice of products for our target market.

Four Major Divisions:

• Food Grocery

• Non-Food Grocery

• Fast Food

• Services

FOOD GROCERY

Snacks

Confectioneries

Biscuits

Beverage

Instant food

Pasta noodles

Spreads/dressing

Processed foods

Basic commodities

Chilled food

Ice cream

Wines & Liquors

NON-FOOD GROCERY

Baby Products

Magazines /Cards / Wrappers

Cigarettes & Fluids

Cleaning Aides

Feminine Products

Hardware

Health & Beauty

Health Care

Home Essentials

Telecoms

School Supplies

Oral Care

Personal Care

Paper Products

Party Needs

Washing Detergents

SERVICES

• A developing category, SERVICES, a truly unique and

distinct facility of Bright Shopes;

• It is where bills payments, ATM transactions, Water

Station and even money transfer and remittances are

made available to customers;

• It will position Bright Shope as a “full service”

community hub.

SERVICES

• LPG

• Money Transfer & Remittances

• ATM Machines

• Aqua Star

FAST FOOD

TELECOMS

MERCHANDISING STRATEGRAM

•A convenience store has a total of 3,000 SKUs.

•The Merchandising Strategram is the “gondola row & column”

technology, where each item is assigned a specific and pre-

identified space within the gondola display based on product

demand, ease of handling and visual impact.

•All the 3,000 items are displayed in single facings across 12 to 24

gondolas.

MERCHANDISING STRATEGRAM

Page 04/8

PLAN-O-GRAM PROMO GONDOLA 2

TIMING

Store will use Promo Gondola location for

display.

Store will be provided a picture plan-o-gram to

ensure proper display and order book for

proper replenishment.

GUIDELINES

OBJECTIVE

>To increase ADS and contribute sales

to stores.

>To create additional excitement to the

store.

FEATURES OF NJS SYSTEM

1. Components that are fully integrated

Inventory General Ledger

Purchasing Accounts Receivable

Sales Accounts Payable

Point of Sales System

Distribution

Ordering System

Customer Loyalty Program

Operation

PDT Integration

Sales Transaction

Receive

Direct Order

Record Disposal

Stock Requisition

Physical Inventory

Receive Updates from HO/ Send POS Transactions to HO

STORE PROCESSES

STORE ADVISER

• A Store Adviser will be assigned to each store for regular

discussions on overall store improvements.

• Visits the store once a week for 1 month

• Makes an assessment of the store based on a checklist and

settles an agreement with the FC.

• Reviews Financial Statements with the FC.

BRIGTHER

TREASURE!

Franchising utilizes an established and tested

system;

It applies the idea of MASS MERIT, benefit of one

is equal to the benefit of many;

Lower risks, with higher success rate;

FRANCHISING

FRANCHISING

Why do people GO to

Convenience Stores?

- Extension of household need for “Chilled & Frozen” products

- Availability of “Food-to-Go”, guaranteed fresh, all-day, all the time

- For the busy lifestyle, “forgot to buy” on the way home items.

- Emergency purchase of basic household items.

Primary Objective:

- To make the convenience store as the main source of daily purchase

KEY SUCCESS FACTORS

Location 50 %

Assortment and Availability 25 %

Customer Service 10 %

Quality 10 %

Price 5 %

TOTAL 100 %

FORMS OF RETAIL STORES

MINI CONVENIENCE

STORE

CONVENIENCE

STORE GROCERY STORE

STORE SIZE 20 to 40 sqm 70 to 110 sqm 1000 to 2000 sqm

OPERATING HOURS 16 hours (6am-

10pm)

24 hours (6am-

6am) 9 hours (10am-7pm)

NUMBER OF STOCKS 1,000 TO 2,500 2,500 to 3,000

pieces

20,000 pieces and

up

NUMBER OF ITEMS

PURCHASED BY

CUSTOMER EVERY VISIT

average of 2

items

average of 2 to 5

items

average of 15 items

and up

CONSUMPTION on premise on premise at the destination

(I.e. house)

PERIOD OF

CONSUMPTION 1 to 2 hours 1 to 2 hours within 2 to 5 days

MARKET RADIUS people within 50

m radius

people within

300 m radius

people within 1 km

radius

Why Bright Shope

franchising?

STORE AREA = 100 SQ.M.

COMMUNITY

24 GONDOLA PATTERN

EXPRESS

18 GONDOLA PATTERN

STORE AREA = 70

SQM

EXPRESS 12 Gondola Pattern (Store Size: 45 Sqm)

EXPRESS 12 Gondola Pattern

Store Size: 35 SQM

PARTICULAR

S

STORE FORMAT

COMMUNITY 1,500,000 (24 Gondola

Pattern)

EXPRESS 1,200,000

(18 Gondola Pattern)

EXPRESS 750,000 (12Gondola Pattern)

EXPRESS 500,000 (6 Gondola Pattern)

Contract Duration 5 Years 5 Years 5 Years 5 Years

POS Bright Shope Bright Shope Bright Shope Bright Shope

Signage Bright Shope Bright Shope Bright Shope Bright Shope

Gondola Bright Shope Bright Shope Bright Shope Bright Shope

Merchandise Franchisee* Franchisee* Franchisee* Franchisee*

Renovation Franchisee* Franchisee* Franchisee* Franchisee*

Wages Franchisee* Franchisee* Franchisee* Franchisee*

Water/Telephone/Electricity

Franchisee* Franchisee* Franchisee* Franchisee*

Supplies Franchisee Franchisee Franchisee Franchisee

Rent Franchisee* Franchisee* Franchisee* Franchisee*

Store Maintenance Franchisee Franchisee Franchisee Franchisee

ROI 3 Years* 3 Years* 3 Years* 3 Years*

FRANCHISE PACKAGES

BREAKDOWN OF INVESTMENT

Store Size COMMUNITY (24 Gondola

Pattern)

EXPRESS (18 Gondola

Pattern)

EXPRESS (12 Gondola

Pattern)

EXPRESS (6 Gondola

Pattern)

Equipment Cost 550,000.00 450,000.00 350,000.00 250,000.00

Merchandise Inventory 550,000.00 400,000.00 200,000.00 100,000.00

Store Development Fee 400,000.00 350,000.00 200,000.00 150,000.00

SUBTOTAL 1,500,000.00 1,200,000.00 750,000.00 500,000.00

Renovation Cost 1,200,000.00 950,000.00 650,000.00 350,000.00

Contingency Deposit 300,000.00 250,000.00 200,000.00 150,000.00

SUBTOTAL 1,500,000.00 1,200,000.00 850,000.00 500,000.00

Total Cash Out 3,000,000.00 2,400,000.00 1,600,000.00 1,000,000

Note: All amounts are VAT Inclusive

FCSI reserves the right to change the amount without prior notice

Minimal amount of P150,000 is charged as Store Development Fee, to include:

• Training on how to conduct a Store Location Study

• Final store design and layout

• 15 days training program

• 1 week Store Adviser opening assistance

STORE DEVELOPMENT FEE

CONTINGENCY DEPOSIT

Additional working capital or net loss/increase in inventory requirement incurred for the

operations of the Store.

Contingency Deposit amount as follows;

COMMUNITY (24 Gondola Pattern) - Minimum of Php 300,000

EXPRESS ( 12/18 Gondola Pattern) - Minimum of Php 250,000

EXPRESS ( 6 Gondola Pattern) - Minimum of Php 150,000

The Contingency Deposit Account shall be under the name of the FRANCHISEE with assigning

rights to BRIGHTSHOPE Convenience Store, any interest earned shall be to the benefit of the

FRANCHISEE.

SCHEDULE OF PAYMENTS

1 PHP 50,000.00 Reservation Fee (Part of Store

Development Fee)

Forfeited after

disapproval of 12

properties within 2

months

2 450,000 balance of the package Upon confirmation on

the offered location

3 50% Renovation, 100% Security Deposit & Advance

Rental Cost Upon Contract Signing

4 50% Renovation Cost / Contingency Deposit 5 days before Store

Turnover

GROSS

PROFIT

FC GROSS INCOME

MONTHLY

SALES

COST

OF

GOODS

100%

FC OPEX

FC OPERATING PROFIT

GROSS PROFIT-

SHARING

MODEL

AT BRIGHTSHOPE, YOU GET…

• Complete assortment

• Fully computerized system

• Ordering and Delivery system

• Store Advisers

• Combo Format – grocery/fastfood

• Easy to operate – no need to have business experience

STEPS IN BECOMING A BUSINESS

PARTNER

Attend Marketing and Financial Presentation

Submit letter of intent

Discussion of Store Management Agreement

Pay Reservation Fee of Php 50,000.00

Discussion of Steps on How to Conduct Store Location Study

Franchisee Conducts Store Location Study

Confirmation on the Offered Location (Pay Balance from Store Development Fee

Contract Signing (Pay 50% of the Renovation Cost, & 100% of Security/Advance Rental)

Store Personnel Training

2 weeks after

Store Turnover (Pay 25% of the Renovation Cost,)

Store Opening

QUALIFICATIONS TO BE A BRIGHT

SHOPE'S FRANCHISEE?

Filipino citizen, residing within the vicinity

21 to 60 years old

Hardworking, team player, service-oriented and has an entrepreneurial spirit

Willing to conduct store location study

Enthusiastic to learn the latest retail technology and the state-of-the-art operations system of a convenience store business

Financially Capable

Applications are subject to Bright Shope approval

FC FINANCIAL

PRESENTATION

BRIGHT SHOPE'S ACCOUNT BRIGHTSHOPE account is a system account set up by FCSI for each FRANCHISEE to keep track the daily transaction and flow of documentations. These transmitted documents will be the basis in preparing the Financial Reports that will interpret the Financial status of each Store.

OUTPUT

BRIGHTSHOPE STORE

REPORTS

PROCESS TRANSMIT

BRIGHTSHOPE Account

GROSS

PROFIT (30%)

COMMUNITY STORE- GROSS PROFIT SHARING

Php 10,000

average daily sales

X 30 days

=

SALES

Php 300,000

Average,monthly sales

COST OF

GOODS

(70%)

Php 210,000

FC OPEX RENT 19,000 ELECTRIC 8,000 WATER 1,000 MANPOWER 31,000 TOTAL 59,000

FC OPERATING PROFIT

Php 39,000

VAT EX

Php90,000

GROSS PROFIT PARTICULARS COMMUNITY EXPRESS EXPRESS

24GONDOLA PATTERN 12 TO 18GONDOLA

PATTERN 6 GONDOLA PATTERN

FLOOR AREA(SQ METER) 90-100 70-85 35-50

AVERAGE DAILY SALES 37,500.00 22,500.00 10,000.00

GROSS SALES/MO 1,125,000.00 675,000.00 300,000.00 COST OF GOODS SOLD(70%) 787,500.00 472,500.00 210,000.00 GROSS PROFIT 337,500.00 202,500.00 90,000.00

GROSS PROFIT(VAT EX) 300,534.00 180,320.40 80,142.40 LESS:OPEX SALARIES (4,500/CREW) 67,500.00 54,000.00 27,000.00 ELECTRIC 60,000.00 30,000.00 15,000.00 WATER/TELEPHONE/SUPPLIES 10,000.00 5,000.00 2,000.00 RENT(PEG@500/SQM) 50,000.00 37,000.00 19,000.00 STORE MAINTENANCE 5,000.00 5,000.00 5,000.00 FOOD DISPOSAL/INV LOSS 1% 7,875.00 4,725.00 2,100.00

TOTAL 200,375.00 135,725.00 70,100.00 OPERATING PROFIT 100,159.00 44,595.40 10,042.40 ANNUAL OPERATING PROFIT 1,201,908.00 535,144.80 120,508.80 BREAKEVEN SALES/DAY 22,263.89 15,080.56 7,788.89

(FIXEDCOST/PROFIT RATE) FC INVESTMENT RENOVATION(6T TO 12T/SQM) 1,200,000.00 950,000.00 350,000.00 EQUIPMENT 550,000.00 450,000.00 250,000.00 STORE DEVELOPMENT FEE 400,000.00 350,000.00 150,000.00 TOTAL 2,150,000.00 1,750,000.00 750,000.00 ROI(YEARS) 1.79 3.27 6.22 {ANNUAL OPERATING PROFIT/TO FC}

FRANCHISEE MONTHLY OPERATING EXPENSES

Special notes:

(1) *CUSA, if applicable

(2) ALL OPERATING EXPENSES ARE CHARGE TO FRANCHISEE.

FRANCHISEE DESCRIPTION

WAGES Store Coordinator/Asst. Store Coordinator/Store Crew

ELECTRICITY Monthly Electricity Consumption (Net of subsidy)

RENT 100% Rental Cost (VAT INCLUSIVE)

WATER Monthly Water Consumption

REPAIRS & MAINTENANCE Monthly provision of Php 5,000.00

INSURANCE Fire (Merchandise & Equipment) / General Public Liability

SUPPLIES Store Supplies

INVENTORY LOSS The amount difference between actual stock count vs. the

stock book value

FOOD DISPOSAL Stocks that over shelf life

Pre-operating expenses are expenses incurred prior to store opening.

FC PRE-OPERATING EXPENSES

EXPENSES DESCRIPTION

SECURITY GUARD Actual wages/ Salaries

ELECTRICITY Monthly electricity

WATER Monthly Water Consumption

RENT Rent expense prior to store opening

Note;

All Pre -operating expense will be applied after store construction.

ARE YOU FIT TO BE A BRIGHT

SHOPE'S FRANCHISEE?

• Do you have and are you willing to invest 1.8M to 3M for this business?

• Are you willing to be our partner for 6 years?

• Are you willing to wait for 3 to 4 years ROI?

• Are you willing to operate a 16 / 7 a week convenience store?

FOR INQUIRIES, CONTACT BRIGHT SHOPE’S CONVENIENCE STORE

FRANCHISING

THANK YOU & WE

LOOK FORWARD TO

HAVING YOU AS

OUR BUSINESS

PARTNER