hotbrands International :: Frequently Asked Questions


	Is HBI a public or private company?
	Hotbrands International is a privately owned Dubai based company.

	How much does it cost to build a typical QSR outlet?
	The estimated initial investment required for a restaurant is USD 50,000 – 70,000 inclusive of equipment and construction. This amount will vary depending on the size of the unit as well as the concept.

	What is the franchise fee?
	The franchise fee is USD 12,000 for a standard QSR Hotbrands outlet and USD 50,000 for a CDR outlet.

	Will you finance the remaining balance of the cost of the franchise?
	No. hotbrands International does not provide any financing. The remaining cost may be financed through a bank.

	What are the ongoing fees?
	An ongoing management service/royalty fee of 6% and a marketing/advertising fee of 3% of net sales is due monthly. International franchise fees and royalties may differ slightly on a case-by-case basis. A representative from Hotbrands will provide you with the most current fee and royalty information. [Note: The information above is provided only as a guide line.]

	How long is the typical contract?
	The initial term of the Franchise Agreement is 10 years, with an option to renew for an additional 10 years; this term is provided when certain criteria are met.

	If I don’t meet the financial or operational criteria to become a franchisee, can I partner with someone who does?
	Yes. You must supply us with a resume and personal financial statement for each partner of your proposed franchise group, and a resume for your Principal Operator candidate.

	Do HBI provide financing for restaurant development?
	No, HBI does not provide financing.

	What type of return can I expect to make on my investment?
	HBI does not provide earnings claim information. We do, however, encourage prospective Franchisees to conduct significant due diligence during the discovery process and contact existing franchisees with questions regarding marketing, finance, sales volumes, operations, etc. The amount of profit or loss is dependent on a number of factors, including the ability of the franchisee to manage the business, drive sales volume and control operating costs.

	Does HBI restaurant select the site where I’ll build my restaurant?
	No. You will select the site, however, HBI will from time to time assist in finding suitable locations. A representative of HBI must however approve each location.

	What kind of training requirements will I be expected to meet?
	Before opening the outlet, all franchisees must have a qualified manager and assistant manager in place. The people who will perform these duties must either travel to Dubai for training or alternatively, receive training at one of HBI’s local corporate stores in that respective country.

	Is there a restriction on the product that may be sold?
	HBI is sensitive to the needs of different cultures. Our team will work with you to add regional products and, in some cases, side items that may appeal to your customer base. It is however compulsory to purchase all proprietary gravies and sauces directly from the HBI warehouse.

	What is the procedure if I am interested in acquiring a franchise?
	A representative from HBI schedules an interview for you. During this visit you will have the opportunity to get an in-depth overview of the Franchise system and if possible, also visit a restaurant. Approval Process Your request to franchise with HBI will be considered after you have completed an application form and the necessary due diligence report has been carried out before finally going to our Franchise Review Board for approval. Enter into an Agreement Once approved, you will work with our franchising team to sign your Franchise Agreement and Service Agreement. We provide a franchisee support system designed to support all of your business needs. HBI is committed to providing a superior level of service to our franchise family. Restaurant Openings HBI provides all the assistance our franchisees need to ensure a smooth and successful restaurant opening. Our development team helps franchisees determine the ideal site for their restaurant, working with them to review market trade areas and site criteria. Once the ideal site has been selected and approved, they will oversee franchisees through the build-out of the restaurant and ordering of equipment. HBI indirectly assists franchisees to secure the best pricing possible on equipment and raw materials. Food Products and Supplies In each of our international markets, HBI strives to source food products and supplies “in-country” whenever possible. We have developed numerous partnerships with suppliers in each country, ensuring that our international franchisees receive the highest quality ingredients and supplies available at the best possible prices. Marketing HBI provides an experienced international marketing team for effective planning and development of marketing programmes. We also offer assistance in new market menu creation, grand opening planning and many other marketing programs and functions. Quality Management HBI has a management team that consists of a General Manager, Territory Operations Manager and Area Operations Manager who will be involved in the overall support functions and operational standard audits. THESE FRANCHISE REQUIREMENTS DO NOT CONSTITUTE AN OFFER TO AWARD A FRANCHISE.

	Interested in more information? Please Click here to contact us or complete the inquiry form.

Disclaimer: This information is not intended as an offer to sell, or the solicitation of an offer to buy, a franchise. It is for information purposes only. Currently, the following states and countries regulate the offer and sale of franchises: in the U.S.: California, Hawaii, Illinois, Indiana, Maryland, Michigan, Minnesota, New York, North Dakota, Oregon, Rhode Island, South Dakota, Virginia, Washington and Wisconsin. International: Australia, Brazil, Canada (Alberta and Ontario only), China, France, Indonesia, Lithuania, Malaysia, Mexico, Romania, Russia, South Korea and Spain. If you are a resident of one of these states or countries, we will not offer you a franchise unless and until we have complied with applicable pre-sale registration and disclosure requirements in your jurisdiction.