Business
Appointment of Master Franchi
Appointment of Master Franchi.
About this update from Water Intelligence Plc
[{"type":"text","content":"\n RNS Number : 9332T Water Intelligence PLC 06 October 2010 \n \n\n6 October 2010\n \nWater Intelligence plc (AIM: WATR)\n(\"Water Intelligence\" or the \"Company\")\n \nAppointment of UK Master Franchisee for the roll-out of water leak detection\nand remediation services across the UK\nWater Intelligence, a leading provider of water monitoring, leak detection and remediation services, announces that its subsidiary, American Leak Detection, Inc., has entered into a master franchise relationship (\"Master Franchise\") with Tim Sanders, who currently trades as \"FindALeak\". \nUnder the new relationship, Mr. Sanders will conduct his business in the future as \"Target Leak Detection\" (www.targetleakdetection.co.uk). Franchise information may be found at www.targetleakdetectionfranchise.co.uk.\nThe Master Franchise, covering England, Wales, Scotland and Northern Ireland, enables Water Intelligence to immediately provide water leak detection and remediation services in the UK. \nUnder the arrangement Water Intelligence anticipates receiving up to £225,000 over five years in initial licensing fees. \nIn addition to the initial licensing fee, Mr. Sanders will be paying Water Intelligence ongoing royalties from his corporate owned units of 3% on his first annual £500,000 of revenues and 6% above £500,000. He will also pay Water Intelligence between 6% and 20% of the royalties he receives from sub-unit franchisees based on the royalty rate he charges those franchisees. Mr. Sanders will also pay Water Intelligence 20% of the sub-unit franchise fees he receives from unit-level franchisee (rising to 35% if Water Intelligence introduces a candidate to him). \nTim Sanders and his current team possess over 40 years' leak detection and remediation experience. They currently service domestic and industrial markets using sophisticated and advanced thermal imaging, correlation, tracer gas, leak detection and other proprietary equipment. \nStan Berenbaum, Chief Executive of Water Intelligence, commented: \n \n\"At the time of the reverse takeover of the Company in July 2010, we identified as strategic priorities the growing UK demand for water leak detection product and service solutions. Having recently completed a £177,000 product sale to Thames Water, we are now pleased to ha...