الخلطة السرية للامتياز التجاري - قطوف وحلا/كيان | بودكاست سوالف بزنس

Opening and Unprecedented Growth

The guest, Mashhoor Aldubayyan, shares his story of opening 200 branches of Kuttouf Sweets in just five years, which is unprecedented in Saudi Arabia.

Kuttouf Sweets' Rapid Expansion

• Kuttouf Sweets opened 200 branches in five years, an achievement unheard of in Saudi Arabia.

• Other businesses took fifteen years to reach the same number of branches.

• The guest accomplished this rapid growth by learning about franchising and expanding through partnerships.

Introduction to Franchising

The host introduces the guest's expertise in franchising and highlights the topics they will discuss, including how he learned about franchising and the common problems faced by trademark owners who want to grow through franchising.

Guest's Experience in Franchising

• The guest excelled in franchising and even founded an acquisition company to help restructure local trademarks for growth through franchising.

• This episode aims to provide information for anyone interested in expanding their business through franchising.

Interview Begins with Guest's Background

The host welcomes Abu Anas as the guest and expresses interest in hearing about his rich experience, particularly regarding Kayan. They start by discussing how Abu Anas entered the business world.

Early Business Ventures

• Abu Anas had a passion for business from a young age and started selling watermelon seeds in sixth grade.

• He later ventured into calligraphy business and advertising services before moving on to car detailing, which ultimately failed due to lack of experience.

Starting Kuttouf Sweets

Abu Anas shares the story of how Kuttouf Sweets started as a coincidence when he used to buy dates for his colleagues and friends.

Coincidental Beginnings

• Abu Anas used to buy dates for his colleagues during the annual holiday season.

• When the holiday ended before the dates season, he felt embarrassed and decided to take matters into his own hands.

• He consulted with his wife and decided to book a ticket to Al-Qassim to buy high-quality dates for himself and others.

Importance of Personal Preference in Dates

Abu Anas explains why it is important not to ask others to buy dates due to personal preferences in taste.

Personal Preferences in Dates

• Different individuals have different preferences when it comes to dates, such as juicy, soft, or dry varieties.

• Asking someone else to buy dates may result in receiving a different type than desired.

• Abu Anas learned this lesson after asking someone else and receiving dates that didn't meet his expectations.

These notes cover the main points discussed in the transcript.

Selling Dates in Al-Jubail

The speaker discusses the idea of selling dates in Al-Jubail and the potential profit that can be made.

Considering Selling Dates in Al-Jubail

• The speaker visited date stores in Al-Jubail and realized that dates were being sold at higher prices than what they were purchased for.

• They thought of buying 100 or 200 boxes of dates and selling them for a small profit to cover transportation costs.

• Initially, there was concern about the risk involved in this venture.

Texting Friends in Al-Jubail

• The speaker decided to send a text message to friends and acquaintances in Al-Jubail, who were originally from Al-Qassim, asking if they wanted to buy dates.

• They asked if it would be possible for their friends to pay in advance to cover the cost of transportation.

• Their friends agreed and paid a fee.

Unexpected Increase in Orders

The speaker talks about the unexpected increase in orders for dates, which led to logistical challenges.

Surprising Number of Orders

• Initially planning to buy 100 boxes of dates, the speaker received an overwhelming response with orders reaching 300 boxes before their trip.

• Two days before their trip, the number of orders increased further to 600 boxes.

Managing Increased Demand

• People were attracted by the reasonable price and guaranteed quality offered by the speaker.

• To accommodate the increased demand, two boxes of Mu'arram (a type of date) were combined into one new box, resulting in a total of 900 boxes.

Successful Business Trip

The speaker describes their successful business trip and how they managed the large number of orders.

Supportive Wife and Encouragement

• The speaker's wife was very supportive and encouraged them to proceed with the business venture.

• They received reassurance from a friend that everything would go smoothly.

Handling Orders and Storing Dates

• The speaker informed customers about their orders and stored the dates in the outbuilding of their house, ensuring proper temperature control.

• Customers were impressed with the quality of the dates, leading to increased popularity and more orders.

Profit and Continued Success

The speaker discusses the profit they made from selling dates and how demand continued even after the date season ended.

Satisfactory Profit

• By selling each box of dates for 90 riyals, the speaker earned a profit of at least 30 or 40 riyals per box.

• With 600 boxes sold, their total profits amounted to over 10,000 riyals.

Increasing Demand

• As word spread about the quality of the dates, demand increased further.

• The speaker received around 700 or 800 additional orders after sending another text message.

Buying Dates from Traders

• After the date season ended, the speaker had to buy dates from traders as they didn't have enough cash on hand.

• They bought large quantities from the market and refrigerated them for future sales.

Buying Dates and Seeking Help

The speaker talks about the expensive cost of dates in Al-Jubail Industrial City and how they saved money by buying in bulk. They also discuss seeking help from a dates trader named Abu Rayyan Al-Zooman.

Buying Dates at a Lower Price

• Dates were expensive in Al-Jubail Industrial City, costing around 140 riyals per box.

• By buying in bulk, they were able to save 60 riyals per box.

• After the dates season ended, they approached traders to buy from them but found their prices too high.

Seeking Help from Abu Rayyan Al-Zooman

• The speaker talked to Abu Rayyan Al-Zooman, the owner of Al-Zooman Dates, explaining their situation and asking for help.

• Abu Rayyan welcomed them and offered a special price for buying dates from his store.

Selling Dates and Adding Traditional Food

The speaker discusses how they started selling dates stored in freezers and later expanded their business by adding traditional food items like spices and cookies.

Selling Stored Dates

• The speaker bought four or five freezers and stored the dates received from Abu Rayyan.

• The stored dates were sold quickly as there was high demand for them.

Adding Traditional Food Items

• In addition to selling dates, the speaker's wife suggested selling traditional food items like spices and cookies.

• They turned their outhouse into a mini market where customers could come to buy these products.

• They created an Instagram account called "Qudu' Deerity" (My Town's Dates) to promote their products.

Challenges with Other Traders and Importance of Support

The speaker talks about facing challenges with other traders who refused to sell them dates and emphasizes the importance of support from fellow businessmen.

Challenges with Other Traders

• Other traders refused to sell dates as they stored them to sell during Ramadan at higher prices.

• The speaker believes that these traders should have supported young Saudi businessmen, even if it meant sacrificing some profit.

Importance of Support

• The speaker mentions that there is a blessing in helping others and earning Allah's blessings.

• They express gratitude towards one trader who provided support and sold them dates at a reasonable price.

Expanding Business with Goods from Riyadh and Kuwait

The speaker discusses how their business evolved by adding goods from Riyadh and later expanding further by bringing highly demanded Kuwaiti sweets to Saudi Arabia.

Adding Goods from Riyadh

• The speaker started adding goods from Riyadh based on customer requests, such as a famous rusk.

• They brought popular products from Riyadh to meet the demand of their customers.

Bringing Kuwaiti Sweets

• Customers also requested famous Kuwaiti sweets, so the speaker's wife contacted Kuwaiti stores via Instagram.

• They started driving to Kuwait every other weekend to bring back Kuwaiti sweets that were highly demanded in Saudi Arabia.

• Their popularity increased as they provided products that were in demand.

Delivering Orders and Balancing Work

The speaker talks about delivering orders to different locations, balancing work at SABIC, and handling their own business successfully.

Delivering Orders

• The speaker delivered orders to specific locations like Al-Dammam and Al-Khobar based on customer requests.

• They parked their car at designated stores where customers would come to pay for and receive their orders.

Balancing Work

• Despite running their own business successfully, the speaker continued working at SABIC from 7:00 a.m. until 3:30 p.m.

• They managed to handle their business without any disruptions and felt more motivated as they achieved success.

The transcript is already in English, so the language of the summary and study notes remains in English.

The Impact of the Business on Skills

This section discusses how the business improved the wife's skills and led to her becoming the marketing manager of Kuttouf Sweets, a company with 200 branches across the country.

Wife's Skills Improvement

• The business greatly improved the wife's skills.

• She is now the marketing manager of Kuttouf Sweets, a company with 200 branches across the country.

Lessons Learned from Experience

In this section, lessons learned from personal experiences are discussed, including how it taught the son to be more social and boosted his self-confidence.

Lessons Learned

• The wife's experience in handling business taught her a lot.

• The son became more social and confident through his involvement in the business.

• Customers' feedback and interactions played a significant role in shaping their family.

Importance of Trade Business

This section highlights how being involved in trade shaped their mindset, taught them about economic processes, and influenced their entire family.

Influence of Trade Business

• The trade business had a significant impact on their family.

• It shaped their mindset and taught them about economic processes.

• All family members were influenced by it.

Starting Kuttouf Sweets

This section explores how Kuttouf Sweets started selling chocolate boxes and modern products compared to its initial offerings. It emphasizes the importance of acquiring fundamental business skills before making significant decisions.

Starting Kuttouf Sweets

• Opening a store involves facing unexpected obstacles and difficulties that may not have been considered initially.

• Selling products in demand was a key strategy for Kuttouf Sweets.

• Acquiring fundamental business skills, such as selling products and interacting with customers, is crucial before making significant business decisions.

Being Prepared for Opening the Store

This section discusses the importance of being well-prepared before opening a store, including having knowledge of high-demand products and building strong relationships with vendors.

Importance of Preparation

• Being well-prepared before opening a store is essential.

• Knowledge of high-demand products and building strong relationships with vendors are crucial factors.

• The reputation built through preparation facilitates the opening of the first store.

Transition to Store and Customer Engagement

This section focuses on the transition from online sales to opening a physical store. It also highlights the importance of customer engagement and communication in building a successful business.

Transition to Store and Customer Engagement

• Some customers wanted to see and taste the sweets in person, leading to the decision to open a physical store.

• Building strong customer relationships through communication was crucial for success.

• Over 2000 customer chats on WhatsApp were conducted in the Eastern Province alone.

The transcript provided does not include timestamps for all sections.

New Section

This section discusses the opening of the first store in Al-Dhahran and the initial success of Kuttouf Sweets.

Opening the First Store

• The store was located next to Abu Fahad's house in Al-Dhahran.

• The founders wanted someone from Al-Dhahran to manage the store.

• They rented a store, stocked it, and designed it with modest decor.

• On the opening day, the store was very crowded with 2000 customers who already trusted them.

New Section

This section highlights the early success of Kuttouf Sweets and their expansion into other cities.

Early Success and Expansion

• People were amazed by the popularity of Kuttouf Sweets on its opening day.

• The founders received inquiries if they were giving away products for free.

• They considered this as a blessing from Allah and a successful takeoff for their business.

• After opening in Al-Dhahran, they rented a store in Unaizah and later expanded to Al-Dammam, Riyadh, and Tabuk.

New Section

This section discusses how the three partners managed their growing number of stores through hiring supervisors and their decision to adopt franchising as a way to expand further.

Managing Multiple Stores

• The three partners managed all the stores themselves initially but eventually hired supervisors to run them.

• They followed up with supervisors, sent goods to different locations, and visited stores on weekends.

• They decided to grow their business through franchising despite it being relatively unknown at that time in Saudi Arabia.

• Franchising had been adopted by famous trademarks globally but was not well-known locally yet.

New Section

This section explains the concept of franchising and the initial challenges faced by Kuttouf Sweets in implementing it.

Understanding Franchising

• Franchising is a process that helps businesses grow quickly by granting rights to others to operate under their brand.

• The founders adopted franchising as it allowed them to expand their business with less workload.

• Initially, Saudi traders were hesitant about franchising and preferred to call it "agency."

• Finding an Arab lawyer who didn't know about franchising was a humorous experience.

New Section

This section delves into the process of starting franchising for Kuttouf Sweets and the importance of a comprehensive franchise contract.

Starting Franchising

• The founders read about franchising and drafted a two or three-page contract with the help of an Arab lawyer.

• They later realized that a franchise contract should consist of around 60 pages.

• The franchise contract specifies everything, including standards for selling processes, customer handling, product arrangement, penalties for displaying expired products, etc.

New Section

This section emphasizes the importance of maintaining consistent customer experiences across all franchise stores through proper contractual agreements.

Protecting Trademark Rights

• The aim of a franchise contract is to ensure customers have the same experience at every store.

• The contract primarily protects the trademark rather than individual partners.

• Finding trustworthy partners for franchising is crucial as it involves sharing business processes and reputation risks.

• Food businesses like restaurants and sweets shops are particularly vulnerable due to potential issues like food poisoning or inadequate storage conditions.

New Section

This section discusses how Kuttouf Sweets started its first franchise store in Al-Dammam and made modifications to the franchise contract.

First Franchise Store

• A loyal customer in Al-Dhahran expressed interest in becoming a franchisee, and Kuttouf Sweets agreed to work with him.

• They signed the contract they had drafted and applied identity standards to open the first franchise store in Al-Dammam.

• The initial contract was later modified with the help of a franchise lawyer who provided an operational manual for franchisees.

New Section

This section highlights the rapid expansion of Kuttouf Sweets through franchising and their meticulous approach to maintaining quality standards.

Rapid Expansion and Quality Control

• Kuttouf Sweets opened 15 branches during Ramadan, all of which were franchises.

• The founders personally checked goods, prices, standards, and systems at each store when they initially opened up to 106 stores.

• They now have dedicated personnel responsible for these processes, ensuring that no store opens without proper inspection.

New Section

In this section, the speaker discusses the importance of humility and hard work in business, sharing personal anecdotes and insights.

The Value of Humility and Hard Work

• The speaker's partners had warned him about the challenges of running a business, but he believes that nothing is truly difficult.

• Emphasizes the importance of not being too proud to do simple tasks or clean, regardless of one's background or status.

• Shares a story about helping an employee set up a store before its opening, highlighting the need for humility in all aspects of business.

• Describes an incident where an employee was shocked to discover that the speaker, who owned multiple branches, was personally involved in cleaning a storage room.

• Explains that when employees see their employer doing simple chores, it motivates them to work harder and feel less ashamed about performing similar tasks.

New Section

In this section, the speaker discusses the motivation behind opening numerous branches during Ramadan and explains the process of franchising.

Opening Branches During Ramadan

• States that opening branches during Ramadan was primarily driven by financial considerations.

• Explains the franchise application process and how potential partners are evaluated based on their character and seriousness.

• Details how partners are guided in finding suitable locations according to company standards before signing a memorandum of understanding.

• Discusses the franchise fee, which varies for each brand and increases with the number of branches opened.

• Mentions that the franchisee is responsible for setting up the store but receives assistance from the company in dealing with contractors and suppliers.

New Section

In this section, the speaker explains the financial aspects of franchising, including fees and payment terms.

Financial Aspects of Franchising

• Clarifies that franchisees pay a monthly percentage (5%) based on sales revenue to the company.

• States that franchisees receive a monthly statement and are required to make payments accordingly.

• Highlights that all sales must be made through the company's system, as selling outside of it is considered a breach of contract.

• Emphasizes that it is important for franchisees to adhere to contractual obligations and not justify unethical behavior by claiming financial difficulties.

The transcript provided does not include timestamps beyond 0:43:10 seconds.

Advertising Percentage

In this section, the speaker discusses the advertising percentage and how it is collected and spent on advertising. They also mention that franchisees have the right to see the percentages during the annual meeting.

Explanation of Advertising Percentage

• The advertising percentage is collected from monthly sales and used for advertising purposes.

• The speaker mentions that 1% of sales is deducted for Kuttouf's advertising.

• The board directors of Kuttouf also spend the same amount of money on advertising.

• The funds are used for social media, participations in exhibitions, and other marketing activities.

Franchise Fee and Advertising

• The franchisee asks if the advertising percentage should be included in the franchise fee since they already pay a 5% fee.

• The speaker clarifies that the 1% advertising percentage is separate from the franchise fee.

• They explain that when they collect 200 thousand riyals, they spend it on advertising to promote the trademark in general.

Benefits of Advertising

• Although the advertisement promotes the brand as a whole, all branches benefit from increased exposure.

• Increased exposure leads to higher sales for individual branches.

Online Store Supply and Franchise Cost

This section focuses on Kuttouf Sweets' online store supply chain and provides information about franchise costs.

Online Store Supply

• Both company-owned branches and franchise branches supply products to Kuttouf Sweets' online store.

• However, in regions where there are no company-owned branches, partners are responsible for fulfilling online orders.

Franchise Cost

• Without goods, opening a Kuttouf Sweets store as a franchisee costs between 250 and 300 thousand riyals.

• Goods cost an additional 150 to 200 thousand riyals but are not included in the business costs as they are sold and returned.

Setting Up a Store with a Low Budget

The speaker discusses the importance of setting up an ideal store with a low budget to ensure expandability. They also share their experience of acquiring brands and rebuilding them.

Setting Up an Ideal Store

• The speaker advises against spending large amounts on interior design when starting a franchise.

• They share an example of another sweets brand that spent 800 thousand riyals on interior design alone.

• Instead, they recommend using cost-effective materials such as porcelain or wood flooring and gypsum board ceilings.

• By working with affordable carpentry companies, they were able to keep the shop setup cost around 250 thousand riyals.

Importance of Expandability

• The ideal store setup should be designed with a low budget to allow for future expansion.

• The speaker mentions that they have rebuilt acquired brands and made improvements to their stores.

Focus on Customer Service and Unique Offerings

This section emphasizes the importance of customer service, unique offerings, and attention to detail for franchisees.

Importance of Customer Service

• The speaker highlights that customer satisfaction is more important than interior design.

• They advise franchisees to focus on prices, quality, and providing excellent customer service.

• Customers may initially notice the interior design but will eventually get used to it.

Unique Offerings

• Franchisees should invest with a small capital to recover it faster and avoid unnecessary expenses.

• It is crucial for franchisors to provide something special or unique from other businesses before franchising.

• Having their own secret ingredient or exclusive products increases sales and fosters loyalty among franchisees.

Overseeing Franchise Branches

This section discusses the challenges of overseeing franchise branches and the importance of providing support and guidance to franchisees.

Challenges of Overseeing Franchise Branches

• Overseeing franchise branches is more complex than managing company-owned branches.

• The speaker emphasizes the need for continuous follow-up, advice, and assistance to franchisees.

• Identifying weaknesses in different branches and taking prompt action to close the gap is crucial.

Importance of Support and Control

• A competent and supervised team should be responsible for monitoring franchise branches and submitting reports.

• Preventing gaps from widening as the business expands is essential to avoid collapse.

• The speaker compares overseeing franchise branches to raising a child, where continuous support is necessary.

Franchising Challenges

This section highlights the challenges of franchising a business and draws parallels with marriage responsibilities.

Franchising Challenges

• The speaker states that franchising is the hardest thing in the world, particularly due to operational difficulties.

• They compare starting a business to getting married, where initial preparations are relatively easy compared to long-term responsibilities.

Parallels with Marriage Responsibilities

• Just like in a marriage, after starting a business or franchising, real challenges arise.

• Meeting demands, resolving disagreements, maintaining quality standards become ongoing responsibilities.

• The speaker emphasizes that successful franchising requires more than just selling rights; it involves careful oversight and support.

New Section

In this section, the speaker discusses the concept of marriage and applies it to franchising, highlighting the importance of understanding that not all outcomes will be positive.

Ten Daughters Married to Ten Husbands

• The speaker uses the analogy of having ten daughters married to ten husbands to explain that not all outcomes can be guaranteed in any situation.

• It is unrealistic to expect all marriages or business ventures to be successful.

• The success rate in both scenarios is around 80%.

Franchising and Risk

• The speaker mentions that Saudi Arabia implemented a commercial franchise law a year ago, which established regulations for franchising.

• Prior to this law, there were no rules governing franchising, leading to potential risks for franchisees.

• The new law provides protection and regulation for franchisees.

Need for Specialized Franchise Court

• The speaker suggests the establishment of a specialized court in franchise law with experienced judges.

• This would ensure faster decision-making processes compared to general courts.

• Given the country's increasing focus on franchising, specialized courts would be beneficial.

Problems and Disagreements in Franchising

• The speaker acknowledges that problems and disagreements can arise in franchising and business in general.

• Working hard and taking risks are inherent aspects of entrepreneurship.

New Section

In this section, the speaker expresses their personal preference for franchising as a business model and highlights its advantages during times of crisis.

Benefits of Franchising

• The speaker personally favors franchising as a business model and encourages others to consider it.

• They mention being called "the franchising godfather" due to their positive experiences with franchising.

Surviving the COVID Crisis through Franchising

• The speaker shares their experience during the COVID crisis, where their franchise business, Kuttouf, survived smoothly.

• They attribute this success to not owning all 180 branches of the business.

• By distributing efforts and responsibilities among multiple owners, losses were minimized.

Cooperation and Sharing in Franchising

• The speaker emphasizes the importance of cooperation and sharing in franchising.

• They mention that working as a network helped them survive the crisis together.

• Sharing the burden of costs and responsibilities is one of the advantages of franchising.

New Section

In this section, the speaker discusses the advantages of franchising over sole ownership and highlights the role of Monsha'at franchise center.

Advantages of Franchising

• The speaker compares opening 200 branches in 5 years through franchising with opening only 120 branches in 14 years without franchising.

• They highlight that franchising allows for faster expansion and profit generation compared to sole ownership.

Monsha'at Franchise Center

• The speaker mentions their collaboration with Social Development Bank in proposing the establishment of a franchise department within Monsha'at (Saudi Small & Medium Enterprises Authority).

• They suggest providing potential franchisees with a list of brands to choose from instead of handing out funds directly.

• This approach minimizes risks by allowing individuals to select established brands for their businesses.

New Section

This section discusses the background and history of Kayan franchise, including how the business started and the founder's experience.

How Kayan Started

• The founder of Kayan is Mohammed Al-Harbi (Abu Hamad). He started the business from scratch.

• Abu Hamad worked with his own hands, mixing tea with milk, while also having a job.

• Despite being an employee with a decent salary, Abu Hamad was dedicated to his tea stand and worked hard.

• The speaker emphasizes that Abu Hamad was someone who started from the very beginning and worked on himself.

Joining Kayan

• The speaker joined Kayan after it had already started operating.

• There were three branches of Kayan before the speaker joined.

• These branches opened over a ten-year period in Al-Qassim region.

Franchising Experience

• The speaker met Abu Hamad through their mutual friend Mohammed Al-Dabibi (Abu Saleh).

• Abu Saleh informed the speaker that Abu Hamad wanted to franchise their business like Kuttouf.

• After negotiations that lasted for a year, they reached an agreement to establish a franchise partnership.

• Abu Hamad was initially concerned about maintaining quality when franchising but was reassured by the speaker.

New Section

This section addresses rumors about Kayan using alcohol in their beverages and how it affected the business.

Rumors About Alcohol Usage

• There was a rumor that Kayan mixed alcohol with their coffee, which originated from another coffee shop in Unaizah adding alcohol to its beverages.

• The rumor specifically started at the Western ring branch between Unaizah and Buraidah.

• A video capturing long car lines waiting for two hours at Kayan contributed to spreading this rumor.

Incident and Acquittal

• The founder of Kayan was imprisoned due to the rumor.

• However, he was acquitted after samples from the mixture were tested and proven to be alcohol-free.

• This incident actually increased the number of customers for Kayan as people sympathized with the founder.

New Section

This section provides further details about the incident involving rumors of alcohol usage at Kayan and highlights the founder's character.

Details of the Incident

• The rumor started because there were long car lines at Kayan, with some cars waiting for two hours to receive their orders.

• The long wait time was due to a signature drink called "Kayan mixture," which resembled a virgin mojito, leading to suspicions of alcohol usage.

Founder's Character

• The speaker emphasizes that the founder is a God-fearing man with good intentions who did not want to franchise his business out of consideration for his customers' rights.

• He pays vendors in cash and does not want to owe anyone money.

• Despite facing challenges, he remained committed to maintaining quality and serving his customers.

New Section

This section discusses how franchising negotiations took place and how they established a company for operating on a larger scale.

Franchising Negotiations

• Abu Saleh mediated between the speaker and Abu Hamad during franchising negotiations.

• Initially, Abu Hamad had concerns about potential problems or being taken advantage of in franchising.

• The speaker reassured him that problems are inevitable but can be solved, leading them to sign a contract in 2019.

Establishing a Company

• To operate on a larger scale, they established their own company, bought a warehouse, and started franchising.

• They also granted licenses and built infrastructure for managing branches effectively.

New Section

This section highlights the partnership and roles within the franchise company.

Franchise Partnership

• Abu Hamad brought new partners, Abu Mohannad and Ali Al-Saifi, who were already working with him.

• The speaker and Abu Saleh also joined as franchise partners, forming a group of five partners.

Assigned Roles

• Each partner was assigned a specific role within the business, such as construction, IT, logistics, etc.

• The speaker oversaw franchising while Abu Hamad focused on maintaining quality due to his obsession with it.

New Section

This section discusses the number of franchising applications received by Kayan.

Franchising Applications

• After starting franchising operations, Kayan received numerous applications from individuals interested in becoming franchisees.

Opening of Stores and Success

This section discusses the success and popularity of Kayan stores after they were opened.

Opening of Stores

• After opening the stores, people witnessed their success and how crowded they were.

• The defamation case helped spread awareness about Kayan as people watched the video and saw its popularity. The story served as a positive promotion for Kayan across Gulf countries.

Number of Branches

• Over 200 branches of Kayan have been opened to date, with an estimate of around 227 branches. The exact number is uncertain.

• Kuttouf Sweets and Kayan together have more than 200 branches.

Franchise Applications

• Initially, around 30 franchise licenses were granted for Kayan, but due to high demand and limited supply from vendors, granting licenses was stopped temporarily. Preparation was needed to meet the high demand for espresso machines and raw materials.

• International shipping delays also contributed to the temporary halt in granting franchise licenses for six months. A new stage was planned to start on June 1st.

Revenues and Expansion Plans

This section focuses on the revenues generated by Kuttouf Sweets and Kayan, as well as their expansion plans.

Revenues

• Kuttouf Sweets and Kayan generate hundreds of millions in revenue annually, exceeding 100 million SAR (Saudi Arabian Riyal). Exact figures are not provided.

Expansion Plans

• The target for 2022 is to open around 300 branches, including two branches in Bahrain, two in Oman, and negotiations with Kuwait and Jordan. Expansion is planned across Gulf and Arab countries.

Hemam Company and Brand Acquisition

This section introduces Hemam Company and its role in acquiring brands.

Hemam Company

• Hemam is a company that acquires trademarks and supports brands lacking elements of success. It aims to connect investors and facilitate brand acquisition or sale.

• The management team at Hemam has been trained on different brands to ensure effective operation processes.

Brand Acquisition

• Hemam acquires start-up brands or those lacking sustainability and growth potential. Four brands have been acquired so far, with a focus on profitability and franchise potential.

• Rather than taking over the business completely, Hemam joins as a partner, acquiring 40% to 45% ownership. The aim is to provide guidance and expertise to young Saudi businessmen who lack experience in pricing products and calculating costs effectively.

Franchising Eligibility Criteria

This section discusses the criteria for a business to be eligible for franchising.

Franchising Eligibility

• A business becomes eligible for franchising if it has unique services or products in demand, such as special recipes or packaging that create a distinctive customer experience. Financial development, operational management, and brand identity modifications may be necessary before franchising can occur.

These notes provide an overview of the main topics discussed in the transcript using timestamps when available.

Expanding the Brand Portfolio

The speaker discusses the potential for expanding a shawarma brand by acquiring other brands, such as a juice brand.

Acquiring Other Brands

• The speaker suggests that if you own a shawarma brand, you can consider buying a juice brand or other complementary brands.

Demonstrating Success with Numbers

• The speaker mentions that they have acquired four brands and will prove their success through numbers rather than bragging. They plan to showcase examples of franchise license purchases, branch openings, capital recovery time, income generated, and net profit.

Hemam's Growth Plans

• The speaker states that Hemam will continue to grow but does not provide further details at this point.

Announcement Plans

• When asked about not announcing yet, the speaker explains that they were forced to announce due to the interview but had planned for a strong marketing campaign after making an official announcement.

Unique Business Model in Saudi Arabia

• The speaker highlights that Hemam is the first brand in Saudi Arabia to simultaneously acquire, develop, sell rights, and buy brands. They offer both services - helping people sell their brands or offering brands for purchase.

Reflection on Past Mistakes and Personal Growth

The speaker reflects on personal growth and mistakes made during their journey with Kuttouf Sweets.

Learning from Mistakes

• The speaker acknowledges making many mistakes but emphasizes learning from them. They mention changes in their personality from being angry and violent due to work pressure and ignorance.

Personal Transformation

• Through self-reflection and acknowledging mistakes, the speaker has undergone a significant personality change. They now have more control over themselves and have partnered with 14 brands, including a shawarma brand, a juice brand, Holic, and Chic salon.

Partnering in a Women's Beauty Salon

• The speaker shares an anecdote about becoming a partner in a women's beauty salon called Chic salon in Al-Qassim. They mention franchising plans for the salon and overcoming skepticism from others.

Embracing Challenges

• Despite discouragement from others, the speaker remains determined to prove their capabilities. They accept challenges and surprise skeptics by selling four licenses for the salon across the Kingdom.

Building Trust and Centralizing Business Operations

The speaker discusses building trust with clients, being honest in business dealings, and centralizing business operations.

Trustworthiness and Honesty

• The speaker emphasizes being honest, trustworthy, and straightforward in business interactions. Clients rely on their company's reputation rather than just the brand being sold.

Centralization of Business Operations

• The speaker shares an experience of initially running their business without an office but instead working hands-on in the warehouse. A Saudi businessman advises them to centralize operations at the beginning stages to learn all aspects of the work before moving up to manage from a higher level.

Learning from Others

• The speaker values learning from people regardless of their business size or industry. They highlight their willingness to visit even small restaurants if someone asks them to see it personally.

Resigning from SABIC and Starting at Kuttouf

In this section, the speaker discusses their decision to resign from their job at SABIC in 2018 and start working at Kuttouf. They explain that they were initially hesitant to retire but eventually took the step after Kuttouf flourished. The speaker also mentions that they moved to Unaizah for their mother's sake and improved their relationship with her.

Resigning from SABIC

• The speaker resigned from their job at SABIC in 2018.

• They were afraid to take the step but decided to resign after Kuttouf flourished.

• Kuttouf offered them the same salary as SABIC, a two-year contract, and ensured all their needs would be taken care of.

Moving to Unaizah for Mother

• After resigning, the speaker moved to Unaizah for their mother's sake.

• They did not mention their mother during the interview but realized they hadn't been attentive enough to their father when he passed away.

Improving Relationship with Mother

• The speaker immediately changed and improved their relationship with their mother.

• They promised themselves never to refuse her requests and do anything she asks, even if they despise doing it.

Inviting Mother to Store Opening

• The speaker considers their mother as a business partner.

• Initially, they wanted to invite her to the opening of their first store in Al-Dhahran but knew she didn't like traveling far from home.

• To trick her into coming, they called and asked if they should attend a wedding in Unzaiah. When she said yes, they invited her to the store opening instead.

Importance of Mother's Supplications

In this section, the speaker emphasizes the importance of their mother's supplications and how it contributed to their success. They share an anecdote about their mother's dedication to supplicating for them and how it impacted their business.

Mother's Supplications

• The speaker believes that Kuttouf was a great success due to the blessing of Allah and their mother's supplications.

• Their mother prayed for them day and night, and their siblings were jealous of how much she prayed specifically for the speaker.

• The speaker attributes their personal success, as well as the success of Kuttouf Sweets, Kayan, and other businesses they acquired, to their mother's supplications.

Success and Gratitude

In this section, the speaker reflects on their success and expresses gratitude towards Allah and their mother. They talk about receiving offers from brands due to their reputation and emphasize the importance of sincerity in business.

Achieving Success

• The speaker receives offers from two or three brands monthly because of their name.

• They attribute their success to Allah's blessings and their mother's supplications.

• The speaker worked hard but acknowledges that without Allah's aid and their mother's prayers, they wouldn't have achieved such prosperity.

Gratitude towards Mother

• The speaker considers their mother as a business partner who shares in their wealth.

• Despite giving her money, she insists on giving it to the children instead. However, the speaker insists that it is her rightful share.

• They believe that Allah has granted them provision from unexpected sources.

Personal Growth through Work Experience

In this section, the speaker discusses how working at SABIC for many years shaped them professionally. They talk about the importance of planning, saving, and following up. The speaker also mentions the sacrifices they made for their second job and how it improved their personality.

Working at SABIC

• The speaker worked at SABIC for 20 or 22 years, which added to their knowledge and shaped their way of thinking.

• They learned important skills such as planning, saving, and following up during their time at SABIC.

Sacrifices for Second Job

• After finishing their first job, the speaker would arrive in Al-Jubail at 3:30 p.m., take a bath, greet their kids, and leave for their second job.

• They faced many problems and obstacles but believe that these experiences improved their personality.

Personal Growth and Achievements

In this section, the speaker reflects on personal growth and achievements. They mention that they don't consider mistakes as regrets because they led to great success. The speaker emphasizes how business has improved their whole personality with Allah's aid.

Personal Growth through Business

• The speaker believes that they have achieved something worthwhile due to Allah's blessings.

• They acknowledge making mistakes but emphasize that these experiences improved their behavior, mindset, manners, temper, relationship with others, speaking skills, listening skills, and overall mentality.

Achievements through Business

• With Allah's aid and hard work, the speaker achieved great success in business.

• They receive offers from brands regularly due to their reputation.

• The speaker advises businessmen to be sincere in actions for the sake of Allah and not be greedy. They emphasize the importance of good intentions and seizing both small and big opportunities.

Conclusion

The transcript highlights the journey of the speaker from resigning from a stable job to starting a successful business. It emphasizes the significance of family support, particularly the mother's supplications, in achieving success. The speaker expresses gratitude towards Allah and their mother for their achievements and personal growth. They also share insights on the importance of sincerity, good intentions, and seizing opportunities in business.

Achieving Aspirations and Satisfaction

In this section, the speaker reflects on achieving their aspirations and feeling satisfied with their life.

Reflection on Achievements and Satisfaction

• The speaker expresses that they have achieved their aspirations to the point where they feel 100% satisfied.

• They emphasize being satisfied with where they are today.

• The speaker shares their prayer to Allah for a good death, blessings, and protection from injustice and bad intentions.

Unexpected Question and Positive Outlook

This section highlights the unexpectedness of a question asked during the interview and the speaker's positive outlook on life.

Unexpected Question and Positive Outlook

• The speaker expresses surprise at being asked a question they didn't expect before.

• They speculate that their satisfaction with life may be why they don't remember negative experiences or quickly move on from them.

• The speaker assures the interviewer that they will answer the last question posed to them.

Casual Interview Experience

This section focuses on the casual and comfortable nature of the interview experience.

Casual Interview Experience

• The speaker comments on how interviews are usually formal and put guests under pressure.

• They appreciate feeling comfortable during this interview, which was longer than initially planned.

• The speaker commends the podcast for allowing natural conversation and making them feel at ease.

Genuine Conversation and Comfort

This section highlights the genuine conversation and comfort experienced during the interview.

Genuine Conversation and Comfort

• The speaker expresses feeling at ease during the interview, as if they were talking to a friend.

• They appreciate the lack of pretension or tension in the conversation.

• The speaker praises the podcast's unique policy of allowing guests to speak freely and share their experiences.

Focus on Benefiting from Experience

This section emphasizes the focus on benefiting from shared experiences rather than controversial topics.

Focus on Benefiting from Experience

• The interviewer expresses their intention to benefit from the guest's experience, particularly in franchising.

• They highlight their desire for people interested in franchising to learn from this vast experience before starting a business.

Appreciation and Consultation Offer

This section includes expressions of gratitude and an offer for free consultations.

Appreciation and Consultation Offer

• The speaker thanks the interviewer for their determination in setting up the interview and praises their team.

• They express enjoyment of the podcast and offer free consultations, believing that charging for information is unnecessary.

• The speaker shares a personal story about receiving free consultation and encourages others to reach out for help.

Closing Remarks

This section includes closing remarks and an invitation for future interactions.

Closing Remarks

• The speaker expresses gratitude for the interview, saving time for other engagements, and hopes for future meetings.

• They offer their assistance to anyone serious about seeking advice or help in Unaizah or Riyadh.

The transcript provided does not specify the language used, so the summary is written in English as per the instructions given.