The Master Franchise includes:

Brand Use	"The signing of a contract for a period of 7 years Use and exploitation of the brand for the sale of branch franchises acting as the owner of the brand Granting of trademark use licenses for supplier purposes"
Know how and manuals	"Training and training material 13 franchise manuals, administrative, operational, marketing, corporate image, etc. Recipe books and formulas of all the product lines and Marketing Package of expectation, pre-opening, inauguration and concurrent."
Travel expenses for coaches and officials	"6 thousand plus per diem of 2 people for 2 weeks plane, hotel and food. 1-coach 1-Corporate Officer or Franchisee Assignment of a specialized architect for the implementation of the new branch"
brand cost
call cost
First orders for inputs and infrastructure	"Advice and market study in the choice of premises to establish the franchise Includes personalized emails with the domain cómeme.com.mx as well as access to the company's intranet Access to the website and a special subpage for the franchisee's branch"
Legal services
local advertising	National franchise advertising quota via electronic and social networks.
TOTAL	US$50,300

MONTHLY INCOME	Price to Customer	Regalia Comeme Mexico	royal preserves	Profit to Master Franchise
MONTHLY ROYALTIES	5.00%	1.00%	0.00%	4.00%
ADVERTISING ROYALTY	$400	$0	$300	$100

SALE OF BRANCH MODELS	Price to Customer	Initial fee	Real Costs	Profit to Master Franchise	Number of Sales (3)
Sale of Local Model w/ Production	$45,000	$8,000	$32,800	$4,800	$14,400
Sale of Distribution Point Model	$10,000	$2,500	$7,000	$1,500	$4,500
Sale of Commercial Island Model	$30,000	$6,000	$21,600	$3,600	$10,800
Sale of Comeme Gourmet Model	$55,000	$10,000	$40,000	$6,000	$18,000

BREAKDOWN

INITIAL FEES	Price to Customer	Regalia Comeme Mexico	royal preserves	Profit to Master Franchise	multiple sales
Sale of Local Model w/ Production	$8,000	$1,200	$2,000	$4,800	$14,400
Sale of Distribution Point Model	$2,500	$375	$625	$1,500	$4,500
Sale of Commercial Island Model	$6,000	$900	$1,500	$3,600	$10,800
Sale of Comeme Gourmet Model	$10,000	$1,500	$2,500	$6,000	$18,000

IMPLEMENTATION INVESTMENT	Price to Customer	Regalia Comeme Mexico	Real Costs	Profit to Master Franchise	multiple sales
Sale of Local Model w/ Production	$37,000	$0	$29,600	$7,400	$22,200
Sale of Distribution Point Model	$7,500	$0	$6,000	$1,500	$4,500
Sale of Commercial Island Model	$24,000	$0	$19,200	$4,800	$14,400
Sale of Comeme Gourmet Model	$45,000	$0	$36,000	$9,000	$27,000

STRENGTHS, WEAKNESSES, OPPORTUNITIES AND THREATS (SWOT)

STRENGTHS	OPPORTUNITIES	WEAKNESSES	THREATS
UNIQUE CONCEPT ON THE MARKET.	GREATER PUBLIC INTEREST IN HEALTH.	LIMITED LOCAL FINANCIAL SUPPORT.	SELLERS WHO COPY AND TRY TO MARKET SIMILAR PRODUCTS.
HEALTHY.	THE FRANCHISE CONCEPT CAN BE MARKETED EASILY.	PERISHABLE PRODUCT.	A LARGER COMPANY DECIDED TO START MARKETING THIS TYPE OF PRODUCTS.
PRACTICAL.	GOOD EARNINGS PERCENTAGE.	LIMITED LOCAL DELIVERY.
WIDE RANGE OF PRICES FOR THE PRODUCT.	SALE OF THE PRODUCT THROUGH THIRD PARTIES.	NEED FOR SEVERAL FRANCHISES TO COVER THE COUNTRY.
NEW FRANCHISE IN PERU.	SUCCESSFUL FRANCHISE MODEL.
MORE ECONOMIC LOCAL SUPPLIES.

EXPANSION PLAN FOR CÓMEME FRUIT ARRANGEMENTS

Comeme Arreglos Frutales SA de CV has considered a maturation time of 6 years starting its expansion plan from 2010 to 2015
The expansion of our franchise is based on a process of THREE stages consisting of two years each and including different types such as geographic expansion, product diversification and penetration of new markets, illustrated in the following table:

STAGE ONE

GEOGRAPHICAL EXPANSION: The expansion consists of solidifying our presence as a brand by increasing the points of sale with new branches in the South and Southeast region of the Mexican Republic. Currently our firm is in this stage with 5 current branches in Chiapas, 2 Cuernavaca, Cuautla, Queretaro, 2 in Yucatan, 2 in Oaxaca and Tabasco. Although 4 branches are scheduled to open in the next 3 months in Mexico City, Guadalajara and Venezuela, the focus is on opening in the remaining states such as Veracruz, Campeche and Quintana Roo during this stage. Our vision is to cover new markets, bringing the product close to people and within a reasonable distance. The goal of this first stage is to have at least 20 points of sale at the regional level.

PRODUCT DIVERSIFICATION: The products currently marketed in the branches and the website www.comeme.com.mx are the Fruit Arrangements, the fruit frapees called Smoothies and the rental of chocolate fountains with fruit for events.

MARKET PENETRATION: The Market of emphasis are the individuals who buy arrangements such as retail or gifts as well as the consumption of Smoothies and the rental of sources for the market of events and parties.

STAGE TWO

GEOGRAPHICAL EXPANSION: The expansion is projected more focused on the center and north of the country, and although it continues to expand impartially to any point where there is a desire to invest, Cómeme will focus its expansion budget on fairs and investment media in the central region and northern Mexico. The goal of stage two is to generate more than 100 points of sale or branches by 2013 with a team of Certified Franchise Executives in different parts of the country.

PRODUCT DIVERSIFICATION: The main products of Arreglos Frutales, Smoothies and Fountains will continue to be marketed without forgetting the need to constantly innovate. At this point Cómeme plans to diversify its products by adding lines of Snacks and fine desserts. The snacks will be based on fast food, cold (without cooking) and healthy, including ham and turkey croissants, salad plates and full-fledged vegetable or fruit cocktails and fine desserts such as pastries made with fruit, yogurt and fruit art with fondue. of chocolate. All this will require the adaptation of each branch that wishes to implement these products, adding tables and high chairs specified by the franchise where customers can consume both their snacks and Cómeme brand smoothies within the coffee shop type establishment. These coffee shops will open outlets specialized in Smoothies, cocktails and snacks in shopping malls, cinemas, etc., maintaining the distribution of fruit arrangements and promotion of chocolate fountains. Increasing the offer of our products is a main business expansion strategy. Having a number of customers seeks to offer a greater number of products that meet their needs and, on the one hand, increase loyalty and, on the other hand, increase the average sale per customer.

MARKET PENETRATION: As far as the market is concerned, Cómeme will undertake campaigns and agreements aimed at entering into contracts with Government agencies and Public Schools for the consumption of our line of products such as Arreglos, Smoothies, Snacks and healthy low-calorie lunches. Likewise, the objective is to establish relationships with related companies, involved in business such as ballrooms, rental of furniture for events, banquets, hotels, etc. The third market to be exploited at this stage is Children's, licensing recognized children's brands that will be used in the manufacture of our bases for arrangements, smoothie cups and product stationery.

STAGE THREE

GEOGRAPHICAL EXPANSION: Cómeme is currently already managing the registration of its brand in different Latin American countries and with prospects of starting operations in a couple of those countries. The goal is that by the end of the third stage in 2015, CÓMEME opens at least 500 points of sale internationally and is well positioned as a brand internationally, trusting in the versatility of transporting the name of the company Cómeme. and translate the definition of Fruit Arrangements into the desired language. Currently there are prospects and contacts in other countries including Brazil, Colombia, Venezuela, Peru, Spain, Italy, Japan, China and the United States.

PRODUCT DIVERSIFICATION: The new products to be introduced at this stage include: fruit decoration in special events, where our chefs will apply artistic fruit carving to place decorations in VIP events, exhibitions and gastronomic shows. It will also be considered to commercialize artificial fruit arrangements that are currently used as demonstrations, which are made with realistic artificial fruit made of wax and latex. These artificial arrangements will have the advantage that they can be sent by parcel, unlike natural arrangements, and they will serve as decoration while preserving the variety and image of current designs. The third product in which Cómeme plans to exploit is the creation of Bouquets such as Bridal Bouquets to be disseminated as a natural and colorful alternative to traditional flower arrangements for bridal bouquets.

MARKET PENETRATION: Finally, the expansion of the market that Cómeme will penetrate is that of certain specific niches focused on fashion trends and lifestyles, basing their advertising campaigns and designs on bases and fruit arrangements that have to do with Motorcyclists, Racing of Cars, Sportsmen, fashion catwalks, etc. Cómeme, in turn, will establish sponsorship with television and promotional programs such as contests where it will donate its products and services to charitable causes. Although this plan has already been carried out on several occasions from the beginning, in the third stage of expansion it is considered that it will have even more success and brand recognition and public image.