Franchise


Land Layby (K) Ltd  Franchise


The Franchisor (Land Layby Kenya Limited) has built a successful business system and is willing to sell you the right to use that system, and all that goes with it, to begin your own business. The Company shall sell to you a right to operate a business using our established system.

cfae6eeac48647f29d290d74ac098908Our goal is the same as any other business owner; to increase the value of our business. This model will help the company build brand awareness in the regions that we are not physically located i.e. Australia, USA, UK & Europe, Canada, UAE, India & the rest of Africa etc. This model offers the franchisee sales distributional rights to sell or offer for sale or distribute goods and services of the company in a particular region while maintaining the company’s brand integrity and protection. It is in the franchisor’s best interest to continue to support you as you exercise this right to do business.

Some of the things you can expect from the Company are:-

1. Marketing and advertising materials and campaigns.
2. Land Layby will manage the overall strategy of the brand promotion and growth.
3. Creation and Management of all products and services for the brand.
4. Research and development of new products and services.
5. Manage how close your market area is to another unit so there are both enough franchise stores to have good market penetration, and also enough territory for each store to generate the business they each need to operate successfully.

Benefits to the Franchisee

1. No experience required

 

downloadThe Franchisee is ready to start a new business, but may not have enough experience in running a business to be comfortable starting one from scratch. Most new businesses have a fairly high failure rate, sometimes due to mistakes made by inexperienced business owners, other times due to unexpected conditions in the market. What the Franchisee is looking for is a leg-up in starting a business so they have an increased chance of success. This is exactly what purchasing the right to use an existing business system and brand name provides them.

 2. Training

You can also expect the Company to provide training in the methods of running the business and selling the Company products.

3. Your own business

What you need to keep in mind is that this is your business, but Land Layby’s brand. It’s your responsibility to find sales in your territory but the Company will usually provide guidance and training. You are responsible for hiring and training all your sales employees, but again, the Franchiser can provide helpful tips for recruiting and employee development.Reduce costs

4. Very low overheads

The sales process, contract execution, purchase requisition, most client communication will be manage and coordinated at the Head Office. Because of the centralized operations, the Franchisee costs of running business are predictable, very low and limited processes involving acquisition of sales.

5. Plug and Play

 

plugn play

The sales process can be started immediately the Franchise contract is executed. The Franchisee major cost is the initial franchise fee and once that is paid up the business can operate.

Duties & Expectations of the Franchisee:

1. The company expects a one off initial fee and recurring annual payment for Leasing Company business model & ideas. These funds are used for advertising campaigns and research and development of new products, and to grow the value of the brand.
2. Consistency across franchise business is key to Company success. The franchisee will manage the business according to the Company standards. Our customer should expect to get the same product or service regardless of which territory they buy our products.
3. The critical piece of the franchisee’s responsibilities is to maintain the quality standards. This includes preserving branding such as the logo and colors, and it may apply to even the small details such as presentation of the final product.
4. The Franchisee is expected to be active at the business, particularly in its infancy. The franchisee will be busy, and is expected to look for new opportunities to grow the business.
5. Communicating needs, concerns and problems with the franchiser is essential to fulfilling a role as a franchisee. The franchise may require regular sales reporting.


FRANCHISEE STRUCTURE, LEVELS & COMMISSION PAYMENT


A franchisee’s liability will rely on the corporate structure of the franchise. Most franchises are limited liability companies or corporations, immediately removing liability from any one individual. At each location, a franchisee must set up a business with its own licensing.

SILVER

Target market includes the Franchisee living in Kenya and who are in employment.

  1. Initial fee of Ksh 105,210
  2. Recurring Annual Fee of Ksh 15,000
  3. 10% Commission on Option Fee payment and 3% commission on Exercise Price (Balance) of the land transaction.
  4.  No Territorial distribution rights
  5. Commissions in this category of Franchise model will be paid as follows.  For purposes of clarity, let’s consider one of our products-Isinya 1/8 acre parcel of land going for Ksh 455,000.

Fse-Silver-JPEGThe deposit is Ksh 110,000 paid in  ten monthly installments of Ksh 11,000 per month. After the fifth installment of Ksh 11,000 (that is payment of 55,000) we will pay the franchisee 10% of Ksh 55,000. On payment of the tenth installments (second deposit of Ksh 55,000) we will pay the franchisee 10% of Ksh 55,000. When the client pays the balance of Ksh 345,000 in November 2017, we will pay the franchisee a commission of 3% of the Ksh 345,000.

GOLD

Target market includes Franchisee living in Kenya who is in business or employment.

  1. Initial fee of Ksh 526,330
  2. Recurring Annual Fee of Ksh 50,000
  3. 25% Commission on Option Fee payment and 3.5% commission on Exercise Price (Balance) of the land transaction.
  4. No Territorial distribution rights
  5. Can hire own sales representatives to work for the territory

Commissions in this category of Franchise model will be paid as follows. For purposes of clarity, let’s consider one of our products-Isinya 1/8 acre parcel of land going for Ksh 455,000.
Fse-Gold-JPEGThe deposit is Ksh 110,000 paid in ten monthly installments of Ksh 11,000 per month. After the fifth installment of Ksh 11,000 (that is payment of 55,000) we will pay the franchisee 25% of Ksh 55,000. On payment of the tenth installments (second deposit of Ksh 55,000) we will pay the franchisee 25% of Ksh 55,000. When the client pays the balance of Ksh 345,000 in November 2017, we will pay the franchisee a commission of 3.5% of the Ksh 345,000.

DIAMOND

Target market includes Franchisee living in Kenya as well as those in Diaspora (USA, UK, Europe, Canada, UAE)

  1. Initial fee of Ksh 5,263,160
  2. Annual Fee of Ksh 150,000
  3. 35% Commission of Option Fee payment
  4.  5% commission on payment of the Exercise Price (Balance) of the land transaction.
  5. Territory distribution rights which can be assigned for profit at a future date.Fse-Diamond-PNG
  6. The Franchisee can hire own sales representatives to work for the franchise in the territory. The company will offer support in recruitment as well as pay up to 10 sales representative’s user CRM monthly subscription cost for the first a year.
  7. If the Franchisee identifies potential markets that interest their clients, the company will offer support in Product Development. The Company will offer support in the following areas including but not limited to, logistics, planning and implementation of private projects initiated by deluxe members.
  8. The Company may also explore possibility of co-funding the project if feasibility studies are favorable. With growing popularity of the business, there exists opportunity to trade Diamond Franchisee rights at a good profit.
  9. imagesCommissions in this category of Franchise model will be paid as follows. For purposes of clarity, let’s consider one of our products-Isinya 1/8 acre parcel of land going for Ksh 455,000. The deposit is Ksh 110,000 paid in ten monthly installments of Ksh 11,000 per month. After the fifth installment of Ksh 11,000 (that is payment of 55,000) we will pay the franchisee 35% of Ksh 55,000. On payment of the tenth installments (second deposit of Ksh 55,000) we will pay the franchisee 35% of Ksh 55,000. When the client pays the balance of Ksh 345,000 in November 2017, we will pay the franchisee a commission of 5% of the Ksh 345,000.

SUMMARY OF BENEFITS AND PROFITABILITY FOR DIAMOND FRANCHISE


 

Franchisee break-even point is at Sales of at least 8 products per month (90 Sales per year) during the first year of trading. If the Franchisee sales are in excess of 90 products per year, a gross profit of Ksh 17,500 is realized during the first year of trading (Ksh 5,000,000 is recovered in the first year of trading). Franchisee has potential of earning commission equivalent to the Franchise fee if sales of at least 8 products per month (100 Sales per year) are achieved. For instance, year 2 of trading can create a gross profit of Ksh 5,425,000 if 100 products are sold in that year of operation.

 

Silver
KSh105,264
Earn 10% Commission on Option Fee
Boss of your own
High return on investment
No experience required
Gold
KSh526,315
25% Sales commission on Option Fees
Business with less overheads
High income
Brand Excellence
Diamond
KSh5,263,158
Earn 35% Sales Commission on Land Option Fee
Territorial Rights
Trading of Franchisee Rights
Higher Sales Commission rates
Sales Recruitment Support