„Anyone who invests takes the project seriously – and so do we.“
The Market Entry (Localization Study)program establishes a clearly defined, professional, and trustworthy framework for the market entry of international franchise concepts into the Czech and Slovak Republics.
The cooperation focuses on understanding the franchisor’s system, values, and business model, assessing its transferability to the local environment, and subsequently identifying and recommending a suitable master franchisee who can ensure the brand’s stable and sustainable development in the region.
Entering a new market requires a different approach
While ISR normally represents local investors within the Czech and Slovak markets on a purely advisory basis, the international market entry process follows a different logic.
In the case of connecting a foreign franchisor with a suitable master franchisee in Czech and Slovak, ISR acts not only as an adviser but as a strategic representative of the brand, responsible for its first impression, positioning, and credibility in the new environment.
For this reason, the cooperation model combines an initial Set-Up Fee – which covers the professional preparation, localization, and adaptation of the brand – and a Success Fee, payable only in the event that a master franchise agreement is successfully concluded and financed.
This dual-phase model ensures transparency, fairness, and shared responsibility: the franchisor invests in professional preparation, and ISR commits to delivering measurable results.
Conditions and framework of cooperation
Principles of cooperation
The proposed cooperation is based on the principles of trust, transparency, and exclusivity.
As an external partner, ISR – Institute for Systemic Development is committed to the highest level of professionalism and confidentiality in relation to all internal information, data, and processes of the franchisor.
Non-Disclosure Agreement (NDA)
Before the start of the project, a Non-Disclosure Agreement (NDA) is signed to ensure the protection of all shared information, documents, and insights obtained during the course of cooperation.
All such information will be used exclusively for the purpose of analyzing the brand’s potential in the Czech and Slovak markets and for the process of recruiting a suitable master franchisee.
Exclusivity
For the duration of the cooperation, ISR does not provide comparable services to any other international franchise concept operating within the same segment (e.g., fast-casual gastronomy, automotive services, fitness, etc.), in order to ensure complete focus, trust, and loyalty toward the specific brand. This exclusivity means ISR allocates dedicated capacity, know-how, and media exposure exclusively to one brand — a commitment sustainable only within a defined financial framework.
Objective and methodology
The purpose is not to audit the franchisor’s manuals or legal framework, but to deeply understand the concept’s inner logic, culture, and operational DNA — enabling ISR to represent the brand authentically during the master franchisee selection:
- understand the concept and its internal logic
- capture the brand’s DNA, its culture, communication style, relationship to quality, customers and partners
- and then prepare materials for localization communication and selection of a suitable master franchisee
Within the analysis, certain aspects may be identified as potentially problematic or sensitive in the Czech or Slovak context (e.g., tax-related, cultural, or operational issues).
These observations will be presented as recommendations or comments, not as interventions into the franchisor’s system.
Personal participation and the course of the „adaptation phase“
The goal of the phase
To gain a sufficiently deep understanding of the concept—its processes, values, and internal relationships—in order to represent the brand authentically and competently during the search and negotiation process with potential master franchisees.
Scope and form of personal participation
- 3 days at the franchisor’s headquarters (incl. operational visit)
- interviews with management and representatives of key departments (expansion, training, marketing, finance)
- understanding the learning and onboarding process
- 1 day in the operational unit („field immersion“)
- 2 days of subsequent analytical work: structuring of knowledge, proposal of transfer adjustments, formulation of the „Positioning Statement CZ/SK“
- meeting (120 min): presentation of conclusions and proposal of communication and recruiting strategy
- FREE ISR Rating™ Audited Enrollment
Expected scope of work
A total of approximately 35 hours of professional work, including personal attendance at the headquarters.
Reward for the preparation and adaptation phase
In order to represent the brand well, we must first understand its system, culture, and logic. This phase requires personal participation in the headquarters, document analysis, creation of localization materials, and definition of a communication strategy – this is a separate professional process with high responsibility.
The fee is not a commission for mediation, but a reward for professional work and strategic preparation of the entry. Our task is not just to find a person, but to create a system in which the brand can grow in the long term.
Without an entry fee, the process would resemble a standard recruitment exercise — whereas ISR acts as a quality guarantor, ensuring that every step of market entry is professional, consistent, and accountable to both parties.
The total Set-Up fee for the preparation and adaptation phase, including all related ancillary costs paid by the franchisor, is: 10,000 EUR
This amount includes, among others:
- reward for professional preparation of entry into the Czech/ Slovak market
- plane ticket (return)
- accommodation during the adaptation stay
- Marketing contribution for the initial presentation of the concept in the Czech Republic/ Slovakia: least EUR 2,000
- weekly news (every Tuesday) with an overview of activities and ongoing results
- monthly on-line presentation of outputs (e.g. every first Tuesday of the month) as part of management meetings
This framework covers all expenses related to the adaptation phase, personal participation at the franchisor’s headquarters, and the subsequent twelve months of ongoing cooperation, including regular communication (weekly reporting), consultations (monthly online meetings), and marketing support throughout the master franchisee recruitment process.
Success Fee
In the event of concluding a contract and financing a master franchisee:
- 30,000 EUR/ signed and funded master franchisee
As proof of transparency and fairness of the cooperation, the amount corresponding to the already paid Set-Up Feewill be deducted from the final Success Fee.
Financial framework and transparency
The cooperation within the Set-Up Master (Market Entry & Localization) program is founded on transparency, partnership, and shared responsibility. ISR does not act as an intermediary or broker, but as a strategic partner that connects the brand with a suitable master franchisee based on a deep understanding of both parties.
The remuneration is structured to reflect the true value of professional expertise, personal involvement, and long-term support, rather than the number of meetings or contacts made.
The deduction of the Set-Up Fee from the Success Fee demonstrates a fair and transparent approach, confirming that the goal of the cooperation is not to collect fees, but to achieve tangible results – a signed and funded master franchise agreement that makes both economic and human sense.
ISR is a member of the international FPI community