Allegra Network Offers Franchise Model ‘fit To Print’

Leading Graphic Communications Franchise Provides Refreshing Alternative for Small-to-Medium Sized Businesses

NORTHVILLE, MICHIGAN (Thursday, January 12, 2006) - Uniquely positioned to suit today’s rapidly growing printing and graphic communications needs of small-to-medium-sized businesses, Allegra Network LLC is strengthening its position as one of the leading franchise systems in the $170 billion printing industry. Allegra Network is one of the world’s largest graphic communications franchises offering advanced printing technologies including full-color printing, graphic design services, digital color and high speed copying, mailing services, and more.

Allegra Network, formerly American Speedy Printing Centers, Inc., was founded in 1976 with its first franchise location opened in 1977. Today the company links more than 600 locations in North America, the United Kingdom, Brazil and Japan. Company plans call for 42 units to open by the end of 2006, totaling 420 additional locations by 2010.

According to the Printing Industries of America, the world’s largest graphic arts trade association, printing is America’s third largest manufacturing industry and employs more than one million people, attributing to over $170 billion in sales.

“Printing today means more than putting ink on paper,” said Darryl Buchanan, vice president of franchise development for Allegra Network. “With the seemingly endless communication options in today’s fast-paced business world, Allegra Network’s high-quality, innovative, printing and graphic communications services offer a refreshing alternative for small-to-medium sized businesses to communicate their message with maximum impact. Allegra Network is now poised for growth and well on its way to becoming the total solutions provider for small-to-medium-sized business’ printing needs.”

Leading Small-Town Entrepreneurs into the Digital Revolution

Allegra Network offers entrepreneurs two distinct sophisticated franchise opportunities – Allegra Print & Imaging Digital Print Centers (DPC) and Conversion Print Centers (CPC). The Allegra DPC concept was developed in 2003 to meet the growing digital printing, sign and mailing service demands of small-to-medium-sized businesses in smaller, key markets. Allegra DPC’s specialize in digital document output, copying and graphic design, variable data printing, advertising specialties, signs and banners, along with other business communication services.

Industry figures support the growth in digital printing. According to the Xerox Corporation, in 2001 there were 16,000 full color (digital) production systems in use. This year, installations are expected to reach 38,000, an increase of 137 percent. In addition, the use of digital-based printing is projected to increase from 23 percent of all jobs in 2000 to 48 percent by 2020 based on findings from Rochester Institute of Technology’s School of Print Media.

“The advent of digital technology has allowed Allegra Network to increase productivity in its locations worldwide,” added Buchanan. “In today’s fast-based business world, digital printing offers numerous advantages to customers such as quicker turnaround, the ability to produce affordable full-color short-runs, as well as customized marketing campaigns.”

Business owners looking to open an Allegra DPC will find many advantages, including a low initial investment with minimal overhead and the ability to open a location in a small town, enabling entrepreneurs to work where they live. The cost to start an Allegra DPC is $90,000 and the total investment is $199,956 to $291,373, which includes working capital and all start-up expenses. Financing options are available.

A typical Allegra DPC is between 1,500 to 2,000 square feet of space, needs only between two to three employees to operate and requires less equipment than a traditional printing business. Hours of operation are usually between 8:30 a.m. to 5:30 p.m. Monday through Friday, allowing franchise owners to have evenings and weekends free.

Accounts include a small base of core, repeat customers that traditionally lead to 80 percent of a center’s sales. Moreover, because the concept requires no press to operate, just computers and copiers, an Allegra DPC is an easy business to own for entrepreneurs without prior printing experience.

“Individuals with a strong sales and marketing background, outstanding business and people skills, couples seeking dual incomes, and those looking to own a second business are especially well suited for the Allegra DPC,” added Buchanan. “In fact, because Allegra DPC’s are located in small markets, individuals can open an Allegra right in their hometown and cut down on their travel time and expenses."

Convert-On-Sale Model Offers Win-Win Scenario

Entrepreneurs can also choose to open an Allegra CPC. Traditional Allegra CPC’s offer full-service printing and graphic communications services, including full-color printing, graphic design, digital color printing, signs, mailing services, and more.

Allegra Network helps potential franchise owners purchase an existing independent printing business and convert it to an Allegra Print & Imaging Center. With an established customer base, experienced staff, immediate cash flow and proven track record in the market, the CPC opportunity offers individuals a distinct advantage over most start-up franchises.

“Our successful convert-to-sale program is unique to the franchise industry, “said Buchanan. “Allegra Network has helped its franchise members purchase more than 155 independent printing businesses over the last 10 years.”

The initial investment to open an Allegra CPC is $155,600 to $429,000 and seller financing is available. Allegra Network will help prospective franchise owners find and purchase a qualified printing business, council them on necessary upgrades, teach them how to manage the location, and provide them with ongoing operational, marketing, technical and field support to help take their business to the next level.

Similar to the Allegra DPC, an Allegra CPC is a business-to-business franchise that does not require weekend or evening hours and whose small base of primary customers usually make up 80 percent of the center’s sales.

The franchise opportunity is perfect for downsized corporate executives who are looking to maintain the financial lifestyle they have grown accustomed to having. According to Buchanan, nearly 75 percent of Allegra CPC owners are formerly from the corporate world.

Foot’print into Franchise Success

Allegra Network offers more than 45 support programs and tools to help franchise owners grow their business encompassing marketing, technology, accounting, financial services, legal, franchise services, development, and field operations. Some key programs include the Profit Mastery Program which includes tools to increase operational profitability and the Acquisition Program which helps existing franchise owners identify suitable independent printing businesses to purchase, decreasing competition in the marketplace, while increasing the accounts and assets.

Allegra Network also provides established franchise owners with a complete resale program that identifies candidates and qualifies them to buy an existing Allegra Network location, a benefit most franchise systems do not offer. In fact, as a result of Allegra Network’s outstanding support system, franchise profitability has increased for the past five consecutive years, added Buchanan.

“Virtually every small-to-medium sized business has an ongoing need for printing and graphic communications services,” Buchanan said. “Whether it is printing business cards, creating a presentation, or making a sign or banner, Allegra Network provides a reliable and smart solution.”

About Allegra Network

Allegra Network, formerly American Speedy Printing Centers, Inc., was founded in 1976 with its first franchise location opened in 1977. Today the company links more than 600 locations in North America, the United Kingdom, Brazil and Japan with its six brands under its printing division – Allegra Print & Imaging, American Speedy Printing, Instant Copy, Insty-Prints, Speedy Printing, and Zippy Print and the Signs Now brand under its sign division.

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