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Hawaii's Java KaiCoffee by the Sea |
Business Type
FranchiseMin Liquid Capital
$80,000Total Investment
$169,000 to $356,000Required Net Worth
$300,000In Business Since
2000* For Current Info See:
Franchise Disclosure Document
Overview
The name of the Franchisor is “Java Kai Etcetera, Inc.,”
which was incorporated in Hawaii on October 20, 2000. The
Franchisor also does business under the registered trademark
of “HAWAII’S JAVA KAI.” The officers/stockholders
of the corporation are Brent Hickman (President); Jennifer
Mix-Hickman (Secretary); Terence Mix (Vice President); and
Janet Mix (Treasurer). This is a family-owned business; we
are all part of the same family. The effective date of franchise
approval by the State of Hawaii was November 30, 2000.
An affiliated company is “Java Kai Roasting Co., LLC,” which is a Hawaiian limited liability company. Both businesses are located in the same office. Java Kai Roasting is owned by the same four stockholders that own the corporation. In addition to roasting and supplying the coffee to the HAWAII’S JAVA KAI stores, and other wholesale accounts, Java Kai Roasting Co. also has been operating coffee houses since 1997.
The franchise being offered is for retail cafes (coffee houses) offering a limited menu, including specialty coffees, an array of hot and cold beverages (including fruit smoothies and blended coffee drinks) and baked goods, along with prepackaged coffee beans and coffee-related and Hawaiian-themed retail items. [OC, Item 1, p. 1; FA, p. 1]
An affiliated company is “Java Kai Roasting Co., LLC,” which is a Hawaiian limited liability company. Both businesses are located in the same office. Java Kai Roasting is owned by the same four stockholders that own the corporation. In addition to roasting and supplying the coffee to the HAWAII’S JAVA KAI stores, and other wholesale accounts, Java Kai Roasting Co. also has been operating coffee houses since 1997.
The franchise being offered is for retail cafes (coffee houses) offering a limited menu, including specialty coffees, an array of hot and cold beverages (including fruit smoothies and blended coffee drinks) and baked goods, along with prepackaged coffee beans and coffee-related and Hawaiian-themed retail items. [OC, Item 1, p. 1; FA, p. 1]
Products & Services
The best Hawaiian Kona coffee and other tasty Hawaii blends
are fresh made and brought to you from Hawaii's own Java Kai. Java
Kai brings the warmth, taste and Aloha Spirit to you, even if
you’re not in Kauaii.
We hope you enjoy our Hawaiian coffees - and that it reminds you of cascading waterfalls and beautiful sunsets.
100% Kona Coffee is the most well known of the Hawaiian coffees, and rightfully so. This coffee is often rated 2nd in the world by many coffee connoisseurs. It's a perfect balance of flavor, body and aroma.
Kauai Coffee is becoming increasingly popular. Many actually compare its aroma and body to that of Kona.
Moloka'i Coffee This dry processed coffee is a full bodied, rich, aromatic Hawaiian coffee
We hope you enjoy our Hawaiian coffees - and that it reminds you of cascading waterfalls and beautiful sunsets.
100% Kona Coffee is the most well known of the Hawaiian coffees, and rightfully so. This coffee is often rated 2nd in the world by many coffee connoisseurs. It's a perfect balance of flavor, body and aroma.
Kauai Coffee is becoming increasingly popular. Many actually compare its aroma and body to that of Kona.
Moloka'i Coffee This dry processed coffee is a full bodied, rich, aromatic Hawaiian coffee
Training & Support
We will train you on all facets of the business, including
coffee. We will provide an initial training program for you,
and up to two assistants, for a period of 2 to 3 weeks, which
will include an understanding of the conceptual plan, financial
controls, promotion and merchandising methods, management
and operational techniques, and maintenance of quality standards.
The Confidential Operations Manual will also be used at this
time.
The cost of the training is included in the Franchise Fee. The cost of transportation, room & board is not included.
During commencement of operation of the cafe, we will provide one of our representatives for approximately 5 days to provide assistance and guidance in operating the cafe. This cost is included in the Franchise Fee. [OC, Item 11A; FA, secs. 8.1 and 8.2] We offer additional on-going support, especially during the critical first year of business. You will have access to our toll-free support number, fax, email, and website.
The cost of the training is included in the Franchise Fee. The cost of transportation, room & board is not included.
During commencement of operation of the cafe, we will provide one of our representatives for approximately 5 days to provide assistance and guidance in operating the cafe. This cost is included in the Franchise Fee. [OC, Item 11A; FA, secs. 8.1 and 8.2] We offer additional on-going support, especially during the critical first year of business. You will have access to our toll-free support number, fax, email, and website.
Why Hawaii's Java Kai?
The franchise includes use of all trademarks owned by the
Franchisor, as well as all benefits of using the Java Kai
System. That System includes all proprietary recipes and menu
items, the distinctive exterior and interior layout along
with our design and color scheme; exclusively designed signage,
and decorations; the HAWAII’S JAVA KAI Confidential
Operations Manual, which includes service procedures and techniques,
operating procedures, methods and techniques for inventory
and cost controls, record keeping and reporting, personnel
management, purchasing, sales promotion and advertising; and
all of the necessary training to implement the System. [OC,
Item 1; FA, secs. 8.1, 8.2, 8.4 and 9]
The Franchisee must purchase all required raosted coffees from Java Kai Roasting Co., LLC, or other suppliers approved by the Franchisor. The price of the coffee will be based upon its cost to produce plus a reasonable markup consistent with the industry. [OC, Items 5,7 (fn 8) and 8; FA, sec. 14.3] Though not required under the Offering Circular and Franchise Agreement, Java Kai Roasting currently will agree to enter a contract with all new Franchisees to sell its coffee to the Franchisee at a 25% discount from its standard wholesale prices offered in the industry.
The Franchisee must purchase all required raosted coffees from Java Kai Roasting Co., LLC, or other suppliers approved by the Franchisor. The price of the coffee will be based upon its cost to produce plus a reasonable markup consistent with the industry. [OC, Items 5,7 (fn 8) and 8; FA, sec. 14.3] Though not required under the Offering Circular and Franchise Agreement, Java Kai Roasting currently will agree to enter a contract with all new Franchisees to sell its coffee to the Franchisee at a 25% discount from its standard wholesale prices offered in the industry.
Are You a Good Fit for Hawaii's Java Kai?
The initial franchise fee is $30,000. [OC, Item 5, p. 4; FA,
p. 4] Estimated initial costs (including the franchise fee)
range from $168,998 to $355,898, including franchise fee,
leasehold improvements, furniture and fixtures, working capital,
small and large equipment, initial inventory and other necessary
items. [OC, Item 7, p. 8; FA, sec. 5.2, pp. 6-7] The price
will depend on the size of your store, the type of materials,
the equipment package you choose and any menu options you
may choose. Ongoing monthly costs include a royalty fee to
Franchisor of 6% of Gross Sales and 3% of Gross Sales for
local advertising, payable by you the Franchisee directly
to the advertiser for the Franchisee’s store. Franchisor
reserves the right to establish a general advertising fund
of up to 1% of Gross Sales.