CADD

CENTRE
Franchise Proposal
 Key Points Of The
Presentation
1. Defining Franchising.
2. Eligibility of Franchisee.
3. 5 Questions to be asked to yourself.
4. Why Buy a Franchise?
5. Benefits of Taking Franchise.
6. Financial Feasibility.

October 22, 2008 2

 Defining Franchising
• Payment of Initial Fees.
• Right to use trademark, service-mark or
trade name.
• Marketing Plan, significant assistance or
community of interest.
• “It is a legal business arrangement
governed and created by a contract, under
which the franchisor (owner/supplier) sells
to a franchisee (retailer/buyer) the right to
sell certain goods and/or services of the
supplier
October 22, 2008 under specific agreed upon3
 Eligibility of Franchisee
• Experience of at least 2 yrs in
education field.
• Or should be an engineering student
with work experience.
• Must have a space of about 1000 to
1200 sqft.
• Should have an investment capacity
of 8 to 10 lakhs.

October 22, 2008 4

 5 Questions to be Asked to
Yourself?
• How much of a team-player you are?
• Can you accept the directions from others
and play the role of follower to get my
business rolling?
• How do you feel about sharing your profits
with someone who has not made a direct
cash investment in your business?
• Do you know what it takes to run your own
business even under the protection of a
franchise system?
• How
October many hours are you willing to devote5
22, 2008
 Why Buy a Franchise?
• Less Risk • Protection
• Less Time • Training
• Less Effort • Written Standards
• Less Money and Procedures
• Centralised • National Name
National recognition
Advertising • Low rate of Failure
• Operating of Business
Procedures
• Quality Control
October 22, 2008 6
Standards
 Why should you join hands
with CADD Centre?
• Strategic Business tie up with major Software
Companies
• Introduction of new courses at regular intervals
• Start to End Industry Specific courses
• Free training for all your staff
• World class course material
• Training and certification of technical staff by
ITA
• Free guidance for technical, marketing and
sales activities
• Internationally recognized Certificate
• Only International CAD Training Institution in
India
• The
October largest Corporate Training Company in India7
22, 2008
 What you get as CADD
Centre's Franchise Partner?
• CADD Centre's Brand name and Logo
• Software at subsidised pricing
• International quality course material
• Internationally valid certification for
students
• Technical & marketing support using
our expertise developed over 19 years
in the business
• A long term business relationship with a
highly reputed company
October 22, 2008 8
 What CADD Centre expects
from a Franchise Partner?
• Good management skills
• Commitment to customer
satisfaction
• Drive to succeed
• Sound financial background with
good working capital
• Capability to successfully manage
our training business in the region
October 22, 2008 9
 What is CADD Centre's
Franchise Arrangement?
An arrangement where your efforts are
directly proportional to your profits. A
good chance to enter into the
Information Technology industry with
minimum risk.

October 22, 2008 10

October 22, 2008 11
 What are the courses
offered by CADD Centre?
• Civil CADD
• Mechanical CADD
• Electrical CADD
• Architectural CADD
• Project Planning and Management
• Interior Architecture & Design
• Modeling & Animation
• Garment & fashion Design

October 22, 2008 12

 Who is the target segment
for our training business?
• Computer Aided Design
• Project Management
• Modelling & Animation
• Corporate Sector - Engineering
Industries, Architectural Concerns &
Interior Designers

October 22, 2008 13

 Computer Aided Design
• Government Departments
• Utilities
• Oil Companies
• Archeologists
• Engineering & Diploma Students
• Engineers
• Architects
• Diploma Holders
• Manufacturing Companies
• Construction Companies
• Draftsmen
• Map Companies
October 22, 2008 14
 Project Management
• Project Managers
• Project Leaders in IT
• Construction Engineers
• Maintenance Engineers
• Event Managers
• Senior Software Professionals
• Planning, Scheduling Engineers
• MBA Holders
• MBA Aspirants
• Engineers aspiring to work in Project
Companies
October 22, 2008 15
 Modelling & Animation
• Marcom Executives
• Art Directors
• TV Title artists
• Advertisement and layout designers
• Housewives
• School children
• Arts and Science graduates
• Diploma holders
• Graphic designers
• Animators
• DTP Operators

October 22, 2008 16

 National and International
Network
CADD Centre, the leader in Computer
Aided Design Training with over 19 years
of experience, took the franchising route
for its expansion during late 1995. The
initiative started to expand its operations,
became so successful and viable; today it
has the largest network of over 250
centers in India and abroad.
CADD Centre is looking for entrepreneurs
to establish CADD Centre at
unrepresented locations in India and
abroad.
October 22, 2008 17
 National Network
• Andhra Pradesh • Orissa
• Gujarat • Pondicherry
• Haryana • Punjab
• Jammu • Rajasthan
• Jharkhand
• Tamil Nadu
• Karnataka
• Uttar Pradesh
• Kerala
• • Uttrakhand
Madhya Pradesh
• Maharashtra • West Bengal
• New Delhi & NCR

October 22, 2008 18

 International Network
• Bahrain
• Bangladesh
• Dubai
• Malaysia
• Nigeria
• Oman
• Qatar
• Sri Lanka

October 22, 2008 19

 Financial Feasibility
Schedule of Project Cost
Particulars Cost
Fixed Assets
Hardware (Computers 6) 180000.00
Software 200000.00
Interior 100000.00
Furniture 100000.00
Teaching Aids & Emergency Lights 35,000
Printer 6,000
Air Conditioner 60,000
UPS 24,000
Total Capital Cost A 705,000

Building Rent or Cost 40,000

Annual Franchise Fees (plus Service Tax) 168,480 150,000 18480
Total B 208,480

Total Project Outlay A+B 913,480

October 22, 2008 20

 Project Cost
• It is the one time investment which
you have to made within 60 days i.e.,
2 months after signing the MOU.

October 22, 2008 21

 Monthly Expenses
Monthly Expenses
Particulars Cost

1 Rent 25000

2 Staff Welfare 3000

3 Pantry 3000

4 Conveyance 3000

5 Printing 2000

6 Office Maintenance 2000

7 Postage 3000

8 Telephones 3000

9 Stationery 2000

10 Electricity 4000

11 Avertisement 20000

12 Salary 25000

13 Emergency 5000

Total 100000

October 22, 2008 22

 Contd…
• This is the regular expense which you
have to made.
• This expense can vary from Rs.
50,000 to 1,50,000.

October 22, 2008 23

 Monthly Repayment
Schedule
Monthly Repayment Schedule

Total Capital Investment 1300000

Interest (3 yrs @ 10% flat) 390000

Total Capital + Interest 1690000

Assuming a Payback Period of 3 yrs

* Monthly Repayment 46944

* Monthly Commitment 100000

** Total commitment per month 146944 (Actual required income for each month)

* Monthly repayment is the amount which you have to earn every month
* monthly commitment is the amount which you need to spend every month

** Approx. 1,50,000 required to be earn every month for running the business.

October 22, 2008 24

 Monthly Income Schedule
Monthly Income Schedule

courses no. of students fees amount

foundation level 10 5500 55000

diploma level 10 13000 130000

professional level 5 18000 90000

master diploma level 3 35000 105000

individual courses 10 12000 120000

Income 500000

Note: Here service tax is not added.

October 22, 2008 25

 Cash Flow
Cash Flow Projection (1st Year)
   

Income      

  amount no. of months total income

  500000 10 5000000

  less: cost of books (10%) 500000

  gross profit: 4500000

   

expenses      

  amount no. of months total expense

  100000 10 1000000

   

  net profit: 3500000

       

October 22, 2008 26

 CADD Centre At A Glance
• Concept : CAD training centre Business.
• Established : 1988.
• Franchising Commenced : 1995.
• Number of Centres : 250 plus.
• Network Spread Across : 8 countries.
• Investment Required : Rs. 8,00,000 to Rs. 10,00,000.
• Space Required : 1000 – 1800 square feet.
• Agreement Terms : 3 year (franchisee optional renewal).
• Countries Offered : UAE, Kuwait, Saudi Arabia, Singapore,
Malaysia, Philippines, UK, Australia, Vietnam, Sudan, Bhutan,
Nepal, and all English speaking countries.
• Qualifications Required : Qualified individuals and existing
training centres with at least 2 yrs of experience.
• Business Model : Annual fee.

October 22, 2008 27

 Franchising is a method of
distributing goods or
services – a unique selling
concept that fits hand-in-
glove with our highly
mobile, service-intensive
society.

October 22, 2008 28

For Taking Franchisee contact:
Vivek Kumar
Manager – Franchise Development
CADD Centre Training Services Pvt.
Ltd.

Phone: +91-9793677554
E-mail: vivekkumar@caddcentre.co.in
October 22, 2008 29