| History Background |
| What is this franchise all about? | This is an Airtime Direct Discount enterprise designed to create sustainable jobs and new careers. Currently South Africa has some 14,700,000 cell phone Users on the MTN, Vodacom, Cell C, Telkom & Eskom networks. Out of this group 90% or an estimated 14,960,000 people use pre-paid services. Our system provides you the technology for you to claim a portion of this billion Rand a month cash industry. Franchisor will supply you with mobile GPRS enabled terminals providing real time, on line connection to a back office system which is designed to dispense pre-paid vouchers for cell phone airtime & pre-paid electricity. We are able to purchase bulk Airtime & pass these discounts on to you. | |
| What are the benefits of these portable terminals? | Each terminal is made from robust plastic casing which is fitted wtih a waterproof keypad with positive click action for easier operation. It operates for an entire day on just one charge (200 transactions). Provides PIN and PINLESS security. Your stock is stored in the system, not the terminal which means no risk of stock theft or redundant stock. Included in this franchise is a branded scooter for the sale of cell phone accessories. | |
| How will I be able to keep track of all my daily sales ? | The system is designed to enable you to administrate and manage your business. Your Terminal is connected to our Server via cellular GPRS communications. This enables us to provide you an up-to-the-minute profile of your Airtime Sales business. This includes a complete accounting record of all Airtime sold and a statistical analysis of your sales initiatives. All management records of transactions & sales value, use of airtime & other statistical information being made available via your Terminal or by connecting your PC on Internet to our secure Server & using your Username & password to access your daily, weekly & monthly sales data. | |
| Present Market |
| How will this franchise operate on a daily basis? | The Terminal is connected via cellular data network (GPRS) to our Server. This enables complete management control over the use of the Terminal & associated sales. Our Terminal does not require the use of a telephone line or have to dial up (usually at your cost) the service provision computer system. Our Cell-Time Mobile Terminal enables both walk-about Vending & Countertop operation. Simply select the Airtime Service Provider requested by the customer & input the Value of Airtime required. In less than 4 seconds the transaction is completed with the production of a paper receipt showing the recharge PIN number & other essential transaction data. | |
| Financial |
| What are the projected figures? | Projected net profit is at R58 729 per month. Cash flow projections are on file and are based on the first month starting with 20 terminals and at the end of the first year having 120 terminals in the market place. Monthly expenses are only R33 659 which includes owners drawings. | |
| Staffing |
| How many staff will be required? | This depends entirely on how you wish to operate. You could simply rent the terminals to business owners, i.e. at supermarkets, bottle stores etc. or you could employ staff members to go out and find clients at taxi ranks etc. A driver will need to be employed for the scooter - cell phone accessory sales. | |
| Premises |
| What premises are required? | No premises are required - this is a work from home business. You will either rent out your terminals to business owners or have sales staff out in the market place with the mobile terminals. | |
| Assets |
| What assets will be included in the franchise? | You will receive the following assets :- Pre-Paid Management Software setup; Air Time Demo unit; Portable terminal stock; cell time promotional materials; pre paid airtime stock; managment software training; paper rolls, ribbons, ribbon re-inking; website hosting, branded scooter | |
| S.W.O.T. Analysis |
| Strengths? | Portable business. Option to just rent out terminals to local businesses or have sales staff on the road. Good footprint in South Africa with 10 Franchises operating in the market place. | |
| Weaknesses? | None identified | |
| Opportunities? | To build upon your client base | |
| Threats? | Other pre-paid airtime distributors | |
| Reason For Sale |
| What is the reason for the sale? | The owner is now looking to franchise his proven business concept after 6 years of successful operation. | |
| Conclusion |
| Why is this a good business? | This is a good business for various reasons. Work from home, option to just rent out your terminals. Clients can buy pre-paid airtime 24 hours a days 7 days a week. You will never have old or outdated stock. Minimal threats with regards to theft as all airtime is stored on the Franchisors server. | |
| What is the price plus stock and the net profit? | Priced at R238 458 including vat. This mandate has been based on 20 mobile terminals being purchased along with one scooter which comes complete with cell phone accessory stock. | |