Study Guide.pdf

Study Guide: Wave Energy Drink Franchise Operations Manual (2010) 1. Introduction Mission Statement: Wave Energy Drink aims to be the best-tasting, all-natural energy drink on the market. Corporate Vision: The company is positioned to capitalize on weaknesses in compet...

Study Guide: Wave Energy Drink Franchise Operations Manual (2010) 1. Introduction Mission Statement: Wave Energy Drink aims to be the best-tasting, all-natural energy drink on the market. Corporate Vision: The company is positioned to capitalize on weaknesses in competitors' products and distribution. Corporate Support: Franchisees receive guidance on marketing, sales, and public relations to maximize success. 2. Franchise Overview Services Provided: Training, ongoing support, marketing, and business tools are offered to franchisees. Responsibilities of Franchisees: Franchisees must comply with all local, state, and federal regulations and ensure their business operates within legal frameworks. Corporate Visits: Franchisees may receive visits for assessments and guidance. 3. Pre-Opening Procedures Initial Setup: o Business Entity: Choose an appropriate business structure (LLC, Partnership, Corporation). o Business Plan: Create a plan covering the business model, competition, marketing, and financial projections. o Insurance and Licenses: Secure necessary insurance (liability, business interruption) and licenses. Checklist: o Secure a business entity and tax ID. o Develop a route plan to maximize distribution efficiency.  o Set up storage for products (16 oz. cans stored on pallets). Required Equipment: o Vehicles and branded equipment like coolers and signage. o Uniforms, promotional materials, and product inventory. 4. Administrative Procedures Software System: Franchisees use the "Mobile Field Companion" software for operations, including order processing and sales tracking. Pricing: Franchisees are guided on competitive pricing models. o Wholesale case price: $33.80 (Profit per case: $6.80). Reports and Inventory: o Generate weekly and monthly reports to track sales performance. o Implement an effective inventory management system to minimize losses and ensure smooth operations. Ordering & Supply: o All orders for Wave products must go through approved suppliers. o Royalty Payments: Franchisees must pay either 3% of gross net or a minimum monthly royalty based on territory size. 5. Personnel Management Ideal Employee: Energetic, creative, with sales experience and a professional appearance. Hiring Process: o Conduct interviews and background checks (credit, criminal, and sex offender registry checks). o Ensure compliance with labor laws (EEOC, ADA, OSHA) and follow structured interview protocols. Training:  o Focus on thorough employee training to ensure strong customer service and product knowledge. o Ongoing training and performance evaluations (quarterly and annually) are key to maintaining high standards. 6. Public Relations and Marketing Local Promotion: Use a combination of media, public relations, and community involvement to promote the brand. Branding Guidelines: Follow strict guidelines for using Wave’s logo and marks in advertising. 7. Operating Procedures Hours and Daily Operations: Establish suggested hours of operation and daily opening/closing routines. Customer Service Philosophy: Focus on excellent customer service, handling complaints efficiently, and processing refunds as needed. Cleaning & Maintenance: Establish a routine for maintaining cleanliness and adhering to safety standards. 8. Key Legal and Financial Requirements Licensing: Ensure compliance with local business licenses, certificates of occupancy, and permits. Bank Accounts & Taxes: Set up business bank accounts and ensure compliance with federal and state tax obligations (e.g., unemployment insurance, sales tax). 9. Personnel Documentation Forms: o I-9 Forms: Verify the right to work in the U.S. o W-4 Forms: Ensure proper tax withholding for employees.  Sexual Harassment Policies: Have clear anti-harassment policies in place, conduct employee training, and maintain a positive workplace environment. 10. Performance Management Performance Evaluations: o Quarterly reviews focus on communication, teamwork, and work quality. o Annual reviews assess overall contributions, including customer success and technical skills. This study guide summarizes key sections of the Wave Energy Drink Franchise Operations Manual, covering everything from setup to daily operations, personnel management, and compliance with legal standards. The manual serves as a comprehensive resource for running a successful Wave Energy Drink franchise.