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Company Description
*(Expanded for Strategic Depth and Local Context)*
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### Background & Core Expertise
Boaz Trading PLC, founded in 2010, is a diversified Ethiopian enterprise with a proven track record in agriculture, logistics, and cross-border trade. Leveraging its decade-long expertise in supply chain optimization and market penetration, the company is strategically diversifying into the food sector through a franchised chicken concept. This pivot capitalizes on Ethiopia’s urban transformation, where 25% of the population now resides in cities, and demand for convenient, affordable dining is surging.
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### Strategic Diversification into Franchising
1. Why Franchising?
- Scalability: Franchising allows rapid expansion across Ethiopia’s high-growth urban centers (Addis Ababa, Dire Dawa, Hawassa) with minimal corporate overhead.
- Risk Mitigation: Shared investment with franchisees reduces financial exposure while incentivizing local ownership.
- Local Empowerment: Targets Ethiopian entrepreneurs seeking low-risk, high-reward opportunities (average franchise setup cost: 1.5M ETB per location).
2. Synergy with Existing Operations
- Supply Chain Leverage: Utilizes Boaz’s established network of warehouses, cold storage, and distribution hubs to ensure 80% of ingredients (chicken, spices, teff) are sourced domestically.
- Ethiopian Poultry Partnerships: Contracts with Amhara Poultry Farm and Oromia Agri-Processors guarantee fresh, halal-certified chicken at 15% below import prices.
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### Local Sourcing Commitment
*“From Farm to Franchise”*
- Ingredients Breakdown:
| Item | Local Source | Cost Efficiency |
|-------------------|-----------------------------------|---------------------------|
| Chicken | Amhara Poultry Farm (Debre Berhan)| 20% cheaper than imports |
| Spices (Berbere) | Addis Mercato suppliers | Supports 50+ local farmers|
| Teff/Injera | Cooperative unions in Bahir Dar | Stabilizes rural income |
- Economic Impact:
- Directly supports 200+ Ethiopian farmers and processors.
- Reduces foreign currency expenditure by 40% compared to import-reliant competitors.
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### Cultural Adaptation & Global Standards
1. Menu Philosophy:
- Glocalization: Merges global QSR efficiency with Ethiopian culinary traditions.
- *Example*: “Doro Burger” (spiced chicken patty in injera bun) and “Shiro Bites” (vegan chickpea snacks).
- Halal Compliance: Certifications from the Ethiopian Islamic Affairs Supreme Council to cater to 95% Muslim-majority regions.
2. Quality Assurance:
- Training: Partnerships with Ethiopian Technical and Vocational Training Institutes (TVETs) to standardize food safety (HACCP) and customer service.
- Tech Integration: IoT sensors in kitchens monitor oil freshness and cooking temperatures, reducing waste by 15%.
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### Franchise Model Structure
| Component | Detail |
|----------------------|---------------------------------------------------------------------------|
| Franchise Fee | 1.5M ETB per location (includes equipment, branding, and staff training).|
| Royalty | 8% of monthly sales, reinvested into national marketing campaigns. |
| Support | Centralized supply chain, 24/7 IT helpline, and quarterly audits. |
| Expansion Target | 10 franchises in Addis Ababa by 2025; 30+ across Ethiopia by 2027. |
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### Alignment with National Priorities
1. Job Creation:
- Each franchise generates 12–15 jobs (4,000–5,000 ETB/month salaries), directly addressing Ethiopia’s 19% urban unemployment rate.