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FRANCHISE REPORT 2018

FRANCHISE REPORT 2018franchise.teriyakimadness.com/wp-content/uploads/...2016, 2015 Top 50 Franchise - Franchisee Satisfaction We won the prestigious 2016 FBR50 Franchisee Satisfaction

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Page 1: FRANCHISE REPORT 2018franchise.teriyakimadness.com/wp-content/uploads/...2016, 2015 Top 50 Franchise - Franchisee Satisfaction We won the prestigious 2016 FBR50 Franchisee Satisfaction

FRANCHISE REPORT2018

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1 What is Teriyaki Madness?

2 Our Story

5 Why Teriyaki Madness?

12 Our Guests

13 Raving Fans

14 Why We’re Unique

15 Startup Costs/What Can I Make?

16 Available Territories

17 Hear It From Shop Owners

18 A Good Teriyaki Shop Owner

19 A Day In The Life

20 Education Timeline

21 Steps To Open A Shop 22 Meet The Management Team

26 Real Estate & Construction

27 Product Quality & Supply Chain

28 Vendor Relationships

29 Operations

30 Marketing

31 FAQ & Fun Facts

32 In The News

TABLE OF CONTENTS

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What is TERIYAKI MADNESS?IT'S FAST CASUAL.

Teriyaki Madness provides the ultimate teriyaki shop experience, serving oversized portions of rice and Asian-noodle bowls heaping with fresh, healthy ingredients. We combine the traditional values of Seattle’s beloved teriyaki houses and the fast-casual dining experience to bring a new option to cities across the country.

We believe both quality and quantity matter. TMAD uses only the finest ingredients in our dishes, with every order cooked in less than seven minutes. Our customers leave full and satisfied.

We take great pride in our menu items. Our dishes are cooked to perfection, boasting heaping helpings of meat perfectly marinated in our homemade sauces, fresh vegetables atop a massive serving of sushi-grade rice or yakisoba noodles.

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OUR STORYTHIRTEEN YEARS AGO...

Thirteen years ago, two Washington State College students, frequented a little ‘hole-in-the-wall Teriyaki house in Seattle called Teriyaki Madness. With limited budgets, big appetites and a taste for healthier food, they would eat at ‘TMAD’ three or four times a week. The little place had long lines every single day which really says something, as Seattle has hundreds of Teriyaki Houses. This place was special...Big bowls of steak or chicken, vegetables over rice or yakisoba noodles was super hot and fresh and the homemade sauces were a secret recipe that no one else could replicate. Word had gotten around, customers were willing to stand in long lines and the place was packed! When they graduated college, and after years of rainy Northwest weather, they decided to set off for hot and dry!

There are not many places hotter and drier than Las Vegas so they joined their cousin in Las Vegas and they somehow convinced the chef of Teriyaki Madness to come with them to see if Teriyaki could be as popular elsewhere in the country as it was in Seattle. They re-created the Teriyaki Madness in Seattle in almost every detail. A small hole-in-the-wall restaurant in a strip mall started out slowly as Las Vegas residents didn’t quite know what to make of this new Teriyaki thing. After working long, hard hours and promoting their business to the healthy residents of Las Vegas, they began to get a following from the entertainers and people who were working out at the health clubs nearby and grabbing lunch to take back to work in the afternoon or home in the evening. Business boomed!

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OUR STORYLONG LINES...

The chef got tired of SPF 45 and returned to Seattle. The three guys worked tirelessly and focused on serving big bowls of hot food quickly and affordably. Soon some of their customers recognized the same long lines snaking out the door in the Las Vegas restaurant that the three original guys saw in the Seattle restaurant and they inquired about building their own Teriyaki Madness restaurants!

A lot of research, and the help of experts, and the guys decided franchising was the best way to help other people build their own TMADs. After a few years, the guys built another TMAD restaurant and 3 franchise owners signed on and quickly built 5 TMADs between them. Las Vegas now had 7 TMADs, raving, ‘Mad’ fans helped spread the word and all but the smallest store had almost a million dollars in sales! Las Vegas LOVED Teriyaki Madness and the guys proved Teriyaki

could become popular outside Seattle! Almost 10 years into it and the guys were getting interest from all over the world from visitors who had visited and experienced the ‘Madness’ in Las Vegas. They decided careful national expansion of the franchise system was the next step and they partnered with experts who had experience building and managing franchise processes and systems.

They partnered with Franchise Sherpas who had built large, international franchise systems with hundreds of satisfied franchise owners. Soon, qualified owners were granted franchisees and TMADs started popping up nationwide. The new TMADs received the same reception the Las Vegas restaurants experienced! Slowly, customers trickled into these little hole-in-the-wall strip mall TMADs, only to get their minds blown by big bowls of awesomeness!

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OUR STORYTHIRTEEN YEARS AGO...

In the meantime, the TMADs that had been open for a few years were growing their customers and their sales by huge numbers. The last 6 years showed growth between 6-23% each year!

Well, after a few years the three guys made the decision; it is a lot easier and more fun (and perhaps more lucrative) to simply operate and grow restaurants. In 2016, they accepted a very generous offer from the professionals at Franchise Sherpas who pledged to maintain the quality and integrity of Teriyaki Madness as national expansion accelerated.

With a strategy to make Teriyaki Madness one of the most recognized and successful fast-casual restaurant systems in the world, a team of experienced professionals with years in the food industry were recruited (actually they kinda found us) to help franchisees achieve success by bringing the concept of big bowls of Teriyaki Madness from Seattle to the world.

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WHY TERIYAKI MADNESS?

Teriyaki is really about home made sauces with a soy sauce base. We use marinated steak, chicken or tofu that is grilled and then quickly wokked-to-order with fresh vegetables like broccoli, cabbage, carrots, onions and then served over white, brown or fried rice and even yakisoba noodles.

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OUR AWARDS. NOT TO BRAG...

Our owners and the franchise industry think pretty highly of us. Check out the awards we’ve won over the last few years.

WHY TERIYAKI MADNESS?

2015 Food-Service Packaging Award - The “Wow” Factor: Chork - QSR-FPIThe chork is eye-catching and a clever idea which produces a “wow” reaction. The chork can be used in three ways: as a fork, as a trainer for chopsticks, and as full chopsticks. With it all consumers can use chopsticks even if they have never used them or are a little rusty. It makes using chopsticks less intimidating and helps educate consumers on how to properly use them.

2015, 2014 Best Franchise Deals - QSR Expanding your franchise portfolio? QSR recommends Teriyaki Madness be one of the first you look into. TMAD received the award for Hungry Upstart two years in a row. The Hungry Upstarts Award highlights smaller, emerging concepts in the franchising world.

2017, 2014 Franchise 500 - EntrepreneurEntrepreneur's 37th Annual Franchise 500 ranking reveals the impact of newest trends and the industries poised for growth. Franchisors are judged by the same criteria: objective, quantifiable measures of a franchise operation. The most important factors include financial strength and stability, growth rate and size of system.

2016, 2015 Top 50 Franchise - Franchisee SatisfactionWe won the prestigious 2016 FBR50 Franchisee Satisfaction Award from Franchise Business Review. It is the most prestigious award in franchising as it is shows we have the highest franchisee satisfaction, the best training and support and we care to ask what our owners think! TMAD, or any other company, can’t buy our way on the list. FBR measures the performance of the Teriyaki Madness by surveying the individual owners for quality feedback. Learn more: https://vimeo.com/58560862

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2017 List - Inc. 5000The Inc. 5000 list of the fastest-growing companies in America recognizes success big and small, and is the most prestigious honor a growing private company can receive.

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OUR AWARDS. NOT TO BRAG...

WHY TERIYAKI MADNESS?

2017, 2016, 2015 Top 100 Emerging Franchise

Franchise Gator named TMAD as a Top Emerging franchise for 2017 in conjunction with the release of its annual Top 100 list. The online franchise directory developed the rankings as a way for prospective franchisees to identify opportunities with strong growth potential that are also affordable investments for the average franchise buyer.

The Franchise Gator Top Emerging list spotlights up-and-com-ing brands with 50 or fewer units.

“We identified 32 franchises this year for our Top Emerging category,” said Eric Bell, General Manager of Franchise Gator.

2017, 2016 Top Fastest Growing Franchise

Franchise Gator named TMAD as a Fastest Growing franchise for 2017 in conjunction with the release of its annual Top 100 list. The online franchise directory developed the rankings as a way for prospective franchisees to identify opportunities with strong growth potential that are also affordable investments for the average franchise buyer. The Franchise Gator Fastest Growing list spotlights brands that are experiencing rapid expansion coming into the new year.

“We identified 50 franchises this year for our Fastest Growing category,” said Eric Bell, General Manager of Franchise Gator.

“The list is developed based on the number of opening and operating units a franchise has had over the past several months in addition to their track record for building a solid customer base and gaining the trust of investors.”

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FAST CASUAL. A GROWING INDUSTRY

WHY TERIYAKI MADNESS?

The term Fast Casual describes a restaurant between a quick serve and casual dining experience. It is one of the fastest growing concepts in the restaurant industry.

The segment is rapidly growing because consumers love the concept. It fits the need to eat on the run while offering healthy options. The food is fresher, higher quality and more customizable than fast food. Consumers are saying bye bye to boil-in-the-bag and hello to made to order and are fine paying extra for higher quality, fresher food. “The list is developed based on brands’ track record for growth and building a solid customer base, and we are glad to offer exposure for these up-and-comers who we believe are solid investments for potential franchisees.”

THE PROOFThe fast casual sector in the restaurant industry shows amazing numbers in the past few years, plus the it is expected to continue to perform above average!

Check out the stats from Washington Post and Fast Casual on the fast casual restaurant segment:

Increasing 550% since 1999, ten times the growth in the fast-food industry.

Exceeding its 5 year compound annual growth rate of 11.7@ in one year (2014).

Climbing 12.8% to $30 billion in annual sales in 2014(Almost double the other restaurant segment’s growth rate.)

Forecasting growth in the double digits through 2022 (Rest of restaurant industry predicted to grow half a percentage point.)

Source: https://www.franchisehelp.com/industry-reports/fast-casual-industry-report/

Source: http://nrn.com/sponsored-content/why-fast-casual-eating-industry-s-lunch

FAST FOOD

FAST CASUAL

CASUAL DINING

FAST DINING

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Asian food has been named the fastest growing food market in the world, grow-ing nearly 500 percent since 1999. This impressive growth can be accredited to the fact that people are now more inclined to try ethnic food due to its bolder flavor, healthy ingredients, and overall nutritional value. By using this new consumer trend to stand out amongst other fast casual restaurants it has allowed for Asian-inspired food concepts to compete for customers’ loyalty.

Within recent years, consumers are now looking towards a healthier diet and active lifestyle. Due to this recent change, the fast food industry is taking a hit because they aren’t providing these healthy options. Fast casual restaurants, however, are not only providing more fresh options than a QSR but they are also satisfying the need for convenience. This is why Teriyaki Madness has proven to be a welcomed concept in a market that is over-saturated with unhealthy options that no longer appeal to the consumer’s needs.

With America becoming more health conscious and the fast casual industry is rising above competition, Teriyaki Madness has begun to capitalize on this rising awareness. Because our food is fresh and made to order, the consumer can not only fulfill their need for a healthier option but they can completely customize it. If the customer wants, they can skip the carbs and go for veggies!

They can also easily alter the items on our menu to appeal to diet-restriction needs. By providing a customizable menu that is made to order, no consumer will leave without a healthy option that is hot and ready to go.

Convenience is everything in this day in age and Teriyaki Madness is rising to the top by providing exceptional service molded around the rising trend of the new health conscious generation.

ASIAN & HEALTHY FOOD TRENDS

WHY TERIYAKI MADNESS? 9

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A majority of our menu is made in-house from scratch, making Teriyaki Madness one of the freshest and most authentic restaurant concepts on the market.

OUR SIMPLE MENU

WHY TERIYAKI MADNESS? 10

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OUR SIMPLE MENU

WHY TERIYAKI MADNESS?

Our sushi-grade Calrose rice is grown primarily in California, and makes the best sticky rice around.

TERIYAKI in Japanese is comprised of two words: “Tare” which refers to the glaze of soy sauce, mirin and other spices, and “Yaki” which refers to the specific method of grilling or broiling. However you spell it, it’s delicious.

Our 5 SIGNATURE SAUCESare made in-house, and are so popular, many consumers ask how to bring the madness home.

YAKISOBA has been a popular dish in Japan for over 100 years, first being served in food stalls in alleys and markets. Our Yakisoba Noodles are the best this side of the Pacific!

CHICKEN TERIYAKI is our #1 seller…a favorite among our consumers! Spicy Chicken is the favorite among franchisees. It’s maddeningly delicious!!

SANDERSON FARM CHICKENS are 100% natural, antibiotic-free and raised cage-free. Those are some happy chickens!

THE MAC SALAD is our take on the popular and flavorful Hawaiian dish and pairs beautifully with our spiciest entrées…or on its own!

OUR APPETIZERS are a great (and delicious!) up-sell opportunity; Potstickers are preferred 2:1versus the Eggrolls.

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OUR GUESTSEMERGING TRENDS

Asian food is new fresh and flavorful. Customers are getting tired of the same old American staples of burgers and pizza. Though Asian food is not new by any means, the interest from consumers has grown almost 500% since 1999! Most people who try our food, fall in love with it.

The breakout to the right is from Buxton, a company that specializes in customer analytic growth solutions. The data is based on TMAD customers who used a Visa credit card to purchase their meal. It should be noted that these analytics do not include customers who pay cash.

Demographics

• Age: 20 – 54• 3+ Persons in household• Married• Income: $50k+• Business Owner• Lives Affluent Lifestyle

PSYCHO-GRAPHICS

• DIY Interest• Home Decor Interest• Weight Conscious• Fitness Interest• Sweepstakes Participant• Charitable Donor• Enjoys Reading

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RAVING FANSTMAD FANS TELL IT BEST

YELPERSOur customers crave amazing food in big bowls! They hashtag galore to show their addiction to the madness.

Here are some real reviews from real Teriyaki Madness fans raving about our dedication to bringing them our big bowls of awesomeness.#weloveourfans

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WHY WE’RE UNIQUE

One of the most important aspects of Teriyaki Madness is our mission of emulating the Seattle-Teriyaki shop experience. Comfortable shop experiences personalized to the shop owners and the neighborhood.

Avoiding the cookie-cutter approach popular with franchised businesses, TMAD works hard to maintain the ‘soul’ of each and every teriyaki shop around the country while maintaining the consistency of awesome, personalized service and our Big Bowls of Awesomeness made with high quality ingredients.

TMAD’s putting the soul in franchising, read what Michael Haith, owner and CEO, has to say about the concept here.

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Initial Investment Range

START UP COSTS

$273,699 - $616,760

FRANCHISE FEE: $45,000–$99,000

TOTAL START-UP COSTS: $273,699–$616,760

ROYALTY: 6% GROSS REVENUES

RENEWAL FEE: 10% OF THEN-CURRENT FRANCHISE FEE

MARKETING FEE: 2% GROSS REVENUES

WHAT CAN I MAKE? 2017

Highest Unit Volume

$1,338,244

2017 Average Unit Volume

$1,038,975

2017 Profitability

Up to 23%

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*Refer to the 2018 Franchise Disclosure Document

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All territories are available, excluding Washington State, and Las Vegas.

Teriyaki Madness is a young brand that will double its Teriyaki Shops in 2018! The USA is a big place with lots of room for you to start your own TMAD and Spread the Madness!

AVAILABLE TERRITORIES 16

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HEAR It FROM SHOP OWNERSFEEDBACK FROM ACTUAL FRANCHISE OWNERS

“I opened up the Teriyaki Madness in Bettendorf, IA. This is a new market. We have a lot of challenges but we’re doing really well and running smoothly. I have had a lot of other business experience and this is one of my favorites.”

- Rad Pandit Teriyaki Shop OwnerBettendorf, IA

“We chose Teriyaki Madness because it was rated high as one of the fastest growing franchises out there. When I presented it to my wife she said, "you got to do it because we've always been search-ing for something healthy, fast and reasonably priced.”

- Jon MarshTeriyaki MadnessMarina, CA

“I was looking into healthy alterna-tives and Teriyaki Madness came up. After eating there a few times, I was totally impressed with every-thing from food to service. It seemed like an easy concept that anybody without any background could learn very easily.”

- Dean ClarinoTeriyaki Shop OwnerLas Vegas, NV

“I am very particular about my food: ingredients, nutrition, addi-tives, whether it’s frozen or not. When I went to TMAD I was very impressed. My kids and husband love it so much. The quality speaks for itself.”

- Qing LiTeriyaki Shop OwnerDenver, CO

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A GOOD TERIYAKI SHOP OWNER

Desired Background, Skill Set & Goals of Teriyaki Madness Owners:• Passionate about Hospitality & Restaurants

• Strong Desire for Expansion with a Multi-Unit Mindset

• Strong Leadership Skills with an ‘Open Book’ Mentality

• Restaurant Experience NOT Required

• Ambitious & has a Love for Food!

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As you can imagine a typical day for an owner can vary depending on how long they have been a franchisee. We require franchise owners or their managers to be actively involved in the operations of the business in the beginning.

This is a typical day is for a newer owner who has only had a restaurant open for about 3 months:

On any given day a franchise owner helps guide employees to ensure the operations are running smoothly. They may do some food prep, help on the cook line, work the POS system, hire and train a new employee, touch tables and talk to guests. They monitor inventory levels and place orders with suppliers.

Some days, they do accounting and bookkeeping work. It is important they keep their financials top of mind to ensure they are headed in the right direction. They talk with the TMAD Team and other owners frequently to problem solve, bench-mark and review social media, marketing and financials. They also go out into the local community to do local marketing by passing out coupons or business cards and letting surround-ing businesses know about their location. They typically spend time daily on email and the phone.

Essentially, the owner must have strong organization skills and the ability to multi-task on any given day to be successful. After the ‘start-up’ period, they will be managing the managers and preparing to open their next store to do it again!

A DAY IN THE LIFE 19

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EDUCATION TIMELINE

RECEIVE FDD & AGREEMENTNow you’ve met the Development Team. Time to understand our expectations for you and what you can expect from us.

EDUCATION PROCESSWe’ll send you information over 4-6 weeks. You’ll learn about you. We want you to have the right expectations!

VALIDATION & PEER REVIEWTwo phone interviews are conducted. In the first, our Owners interview you and in the second you interview them.

TMAD TEAM CALL1 on 1 with our Corp. Team to answer any final questions and decide together if we want to meet at Discovery Day.

DISCOVERY DAYTry the entire menu, tour the restaurants, meet TMAD owners & spend the day with the CEO.

EXECUTIVE TEAM INTERVIEWInterview with the Dept. Heads to understand expectations and make the final determination.

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STEPS TO OWN A SHOP

Real EstateOur Team helps you find the best location by teaming you with proven local brokers who know the area best!

ConstructionWe help you find the right GC for the job to get your TMAD open as quickly and affordably as possible.

FinanceWe have the tools to help you run your company and benchmark with our proprietary dash. Ends with opening.

SUPPLY CHAINWe set you up with our national vending partners like Sysco and Pepsi.

MARKETING DEPTWe coach you on spreading the TMAD to your community! From Grand Opening and Local Marketing to Social Media.

OPERATIONS TEAM60 day hands-on training during real estate phase.On-site training occurs approx 14 days before opening.

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MEET THE MANAGEMENT TEAM

TMAD is a young brand that’s restaurants will add 30 restaurant locations in 2018! The USA is a big place with lots of room for you to start your own TMAD and Spread the Madness!

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MEET THE MANAGEMENT TEAM

With 24 years as a franchisee, franchisor, franchise investor

and supplier, Michael is the Chairman - Mentor of five brands;

Maui Wowi Hawaiian, Franchise Sherpas, Doc Popcorn, Teriyaki

Madness, which he just took the helm as CEO and the newest,

the Raintree Franchise Sales which helps emerging franchisors

recruit franchisees. Michael is always searching to partner

with great new brands that need partners with the franchise

experience, skills and resources necessary to grow to

global franchisors.

Erin leads the Ops Team to deliver best in class training and

support for both new and veteran TMAD franchise owners. Her

background is in multi-unit child care franchises (she ran the first

million-dollar day care franchise in Denver). Prior to TMAD, she

owned her own bar and worked as Support Manager for Maui

Wowi with a territory of 100+ franchisees and built Operational

Programs that took Maui Wowi to international success in

8 countries.

Overseeing Real Estate, Franchise Sales and Business

Development. Brooks has 17 years of experience in Franchise

Development with high growth brands like Quiznos, Famous

Brands – TCBY and Mrs. Fields, and recently, Focus Brands –

Moe’s Southwest Grill where he helped grow the brand in four

years from 400 to 700 locations with 300 locations in the pipeline.

He helped over 1000 franchise owners realize their dreams. At

TMAD, he’ll educate prospective owners and help new and

multi-unit owners find real estate.

Michael HaithCEO

Erin HicksEXECUTIVE VP

Brooks SpeirsVP of DEVELOPMENT

Jodi is an 18 year veteran of the marketing industry. Her

extensive career includes stints with Smashburger, Einstein Bros

Bagels, Quiznos and various marketing agencies. Her claim to

fame is driving Oscar Meyer Wienermobile around the country

as a Hotdogger, doing marketing, PR and promotions right out

of college. Boyce’s role a TMAD will include overseeing anything

related to the brand, including overall national evolution efforts,

brand voice, personality and supporting programs.

JODI BOYCEVP OF MARKETING

Hank is a graduate of Southern Methodist University with a

Master’s degree in Business. After being a franchisee for seven

years in the dry-cleaning business he turned to real estate.

Hank is now a real estate veteran of 25 years, finding locations

for both corporate stores and franchisees. Hanks history

includes working for Brinker International, Rare Hospitality,

Logan’s Roadhouse and most recently Focus Brands as the

head of Real Estate for both Schlotzsky’s and Moe’s

Southwest Grill.

Cassie joined Teriyaki Madness in January of 2017. She has 12

years of accounting experience across a variety of industries. Prior

to joining Teriyaki Madness Cassie was the Controller for Maui

Wowi Hawaiian Coffees & Smoothies for 3 years. At Teriyaki

Madness Cassie is responsible for the day to day Accounting

Activities as well as monthly financial reporting and forecasting.

Hank JanikExecutive Dir of Real Estate

Cassie RobinsonController

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MEET THE MANAGEMENT TEAM

Liz WorleyDIRECTOR of Marketing

Roberts comes to Teriyaki Madness with more than 20 years of experience in the restaurant industry,

including stints at Max & Erma’s, Red Robin, Houlihan’s and Pies & Pints Company. At Houlihan’s

and Pies & Pints, Roberts facilitated new restaurant openings and directed all pre-opening operations

including hiring, training and development, building and safety inspections and beverage program

parameters – a role he’ll continue with Teriyaki Madness.

Anthony RobertsSenior Support Manager

With close to 20 years in the restaurant industry, Shanlee has been in the corporate training

field since 2003 and is known for her self-motivated, exciting and humorous style. With

extensive experience creating programs around Teamwork, Sales Building Skills, Importance of

Customer Service, Training and People Development. She has the ability and passion to deliver

and help execute these programs in a way that excites and motivates.

Shanlee Kassonsenior mngr of training

Nick has been part of the Madness since June of 2015. He

combines knowledge learned from other construction heads, as

well as his organizational skills, extensive communications

abilities and prompt response time, to facilitate a construction

program based on project management, and vendor account-

ability. Nick will work tirelessly to ensure that all facets of a shop

owner’s project is well taken care of; and done so within a

reasonable time-frame.

Liz TMAD with 17 years of marketing experience strongly

focused in franchise restaurant marketing. She spent the

majority of her career working with a Golden, Colo.-based

Arby’s Restaurants franchise owner of 65 locations. She has also

worked with other restaurant brands such as Old Chicago,

Noodles & Company and Red Robin. Just prior to joining TMAD,

Liz worked for a Colorado franchise group of the fast casual

sandwich concept Which Wich to bolster sales through local

restaurant marketing campaigns.

Nick ChignoliConstruction Project Mngr

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Taylor is a graduate of Colorado Mesa University (CMU). She

graduated with a degree in Visual and UX Design, led the CMU

design consulting department and worked as a graphic, UX/UI,

web and visual designer. She aims to elevate the Teriyaki

Madness brand by offering consistent design messaging for all

existing and new franchise owners.

TAYLOR SMITHVISUAL & UX DESIGNER

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MEET THE MANAGEMENT TEAM

Kaitlyn was brought on to help grow the brand nationwide and bring new and excited

franchisees to the team. Her background is in Marketing and Sales. Prior to Teriyaki

Madness, she was a sales person at Furniture Row and ran her own nail

business for a little over a year.

KAITLYN THOMASDEV. MARKETING ASSISTANT

Alison born in Colorado and is a graduate of the University of Oregon. Go Ducks! She began her

career in sales and marketing for a sporting goods manufacturer where she learned firsthand how

to build relationships and support customers; both business owners and consumers. Alison joined

the madness in February 2016, where she found her true passion: franchising. Her role as

Development Marketing Manager has her connecting entrepreneurs to the TMAD franchise

opportunity. At Teriyaki Madness she enjoys working with TMAD Franchise Owners and potential

franchisees to help them find entrepreneurship and realize their dreams!

Alison SatrianaDEVELOPMENT MArketing MNGR

Nathan joined the T MAD marketing team in June of 2017 with a background in sales and

marketing. After graduating from the University of Colorado in 2014, he took straight to the

road leading a nationwide marketing tour for the brand Otterbox. From there, he worked in

sales for a food distribution company overseeing 60 locations, driving sales and promoting

new products. Nathan is excited for the future of digital marketing and to see TMAD grow

with the ever changing advances in marketing technology.

Christy joined Teriyaki Madness in September 2017. She has over 15 years of accounting experi-

ence and has a Masters in Finance with a minor in Fraud Investigation. Christy has worked in

multiple industries, such as, restaurants, oil and gas, and for an international software company as

the Controller. At Teriyaki Madness Christy is responsible for the day to day Accounting Activities,

as well as, does the accounting for all corporate teriyaki shops.

Nathan LockhartMarketing Coordinator

Christy HitchcockAccounting Manager

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REAL ESTATE & CONSTRUCTION

TMAD’s Real Estate Team helps you find the best location by pairing you with proven local brokers who know the area best! Our Construction team then steps in to not only help you find the right general contractor for the job but they will also make sure your TMAD gets open as quickly and affordable as possible!

Your contact throughout this part of development will be Nick Chignoli, the Real Estate & Construction Manager. He will help facilitate your success through comprehensive consultation and support as you move through the real estate and construction phases of your launch. Nick will work directly with you and your local commercial real estate broker to identify all of your potential locations. Additionally, he will continue to provide support and construction insights that help seamlessly bridge the gap between real estate and construction. By managing the process from site selection to operations hand-off after construction, TMAD provides a high level of oversight, insight and foresight.

Real Estate Process:

• Site Selection • Market Survey • Site Tours• Letter of Intent (LOI)• Lease Negotiation

Construction Process:• Design• Permitting- Furniture, Fixture, & Equipment • Construction and Walk Through

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TMAD takes great pride in our menu and the products we serve. We always want to ensure that we only serve the best and that begins with high quality ingredients in our food. This is where Rusty Shaffer, our Director of Supply Chain/R&D steps in to set you up with all of our national vending partners!

Each teriyaki shop is assigned a representative that assists in making sure the right products are delivered at the right time for the right price. This enables you to order and receive all of their products with ease. And of course, we are here to help make certain that distribution is streamlined and consis-tent to have a worry free experience!

Throughout the year we review all vendors, manufacturers, and suppliers to ensure that we are getting the best service, products and ingredients at the best price. We take pride in the relationships we have built and will continue to cultivate to make certain we are the industry leader in quality teriyaki.

Now the good stuff! Look below to see all of our national vendors!

• Pepsi• Sysco• Sanderson Farms • Tundra Restaurant Supplies• Consolidated Concepts• EcoLab

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VENDOR RELATIONSHIPS

Sysco is the global leader in selling, mar-keting and distributing food products to restaurants. They operate 196 distribution facilities serving approximately 425,000 customers. We have a national agreement with Sysco. This enables our franchisees anywhere in the country to access our products with ease.

Pepsi is one of the world’s most iconic and recognized brands globally. Today, the Pepsi portfolio includes three products - Pepsi, Diet Pepsi and Pepsi MAX — that each generates more than $1 billion in annual retail sales. By partnering with Pepsi we have enabled our franchisees the opportunity to sell some of the best brands in drinks including Gatorade, Mountain Dew, Brisk, and Aquafina.

Ecolab provides water, hygiene and energy technologies and services to the food, energy, healthcare, industrial and hospitality markets. Their food safety services provide consulting restaurants, hospitals, food retailers and food & bever-age manufacturers. It is also a supplier of chemicals used by beef and poultry processors to reduce pathogens like E. coli and salmonella in uncooked meats.

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Our team is there, from signing to opening and beyond! Operations will be with you the whole way, in fact, we are a little hard to get rid of! From full quarterly business reviews, mystery shops, goal setting, weekly reporting, annual visits!

We are committed to your success and provide weekly support before and after your restaurant opening. That support ranges from helping set-up your business, facilitating conversations with our preferred vendors, leading operational systems, ensuring compliance, health and safety regulations are being met and help guide you through effective Profit & Loss Management.

Operations not only trains and supports YOU but we help you train your ENTIRE STAFF! Our team of trainers are highly committed to your learning and the success of your teriyaki shop! They know our restau-rants inside and out and will teach you the Teriyaki Madness “Culture of Service.” Owning your own business is hard work and your investment of time, energy, and money is equally rewarding and exhausting. So that is what makes TMADS extensive operation, support and training so important!

OPERATIONS 29

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At TMAD we focus on exceptional customer service and in doing so we keep our customers coming back for more. In addition to your customer service and food quality build your reputation, you will have the support from our determined and experienced Marketing Team.

Jodi Boyce, VP of Marketing, Director of Marketing, has been devoted to helping TMAD franchise owners spread the mes-sage of the madness and build their business beyond their original hopes!

Our team works directly with agency partners and marketing support vendors to provide you with all the tools and process to help you reach your sales goals and build vast brand aware-ness in your community. By providing four strategic levels of marketing programs, each new franchise owner can successful-ly build a local marketing program. Take a look below and see a sneak peak of what type of support you could have with TMAD!

• Training and Planning - From strategy to tactics, we cover it all!• New Restaurant Opening - Our national PR firm will introduce your teriyaki shop to the community in time for your grand opening!• Local Restaurant Market – We provide you with simple and effective tools and program designed to target your local market.• National Branding and Awareness Campaigns – A coordinated effort to promote TMAD nationally to drive awareness.

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Q: How many locations do you have open?There are 49 TMADs open. One location in Austin is corporately owned.

Q: What makes TMAD special?Teriyaki Madness taps into the growing popularity of healthy, Asian fast casual restaurants. Diners today have both a limited time for meals and are also becoming more cost and health conscious.

Today’s consumers want restau-rants that meet their growing demand for options that offer the ideal combinations of flavorful, high quality food at a fair price. Custom-ers are looking for alternatives to fast food burgers and burritos. Asian food, specifically Teriyaki, is an emerging market.

FAQ & MAD FACTS

Q: Investment ranges from $273,699-$616,760. Why?The spread is mainly based on the square footage of the location and the costs associated with the build-out, equipment, materials, general contractors, etc. Again, why we strive for retrofits. You can also see a detailed breakdown of the initial investment cost in Item 7 of the FDD which is available after completion of the Confidential Questionnaire.

Q: What is on the menu?The TMAD menu is both delicious and simple. We like big bowls. Entrées are customizable, just choose your: protein (chicken, beef or tofu), veggies (cabbage, onion, broccoli, carrots and zucchini), carb (white rice, brown rice or yakisoba noodles). We also offer Asian appetizers like potstickers, crab Rangoon and edamame.

Q: Any additional revenue streams from the business model?Yes, owners share the madness by offering catering in their communi-ties. Events, parties and corporate meetings can all experience TMAD. We are also working on our delivery service. We are piloting several delivery services including in-house and third party.

Q: How many employees do I need to run my store? Do I need to be there everyday?Number of employees is dependent on sales volume. On average, shops open with 20-22 employees and streamline to 14-16 after a few months of being open. In the first three to six months, the owner should be there full time. You’re the TMAD Master and you teach your pupils! If you desire to be more hands off, you must find an operat-ing manager that treats the business as their own.

Q: What is the typical location for a Teriyaki Madness?TMADs thrive in strip malls in an in-line or end cap location with high traffic and visibility. While our stores range in size from 1,050 to 2,500+square feet, we consider our “sweet spot” to be between 1,400 to 1,800 square feet.

Typical Teriyaki Madness locations are within close proximity to other national fast-casual brands, with high traffic or pedestrian counts and surrounded by customers with known interests in fitness, sports, DIY projects and home décor.

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IN THE NEWS

QSR Global Experience Pays Off in the Franchise WorldBY: ALEX DIXON | JANUARY, 2017

A native of China, Qing Hammell came to the U.S. 20 years ago to pursue an MBA at Claremont Graduate University in California. After a career in financial investment that led her across the Western Hemisphere—first to Bermuda, then to Minnesota—Hammell decided she wanted to open her own business, and her lifelong interest in food led her to become a Teriyaki Madness franchisee. Today, Hammell has one location and plans to open three more in the greater Denver area over the next year and a half.

Hammell shares how her experiences around the world have helped her in restaurant franchising, and why it is important to give back to the community in which you operate.

1. Search far and wide for a good fit I’ve always been interested in food, and when I was working in an office, I looked for a variety of lunch options, especially healthy, good ones. I think that’s what drew me to the restaurant industry. With franchising, I wanted to do something different. I came to the U.S. as a foreign student 20 years ago, and I always wanted entrepreneurial experience.

Teriyaki Madness is attractive because it has good products and good support. The food is very good; it’s all-natural. It’s made to order and there are no addi-tives, no preservatives. They really emphasize the quality of the food.

To read more, click here.

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BUSINESS DEVELOPMENT [email protected] | 303-997-0722