Step 1: LJS Franchise Information Memorandum received

Step 2: Signed Confidentiality Agreement sent back to LJS.

Step 3: Preliminary meeting with LJS

Arranged a suitable time to meet with LJS to find out more information on the Franchisor, understand the business and allow Franchisor to understand your requirements

Step 4: Decide upon preferred location

Complete and return Franchise Application Form and Statement of Financial Position.

Undertake your research, including mystery shopping and spending time watching other LJS stores.

Step 5: Receive data and conduct research.

Receive indicative trading model projections from LJS. Receive Heads of Agreement to Purchase a Franchise from LJS. Research for yourself the turnover expectation you have for the location. Seek professional assistance to confirm for yourself the viability of the proposed opportunity.

Apply for bank finance if required. Note: LJS is a pre-approved franchise for most banks. If you are uncertain in this process, please ensure that your application is prepared by your professional advisor or somebody skilled in this process.

Step 6: Second meeting arranged with LJS to satisfy any outstanding issues.

Approve the Franchisees application and to finalize all arrangements. This will normally include a review of:

• Meetings with the LJS Management team
• Any store visits
• Review of any trial period in an LJS training store and any further meeting with LJS management to review trial performance
• Review financial planning and budgeting and analysis of store set-up costs and funding requirements
• Review of the standard Franchise Agreement if required
• Review of expectations of the Franchisor for the operation of the store
• Discussion of training requirements

Step 7: Return signed Heads of Agreement to Purchase a Franchise.

Pay a $1,000.00 non-refundable deposit towards the preparation of full legal documents. This deposit will be applied against the working capital required for the legal costs of the preparation of the Franchise Agreement as referred to in the Franchisees Investment section of the Memorandum.

NB: Until this document is signed by both parties and the deposit paid, several franchisees may be seeking the same location and undertaking the same process. The successful applicant is entirely at the discretion of LJS Management.

Step 8: Complete Sale & Purchase Agreement

The formal execution copies of the Sale & Purchase Agreement, Franchise Agreement and Sub-Lease Full legal document package prepared and forwarded to your Solicitor.

You must comply with time frames regarding professional scrutiny.

Signed agreements are returned to LJS.

Upon signing the Sale and Purchase Agreement a deposit is required to be paid in order to secure the Franchise store.  However, the Sale and Purchase Agreement will still be conditional upon the Applicant’s Solicitors evaluation and approval of the Sale and Purchase Agreement, Franchise Agreement, and Sub-Lease, and a period of not less than 7 days will be provided for this.  This allows the Applicant a ‘cooling-off’ period after signing the Sale & Purchase Agreement, for the sole benefit of the Applicant.  If the agreement is not declared unconditional by the Applicant’s Solicitor, then the deposit is immediately refunded in full without deduction.

The Sale and Purchase Agreement will specifically identify:

• The purchase price
• Any financing conditions required
• Additional working capital requirements, including:
  
  a. Cash Float
  b. Estimated value of the settlement product stock
  c. Estimated value of the Uniforms settlement stock
  d. Staff training cost contribution (if any)
  e. Grand Opening marketing contribution (if any)
  f. Estimated legal costs for the preparation of the Franchise Agreement & Sub-Lease
  
  
• The amount of the deposit
• The settlement (purchase) date
• The amount of time required for your Advisors approval of the Agreements, Franchise Agreement and Sub-Lease.
• The period of time available after signing to make the agreement unconditional