What Is HATTECH all about?

HATTECH Point Of Sale Solutions

HATTECH Holdings is a company founded by three brothers with a passion for business and a mission to empower South African businesses with an affordable and practical point of sale (POS) solutions.

The HATTECH POS Evolution Software was developed by the CEO and main founder of the company, Pieter Hattingh in 2012. Since then the HATTECH management team has dedicated their professional lives to developing and evolving the product into what it is today.

In 2015, due to the popularity and functionality of the product, the decision was made turn the business into a franchise and open a number of branches across the country. Research into the different business possibilities began; locations for the different branches were identified and a firm decision was made that HATTECH will be an exclusive product supplier and service? provider with only a select number of branches.

FRANCHISE OPPORTUNITIES

The HATTECH product range

HATTECH Point Of Sale Solutions

HATTECH Holdings Pty (Ltd) have developed the world’s best point of sale system for any business size, from small and medium-sized businesses to large enterprises.

HATTECH POS Evolution is a point of sale software application that can be customised and tailored to fit most business industries.

Although the application was primarily developed for the hospitality industry it can be used in almost any industry. We currently cater for most industries in the market and will continue to develop solutions for every individual enterprise.

  • Hospitality – any small to large hotel, restaurant, bar or pub, lodge, tuck shop, guesthouse, or any other business in the hospitality industry.
  • Retail – convenience stores, mini markets, supermarkets, wholesalers
  • Education – schools, colleges, universities, preschools
  • Corporate – call centres, office driven business
  • Automotive – car repair workshops, alarm/security installers
  • Sports & Recreation – sports clubs, golf courses, driving ranges

While introducing our products to the market we soon discovered that there is a great demand for user-friendly, affordable business management software. All of the HATTECH branches have in-house specialists to assist you and your business with the following:

  • Software customisation- POS Evolution, Windows, Microsoft office, MySQL Server, and more
  • Solution development
  • Hardware installations
  • Professional technical support
  • Technical engineering
  • Business consulting
  • Product training

The following software and hardware are included in our Point of Sale solution range:

Point of Sale software

  • HATTECH POS Evolution
  • HATTECH CBM, Cloud business management (in development)
  • HATTECH SCM, Supply chain management (in development)
  • HATTECH Mobile waitron.
  • Barcode PLUS

Point of Sale hardware

  • All in One Point of Sale Terminals
  • Touch screen terminals
  • Touchscreens
  • Industrial waterproof touch screens
  • LCD Non-touch screens
  • Point of Sale PC
  • Point of Sale Nano PC
  • Cash drawers
  • Barcode scanners
  • Thermal Slip printers
  • Dot-matrix kitchen printers
  • Label Printers
  • Card printers
  • Card readers
  • Biometric scanners
  • Pole displays
  • Second LCD displays
  • PDA Units
  • RFID Units
  • Point of Sale Tablets
  • Kitchen Buzzers

Our POS Evolution Software Has The Following Unique Selling Points

HATTECH Holdings Pty (Ltd) have developed the world’s best point of sale system for any business size, from small and medium-sized businesses to large enterprises.

Our software, known as POS Evolution, has the following benefits:

  • Price – there are no yearly/monthly license fees or registration fees. You only pay a once off purchase price.
  • Customisable – our software is fully customisable to suit the needs of any entrepreneur or business.
  • Ease of use – the application is easy to use and easy to navigate, with a user-friendly menu that anyone will be able to understand.
  • Support – we have a national support team on call to ensure exceptional service and remote assistance to just about anywhere in the country.
  • Training – we provide full on-site training.
  • Recipes – the software has a recipe function that will allow you to create custom recipes for accurate reporting. You can combine several items from the inventory to create one final product. I.e. packaging + label + content = final product.
  • Compatibility – the software is compatible with the latest Microsoft operating systems. The software works on any windows computer or tablet.
  • Unlimited users – you can add an unlimited number of users and roles.
  • Accounting – all sales, stock, inventory, cost and transactions data can be exported as a CSV file, or a number of other formats options, and incorporated in to any accounting software like Pastel, QuickBooks and Microsoft Excel.
  • Inventory – the application has unlimited terminals.
  • Terminals – the application has unlimited terminals.
  • Departments – the programme can be used across/within multiple departments with no extra cost.
  • Tablet ready – The Point of Sale application is compatible with most tablets OS. Where the application is not compatible it can be linked with remote desktop.
  • Back office – no back office is needed. Any terminal can be transformed into a back office subject to user accessibility.
  • Remote login – you can login to the software from anywhere in the world.

SURVEILLANCE SOLUTIONS

HATTECH supplies a range of surveillance solutions, including hardware and software.

HATTECH partners with ZNV and Hikvison to supply a diverse range of products and features to ensure that we provide our clients with tailored surveillance solutions, including video management software, that suit their industry needs.

Our surveillance hardware/CCTV range includes:

  • Analog Dome indoor cameras
  • Analog Bullet indoor cameras
  • Analog Dome outdoor cameras
  • Analog Bullet Outdoor cameras
  • IP Dome cameras
  • IP Bullet Cameras
  • IP Pan / Tilt Zoom Cameras
  • DVRs
  • NVRs
  • Power supplies
  • Power back up units
  • Surveillance Hard drive
  • LAN convertors
  • RJ56 connectors
  • RJ56 COXE cable with DC
  • ULT HD Surveillance monitors
  • Surveillance video walls
  • Surveillance video walls Cabinets

IP PBX COMMUNICATION SYSTEMS

We aim to provide our clients with innovative communication solutions including internet access solutions, VoIP communications, and traditional communication channels such
as telephones and switchboards. We create custom solutions that allow the end user to choose the exact features and services that they want from their IP PBX system.

Partnering with the most efficient ISP backbones allows us to offer our clients affordable internet access and cloud based solutions.

Hardware includes:

  • IP Desk phones
  • IP Cordless Phones
  • IP Switchboards
  • IP PBX Units
  • IP VOIP Mobile units

HATTECH SERVICES

All of the HATTECH branches must have in-house specialists to assist our customers in the following HATTECH services:

  • Solutions development
  • Software customisation
  • Hardware installation
  • Technical engineering
  • Business consulting
  • Product training
  • Professional technical support

HATTECH? NETWORK SERVICES

HATTECH is affiliated with a number of other companies, each specialist in their fields, to ensure that HATTECH Holdings can deliver an assortment of specialised services to our clients.

Our aim is to offer a one-stop solution that caters to the needs of all HATTECH clients.

Our service offerings include:

  • HATTECH LEGAL

    Legal advisory and representation in civil and labour-related cases.

  • HATTECH ACCOUNTING

    General bookkeeping, payroll, Tax, and financial advisory services.

  • HATTECH CONSULTING

    General business consulting as well as business broker services, for when your client want to sell their business.

  • HATTSURE

    General business insurance services – short and long term insurance, investments, pension funds, medical aid, and employment schemes.

  • HATTFIN

    Equipment rental and finance services. Hattfin will finance any of the HATTECH products to their clients, and structure the rental and finance terms in a way the benefits the clients. We call this rental finance – clients can rent their HATTECH hardware over a set term and may choose to upgrade the equipment on an annual basis.

HATTECH CONNECT SERVICES

The HATTECH head office has some of the country’s most brilliant software developers that manage and host our highly technological advanced servers. The HATTECH national
support office has an experienced team that will help you in providing the following services to your clients:

  • Domain registration
  • Domain hosting and management
  • Server hosting services
  • C-panel management and support
  • Web development
  • Websites and web applications.
  • Mobile application development – Android, IOS and Windows
  • Native software development
  • Desktop applications
  • Software architecture and engineering
  • Database planning and structures
  • Automation development solutions
  • Electronic engineering
  • Project management

WHERE ARE WE GOING FROm HERE?

HATTECH aims to provide our clients with a one-stop solution to all common business challenges, including almost all of the hardware, software, and services that a business might need. Thus making us the ideal all-in-one business partner.
Over the next 2 years, we aim to open 20 exclusive branches across the country with 10 000+ clients. On top of the products and services that we already offer, we are working toward introducing new software including:

  • POS Evolution Mobile Order

    This is a mobile ordering application that links directly to the main Point of Sale system. This will allow waiters, along with their mobile devices, to take orders, print receipts, etc. right at the table they are serving, while orders are sent straight to the kitchen.

  • POS Evolution Mobile GRV

    This is a mobile application to aid in stocktaking processes. This will create a paper-less stocktaking system where stock counts can be updated on the spot in the warehouse, storeroom etc., and the information is automatically updated on the main system.

    The camera of the mobile device can be used to scan barcodes and update stock counts minimising human error.

  • CBM – Cloud Business Management Software

    Our CBM software will allow business owners or managers to manage their business finances from a cloud-based application – thus replacing external accounting systems. POS Evolution sends data to the CBM application that can be accessed from anywhere in the world.

    Our CRM software is extremely user-friendly, aesthetically pleasing and accepted by all business and financial institutions.

  • SCM – Supply Chain Management Software

    This is an online application that can be used by any business or supplier.

    The application allows suppliers to load products, prices, delivery times, etc. on to the app and allows businesses managers to search for the best stock at the best prices, with the shortest delivery time. Suppliers can bid against each other and adjust prices to attract business from local managers.

    The SCM software will also be able to link directly to POS Evolution. The system will identify when the stock is low and automatically order new stock from the best supplier option.

hattECh branCh salE stratEgy

Within your HATTECH branch, you will have a number of sales executives or solution developers as we like to call them, who will be responsible for developing solutions for clients according to their specific needs and selling these solutions to the perspective clients.

The ideal number of solution developers per branch, as per the current tried and tested business model, is three. Each of these solution developers will be allocated an area within the branches licensed region in which he/she will operate and target business. The branch owner and solution developers will also be responsible for allocating HATTECH agents (existing IT outlets) within the licensed area to assist in marketing HATTECH products and services, and accumulating revenue.

The monthly sales target for a solution developer is R150 000? commission is only earned once this sales target is reached. More detailed sales strategies will be brought under discussion for each specific region once the area has been allocated and analysed.

Expected Turnover

If there are three solution developers per branch one can expect an average monthly turnover of R450 000 of which about 40% will be profit. This gives an estimated gross profit of R180 000 per month. This gives an estimated annual turnover of R5.4 million and R2.16 million annual gross profit.

Please note that is an estimated annual turnover, based on the tested business model, and not a guaranteed amount. Turnover and profit will vary between branches and regions.

What haPPEns WhEn you InvEst In a hattECh branCh?

Investing in an HATTECH branch will give you a complete turn-key business opportunity. This means you will be buying a fully operational business, most of which will be set up for you, that specialises in point of sale solutions, surveillance systems, and IP PBX communications.

The necessary infrastructure has been developed to ensure that all branches are connected to one national telephone system and server. This will ensure consequent service delivery and support throughout South Africa, and neighbouring countries.

What Is Expected From You As The Branch Owner?

The owner of an HATTECH branch is responsible for the following:

  • Registration of a legal entity, if necessary.
  • Allocating and securing sufficient office space within the licensed area. The lease agreement/bond of the premises needs to be signed in the name of the new branch owner, or legal entity.
    • The ideal size of an HATTECH branch office is around 120m2 – 130m2. The HATTECH branch needs to have a reception area, a technical workshop, a meeting room, a store room, a kitchenette, bathrooms, and sufficient office space for employees including a sales office and support desk.
    • Branches are not dependent on walk-in clients or the general public thus they do not need to be located in shopping malls or busy centres.
    • For insurance and safety purposes office parks with good security and access-controlled gates are preferred locations for HATTECH branches.
  • Interviewing possible candidates, with the help of the head office, and employing branch staff. The following staffing structure is suggested:
    • 1 x Branch Manager – preferably the branch owner for the interim stages of the business.
    • 1 x Receptionist – must have the necessary admin skills and act as a PA to the branch manager/owner as well as the solution developers.
    • 3 x Solution Developers (sales executives) – sales executives with at least 5 years’ experience in sales and general IT technical knowledge.
    • 2 x Technicians – these should be young and energetic candidates with good communication skills and general IT and technical experience in computer hardware, servers, networking, and SQL database structures.
  • Purchasing/obtaining a suitable and presentable technical support vehicle.
    • A small half tonne pick-up (bakkie) such as Chevrolet utility, Nissan NP200, or a panel van such as a VW Caddy, or Renault Kangoo will be sufficient for any size installation.
    • Solution Developers MUST make use of their own transport to accumulate business/visit clients, however, the HATTECH branch will be responsible for supplying them with a monthly fuel allowance.
  • Marketing for his/her branch within the licensed area.
    • HATTECH branches may make use of their chosen media channels to advertise, however, placement of advertisements will be subject to head office approval to ensure proper quality control.

What Is Included In The Purchase Of An HATTECH Branch?

Our team of experts will be responsible for decorating and setting up your office. Included in your purchase price is:

OFFICE SETUP

Painting the walls with HATTECH colours
Signage installation
Setup of internal network
Setup of IPBX telephone system

OFFICE FURNITURE KIT

4x Office desks
4 x Office chairs
1 x Reception counter
Reception area chairs
Reception area coffee table
Boardroom table and chairs
Workshop work benches and chairs

BRANDING AND SIGNAGE FOR THE PREMISES

2 x Outside signs
1 x Reception sign
3 x Branded white boards
2 x Vehicle branding
5 x A2 clip frame posters
1x A3 clip frame poster

OFFICE EQUIPMENT

1 x IT Specific Technical Tool Kit
1 x Branch admin laptop
5 x Desktop PCs
5 x IP phones
Canon Office Printer (Referred by head office – payment is branch’s responsibility)

CORPORATE CLOTHING

8 x Long-sleeve lounge shirts
8 x Short sleeve lounge shirt
4 x Golf shirts
4 x Caps

STATIONERY KIT

Email signatures
Letterhead (printable from NHS)
Electronic banner
Operations manual
A4 Triplicate Book? (Converted to Mobile App)

SALES KITS

250 x Folders (A3 fold to A4)
500 x Brochures (trifold flyer)
1000 x Business cards
Pricelist (printable from NHS)

AGENTS KITS

10 x Printed vinyl door sticker
10 x A1 in-house posters
10 x Display stands
10 x Round hanging signs
500 x Product flyers
100 x HATTECH POS Evolution

THE LICENSE TO TRADE IN THE SPECIFIC DESIRED AREA

WHAT IS THE PROCESS OF OPENING An HATTECH BRANCH?

Complete formation of an HATTECH branch takes approximately 30 days from payment. Below is a basic timeline of the composition process from purchase to store-opening.

WEEK 1

The owner of the new HATTECH branch should find and secure sufficient office space.

Vacancies should be advertised within the allocated area to fill positions in the new HATTECH branch.

WEEK 2

Procurement of office furniture and other necessities.

WEEK 3

Office setup (painting, signage, furniture installation etc.)

Hiring of staff.
Interviews will be conducted by head office along with the new branch owner.
Employment of staff is left to the branch owner’s discretion.

WEEK 4

Setup of internal network and training.

Once the new HATTECH branch is ready to start trading head office will arrange an official launch, paid for by head office, with a local newspaper covering the event, to announce the opening of the business and create awareness in the allocated licensed area.

HOW WILL HATTECH BE mARkETEd?

HATTECH has joined forces with a team of digital marketing experts to ensure that our products and services are marketed on a national level.

Comprehensive digital marketing strategies are being put in place, and will focus on:

  • Brand awareness
  • Content marketing
  • Education on our products and services
  • Lead generation

Each HATTECH branch will however be responsible for its own marketing of choice within its licensed area.

FREqUENTLy ASkEd qUESTIONS

Are the employee contracts drawn up along with the setup of the business before the franchise is opened?

Staffing and employment are left to the branch owner’s discretion – however, our experienced team will assist you in employing the correct people. Employment contracts, salary packages and benefits can be obtained from the head office.

Adverts for staff vacancies will need to be placed in the first week after payment. All interviews and employment contracts will need to be handled before the branch is opened.

Are the employee salaries determined by the franchisor or franchisee?

Head Office can make suggestions on salaries, based on the market standards, and guide the franchisee, however the franchisee is completely his own boss and will make the final decisions regarding salaries and overheads.

What is the expected time period from the signing of the contract to the business being operational?

Complete erection of a HATTECH Branch takes approximately 30 to 60 days from payment.

How does the business get its leads for generating income on an ongoing basis to sustain the business?

HATTECH is a national company with one smart telephone number and one website. Online marketing will be done on a national level by head office, which will generate leads. All leads from the website will be passed on the relevant branch.

Each branch is also responsible for its own marketing within the designated area to increase leads.
Solution developers/sales executives should be doing direct marketing such as cold-calling, door-to-door visits, and getting referrals from existing clients, in order to reach their sales targets.

Is the marketing of the franchise centralised or is each HATTECH branch responsible for its own marketing?

HATTECH Head Office will be teaming up with an online marketing company to market HATTECH on a national level once the company branch network has grown to the desired level. However, each HATTECH branch will be responsible for its own marketing within its licensed area.

This means that head office will be responsible for creating brand and product awareness on a national level, but the store owner will be responsible for marketing and lead generation within his/her specific area.

Are the majority of the client’s walk-in or per appointment clients? (This will determine the location and facilities of the offices.)

HATTECH works with clients by appointment only.

What is the size of the offices required? does it need to be in a specific area?

HATTECH Branches are not dependent on walk-in clients or the general public thus they do not need to be located in shopping malls or busy centres. For insurance and safety purposes office parks with good security and access-controlled gates are preferred locations for HATTECH branches.
The ideal size of an HATTECH Branch office is around 120m2 – 130m2. The HATTECH Branch needs to have a reception area, a technical workshop, a meeting room, a store room, a kitchenette, bathrooms, and sufficient office space for employees including a sales office and support desk.

What is the expected turnover of the franchise per year?

Total Turnover should be around R 450 000 per month with a Gross Profit of around 40% (R 180 000). This means an expected turnover of around 5.4 million per year.

What are a branches BEE Requirements

There are no BEE Requirements.

Are we allowed to chop and change pricing as this industry of information technology is a rapid growing industry? do we need to chop and change pricing to stay afloat in the industry?

Yes, HATTECH head office supplies the branches with all hardware, but it is up to the branches to determine their own margins. HATTECH head office will guide and help the branch to structure prices with the support of the NHS and in-house management systems to be competitive and market-related.

We work on old basic principles, bulk buying power. HATTECH head office buys hardware in bulk and supplies this hardware to all the branches as per their request. We buy bulk and resell to our branches at prices our competitors cannot compete with. This allows the branches to be sold at market-related prices and be competitive with the advantage of much higher margins.

HATTECH is currently in the process of manufacturing our own hardware that will be available soon.

You mention in the portfolio that the business will try to recover the funds that I invest within the first year … can you elaborate how this process will work?

In a nutshell, you should earn back the money you invest within a year, based on the expected volume of sales.
Turnover is expected to be around R 450 000 per month with a gross profit of around 40% (R 180 000). This gives an estimated gross profit of R2.16 million annually. Purchasing a HATTECH branch costs R595 000 – therefore you should earn back your investment within the first year.

Is working capital included in the asking price of R595 000 or does it have to be budgeted for separately?

The new franchisee is responsible for the rent and deposit of the offices, new business registration with CIPC, VAT registration number with SARS, and business internet connection. This will be separate from the purchasing price.

Apart from the purchase price and the vehicle, what else will have to be financed? Is there something else for which there has to be budgeted for?

The franchisee has to keep some funds available for the first two to three months after start-up for general running cost and kick-off overheads. Generally, this will not be more than R150 000, but the amount is subject to the office rent costs, number of employees, etc.

What does the business/branch staffing structure consist of?

For the first 6 to 12 months you will need to employ:

1 x Branch Manager – preferably the branch owner for the interim stages of the business.
1 x Receptionist
3 x Solution Developers (sales executives)
1 x Junior technician
1 x Senior technician
1 x cleaner (part time only)