FloorSand UK Franchise Agreement Document

This Agreement is made on the day of 2010 between

FLOORSAND UK LIMITED &THE FRANCHISEE

1. Definitions

In this agreement the following words and or expressions shall hereinafter have the meanings set out below:-

1. “The Company” means FloorSand UK Limited.
2. “Territory” means the area defined in Clause 3 i) of this Agreement.
3. “Business” means the individual business carried on by the Franchisee in accordance with this Agreement.

2 This Agreement is the license granted by the Company to the Franchisee and will commence on the above date and will remain in force for a period of 5 years and after which time is renewable unless it is otherwise terminated pursuant to the terms and conditions hereafter provided.

3. Appointment

1. The Company grants this license to the Franchisee in the territory of:_ subject to the terms and conditions of this Agreement
2. The Franchisee shall be entitled to use the name ‘FloorSand UK Ltd‘ in all advertising, logos, promotional materials and stationery but shall not use the name for the purpose of obtaining credit or issue invoices or to bind the Company in any way.

4. Franchisee Obligations

1. The Franchisee agrees to use their best endeavour to promote and extend the name of the Company within  the Territory.
2. The Franchisee agrees to carry out all refurbishment to the Company standard as determined in the Operations Manual supplied.
3. The Franchisee agrees to purchase all refurbishment products and materials and all replacement equipment / parts from the Company.
4. The Franchisee agrees not to employ staff or subcontractors that have not undergone and satisfactorily passed the Company training course nor use any vehicle that is not supplied and equipped by FloorSand UK Equipment Ltd.
5. The Franchisee agrees to subscribe for at least one telephone line and a mobile phone connection and use such line for conducting the Business and inform the Company before commencing the Business of all telephone numbers.
6. The Franchisee agrees to use the dedicated telephone answering and online diary service, details of which are contained in the Operations Manual.
7. The Franchisee agrees to maintain his individual online customer database and enquiry log, full details of which will be covered by the Company in the training courses provided.
8. The Franchisee agrees to use only the stationery, invoices, equipment, signs, uniforms and products which are supplied by the Company and thereafter to order via the suppliers stipulated by the company and to the required specification.
9. The Franchisee agrees not to carry on the Business in any other location other than the Territory without the consent of the Company.
10. The Franchisee agrees to monitor the equipment used in the Business to ensure that it is all maintained in good working order and a clean condition in accordance with the guidelines set out in the Operations Manual in this regard. With this, it is agreed that all machinery is serviced at periods specified by the company and by the servicers specified by the company.
11. The Franchisee agrees to use the the Company Trade Mark solely for the operation of the Business and only in advertising the Business within the Territory during the Term of this Agreement.

5. The Company Initial Obligations

1. The Company agrees to fully equip and sign-write the Franchisee’s vehicle.
2. The Company agrees to supply with the initial starter pack, including lacquers, abrasives and associated materials, uniforms, general tool kit, health and safety package, introduction to accountant, introduction to insurance company and banking introduction.
3. The Company agrees to train the Franchisee and their nominee in all aspects of floor sanding both at the Company premises and in the field. This includes training on floor sanding, abrasives, lacquers and stains, pricing and sales methods. The Company also agrees to accompany the Franchisee and/or his nominee to the first three jobs secured, in order to provide support and assistance. Further visits can be arranged at the cost specified in the Terms and Conditions.
4. The Company agrees to train the Franchisee in administration and marketing of the business prior to the commencement of trading. This includes training in responding to enquiries, maintaining accounts, in-house administration and advertising.
5. The Company agrees to train the Franchisee in all aspects of Health & Safety required for operation of the Business.
6. The Company agrees to supply all refurbishment products and other materials required for carrying out the business within 14 days of receiving payment and written confirmation; other than those the Company products and materials included in the initial starter pack.
7. The Company agrees to supply an initial stock of marketing material i.e.: leaflets, price lists, online web listing, website, brochures and A-boards (if an excessive amount is requested these will be charged at cost).
8. The Company agrees to supply the Franchisee with a copy of the Operations Manual for the Term of this Agreement, together with instruction videos.
9. The Company agrees to supply the Franchisee with online access to the company legal documentation, including Health & Safety Policy, Quality Management Policy and Environmental Legislation Register, as may be required from time to time.

6. The Company Continuing Obligations

1. To supply all refurbishment products, associated materials and machine servicing at all times during the continuance of this Agreement. Costs for these are detailed in the Operations Manual and will remain the same for a minimum of one year from the date of this Agreement. All materials used are to be purchased from the company (their approved supplier) via the company or company website. The Franchisee will receive these goods at the discount already awarded to the company.
2. To provide the Franchisee with advice, know how and guidance in relation to the promotion of the business and maintaining a high standard of refurbishment.
3. To provide the Franchisee with updates to the Operations Manual from time to time containing details or any alterations or improvements to the Business.
4. To provide the Franchisee at the Franchisee’s expense with stationery, invoices, contracts and other documentation for use by the Franchisee in the Business.

7. Marketing

1. The Company will assist the Franchisee with ongoing development of the business.
2. The Company agrees to pass on all enquiries gained via national advertising that are within the designated territory of the Franchisee or as near to as possible in the case where an enquiry is received from an area not covered by another FloorSand UK franchisee.
3. The Company are not prepared to assist the Franchisee in development where customers are lost through neglect or poor work standards.

8. Initial payment and ongoing fees

In consideration of the right to operate as a FloorSand UK Ltd Franchisee it is agreed that:-

1. The Franchisee will pay to the Company £14,950.00 Plus VAT whereupon The Company will provide the Franchisee with the goods and services as contained in this Agreement.
2. The Franchisee agrees to pay the Company 10% of all receipts from all refurbishments gained.
3. All receipts are payable 7 days after the completion of the Contract and copies of all receipts must be forwarded to the Company with payment.
4. A copy of all Contracts gained must be forwarded to the Company prior to commencement.

9. Terms of Business

1. All orders made to the Company from the Franchisee are on a proforma basis unless there is an alternative written agreement.
2. The Franchisee is responsible for insuring the vehicle and tax (apart from any tax inclusive when purchased from the dealer), equipment and public & employee liability.
3. Credit given to customers is not the responsibility of the Company nor can it be used to off set payment due to the Company.
4. All goods and services supplied by the Company are subject to VAT.
5. The title to any consignment of goods shall not pass to the Franchisee until the Company has received payment in full the price there of.

10. Assignment

This Agreement is personal to the Franchisee who may not, without the Company’s prior written consent

1. Assign or dispose of it
   (This will not be unreasonably denied).
2. Part with any interest in it, or grant and Lease or License or delegate any of the right conferred by it.

11. Termination on Default

The Company may, by written notice, terminate this Agreement or suspend its performance of all or any of its obligations under it, immediately and without liability for compensation or damages, if:-

1. The Franchisee fails to comply with any of its express or implied obligations under this Agreement or any Agreement supplemental to it and the failure (if capable of being remedied) remains unremedied for 7 days after being brought to the attention, by written notice from the Company.
2. In the event of the dispute not being settled the Company reserve the right to request that the Franchisee ceases trading, under the name of the Company, the Company would not object to an independent arbitrator resolving the dispute.
3. Repeated complaints are made to the Company by a customer or any other body for neglect, poor workmanship or non compliance with our Terms and Conditions.

Please insert your name in the signature field below to verify that you are the person named above and that you understand and consent to to conditions shown in this agreement, then please press submit to forward your agreement to FloorSand UK for processing.

Alternatively you can download, print out and sign the Franchise Agreement and post it to:

194 Courthill House
Water Lane
Wilmslow
Cheshire
SK9 5AJ