Question:

In contemplating our strategic growth plan the company believes that although franchising has been extremely successful licensing offers the individual store owner a much better opportunity for success in both the short and long term.

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Most franchises charge a flat daily fee of the gross sale that the franchisee attains. For example purposes using a 8% daily franchise fee based on a normal gross of $300,000 per year. A first year franchisee will pay $24,000. He or she will be denied the use and benefit of the cash flow of that $24,000, which on a daily basis i.e. 8% will be withdrawn from their checking account electronically. The 8% does not sound like much to the inexperienced business novice. In actuality a business owner with experience understands and identifies with the huge amount the 8% fee represents of gross revenue before any expenses whatsoever. Compare this with Beyond Juice's nominal (proprietary license fee).

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Beyond Juice Inc. charges a yearly license fee which has nothing to do with gross sales revenue. At present, the fee is paid just once a year. The licensee is permitted the use and benefit of the funds for the whole year. No matter how much gross revenue is achieved.

Although figures are proprietary, an average store owner based on the hypothetical example above would save over 60%. The new store owner therefore requires less working capital and maintains a much more viable business.

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Some franchises such as McDonald's offer their "University." Beyond Juice believes in the term "OJT." On the Job Training.

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It just so happens that many of our store owners have already achieved a successful life style. They have children, families, other responsibilities. To disrupt their normal every day activities, to be sent out of town for a 2 to 3 week intensive training session would create a great hardship. Beyond Juice comes to you. We arrange our schedule to provide the necessary foundation for you to build a successful operation. We assist in selecting wholesale suppliers, hiring and training of the personnel, handling and establishing protocol, merchandising, the whole scope. If we fail to train you properly, then how can we expect you to function in your new endeavor. Each and every store owner represents a satellite. A living, breathing entity that is ingrained in our corporate culture.

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Location is probably the area that Beyond Juice excels in more than any. Beyond Juice Inc. utilized the services of the company's founder to effectively, not only to find a suitable location, but to engage in each and every one of the multiple proprietary steps to provide a location as close to perfection in this area.

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Beyond Juice Inc. has established a set of criteria. An applicant must complete a 4 page application and write a personal letter of why that individual feels that this opportunity is what they have been looking for. The letter is the most important part of the application. It is meant to establish the individual's own aspirations, goals and outline for what they are going to contribute. Beyond Juice matches their profiles to what the company is looking for and make the decision as to award a license or not.

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Location, location, location. Financing, capital requirements, architectural design, construction, capital equipment, lease hold improvements are all part of the process. Each one of these venues must be dealt with, performed and accomplished in order to provide a satisfactory conclusion. Normally, 90 to 180 days or longer.

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