What Is A Franchise?

A franchise is not a product that is sold like a car or a house. A potential franchisee makes an application, and after approval by the franchisor, the franchise is granted, or awarded. The franchisee is purchasing the right to participate in an established business concept, thus eliminating the need for costly market research, development, copyright and legal services which are associated with independent start-up businesses.

Franchising is a business strategy that requires a close alliance between franchisors and franchisees working together toward semi-independent but mutually beneficial goals. In this alliance there are non-interchangeable roles. The franchisor formulates and guides a system-wide branding plan, while the franchisee carries out that plan at a local level.

To become a Submarina® franchisee, you must qualify. You must meet our standards and go through our process and agree to follow our system. Typically, companies spend much of the early years of their business getting all the “bugs” out of their system before the business is completely successful, and offered as a franchise. Therefore, the franchisor does not want the franchisee to encounter the mistakes that they made in the formative years. Herein lies the underlying formula for franchising, and the reason that franchise operations are so successful; the business model has been proven, and when duplicated efficiently, will certainly produce success.

Since we are awarding a franchise, you will need to know how a franchisee is expected to perform. We will spell out the exact terms of the relationship in our Franchise Disclosure Document (FDD) and the Franchise Agreement. These documents will be presented to you once your application is received.

The
SUBMARINA
Franchise Program

Once you qualify as a franchisee and become a licensee of the Submarina franchise system, we put our efforts into teaching you the Submarina system. Since the success of your franchise is mainly dependent on how well you follow our system, we are committed to you every step of the way. Our effective system of operation will give you the edge necessary to create a thriving business.

The Submarina franchise program provides you the following support and assistance:

Financing
Submarina is able to introduce you to financing sources that are familiar with our operations and have worked with us in the past. This includes equipment leasing companies, SBA (small business administration) approved bank lenders and other private lenders.

Site Selection and Lease Negotiations
We connect you with professional assistance in helping to locate and identify suitable retail locations for the new franchise location. This process takes considerable effort and expertise and is best handled by the experts, who will have your best interests at heart throughout the process. It has been said that the three most important ingredients of a successful business are “location, location, location.” Add to this formula proficiency in operating the Submarina system and you have a proven winner.

Restaurant Design and Construction
Complete sets of custom floor plans are developed for each location. Proper customer traffic flow and seating are laid out. Efficient work areas and backroom storage areas are created. Other key design elements are implemented into your restaurant to give it that unique Submarina look. With these plans, we will coordinate with our design-layout contractor.

Group Purchasing Power and Proprietary Products
In all possible situations, Submarina restaurants purchase the same products. This group purchasing makes possible quantity discounts from manufacturers and distributors. Savings are passed directly to the franchisees. Franchisees are required to purchase certain Submarina proprietary products. Paper goods with the Submarina logo and specially formulated food products are examples. These items assure the uniqueness, uniformity and quality of the Submarina system.

New Product Development
Submarina is a flexible company. Since technology and customer trends are ever changing, we are constantly seeking out new and improved products, machinery and methods of operations. If these items pass our stringent screening and testing methods, they are added to the Submarina Operation Manual and implemented in the system.

Development Rights Program
This form of franchising allows for ownership of multiple locations within a defined geographic area.