CEX Master Franchise Across Canada

Industry Overview

Since opening the first store in 1992 CeX has expanded its network from the U.K. to over 600 stores worldwide with stores in Spain, Ireland, Poland, The Netherlands, Portugal, Italy, India, Australia as well as master franchised stores in Malaysia and Mexico.

What separates CeX from wider buy and sell retailers is our execution. CeX trade in a focused, yet complementary product range, backed by over 30 years' experience.

This is a huge market with uniquely focused model and little competition.

Business Description

CeX uses a set of bespoke computer tools that simplify the process of buying and selling goods. Constantly reviewing product supply and demand curves and adjusting prices, using the extensive experience as well as AI input which limits potential depreciation and enables the business to achieve two optimal positions on the products:

• An optimal selling price that is competitive in comparison to buying the same product new
• An optimal purchasing price which brings stock into stores

A comprehensive support package has been developed to get franchisees into business and support long-term growth including a Master Franchise License; 10 year Territory sole rights, right to use the CeX trademarks and know-how, operating methods and systems as well as the right to sub-license the same within the granted territory.

CeX offers a wide range of training to ensure that franchise owners and their staff are equipped with the tools for success. As part of the initial process you will conduct a three-day in-store discovery experience and assessment.

On successful application this is followed by a seven-stage comprehensive training program which is supported with access to online training tools, manuals and assessments. As part of the joint decision-making process, we will give you the opportunity to work in our existing stores.

Financial Summary

The initial capital required for a master franchise is between US$1.5m & US$2m, with the typical store level return on investment being between 25 and 35%.

The exact amount is dependent on the size of the granted territory and includes the territory license and development fees as well as the setup costs, fixtures & fittings as well as the opening stock for three pilot stores.

Further capital will be required to open more units in line with the mutually agreed development schedule with a store typically costing US$300,000 including stock.

A Full breakdown of fees, average costings and returns is available as part of the full franchise disclosure.

Investment Rationale

As a master franchisee you'll take on the mantle of the franchisor, recruiting sub franchisees within Canada. You will be on hand to help them build their business, help them market the brand, and ensure compliance.

You will manage and grow your own operation which will set the standards and best practice.

CEX has their own in house design team, and typically turn a new store from agreement to trading within 12 weeks.

Candidate Requirements

• A track record in the management of medium to large national retail businesses.
• An existing business infrastructure that could support the development, or the experience and ability to create this.
• A good local knowledge, relationships and expertise in the areas ofreal estate, government and labour regulations.
• Extensive marketing, sales and recruitment experience, knowledge of our key product lines and be willing to complete 6 months training in the UK, or Europe.

Products and Services

• Computing
• Electronics
• Games
• Mobile Phones
• Unlocking, Repair and Protection (Subject to local supply conditions)