Does Cafe2U have a relationship with any financial lenders?
Yes. Whilst Cafe2U does not provide finance to Franchise Partners, Cafe2U maintains a strong link with many of the UK’s leading lenders.
Cafe2U has its own Relationship Manager with each institution that can assist you in financing a Cafe2U franchise. It should be noted that whilst each of the lenders understand our business model, our level of success, candidates will still need to demonstrate their ability to secure required finance. Many providers currently look to secure the vehicle (£45,400+ VAT) against the asset itself, and depending on the financial position of the candidate will look at options to structure some of the balance. Our lenders’ details will be provided to you at your formal interview. All candidates will need to obtain independent advice from their financial advisor. Most candidates should expect to need at least £20,000 in their own funds but Cafe2U will consider candidates with less, once a fuller understanding of their situation is known.
Does the Franchise Partner own the vehicle and all equipment after the finance payments have been completed?
Yes. The Franchise Partner owns all equipment within the business from day 1. This reduces the risk associated with owning a Cafe2U business significantly compared with other business models.
Are there any ongoing fees?
Yes. Cafe2U maintains a set weekly fee rather than a percentage of business turnover. The Franchise Fee is set at £121 + VAT per week, per van.
The fee remains at this set rate for the full 10 year term and varied annually only by CPI%.
Cafe2U also maintains a Franchise Partner Marketing Contribution, which is currently set at £9.40+VAT per week. This fee is explained in greater detail in the marketing section.
What do the ongoing fees cover?
Franchise fees are an important part of any franchise system. The Cafe2U Franchise Fee covers the use of the brand itself in your business, your access to corporate know how and the proven operating systems. Of greater importance, the Franchise Fee also guarantees the long-term sustainability of the franchise network. This means that the system can be efficiently managed, Franchise Partners continue to access support from industry experts, and the system itself is able to continue to develop into new markets and internationally.
It is these key functions that are critical in generating increased value within the Franchise Partner network and of course your own business investment.
What is the term of the franchise?
Cafe2U currently offers new Franchise Partners a 10 year term.