Anwar Selo, the director of franchise operations, says the reason Sedar wants to go to franchising is to help their brand grow bigger and much faster. Sarah Dea / The National
Anwar Selo, the director of franchise operations, says the reason Sedar wants to go to franchising is to help their brand grow bigger and much faster. Sarah Dea / The National

Home decor company Sedar has global expansion ambitions



The home decorations company Sedar is planning to fan out across the region this year before heading for North America and China, a company executive said.

Sedar, a Syrian-owned family business based in the UAE, is set to open franchises in Jordan, Egypt and Algeria with the aim to have 20 more shops over the next two years and open an average 20 to 25 showrooms every year after that.

“The reason we want to go to franchising is to help our brand grow bigger and much faster,” said Anwar Selo, the director of franchise operations.

“When you expand from your own revenues you cannot expand very quickly because the risk is very high, so going through the franchise route helps you to expand and helps other people to take part of the profit while you are using their money to expand. We have requests from all around the world.”

The company owns its outlets in the UAE, Saudi Arabia, Oman, Qatar and Bahrain. It plans to open a showroom in Kuwait this year. About 40 per cent of its business comes from Saudi, followed by the UAE with 30 per cent. The company plans to expand in the Arabian Gulf region and take advantage of demand for high-end products.

The interior contracting and fit-out business is flourishing in the Gulf market as construction projects increase. Based on the number of projects completed last year, the estimated size of the market is US$7.35 billion, according to a report by International Design Exhibition and data provider Ventures Middle East. Growth in this sector is set to increase by 8.5 per cent to $7.98bn this year, according to the report.

Sedar’s first UAE shop opened in 1979 after Mr Selo’s parents migrated to the country to capitalise on the economic boom.

After expanding across the Middle East and North Africa, the next destination for Sedar is the United States and Canada, as well as East Asia.

“We are going to open support offices in these regions and once the support offices have identified the key partners, we will start to franchise,” said Mr Selo.

The company plans to open its first service office in the US early next year and start franchising by the end of 2016. It is targeting Beverly Hills, New York, Dallas, Miami, Atlanta and Chicago. In the Far East, where the company expects to open a service office early next year, it is targeting Shanghai, Beijing, Tokyo and Seoul.

Having an established brand, a good business system and a top-notch product line will help Sedar implement its franchise plan, according to Sary Hamway, the chief operating officer of World Franchise Associates.

“I believe they have the infrastructure and business system to enable them to share their accumulated expertise with potential franchises,” said Mr Hamway.

Despite global ambitions, Sedar remains family owned and has no plans to change.

So far it has worked for the firm. Profit growth has averaged 10 to 12 per cent a year over the last three years and the company expects it to increase by 4 to 5 percentage points this year due to the franchise openings and more sales from its own shops. Each franchise from the ground up will cost between $1.5 million to $2.5m. Sedar also will be selling franchisees their own products, which is another revenue stream for the company.

The company said demand has not been affected by inflationary pressures thanks to its wide range of offerings at different price brackets. In March, the cost of furnishings grew 7.3 per cent year on year in Dubai, according to official data.

“The economic slowdown in the Gulf has not affected us. In fact, we are up slightly year on year until now,” said Mr Selo. “We are not afraid because the current projects that are ongoing automatically need window coverings.”

The company counts royalty, airlines and hotels among its customers. To cater to their demands, it is opening a design hub in the city of Como in northern Italy.

“We would like to diversify our portfolio. Hopefully the end result in 10 years is that we have a portfolio of different franchises which we can offer to the retailer and malls around the world,” said Mr Selo.

dalsaadi@thenational.ae

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COMPANY PROFILE
Name: Almnssa
Started: August 2020
Founder: Areej Selmi
Based: Gaza
Sectors: Internet, e-commerce
Investments: Grants/private funding
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Your rights as an employee

The government has taken an increasingly tough line against companies that fail to pay employees on time. Three years ago, the Cabinet passed a decree allowing the government to halt the granting of work permits to companies with wage backlogs.

The new measures passed by the Cabinet in 2016 were an update to the Wage Protection System, which is in place to track whether a company pays its employees on time or not.

If wages are 10 days late, the new measures kick in and the company is alerted it is in breach of labour rules. If wages remain unpaid for a total of 16 days, the authorities can cancel work permits, effectively shutting off operations. Fines of up to Dh5,000 per unpaid employee follow after 60 days.

Despite those measures, late payments remain an issue, particularly in the construction sector. Smaller contractors, such as electrical, plumbing and fit-out businesses, often blame the bigger companies that hire them for wages being late.

The authorities have urged employees to report their companies at the labour ministry or Tawafuq service centres — there are 15 in Abu Dhabi.

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The Bio

Favourite holiday destination: Either Kazakhstan or Montenegro. I’ve been involved in events in both countries and they are just stunning.

Favourite book: I am a huge of Robin Cook’s medical thrillers, which I suppose is quite apt right now. My mother introduced me to them back home in New Zealand.

Favourite film or television programme: Forrest Gump is my favourite film, that’s never been up for debate. I love watching repeats of Mash as well.

Inspiration: My late father moulded me into the man I am today. I would also say disappointment and sadness are great motivators. There are times when events have brought me to my knees but it has also made me determined not to let them get the better of me.

'C'mon C'mon'

Director:Mike Mills

Stars:Joaquin Phoenix, Gaby Hoffmann, Woody Norman

Rating: 4/5

Need to know

The flights: Flydubai flies from Dubai to Kilimanjaro airport via Dar es Salaam from Dh1,619 return including taxes. The trip takes 8 hours. 

The trek: Make sure that whatever tour company you select to climb Kilimanjaro, that it is a reputable one. The way to climb successfully would be with experienced guides and porters, from a company committed to quality, safety and an ethical approach to the mountain and its staff. Sonia Nazareth booked a VIP package through Safari Africa. The tour works out to $4,775 (Dh17,538) per person, based on a 4-person booking scheme, for 9 nights on the mountain (including one night before and after the trek at Arusha). The price includes all meals, a head guide, an assistant guide for every 2 trekkers, porters to carry the luggage, a cook and kitchen staff, a dining and mess tent, a sleeping tent set up for 2 persons, a chemical toilet and park entrance fees. The tiny ration of heated water provided for our bath in our makeshift private bathroom stall was the greatest luxury. A standard package, also based on a 4-person booking, works out to $3,050 (Dh11,202) per person.

When to go: You can climb Kili at any time of year, but the best months to ascend  are  January-February and September-October.  Also good are July and August, if you’re tolerant of the colder weather that winter brings.

Do not underestimate the importance of kit. Even if you’re travelling at a relatively pleasant time, be geared up for the cold and the rain.

Visit Abu Dhabi culinary team's top Emirati restaurants in Abu Dhabi

Yadoo’s House Restaurant & Cafe

For the karak and Yoodo's house platter with includes eggs, balaleet, khamir and chebab bread.

Golden Dallah

For the cappuccino, luqaimat and aseeda.

Al Mrzab Restaurant

For the shrimp murabian and Kuwaiti options including Kuwaiti machboos with kebab and spicy sauce.

Al Derwaza

For the fish hubul, regag bread, biryani and special seafood soup. 

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if you go

The flights

Direct flights from the UAE to the Nepalese capital, Kathmandu, are available with Air Arabia, (www.airarabia.com) Fly Dubai (www.flydubai.com) or Etihad (www.etihad.com) from Dh1,200 return including taxes. The trek described here started from Jomson, but there are many other start and end point variations depending on how you tailor your trek. To get to Jomson from Kathmandu you must first fly to the lake-side resort town of Pokhara with either Buddha Air (www.buddhaair.com) or Yeti Airlines (www.yetiairlines.com). Both charge around US$240 (Dh880) return. From Pokhara there are early morning flights to Jomson with Yeti Airlines or Simrik Airlines (www.simrikairlines.com) for around US$220 (Dh800) return. 

The trek

Restricted area permits (US$500 per person) are required for trekking in the Upper Mustang area. The challenging Meso Kanto pass between Tilcho Lake and Jomson should not be attempted by those without a lot of mountain experience and a good support team. An excellent trekking company with good knowledge of Upper Mustang, the Annaurpuna Circuit and Tilcho Lake area and who can help organise a version of the trek described here is the Nepal-UK run Snow Cat Travel (www.snowcattravel.com). Prices vary widely depending on accommodation types and the level of assistance required. 

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Director: Laxman Utekar

Cast: Vicky Kaushal, Akshaye Khanna, Diana Penty, Vineet Kumar Singh, Rashmika Mandanna

Rating: 1/5