eLiquor™ Franchise Main Reg: 2012/118850/07 –web: www.eliquorfranchise.co.za – email: [email protected]

eLiquor™ Franchise Introduction: If you are looking for a great business opportunity with a minimal initial investment and excellent projected profitability, look no further – eLiquor™ is one of the best investments you will ever make. We are proud to focus on empowerment and brand development and aim to become the number ONE house-hold brand in liquor retail in South-Africa. We promote a successful lifestyle and provide you with the support to achieve your goals whilst enjoying all the benefits of our trusted brand. eLiquor™ is your partner in making real profits. You cannot afford not to be part of this journey to financial freedom and success. At eLiquor™, we’re all about freedom and choice! We offer you an excellent opportunity to join a very profitable industry and generate excellent returns on your investment. Legislation has certainly re-shaped the industry and customers also demand a certain standard from their favourite Liquor Store. That is exactly why you should consider eLiquor™. We tie it all into one, making it easy and affordable for you to join this industry. We will guide you along, step by step, from start-up to operating your own successful branded outlet. The South-African Truth is that there is power in groups, in this instance, Franchise Groups. Together we are able to negotiate on your behalf and deliver stores that are geared toward generating real profits from the smallest investments possible. We can do this in a visible way and give you maximum exposure. You don’t have to swim alone in the ocean, eLiquor™ becomes the Cruise Ship steering you toward entrepreneurial success. Our stores offer a range of products that your customers are familiar with and cannot resist! We stock a wide selection of beers, cider, fruit alcoholic beverages, wines, fortified wines and spirits. Add to that some “must-have-cause-you-deserve-it” impulse items, and this store is set to fly, paying dividends on your investment from day one! We are building our profile on four pillars; Visibility, Accessibility, Profitability and more importantly, Empowering future retailers. We get back to basics, adding to everyone’s bottom line. With the supplier not paying pay high corporate rebates and the retailer not paying high franchise fees, we have a competitive advantage that we pass to the customer.

“eLiquor™” ∙Reg Nr: 2012/118850/07 ∙ SELLER & PURCHASER SIGNATURE ABOVE

Page 1

When you consider where customers prefer to spend their money, some important considerations apply: Value for money? Yes, eLiquor™ provides Value. Convenience? That’s exactly what we are about! Range? We’ll help you tap into a distribution network that guarantees your access to any brand any customer may ever desire. Professional, warm and friendly service? We’ll help you to live up to these standards with guidance and training along the way. Promotions? We’ll knock their socks off and protect your profits. We’re into promoting lifestyles rather than becoming the “Discount King”. The eLiquor™ franchise gives you access to skilled and experienced retailers that will help you to be successful. We have you competitively covered from admin right up to how you would interact with your clients and develop lasting and profitable relationships within your communities. All our teammembers have been in retail for longer than 10 years and we deliver the skills you need to be successful from your very first trading day. eLiquor™ combines all the famous brands on your store’s floor at competitive prices within a group structure that ensures that your investment value continues to increase month after month. eLiquor™ provides the know-how and will implement all the processes along with our Franchisees to set-up your own store. eLiquor™ Stores comes fully equipped and we will deliver a store that is ready to trade and gain the community’s support from the moment you open the doors. The investment price of an eLiquor™ franchise includes: Shop fitting, Signage, Shelving, Fully operational Point of Sale, a complete back office system including a stock management system, CCTV Cameras, Equipment, Fridges, Marketing and opening promotion. Our stores are between 80-120m², and are fully fitted and furnished convenience liquor outlets. Our liquor stores are sold for R 330 000,00 (Excluding VAT) & Initial stock of R120 000,00 is needed for these stores, and all your stock will be supplied on different terms by our approved and listed suppliers. eLiquor™ franchises are designed to provide as much possible offerings per trading m² (80-120m²). Our stores include supplier signage and branding. Our store layouts are done scientifically and our merchandising is done specifically to grow basket size and increase profitability. eLiquor™ helps shop owners to drive sales with monthly promotions. The computer system monitors sales, generate profit reports and suggest when new products should be ordered. Once you complete the Franchise Agreement, we will assist you with sourcing sites for your store and negotiating the lease on your behalf if you need this service. We visit and approve or decline all proposed sites to maximise your potential for success. Why franchising? Franchise stores provide you with maximum visibility and exposure to your customers. You recognise a franchise because it carries a strong brand, has a distribution mechanism that reaches far and wide and provides a uniform product, service and image to the public. eLiquor™ franchisees use the franchisor’s business system or format, including the name, goodwill, product and services, operating manuals and standards, marketing procedures, systems and support facilities. eLiquor™ gives our franchisees initial and on-going services and support.

“eLiquor™” ∙Reg Nr: 2012/118850/07 ∙ SELLER & PURCHASER SIGNATURE ABOVE

Page 2

eLiquor™ is the only logical progression from where we are in terms of current industry trends. Money is spent on marketing by retailers claiming to save money for the consumer, paid for out of supplier’s budgets. Now suppliers can enjoy a truly beneficial relationship with a retailer and the target market, directly. You will enter a Franchise Agreement that is maintained by 2% of your turnover. These fees will be applied for back office expenses, main data base maintenance, supplier communication and negotiations etc. Liquor retail is one of the fastest growing industries in the country and not even the recent global financial crisis could put much of a damper on consumer needs and spending preferences. eLiquor™ allows you to benefit in this field through the establishment of strong supplier and client relationships, a commitment to quality products, improving people’s lives and by providing extended (convenient) trading hours, as prescribed by South African Government legislation. We are as confident in your success as an eLiquor™ Franchisee that we make it part of our introduction to cover one of the most important legal aspects of franchising. If the FRANCHISEE wish to end the agreement with eLiquor™ the FRANCHISEE can offer termination in writing and agree to hand over the business/shop/store to eLiquor™, who will have the first and primary right of offer to take over the existing business/shop/store and continue trading. In the unlikely event that you ever want to opt out of your agreement with us, the FRANCHISEE shall offer eLiquor™ the first right and option to commence trading in the said store. The business will be validated, advertised and sold for 3 (three) months turnover. Certain conditions apply and are fully disclosed in your Franchise Agreement. Please download all the documents available on www.eliquorfranchise.co.za and call us to set up an appointment to discuss your next step forward toward financial, investment and entrepreneurial success.

“eLiquor™” ∙Reg Nr: 2012/118850/07 ∙ SELLER & PURCHASER SIGNATURE ABOVE

Page 3