Archive for the ‘existing Franchisors’ Category

“The Ostrich method” does not work well in business generally and particularly in franchising.

Burying your head in the sand and hoping your problems will go away will NOT WORK.

Being in denial of re-occurring issues in your franchise will only lead to a massive blow out of the issue …whatever it may be.

Remember, that since March 2008 when the new disclosure changes occurred, you must disclose

ALL YOUR FRANCHISEES’ CONTACT DETAILS – Past and present.

There’s no picking the best of the bunch to act as advocates to franchise prospects as has happened in the past.

Typical “Ostrich triggers” for  Franchisors are ; Read the rest of this entry »

Have you ever considered franchising your business? Not every business is suitable for franchising and not every business owner is the right person to be a Franchisor.

Creating a system requires both an investment of finance and time and external professional direction. No business should proceed down the franchising path without a full analysis and awareness of their business.

Some Pre-Franchising FAQ’s

 Q. Can I put together my own franchising system? Read the rest of this entry »

The Australian National Mediator Approval Standards defines mediation as ;

“A process in which the participants, with the support of a mediator, identify issues, develop options, consider alternatives and make decisions about future actions and outcomes. The mediator acts as a third party to support participants to reach their own decision.”

Mediation is used successfully with relationship issues, workplace relations between employees, B to B disputes and certainly in franchise disputes. Read the rest of this entry »

Are you enticing new Franchisees?

…..and if so are you breaching The Franchising Code of conduct?

“Want to go to Hawaii?” the headlines shout.

Is this an advert for a travel company or an airline?

No, this advert appears in the Business and Franchise Opportunities in a newspaper column. The “carrot” is, if you buy this franchise for $ 200K, you will also get a “free holiday.”

This type of advertising for new franchisees is disturbing and hopefully not the beginning of a new trend. Read the rest of this entry »

Some Franchisors can find formulating KPIs to be a confronting exercise but the benefits to both Franchisor and franchisee from having measurable performance targets should not be underestimated.

Establishing KPI’s in your franchise often means going back to basics, and exploring the fundamentals of your franchise.

Are your franchisees achieving what they want from their business? or are they complaining that they can’t make any money?

Is your system flawed? and if it is are you brave enough to firstly acknowledge that there is an inherent problem and THEN seek professional advice to restructure?

Read the rest of this entry »

How many of you know of a disillusioned franchisee? Let’s face it, the current affairs programmes are full of them.

A Franchisee is a business owner who owns a franchised unit, for example a Bakers Delight, Subway and many many more less well known brands.(please note I am not suggesting that any Bakers delight or Subway franchisees are disillusioned!)

As a franchising consultant, I see a fair few franchisees, and due to the nature of my work, many of them are very disillusioned.

Read the rest of this entry »

Much is discussed by franchising “experts” and government bodies about introducing more legislation to improve the world of franchising.

But how much would increased legislation actually reduce franchisee risk?

Potential Franchisees are advised to seek professional advice from a lawyer, accountant and consultant. How many lawyers and accountants are really “au fait” with franchising practice?

How many professionals would admit to clients that their franchising knowledge is minimal?

And how often do potential franchisees not seek any advice at all?

Read the rest of this entry »

The International Franchising Association Code of Ethics states that the following points are essential ingredients in good franchising;

Trust, Truth and Honesty – Are the foundations of franchising. 

Mutual respect and reward – Result in winning together as a team. 

Open and frequent communication – Successful franchises thrive on it! 

Obey the law – This refers to all laws including compliance to the franchise system. 

Conflict resolution – Deal with potential conflict swiftly and effectively.

Read the rest of this entry »

I don’t want to be a Franchisor anymore!

As a Franchisor have you ever felt like that?

The answer to that could depend on:

• The length of time that you’ve been a Franchisor.
• The number of franchises in your network
• Your initial reason for franchising in the first place
• The level of support you have from family
• Your internal management structure.
• The strategic planning within your business
• Your commitment to goals
• Vision
• Succession planning

This is a lengthy topic, but one that my day-to-day contact with Franchisors leads me to believe deserves attention. Read the rest of this entry »

As an ex-franchisor myself, I recognise that being a Franchisor can sometimes be a lonely place.

Not all Franchisors have Franchise consultants on hand who understand their day to day challenges. Accountants are great business advisers when it comes to figures and general business matters – but let’s face it, most Franchisor headaches result from Franchisor / Franchisee relationships, and I don’t think Accountants usually have the answers to those sorts of issues.

I’m really interested to hear back from Franchisors about the day to day challenges you have in running your business. Read the rest of this entry »