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New Franchise Frequently Asked Questions
1) How much does it cost?
$9,900 for one territory and it includes:
- Exclusive territory
- Training
- Operations manual
- DVD
- Use of our proven system
- Shared marketing iniatives
- On-going consulting
- Proprietory software
- Ongoing business coaching
The person investing in this business should have $25,000 in working capital.
2) How much money can I make?
There is great potential. The tutoring industry is booming. We can share with you how much money we have made from the beginning until now.
The amount of money will depend on your efforts. We will share with you all of our marketing successes and failures so you can spend your marketing dollars on what works. As part of your review process we will help you put together your own cash flow projections.
Our review process takes about 30 days and allows you to make a fully informed decision based on the realities of your market. Some franchisees will join Academic Advantage Franchise Group and supplement their existing income and others will replace their existing income. This opportunity is flexible. You can start
your business small and grow it or you can start big by buying more than one territory. By buying into a franchise system and growing your business you are building equity.
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3) How long will it take before I start to make money?
There is great potential in this industry! You will make money right away when you take on the initial tutoring assignments. Your total income will be dependent on your billable hours. 10 hours of tutoring per week will bring in $1,600 per month in revenue. 20 hours of tutoring per week will bring in $3,200 in revenue per month. The idea is to create a passive income. Over time you will refer students to the teachers in your database and you will bring in revenue for all of the work that other tutors are doing. It is really up to you and your efforts that will effect when you start making money. We will take you through an exercise in which we project income and expenses (cash flow) for the first 3 years of business. We can get a rough idea on how much money you can make.
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4) How hard would I have to work?
This is hard to answer because we don't know how to measure what you consider to be hard work. We can only tell you our experience. We have always been dedicated and motivated to build our own business. We enjoy the flexibility and freedom of self employment and high financial returns.
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5) Why wouldn't I just start my own tutoring company? How would I benefit from buying your franchise?
Starting a tutoring agency is hard work and as an independent you can make a lot of mistakes and waste money. With Academic Advantage you will be given a proven system and will not have the frustrations of wasting time, energy and money on things that do not work. You will buy into a company that built a strong trusted name in the community. The brand name is spreading fast. The value of your business will increase and if you nurture and build the business you can sell it for what you paid for it or more. The value of your business will increase as the franchise system grows across North America. As already mentioned, you will build equity by buying into a franchise system.
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6) Can I get my money back if it doesn't work out?
Your license agreement gives you the right to sell your business and transfer your franchise license. We will need to approve the new franchisee, with such approval not to be unreasonably withheld. The more profitable that your business is, the more your business will be worth. With an Academic Advantage franchise you are building equity.
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7) What kind of support will I get? I haven't a clue on how to run a business?
During the review process you will have an opportunity to review the operations manual's table of contents and you will see the depth of information we provide. We will provide you with one week of training in our head office. We also provide ongoing telephone and email business coaching and training.
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8) How are you different from other tutoring franchises?
We are easy to work with. We have a smaller up front franchise fee and lower ongoing financial commitment. We provide consumers with an easy system to "buy into." Parents using our service have a high level of comfort because our tutors are qualified teachers. Our franchise opportunity offers greater flexibility allowing you to start your business small and build over time. The franchisee can adapt their business around their specific lifestyle and circumstances.
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9) How long can I run the business before I have to sign another agreement?
5 years and you will need to renew your agreement. The renewal fee is only $1,000 for a further five year term.
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10) What are all of the monthly expenses?
As part of the application process we will go over a cash flow projection to help you predict income and expense in the first three years.
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11) If we share marketing expenses, what if I don't agree with how you are spending the funds?
We are always open to hearing your ideas. We track all of our registrations to know which advertising is bringing in the most inquiries. We evaluate the effectiveness of advertising and we can share that information with you. We ultimately make the final decision based on what is best for the system as a whole, and not only based on an individual territory.
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12) Will we be able to meet other franchisees and discuss our business?
We actively promote sharing of best practices and open discussions that will benefit the growth of our business. We will set up special conference calls to facilitate group discussions on specific initiatives. We will also set up a blog so that franchisees can actively communicate and share ideas.
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13) How long have you been in business?
Since 2002.
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14) How can I know that I will be successful?
Our corporate office in the Lower Mainland has been extremely successful and serves as a good model as to how you can be successful if you work hard.
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15) I'm interested. What do I do next?
Step One: Fill in the following information.
Step Two: You will receive a call from us to set up a time for your telephone interview.
Step Three: A telephone interview will determine if the Academic Advantage franchise opportunity is a good fit for you. If yes...
Step Four: Complete the application form, criminal record check and credit check. Supply us with references. We must make sure that you are qualified for this opportunity. If yes...
Step Five: Sign a confidentiality statement.
Step Six: The franchise agreement is presented to you.
Step Seven: We will provide you with all of the information that you need to understand the business and your potential. This will include a market analysis of the competition in your area. We will walk you through a cash flow projection for the first, second and third year of operation.
Step Eight: If you are comfortable and confident with your new business venture then the franchise agreement will be signed, the business will be launched and training will begin.
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