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Franchise Opportunities

Why Smitty’s

 – Serving Canadians Since 1960 –

Our franchising department is continually searching for new locations. Smitty’s™ Canada Limited insists on approving all proposed sites. The Franchise Fee includes our professional experience in locating and evaluating each potential site.

Our evaluation includes, but is not limited to, existing competition, traffic patterns, sales generators such as shopping centers or hotel/motels, site accessibility and demographics. We draw on many years of experience in the selection process and knowledge in lease negotiations to provide assistance for you and your lawyer.

Design and Construction

Smitty’s™ provides the complete design and drawings for your restaurant at no additional cost to you. Any costs for local architectural or engineers’ stamps, including local electrical and mechanical distribution drawings, will be your responsibility.

The tendering process and construction are your responsibility, although we will assist to coordinate the completion of these and our Project Director will work with you to coordinate the landlord, architects, contractors and suppliers. You will receive a Design and Construction Manual to help the process run smoothly.

Conversions

The success of our concept rests solely on the fact that we treat every meal occasion as an event. Whether we are visited for breakfast, lunch, dinner or just a snack, our philosophy is to ensure that every customer leaves satisfied!

Smitty’s™ has successfully created a market in converting existing food and beverage facilities including free-standing, shopping malls, strip centres, as well as in hotels and motels into our franchises.

Most hotels and motels are in the restaurant business out of necessity. In order to attract hotel guests and to achieve a higher room rate, it is thought that there should be food and beverage on the property.

Hotel and motel owners generally don't have expertise on this side of their business, and accordingly, run a restaurant operation that quite often is unprofitable and does not satisfy guests. This can be a direct reflection on the hotel and negatively impact upon room occupancy.

Therefore, there is an opportunity for Smitty’s™ to solve the problem by providing a proven system of food and beverage franchising, with continuous monitoring and support.

At the same time, what may have been a financial loss to the hotel becomes a profit. In addition to a lower investment cost versus new construction, this arrangement puts the franchisee in a position to obtain immediate cash flow from customers who are staying in the hotels.

We recognize there are many alternatives to eating out in general, let alone in one of our restaurants. The onus is on us to ensure that the customer is more than just satisfied each time they visit us. Good food, at a reasonable price, served quickly in a friendly manner all add up to a good feeling for having dined at Smitty’s™ - and a desire to return frequently.

The Smitty’s™ System

What do I get when I buy a Smitty's™ Franchise?
When you purchase a Smitty's™ Franchise you are buying several decades of brand development, consumer recognition and guest loyalty. In addition, we have documented in detail our operating systems and programs within nine manuals. The titles for these manuals are:

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The Smitty's™ system has been further documented with our "Presentation and Portion Standards Manual" where all menu items are pictured in photographs and the recipes are shown with all of the ingredients, portioning, cooking, assembly and plating presention.

Our Menus

We carefully research the market and test our products in order to update our award winning menu every six (6) months. Our menu fills the customers' needs for breakfast, lunch and dinner.

Although Smitty's™ is famous for many items, we know variety will keep our customers returning for more spectacular meals. That’s why our corporate chef and the Franchisee Menu Committee, made up from existing Franchisees across the country, are continuously testing new products.

You will be supplied with our detailed recipes and a Portions and Standards Manual that is updated regularly. Smitty's™ provides regular business conferences to keep all franchisees up-to-date with current standards, trends in the industry and specifications for the Smitty’s™ operating system.

Smitty's™ is proud to offer a substantial kid’s menu, offering menu items for every meal as well as a fine selection of favorite menu choices for our valued customers’ aged 60 and better.

Products

Smitty's™ pancake and waffle flours are prepared from our secret recipes, the formula for which is closely guarded. Our spray-dry formula contains all the ingredients including, buttermilk, eggs, oil and butter. Just add water, and the mixes are ready for the grill.

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Smitty’s™ breakfast selections have been tremendously popular with Canadians for over 50 years and show no signs of slowing down. Numerous other items including sauces, seasonings, syrups and prepared ready-to-use products are manufactured for Smitty’s™ to exact specifications. All are designed to provide top quality, easy use and customer appeal.

Smitty's™ is committed to offering the highest quality, the freshest foods and a "just like home experience" in all Smitty's™ restaurants.

Products Sold by the Franchisor
We supply our famous Smitty's™ pancake and waffle mix to all our franchisees and provide standardized pricing from coast to coast, through our national distributor. Because Smitty’s™ is committed to offering the highest quality foods and keeping the foods at a consistent level throughout the franchise, we provide private labeled coffee, syrups, french fries, hashbrowns and high volume meats such as bacon, sausage, chicken, and burgers.

As a Smitty's™ franchisee, you will benefit from the buying power of our corporation. Our suppliers consistently produce superior quality products that are available to you at costs lower than those available to independent restaurateurs.

Marketing

National Marketing
The Smitty's™ brand is present throughout Canada, resulting in substantial customer awareness. Smitty’s™ does not currently collect national advertising fees from any franchisees. We do lever our supplier connections to ensure that our customers know we use the finest quality items that are well known to Canadian consumers. Our suppliers offer marketing support to assist Smitty’s™ in sales promotions at the national level. Cooperative promotions using brand names are a proven success for Smitty’s™.

Smitty's™ "Senior's Club" was established to reach the increasingly large demographic of seniors in Canada by offering individuals over 60+ the opportunity to buy into the club for a $2.00 annual fee. Once a member, seniors receive a $5.00 gift certificate, a 15% discount on all their meals at the restaurant, and a complimentary meal for their Birthday. This program has proven to be very popular in the areas in which it has been implemented across the country.

Local Store Marketing

Browse the Gallery Album below to view some Local Restaurant Marketing Examples!

Frequent Questions

The cost of purchasing a Smitty’s™ will vary from project to project but generally, complete development, training and pre-opening costs will amount to approximately $350,000 to $950,000.

Approximately minimum of $150,000 unencumbered cash is required to open a Smitty's™ franchise.

A royalty fee of five percent (5%) of gross sales is submitted to Smitty's™ monthly.

At this time we do not collect a national advertising fee, although we reserve the right to do so. Currently all Smitty's™ Franchisees pay a proportionate share of all advertising. All local advertising is developed and paid for in-house.

Our restaurants currently operate at an average sales volume of approximately $1,400,000. Smitty's™ has proven to be profitable at varied investment and sales levels. A detailed analysis is undertaken prior to acceptance at each location.

How much money a Smitty's™ franchisee makes will depend on market conditions and management control. It is essential to fully understand the profit potential of any business venture you are contemplating. Before you invest you should thoroughly investigate to determine what risks are involved and at what level of profitability you can reasonably expect from your business. The best way to determine this is by referring to the average store information that Smitty's™ supplies. We provide a list of our franchisees complete with names and phone numbers. Contact as many of them as you like in order to have all your questions answered.

For all independent Owner-Operator franchise locations Smitty's™ insists that one of the partners be responsible for the day-to-day operation of the store. The best success is through an owner - operator system.

Smitty's™ has a 3-week training program at the corporate training facility in Calgary for you and your head cook. This time frame may be more or less depending on your experience. You will be provided with a copy of our detailed Smitty's™ Operating Manual and an Employee Handbook. Our corporate chef will personally train your head cook in all areas including, recipes and portion control, food preparation, quality control, purchasing and inventory control, scheduling and proper cleaning methods.

We will train yourself or your manager in all aspects of running a Smitty's™ restaurant including customer service, hiring and training of staff, scheduling and cash management. The managers training will also include kitchen and lounge duties. Our accounting department will review accounting procedures with you, and will supply you with a Smitty's™ Accounting and Administration Manual.

A successful opening is a critical step in the development of a Smitty's™ franchise operation. In addition to providing training in all aspects of general management of a Smitty's™ restaurant, we assist the franchisee and the management team with a "hands on" support team of at least two staff for approximately 5 days prior to the opening and approximately 2 weeks after the opening, until such time as the management and staff are fully in control of the operation.

The main function of the franchisor is to assist the franchise system. Smitty's™ offers full support in all areas of accounting, menu development (through our menu planning committee), marketing (through our marketing committee) and human resources.

Site selection is critical to the success of a Smitty's™ . Because of this importance, Smitty's™ insists on approving all sites. We do provide assistance in lease negotiations and site selection.

Smitty's™ provides the complete design drawings for your restaurant at no additional cost to you. The tendering process and construction are your responsibility, although our Project Director will provide assistance in coordinating the landlord, architect, contractor and suppliers. A workbook schedule containing key dates and timing will be provided to you.

Please feel free to call us for additional information. If you are interested in pursuing the possibility of becoming a Smitty's™ franchisee, please complete the Franchise Application and submit on-line, via fax at 403-229-3899 or via mail to #600, 501-18th Ave SW, Calgary AB, T2S 0C7.

Once the information has been reviewed and it has been determined that the information meets the criteria necessary to become a Smitty's™ franchisee, we will be in contact. This contact, or perhaps a personal meeting also serves as an approval meeting. If the contact or personal meeting is successful, and should you choose to proceed, then a $10,000.00 CA refundable deposit is required so that we may begin site selection and development.

Start up Costs

The following chart summarizes the major costs for opening a Smitty’s™ Restaurant.

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Typical Range of Cost for a Smitty’s™ Restaurant and Lounge*

*(These figures are estimates, based on our experience) Franchise Fee $35,000 For a 20-Year Franchise Agreement (GST/HST Extra)

Royalty 5% of gross sales (not including liquor sales)

Advertising 3% of sales (not currently collected)

New Restaurant

Opening Inventory $20,000

Training Costs $10,000 to $30,000

Consulting Fees - $20,000 - $30,000

Lease Deposits $10,000 to $30,000

Equipment $160,000 to $180,000

Furniture and Fixtures $150,000 to $200,000

Leasehold Improvements $400,000 - $600,000 Less any landlord inducement allowances

The cost of premises (leasing costs if the facilities are leased and land and building costs if the facilities are owned) cannot be estimated, as they will vary, from case to case, depending on the particular circumstances.

Conversion Cost of Existing Restaurant

Opening Inventory $20,000

Training Costs $10,000 to $30,000

Equipment $10,000 to $150,000

Furniture and Fixtures $50,000 to $100,000

Leasehold Improvements $50,000 to $300,000

The conversion cost may have significant variations depending on the condition and type of equipment and leasehold improvements.

Confidential Franchise Application And Evaluation Form

Please complete the following "Confidential Franchise Application and Evaluation Form" and return it to us either by completing the online version or by mailing or faxing it to us at the address or fax number specified on the printable version of the application form. The printable version of the application form is available by clicking here.

All of your information will be held in the strictest confidence and it is understood that neither party will be under any obligations.

 

1 Personal Info 2 Business History 3 Financial Information 4 General Information

PERSONAL INFO

*required fields


How did you hear about us?

First Name *

Last Name *

Birthday (DD/MM/YYYY) *

Street 1 *

Street 2

City *

Province *

Postal Code *

Phone (Residence)

Phone (Cell) *

Social Insurance Number

Preferred Email Address *

Home Email Address

Work Email Address


Personal References

Personal Reference 1

Personal Reference 2

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1 Personal Info 2 Business History 3 Financial Information 4 General Information

Business History

Position 1

Job Position

From Date

To Date

Company Name

Company Address

Annual Salary


Position 2

Job Position

From Date

To Date

Company Name

Company Address

Annual Salary


Position 3

Job Position

From Date

To Date

Company Name

Company Address

Annual Salary


Business References

Business Reference 1

Business Reference 2

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Next

1 Personal Info 2 Business History 3 Financial Information 4 General Information

FINANCIAL INFORMATION

Capital Available for Investments

Sources and Amounts of Additional Capital


Estimated Net Worth Statement

Cash on Hand and In Bank

Current Accounts Receivable

Stocks and Bonds

Value of Real Estate Owned

Household Furnishings and Automobile

Notes Receivable

Other Assets/Income

Description of Other Assets/Income

Total Assets

Accounts Payable

Bank Loans

Notes Payable

Mortgages Outstanding

Loans Against Insurance

Other Obligations or Liabilities

Total Liabilities

Net Worth

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1 Personal Info 2 Business History 3 Financial Information 4 General Information

GENERAL INFORMATION

Have you or any member of your family ever been affiliated with or employed at any Smitty's location?

If yes, please provide the details

Do you plan to personally operate the restaurant?

If you do not plan to operate the restaurant, please provide the name and business experience of your operating partner

Briefly outline experience in food service industry for yourself and your operating partner where applicable

What geographic area interests you?

Are you interested in developing a new Smitty's?

Are you interested in taking over an existing Smitty's location if available?

Have you ever been declined personal insurance?

Have you ever been convicted of a criminal offense?

Have you ever been bankrupt?

Have you ever had a bond application declined?

Are you now or have you been a plaintiff or a defendant in any type of litigation in the past three years?

If you answered yes to any of the five questions above, please supply an explanation.

Will your franchise be operated as a

If other individuals will participate, each participant must fill out a completed Franchise Application and Evaluation Form. Please provide the name, address, and telephone of each participant



Certification

I hereby certify that the information given in this application is true, correct and complete to the best of my knowledge and belief. I hereby consent to the use, collection and retention by Smitty's Canada Limited of my personal information contained in this application for the purpose of conducting background checks on me, including without limitation and assessing my suitability as a Smitty's franchisee.

Yes, I Consent.

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