2nd Take Franchise and Business Opportunity overview

2nd Take Franchise and Business Opportunity overview

Being a 2nd Take Franchise Partner offers many advantages, from training and support to the opportunity to own a potentially thriving and successful business and to actively benefit from the power of the 2nd Take brand.

1. Brief History of the 2nd Take Fashion Franchise Group

 2. 2nd Take Franchise and Business Opportunity

 3. Requirement of future 2nd Take Franchisees

 4. What 2nd Take provides as Franchisor

 5. The Application process

 6. Franchise cost

6.1.    Funding

6.2.    Set up costs

6.3.    Joining fee and ongoing franchise fees

For more information on our low risk Fashion Franchise, please e-mail franchise@2ndtake.co.za and we call you back.

 

1. 2nd Take’s Fashion Franchise History

2nd Take is a high-end second-hand clothing Franchise, specializing in international designer brandsfrom Armani to Zara. Our Fashion Franchises benefit from the risk free selling of consignment stockand our unique business set up.  Our first 2nd Take store opened its doors in June 2010 and started offering exclusive international labels, which we sell at a fraction of the normal retail price, every day!

2nd Take has boutique stores in the Western Cape and Gauteng, as well as a convenient online shop. Many of our labels are not available for purchase in South Africa and we also source specific items for our customers. We offer designer clothing for women and men.

2nd Take clearly differentiates itself from other clothing stores. 2nd Take has a clever location and stock strategy, focusing on a mix between high, medium and low income groups and areas.

Most fashion retailers are reporting below inflation or even negative growth, but 2nd Take had solid growth over the previous years. The reason for this is fairly obvious: 2nd Take is based on a real win-win business concept.

  • Our suppliers win, as they get money back for the items they previously bought
  • Our customers win, as they get amazing, authentic designer wear at a fraction of the retail prices
  • We offer a boutique style shopping experience
  • Various Charities benefit, as we support them with monthly clothing donations
  • The environment wins, as we reduce the human footprint a little – Fashion pollutes like everything else

Currently our brand has no comparable competitor in our business field and we fill the market gap fully.

2nd Take Franchises are 100% compliant with all requirements of the Franchise Association of South Africa

2. The 2nd Take Franchise  

For 2nd Take, Franchising is a very important and successful business strategy to grow our second-hand retail store network. There are many chain stores attesting to this in Europe and the United States. However, we are the first second-hand franchise group to make this exciting and rewarding business model available in South Africa.

Our expertise, experience, good image, creativity and support, combined with the willingness, dedication and corporate ambition of our Franchise Partner are vital in the success of establishing a 2nd Take Franchise.

Please give 2nd Take’s Franchise opportunity careful consideration to establish if you are suitability for one of our franchises.

 

3. Our requirements to a future Franchisee

  • Business Skills, integrity and professionalism
  • An entrepreneurial spirit and the desire to bring this Franchise to success
  • Excellent interpersonal and leadership skills as well as financial management skills
  • The willingness to devote full time and your best efforts to the day to day operation of the 2nd Take store as a hand on and on-premises franchisee
  • A passion for fashion and people, as well as a positive outlook to drive the growth of your store as well as the growth of the 2nd Take brand
  • The willingness to complete the 2nd Take Training, which can last from 2, up to 6 weeks
  • Excellent employment record
  • The ability to meet the financial requirements
  • The ability to open up to three stores within a 1 year period, depending on the chosen franchise

 4. What you will gain from 2nd Take

2nd Take Headoffice - Franchise and Online Shopping

Being a 2nd Take Franchise Partner offers many advantages, from training and support to the opportunity to own a potentially thriving and successful business and to actively benefit from the power of our brand.

  • A chance to have your own business and the rewards that come with it
  • As a 2nd Take Franchisee, you are in business for yourself, but not by yourself
  • The enjoyment that comes from working with great fashion brands and people
  • A business with low start-up costs, a proven business concept and good brand recognition throughout South Africa
  • A business where your suppliers become your customers and your customers become your suppliers
  • A recession proof business – especially in economically tough times customers and suppliers alike come to us in increasing numbers
  • 85% of 2nd Take customers become repeat customers
  • The tools and support, that will help make your 2nd Take store a success
  • 2nd Take’s ongoing and unlimted support in the areas of operations, training, advertising, marketing, purchasing  and equipment
  • Personal satisfaction as an individual owner and member of the 2nd Take organization

2nd Take’s philosophy includes an open exchange of ideas between 2nd Take and its Franchisees. Our business relationships are built on trust, mutual respect and partnership.

 5. The Application process

Submitting an application to 2nd Take is the first step in the application process and does not obligate the potential Franchisee or 2nd Take in any way.

  • A non-refundable administration fee of R2 000 is payable upon submission of your application form. This fee will be used for general administration costs, as well as for obtaining the necessary financial, personal, employment and criminal background checks. Should more background checks be required the cost thereof will be borne by you.
  • Should your application be approved, you will be offered a franchise for a specific location
  • You are required to sign a non-disclosure agreement and to complete full time training, which generally is no longer than two weeks (depending on your level of skills and understanding)
  • You must be prepared to carry all the applicable costs, including flights and accommodation. You will need to be financially self-sustainable for the duration of the training.
  • Should you not be able to complete the training successfully and are found to not be able to meet the job requirements during the training, 2nd Take, in its sole and absolute discretion reserves the right to terminate the franchise agreement.
  • 5% of the paid franchise fee will be retained by 2nd Take should the Franchise Agreement be terminated due to you failing to complete the training to 2nd Take’s reasonable satisfaction.

All costs associated with the completion of the application are solely for your account.

6. Franchise costs

 The costs of a Franchise can vary and can only be determined once an individual Franchise is offered. Influencing factors are: size of the store, landlord contribution, location, equipment, signage and security.

6.1   Funding

  • 2nd Take offers a Conventional Franchise format only, where the Franchisee must pay 100% of the total cost of a 2nd Take store from personal resources.
  • You will need 50% of the purchase price in unencumbered, non borrowed cash. These funds can be in the form of cash, shares or immovable property (at 80% of the valuation, less outstanding debt), but cannot include movable property or insurance funds.
  • Absentee Investors are not allowed.

These 50% of investment funds are before any other borrowings or financing and can come from the following sources:

  • Free, unencumbered cash
  • Tangible securities

o   Registration of a second mortgage bond over the unbonded portion of fixed property

o   Fixed deposits

o   50% of the value of equities or unit trusts ceded

Other business interests must be disclosed and detailed and are discouraged.

 

6.2 Initial store set up costs

Depending on the region you will need to open your 2nd Take store within 6 months of signing the Franchise Agreement.  The store set up costs are in the region of R140 000 to R170 000, excluding training and operational costs. These costs depend on the condition of the site and the landlord’s contribution.

 6.3   Joining fee and ongoing franchise fees

Joining fee:

The Franchisee joining fee is R70 000 per store.

 

Ongoing fees:

Franchise fee: 5% of monthly gross revenue, with a minimum of R3500 payable per month

Marketing fee: 2% of monthly gross revenue, with a minimum of R1000 payable per month

To successfully operate a 2nd Take store and Franchise, requires total commitment and lots of hard work. You will need to show determination and staying power and give up lots of your personal time and concentrate exclusively on the challenge of running a 2nd Take store.

2nd Take is the largest and leading consignment second-hand clothing retail Franchise Group in South Africa with boutique shops in Cape Town and Pretoria, as well as a convenient online shopping option.

2nd Take stocks exclusive designer brands and high street labels, often not available for purchase anywhere else in South Africa. For information on our unique and outstanding designer second-hand clothes, please send your e-mail to info@2ndtake.co.za.
For more information on our low risk Franchise Options, to request our 2nd Take Franchise Disclosure Document or to apply for one of our low cost Franchises, please send your e-mail to franchise@2ndtake.co.za and we will call you back.
2nd Take is a member of FASA, the Franchise Association of South Africa.