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COMMONLY ASKED QUESTIONS

DIRECTORIES


 

Commonly Asked Questions

As you can imagine, we get a lot of questions developing a LIPIZZANER Confiserie & Coffee Shop or LIPIZZANER Depot. We´ve put the most commonly asked ones here, to help you dtermine if LIPIZZANER is the right franchise for you.

If you´d like more information, be sure to fill out and submit our brief Information request Form. We´ll be back in touch with you right away.

  • general Qualifications
  • Financial requirements
  • Coffee Shop Location

General Qualifications

1. What qualifications do you seek in potential franchisees?

We are looking for franchisees who want to build the brand and create economic value. Ask yourself these questions:

  • Do you want to share a vision to become part of the franchise system of choice?
  • Do you enjoy the LIPIZZANER brand and want to add to its brand strength?
  • Are you committed to leading and managing your business?

If your answer to these questions is yes, we could be the franchise for you. We also want people who have previous success in the coffee shop or retail environment, supervisory or training experience, and the necessary financial resources to effectively develop the coffee shops and depots.

2. Is it necessary for me to work in my coffee shop or store?

We believe that professional management is critical to your shop´s success. If you have prior restaurant or coffee shop management experience, we encourage you to actively rung the day-to-day operations of your business. If not, you must partner with a prefessional shop manager who also has a vested interest in the business if you are interested in a LIPIZZANER Confiserie & Coffee Shop. If you are intersted in a LIPIZZANER DEPOT, the professional restaurant or coffee shop manager requirement does not apply, although it is highly recommended.

3. How much money can I make?

That´s a good question, and one that depends on several factors, such as your ability to manage the business, sales volume, location, and operating cost controls. These factors, and more, all effect the profit a confiserie & coffee shop or a store can expect to earn.

We strongly suggest you visit with some of our existing franchisees to discuss sales, operating costs, and profitability. When we bign serious discussions regarding our franchise programs, we will provide you with the appropriate Uniform Franchise Offering Circular. Depending on the concept, historical performance information may be included.

4. How do I know if a LIPIZZANER CONFISERIE & COFFEE SHOP or a LIPIZZANER DEPOT franchise is right for me?

Like owning any business, LIPIZZANER Confiserie & Coffee Shop or a LIPIZZANER Depot franchise is not right for everyone. You must be willing to work long hours and be very comfortable with personnel management, financial management, marketing, and business development. In addition, you should have strong communications, motivation, and customer service skills. But, keep in mind for the right person or company, owning a LIPIZZANER Confiserie & Coffee Shop or LIPIZZANER Depot can be an extremely rewarding business opportunity.

Financial Requirements

5. What are the financial requirements for a LIPIZZANER Confiserie & Coffee Shop, and total investments?

A new franchisee must have a net worth of at least € .......... with liquid assets of at least € ................. Of thet € ................... must be available to inject as cash equity.

The typical investment range is € ........... to € .................Here is a breakdown of those expenses:

Franchise fee: € ...................
Location: € ................
Construction: € .............. to € .............
Equipment: € ............... to € .............
Start-up and working capital: € .............. to € ...............

Keep in mind, variances specific to an individual project could increase or decrease this range. As we work with you, we´ll be able to estimate an investment range for your specific project.

6. What are the financial requirements for a LIPIZZANER Depot, and total investments?

A new franchisee must have a net worth of at least € .......... with liquid assets of at least € ................. Of thet € ................... must be available to inject as cash equity.

The typical investment range is € ........... to € .................Here is a breakdown of those expenses:

Franchise fee: € ...................
Construction: € .............. to € .............
Equipment: € ............... to € .............
Start-up and working capital: € .............. to € ...............

Again, this range could increase or decrease, depending on the individual project.

7. Does LIPIZZANER offer any special programs to help me become a franchisee?

Absolutely! We offer a variety of programs, based on your level of experience, financial situation, and ability to operate one or more coffee shops or depots.

8. What are the ongoing fees LIPIZZANER charges?

For the LIPIZZANER Confiserie & Coffee Shop, ongoing royalties are 5% of sales, which are collected monthly. For the LIPIZZANER Depot, ongoing royalties are 6% of sales, also collected monthly. For all concepts, franchisees are required to pay a sales promotion fee at a rate of 3% to 6% of sales.

Coffee Shop / Depot Location

9. Where can I develop a new location?

We have focused our development activity of LIPIZZANER Confiserie & Coffee Shops in certain specific market areas. If you are interested in a single unit LIPIZZANER Confiserie & Coffee Shop or LIPIZZANER Depot, we are only developing in:

Canada (all)
California
Chicago, IL
Florida (central)
Boston
Osaka
Tokyo
Hongkong
United Arab Emirates (all)
Hamburg
Paris
London
Dublin
Zürich
Barcelona
Brügge
Amsterdam
Milano
Trieste
Venice
Rome
Prag
Budapest
Bratislava
Sofia
Moscow
St. Petersburg
Oslo
Stockholm

LIPIZZANER Depots are generally available throughout the above countries.

10. Who determines the location of my LIPIZZANER Confiserie & Coffee Shop or LIPIZZANER Depot?

Your specially assigned Real Estate Development Manager provides you with site selection criteria, to help you evaluate the attributes of a specific location. Once you propose a site, LIPIZZANER conducts an analysis and review of thet site. The market analysis is based in numerous factors, including retail activity, traffic volume, restaurant saturation, residential population, and property costs.

11. What if I have an ideal LIPIZZANER location available?

If you are a Real Estate broker or individual who has a specific site available, please send the details to:

Site Development
Lecon Products Ltd. / Lipizzaner Division

You can also fax the information to ++43-1-405 74 71 or send it via eMail to office@lecon.com.

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Last updated
2005/07/01