FRANCHISE OPPORTUNITY

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CHAPTER I BACKGROUND

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FRANCHISE OPPORTUNITY Fresh Burger is looking for qualified Owner-Operators to introduce the concept throughout the Greater Toronto Area. If you are looking for a unique business opportunity for your family that produces superior financial results, this is for you. Talk to us! Tastes Good Like A Hamburger Should! www.fresh-burger.com 1

When we say Fresh, we really mean FRESH What is Fresh Burger? Fresh Burger is a boutique burger restaurant with an open kitchen concept that competes in the casual restaurant category. The first Fresh Burger opened in Richmond Hill, Ontario in 2013. At Fresh Burger we make and sell only burgers, fries and poutine. Why choose Fresh Burger as a franchise? We created Fresh Burger to be a family-operated business and to achieve an improved lifestyle. We created the concept to be simple to operate and manage as well as minimize up-front capital investment. Our limited menu simplifies daily preparations, purchasing and inventory management. It minimizes waste which in our original store averages less than 1%. The Fresh Burger Difference The burger category is growing in the Toronto area but only Fresh Burger remains faithful to the original burger concept. Our limited menu differentiates us from the competition and is our core strength. We do only burgers and fries and we do them well. From the fresh meat that we use to the fresh kennebec potatoes that we peel and cut to the assembly of our sandwiches, we make the best burgers in the market at everyday low prices. Which is why we were voted Favourite Burger restaurant in GTA by Yelp in 2014. 1

Not only a great concept, but a truly profitable concept How much does it cost to start a Fresh Burger Franchise? Starting a Fresh Burger Franchise can cost from a minimum of $75,000 to about $250,000 depending if it s a shell operation or a conversion of an existing restaurant which would require a lesser investment amount. For who is a Fresh Burger Franchise suitable for? At present, a Fresh Burger Franchise is best suited for a family operation. Involvement of the owners is very important to maintain the high quality good tasting burgers and fries our customers have come to expect. Owner-operator is what we look for. How big is a typical restaurant? We aim to have sites that are 1,000 square feet to 1,300 square feet. Smaller sites of as low as 800 square feet would be considered in high rent locations. What kind of support can I expect from the franchisor? We provide two weeks of training to the owners at our corporate location in Richmond Hill. We build the restaurant and hire the staff with input from you and give you a turnkey operation. We provide initial training for your staff at your location. We help you at every step of the Grand Opening. After opening, we are available to assist you whenever you need help. 9206 Leslie Street, Unit #4 Richmond Hill, ON L4B 2N8 ensure a smooth operation. 3

Great taste wins accolades Typical target market Our target market is primarily composed of males between the ages of 20 to 55. Industrial, commercial and office workers compose our largest market segment. Followed by families. Approximately 40% of sales is derived during the lunch day part (11:00 a.m. to 2:00 p.m.). What s our operating strategy? Our main goal is to provide the best burgers at the lowest prices in the market. Our standard burger which comes with cheese is priced at $5.59 plus tax. However, we offer many premium toppings that customers can choose if they so wish such as bacon, caramelized onions, sautéed mushrooms and Jalapenos, as well as, premium cheeses (Cheddar, Swiss and Provolone). These toppings help bring our average check to $14.20 an increase from $9.00 when we opened our first store in 2013. 5

Fresh Burger at a Glance Franchise Fee... $25,000 Royalties... 5% Advertising... 2% Average restaurant area... 1,000-1,300 sq. ft. Average building cost... $75,000 - $200,000 Working capital... $25,000 6 Real estate site location Lease negotiations Full turnkey operation Staff hiring and training Operational support Marketing/advertising support 7

Contact Info Jacques Kavafian 416.230.6297 jkavafian@fresh-burger.com 9206 Leslie Street, Unit #4 Richmond Hill, ON L4B 2N8 9

Fresh Burger Franchising Inc.