Questions
The questions prospects actually ask.
Including the ones with answers you may not want.
How much does a GBX franchise cost?
Turnkey investment starts at R950 000 for an entry-format store, excluding VAT, and that figure is indicative. What your store costs depends on the format, the site and the landlord's tenant installation. We give you the precise investment, the franchise fee, the royalty and the marketing levy in the qualification interview, and again in full statutory form in the Disclosure Document you receive at least fourteen days before you are asked to sign.
Do you finance the franchise?
No. We do not lend to franchisees. We have working relationships with banks and franchise-finance specialists and we are happy to introduce you, but your funding needs to be in place before we sign a Franchise Agreement.
How long is the franchise term?
Ten years initially, with one renewal term of five years. A fifteen-year horizon in total.
Can I run more than one store?
Yes, once you have a track record. We normally want a franchisee to operate one store profitably for at least twenty-four months before we discuss a second.
Can I have a passive financial partner?
Yes, provided there is a hands-on operator-franchisee with material equity and management control. We assess the structure on its merits. What we will not approve is a franchise with no operator in it.
Do I get an exclusive territory?
Territorial rights are recorded in writing in the Franchise Agreement. Some territories are non-exclusive and some are exclusive subject to performance, and we reserve other channels including e-commerce, wholesale and national accounts. We discuss this for your specific location and it is set out in the Disclosure Document — read that section closely.
Can I buy an existing GBX store from another franchisee?
Subject to our prior written approval, our right of first refusal, the transfer fee in the Franchise Agreement, and your meeting our standard selection criteria.
What if I want to sell in five years?
You may, subject to the transfer provisions — our written consent, our right of first refusal, the transfer fee, and the buyer meeting our selection criteria.
Is there a restraint of trade?
Yes. There is a restraint during the term and for two years afterwards, within the territory and within ten kilometres of your premises and of any other GBX outlet, covering competing activity and the solicitation of customers, suppliers, staff and other franchisees. It is set out in full in the Disclosure Document and the Franchise Agreement.
Why only 12V vehicle batteries — why not solar and inverters too?
Specialisation is the strategy. The category is large enough on its own, the customer is well defined, the inventory is manageable and a technician can be trained to genuine expertise. Adding inverters and solar would dilute focus, lengthen training and undermine the battery-expert positioning that wins the business in the first place.
Is this a passive investment?
No, and we will not approve it as one. This is a hands-on, owner-operated retail and workshop business with a ten-year horizon. If you are looking for something a manager runs while you do something else, please do not apply — we will decline it and we will both have wasted the time.
What happens if a vehicle is damaged during fitment?
Every store carries public liability and product liability cover, and motor cover where the store offers mobile fitment. The fitment procedure is built to prevent damage; the insurance is there for the rare incident.
Not answered here? Ask us directly at nustores@gbxpress.co.za. If the answer belongs in the Disclosure Document rather than in an e-mail, we will say so and tell you which section it is in.
Before you go any further
Your rights when anyone sells you a franchise in South Africa
These are not our concessions. They are your statutory rights under the Consumer Protection Act, and you should hold every franchisor you talk to — including us — to them.
Take advice. We would rather you took independent legal and financial advice before you sign, and spoke to existing franchisees, than that you did not.
Nothing on this website is an offer, a projection, a forecast or a guarantee of the performance of any outlet. No statement made here may be relied upon unless it is repeated in the Disclosure Document or in the Franchise Agreement itself.