5 GUIDING PRINCIPLES
THAT DRIVE US EVERY DAY
1. Talk is Cheap, Execution Sets Us Apart
2. Launch Fast, Fail Fast, Iterate Faster
3. Build A Company With a Killer Culture, Not A
Culture That Kills Our Company
4. Numbers Rule! If You Can’t Measure It, You
Can’t Manage It.
5. Pick Your Battles
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Our Mission
To help citizens
of the world
live better by
making healthy
food convenient
and affordable.
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At the Intersection of 3 Accelerating Market Forces
• Rapid growth in • Millennials = our customers,
health & wellness our partners, our team
• Increased demand • Appealing to Millennials
for products and Health &
services that help Wellness Millennials • Customizable
customers live • Innovative
better, healthier lives • Flavorful
• Healthy, chef • “On the go”
designed, nutritionist-
approved menu • Affordable and
convenient
• Fresh and high
quality ingredients
Affordable • Affordable cash build-out costs
Entrepreneurship • Flexible store formats
• Compelling unit economics
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Attractive Investment
1 Fast Growing Brand at the Intersection of Three Global Accelerating Market Forces:
Health and Wellness, Millennials and Affordable Entrepreneurship
2 Healthy, Fast, Convenient and Affordable Food That Tastes Great
3 Broad, Customizable and Innovative Menu: Something for Everyone
4 Powerful Franchise System: Our Franchise Partners Are Our Greatest Asset
5 Flexible Real Estate Model and Compelling Unit Economics
6 Innovative, Founder-Led Management Team Driving an Authentic Corporate Culture
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Compelling Unit Economic Model
Canada U.S.
Year 2 AUV $526,000 CAD $600,000 USD
Average Investment Cost $260,000 CAD $260,000 USD
Sales to Investment Ratio 2.0x 2.3x
Owner Operator: Cash on Cash Return 45% 50% 2/3 system
Unlevered
*Passive: Cash on Cash Return 30% 35% 1/3 system
*Passive investor pays a manager $30,000 - $40,000
Highly Impressive Store Growth in Early Years
Years to Reach 100 Stores
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19 • One of the fastest
growing franchised
restaurant concepts
13 with significant growth
opportunities
9
• Freshii is currently in a
nascent stage with a
long runway for growth
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Fast Fashion Menu Innovation
• We scour the world for healthy niche
restaurant concepts with long lines
and local buzz
• First-follower strategy minimizes the risk
associated with being the first-mover
• We are the ‘fast fashion’ of food as
we launch an innovative and healthy
menu item every 70 days
• Innovative, limited time offers allow us
to evolve our brand as the definition
of healthy food changes over time
Limited time and seasonal
offers create excitement
and drive traffic
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Viral Open Letters
“Dear Steve:” “50% Mexican Fair “Cupcakes are Dead,
while CMG pauses to reset” Froyo is Finished,
Juice is Next”
From FROYO to FRESHII
Global PR Awareness Drove >52% traffic Five Qualified
Built International growth in Chicago Brand Inquiries
Franchise Interest of Freshii locations on From 4 Countries
>150 applicants day of promo
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Innovative Products Drive Expansion and
Food Sales Beyond the Core Menu - Meal Box Program
Optimization of Dayparts
The Meal Box program offers customers three meal
and two snacks each day.
• Designed and customized by the in-house,
certified nutritionists
• Prepared during off-peak hours
The Meal Box capitalizes on the increasing demand
for convenient, high-quality home meal replacement
alternatives, and expands the customer base to
those looking for a credible meal plan.
8.3% 45%
Average sales increase Daily store sales potential
for the top 5 stores in attributed to Meal Box2
the promotion period1
1 Jan 2016 – Feb 2016
17th Avenue Calgary sold 2, 30-Day Boxes and 1, 5-day Box
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2
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Mobile: Ordering, Pay, Loyalty, Diet Planning & CRM
Building and Investing for the long term. Mobile will be measured in Years, not Quarters.
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Triple Bottom Line: People, Planet, Profits
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Triple Bottom Line: People, Planet, Profits
Packaging
All Freshii packaging is entirely biodegradable or easily recyclable.
Biodegradable packaging is made from paper, corn and potato fibers.
Waste
Our waste is primarily organic vegetable ends, peels & fiber packaging. Less
plastic and cardboard waste significantly decreases our garbage output.
Menu
Shaking your meal in a biodegradable bag means we produce 5 to 7 times less
of a carbon footprint than running the most energy efficient dishwasher.
Ordering
Online ordering reduces paper consumption. Visit freshii.com or download our
mobile app to pre-order your next meal.
Marketing
Marketing and advertising is conducted in the digital space. Heavy reliance on
mobile app and social media leads to decreased paper usage.
Unit Design
Units are built with a smart, small and efficient design. Light on energy and heavy on
eco-friendly materials.
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Triple Bottom Line: People, Planet, Profits
Employer Less Enhanced Guest Loyal More Profitable
of Choice Turnover Experience Community Stores
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Freshii People Culture DNA – How We Win
1. Mission-led, values
based culture
2. Best-in-class tools &
systems
3. Philosophy, values &
programs that appeal
to an exceptional
millennial employee
4. Ongoing two-way
communication &
engagement with
partners & team
members
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Fresh and Nutritious Food, Energizing People on the Go
Wraps Soups Bowls
Burritos Salads Breakfast
Juices Smoothies Frozen Yogurt 47
Healthy Fast Food to the Masses with Convenience and Affordability
Made-to-order ü ü ü ü û ü
Customization
ü ü ü ü û ü
Allergen Friendly
ü ü û û û û
Bowls ü ü ü ü ü û
Broad based menu ü û û ü
Breakfast
ü ü
Competitive price Burritos ü ü û û û û
Frozen Yogurt
ü û û û û û
Attractive Entrée
item count
Juices ü û ü ü ü ü
Salads
ü ü ü ü ü ü
Smoothies
ü û û ü û û
Soups ü û ü ü ü û
Wraps ü û û û ü û
Average Entrée Price $7.50 $6.76 $9.37 $7.88 $5.23 $6.41
Total Entrées 27 7 18 57 59 41
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Menu Innovation Strategy
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Annual Menu Review
Menu Showcase Menu & Price Design Alpha Testing Beta Testing Rollout
(2 months) (1 month) (3 months) (2 months)
• Make every menu item to Spec – Gut check
• Based on 4 Lens approach, Guest feedback, Category performance
• Remove / revamp low performing items
• Add popular LTO items
• Incorporates framework to implement annual price increases
• Identify areas to cross utilize and reduce current SKU count
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Our “Anti-Chain” Design
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Real Estate Strategy Maximizes Flexibility
Flexible Footprint: Various Formats & Various Sizes
Dublin, Target
Ireland Chicago
475 Sq. Ft 1,264 Sq. Ft
Units range from less than 300 sq. ft.
to greater than 2,500 sq. ft.
Toronto, Omaha,
Ontario Nebraska
570 Sq. Ft 2,002 Sq. Ft
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Low Build-out Costs & Flexible Footprint
Examples From Our 2015 Class
LEASEHOLD / CONSTRUCTION: $132,000
KITCHEN EQUIPMENT & SMALLWARE: $55,000
POINT OF SALE: $14,000
ARCHITECT: $16,500
SIGNAGE & MENU BOARDS: $12,500
FRANCHISE FEE: $30,000
Location: Liberty Village, Toronto Location: Mississauga, Ontario
Square Footage: 425 Square Footage: 433
Buildout Cost: $245,790 Buildout Cost: $244,000
Average build-out cost
(USA & Canada): $260K
No expensive kitchen equipment:
• Ovens
• Grills
• Vents
• Fryers Location: Avery Road, Columbus, Oh Location: Fort Wayne, Indiana
• Hoods Square Footage: 1,200 Square Footage: 1,862
Buildout Cost: $234,000 Buildout Cost: $254,000
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Freshii Offers an Extensive Training Program
Freshii University
• Consists of 10 days of intensive training at the Freshii
headquarters and training store in Toronto
• Training program includes
• Theoretical and practical learning
• Access to the Freshii online platform with
learning modules
• Store operator certification
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10 Day Training
Day 1 Topics: Day 4 Topics: Day 7 Topics:
• Meet and Greet • Prep Day (dressings, • Recruitment
• Freshii/Free The Children overview ingredients, rice, quinoa, • Work the Line
• Toronto Store Tours (showcasing noodles, proteins) • Coaching/Counselling
different store types and footprints) • Work the Line • Dismissals
• Freshii Menu • First Data Presentation
• Line Flow Basics • Pinnacle Presentation
• Introduction to Inventory
• Store Audit Day 5 Topics:
• Stock Rotation
• Labelling
Day 8 Topics:
Day 2 Topics: • Par Levels • Review and Catch Up
Day
• Inventory DIY • GFS
• Inventory
• Work the Line • Work the Line
• Work the Line
• Daily Log Book • POS Cashier/Manager
• Marketing Day
• Labor and Scheduling
Day 3 Topics: Opening Shift Day 6 Topics: Closing Shift Day 9 Topics:
• Opening Tasks • Work the Line • HQ Presentation Day
• Morning Prep • POS Training
• Make Breakfast Items • My Micros
• Receiving Goods • EMC
• Guest Service • Evening Prep Day 10 Topics:
• Work the Line • Closing Tasks • Final certification exam
• Inventory • Catering for HQ Team
• Prep and Sanitation • Graduation
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Opening Support
Day 1: Day 2: Day 3: Day 4:
• Arrival checklist • Team introductions • Prep • Opening review
• Position training • Policies and Practices • Station breakdown • Breakfast mock runs
materials • Menu Overview • Menu Category Assembly • LTO training
• Check and test all • Food Safety • Mock runs • Juice / Smoothie / Froyo review
equipment & smallwares • Prep Training • Guest service • Kids Menu
• Check opening order • Clean Up • Cashier Prompts • Clean and re-stock
and conduct inventory • Q&A
Day 5: Day 6:
• Line set-up • Line set-up
• Mock runs • Mock runs
• Identify key team • Identify key team
members for given roles members for given roles
• Clean and re-stock • Clean and re-stock
Day 7: Day 8:
• Friends & Family • Opening Day
• Line set-up
• Pre-shift meeting
• Mock line rush
Day 9 - 14:
• Clean and re-stock • Overseeing the daily
operations and guest
experience
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