Task 3. Read these replies to some questions about The Sport Shoe franchising program, and complete the gaps with the phrases from the box

1. The average ____________ ranges between $250_, OOO and $400,000 depending on the size of the store. This figure includes the franchise fee of $25, 000 for a neighborhood store or $100,000 for an Expo location (over 10,000sq.ft.). Also included in the fees are estimated costs for: real estate/rent; utility deposit; leasehold improvements; initial inventory; insurance; Grand Opening advertising; signage; working capital.

2. No. The Sport Shoe^® does not provide ____________ for you. We do have business relationships with various financial 'institutions. These institutions have a working knowledge of our franchise program and can assist you with your financing needs.

3. The continuing services, or ____________, equals 4% of the gross sales derived from the franchise business. This fee entitles you to the continued use of The Sport Shoe^® name and trademark, and all the benefits that come with being part of the The Sport Shoe® organization.

4. You buy your ____________ directly from vendors such as Nike, Reebok, Adidas, etc. The Sport Shoe^® will assist you in opening your vendor accounts and our buyers will assist you in making your buying decisions.

5. Once a site has been selected, The Sport Shoe^® will provide you with a ___________ consistent with The Sport Shoe^® concept and a fixture inventory sheet. You will purchase these items directly from the appropriate supplier.

6. Building name recognition of The Sport Shoe^® will be an important part of your franchise business. You will be required to spend $10,000 on Grand Opening advertising during your first 60 days of operation. After the Grand Opening you are required to spend a minimum of 4%a month of the ___________ on such advertising as print, radio, TV, direct mail, etc.

7. You and your designated employee will participate in an initial ___________ that will include classroom and in-store training. The classes will provide instruction on store operations, personnel policies, merchandising, and accounting. During your first week of business a trained representative of The Sport Shoe^® will provide additional on site training with your employees.

8. Once your application is approved, the ____________ signed, and the franchise fee is paid, you can expect it to take as long as six to eight months to be ready to open. The Sport Shoe^® will do whatever is necessary to help you expedite the process.