Wave Franchise Operations Manual

Podcast

Play an AI-generated podcast conversation about this lesson

Questions and Answers

What is the main goal of Wave Energy Drink as stated in their mission statement?

To be the best-tasting, all-natural energy drink on the market. (correct)

To capitalize on weaknesses in competitors' products.

To create a wide variety of energy drink flavors.

To provide the lowest-priced energy drink on the market.

Which statement correctly describes the responsibilities of franchisees?

They are only responsible for marketing their products.

They can operate without complying with local regulations.

They must ensure their business operates within legal frameworks. (correct)

They receive exemptions from paying royalties based on performance.

Which of the following is NOT a service provided to franchisees?

Training

Marketing tools

Ongoing support

Tax preparation services (correct)

What is a required component of the initial setup process for a franchisee?

Choose an appropriate business structure. Signup and view all the answers

What software do franchisees use for operations?

Mobile Field Companion Signup and view all the answers

Which pricing model is suggested for franchisees regarding wholesale cases?

Wholesale case price of $33.80 with a profit per case of $6.80. Signup and view all the answers

What must franchisees do regarding the ordering of Wave products?

Ensure all orders go through approved suppliers. Signup and view all the answers

What must franchisees generate weekly and monthly?

Sales performance reports. Signup and view all the answers

What type of employee is ideal for a franchisee to hire?

A person who's creative and energetic with sales experience. Signup and view all the answers

What is a critical component of the hiring process that must be conducted?

Background checks Signup and view all the answers

Which key aspect is emphasized during employee training?

Product knowledge Signup and view all the answers

What is the primary focus of the customer service philosophy outlined?

Efficient complaint handling Signup and view all the answers

What must be established for compliance with legal and financial requirements?

Business bank accounts Signup and view all the answers

Which forms are necessary for verifying an employee's right to work in the U.S.?

I-9 Forms Signup and view all the answers

What aspect of performance management is routinely assessed during quarterly reviews?

Work quality Signup and view all the answers

What must be adhered to in terms of business operations and safety?

Cleaning & maintenance routines Signup and view all the answers

What should be included in branding guidelines?

Usage of Wave's logo and marks Signup and view all the answers

What is necessary to ensure legal compliance with hiring policies?

Sexual harassment policies Signup and view all the answers

What type of evaluations are important for maintaining high employee standards?

Ongoing training and performance evaluations Signup and view all the answers

Study Notes

Introduction

Mission Statement emphasizes being the best-tasting, all-natural energy drink.
Corporate Vision targets competitors' weaknesses for market advantage.
Franchisees receive corporate support in marketing, sales, and PR to enhance success.

Franchise Overview

Services for franchisees include training, ongoing support, marketing, and business tools.
Franchisees must adhere to local, state, and federal regulations.
Corporate visits are conducted for assessments and guidance.

Pre-Opening Procedures

Initial setup involves selecting a business entity (LLC, partnership, corporation).
A comprehensive business plan must include model, competition analysis, marketing, and financial forecasts.
Essential insurance (liability, business interruption) and necessary licenses must be obtained.
Checklist includes securing business entity, tax ID, developing distribution route plan, and setting up storage for products.
Required equipment includes vehicles, branded coolers, signage, uniforms, promotional materials, and product inventory.

Administrative Procedures

Franchisees utilize "Mobile Field Companion" software for operations, order processing, and sales tracking.
Guidance on competitive pricing models provided, with a wholesale case price of 33.80andprofitmarginof33.80 and profit margin of 33.80andprofitmarginof6.80 per case.
Weekly and monthly sales reports are necessary for performance tracking.
All product orders must be placed through approved suppliers.
Royalty payments consist of 3% of gross net or a minimum monthly payment based on territory size.

Personnel Management

Ideal employees should be energetic, creative, and professionally presented, with sales experience.
Hiring process includes conducting interviews and background checks, ensuring compliance with labor laws.
Comprehensive employee training emphasizes customer service and product knowledge, supported by quarterly and annual evaluations.

Public Relations and Marketing

Local promotion strategies incorporate media engagement, public relations, and community involvement.
Branding guidelines strictly govern logo and mark usage in advertising.

Operating Procedures

Suggested hours of operation and daily routines are established for consistency.
The customer service philosophy stresses excellent service, efficient complaint handling, and refund processing.
Regular cleaning and maintenance schedules are mandated for safety compliance.

Key Legal and Financial Requirements

Compliance with local business licenses, occupancy certificates, and permits is crucial.
Business bank accounts must be established, alongside adherence to federal and state tax obligations.

Personnel Documentation

I-9 Forms are required to verify employee eligibility to work in the U.S.
W-4 Forms ensure appropriate tax withholding from employee wages.
Clear anti-harassment policies need implementation, including employee training to maintain a positive work culture.

Performance Management

Quarterly performance evaluations focus on communication, teamwork, and quality of work.
Annual assessments evaluate overall contributions, customer successes, and technical competencies.