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1. Selection criteria

(1) Agreeing with the company philosophy including corporate culture and development planning of JOROTO
(2) Experienced in retail and e-commerce management
(3) Possessive of team sharing mechanism
(4) Possessive of solid financial strength and business credit
(5) Dedicated person for the JOROTO project
(6) Possessive of remarkeable capacity for team management
(7) Possessive of good local distribution channel



2. Store planning

Online: franchised stores
Offline:
① Experience shops
② Malls and counters of department stores
③ Home furnishing stores
④ Golf clubhouses
⑤ Automobile 4S shops
⑥ Upscale clubs, airports and star hotels



3. Processes for becoming a franchisee


Application
1. Filling in Franchisee Application Form
2. Submitting attachments
Copy of legal representative’s ID card (both sides of ID card with clear ID card number)
Plans of pre-selected storefront (signage and indoor layout)
Pictures of pre-selected storefront (pictures of signage, indoor layout and the street where it is located)
Lease contract of storefront (the contract life should be more than one year)

Provincial-level agent
Carrying out field inspection and writing comments and signing for all potential franchisees.

Regional manager
Carrying out field inspection and writing comments and signing for all potential franchisees and submitting all data in the form of electronic documents (including scanned copy).

Marketing department
Providing sample list of franchised outlets, writing comments and signing after sorting and checking data of franchised outlets, and archiving data in later phase.

Brand management department
Checking, writing comments and signing, designing drawing, displaying products, distributing properties and guiding during the process in accordance with the sample list provided by marketing department.

General manager of marketing
Writing comments and signing.

Marketing department&brand management department
Brand management department confirms the delivery time of design drawing in accordance with time, customer’s requirement and schedule provided by marketing department. After accomplished by franchisees, design drawings will be distributed to dealers who tend to join in by marketing department.
PS: franchised outlets must get regional manager’s confirmation in the field during and after decoration, and get the sign for qualification of regional manager before opening.

Dealers intending to become franchisees
Upon decoration in accordance with JOROTO’s standard the franchisee may start business once it passes the acceptance inspection.



4. Classification of stores



5. Area requirment for opening shops




6. Reward support
Conditional rebate of each quarter: giving 1-5% rebate according to the rates of target completion.

7. Materials support
Two percent of amount cashed of headquarters’ consignment is given as materials support (headquarters and dealers assume half of the amount respectively). Materials support can be distributed according to the ratio after reconciliation on the 5th day of every month, among which 1% will be distributed according to company's requirement and the other 1% will be distributed according to dealers’ requirement or it can be allocated by dealers and be used in marketing promotion or terminal promotion. Dealers who tend to allocate it by themselves must submit relevant vouchers to marketing department of headquarters for assessment and verification one month in advance.

8.Accessory support
Two percent of amount cashed of whole consignment is given as accessory support. It is dispatched for free within the limit every month, and the excess part of that month shall be paid according to actual costs. If the limit has not been reached, the balance part will be taken as dealers’ payments for goods.

9.Data provided by dealers
① business license, tax registration certificate and copy of identity card of dealers
② financial data of dealers like bank credit rating data and balance sheet
③ franchisee application form




 
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