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CIRCLE K Franchise Program




RAND RECOGNITION
OWER, OPTIONS
 NOWLEDGE
AND SOLUTIONS
hank you for your interest       The Circle K Franchise Program
T   in the Circle K Franchise        offers superior business systems,
Program, operated by TMC             extensive training and effective
Franchise Corporation.               promotional tools. Our ongoing
                                     business support and our
We are offering Circle K franchise   heritage brand is, in fact, the
opportunities that build your        Circle K advantage.
convenience store business by
providing shoppers with a one-of-    We invite you to read through
a-kind shopping experience.          these materials and explore how
                                     you might obtain a franchise
Recognizing the needs of today’s     license to operate a Circle K
on-the-go consumers, Circle K        convenience store.
brings convenience and quality
products to the marketplace.         If you are seeking a challenging
                                     opportunity, driven by the
Circle K stores appeal to the        expanding convenience retail
neighborhood shopper filling in      market, take advantage of our
last minute items; the passer-by     unique and rapidly growing
wanting hot coffee and a snack;      franchise offering. You owe it
or the traveler craving a cold       to yourself to learn more about
drink and hot dog.                   Circle K.
We offer you the means to
provide customers with all the
reasons why they need to visit
you over the competition.


                  Build the Confidence of Customers
                  Customer Loyalty Breeds Success


                  Shopper loyalty is based on familiarity and trust.
                  Customers view Circle K, with its bright red logo,
                  as a brand on which they can rely for their convenience
                  needs. Circle K stores are known worldwide for their
                  quality products and great customer service.


                  The Circle K standard serves as the foundation for
                                                                         ®
                  established proprietary brands including ThirstBuster
                                           ®
                  fountain drinks, Montego cigarettes, Freshest Coffee
                        ®
                  Going and prepaid communications cards. Superior
                  proprietary brands tap into consumer needs and provide
                  products that drive customers into Circle K stores.


                  BECOMING A CIRCLE K FRANCHISEE
                  When you become a Circle K Franchisee, you are joining
                  a proven company that delivers a winning combination
                  of marketing, operations and systems to grow your
                  business. Our program allows you to operate your own
                  business with easy access to the expertise of over 50
                  years of retailing experience.
Our Vision
To share the heritage of Circle K’s
proven brand, image, convenience
retailing expertise, superior business
systems and international presence
for the benefit of our franchisees.

Our Mission
To grow the Circle K brand by
granting franchise agreements to
individuals who are dedicated to
winning long-term customers by
providing high-quality products and
services, fully utilizing the operating
system and taking full advantage of
our ongoing support.
                                          For over 50 years, customers have come to
Our Values                                recognize the convenience and quality associated
These values give us a foundation for     with the Circle K brand. What began in 1951 with
working together successfully:            the purchase of three Kay’s Food Stores in El Paso,
• Relationships of mutual trust
                                          Texas, has become one of the nation’s largest
• High ethical and moral standards
                                          chains of company-operated convenience stores.
• Recognition of efforts and
                                          Circle K has more than 6,500 stores worldwide,
  achievements
• Service-focused organization            with 2,400 stores located in approximately 25 states
• Leadership that recognizes and
                                          and 4,100 stores operating under the Circle K brand
  capitalizes on opportunities
                                          in six foreign countries. In 2003, Alimentation
• Safe environment for employees
                                          Couche-Tard (ACT), the largest convenience store
  and customers
• Superior, worldwide business            operator in Canada with over 1,900 stores,
  systems                                 purchased the Circle K brand. As a result of this
                                          acquisition, ACT operates or licenses more than
The Circle K Advantage
                                          8,900 stores worldwide.
• Heritage of the Circle K brand
• Strong business management
  systems that foster market share
  and potential for growth
• Proven marketing, merchandising
  and promotional programs
• Large-scale purchasing power
• Strong franchisee support
• Customer focused
Marketing, merchandising and
promotional programs are created
to meet the customer’s needs and
grow the business.
Succeed With Innovative Marketing and Merchandising
Understanding the Customer and Knowing the Product


We have established a strong        MARKETING
foundation for marketing and        Our success in marketing and         Circle K has developed
merchandising success by            promotions can be attributed to      marketing and promotional
tapping into how consumers          several factors: our knowledge       programs designed to enhance
think, live, work and shop. Using   of the consumer and our ability      sales the first day your store
this unique insight, we are able    to bring it all together with        opens. We have years of
to offer you strategic store        programs that build store traffic,   valuable experience enticing
layouts and merchandising           create customer loyalty and          customers with our products and
programs. For this reason,          generate sales.                      services and encouraging them
Circle K stores are a preferred                                          to shop Circle K for their
destination for consumers.                                               convenience items.
INTERNATIONAL OPPORTUNITIES
MERCHANDISING                                                We know consumers worldwide
We have enhanced our Circle K product offerings              appreciate convenience. We also
through an innovative departmentalized merchandising         recognize that regional, national and
format. With this, we have reinvented our convenience        international market needs vary. Circle K
store business by creating a unique and unified product      has been able to successfully tailor our
presentation throughout the stores.                          brand tactics to address the different
                                                             cultural identities in the many
In the Circle K format, we merchandise by departments        marketplaces in which we compete.
such as Snacks, Grocery, Food Service and Beverages.
We have developed systems to manage these individual         Outside the United States, there are
store departments.                                           more than 4,100 Circle K stores
                                                             implementing the latest ideas in
Additionally, our store signage, graphics and displays all   retailing. From in-store bakeries in
work to reinforce key messages and communications to         Hong Kong, to fast food innovations in
the customer. Circle K’s unique merchandising, updated       Indonesia, Mexico and Japan, these
store graphics and well-designed floor plans present         stores are taking advantage of our
consumers with a positive shopping experience to keep        brand, our expertise and resources, all
them coming back.                                            to meet the needs of populations that
                                                             want and need more convenience.
CIRCLE K’S CIGARETTE BACKBAR PROGRAM
Cigarettes are a leading sales category for convenience
stores. Circle K’s “Proprietary Backbar Program” helps
Franchisees sell cigarettes responsibly by displaying all
products behind the sales counter. Our program offers
shoppers choice and selection, with high brand visibility.
All the major cigarette companies participate in this
program, offering Circle K Franchisees the opportunity
to optimize their cigarette sales and rebates.
Circle K offers a wide range of tools and
services designed to assist in managing
your business and achieving your goals.

                   Business Systems Support
                   Expert Advice to Assist Your Decision Making


                   From your initial site selection and training, to ongoing
                   operational support and business systems, Circle K
                   offers a wide range of tools and services to help you
                   manage the business and achieve your goals. We allow
                   you to select the hardware and software that best fit
                   your store, providing guidance to ensure you select a
                   system that will deliver fast customer service and
                   accurate transactions. We require you operate your
                   store with two electronic point-of-sale (EPOS) registers
                   with scanning capabilities. You must have a PC-based
                   back office that supports a business reporting system
                   and transmits daily sales information to the Circle K
                   data warehouse.


                   Additionally, we provide innovative content and updated
                   sales information on our proprietary “Franchisee only”
                   website, www.circlekfranchise.com. As a Circle K
                   Franchisee, you can access this website 24/7 from any
                   PC with internet connection.


                   NEW BUILD OR SITE CONVERSION TOOLS
                   Circle K utilizes a network of professional engineering,


Support that       architectural, permitting and construction management
                   consultants to serve as your advisors as you build or
                   convert your site to a state-of-the-art facility. With vast
lends success.     access to key industry suppliers, Circle K provides
                   individualized store layouts, and a fresh design to each
                   of its franchisees. Proven site and store layouts and
                   planograms help optimize your store’s sales potential.
                   The combination of Circle K’s purchasing power and
                   business methods all work together to help you stay
                   ahead of your competition.
Retail Automation Systems

                  The Circle K Franchise Program allows a high degree
                  of flexibility in determining the right point-of-sale
                  (POS) and back office system for each Circle K
                  franchise location. We understand that each franchisee
                  must operate a POS system that is compatible with the
                  proprietary fuel or independent credit network that
                  interfaces with the fuel dispensers and back office
                  systems. As a Circle K Franchisee, we’ll assist you in
                  determining the right store automation system for you.


                  Circle K can put you in touch with the appropriate
                  suppliers for systems that will provide fuel dispenser
                  control and automation, as well as sales transaction
                  processing, cashier and management reporting,
                  and inventory control in a fully-scanned c-store
                  environment. We can connect you with installation
                  and training services, as well as providers for 24/7
                  help-desk call centers for those times when you need
                  additional assistance.


                  Your Franchise Development Manager has all the
                  information on recommended vendors and suppliers
                  for EPOS and Back Office solutions.




We invite you to take advantage of
Circle K’s expertise.
Steps To a Circle K Franchise Opportunity
These steps will help you fully evaluate the opportunity of becoming a Circle K Franchisee.


1. CONFIDENTIAL APPLICATION              Franchise Development                 Agreement, ready for
   If you choose to pursue a             Department to arrange a               execution. The franchise fee is
   franchise opportunity with us,        personal meeting to review            due upon execution of the
   please complete and return the        details of the Franchise              Franchise Agreement.
   application in the enclosed           Program.
   self-addressed envelope. Once                                            6. TRAINING
   received, we will begin the         3. SITE EVALUATION                      Just prior to your store
   qualification process, which           After you identify a suitable        opening, you will attend
   includes both a credit and             location, we will determine          several weeks training at our
   background check.                      if it meets Circle K minimum         Circle K SMART Academy.
                                          standards.
2. UNIFORM FRANCHISE                                                        7. PRE-OPENING PREPARATION
   OFFERING CIRCULAR                   4. GROUP INTERVIEW                      We will work with you to
   If you meet the preliminary            Qualified candidates complete        develop your Grand Opening
   franchise qualifications, we will      a personality assessment             Program including point-of-sale
   send you a Uniform Franchise           and meet with Circle K               materials and grand opening
   Offering Circular (UFOC) which         management to ensure your            specials and events.
   contains a standard TMC                professional goals and our
   Franchise Corporation                  business system are a match.      8. OPEN FOR BUSINESS!
   Franchise Agreement, as well
   as a copy of the company’s          5. FRANCHISE AGREEMENT
   financial statements and other         SIGNING
   pertinent information. You will        We will provide you with a
   also be contacted by the               complete Franchise




                                                                            For More Information
                                                                            on the Circle K Franchise
                                                                            Opportunity Contact:

                                                                            TMC FRANCHISE CORPORATION
                                                                            Worldwide Franchise Division (DC 7)
                                                                            P.O. Box 52085
                                                                            Phoenix, Arizona 85072-2085


                                                                            Phone: 800-813-7677 / 602-728-8000
                                                                            E-mail: franchise@circlek.com
                                                                            Visit our web page at www.circlek.com
Marketing &
Merchandising Services




     Marketing & Merchandising Services

     The experienced Category Development              What does the Promotional Fee
     and Brand Management staff at Circle K            provide you?
     are constantly developing new programs              • Door signs
     to build traditional convenience categories         • Point-of-purchase materials
     such as beer and soda, as well as creating          • Monthly promotional display signs
     new concepts such as food service,                  • Local promotional plans
     electronic services and fill-in shopping.           • Cigarette center signs
     Supported by consumer research and                  • Monthly promotional bulletins
     promotional concept testing, these                  • Grand opening rebates
     programs are designed to provide you                • Grand opening signs
     with the confidence of a proven marketing           • Advertising in selected markets
     approach. Each month, you’ll receive a              • Sales incentives
     detailed merchandising plan specific to             • Equipment rebates
     your geographic area. Following the                 • New program introductions
     Circle K marketing programs will help               • Local co-op advertising programs
     increase the shopability of your store,
                                                       CIRCLE K PURCHASING
     and as a result, maximize the opportunity
     for sales and profits.                            ASSISTANCE *
                                                       Our strong presence in the marketplace
     PROPRIETARY MERCHANDISING                         creates a host of efficiencies for you as a
     PROGRAMS                                          Circle K Franchisee. This means you may
     We have developed proprietary                     qualify to participate in a variety of cost-
     merchandising programs that give you              saving agreements with many major
     an edge in your respective market. As a           manufacturers. Our national wholesaler
     Circle K Franchisee, you will receive store       programs offer special rebates and off-
     layouts and schematics. These detailed            invoice allowances, which may be passed
     sets not only make it easy for you because        along to Circle K Franchisees on selected
     you know where everything fits, but they          product purchases. Our purchasing
     are also designed to enhance impulse              assistance not only includes national
     purchasing behavior by shoppers.                  merchandise brands, but also fixtures,
                                                       equipment and supplies that are designed
     PROPRIETARY PRODUCTS                              specifically for Circle K stores.
     Circle K is known for a variety of popular
                                                       GRAND OPENING PROGRAM
     proprietary brands, including ThirstBuster®,
     Circle K PhoneCardsSM, Montego® cigarettes        We will assist you in creating a Grand
     and the Freshest Coffee Going®. These             Opening Program just for your Circle K.
     brands are well recognized in the industry        A qualified Franchise Business Consultant
     today.                                            will work with you to build a powerful
                                                       grand opening program.
     PROMOTIONAL FEE
                                                       CONSUMER RESEARCH AND NEW
     Through the Circle K Promotional Fee,
                                                       CONCEPT DEVELOPMENT
     you will receive promotional plans and
     programs developed by professional                Circle K’s Research and New Concept
     Category Managers that are designed               Development Teams are committed to
     specifically for Circle K stores. Additionally,   providing new and exciting programs,
     you will receive an array of promotional          which meet today’s customer needs for
     materials that help build a strong, loyal         solutions that make their lives easier.
     customer base for your Circle K store.
     From the moment you open the doors, this          *Requires Franchisee to meet vendor and
     fee provides professionally produced               Circle K proof of performance requirements
     materials to promote products and services.
     We can even help you develop area-specific
     events, allowing you to tailor your
     marketing efforts around local activities.
Business Systems
                               & Services




Business Systems & Services

Circle K offers a wide variety of business     TRAINING
support tools and services to help optimize    To assist you in your business, we offer a
your sales and profits.                        comprehensive training program at the
                                               “SMART Academy,” our training center with
THE RIGHT SITE                                 a state-of-the-art classroom and systems.
Whether you are building your first or         You will receive hands-on training on the
your tenth store, our Engineering and          Circle K Franchise Business Systems.
Construction Department can offer a
                                               Circle K Orientation Program
variety of services to assist in designing
and constructing your store.                   This is an initial opportunity for you to
                                               review the Circle K offering and for us to get
REAL ESTATE                                    to know you, before a Franchise Agreement
                                               is signed or fees are paid. It also allows
Site Selection Assistance
                                               you to experience first-hand the typical
  • Preliminary site due diligence review
                                               convenience store and fuel responsibilities
                                               for customer service representatives (CSR’s)
ENGINEERING
                                               and site management.
Provide templates for building design,
signage and site layout, plus review and
                                               Circle K SMART Academy Training
comment on proposed site layouts.
                                               Several weeks of classroom and in-store
  • Provide standard site development
                                               training will be provided prior to opening
    and estimated construction budget
                                               your site, including:
    costs (This will not include all site
                                               S Systems: An in-depth review and
    specific situations.)
                                               practice of the Circle K Operations Manual
  • Provide a standard checklist
                                               and Business systems, including an
    of architectural standards and
                                               accumulation of over 50 years of Circle K’s
    specifications
                                               best practices.
  • Provide recommended layouts
                                               M Marketing: Learn the fundamentals of
    and designs
                                               convenience store marketing,
                                               merchandising and Circle K’s proprietary
Construction Consulting Assistance
                                               programs and purchasing power.
  • Conduct periodic site inspections
                                               A Accounting: Learn the fundamentals of
    and provide associated written
                                               retail and business accounting practices
    status reports
                                               including planning, gross profit analysis
  • Provide on-site project management
                                               and retail reporting.
  • Provide procurement assistance
                                               R Retail: Learn how to control inventory,
  • Provide answers to your construction
                                               ordering, receiving merchandise and
    questions
                                               establishing retail prices, which maximize
                                               sales and profits.
                                               T Training: Learn Circle K standards and
                                               how to train your store employees on
                                               Circle K’s proprietary CD Training Program
                                               which includes our WE CARD Training on
                                               responsible sales of beer, cigarettes and
                                               other age-restricted products.




                                                                                                continued on next page
Business Systems
                              & Services




Business Systems & Services Continued

OPERATIONAL SUPPORT SYSTEMS                    FRONT & BACK OFFICE SYSTEMS
Circle K supports your business efforts        Today’s convenience store represents a
and provides advice on your operational        demanding environment that must balance
questions and challenges. The Operations       the needs of the customer along with the
Team assists with your store opening and       requirements of the business. We will offer
works with you to keep your business           our Franchisee the tools to achieve this
running day-in and day-out.                    balance while improving the customer
                                               buying experience. We can recommend
New Store Operating Assistance                 solutions for Point-of-Sale and Back-Office
We provide you with the tools and              systems and connect you with vendors
knowledge necessary to get your store          that both supply and support the latest
staffed, stocked and ready for operation.      technologies in the industry.
Our system includes training manuals,
new store kits and grand opening plans.
                                               WWW.CIRCLEKFRANCHISE.COM
Business & Marketing Consultant                As a Circle K Franchisee, you will have 24/7
Each Franchisee will have ready access to      access to a fully-secure proprietary web
Circle K’s qualified business and marketing    site designed exclusively for Circle K
consultants. Working in the field alongside    Franchisees. At the click of a mouse, you
each Franchisee, these professionals           can view and download marketing sales
provide on-going consultation, guidance        planners, product pricing, manuals, guides,
and support to help maximize revenue and       forms, and a wealth of content specifically
operating efficiencies.                        tailored to franchise operations.

OPERATIONS MANUALS
Known as the Circle K Franchise Business
Operating System, each Franchisee will
also receive the following manuals on CD.

Volume I
  Guide to Establishing a Circle K Franchise

Volume II
  Grand Opening Guide

Volume III
  Guide to Circle K Franchise Store
  Operations

Supplemental Guides
  Electronic Point-of-Sale Systems Guide
  Human Resources Guide
  Loss Prevention Guide
International




International

All of us at Circle K are committed to         If you become a Master Licensee, our
building long-term value for our               International Team will work closely with
International Licensees by operating the       you to provide a superior level of service.
finest convenience retailing system in the     This is a relationship that will begin with
world, through advanced store operations,      the customization of the Circle K retailing
marketing, real estate, information systems,   format through a detailed local retailing
and human resources management.                analysis. Following the analysis, you
                                               are assisted in all areas of the business
INTERNATIONAL OPERATIONS                       necessary to establish and maintain a
                                               thriving retailing business.
Our trend-setting global retailing system
is built on a wide range of convenience
                                               LEADERSHIP IN ALL ASPECTS OF
store ideas and advances that are drawn
                                               CONVENIENCE RETAILING
from a network of over 4,100 stores outside
the United States. From in-store bakeries      We believe providing leadership and
in Hong Kong and Indonesia, to fast food       innovation in the fundamental aspects
innovations in China and Japan, the Circle K   of convenience retailing are the most
Master License Agreement offers you            important roles we can offer you. We
access to the expertise of an experienced      can provide that leadership through an
group of convenience store retailers. This     experienced International Team, a network
global perspective not only keeps each         of International Licensees, and the full
Master Licensee up to date on the latest       resources of our U.S. operations.
developments in retailing, but it also
provides a continual flow of leading-edge      The Circle K Business System offers you
programs to help build sales and profits.      global leadership in:
                                                 • Store Operations
GROWING THE CIRCLE K                             • Marketing and Merchandising
BRAND GLOBALLY                                   • Real Estate
                                                 • Information Systems
As customers look for ways to improve
                                                 • Licensee Support
and simplify their lives, we continue to
                                                 • Training Programs
see opportunities for growth worldwide.
Circle K’s International Franchise Division
                                               MARKETING AND
is meeting shopper demands by expanding
                                               MERCHANDISING LEADERSHIP
into attractive markets and offering master
licenses to qualified applicants. An ideal     We know that customers all over the world
applicant is one that brings the financial     need convenience. We understand that
resources, local market knowledge and          international market needs vary. We will
operating commitment necessary to              tailor our brand tactics to address the
establish a thriving convenience store         different cultural identities in the various
business. We provide the operating             markets where we operate.
expertise, marketing programs, training and
continual innovation necessary to establish
your business and keep it growing.




                                                                                              continued on next page
International




International Continued

REAL ESTATE LEADERSHIP                         LICENSEE SUPPORT LEADERSHIP
Circle K has developed one of the most         Every Circle K Master Licensee in the world
sophisticated real estate management           enjoys being connected to an innovative,
programs available in retailing today.         growth-oriented convenience retailing
From market analysis to real estate            system. Accessing the full resources of
inventory management to sales forecasting,     Circle K’s U.S. operations, and the network
our Real Estate system provides a              of successful International Licensees,
comprehensive program for real estate          you will benefit from the vast array of
management. This system is supported           the latest technologies and services needed
with complete training and consultation        to establish a profitable convenience
with your real estate personnel.               retailing business.

                                               CONTACT INFORMATION
The tools and services of the Circle K
Real Estate system are:                        TMC Franchise Corporation
  • Market Analysis                            Worldwide Franchise Division (DC 7)
  • Site Selection                             P.O. Box 52085
  • Sales Forecasting Model                    Phoenix, Arizona 85072-2085
  • Financial Analysis Model
  • Market Strategy Planning                   Phone: 602-728-8000
  • Real Estate Inventory Analysis                    800-813-7677
    and Planning
  • Real Estate Staffing Consultation          Web Page: www.circlek.com
                                               Email: franchise@circlek.com
In convenience retailing, location is vital.
Therefore, initially making the right real
estate decisions will result in higher sales
and profits for years to come.
Application




Application

TO COMPLETE AN                               CONTACT INFORMATION
APPLICATION ON-LINE:                         If you need additional assistance or more
                                             information, contact us at:
Please go to the following link:
                                             TMC Franchise Corporation
www.circlek.com/CircleK/Franchises.htm
                                             Worldwide Franchise Division (DC 7)
Click on Investment Info and Application.    P.O. Box 52085
                                             Phoenix, Arizona 85072-2085
Follow the directions for completing the
application form.                            Phone: 602-728-8000
                                                    800-813-7677
TO COMPLETE AN
                                             Web Page: www.circlek.com
APPLICATION MANUALLY:                        Email: franchise@circlek.com
Please go to the following link:
www.circlek.com/CircleK/Franchises.htm

Click on Investment Info and Application.

Download the APPLICATION PDF using
Adobe Acrobat Reader.

If you do not have access to the internet,
please contact Circle K Franchise and an
application will be forwarded to you.
TMC FRANCHISE CORPORATION
                        Worldwide Franchise Division (DC 7)
                    P.O. Box 52085 Phoenix, Arizona 85072-2085

E-mail: franchise@circlek.com www.circlek.com Phone: 800-813-7677 or 602-728-8000

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2008 C I R C L E K F R A N C H I S E B R O C H U R E

  • 1. CIRCLE K Franchise Program RAND RECOGNITION OWER, OPTIONS NOWLEDGE AND SOLUTIONS
  • 2. hank you for your interest The Circle K Franchise Program T in the Circle K Franchise offers superior business systems, Program, operated by TMC extensive training and effective Franchise Corporation. promotional tools. Our ongoing business support and our We are offering Circle K franchise heritage brand is, in fact, the opportunities that build your Circle K advantage. convenience store business by providing shoppers with a one-of- We invite you to read through a-kind shopping experience. these materials and explore how you might obtain a franchise Recognizing the needs of today’s license to operate a Circle K on-the-go consumers, Circle K convenience store. brings convenience and quality products to the marketplace. If you are seeking a challenging opportunity, driven by the Circle K stores appeal to the expanding convenience retail neighborhood shopper filling in market, take advantage of our last minute items; the passer-by unique and rapidly growing wanting hot coffee and a snack; franchise offering. You owe it or the traveler craving a cold to yourself to learn more about drink and hot dog. Circle K.
  • 3. We offer you the means to provide customers with all the reasons why they need to visit you over the competition. Build the Confidence of Customers Customer Loyalty Breeds Success Shopper loyalty is based on familiarity and trust. Customers view Circle K, with its bright red logo, as a brand on which they can rely for their convenience needs. Circle K stores are known worldwide for their quality products and great customer service. The Circle K standard serves as the foundation for ® established proprietary brands including ThirstBuster ® fountain drinks, Montego cigarettes, Freshest Coffee ® Going and prepaid communications cards. Superior proprietary brands tap into consumer needs and provide products that drive customers into Circle K stores. BECOMING A CIRCLE K FRANCHISEE When you become a Circle K Franchisee, you are joining a proven company that delivers a winning combination of marketing, operations and systems to grow your business. Our program allows you to operate your own business with easy access to the expertise of over 50 years of retailing experience.
  • 4. Our Vision To share the heritage of Circle K’s proven brand, image, convenience retailing expertise, superior business systems and international presence for the benefit of our franchisees. Our Mission To grow the Circle K brand by granting franchise agreements to individuals who are dedicated to winning long-term customers by providing high-quality products and services, fully utilizing the operating system and taking full advantage of our ongoing support. For over 50 years, customers have come to Our Values recognize the convenience and quality associated These values give us a foundation for with the Circle K brand. What began in 1951 with working together successfully: the purchase of three Kay’s Food Stores in El Paso, • Relationships of mutual trust Texas, has become one of the nation’s largest • High ethical and moral standards chains of company-operated convenience stores. • Recognition of efforts and Circle K has more than 6,500 stores worldwide, achievements • Service-focused organization with 2,400 stores located in approximately 25 states • Leadership that recognizes and and 4,100 stores operating under the Circle K brand capitalizes on opportunities in six foreign countries. In 2003, Alimentation • Safe environment for employees Couche-Tard (ACT), the largest convenience store and customers • Superior, worldwide business operator in Canada with over 1,900 stores, systems purchased the Circle K brand. As a result of this acquisition, ACT operates or licenses more than The Circle K Advantage 8,900 stores worldwide. • Heritage of the Circle K brand • Strong business management systems that foster market share and potential for growth • Proven marketing, merchandising and promotional programs • Large-scale purchasing power • Strong franchisee support • Customer focused
  • 5.
  • 6. Marketing, merchandising and promotional programs are created to meet the customer’s needs and grow the business. Succeed With Innovative Marketing and Merchandising Understanding the Customer and Knowing the Product We have established a strong MARKETING foundation for marketing and Our success in marketing and Circle K has developed merchandising success by promotions can be attributed to marketing and promotional tapping into how consumers several factors: our knowledge programs designed to enhance think, live, work and shop. Using of the consumer and our ability sales the first day your store this unique insight, we are able to bring it all together with opens. We have years of to offer you strategic store programs that build store traffic, valuable experience enticing layouts and merchandising create customer loyalty and customers with our products and programs. For this reason, generate sales. services and encouraging them Circle K stores are a preferred to shop Circle K for their destination for consumers. convenience items.
  • 7. INTERNATIONAL OPPORTUNITIES MERCHANDISING We know consumers worldwide We have enhanced our Circle K product offerings appreciate convenience. We also through an innovative departmentalized merchandising recognize that regional, national and format. With this, we have reinvented our convenience international market needs vary. Circle K store business by creating a unique and unified product has been able to successfully tailor our presentation throughout the stores. brand tactics to address the different cultural identities in the many In the Circle K format, we merchandise by departments marketplaces in which we compete. such as Snacks, Grocery, Food Service and Beverages. We have developed systems to manage these individual Outside the United States, there are store departments. more than 4,100 Circle K stores implementing the latest ideas in Additionally, our store signage, graphics and displays all retailing. From in-store bakeries in work to reinforce key messages and communications to Hong Kong, to fast food innovations in the customer. Circle K’s unique merchandising, updated Indonesia, Mexico and Japan, these store graphics and well-designed floor plans present stores are taking advantage of our consumers with a positive shopping experience to keep brand, our expertise and resources, all them coming back. to meet the needs of populations that want and need more convenience. CIRCLE K’S CIGARETTE BACKBAR PROGRAM Cigarettes are a leading sales category for convenience stores. Circle K’s “Proprietary Backbar Program” helps Franchisees sell cigarettes responsibly by displaying all products behind the sales counter. Our program offers shoppers choice and selection, with high brand visibility. All the major cigarette companies participate in this program, offering Circle K Franchisees the opportunity to optimize their cigarette sales and rebates.
  • 8. Circle K offers a wide range of tools and services designed to assist in managing your business and achieving your goals. Business Systems Support Expert Advice to Assist Your Decision Making From your initial site selection and training, to ongoing operational support and business systems, Circle K offers a wide range of tools and services to help you manage the business and achieve your goals. We allow you to select the hardware and software that best fit your store, providing guidance to ensure you select a system that will deliver fast customer service and accurate transactions. We require you operate your store with two electronic point-of-sale (EPOS) registers with scanning capabilities. You must have a PC-based back office that supports a business reporting system and transmits daily sales information to the Circle K data warehouse. Additionally, we provide innovative content and updated sales information on our proprietary “Franchisee only” website, www.circlekfranchise.com. As a Circle K Franchisee, you can access this website 24/7 from any PC with internet connection. NEW BUILD OR SITE CONVERSION TOOLS Circle K utilizes a network of professional engineering, Support that architectural, permitting and construction management consultants to serve as your advisors as you build or convert your site to a state-of-the-art facility. With vast lends success. access to key industry suppliers, Circle K provides individualized store layouts, and a fresh design to each of its franchisees. Proven site and store layouts and planograms help optimize your store’s sales potential. The combination of Circle K’s purchasing power and business methods all work together to help you stay ahead of your competition.
  • 9. Retail Automation Systems The Circle K Franchise Program allows a high degree of flexibility in determining the right point-of-sale (POS) and back office system for each Circle K franchise location. We understand that each franchisee must operate a POS system that is compatible with the proprietary fuel or independent credit network that interfaces with the fuel dispensers and back office systems. As a Circle K Franchisee, we’ll assist you in determining the right store automation system for you. Circle K can put you in touch with the appropriate suppliers for systems that will provide fuel dispenser control and automation, as well as sales transaction processing, cashier and management reporting, and inventory control in a fully-scanned c-store environment. We can connect you with installation and training services, as well as providers for 24/7 help-desk call centers for those times when you need additional assistance. Your Franchise Development Manager has all the information on recommended vendors and suppliers for EPOS and Back Office solutions. We invite you to take advantage of Circle K’s expertise.
  • 10. Steps To a Circle K Franchise Opportunity These steps will help you fully evaluate the opportunity of becoming a Circle K Franchisee. 1. CONFIDENTIAL APPLICATION Franchise Development Agreement, ready for If you choose to pursue a Department to arrange a execution. The franchise fee is franchise opportunity with us, personal meeting to review due upon execution of the please complete and return the details of the Franchise Franchise Agreement. application in the enclosed Program. self-addressed envelope. Once 6. TRAINING received, we will begin the 3. SITE EVALUATION Just prior to your store qualification process, which After you identify a suitable opening, you will attend includes both a credit and location, we will determine several weeks training at our background check. if it meets Circle K minimum Circle K SMART Academy. standards. 2. UNIFORM FRANCHISE 7. PRE-OPENING PREPARATION OFFERING CIRCULAR 4. GROUP INTERVIEW We will work with you to If you meet the preliminary Qualified candidates complete develop your Grand Opening franchise qualifications, we will a personality assessment Program including point-of-sale send you a Uniform Franchise and meet with Circle K materials and grand opening Offering Circular (UFOC) which management to ensure your specials and events. contains a standard TMC professional goals and our Franchise Corporation business system are a match. 8. OPEN FOR BUSINESS! Franchise Agreement, as well as a copy of the company’s 5. FRANCHISE AGREEMENT financial statements and other SIGNING pertinent information. You will We will provide you with a also be contacted by the complete Franchise For More Information on the Circle K Franchise Opportunity Contact: TMC FRANCHISE CORPORATION Worldwide Franchise Division (DC 7) P.O. Box 52085 Phoenix, Arizona 85072-2085 Phone: 800-813-7677 / 602-728-8000 E-mail: franchise@circlek.com Visit our web page at www.circlek.com
  • 11. Marketing & Merchandising Services Marketing & Merchandising Services The experienced Category Development What does the Promotional Fee and Brand Management staff at Circle K provide you? are constantly developing new programs • Door signs to build traditional convenience categories • Point-of-purchase materials such as beer and soda, as well as creating • Monthly promotional display signs new concepts such as food service, • Local promotional plans electronic services and fill-in shopping. • Cigarette center signs Supported by consumer research and • Monthly promotional bulletins promotional concept testing, these • Grand opening rebates programs are designed to provide you • Grand opening signs with the confidence of a proven marketing • Advertising in selected markets approach. Each month, you’ll receive a • Sales incentives detailed merchandising plan specific to • Equipment rebates your geographic area. Following the • New program introductions Circle K marketing programs will help • Local co-op advertising programs increase the shopability of your store, CIRCLE K PURCHASING and as a result, maximize the opportunity for sales and profits. ASSISTANCE * Our strong presence in the marketplace PROPRIETARY MERCHANDISING creates a host of efficiencies for you as a PROGRAMS Circle K Franchisee. This means you may We have developed proprietary qualify to participate in a variety of cost- merchandising programs that give you saving agreements with many major an edge in your respective market. As a manufacturers. Our national wholesaler Circle K Franchisee, you will receive store programs offer special rebates and off- layouts and schematics. These detailed invoice allowances, which may be passed sets not only make it easy for you because along to Circle K Franchisees on selected you know where everything fits, but they product purchases. Our purchasing are also designed to enhance impulse assistance not only includes national purchasing behavior by shoppers. merchandise brands, but also fixtures, equipment and supplies that are designed PROPRIETARY PRODUCTS specifically for Circle K stores. Circle K is known for a variety of popular GRAND OPENING PROGRAM proprietary brands, including ThirstBuster®, Circle K PhoneCardsSM, Montego® cigarettes We will assist you in creating a Grand and the Freshest Coffee Going®. These Opening Program just for your Circle K. brands are well recognized in the industry A qualified Franchise Business Consultant today. will work with you to build a powerful grand opening program. PROMOTIONAL FEE CONSUMER RESEARCH AND NEW Through the Circle K Promotional Fee, CONCEPT DEVELOPMENT you will receive promotional plans and programs developed by professional Circle K’s Research and New Concept Category Managers that are designed Development Teams are committed to specifically for Circle K stores. Additionally, providing new and exciting programs, you will receive an array of promotional which meet today’s customer needs for materials that help build a strong, loyal solutions that make their lives easier. customer base for your Circle K store. From the moment you open the doors, this *Requires Franchisee to meet vendor and fee provides professionally produced Circle K proof of performance requirements materials to promote products and services. We can even help you develop area-specific events, allowing you to tailor your marketing efforts around local activities.
  • 12. Business Systems & Services Business Systems & Services Circle K offers a wide variety of business TRAINING support tools and services to help optimize To assist you in your business, we offer a your sales and profits. comprehensive training program at the “SMART Academy,” our training center with THE RIGHT SITE a state-of-the-art classroom and systems. Whether you are building your first or You will receive hands-on training on the your tenth store, our Engineering and Circle K Franchise Business Systems. Construction Department can offer a Circle K Orientation Program variety of services to assist in designing and constructing your store. This is an initial opportunity for you to review the Circle K offering and for us to get REAL ESTATE to know you, before a Franchise Agreement is signed or fees are paid. It also allows Site Selection Assistance you to experience first-hand the typical • Preliminary site due diligence review convenience store and fuel responsibilities for customer service representatives (CSR’s) ENGINEERING and site management. Provide templates for building design, signage and site layout, plus review and Circle K SMART Academy Training comment on proposed site layouts. Several weeks of classroom and in-store • Provide standard site development training will be provided prior to opening and estimated construction budget your site, including: costs (This will not include all site S Systems: An in-depth review and specific situations.) practice of the Circle K Operations Manual • Provide a standard checklist and Business systems, including an of architectural standards and accumulation of over 50 years of Circle K’s specifications best practices. • Provide recommended layouts M Marketing: Learn the fundamentals of and designs convenience store marketing, merchandising and Circle K’s proprietary Construction Consulting Assistance programs and purchasing power. • Conduct periodic site inspections A Accounting: Learn the fundamentals of and provide associated written retail and business accounting practices status reports including planning, gross profit analysis • Provide on-site project management and retail reporting. • Provide procurement assistance R Retail: Learn how to control inventory, • Provide answers to your construction ordering, receiving merchandise and questions establishing retail prices, which maximize sales and profits. T Training: Learn Circle K standards and how to train your store employees on Circle K’s proprietary CD Training Program which includes our WE CARD Training on responsible sales of beer, cigarettes and other age-restricted products. continued on next page
  • 13. Business Systems & Services Business Systems & Services Continued OPERATIONAL SUPPORT SYSTEMS FRONT & BACK OFFICE SYSTEMS Circle K supports your business efforts Today’s convenience store represents a and provides advice on your operational demanding environment that must balance questions and challenges. The Operations the needs of the customer along with the Team assists with your store opening and requirements of the business. We will offer works with you to keep your business our Franchisee the tools to achieve this running day-in and day-out. balance while improving the customer buying experience. We can recommend New Store Operating Assistance solutions for Point-of-Sale and Back-Office We provide you with the tools and systems and connect you with vendors knowledge necessary to get your store that both supply and support the latest staffed, stocked and ready for operation. technologies in the industry. Our system includes training manuals, new store kits and grand opening plans. WWW.CIRCLEKFRANCHISE.COM Business & Marketing Consultant As a Circle K Franchisee, you will have 24/7 Each Franchisee will have ready access to access to a fully-secure proprietary web Circle K’s qualified business and marketing site designed exclusively for Circle K consultants. Working in the field alongside Franchisees. At the click of a mouse, you each Franchisee, these professionals can view and download marketing sales provide on-going consultation, guidance planners, product pricing, manuals, guides, and support to help maximize revenue and forms, and a wealth of content specifically operating efficiencies. tailored to franchise operations. OPERATIONS MANUALS Known as the Circle K Franchise Business Operating System, each Franchisee will also receive the following manuals on CD. Volume I Guide to Establishing a Circle K Franchise Volume II Grand Opening Guide Volume III Guide to Circle K Franchise Store Operations Supplemental Guides Electronic Point-of-Sale Systems Guide Human Resources Guide Loss Prevention Guide
  • 14. International International All of us at Circle K are committed to If you become a Master Licensee, our building long-term value for our International Team will work closely with International Licensees by operating the you to provide a superior level of service. finest convenience retailing system in the This is a relationship that will begin with world, through advanced store operations, the customization of the Circle K retailing marketing, real estate, information systems, format through a detailed local retailing and human resources management. analysis. Following the analysis, you are assisted in all areas of the business INTERNATIONAL OPERATIONS necessary to establish and maintain a thriving retailing business. Our trend-setting global retailing system is built on a wide range of convenience LEADERSHIP IN ALL ASPECTS OF store ideas and advances that are drawn CONVENIENCE RETAILING from a network of over 4,100 stores outside the United States. From in-store bakeries We believe providing leadership and in Hong Kong and Indonesia, to fast food innovation in the fundamental aspects innovations in China and Japan, the Circle K of convenience retailing are the most Master License Agreement offers you important roles we can offer you. We access to the expertise of an experienced can provide that leadership through an group of convenience store retailers. This experienced International Team, a network global perspective not only keeps each of International Licensees, and the full Master Licensee up to date on the latest resources of our U.S. operations. developments in retailing, but it also provides a continual flow of leading-edge The Circle K Business System offers you programs to help build sales and profits. global leadership in: • Store Operations GROWING THE CIRCLE K • Marketing and Merchandising BRAND GLOBALLY • Real Estate • Information Systems As customers look for ways to improve • Licensee Support and simplify their lives, we continue to • Training Programs see opportunities for growth worldwide. Circle K’s International Franchise Division MARKETING AND is meeting shopper demands by expanding MERCHANDISING LEADERSHIP into attractive markets and offering master licenses to qualified applicants. An ideal We know that customers all over the world applicant is one that brings the financial need convenience. We understand that resources, local market knowledge and international market needs vary. We will operating commitment necessary to tailor our brand tactics to address the establish a thriving convenience store different cultural identities in the various business. We provide the operating markets where we operate. expertise, marketing programs, training and continual innovation necessary to establish your business and keep it growing. continued on next page
  • 15. International International Continued REAL ESTATE LEADERSHIP LICENSEE SUPPORT LEADERSHIP Circle K has developed one of the most Every Circle K Master Licensee in the world sophisticated real estate management enjoys being connected to an innovative, programs available in retailing today. growth-oriented convenience retailing From market analysis to real estate system. Accessing the full resources of inventory management to sales forecasting, Circle K’s U.S. operations, and the network our Real Estate system provides a of successful International Licensees, comprehensive program for real estate you will benefit from the vast array of management. This system is supported the latest technologies and services needed with complete training and consultation to establish a profitable convenience with your real estate personnel. retailing business. CONTACT INFORMATION The tools and services of the Circle K Real Estate system are: TMC Franchise Corporation • Market Analysis Worldwide Franchise Division (DC 7) • Site Selection P.O. Box 52085 • Sales Forecasting Model Phoenix, Arizona 85072-2085 • Financial Analysis Model • Market Strategy Planning Phone: 602-728-8000 • Real Estate Inventory Analysis 800-813-7677 and Planning • Real Estate Staffing Consultation Web Page: www.circlek.com Email: franchise@circlek.com In convenience retailing, location is vital. Therefore, initially making the right real estate decisions will result in higher sales and profits for years to come.
  • 16. Application Application TO COMPLETE AN CONTACT INFORMATION APPLICATION ON-LINE: If you need additional assistance or more information, contact us at: Please go to the following link: TMC Franchise Corporation www.circlek.com/CircleK/Franchises.htm Worldwide Franchise Division (DC 7) Click on Investment Info and Application. P.O. Box 52085 Phoenix, Arizona 85072-2085 Follow the directions for completing the application form. Phone: 602-728-8000 800-813-7677 TO COMPLETE AN Web Page: www.circlek.com APPLICATION MANUALLY: Email: franchise@circlek.com Please go to the following link: www.circlek.com/CircleK/Franchises.htm Click on Investment Info and Application. Download the APPLICATION PDF using Adobe Acrobat Reader. If you do not have access to the internet, please contact Circle K Franchise and an application will be forwarded to you.
  • 17. TMC FRANCHISE CORPORATION Worldwide Franchise Division (DC 7) P.O. Box 52085 Phoenix, Arizona 85072-2085 E-mail: franchise@circlek.com www.circlek.com Phone: 800-813-7677 or 602-728-8000