franchise opportunitybrochure

page 4

3 Our philosophy4 A bean sized summary

5 Who is Retail Food Group?6 Why franchising

7 Esquires Coffee – who are we?8 Esquires Coffee - international presence

9 Our menu11 Is Esquires Coffee the right business for me?

12 Support systems13 R.I.O.T training

14 Which store option suits me best?17 For the bean counters

18 Do you want to join the Esquires Coffee team?22 Frequently asked questions

25 Happy franchisees26 A message from our Chief Executive Offer

28 Contacts

Contents.

page 6

Our philosophy.

Great coffee is what we do; every cup must conform to the most

exacting standards. But our promise doesn’t end there. We serve

great coffee to our customers with the aim of then being able

to assist worthy charities and community groups to raise much-

needed funds. We do this in every country, city, town and district

that has an Esquires store.

We are also passionate about the people who grow the beans

we cherish so highly and the environment in which the beans are

grown, hence our adoption of the rules that govern Fairtrade in

Coffee and Organic Growing.

All our espresso beverages, with the exception of decaf, are now

made using Fairtrade Organic Coffee beans.

At Esquires we’re not trying to change the world. We just want to

make a difference. Which is why, cup by cup, we (and you) are

helping hard-working growers and local charities the best way

we can. It’s only a small step, but it’s a start.

page 3

a bean sized summary.

Esquires Coffee franchise outlets are highly recognisable. Our stores are situated

in the best possible locations and are individually designed to provide Esquires

Coffee customers with a vibrant, friendly environment committed to superior

quality and value.

We strive to offer our customers not just great coffee but an experience, with our

comfortable seating, wireless internet connections, great music and magazines.

We are constantly innovating to stay ahead of our competitors to ensure our

customers enjoy their Esquires Coffee experience.

Our promise is to serve freshly roasted, freshly ground organic fairtrade

coffee, alongside a fantastic selection of food and cold beverages, served in

a comfortable trendy environment by friendly staff. This keeps our customers

coming back again and again and sets us apart from our competition.

Training Provided: Our standard training period is 4 weeks and 3 days at our

dedicated and purpose built training academy on the Gold Coast, Queensland.

Marketing Support: You are supported by a dedicated marketing team to set

the strategic direction for the brand and national marketing calendar which

incorporates national promotions, advertising and PR. This team provides you

with local area marketing support to assist you in planning and implementing

effective local area promotions.

Agreement Term: Upon purchase of a new Esquires Coffee outlet you will be

provided with an initial 5 year term plus an additional 5 year renewal option.

Investment Level: $200,000 - $550,000 this large scope allows for a “hole in wall”

outlet at approx $200,000 through to a full format, dine in cafe and drive thru

at $550,000 ( estimate only). The investment level can also vary depending

upon size of the site, equipment required and the landlords requirements or

contributions.

What is included in the investment: Fully fitted out store, equipment, training,

manuals plus initial franchise fee and ongoing franchise support.

Store Floor Area: Depending upon the concept chosen, store footprints start

from 15m².

Ongoing franchise fee: 7%

Ongoing marketing contribution: 3%

Number Of Stores: Over 50 throughout Australiasia and over 250 outlets operating

internationally under the “Esquires Coffee Houses” brand.

Opening Hours: Typically 7 days per week, with hours to suit individual locations.

Business Established: 1993

Financial Support: Retail Food Group have approved franchise systems with

major financial institutions throughout Australia and New Zealand.page 4

Retail Food Group Limited is a leading Australian retail food brand manager

and franchisor. It is the intellectual property owner and manager of the

successful brands such as Donut King, Michel’s Patisserie, Brumby’s Bakery, bb’s

café, Esquires Coffee, Pizza Capers, Crust Gourmet Pizza and The Coffee Guy

franchise systems.

Since its inception in 1989, Retail Food Group has successfully grown from a small

franchisor with less than 50 stores to become the largest multi-food franchisor

within Australasia with eight (8) franchise systems, boasting in excess of 1400 stores.

We at Retail Food Group believe that our systems are the most respected and

successful systems in Australasia, remaining unsurpassed in terms of being fully–

integrated franchise systems, all offering quality products and market leadership

in each of the brand’s target markets.

We credit this to the ongoing dedication and loyalty of our franchisees, whose

businesses are supported by a franchisor who provides business education,

marketing and operational systems as well as ongoing support systems.

Retail Food Group is a company whose business model and franchise systems

have not only been proven strong and durable, but which have been toughened

by experience to provide a potent foundation for future growth.

who is Retail Food Group.a bean sized summary.

page 5

who is Retail Food Group?

why franchising?

Franchising is a method of marketing goods and services that has almost

no l imits in terms of the types of business categories to which it can be

applied. Franchising is a very popular and successful business format

and the franchising sector in Australia and New Zealand has over three

times the number of systems per capita than the United States. Typically

franchising involves the payment of an initial franchise fee and ongoing

royalties, and, in exchange, the franchisee receives a l icence from the

franchisor to conduct business under a brand name or system (or both)

for a specified period of time.

Franchising offers business buyers the opportunity to be in business for

themselves, but not by themselves. Franchisees own and operate their

own business with the backing of an established, proven retail approach

and management system.

The benefits of being part of a franchise system are significant. The

combined strength of a multi-brand franchise system provides

franchisees with:

• A competitive edge by their use of a well-known brand;

• Access to established and proven business systems;

• Best price negotiated for them through the strength of the

franchising system;

• Greater advertising frequency and marketing opportunity;

• Greater brand awareness through the visibil ity of the brand; and

• Access to a broad range of products, services and training

programs.

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As an Esquires Coffee franchisee you have the freedom and

independence of running your own business without being alone.

Founded in 1993 in Vancouver, Esquires Coffee has grown into a thriving

brand with a presence in Canada, Saudi Arabia, United Kingdom, Abu

Dhabi, Ireland, China, New Zealand, Dubai and Fij i .

The first New Zealand store opened in May 2002 and the system has

quickly become the fastest growing coffee franchise in New Zealand,

with more than 47 stores currently situated throughout New Zealand.

Esquires Coffee is now a proud member of the Retail Food Group family,

joining other iconic brands such as Donut King, Brumby’s Bakery, bb’s

café, Michel’s Patisserie, Pizza Capers, Crust Gourmet Pizza and The

Coffee Guy franchise systems - throughout Australia, New Zealand and

internationally.

It is with great excitement that Retail Food Group, supported by a

wealth of experience in the food franchising sector, is now introducing

Esquires Coffee to Australia.

Esquires Coffee have an expert team of partners - suppliers, contractors

and professionals who have been carefully selected based on their

professionalism, expertise, reputations, and their abil ity to deliver a

superior quality service and product.

Esquires Coffee provides the proven systems to successfully open and

run your own organic Fairtrade coffee house. Our winning formula

ensures you have the tools, suppliers and style required to give you

every opportunity for success.

Esquires – who are we?

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In addition to the Esquires Coffee franchise system within Australia and New Zealand, “Esquires Coffee Houses” have an

international presence across many continents including Scotland, China, Saudi Arabia, Bahrain and Canada with over

250 operating outlets.

GLASGOW SCOTLAND

BAHRAIN

CANADASAUDI

CHINA

page 8

Esquires Coffee offers a full range of hot and cold beverages. All coffee

beverages are made with 100% organic Fair Trade coffee.

Esquires offer a tantalising selection of food, both sweet and savoury. For

the non-coffee drinker Esquires offers Chai and hot tea as well as a full

range of cold beverages including frappes, milkshakes, smoothies, iced

teas and freshly squeezed juices. Especially for children, our stores offer a

range of kids meal options and baby chinos.

Esquires also offer a full food range for breakfast, lunch or in between.

Sandwiches, wraps and salads are made fresh and muffins are baked in

store daily. A selection of savoury items including frittatas, sausage rolls

and vegetable rolls are also available, and presented ready to heat to

order in our cabinet.

This takes the pressure off our franchisees in the kitchen, allowing them to

focus on their passion – ensuring the customer enjoys their visit to Esquires.

our menu.

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At Esquires Coffee we take the process of selecting our Franchising

partners very seriously.

Our franchisees come from all walks of l ife. Their backgrounds are

as diverse as the community generally. We do not require that you

have experience in running a café, rather that you have the right

personality, outlook and aspirations.

If you are wondering whether you are the right type of person to

become an Esquires Coffee franchisee, start by asking yourself the

following questions:

1. Do I have the strong commitment and determination

required to maintain the expected Esquires Coffee high

standards?

2. Do I have a true passion for customer service excellence

and the abil ity to follow set systems and procedures?

3. Do I have a strong work ethic and belief in myself, with a track

record of success?

4. Am I prepared to have personal day-to-day involvement in

my business?

5. Last, but not least, do I qualify f inancially?

If you can honestly answer ‘YES’ to all of these questions, then you

have met the initial criteria of a successful Esquires Coffee franchisee.

Is Esquires Coffee the right business for me?

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An Esquires Coffee franchise provides you with a carefully developed and

distinctive brand. We want you to succeed and our stores are designed to

ensure that you have the maximum opportunity to do just that!

Here at Esquires Coffee we have the resources to support you. Our

objective is to build sales in existing stores by focusing on building brand

awareness.

Esquires Coffee People.

Our company is structured to support franchisees, both existing and

prospective. Esquires operates a very highly ski l led team who work with

each franchisee to assist with all aspects of project management, leasing

assistance, design, f it out, supply and logistics, training, store opening and

ongoing support.

Esquires Coffee Marketing.

Our tiered marketing programme is strategic and focused to promote the

corporate brand at national, state and local levels. Our marketing team

is dedicated to drive customer count, sales per customer and total sales

in your store. Local area marketing support is available to all franchisees

and is a key element to each store’s success. Local area marketing is

important to build community relationships and also the local profi le of

each store.

National in-store promotions occur regularly throughout the year. These

national promotions are supported by advertising in appropriate mediums

to sell the message to consumers. Our national promotions aim to increase

brand awareness, customer count and total sales.

Esquires Coffee Training

Our philosophy at Esquires Coffee is that successful businesses are built

on a foundation of well-trained operational and management staff.

Init ial training is provided in preparation and retail operations. Topics

include employee recruitment, sales techniques, stock control, f inancial

management and, most importantly, the finer points of maintaining good

customer relations that are essential in securing repeat business. Modules

cover food handling techniques, customer service, stock and cost control,

purchasing and local store marketing.

Training is undertaken on the Gold Coast - QLD in our state-of-the-art

dedicated training academy. The academy training is a compulsory

requirement for all incoming franchisees. The standard training course is

undertaken over 4 weeks, with 3 days of additional in-store practice within

your home state, however there may be a small proportion of stores that

need to extend their training period.

Your first day (induction) at the academy wil l commence at 9 am and

thereafter academy training wil l commence at 7.45am Monday to Friday

noting that there may be the possibil ity for some weekend in-store training

as well.

Support systems.

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R.I.O.T training.Retail Food Group (RFG) understands the high staff turnover and highly

casualised environment that business owners within the food and

hospitality industry face when training staff. We understand the costs and

diff iculties that owners face when training in technically complex areas

such as coffee. We understand the business realit ies of sometimes needing

staff to have both technical and service ski l ls in your outlet. The RFG

training program has been specifically developed to meet these needs.

A clear correlation exists between the quality and nature of training within

a business and the finished product experienced by the customer. RFG

management has worked with experienced learning and development

practitioners and leading online learning providers to create a unique

coffee training program that achieves results. The cornerstone of this

training is the RFG online training platform called R.I.O.T (*RFG Info

and Online Training) which offers a cluster of brand specific features,

graduated training courses and technical materials.

Benefits of the R.I.O.T system are:

•A proven track record of successful and quickly completed online

training compared to manual paperwork methods.

•Employees can access at any time allowing them to do training in their

own time reducing instore training time and owner costs.

•Provide a means of communication between business owner/s and

employees through notices, rosters and a forum.

•Owners are able to monitor employees’ progress with online training.

•Employees can progress at their own speed and revise material to refresh

their ski l ls.

Key learnings from franchisees using the platform

•Use manuals & forms to access current IR information.

•Have staff complete induction training section early to increase

productivity.

•Load rosters on weekly and reduce absenteeism.

•Track training progress of your team to target per formance.

•Use to send staff reminders, meeting notes and general store

communication.

•Send images to the RFG Training Department to help with staff recognition

of their achievements.

R.I.O.T makes training a piece of cake!

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Full format Esquires Coffee (with or without drive thru service).

We organise and prepare everything for you - from finding the premises,

to designing the ultimate use of the space, project managing your fit out,

providing you ongoing support systems for you to train your staff. We give

you the key to the door and, along with our guidance and support, you

operate your business.

Esquires Coffee Kiosk

Buy an Esquires Coffee kiosk and operate in a mall, a transport hub or

other suitable high foot traffic location. Our same training and systems

apply to kiosk operations, just the store size is smaller and are usually self

contained stand alone structures located in walkways or other high traffic

locations.

Esquires Coffee Hole in the Wall

A small format store generally located in high traffic metro areas. This

format offers a l imited food menu with the extensive Esquires Coffee hot

and cold beverage menu. Our same training and systems apply to a hole

in the wall operations.

Esquires Coffee Transportable Coffee Cart

An easy way to use the Esquires Coffee brand, this is an extremely simple

and versati le option with serious profit making potential.

Store Conversion

Owners of existing cafés are offered the opportunity of converting their

existing café to an Esquires Coffee franchise store. In doing so, the business

owner then has full access to the significant benefits of being part of

a franchise system. Couple this with the combined strength of a multi-

brand franchisor and your existing business has a whole new opportunity

for success. Contact Retail Food Group to discuss whether your existing

business would be suitable for conversion to an Esquires Coffee franchise.

Established Stores

Established Esquires Coffee stores become available when an existing

franchisee offers their business for sale. One of the major advantages of

buying an existing business - you’l l be up and running in no time. The

business is already in operation, saving you from location searches,

market establishment and hiring staff. On the fl ipside, it’s great to know

that if you decide to sell your business, interested purchasers are often on

the lookout for an established business.

Established Esquires Coffee stores are advertised for sale on the Retail

Food Group website, as well as through independent business brokers and

various franchising websites.

No matter which format you choose, Esquires provides you support 100%

of the way.

Which store option suits me best?

page 15

FULL FORMAT COFFEE CART

HOLE IN WALL DRIVE THRU

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How much is an Esquires Coffee franchise?

The initial franchise fee is $50,000 plus GST, paid by a deposit of

$3,000 plus GST and the balance due on signing our Franchise

Agreement.

How much does an Esquires Coffee store cost?

Store costs range from approximately $200,000 +GST for a coffee

cart, $300,000 +GST for a small store through to $400,000 +GST

for a large coffee store and up to $550,000+GST for a drive thru

format store. These estimates include project management for the

build of the store, plant and equipment, fees and drawings and

all init ial fees ( franchise fees, init ial marketing and training fees).

Do you charge a service fee for owning an Esquires Coffee

franchise?

Yes, the franchise service fee is based on 7% of your gross sales

and is paid weekly.

Do you charge a marketing fee?

All franchisees contribute 3% of their gross sales to a marketing

support levy fund. This fund is held in a separate bank account and

all group marketing activit ies are funded from these contributions.

*Fees may differ from country to country for example NZ- Init ial

Franchise Fee $75,000 NZ Dollars, Franchise Service Fee 8% and

Marketing Fee 2%

For the bean counters.

page 17

Once you’ve decided to select an Esquires Coffee franchise, we are there

to support you every step of the way through the application process.

New store & new site purchase process

Step 1 You make your init ial enquiry and are introduced to the

state based Franchise Recruitment Executive. RFG provide you

with an information package.

Step 2 A first meeting and interview is completed with the state

based Franchise Recruitment Executive. New store location

information is provided to you and, if appropriate at this

t ime, a site specific budget estimate is offered. Having

received this information, you are now able to consider

f inance options.

Step 3 RFG wil l send you or provide you access to disclosure

documentation and an application form. Please complete

these in full and return to RFG in QLD for processing. A

refundable deposit of $3000 plus GST is to be included with

the application. RFG wil l then assess your application

keeping in touch with you along the way to ensure all

necessary information is provided to both yourself and to

RFG.

Step 4 You should now obtain independent legal & financial advice.

Step 5 You visit existing stores and talk to existing franchisees. You

are invited to take part in a formal operational interview

with an RFG representative. This report is added to your

application for approval.

Step 6 Your communication continues with the Franchise Recruitment

Executive and RFG. The RFG Legal Department wil l inform

you whether your application has been approved or declined

and, if approved, a conditional franchise approval letter wil l

be sent to you. After you have obtained legal advice, the

conditional franchise approval should be signed and returned

to RFG Head Office in Queensland. Once this is received, RFG

wil l confirm your training intake dates.

Step 7 You confirm that you have obtained finance approval,

ensuring that the finance allows for the making of progress

payments. RFG now provides you with the formal franchise

grant documentation. We request that you seek mandatory

independent legal advice (it is also recommended that you

seek financial and business advice at this t ime).

Step 8 You execute and return the franchise grant documentation with

all of the requested deposits or progress payments. Dependent

on the country a cooling off period may apply. For example

in Australia, legally 14 days must have passed between

receiving the disclosure document (Step 7) and returning the

signed and fully executed franchise agreement.

Step 9 Your training at the RFG Academy on the Gold Coast Queensland

commences. Staged progress payments commence.

Step 10 The shop fitter’s contract is completed, and progress payments

continue.

Step 11 You graduate from the RFG Training Academy.

Step 12 You now make payment of any balances remaining.

Step 13 Your store opens!

Step 14 RFG provide you with ongoing support in all aspects of your

business including administration, financial management, local

marketing, coffee, retail operations and customer service. You

wil l receive regular visits from your local Business Development

Manager, as well as being provided with newsletters & other

communication pieces. You are now part of the network of

Esquires Coffee franchisees, & have access to regular

franchise group meetings, where you can share ideas,

discuss problems & participate in the ongoing development of

the Esquires franchise system.

Want to join the Esquires team?

The foregoing is a guide only. The application process is dependant on individual circumstances.

The process in New Zealand and other international locations may differ slightly.

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Established Store purchase process

Established Esquires Coffee are advertised for sale on the Retail Food

Group website, as well as through independent business brokers & various

franchising websites.

Step 1 You make your init ial enquiry to either the current store owner

(franchisee) or a business broker.

Step 2 The business broker or the franchisee wil l furnish you with

information to allow you to make initial decisions on whether

the store is suitable for your business needs and requirements.

Step 3 If you wish to move forward with the purchase of the business

then you or your broker contacts RFG to inform us that you

wish to purchase an existing store. RFG wil l send you, or provide

you access to, disclosure documentation and an application

form. Please complete these in full and return to

RFG in Queensland for processing RFG wil l then assess your

application, keeping in touch with you along the way to ensure

all necessary information is provided to both yourself and to

RFG.

Step 4 You should now obtain independent legal and financial advice.

Step 5 We encourage you to visit existing stores and meet with existing

franchisees. You are then invited to take part in a formal

operational interview with an RFG representative. This report is

added to your application for approval.

Step 6 Your communication continues with the broker or franchisee and

RFG regarding the process of your approval. The RFG Legal

Department wil l inform you whether your application has been

approved or declined, and if approved, a conditional franchise

approval letter wil l be sent to you. After you have obtained

legal advice, the conditional franchise approval should be

signed and returned to RFG Head Office in Queensland. Once

this is received, RFG wil l confirm your training intake dates

.

Step 7 You confirm that you have obtained finance approval.

RFG now provides you with the formal franchise grant

documentation. We request that you seek mandatory

independent legal advice (it is also recommended that you

seek financial and business advice at this t ime).

Step 8 You execute and return the franchise grant agreement

documents. Dependent on the country a cooling off period

may apply.

Step 9 Your training at the RFG Academy on the Gold Coast

Queensland commences.

Step 10 You graduate from the RFG Training Academy.

Step 11 Your solicitor and RFG legal counsel arrange settlement.

You and the outgoing franchisee conduct a stock take the night

before settlement. The Business Development Manager is

available to be present at the stocktake if required.

Step 12 You start trading in your Esquires Coffee store!

Step 13 RFG provides you with ongoing support in aspects of your

business including administration, financial management, local

marketing, coffee, retail operations and customer service. You

wil l receive regular visits from your local Business Development

Manager, as well as being provided with newsletters and other

communication pieces. You are now part of the network of

Esquires franchisees, and have access to regular franchise

group meetings and conferences where you can share ideas,

discuss problems and participate in the ongoing development

of the Esquires franchise system.

Store Conversion purchase process

Becoming a franchisee with a multi-brand franchisor offers many significant

benefits to existing business owners. Please contact Retail Food Group to

discuss whether your existing café would be suitable for conversion to the

Esquires Coffee franchise system.

(The foregoing is a guide only. The application process is dependant on individual circumstances).

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Q: Do I require any special experience?

A: Having business experience is always an advantage. We provide

comprehensive training for all areas of your new store.

Q: What is the term of a franchise?

A: Franchisees are usually granted a five (5) year init ial franchise

term together with an option to renew for a further (5) years.

This may vary depending on the lease term applicable

to the particular site.

Q: Do I have to pay a deposit?

A: A $3,000 (plus GST) deposit is payable upon application for

a new store. This deposit, less the franchisor’s reasonable

expenses (to a maximum of $300), are refundable if the

application is not approved.

Q: What are the ongoing fees of the franchise?

A: A franchise service fee equal to 7% (plus GST) of your total gross

sales is payable. A marketing contribution equal to 3% (plus

GST) of your total gross sales is payable into an independently

audited marketing fund. This fund is used to promote increased

customer awareness and provide each store with national

promotional material and ongoing marketing services, all aimed

at attracting new customers, increasing average dollar sales

and the frequency of purchase.

Q: How much profit will I make?

A: This depends largely on several factors such as the value of

wages paid, cost of goods and other operating costs, and

generally how you operate your business. We have identif ied

certain key per formance indicators which are monitored in

order to maximise your profitabil ity.

Q: How many staff will I need?

A: This wil l depend on the size of your store and what type of

concept you have selected. As an indication, you wil l need

somewhere between 2–12 staff in-store depending on the

concept chosen.

Q: Who selects the site?

A: Our dedicated leasing team throughout Australia and

New Zealand is continually in contact with major shopping

centres and leas ing agents to secure s i tes for Esqui res

Coffee. Franchisees must ultimately decide for themselves, after

they have had the opportunity to consider all the relevant

information, whether to proceed with a particular site.

Q: What services are included in return for the franchise and

marketing fees?

A: The services you wil l receive cover a wide range of

management assistance and operational services, including;

On-going operational training, tools and support. Marketing

support including national advertising, public relations

campaigns, media selection and national media placement.

Stringent quality control standards. Business Development

Manager (BDM) to assist franchisees with all aspects of daily

operations to ensure appropriate per formance levels and

quality standards.

Q: Do I need any other money to start?

A: In addition to the cost of acquiring an Esquires Coffee store,

you need to budget for accommodation and l iving away from

home expenses while at our Training Academy in Queensland,

stamp duty in relation to the lease and your own professional

advisors costs and working capital. For a more precise l ist

of costs associated with the acquisit ion of the franchise, refer to

the Franchisors Disclosure Document.

Q: What initial franchise fees are payable?

A: The following GST exclusive initial franchise fees are payable:

$50,000 – init ial franchise fee

$13,000 – init ial training fee

$3,000 – init ial marketing fee

Prospective franchisees should refer to the Franchisor’s

Disclosure Document which provides a full range of all fees

or costs payable in connection with the establishment

of a franchise.

Frequently asked questions.

page 22

Q: Can I get any special finance?

A: RFG currently has preferred funding arrangements with major

f inancial institutions throughout Australia and New Zealand. This

means that potential franchisees that achieve bank approval

may be able to borrow between 50% - 60% of the total

establishment cost on the value of the business.

Q: Have you got any sites ready to go?

A: We are always on the lookout for new sites. Speak to one of

the team on 1800 067 619 or go to r fg.com.au to see what is

currently available.

Q: What detail can you provide on gross profit, expense items and

turnover that will help me prepare budgets?

A: It is inappropriate for us to make any representation to you

regarding the potential levels of sales and profitabil ity of any

existing or new store. You should also obtain independent

f inancial advice in connection with these matters.

Q; Where are Esquires Coffee currently located?

A: Please visit: www.r fg.com.au or www.esquirescoffee.co.nz

for an up to date l ist ing of store numbers and locations.

The Franchisor’s Disclosure Document also provides

information regarding existing stores.

Q: Further Information?

A: We can offer you a great business model in a growing industry.

Please contact RFG for further information.

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We chose a café business because we

felt that would really suit our strengths in

customer service and organisation, then a

franchise because they could provide the

expertise we lacked. Then I interviewed a

few franchisors and Esquires stood out. The

team there understand that franchisees are

in business to make money too. They have

a deep understanding of the intricacies of

the business themselves as they spent years

perfecting the system before opening the

franchise up. All that gave us confidence

that we would make it work – and we have.Gary and Michelle Macilwee

Esquires Coffee, Tauranga Bayfair Mall

Esquires’ Customer Service and First Year Excellence awards 2008.

Esquires Franchise of the Year 2009.

Happy franchisees.

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Dear Prospective Franchisee,

Retail Food Group is the ultimate owner of the Donut King,

Brumby’s Bakery, Brumby’s GO!, Michel’s Patisserie, bb’s

cafe, Esquires Coffee, Pizza Capers, Crust Gourmet Pizza and

The Coffee Guy franchise systems throughout Australia and

New Zealand.

On behalf of Retail Food Group, and the Esquires Coffee franchisor, we

welcome the opportunity to introduce ourselves and our proven franchise

systems and thank you for your inquiry.

Since its inception in 1989, Retail Food Group has successfully grown from

a small franchisor with less than 50 stores to become one of the largest

Australian franchisors with an expansive range of franchise systems,

boasting in excess of 1400 stores.

Each of our franchise systems offers an opportunity to embark upon a

unique food retail ing experience.

We are of the opinion and belief that our systems are some of the most

respected systems in Australasia, remaining unsurpassed in terms of being

fully integrated franchise systems, all offering quality products and market

leadership in each of the brand’s five target markets.

We attribute this to the ongoing dedication and loyalty of our franchisees

whose businesses are nurtured by a franchisor who provides business

education, marketing and operational systems as well as ongoing,

continually improving support systems which have been developed,

enhanced and maintained over many years.

This development increasingly takes advantage of group economies

and synergies which a large franchise network can command. The

commissioning of a retail business is the culmination of an individual or

family ‘dream’ of becoming an ‘entrepreneur’ and controll ing your own

financial destiny. Assuming control of one’s financial destiny however,

also involves a degree of r isk which varies according to both the type of

business participation as well as the risk aversion profi le of the individual.

The resolve to become a small business owner involves the consideration

of many issues other than purely financial aspects. To profitably and

productively conduct a retail business, there are two other important

investments, apart from the financial, which require determination:

Lifestyle investment – the time, commitment and dedication needed

to successfully conduct the business; and Emotional investment – the

investment in such a business wil l , almost without exception, have an

impact upon or effect on more than one person.

We are of the opinion that Retail Food Group has assembled eight quality

franchise systems, where a buyer can thoroughly investigate the right

system and business for themselves, to ensure they;

a) satisfy their f inancial, l ifestyle and emotional investment criteria, while

b) acknowledging the risk which is present in any business pursuit.

From our perspective, we are desirous of recruiting franchisees who

display a genuine capacity and capabil ity of contributing to the ongoing

enhancement and growth of the relative system they join.

Ideally, a franchisee wil l possess the following personal attributes:

Communication Skil ls

Honesty

Integrity

Positive Personality

Self-Motivation

Financial Competence

Goal-Oriented

Leadership Qualit ies

Team Player

If we have just described your personality, outlook and aspirations we

seriously encourage you to consider the benefits and advantages of

investing in one of our proven-quality franchise systems.

Those personal attributes, when combined with our strong group

identif ication, excellent product ranges, comprehensive initial training

programmes, access to the extensive resource bases as well as the

ongoing support that each of our franchise systems offer, provides a

substantial platform from which franchisees can strive for and achieve

business, f inancial, l ifestyle and emotional wellbeing or “success”.

Success is a term too often used and, in our belief, neither well-defined

nor understood. Success as a franchisee is measured and determined by

reference to the degree by which your actual per formance matches all

those benchmarks previously established for your business.

Success therefore, from our perspective, is the degree by which the

franchised operation can, and does, assist you in the achievement of your

personal goals and aspirations.

A message from our Chief Executive Officer.

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The majority of people work and become business owners to assist in the

achievement of non-business objectives – those objectives are usually

focused around l ifestyle and family. Put another way, the achievement of

l ifestyle and family goals wil l almost always be related to the success of

your franchised operation.

Every person involved in a Retail Food Group franchise system has made

a significant investment, whether it be monetary, emotional or other

means. We are confident that the systems which Retail Food Group has

developed and assembled over the past 21 plus years can assist you not

only in protecting your various investments, but assisting you to prosper in

what is a very competitive industry.

Finally, we consider that the acquisit ion of a Retail Food Group franchise is

not just a means to achieving l ifestyle, f inancial and emotional objectives

– it wil l become part of you.

Yours Sincerely

A. J. (Tony) Alford

Chief Executive Officer

RETAIL FOOD GROUP (AUSTRALIA)

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Contacts.

If this brochure has raised more questions than it answers we are delighted

– there is so much more we can tell you about the Esquires Coffee

opportunity. Here’s how you can obtain more information:

Do you l ike to research online? Visit our websites:

www.rfg.com.au

www.esquirescoffee.com.au

You can send an email requesting an information booklet:

Email: faith@rfg.com.au

Would you l ike to speak to someone who can answer your questions?

Call our Franchise Recruitment number for further information.

Franchise Information

Free Call Australia: 1800 067 619

Free Call NZ: 0800 843 452

In addition, the following people are your contacts

in the Sales and Leasing Department:

Faith Manning

Manager - Franchise Recruitment & Leasing

Esquires Coffee is an exciting opportunity, one that is rapidly building its

brand by successfully launching its unique systems around the world. We

trust you agree and look forward to the possibil ity of working with you as

part of the Esquires Coffee House team of franchisees

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