2. Franchising Project
History of franchisor
From a long experience in the fashion industry, specializing in apparel, yachting and surf
wear the founders of Ocean Shelling began to engage in franchising project.
Ocean Shelling was founded in 2009 with the idea of its founders to create, initially, a line
of clothing for surfers and sailing enthusiasts. Subsequently, in order to meet the needs of
the yachting & surf industry, the range of items has been expanded, and is still being
expanded, adding bags, accessories, swimsuit ect.
Thanks to the introduction of our Sea Kit borns the concept that is summarized by our
slogan: "Are you ready for the ocean?"
Basically we wanted to create a store able to meet the needs of the junior contemporary
market along with the adult contemporary market where they can prepare for a day at the
beach which can be understood as a day spent at the beach surfing or sailing, with a cross
over for day and evening wear.
It was then the first flagship store was opened in Honolulu Hawaii opened. In order to
test the performance of the store, customer requirements and the approval of the products.
Ocean Shelling is always sourcing new products, in fact recently adding a more modern
contemporary new line both adults and the junior market.
Initially, the franchising born treating only high quality items but over time we have
introduced a lower end high volume goods at inexpensive prices to meet the needs
dictated by the period that we find the market in at this time.
www.oceanshelling.com
3. Technical Description
Brand: Ocean Shelling ®
Franchisor Company: Limited
Description: Retail Sales Of Yachting & Surf Wear, Shoes, Jewelry,
Handbags And Fashion Accessories
Date Of Founding: 2009
Launch Year Of Franchising: 2011
Stores In Franchising:
Average Size Of The Store: Starting From 40 Sq. Mt.
Personnel (Including Owner): 1 + 1 Part Time
Ideal Location: City Centers, Tourist Places, Shopping Centers
Catchment Area: At Least 15.000 Inhabitants
Initial Investment: Starting From USD 20.000/30.000
Profile: Woman / Man
Average Annual Turnover: $ 70,000 First Year
Duration Of Contract: 5 Years
Previous Experience : No
Entrance Fee: No
Periodic Fees: No
Fees For Advertising: No
Training: Yes
www.oceanshelling.com
4. Presentation
The franchising Ocean Shelling has been on the market for only a short period of time.
Although Ocean Shelling is a new brand the company distinguished itself locally and
abroad.
In a very difficult period for the world economy Ocean Shelling aims to solve the problem
that many women settle for work as employed or temporary basis for three months or six
months, giving some confidence to all those women they want their own businesses so
they can manage themselves and find a way that makes them feel cheap out and gratified
at the same time as it deserves one of our affiliate.
Here we speak of the main features of our franchise.
The lack of inventory is important because it involves a devaluation of the investment and
therefore allows to have a store always renewed with new articles.
The low investment (we're talking a minimum of twenty thousand USD plus VAT) you
can gradually grow with a new brand that certainly in a short period of time will be
successful. We believe that currently stores Ocean Shelling can certainly give an answer to
all those women entrepreneurs who want to do but do not want to invest big capital.
The contract provides that the Ocean Shelling franchise is no charge, royalty-free with no
entry fee. This is because it tries to establish the relationship with the franchisee and the
freedom to choose whether to stay with the brand Ocean Shelling or not.
The initial supply of goods including investing together with furnishing and all
advertising material is fine for a business from 30 to 50 square meters. In stores open at
least with this investment we are able to properly provide the goods and to allow the
franchisee to enjoy our activities.
The timing for the resumption of capital are set depending on the location of the store.
If put on a road or a shopping mall is going to have a very short time to recover all the
capital. Do not neglect but also in areas that may be commercial but not considered the
best point. Some minor route for example. The important thing is that there is a flow of
pedestrian traffic.
It goes without saying that this activity is not rich but no one is an activity that very
honestly recommend to all those young people who want to achieve in a store that will
make them admire all those who come and see a shop Ocean Shelling.
www.oceanshelling.com
5. At present what we want to express is that having an Ocean Shelling franchisee is the
dream of many young people, witness that more than 2.000 requests for information for a
possible opening received from all over United States and abroad.
The type of store and goods can be customized according to demand. For example, if a
town should be so Swimwear, they may be brought into the room as the prevailing market
compared to other items. In essence our woman will be the entrepreneur to assess and
understand (even more on our board) if the point of sale increased focus on an article
rather than another. The articles do not stop those who can see but now we can say that
there are dozens of products that will be introduced gradually in-store for the beauty of
the contemporary woman who is our first thought, surely winning.
www.oceanshelling.com
6. Detailed information
Products:
Clothing for contemporary women/men.
Style:
Yachting & surf wear, handbags, jewelry, lingerie, fashion accessories.
The Ocean Shelling franchising still develop the introduction of new products such as
spring we will offer and introduce some new items, swimwear sandals, and flip flops and
also beach towels and a small Jewelry line.
Early in the investment includes a wide range of goods and furniture, consisting of
displays, table, shelves, mannequins, film wall for decoration of the shop. Normally we do
not provide the cash register but on demand we can provide it scaling the amount on
initial investment. We would like to clarify that a cash register is sufficient basis, without
any specific program.
The selling point:
The ideal surface of the store between 30 and 50 sq. mt. The ideal location is the main
shopping street, the historic center, shopping mall. Find a store it is the franchisee. The
costs of rent shall be borne by the affiliate. It is the responsibility of the franchisee to deal
with painting and lighting.
Exclusive Zone:
The exclusive zone consist of an area of 10 km or 60,000 inhabitants, in some areas, the
area of exclusivity may be the entire province.
Education and training:
You do not need any experience but it is important to have a good relationship with the
public and being a dynamic person. The training takes place in our office for matters
concerning the commercial and in-store once opened, through trade manager. As for the
articles, the franchisee is accompanied in factories, in order to really understand the items
you are going to sell in the store.
www.oceanshelling.com
7. No inventory:
A fundamental point of Ocean Shelling franchise is that there are no inventories. Given
that the initial supply is chosen by the franchisee, it has the right (by contract) to return the
goods that are not welcome change with its goods they prefer. Even after opening the
store, the franchisee may return unsold goods once every two months changing them with
goods in his store to be more. This solution has two positive effects: lack of inventory, or
any capital firm, and the continuous renewal of more modern and fresh goods for their
store.
Since it is not an account of sale or consignment, the goods are owned by the affiliate.
Low prices:
Ocean Shelling branded goods are competitively priced compared to shelling the market
despite the good quality of the articles. For example, jewelry necklaces to $ 8.90 / $ 9.90,
shoes from $ 70 , scarfs $ 15, bags starting from $ 28 and so on.
www.oceanshelling.com
8. Business Plan
Development plan of the franchise
Below is the Business Plan of the franchising project developed on the basis of data
collected internally. The figures are indicative of an activity developed with the goals
developed by the Ocean Shelling and with an initial investment of USD 35,000.00.
The achievement of these objectives can be affected from the location of the store and so
can vary by 20%, 30%, 40% even up to 500% (well established shopping center).
Considerations
As you can see we have reported two solutions: one that provides access to financing and
self-financed. The choice of methods obviously depends on financial possibilities of the
franchisee.
The difference between the two plans is in the entity of the costs which have increased by
about USD 600.00 per month in the solution with funding, this figure is calculated on an
average between the city (where rents have the greatest effect but there is a greater
catchment area) and the periphery (lower rents and lower basin user charges).
The other values remain unchanged and provide for continued growth average daily
turnover and a steady increase in the number of customers.
It is clear that compliance with specific objectives and therefore the success activity, are
inextricably linked to the commitment and capabilities franchisee. We provide the tools,
support and experience but it is responsibility of the franchisee to use these resources
properly. In Business Plan does not set impossible targets we wanted, so much so that, as
already said, we have assumed a growing number of customers per month as a regime in
this market will account for 40% of sales. It is clear that advertising and looking for
customers has a positive effect on development time activity.
The plan developed by us as it is "cautious" in some respects so to allow good potential
and falls faster investment. The important thing is knowing how to exploit the full
potential yields available and the results will not be long in coming.
www.oceanshelling.com
11. Turnover minimum achievable
The minimum annual turnover, on a catchment area of 20,000 population is up from
70,000 USD.
Keep in mind that this is a year of crisis for United States and the world we can also
provide this information only on the basis of the few outlets who have completed a year of
being open to the public.
These data will be updated periodically.
www.oceanshelling.com