Interview with Nanyang Kopitiam Franchisor (Plaza Melaka)

On 14th July 2013 (Sunday),  I have an interview with the Franchiser Mr. Lew Wee Heng at Palaza Melaka. He is a friendly person and he patient answered my questions.
Below are my interview questions that I asked:

1.  Is the potential market for the product or service adequate to support your franchise? Will the prices you charge be in line with the market?

Yes. As you know everyone need to eat their meal. The prices that Nanyang Kopitiam charged will always be in line with the market.

2. Is the market’s population growing, remaining static, or shrinking? Is the demand for your product or service growing, remaining static and reputable?

The market’s population is growing. The demand of it is also growing.

3.Is the product or service safe and reputable?

Yes. Our foods, beverages and service are safe and reputable.

4.  How many years has the franchiser been in operation? Does it have a sound reputation for honest dealings with franchisees?

It’s been around 10 years the Nanyang Kopitiam in operation. Of course it sounds good reputation for honest dealing with franchisees, that’s why I trusted the franchiser and being a franchisee.

5. How many franchise outlets now exist? How many will there be a year from now? How many outlets are company-owned?

Now already have 13 outlets and the number of outlets will be keep increase. It’s about 6 outlets are operating more than a year. Nanyang Kopitiam only have one outlets is company-owned. 

6. How many franchises have failed? Why

No. Nanyang Kopitiam businesses statement is stable.

7.Will the franchiser offer you exclusive distribution rights for the length of the agreement, or may it sell to other franchises in this area?

Yes, I do have right to sell to other franchises but I can’t change any of the statement that stated in the agreement. 

8. How risky is the franchise opportunity? Is the return on the investment consistent with the risks?

Actually there will always have risky in running any own business or get franchisees. Yes, the return on the investment consistent with the risks. It may influence the profit and investment.

9.Are you pleased with your investment in this franchise?

Yes, the experience I have gained from this is much more important than the profit I have earned and of course I do have earn profit through this investment.

10. Has the franchiser lived up to its promises?

Yes.

11.What was your greatest disappointment after getting into this business?

No.

12. What are your biggest challenges and problems?

The biggest challenge for me is time management because I am really busy.

13.How much money are you making on your investment?

Sorry that I can't tell you the specific amount but I am satisfied.  

14.What do you like the most about being a franchisee? Least?

I like the most is I can sell my favor foods in the shop. I need to arrange my time in order to manage the shop.

15.  Knowing what you know now, would you buy this franchise again?

Probably I will buy this franchise again.

16. Will the franchise perform a location analysis to help you find a suitable site? If so, is there an extra charge for doing so?
Yes, they will perform a location analysis to help us find a suitable site and there is no extra charge.

17. What facilities and equipment are required for the franchise? Who pays for construction? Is there a lease agreement?
We do sign a agreement and sorry for I can't tell you in details.

18. What is the total cost of the franchise? What are the initial capital requirements? Will the franchiser provide financial assistance? Of what nature? What is the interest rate? Is the franchiser financially sound enough to fulfill all its promises?
Sorry I can't  tell you in details about it. Because it is company secret.

19. How much is the franchise fee? Exactly what does it cover? Are there any confinning fees? What additional fees are there?

The investment is based on the business grow at the moment, as for me my investment on that time is 30 thousand per year and I have to sign the agreement again after one year.

20. Is there a franchisee advisory council that represents franchisees? 
Yes. They do have a franchisee advisory council.