os franchising faq

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F.A.Q. Frequently Asked Questions I found a place that I like, when you come to see it? we receive many contacts per week from people who want to explore the possibility of opening a store. we are happy to come and see your space when we are sure that the contact is convinced to do so and only after he realized the financial means. Who decides which store should I open? Ocean Shelling does not open stores anywhere, ocean shelling carefully analyze each proposal and confirms the opening of a sale only if it considers that the chances of success greatly outweigh the chances of failure. Who does the work of local adaptation? All works will be borne by the franchisee that must follow the instructions of the franchisor. Furniture, lights, floors, windows, mannequins etc. are responsibility of the affiliate. I found a good place and I am ready to start. What’s the next step ? You have to sign the Franchise Agreement which reserves to you the right to open a store in the area of your interest. The agreement is concluded with a deposit of USD 5,000. In the event that you are no more interested to the affiliation this amount will be returned. I have a space recently renovated, it has a beautiful floor, new lights similar to yours, do I have to replace everything ? Absolutely not! We do not want you waste money. If the materials are in excellent condition, not damaged, and not in conflict with our furniture there is no need to change your space. You have simply to repaint the dressing rooms with the color of Ocean Shelling shops. Our goal is not to sell these materials, but to have a store appreciated by a large number of customers. Who pays the rent and staff? The Affiliate What is the cost of the first delivery of goods ? The cost of the first goods in stock is approx USD 6,000/8,000 w w w . o c e a n s h e l l i n g . c o m

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Page 1: OS FRANCHISING FAQ

F.A.Q.Frequently Asked Questions

I found a place that I like, when you come to see it?we receive many contacts per week from people who want to explore the possibility of opening a store. we are happy to come and see your space when we are sure that the contact is convinced to do so and only after he realized the financial means.

Who decides which store should I open?Ocean Shelling does not open stores anywhere, ocean shelling carefully analyze each proposal and confirms the opening of a sale only if it considers that the chances of success greatly outweigh the chances of failure.

Who does the work of local adaptation?All works will be borne by the franchisee that must follow the instructions of the franchisor. Furniture, lights, floors, windows, mannequins etc. are responsibility of the affiliate.

I found a good place and I am ready to start. What’s the next step ?You have to sign the Franchise Agreement which reserves to you the right to open a store in the area of your interest. The agreement is concluded with a deposit of USD 5,000. In the event that you are no more interested to the affiliation this amount will be returned.

I have a space recently renovated, it has a beautiful floor, new lights similar to yours, do I have to replace everything ?Absolutely not! We do not want you waste money. If the materials are in excellent condition, not damaged, and not in conflict with our furniture there is no need to change your space. You have simply to repaint the dressing rooms with the color of Ocean Shelling shops. Our goal is not to sell these materials, but to have a store appreciated by a large number of customers.

Who pays the rent and staff?The Affiliate

What is the cost of the first delivery of goods ?The cost of the first goods in stock is approx USD 6,000/8,000

w w w . o c e a n s h e l l i n g . c o m

Page 2: OS FRANCHISING FAQ

When do I pay for the goods?Affiliates pay the last day of each month.

Who takes care of local advertising? Who bears the cost?The franchisee must demonstrate that has spent at least $ 5,000 annual in local advertising (The amount includes the materials delivered as billboards, catalogs and promotions). Once reached a complete national coverage of outlets, Ocean Shelling will begin the national advertising, in which case each store will participate with a small percentage of sales value.

Who decides the goods that I have in stock?The affiliate jointly to the franchisor

Who decides the selling price?The Franchisor. Selling prices are equal to the entire network.

We would like to open more stores in my province, are we entitled to a bigger discount?There is no discount on quantity of stores affiliated to us.

How long does the training take? I am already a dealer what do I have to learn?The training is very simple and it takes only one day.You learn the fundamentals of sales and how to manage effectively and efficiently the store as well the use of the computer system

w w w . o c e a n s h e l l i n g . c o m