TAPAWARMA

   FRANCHISING  KIT  
I. Who is Tapawarma ?

Definition:
“Tapawarma “ is derived from the words “Tapa” which means dried, marinated meat, one of Pinoy’s all time fave food and
“Shawarma”, meat that is marinated, cut into slice, often wrapped in pita bread and served with various vegetables and sauce.
In short, Tapawarma is the newest Pinoy version of Shawarma, using Tapa as the main meat.

Company Profile:
Tapawarma is one of the newest trademarks of Juan Aerufe International Corp, main office located in 97 Molino Rd
Aniban 3, Bacoor (you may google us), just launched last December 2017 and now growing to more than 30 branches in less
than 12 months. They are the makers of Senyor Juan Suman Latik 3 years ago now with more than 15 branches inside and
outside mall.

The Company started last 2014 as IT COMPANY offering Digital Marketing and Website/Business Software Development
to small, medium, big brands nationwide. Until the company decided to build their own brand and entered food business
since their President is a certified Chef himself, pushed to pursue his love for food, added his knowledge in Marketing and
Business Operations to make these brands successful.

Juan  Aerufe  International  Corp  

JuanCloud  IT  
Senyor  Juan   Business  
Suman  Latik   Tapawarma   Senyor  Aqua  
Solutions  

Vision and Mission as Tapawarma :

To be the No. 1 Tapa On-the-Go in the Philippines within 5 years, and be known worldwide within 10 years.

Note: if you want to be part of this mission to go big with us, rain or shine, fully committed, then you may join our family.

Company Core Values

To  Ourselves:  Prioritize  others  first,  before  me.  (Proverbs  19:17)  
To  the  Company:  Two  are  better  than  one.  (Ecclesiastes  4:9)  
To  Defeat  Anger:  Soft  answer  turneth  away  wrath  (Proverbs  15:1)  
To  Succeed:  Ignorance  is  ‘not  an  excuse’  (Proverbs  5:23)  

II. What is Franchising?

Franchising is a business relationship in which the franchisor (the owner of the business) grants to independent people (the
franchisees) the right to market and distribute the franchisor's goods or service, and to use the business name for a fixed period of
time.
It is a "continuing relationship”, mutually beneficial for both parties in which the
• franchisor enjoys the fast growth of their brand by providing a licensed privilege to the franchisee to using their PROVEN,
LOW-RISK SYSTEM, in exchange of
• franchisee’s promise to consistently follow the brand’s system ensuring that the brand’s mission within the area will be
accomplished with an equivalent risk (if not properly handled) or reward (if managed with due diligence). Franchisee enjoys
the benefits of “short cut” in spending more money, time, risk, effort in managing and marketing and accounting from
building their own brand, by getting and buying a FRANCHISE SYSTEM with a certain price, called franchise fee.

This is why a franchise applicant should STRONGLY CHECK if the franchise system from a franchisor they are buying has
the following:
1. Strong TRAINING system – this is crucial, it is the knowledge and information why a franchisee buys the
franchise system, not just the brand items they are selling at the store. Knowledge should be transferred by a
professional trainer to the new franchisee, with strong conviction and quality. Information such as:
a. Accounting and Finance, Cash Flow
b. Store Management and Operations
c. Employee Management
d. Inventory Management
John 6:35
Then Jesus declared “ I am the bread of life. Whoever comes to me will never go hungry, and whoever believes in me will never be thirsty”
 TAPAWARMA    FRANCHISING  KIT  
e. Marketing
f. Product Knowledge
g. Legal and Admin
Note: Handling a store, even if it’s a simple cart or kiosk, needs to be managed properly in different areas. An
experienced Specialist or Professional and not just an ordinary trainor per Department is needed, to transfer the
knowledge to the new Franchisee and Service crew, before they open. It needs days for the training to fully
grasp all information. This is one of the factors where franchise fee goes.

2. Strong OPERATIONS System: these are the shortened techniques, trade secrets, quality operating procedures in
operating the store, perfectly fit for busy owners. Again, the knowledge and information on how to operate the store
in the most convenient, fast, cost and time-efficient is what the franchisee is buying, and not the normal procedure
done by ordinary stores, without proper quality check.

3. Sellable Items, Reasonable Price, Targeted Market

4. Strong Brand Reputation or at least have Strong Marketing Plan

5. Reasonable Profit Margin: this is very important. The reason why franchisee starts business, its because of the
profit. A good Profit Margin should at least have no less than 50%. Higher than that percentage is a good number.

6. Strong AFTER SALES Continuous Support.

John 6:35
Then Jesus declared “ I am the bread of life. Whoever comes to me will never go hungry, and whoever believes in me will never be thirsty”
 TAPAWARMA    FRANCHISING  KIT  
III. What makes Tapawarma different from other Franchising Business Model in the Market?
1) Product
• Brand Name: Our brand “TAPAWARMA ” speaks so loud, when they see us, we don’t need to explain it
anymore as TAPA AND SHAWARMA in ONE.
• Concept: Provide the most flavorful TAPA on-the-go (meaning fast service) in four or more different ways:
rice, wrap, noodle, wrap. Soon will launch other new item every 12 months.
• Product Development: every 12 months, to maintain excitement offer new items to our market
• Longetivity of the Product: tapa has been Filipino’s favorite and in fact one of the country’s specialty since
history, so in terms of its Longetivity, this one is a perfect fit – NOT SEASONAL!
• Market Demand: we offer RICE Tapawarma , 90% of Pinoys cannot leave without rice. Market Share is
high.
• Taste: Recipe from tapa til sauce is made directly by our very own Chef Senyor Juan himself. We don’t
buy from a third party company. We make our own! And yes, it’s yummy, juicy with a combination of
sweetness, saltiness, Filipino style Tapa.

NOTE: We don’t Sell PORK anymore. We will replace this to seafood instead.

2) Pricing
• Price starts at Php49 only PLUS FREE ICED TEA – super affordable without sacrificing the PROFIT of
the branch owners or franchisee.
John 6:35
Then Jesus declared “ I am the bread of life. Whoever comes to me will never go hungry, and whoever believes in me will never be thirsty”
 TAPAWARMA    FRANCHISING  KIT  
3) Profitability
• Even though SRP is affordable to our market, it didn’t affect your PROFIT MARGIN. In fact you enjoy:
o 40-50% profit for Main Items (from SRP)
§ This margin can survive for location inside Malls, in fact higher from other franchising
model.
o upto 70% profit for Add Ons (from SRP)

SAMPLE PROFIT AND LOSS COMPUTATION (numbers below are just the average, higher sales for locations
with higher unique foot traffic, specially for good spots inside mall or terminals)

MONTHLY SAMPLE PNL

Average Gross Sales (average Php10,000 day or Php300,000
169 main item servings, no add ons)
Cost of Sales 50% Php150,000 (50%)
Monthly Projected OPEX: (rent of 20k/month, 2 Php101,800 (34%)
full time crew manila rate, utilities, tax, marketing
FB Paid ads worth 15k/month(paid to Facebook
Directly) Royalty 5%, internet and communication
load, maintenance, Delivery Charge, Insurance,
Permits, Spoilage, Ops Supplies, Professional Fees,
POS fee)
Projected Monthly Profit Php48,200 (16%)

3-YEAR SAMPLE FINANCIAL PROJECTIONS YEAR 1 YEAR 2 YEAR 3

Php300,000/month Php360,000/month Php396,000/month
(Php10,000/day) (20% increase) (10% increase)
Yearly AVERAGE Gross Sales Php3,600,000 Php4,320,000   Php4,752,000  
Yearly Cost of Sales average 50% 50% 50%   50%  
Yearly Operating Expenses Php1,221,600 Php1,390,800   Php1,412,400  
Less 34% Less  32%   Less  29.8%  
Projected Net Profit per YEAR Php578,400 Php769,200   Php962,600  
(16%) (18%)   (20.2%)  
Projected ROI (from 525k All IN Package) More  or  less  11  months  
STAGES of Business Build  Up/  Start  Up  Stage   Growth  Stage   Established  Stage  
(most  critical  stage)  
Note: We do not guarantee that all numbers above can be reached by your future branch, these are just based on our
average existing branches as of now, without launching and without systems wide ads yet, meaning this is proven, and
can go higher after our launching. Success still depends on so many factors like location, accounting, crew and daily
operations management, your budget on Marketing. Also, keep in mind when you enter Tapawarma Business, or any
business, compute YEARLY and not monthly, not daily, this is why contract is 3years, you have 3 years to make the
most out of the investment and brand. Every month has different performance, there are peak months and lean months.
So always be ready. We will teach you anyway.

4) Packaging
• Instagrammable, classy and durable or grease proof

John 6:35
Then Jesus declared “ I am the bread of life. Whoever comes to me will never go hungry, and whoever believes in me will never be thirsty”
 TAPAWARMA    FRANCHISING  KIT  
5) Place of Store
• Store Design is very masculine, visibly accessible to our customers, where they get to enjoy and see how
we prepare our menus.
• Best placed anywhere, as long as it has foot traffic, our Brand Name itself. “Tapawarma ” speaks what we
offer.

CURRENT BRANCHES (from December 2017 – December 2018)

1. San Antonio Valley, Paranaque 20. Balibago Binan Laguna (Feb 8)
2. Bamboo Organ, Las Pinas 21. Angeles, Pampanga (next)
3. Aguinaldo Hiway, Imus Cavite 22. Monumento (Feb 15)
4. Manggahan General Trias 23. Molino, Bacoor Cavite (next)
5. Bulihan, Silang Cavite 24. GMA, Cavite (next)
6. Silang Cavite 25. Imus Cavite (next)
7. Zapote, Las Pinas 26. Koronadal, South Cotabato (next)
8. Binakayan Kawit, Cavite 27. Recto, Manila (March 8)
9. Tambo Paranaque 28. UST, Manila (March 15)
10. SouthStation Alabang, Muntinlupa 29. Shopwise Munoz Quezon City
11. Masbate, Bicol 30. PUP, Sta Mesa
12. Tower Mall Trece Martirez, Cavite 31. Fairview
13. Gaisano Tagum, Davao, Mindanao 32. Novaliches
14. Gaisano Buhangin Davao, Mindanao 33. Bacolod
15. Bay City Mall Batangas City
16. Lemery, Batangas (next)
17. Las Pinas (next)
18. Muntinlupa (next)
19. Calaca, Batangas (next)

6) Power to Sustain
• Tapawarma is using strong, proven system in operations, inventory, marketing and all areas in running the
store since the company’s main business is into Marketing and Software Development, hired by big brands
for their operations, but with Tapawarma , you enjoy these as part of your package directly from them. As
Franchisee, all you have to do is to understand and follow standard procedures – of course; LOCATION is
the main factor of your success aside from your management.

John 6:35
Then Jesus declared “ I am the bread of life. Whoever comes to me will never go hungry, and whoever believes in me will never be thirsty”
 TAPAWARMA    FRANCHISING  KIT  

7.) PROVEN Store Management System and Support

Tapawarma will be officially FRANCORP CERTIFIED by 2019, March to be exact for official launching.
Francorp is an international organization for Franchising, people behind successful big brands internationally.

Before  and  During  Contract  

Signing   Pre-­‐  Opening   Grand  Opening   3-­‐Yr  Operating  Period  

Location  Assistance  and   Consistent  Store  Visits  for  

Free  Orientation   Assessment   Store  Of`icial  Endorsement   Quality  Check  

Construction/Fabrication   Store  Dedication  and  

Food  Tasting   Assistance   Ribbon  Cutting   Store  Operations  Support  

Crew  Hiring  Assistance   Opening  Assistance    

Full  Explanation  of  the   (online  posting,  Contract   Continuous  Training  
Contract  Terms   (1  or  2  days)   Support  
and  memoTemplates)  

Government  Permits  
Step-­‐by-­‐Step  Pre-­‐Opening   Application  Assistance  
Procedure  Orientation   Admin  Support  
(orient)  

Supply  Management  System  

Project  Management   (NATIONWIDE-­‐READY)  

Business  Training  for  

Owners  (6  days)   Systems  Wide  Marketing  

Training  for  Employees    

(9  days)  

Ingress:  Delivery  of  Stocks  

and  Installation  in  
Preparation  for  Opening  

John 6:35
Then Jesus declared “ I am the bread of life. Whoever comes to me will never go hungry, and whoever believes in me will never be thirsty”
 TAPAWARMA    FRANCHISING  KIT  
II. How Much?
Choose the best option that suits you. Price will increase next year, once Francorp is done in developing our Franchise System. Though Tapawarma has a
system already, Francorp is in the process of making it stronger before our launching by March 2019.

Semi ALL-IN ALL-IN Package ALL-IN Package

Package MALL CART OR KIOSK NON MALL INLINE
Php349,000 Php485,000 COUNTER
(instead of Php375k) (instead of Php525k)
Php549,000
(Best Seller and Highly
(instead of Php599k)
Recommended)
60% During Contract Signing 50% During Contract Signing 50% During Contract Signing
Payment Terms 40% Two Weeks before 25% Once Location is Confirmed 25% Once Location is Confirmed
Opening 25% Two weeks before Opening 25% Two weeks before Opening
FRANCHISE FEE: Location Assistance, Business YES YES YES
Owners Training, Crew Training, 3 years Usage of Renewable after 3 years (50% Renewable after 3 years Renewable after 3 years
Tapawarma logo and other intellectual trade of the franchise fee during time (50% of the franchise fee during time of (50% of the franchise fee during time of
secrets and Proven System, Opening Assistance, of renewal) renewal) renewal)
Crew Hiring Assistance (online post) and Initial
Marketing Assistance
Initial Training for both Crew and Franchisee 9 YES YES YES
days before opening in Manila Office. If you prefer
training outside main office (airfare, hotel and food
for 3 persons for 9 days will be shouldered by you)
Uniform (4 sets) YES YES YES
YES YES YES
(for the first month subscription (for the first month subscription and Device) (for the first month subscription and Device)
POS Software and Device for Inventory and Device) Note: if mall requires, different supplier for Note: if mall requires, different supplier for
Management, Delivery Management, Real-Time Note: if mall requires, different POS, aside from our own supplier. Any POS, aside from our own supplier. Any
Sales and Cash Monitoring, Crew Attendance supplier for POS, aside from additional cost will be shouldered by additional cost will be shouldered by
Monitoring our own supplier. Any Franchisee Franchisee
additional cost will be
shouldered by Franchisee
Initial Food and Packaging good for 1 week
supply worth Php35,000 (could generate upto YES YES YES
Php70,000 Gross Sales) COD next order COD next order COD next order

Continues Training Support, Business Consultation

and After Sales Assistance YES YES YES
Required Initial Marketing & Opening Materials:
30pcs Tricycle Tarpaulin, 500 pcs fliers, 2 Pillars of
Balloon, Ribbon, Dedication Frames YES YES YES

Kitchen Utensils, Office and Janitorial Supplies,

1pc CCTV and Speaker and ALL Major Heavy
Duty Equipment except Refrigerator with Freezer YES YES YES

Refrigerator with Freezer 7 to 8cubic tall NO YES YES

Cart or Kiosk with indoor LED Signage and TV YES

Menuboard YES Outside Mall: first 12sqm (location should be
OR NO Mall: 4 to 5sqm fully furnished with white ceiling, walling and
Outside Store Construction and Materials with TV (should be ready for qa check tiles, electrical and water connection)
Menuboard by our inspector 7 days before Note: if the space Is more than the indicated Note: if the space Is more than the indicated
NOTE: Store Design will be provided for Semi ALL Opening) above, additional minimal cost per sqm, above, additional minimal cost per sqm,
IN depending on the measurement. depending on the measurement. Tables and
Chairs not included
2pcs Outdoor LED Signages NO
(should be ready for qa check NO   YES
by our inspector 7 days before
Opening)
Store Rent Shouldered by Franchisee
Outside Mall Rent: Php10,000-Php30,000
Mall Rent: Php15,000-Php50,000
Permits (DTI, Brgy Clearance, Mayors, BIR,) Shouldered by Franchisee
Budget: Php5,000-Php20,000 (depends on the
Municipality)
Initial WORKING CAPITAL INVESTMENT: very Shouldered by Franchisee as backup, First 6 Months Total Projected Operating Expenses
important during your first year, called BUILD UP
STAGE
Who manages the store? 100% Franchisee: you are required to spend no less than 14 to 20hrs per week to oversee you branch and NOT depend on your
crew. Its for your own good.
John 6:35
Then Jesus declared “ I am the bread of life. Whoever comes to me will never go hungry, and whoever believes in me will never be thirsty”
 TAPAWARMA    FRANCHISING  KIT  

III. How to Start

1) BUSINESS ORIENTATION: Getting to know the company and franchise first before entering.
*For Provincial areas and OFW, Digital Business Orientation can be done via phone or viber after you read the
Franchise Kit. You may call to ask ALL your question for clarifications before going to the next step.

* For areas near Bacoor Cavite, set a FREE Office Based Franchise Orientation text 09204630128 the following
details.
• Name
• Address
• Preferred Date/Time for Orientation
• Target Location and Date to Start Tapawarma
Office Add: JAIC Office, 97 Molino Rd, Aniban 3 Bacoor Cavite (near Chowking or Jollibee Zapote Kabila, going
Molino right after Easter Gas and RePhil Gas Station, beside Remz Sportswear, you can waze or google us)

NOTE: Details on Office orientation, are the same as the details sent here. If in case you have other questions, feel
free to call 09204630128. Its important that you know the business you are entering first before you apply.

2) Send FRANCHISE APPLICATION Form to [email protected] together with your 2 valid IDS and 3
Character references, proof of billing, proof of income, NBI clearance
3) Interview and CI Process for Franchisee: This is to check if the Franchise Applicant is capable to run the business in
terms of skills, time and finances.
4) Franchise Award Notice, Contract Signing and Payment
5) Scout Location, Construction and Installation - Construction can be done within 15 days only, Signages Fabrication
4 weeks, Scout Location upto 4 weeks more or less.
6) Training for both Franchisee and Crew – 9 days before opening (required)
7) Marketing Full Blast by Franchisee – 7 days before opening or more (required)
8) Grand Opening and Store Endorsement
9) Operations Grace Period with Management Assistance – 1 to 2 days QA Assistance, 2 weeks Grace Period for
Franchisee to fully adjust

IV. Frequently Asked Questions

John 6:35
Then Jesus declared “ I am the bread of life. Whoever comes to me will never go hungry, and whoever believes in me will never be thirsty”
 TAPAWARMA    FRANCHISING  KIT  
1) Who scouts for location?
We handle mall locations, then will just endorse you once we both agree with the location after your contract
signing. For Outside Mall locations, you look for the best for you, then we approve. Always look for a location with
at least 10,000 unique foot traffic. Keep in mind, the success of you branch depends first on your location. For the
franchisee’s protection, we will not allow another branch to open near your location, if location has less than 30,000
population.

2) I don’t have fix location yet, but I am decided, what’s next?

Location hunt is done after contract signing. It’s important that you secure your desired location first before anyone
does. The most important here is you are fully decided to start your Tapawarma Business, regardless of which
location. Coz, after you settle your location, opening depends on the package you will avail, see answers number 3
and 4.

3) How many days will it take for our branch to open after contract signing if we get the ALL-IN Package?
This depends on our next, last scheduled opening. Our team can only open maximum of 2 branches per week. We
have to consider so many factors such us our manpower for us to maintain quality of our service. Again, your
opening will depend on our last scheduled opening; we will line you up next. Not unless, you will avail the Option
1, construction of your location depends on your capability. We are in a first come first serve basis.

4) What if I’ll get the Semi-All In, when can I soon open my branch?
As soon as you are all set and ready to open, knowing that construction and equipment purchasing will be handled
by yours, you get to choose as to when would you like to open, then reconfirm our team availability. Make sure you
will open within 2 months from the time you signed the contract.

5) For Semi All In, where will we get the store design?
Us. We will send you all details. You are required to follow the standard design. Submit your finished store 7 days
before your opening for QA check via email.

6) Who does the hiring? How many crews?

You. We will just conduct the training. You need to have at least 2 crews to start. Then during your first 2 weeks of
operation, after accounting your average sales per day, if your sales per day is more than 10k, that’s the time you
have to hire another crew. Definitely, each branch needs 2 crews, standard number: cashier and server. Male and
Female.
It is your responsibility to hire, terminate, manage and retrain your crew if needed with our help. We will train you
as owners.

7) How much is the crew’s salary?

Minimum Rate. Depends on which location. We have to follow DOLE standards for benefits and compensation.

8) How much is the Royalty Fee?

5% only from Gross Sales, way lesser than others. No other monthly charges. Yes we require POS.

9) Contract is for 3 years, then after 3 years, what's next?

You may choose to renew your contract for another three years. Renewal Fee will just be 50% of the Franchise Fee
(not the package) during the time or renewal. If in case you fail to finish the 3-year contract for some reason, there is
a minimal termination fee. As much as possible, this Tapawarma Franchise Business is exclusively for those who
are financially and technically capable to run the business for 3 years and more, for long term goal and achievement.
The product and the system are all good, very sellable and relevant for current market.
f
10) How many days can the products last?
Upto 3 months for the meat, upto 6 weeks for the sauce

11) Who will deliver our goods to our store?

We use a third party courier to deliver. Minimal Delivery fees shouldered by you. It’s part of the computation for
you to survive, so no worries.

12) Can we buy items outside your company?

Yes for some items, specially the veggies. Major items such as the meat, sauce and packaging should be bought
from us only to maintain quality and taste.
John 6:35
Then Jesus declared “ I am the bread of life. Whoever comes to me will never go hungry, and whoever believes in me will never be thirsty”
 TAPAWARMA    FRANCHISING  KIT  
13) What are your standard operating hours?
Each branch is required to operate at least 12 hours, and should at least open the store 9am til 9pm. Monday till
Sunday. Yes you can operate more than 12 hours upto 24 hours.

14) Who takes care of our permits?

You.

15) Who handles our branch’s marketing?

You. We will teach you how, so don’t worry. You are also required to have a minimal monthly budget for your
marketing within the community, making sure you maintain brand presence. Though we, as the franchisor, we have
our own budget for Marketing for the whole brand, not specifically your branch location.

16) I am a bit worried, coz I am a first timer.

Don’t worry, there’s always a room for first timer. We will teach you how. That’s the purpose of franchising, you
get to know all the process, all systems, all you have to do is to STRICTLY FOLLOW each standard procedures.
Success depends on your management, location, crew, continuous marketing within your community.

17) How much is my initial stocks? Good for how many days?
Initially, company will deliver stocks to you, good for 1 week, or worth Php35,000.

18) How much is the maximum rent?

Depends on location’s capacity to give you sales. But based on our existing sales, we could pay rent maximum of
Php50,000. That location should be really good.

19) Where will be the training?

Training should be at our Bacoor, Cavite Office. For locations far from the area especially in Vizayas and
Mindanao, you may opt to choose the on-site training, at your location: AirFare, Transpo, food and lodge will be
shouldered by you, good for 3 persons. This is just the same as the expenses when you travel to our main office.

20) How many days do we have to need for the training? Is it mandatory?
Yes it is mandatory. 9 days. There will be no opening if the 2 crews and owner/ store manager didn’t complete the
whole training.

21) Any other INITIAL CAPITAL INVESTMENT we should prepare aside from the franchise packages above?
Yes. Prepare for the following
• Permits – depends on the municipality, ranges from 7k-15k
• Rental Deposits – usually first 3 to 6 months rent
• Initial Training Expenses – in case you want to undergo training outside our main office
• Initial Working Capital – total 6 months projected operating expenses, as your back up during
your business’ build up stage within your location, while you are still building your branch in
terms of services, concept, quality of food for 6-12 months, then on the following years once
strongly and consistently built, you will go on to the next stage called “reaping stage”. This is
crucial, as this is usually taken for granted for start up businessmen, to persevere and stay
committed on the goal to finish the franchise term and make profit. Though there are other
locations, better ones, that don’t really undergo this build up stage for some reasons, since their
first few months are a blast already (location and crew are one of the keys).

Should you need anything, or questions, give us a call at 09204630128 (smart), 09152871151 (globe) OR email
[email protected]

John 6:35
Then Jesus declared “ I am the bread of life. Whoever comes to me will never go hungry, and whoever believes in me will never be thirsty”