Franchise Prospectus

About Equation

Equation are award winning, Dorset based accountants who provide easy-to-understand, online financial reports and pay-monthly accounts packages to SME’s, from £20 per month. With a mix of modern technology, a vibrant company image and a burning desire to deliver outstanding service, we’re a next generation accounting firm who harness the power of ‘cloud’ technology and use it to improve our client’s financial performance.

Improved business performance

With over ten years experience and specialising in small Limited Companies, we work with SME’s all over the world, via secure online portals. Using web-based accounting programmes, we provide clients with accessible, affordable and understandable online financial reports, which measure and analyse business performance, in an easy-to-understand way.

Clear understanding of figures

We ensure our clients have a clear understanding of their current financial position and 24-7 access to their financial information. We save our clients money and help improve their efficiency through tax savings, cost cutting and increased financial awareness.

Professional yet personal

We are a people driven company who pride ourselves on our professional, yet personal service. We recognise that every business is unique, which is why our clients receive a dedicated personal account manager, who understands their business.

Accounts in 30 days

Our systems were designed with precision and efficiency so we can deliver accounts, (from core-data to the polished final-product) in less than thirty days. Equation operate a transparent pricing structure with pay monthly accounts packages. We continually innovate to reduce costs, so these savings can be passed on.

Next Generation Business

Equation understand that fast paced, next generation businesses need to perform at internet speed, access financial information in ‘real time’ from mobile devices and leverage the increasing capability of virtual environments. Our franchise and newly opened ‘cloud’ office in Poole is a testament to our ‘cloud vision’ and innovative approach to business.

Award Winning Accountants

Equation are proud sponsors of the ‘Entrepreneur of the Year’ category in the 2011 Open 4 Business Awards after their success as ‘E-Business of the Year’ and being nominated one of Dorset’s top three entrepreneurial companies in November 2010.

Franchise

How it works

Equation franchises are designed to get you started on your new business quickly and seamlessly.  With an intense training course, tried-and-tested business formula and marketing launch campaign, you will be soon be signing up new clients, growing your own network and building a real business asset.

Key Benefits

•    Work for yourself
•    Build an asset
•    Improve your life-work balance
•    Full training provided, no experience necessary
•    Finance option available

Complete Turn-key Business

•    Tried and tested formula using cutting edge accounting technology
•    Full intensive training course and ongoing support
•    Equipment, branded stationery and software provided
•    Easy to follow, 24-7 access on-line operations manual
•    Exclusive territory, limited number of franchises available in your area.

Equipment and Resources

•    Quick start up guide
•    Bespoke intensive training course
•    Pre-installed computer equipment
•    Branded stationery and templates
•    Full access to Equation intranet resource centre and forum
•    Professional website and email address

Ongoing Support

•    Personal franchise manager to support you in your business
•    Ongoing technical support from a team of experts
•    Accounts produced centrally from a fully qualified team
•    Regular legislative bulletins, newsletters and updates
•    Seminars to meet other Franchisees

Marketing

•    Launch campaign for your franchise
•    Complete step- by-step marketing plan
•    Marketing and PR training course
•    Ongoing marketing support
•    National PR and promotion

Territory

•    Local to your area
•    Fixed territory and license
•    Additional territories may be purchased

Growth Opportunities

•    Develop your personal skills when you become an Equation franchisee.
•    Upgrade your franchise to an Equation ‘Hub’ with high street or business park located office as you grow and progress (Upgrade fee applies).

The Franchise Package

Franchise Licence Fee:

The Franchise Licence Fee is £10,000 plus VAT and provides franchisees with:

•    6 year renewable licence to operate as an Equation franchisee
•    Exclusive territory
•    Operations manual (on loan)
•    Franchisee training

Franchise set-up package:

In addition to the Franchise Licence Fee, Franchisees must purchase the Franchise Set-Up Package from Equation Head Office. The Franchise Set-Up Package costs £4,750 plus VAT which includes:

•    An initial launch marketing campaign
•    IT equipment & software
•    Branded stationery and marketing material

Franchise Working Capital

•    All franchisees must maintain sufficient working capital throughout the term of their franchise.

Franchise Total Investment:

The total cost of an Equation Franchise is £14,750 plus VAT, excluding working capital, and is made up of:

Franchise Licence Fee     £10,000
Franchisee Set-Up Package   £4,750

Franchise Minimum Personal Investment:

Franchisees should ideally have a minimum £5,000 personal investment.
The balance may be borrowed from other funding sources

What we look for in our franchisees

Having the right franchisees is essential for our business. We therefore will only offer franchises to those people that we believe are suitable for running a successful Equation Franchise and can work with both the management of Equation and the other franchisees within our network.

The Equation franchise does not require franchisees to have any previous training or experience within the accountancy and bookkeeping sector as full training will be provided using our extensively developed system, operations manual and training plan.

The most suitable people for becoming an Equation franchisee would meet the criteria listed below. The list is not exhaustive or intended to be disadvantageous to any applicant; however it summarises the skills, competencies and requirements specific to running an Equation Franchise.

•    General business acumen
•    Good with people
•    Sales experience
•    IT literate
•    In good health
•    Self motivated
•    Hard working and ambitious
•    Determination and enthusiasm to succeed
•    Positive enthusiastic outlook
•    Have a desire to own your own business
•    Have positive support from the people in your life
•    Be able to follow instruction and a system and be willing to stick to that proven system
•    Have good attention to detail
•    Have full UK driving license with no (or only minor) endorsements

At Equation we do not discriminate against any group of people. Therefore we do not judge applicants based on their age, gender, sex, race, sexual orientation or religion.

FAQ’s

Q. Do I need to have a background in accounting and bookkeeping?

A. Equation HQ will provide and coordinate all the technical elements of producing your clients annual accounts documentation.  However it is a distinct advantage if franchisees have some sales experience as the success of every Equation franchise is reliant on the franchisee being able to sell Equation accounting and bookkeeping services.

Q. Is it possible to finance part of the capital cost?

A. Yes. Most of the high street banks have a franchise department and are very supportive of franchising. We have negotiated a special financial package with our bankers subject to franchisees' individual status.

Q. What is the Franchisor Management fee and how is it calculated?

Once your franchise license has been granted, there is a fee of 10% of the franchisees gross income (net of VAT) which is paid monthly. This is made up of franchisor fees (8%), management fee (2%), plus £50 per month for marketing fees.

Q. Are there any other ongoing fees?

A. Yes. In addition to the Franchisor Management Fee there is a National Marketing Fee. The National Marketing Fee is £50 per month (plus VAT) in 2011 and is paid monthly. The National Marketing Fee will be used by Equation Head Office to undertake National Marketing for the benefit of the Equation franchise network.

Q. Will I be VAT registered?

Yes. You will be working 'business to business', so being will not affect the cost of your services to other VAT registered businesses and means you can reclaim the VAT on any purchases.

Q. Are the projected earnings guaranteed?

A. No, however the projected earnings are a realistic estimate of what franchisees should earn. Successful franchisees can earn in excess of the projections, however the ultimate success is down to each individual franchisee.

Q. What training is provided?

A. Training is split between technical training at our Head Office and practical training in your own area.

Q. How much does training cost?

A. The cost of the initial training is included within the Franchise Licence Fee. The only items not covered are your own travel, accommodation, and food.

Q. Can I sell my business in the future?

A. Yes, although we would always insist on 'vetting' any new franchisee to ensure they are right for the business and have the required skills and experience.

Q. What are the next steps?

A. If you are interested in owning and running your own Equation franchise please complete a franchise application form.

The information contained within this Franchise Prospectus is covered by both copyright and Intellectual Property laws.