Invest in Coffee & Help the Heroes | NEW VISION COFFEE EUROPE

New Vision Coffee Europe Ltd (New Vision) operate a number of Starbucks Coffee shops in American Air Force and Army Bases around the world. They are now seeking a raise of £100,000 in order to expand the company and open the only 'to go' coffee kiosk in an embassy, whereby 1% of each investment will be donated to Help for Heroes.

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Operating Starbucks Coffee Stores on American Air Force and Army Bases worldwide

New Vision have partnered with Starbucks as they are ranked as one of America's top brands, with an estimated 20% of American adults visiting Starbucks at least weekly*. New Vision has 6 stores in American Air Force and Army Bases with a loyal American customer base, in a place where the competition is virtually non-existent and the number of customers remains constant. The business is driven by a highly experienced team that have proven the business model across six existing Starbucks cafÃ©s.

The Bases, where each of the stores is located, have all the facilities required by soldiers and their families. As the number of people in the Base is relatively small, the Base has a policy of only operating a one-of-a kind shop.

A strong brand, captive audience, limited competition and constant catchment size means that New Vision is trading in a very stable environment with a turnover that is unlikely to decrease or increase materially. With New Vision now having opened all the stores it can in the Bases, its costs are known and its EBDITA is stable and predictable.

The team consists of two directors, who are experienced franchise operators, and an Operations Manager, who was regional manager for Starbucks UK for 15 years. The directors have extensive experience in site selection, fitting out sites and store management in a franchise environment. They are also experienced in running a profitable business.

Based on how New Vision Coffee Europe Limited has provided a valuable service to American personnel, NVCE has been asked to open a small Starbucks an Consulate and two Embassies in two important capital cities. For each store, the Starbucks license and AAFES license is for 10 years from the date of store opening, which means that all stores have at least another 7 years before their existing licenses expire.

Recently, New Vision has also secured 12 sites in the Bases, where it is rolling out Starbucks vending machines in partnership with Selecta, the largest vending machine operator in Europe. Selecta finances and operates the machines and NVCE gets 10% of all sales for securing the sites. In addition to the Bases, New Vision is also installing vending machines in other embassies.

The first vending machine was installed in the first week of August. The vending machines are estimated to generate a net profit of £130,000 per annum. Currently, New Vision has a loan of c.£650k (loan approximately £450,000 and £200,000 agreed in principal) from Metro Bank.

New Vision is seeking funds of approximately £100,000 to open the first to-go kiosk and â€œkick startâ€ the Starbucks to-go roll out. In addition, 1% of each investment will be donated to Help the Heroes, who give practical, direct support to our wounded, injured and sick soldiers.

www.helpforheroes.org.uk

* http://www.mintel.com/

NEW VISION COFFEE EUROPE

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