Franchise Development Program™
Franchise Development Program™
Powered by American Development Partners
At American Development Partners, we truly believe that your success is our
success. This is one of the company’s core principles and what guides our
business practices. American Development Partners has a long history of
simplifying and navigating the complicated road map of successful franchise
concepts to single tenant built to suit partners. Over the last 25 years we realized:
A. Our Built to Suit financial partners are looking for a long term return on their
investment over and above the excellent return they are getting on their rent.
B. We also have many clients who would like to make an investment and own
part of a national or regional franchise allowing them to participate in the profits
but do not want to be responsible for the day to day operations.
C. Creating opportunities to be a part of “Franchise Development Program™”
where the executive management and operations team not only invest their own money into the concept the executive management and operations team executes the building lease and secures the franchise rights.
How Does the Model Work?
A. “Franchise Development Program™” will only pursue franchise opportunities where they can do ten (10) units or more. This allows for a significant Return on
Investment and attracts the very best executive management team.
B. National Concept is identified – American Development Partners has long
standing relationships with emerging, regional and national brands. We identify
the business opportunity and create a business opportunity overview
C. Executive Management Team fill out franchise paper work to secure the
franchise rights and will participate in any discovery days etc. too get to
understand the franchise, the culture and the opportunity.
D. “Franchise Development Program™” is approved
E. American Development Partners secures financing through a financial Built
to Suit partner for the construction and development of a free standing single
F. “Franchise Development Program™” establishes an operating entity that the equity will be contributed into.
G. Equity Partners make their equity contribution into operating entity. This
money will cover the deposit that is paid to the franchisor to secure the franchise
opportunity and the remaining capital will be left in the operating account to fund
initial training of staff, relocation of staff and operational needs.
H. American Development Partners commits to investing 100% of their
development fee into the operating entity (For example purposes: If American
Development Partners is paid a development fee of $100,000.00 per unit and we
develop 5 units ADP will invest $500,000.00 into the project). American
Development Partners will make their equity contribution of $100,000.00 per unit
upon the Certificate of Occupancy being issued at each location. This is the total
exposure American Development Partners has on the project.
Equity Partners Financial Responsibility
I. If there is a need for additional capital over the equity contribution that
American Development Partners has made the equity partners will cover this.
(Example if an operation uses the $100,000.00 equity infusion American
Development Partners invest and the operation needs an additional $15,000.00
the equity partner(s) would be responsible for this.
J. Ownership to be determined based off of equity contribution.
American Development Partners understand that individuals are investing their
hard earned money but unlike in typical consulting models or business broker
opportunities American Development Partners is investing our money right next
to yours. This is absolutely a unique model championed by American
Development Partners. When you have a development partner who will invest
their capital into projects you can have confidence that we are all equally working
to ensure the business success.