Education sector in India is one of the biggest booming sector which contributing to the country's economic and Social Development and Preschool Franchise news on Franchise zing provides Latest Business information and Education Franchise Business Opportunities in education sector.

1. Masoom Kids
Franchise Development Program

2. 2
Snapshot on Industry & Masoom Kids

3. 3 CONFIDENTIAL
There is a huge scope for penetration in Indian market for Pre-Schools
Key Takeaways:
 Primary Target Customers: Households with annual income in excess of Rs 2 lac/annum are the primary
target customers
 Growth Potential: Out of estimated 55 lac preschoolers, only 12% are currently enrolled into the pre-
schools
 Lower Penetration in Indian Market: Concept of pre-schools is still in nascent stage in India as compared to
developed part of the world, hence it presents tremendous growth opportunities

4. 4 CONFIDENTIAL
Organized pre-school is driving the growth
 Informal Education category: Pre-school segment is a part of the informal education category which primarily
caters to children between two and four years
 Organized market set to grow: CRISIL research expects the share of the organized market to reach 34% in FY
16 from 11% in FY 10. Major drivers for this are expected to be rising awareness about pre-school education,
big expansion plans of existing players and entry of more organized players in to the pre-school market
“Robust growth ahead in underpenetrated pre-school industry”

5. 5 CONFIDENTIAL
Masoom Kids Overview
Masoom Kids is a unique and innovative pre-school based out of Bhubaneswar, committed to
deliver high quality of education programs that equip students with a solid foundation in integrated
curriculum with technological savvy, methods, materials, and interactions needed to create the
environment that leads to enriched learning opportunities for every child
Focus on Stage Exposure, Cultural, Art & Craft, Dance, Indoor & Out Door Activities
SalientFeatures
Fully Digital Method of Teaching. CCTV & online surveillance support
Theme & Integrated Based Curriculum. Admission support kit for each curricular
Experienced & Inspiring Facilitators
Weekly/Monthly Interactive Method of Assessment
Specially Designed Life & Behavioral Skills Modules
Only pre-school proving shine leadership program based on life skills and leadership skills
Unique support by providing Shine parenting program for parenting workshops

6. 6 CONFIDENTIAL
Masoom Kids Offerings
Masoom-Group:
1.5 years to 2.5 years
Masoom Junior (KG 1):
3.5 years to 4.5 years
Play Center:
2.5 years to 3.5 years
Masoom Senior (KG 2):
4.5 years to 5.5 years
Regular
Programs
After School
Programs
Masoom Smart Class: Age: 1.5 years to 12 years; Duration: Round the Year
Handwriting & Speaking Class : Age: 2.5 years to 8 years; Duration: Six Months
Shine Leadership Program: Age: 4 years to 12 years; Duration: 3 Months

7. 7
Franchise Value Preposition

8. 8 CONFIDENTIAL
Franchising Business Model
Franchise Format (Operations): Franchise Owned Franchise Operated (FOFO)
Area (sq. feet) 2500 – 3000 sq. feet
Location
Locations in vicinity to target residential population,
residential locations can be effective
%Royalty 8% on service sales
Exclusive Territory Rights
No. But, Area of Primary Rights (APR) for 5-10 km radius can
be offered, without any other exclusive rights/privileges
Franchise Format (Territory): Single Unit Franchise

9. 9 CONFIDENTIAL
Recommendations for Franchise Business Model
Marketing Cost
2% of revenues; 1 % each, for local marketing & centralized
brand building
Franchise Fee 1.5 lac
Discounting Policy Discounts are not recommended for Franchisee operations
Contract Period 4 + 4 years for both single unit and multi unit franchisee

10. 10 CONFIDENTIAL
Estimated Investment & Returns
3,000 sq. feetArea
 Franchise fee: Rs 1.5lac
 Furnishing & Improvements: Rs 2 – 2.5 lac
 Equipments & Misc Items: Rs 2 – 2.5 lac
 Launch Budget: Rs 50,000
Cost Breakup
Rs. 7 lac (approximately)Project Cost
Particulars Y1 Y2 Y3 Y4 Y5
Estimated Revenue 1,994,000 2,712,000 3,396,000 4,204,000 5,124,000
Expenses
Royalty 150,000 204,000 257,000 320,000 392,000
Employee Cost 618,000 954,667 1,150,533 1,291,200 1,541,333
Operating Expenses 731,680 789,507 837,593 925,724 1,032,808
Marketing Expenses 40,000 54,000 68,000 84,000 102,000
TOTAL COST 1,540,000 2,002,000 2,313,000 2,621,000 3,068,000
PBDIT 454,000 710,000 1,083,000 1,583,000 2,056,000
Depreciation 46,200 46,200 46,200 46,200 46,200
PBT 407,800 663,800 1,036,800 1,536,800 2,009,800
Project cost 700,000
ROI (%) 58% 95% 148% 220% 287%
Estimated Payback (Years) 1 Year 5 Months
Estimated
Returns

11. 11 CONFIDENTIAL
Targeted Locations for the Rollout
Year
1-3
Cluster 1 – Orissa
(Capital & Tier 2 towns)
Cluster 2 – Chhattisgarh, M.P. & A.P. +
Telangana (Capital & Tier 2 Towns)
Year 4
-5
Top cities towns in neighboring states
(Non-Metros, Capital & Tier 2 towns)
Bhubaneshwar
Rourkela
Cuttack
Brahmapur
Raipur
Visakhapatnam
Durg Bilaspur, etc.
Guntur
Sambhalpur Puri, etc.
Nellore, etc.
Hyderabad Nizamabad Warangal, etc.
U.P., Rajasthan, Haryana region
Maharashtra, Gujarat region
Other Clusters
Bhopal Indore Gwalior, etc.

12. 12 CONFIDENTIAL
Franchisees with similar backgrounds desirable
Franchise with similar background are highly desirable
Preferable Franchisee Partners
Conversion of existing
pre-schools
Professionals from
education segment
Retired Professionals
Investors/Women
Entrepreneurs
Essential Features of Preferred Franchisee
Factor Importance
Ability & knowledge to run the
business
Very Important
Ease of Conversion Important
Service Sales Capability Very Important
Quality of Delivery Important
Factor Importance
Customer Service Very Important
Capital Resources Very Important
Vision Very Important
Comfort Level with Franchisor Important
Network Strength Important

13. 13 CONFIDENTIAL
Procurement of all types of goods e.g. books, dresses, equipments etc to be used for business operations for
the Unit franchisee; Efficient vendor and franchisee management expected.
Training programs on a regular basis for Unit Franchisees, teachers and the marketing team.
Provision of all administrative forms & formats and Standard checklists.
Provision of all forms, formats, Cash Sheets, Sales Sheets, Monthly report sheets etc
Assistance in creation of local marketing collaterals and PR activities.
Provision of informative material, presentations, Business and Financial Plans and Operational Manuals
Assistance in organizing of local promotional activities and events.
Printed material like Brochures, Pamphlets, Flex Banners on cost basis
Continuously assist in monitoring and managing the business to make sure that the best business practices get
implemented at the franchisee end to run it on profit as well as to have satisfied parents/children.
Take care of quality of services to be delivered at the franchisee end as well as to the end customer (Thorough
customer feedback, regular interactions and mystery visit at the franchisee centre)
Franchisor’s Obligations

14. 14 CONFIDENTIAL
Site Selection for the pre school
Fit-outs of the pre school as per franchisor’s specifications
Pre-opening purchases of uniforms, educational aids, teaching material, furniture, cams and
playground equipments.
Full Involvement in opening launch promo
Attending initial and ongoing training individually plus key staff
Payment of royalty fees to the franchisor on monthly basis
Compliance with standards and policies/ operating manuals
Compliance of the customer service standards as set by the company
Be adequately insured
Proper maintenance of books and accounts
Follow timely reporting structure of various reports to the franchisor
Will have to ensure smooth flow of business at all times
Unit Franchise’s Obligations

15. 15 CONFIDENTIAL
Pre-Opening Franchise Support extended to the unit franchisee
Comprehensive turn-key assistance from site selection to setup and start operations
Layout and design; architectural support
Pre-opening purchasing assistance
Assistance in organizing of launch promotions
Training
• A comprehensive training is provided to all the Franchisees on center operations, accounting, control etc. Employees from all verticals are
being trained on a regular basis which helps to continuously groom and enhancing operating efficiencies of employees.
The franchisor can provide following assistance to its franchisees during this period:
• Organizing all necessary regulatory approvals
• Ordering of all equipments for the centre
• Negotiation of suitable terms and organizing of lease
• Monitoring of fabrication of the centre
All the franchisees are put through a highly focused support system which educates them on utilizing
their entrepreneurial skills to become highly efficient and happy franchisees.

16. 16 CONFIDENTIAL
Post-Opening Franchise Support extended to the unit franchisee
Operations Manual
Franchisee Coordinator
Ongoing R & D in the course development and the market development initiatives
Advertising & local promotion:
•The franchisor will organize events specific to marketing of the brand in the region. This will include participation in
the related expos/ sponsoring such events, tie ups with magazines/ newspapers etc and much more in collaboration
with its business partners to promote its each Franchisee pre school.
Operational support:
•Day to Day operations, Technical & Administrative advices.
Regular advices on management and administrative issues.
Frequent official visits, advices on local promotions programs etc.
Structured Marketing Ideas to suit a location
PR support:
•Regular PR coverage at regional level
•Centralized Brand Building through all media - Print, Outdoor, Web, Retail, Electronic.
Major role in ongoing course development and evolvement of the course curriculum of play school

17. 17
Thank you
For more detail
CONTACT:
Asim Khan
+91-97178-99644
asim@franchisezing.com
www.franchisezing.com