How did Kcal start?

Founded in 2010 and headquartered in Dubai, Kcal Healthy FastFood is the brain child of two passionate and ambitious entrepreneurs, Mark Carroll and Andreas L Borgmann.

After leaving the gym one evening, there was just one thing on their minds – food – but they were at a loss for options given that all around them were regular fast food chains, lacking nutritious,healthy, calorie-controlled menus.

Typically, such chains offer meals containing up to a massive 800 often empty calories, which makes up more than half the daily recommended allowance in just one meal. A good old light bulb moment followed and the Kcal seed was planted.Since then, Kcal has enjoyed phenomenal success in the UAE. In Dubai alone, there are six thriving branchesas well as our other divisions including Kcal Extra and Kcal Catering.

Kcal offers more quality, more goodness and more nutrition in an all-encompassing delicious menu. Stereotypical healthy eating options such as salads, wraps and sandwiches are replaced with firm favourites from throughout the world but cooked with healthy ingredients and healthy cooking methods.Today, Kcal is more than just a foodie company.

Kcal embodies a lifestyle that caters for all those who want to eat well and feel good about themselves. Fast food needn’t be boring or restrictive. Quite the opposite because with Kcal, you don’t need to sacrifice the food you love to be healthy. We’re passionate about conveying this message, which lies at our very core.

What type of franchise agreements are available?

There are three types of franchise agreements on offer.

Offer 1 – Single unit (Applicable in UAE only)

The Single Unit Franchise Agreement gives the franchisee the right to operate a single restaurant in a predetermined location.

Offer 2 – Area Development Agreement

The Area Development Agreement gives the franchisee an exclusive right in a predetermined area. This right will have an agreed upon minimum number of restaurants that have to be opened in a specific time frame. Should the franchisee be able to open additional restaurants within the area specified in the Area Development Agreement they will be able to do so. The franchisee does not have the right to sub-franchise within their area development territory.

Offer 3 – Master Development Agreement

The Master Development Agreement gives exclusivity in a territory to a master developer. This would typically be an entire country. The Master Developer will have rights and obligations set out in their agreement that may include the right to sub franchise. The Master Developer will also be required to provide ongoing support to the sub-franchisees within the Master Development territory.

How much does the franchise cost?

  1. Single Unit – ranges from USD 250,000 – USD 450,000 (USD 340,000 on average). This includes franchise fees and training (UAE Only)
  2. Area Development – including the CPU (Central Production Unit) ranges from USD 685,000 to USD 1,130,000 (USD 910,000 on average). This includes the Area Development Fee plus the initial franchise fee for the first unit

What are the franchise fees?

The fee is based on the level of support Kcal intends to provide to its franchisees

  1. Individual Franchise Fee (Single Unit) – USD 30,000 (UAE Only)
  2. Area Development
    • Area development fees to be determined based on the number of outlets to be opened in the desired region. The area development fee will support training, hiring support, CPU planning, launch support and further planning.
    • Each Single Unit fee for Area Developer – USD 25,000

What is the fee for continuing support services?

The continuing services or ‘royalty fee’ is 6% of monthly gross sales. This fee entitles you to the use of the Kcal service mark, the use of distinctive systems andongoing business development support amongst other benefits that come with being a Kcal franchisee.

Will I have an exclusive territory?

Kcal grants an exclusive territory base when an Area Development Agreement is concluded. The minimum number of units agreed to is established after a detailed business study has been completed and is agreed upon on a case-by-case basis.

What about advertising?

The Kcal name and reputation is an important part of our business. You will spend at least 2% of your gross sales per month on local advertising. In addition, if we should establish a Marketing Fund, you will be expected to make Marketing Fund contributions of up to 2% of your monthly gross sales.

How much training is provided in the Kcal system?

The training is provided in phases before, during and after the opening of the restaurant.

Phase I

Training is provided at our company headquarters or a location designated by Kcal. It is expected that Kcal franchisees will receive approximately 10 to 30 days of initial training,commencing approximately 6 to 9 weeks before the franchisee is scheduled to open for business. Phase I instruction will comprise administrative, operational, sales, marketing and on-the-job training and will be provided to the franchisee and up to three designated attendees.

Phase II

Training takes place at the franchisee's location. On-site training typically takes place when the franchisee commences operations and entails experienced trainers from Kcal assisting the franchisee for between 15 and 30 days to assist them in the commencement of operations.

What is the term of the Kcal franchise systems franchise agreement?

The initial term of the franchise agreement is five years from the date of signing. The franchise is renewable for five additional terms of five years each with no renewal cost from the initial franchise fee, providing the provisions of the franchise agreement have been adhered to.

What is the support provided by Kcal?

In addition to field support, members of Kcal provide the services listed below:

Operational Support

The Kcal Management Team will provide ongoing training and support in many areas critical to the success of the franchisee's business, including unit operations and maintenance, customer-service techniques, product ordering, suggested pricing guidelines and administrative procedures.

Site Selection

Prior to approving a site for a Kcal outlet, Kcal Management will provide franchisees with clear guidelines for a suitable location. Kcal will require franchisees to follow these instructions to ensure that an appropriate site is located.

Marketing Support

Kcal Management will coordinate the development of advertising materials and strategies for the benefit of all members of the franchise network. It will also supply franchisees with consumer marketing plans and materials for use at the local or regional level, and retains the right to approve all local advertising materials that the franchisee chooses to develop.

Purchasing

Kcal Management or its affiliate will negotiate quantity discounts on behalf of all of its members, passing some or all of these savings on to the franchisees where possible.

Accounting/Audit/Legal

This department supports and oversees the financial and legal aspects of franchisees.

Internal Support

The functional areas of training, purchasing, franchisee communications and research and development are typically included here.

Ongoing Research and Development

Kcal’smanagement team will continue to research methods and techniques for franchise operations (including purchasing and promotional schemes) that enhance unit-level profitability.

Overall Program Oversight

Kcal’smanagement team will provide the overall coordination and planning for the Kcal franchise system.

What is my next step?

Simply complete and return the Kcal Franchise Application Form. We will be in touch with you to confirm receipt and evaluate your application thereafter. If you have any questions in the meantime, please feel free to contact us at:

Kcal International Limited
ATTN: Franchising Department
P.O.Box 391150, Dubai, UAE
Tel: 00971 4 434 4111
Email: franchise@kcalworld.com

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