LINENS BRAND

Zorlu Holding Textile Group brings "Home Beauty Center" concept up to date by LINENS Stores, after the "household textile trend" concept.

LINENS, developed with an innovative and pioneer store ring concept by Zorlu Holding Textile Group who is leading in home textile sector with its production power and creations, is a first and most sophisticated "Turkish Brand" on home textile in Turkey.

In the first four years following its establishment, LINENS store ring with approximately 110 stores nowadays is aiming to have 140 stores till the end of 2005 by franchise system using the power of well known brands while growing.

STORE CONTENT

LINENS Stores are aiming to provide high quality home textiles to its customers with practical availability under a single structure. They are concept stores which operate on 300-1,500 m2 area, aiming to convert home textile shopping into pleasure with easy payment options, variety of products and designs, A to Z curtain service, private store concept, professional personnel and service quality based on customer satisfaction in all aspect.

In LINENS stores, various brands such as TAÇ and Bianca Luna are also available besides special LINENS products for store ring. Elegant home accessories, which are supplementary in home decoration in the stores and small furniture, which are suitable for upholstery fabrics in large stores, are also available.

LIFE IS EASIER FOR CUSTOMERS

The most convenient way provided for consumers by LINENS Stores is availability of all kind of home textile products such as curtains, sleeping sets, bedding clothes, bathrobes, towels, tablecloths etc. without needing to spend too much time for shopping amidst the busy daily life.

A to Z service is supplied in curtain shopping. On site measurement, sewing and mounting services are also supplied besides consultation services about issues such as selection of curtain fabric, most popular models and curtain fashion for the customers.

Quality / price balance is also offered to housewives besides many other advantages and easiness for home textile. All customers have benefits on promotions and campaigns by smart card applications and identification.

LOCATION OF A STORE

A store can be opened in any residence areas, which are easily accessible for customers, suitable for easy shopping, busy areas, dwelled by home textile consumers with a mercantile protection for other business partners on the basis of "Regional Protection Principle". A minimum of 250-450 m2 store space is needed.

Additionally, distribution activities are also carried out in Bulgaria, Ukraine, Romania, Macedonia, Saudi Arabia, Egypt, Jordan, Azerbaijan, Russia, Austria, Libya, Czech Republic, Northern Turkish Republic of Cyprus, Germany, Greece and CIS Countries. Others requests coming from abroad, especially from Eastern European countries are also evaluated.

DECORATION and PRODUCT VARIETY

Decoration of the stores is unique and setting & decoration projects are prepared & applied according to the concept by our decoration teams. Expenditures of decoration belong to franchisee. No other products in the stores can be sold other than the brands identified by LINENS. Main products are in groups such as Curtain group, Wedding-Bedding group, Bath group, and Accessory group. Cost of decoration is about 400 USD / m2 in average.

COPYRIGHT and OTHER FRANCHISE FEES

No other franchise fees is requested other than copyright or names from our new partners for now.

OBLIGATIONS OF THE FRANCHISEE

Primarily to buy a franchising, a guarantee fund, which is determined by the parent company, must be open. After opening a guarantee fund, an agreement will be signed. After signing the agreement decoration process will take place and the store will be consigned within 30-45 days on a turnkey basis while the products are ready to sell. It will be advantage if Franchisee is powerful on the basis of finance and knowing the market.

Franchisee is responsible to deliver its turnover to the center correctly if requested after the store has opened. All obligations, which include finding and hiring the personnel, their expenses, merchandising and land expenses belong to Franchisee. In case of renting the land, renting contract must be minimum for 5 years and a promise from the landlord has to be taken for continuity to operate the store along with the contract.

PARENT COMPANY SUPPORT

Our aim is supporting our new partners in all aspects for developing and bringing up the Brand of LINENS reliably.

A continuous service center will provide all technical projects and applications of the new store, financial operation plans, training of the personnel before and after opening, solutions for products, customer satisfaction.

Additionally, usage of intelligent cash registry system, which is connected to center, suitable for barcode system and computerized under approval by the center is mandatory in all stores.

FINANCIAL STRUCTURE OF THE STORE

Generally target sale rate distribution of the main products divided in two according to variety, which are curtain and other groups of products, must be set as 55 % and 45 % respectively. Average common margin of trade among the stores is between 35 % and 40 %. Pay-off period of the store is about 12-18 months according to the business volume and the location.