Francorp Clients - Children's Orchard

Francorp developed the original franchise program for Children's Orchard franchising systems. The Franchise company is the industry leader in children's resale clothing. They currently have almost 100 locations and continue to define their industry. Here are the details on the company and background on the company.

Children's Orchard
900 Victor's Way, # 200
Ann Arbor, MI 48108

800 #:(800) 999-5437

Tel:(734) 994-9199 + 222
Fax:(734) 994-9323
E-Mail:campaign364@mail.emaximation.com
Website:www.childorch.com
Contact: Ms. Lisa Morgan, Franchise Development Director

Business Description:
Upscale children's retail/resale stores, featuring clothing, toys, furniture, equipment, books and parenting products. We buy top-brand items from area families by appointment, and re-sell in boutique-style stores, along with top-quality new children's items from nearly 200 suppliers. These are large volume stores selling thousands of items per week.

Franchisor Background
Year Established: 1980
Franchising Since: 1985
Operating Units:
Franchised Units:
84 98.8%
Company-Owned Units:
1 1.2%

Total Operating Units:
85 100.0%

Geographic Distribution:
U.S.: 85 100%

North America:States/Provinces with the largest number of operating units:
Density

Units
1. Michigan 6
2. Massachusetts 14
3. California 18

Registered in Following Registration States: California, Florida, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, Oregon, Virginia, Washington, Wisconsin, District Of Columbia, Alberta Financial Requirements
Investment:
Minimum Net Worth:
$200K
Cash Investment:
$30-50K
Total Investment:
$72.5-158K
Average Total Investment:
$150K

Fees:
Initial Franchise Fee:
$22.5K
Average Franchise Fee:
$22K
On-Going Royalty:
5%
Average Royalty:
5%
Advertising Fee:
1.0%

Average Number of Employees: 1 Full-time, 3 Part-time

Space Needs (in square footage): 1,200-2,000

Preferred Sites: Storefront, Strip CenterOther Sites: Encourage Conversions? YesEarnings Claims Provided?: No
Franchisee Qualifications

Ranked from 1 (unimportant) to 5 (important):

Financial Net Worth:
5
General Business Experience:
3
Specific Industry Experience:
2
Formal Education:
4
Psychological Profile:
2
Personal Interview(s):
5

Terms of Contract

Term of Initial Contract:
10 Year(s)
Term of Renewal Period:
Year(s)
Passive Ownership:
Allowed, But Discouraged
Area Development Agreements?
Yes, for 1 Year(s)
Sub-Franchising Contracts?
No
Franchisees Allowed to Expand Within Territory?
No

Support and Training

International Franchise Association:
Yes
Canadian Franchise Association:
No
Franchisee Association/Member:
Yes, Member
Size of Corporate Staff:
15
Site Selection Assistance?
Yes
Lease Negotiation Assistance?
Yes
Financial Assistance?
Yes, Direct


Projected New Units Over Next 12 months: 15
U.S.: Yes, All US Except HI, AK
Canada:
No
Overseas:
No

Francorp to Hold Annual Client Conference in Washington D.C.

Dear Reader,

Francorp would like to invite you to our Annual Client Conference. This is an opportunity for you to get a "Behind the Scenes Look" at how we continue to coach and provide assistance to our clients.

This event will be held in Washington, DC at the Marriott at Metro Center, 775 12th Street NW, on Friday, March 20th from 7:30 AM to 4:00 PM. Our conference will be held in conjunction with the International Franchise Expo (IFE) held on March 20th, 21st, and 22nd. The IFE is the largest franchise show in the United States. The IFE show features nearly 300 franchisors who are set up in booths and who are presenting themselves to over 10,000 attendees and visitors who are intersted in buying franchises. We would suggest you plan on arriving in Washington, DC on Thursday evening, March 19th, attending the Francorp Annual Client Conference on Friday and then attending the IFE on Saturday and Sunday. When you notify us of your attendence, we will arrange for you to receive free admission tickets to the expo.

Our client conference will be featuring an outstanding presentation by our Executive Vice President, Tom DuFore, on "How to Exhibit in a Franchise Show or Tradeshow", and a presentation by Francorp's International offices on some of the exciting opportunities for U.S. companies to sell their master licenses in foreign countires. Represented in the program will be the heads of Francorp's operations in India, Argentina, Chile, Japan, Malaysia, Mexico, Middle East, and the Phillippines. There is no charge for your admittance to this meeting and you are free to send as many people as you like from your company.

Reservations for the event are required in order to reserve a seat to our annual conference and to allow the necessary time to send you the information for obtaining your tickets to the IFE. To reserve seats for your company, please contact one of our Franchise Anaylists at 1-800-372-6244 or tradeshow@francorp.com by March 11, 2009.

If you have not doen so already, please take a few moments to review our video on Selling Franchises in a Challenging Economy at www.francorp.com/economy.

We look forward to seeing you at the show!

Sincerely,

The Francorp Team