Archive for January, 2009

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Patrice & Associates franchise

Friday, January 30th, 2009

Why the Hospitality Industry?

* The hospitality industry is constantly growing and
demanding new talent
* The restaurant industry currently exceeds $475 billion in sales
* The restaurant industry employs an estimated 12.2 million people, making it the nation’s largest employer outside of government
* The number of foodservice managers is projected to increase 11% from 2005 to 2015.
* The restaurant industry has a high turnover ratio of over 35%, creating constant recruiting opportunities

Why Choose Patrice & Associates?

Turnkey Work from Home Opportunity!
Patrice & Associates is one of the largest recruiting firms in the U.S., specializing in the hospitality industry. We’ve earned a reputation for delivering the highest quality management candidates, using the kind of personal touch that’s usually found in smaller recruiting firms.

Free Resume Database – Existing Clients!
This business is designed to be a turnkey operation. We’ve developed a large network of contacts in businesses across the U.S., and we’ll share our leads with you! Our proprietary Applicant Tracking System gives you access to a database filled with job opportunities and management candidates. What’s more, our extensive Internet presence generates new leads daily.

Low Start-Up Costs – $35,000 franchise fee and small start up costs
The Patrice & Associates franchise has been carefully planned to provide low barriers to entry. For one, the initial investment requirement is well below the standard franchise investment. Next, you’ll operate your franchise from the low overhead and convenience of your home office. As your business builds momentum, you may find it necessary to bring on a part-time administrative assistant.

Exciting Perks
There are more incredible advantages that you’ll enjoy as a Patrice & Associates franchisee. We’ll supply you with top-notch back office support and top-of-the-line operational software…free of charge! The impressive software package you’ll use will help you find leads, organize your day, and much more. And we’ll provide billing services to save you the cost of hiring a part-time bookkeeper.

One of the MOST exciting aspects, of this home-based business, is that our system is completely paperless – so all you need is Internet access and a telephone, and you are in business! You can recruit from a hotel room while on vacation, recruit from a campsite with wireless access, or recruit from a cruise ship – your life and your business can truly go hand-in-hand.

Training
At our facility in Georgia, you’ll receive initial hands-on training in all aspects of the Patrice & Associates franchise, including operational software, approved methods and systems for identifying suitable candidates, fees paid for candidates, fee splitting and fee overrides, and other standard elements of the recruiting business. You will leave training not only fully operational but also with a complete step-by-step manual for reference. Our training doesn’t stop there! Our Director of Training and his team will provide you with virtual and online mentoring, via email, conference calls, and individual phone calls. You’ll also benefit from on-site advanced training, including local new account development.

This dream-come-true franchise opportunity includes:

* An opportunity to work from home
* Access to database of resumes
* Access to current clients and jobs.
* Complete fast-track training
* Billing services -
No accounting nightmares
* Total flexibility -
Work from any location
* Low barriers to entry
* Network of contacts throughout the U.S.
* Extensive Internet presence with recognized brand name

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Guide to the World Franchising Exhibition

Friday, January 30th, 2009

After the tremendous success of the SIF&Co 2008 event in October, exhibitors and visitors have already started looking forward to the next World Franchising Exhibition that is to take place in October 2009, again at the Feria Valencia, Spain. Popular in the franchising industry, SIF&Co has built a reputation for itself as the most efficient world-franchising event of its kind in the last twenty years of its experience.

In its previous shows the event has attracted over 22,000 visitors from almost 35 countries around the world, and showcased the products and services of more than 300 exhibitors who used the platform as a launch pad as well as a promotional ground. With over 25% of the attendees (exhibitors and visitors) coming from foreign lands, this is indicative of its appeal on an international level. Covering almost 30,000 square metres of exhibition space, SIF&Co provides huge spaces to exhibitors and is easily one of the largest events in the field of franchising.

The third largest city of Spain, Valencia attracts business, trade as well as leisure tourists from around the world and is a hub of prestigious trade fairs. Thus, with activities round the year, transportation is hardly a matter of concern in Valencia. Served by the Manises International Airport connecting the city to worldwide destinations and an extensive railway network, the city is easily accessible. Additionally, a well-developed motorway and efficient infrastructure makes transportation to the venue all the more easy.

While accommodation options are available in plenty, visitors can be assured of a great experience in top-end, mid-range as well as budget hotels in the city of Valencia. The city’s splendid architecture is known worldwide and visitors can view these buildings first hand as many of these buildings have been used as hotels that have maintained the same architecture while adding in modern facilities. With many such suites, guestrooms and inns available in close proximity to the venue, visitors can look forward to an easy and comfortable stay in Valencia.

Attracting franchise operators who are looking towards expansion as well as investors and entrepreneurs keen to enter into profitable business offers, SIF&Co provides the best business opportunities to attendees under a single roof. With its positive results and popularity, the event is home to the Federation of Iberoamerican Franchise Associations that holds its annual meetings in Valencia. A must-visit event for all those looking to purchase quality products and meet genuine business partners, the World Franchising Exhibition is the perfect meeting ground for all those looking towards growth in the field.

Catherine writes about Exhibition accessories and about Shell Pacs for exhibitions.

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Cousin’s Subs franchise

Thursday, January 29th, 2009

Great food.High quality. Good value. Committed. These are the words our guests and franchisees use to describe the Cousins Subs opportunity.

Cousins Subs Story -
It all started in 1972, when two transplanted cousins from Atlantic City saw the need for an Eastern-style sub shop in their new hometown. They patterned their subs after the hoagie, grinder, hero and sub sandwiches they enjoyed back East. With a dedication to delivering quality sub sandwiches at fair prices, they opened their first restaurant on the North-West side of Milwaukee.

From the start, the two baked fresh bread every morning and insisted on using only the finest, freshest ingredients. The name of their restaurant came just as naturally. They called it Cousins Subs.

Cousins Subs is growing – Even during these economically challenging times, Cousins Subs is growing. Many of our franchisees feel the current business climate provides the perfect opportunity to gain independence and go into business for themselves. Cousins Subs currently operates 155 stores in 6 states.

Cousins Subs competitive advantages include:

* Cash business with low receivables and little inventory
* Low investment & start up costs
* Third party financing Limited staffing requirements
* Strong support systems in site selection, construction,
marketing & operations
* Single & multi-unit opportunities
* Protected territory

We invite you to read on, visit several of our locations, and contact us to learn more. Whether you are interested in developing an entire market or to begin with a single unit franchise, Cousins Subs is your franchise of choice!

Cousins Subs Business Elements

* 900-1800 sq ft
* Free standing, strip centers, end caps
* 25,000 franchise fee, 10 year agreement
* 6% Royalty
* 2% National Advertising

Franchise Owner Qualifications

Previous Experience
You don’t need to have previous restaurant experience to qualify, although it is a plus. Our comprehensive training program will bring you up to speed.

Desire to Grow
Our franchise programs are designed to encourage both single- and multi-unit owners. We offer a special multi-unit program for those candidates who commit to opening two or three stores immediately. We also have an exciting area development program for candidates who commit to developing a minimum of 10 stores in 4 years.

Financial Ability

To effectively build and operate a Cousins Subs restaurant, you should have:

* A good credit history
* Net liquid assets of at least $80,000 for single store owners,
$250,000 for multi-unit agreements

Characteristics….

* Succeeding as a Cousins franchise owner will take a desire to learn, individual drive and ambition, and the right attitude; coupled with strong leadership and multi-tasking abilities.

Are you ready to get started?

Required Capital: $0 – $350,000
Net Worth: $350,000+

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Determining the Initial Franchise Fee

Thursday, January 29th, 2009

Many factors impact the initial Franchise Fee charged by a Franchiser. Some franchise companies make the mistake of setting their franchise fee based solely on what their competitors are charging. Although this may appear to be a sound strategy, the problem is that not all franchise systems are created equal, regardless of whether they operate in the same industry.

When establishing the initial Franchise Fee, it is important to remember that although the Franchise Fee can certainly help a company’s cash flow and assist in sustaining the company’s initial growth, the royalty fee income and income from the sale of products and/or services to Franchisees should be the major source of revenue in terms of the long-term profitability of the franchise operation. Companies that attempt to make a huge profit from the initial Franchise Fee may find that they are discouraging qualified candidates from looking past the huge fee.

When assisting clients in franchising their business, part of the development process entails our determining an appropriate Franchise Fee (and other fees) that balance the franchisor’s financial needs with the needs of the franchisee relative to their total initial investment. We do this by evaluating a number of different factors.

With Franchise Fees wildly fluctuating even among similar type franchise companies, to a potential franchisee the Franchise Fee may appear to be based on a “throw it out there and see if it sticks” approach. However, when the Franchise Fee is properly established based on a thorough evaluation of specific factors, it can be easily justified (and understood) by a potential franchisee.

When determining the initial Franchise Fee, we evaluate the following:

1. The sophistication and/or uniqueness of the system;
2. The potential ROI and profitability of the Franchise Business; and
3. The Franchisor’s costs and expenses associated with the acquisition and grant of the franchise.

When considering differences in the initial Franchise Fee of two similar franchise companies operating in an established industry (i.e. pizza), the third category is where much of the difference between franchise fees can often be found.

The Franchisor’s costs and expenses may include:

* Allocation for franchise development costs
* Allocation for franchise advertising and marketing expenses
* Franchise acquisition costs including sales costs (i.e. sales commissions) and other related expenses (i.e. marketing materials, personnel)
* Expenses related to training new franchisees and providing on-site support and/or site selection assistance prior to or during the franchisee’s grand opening period. Franchisors may choose to include some or all of these expenses in the initial Franchise Fee.
* Other hard costs incurred by the Franchisor in establishing a new Franchisee (i.e. training materials, supplies, equipment) if these costs are inclusive of the Franchise Fee.

As stated previously, the initial Franchisee Fee may also be based in part on the potential ROI and profitability of the Franchise Business. Of course, this may only be shared with a prospective franchisee by Franchisors who have made the required disclosure in the Disclosure Document relative to “financial performance representation.” Otherwise, these factors will only be tangible to prospective Franchisees once there are a number of franchises operating under the franchise system.

For franchisors who do not make financial performance representations (and the majority do not), the company’s franchisees may choose to share their financial performance with prospective franchisees. So as the number of franchises increases, it becomes easier for a prospective franchisee to evaluate the financial potential of the franchise. This is why it is common to see Franchisors increase their Franchise Fee over time. As the number of franchises increases, the franchise business gains more credibility (and believability) for potential franchisees. In essence, later stage franchisees are investing in more of a “sure thing,” which can justify a higher Franchise Fee.

So the question remains, what percentage of the Franchise Fee does a Franchisor typically “net?”

Again, this will vary greatly in large part based on the factors discussed. In addition, some franchise companies choose to “break even” on the Franchise Fee to reduce a franchisee’s barrier to entry in terms of the total initial investment. Others franchisors may actually choose to “lose” money on the Franchise Fee with the justification that they will make it up many times over with the ongoing royalty fee generated by franchisees.

This being said, it is not unusual for a Franchiser to “net” 25% or more of the total Franchise Fee (officially “gross profit”). It is also important to remember that a portion of the Franchise Fee normally includes a recoup of certain expenses that the Franchiser previously incurred (i.e. franchise development costs, production of advertising and marketing materials, advertising costs, etc.). So the net cash flow generated from the Franchise Fee is normally higher than the gross profit. As a result, the gross profit generated from the Franchise Fee increases as additional franchises are granted and some of these costs are fully recouped.

There is an art and science to establishing the initial Franchise Fee and other fees associated with the franchise (i.e. continuing royalty fee and advertising fees, which I discuss in another article). When establishing the Franchise Fee, franchisers should carefully evaluate the various factors discussed in this article as they relate to their franchise. Doing so will help ensure that the initial Franchise Fee is fair to both the franchiser and franchisee instead of a reason to question the Franchiser’s true motives.

Steve Vandegrift is President of FranSource International, Inc., a full-service franchise development and consulting firm founded in 1997. FranSource works with both startup and existing franchisors providing the expertise required to start and maintain successful franchise operations. You can email Steve via the FranSource website at http://www.fransource.com

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Franchising – Current Economy Offers Great Incentives

Wednesday, January 28th, 2009

As we approach the new year, many prospective franchisors wonder whether developing a franchise operation is a wise decision with the U.S. mired in a recession. Conversely, prospective franchisees wonder whether purchasing a franchise makes senses given the current economic climate. The quick answer to both is that it may not be.

A company that is looking to franchise their business mainly as a means of raising capital would probably be wise to defer franchising. Of course, a company in this position should probably never consider franchising, but that discussion is for another time. The same holds true for an individual who may be investing their last cent (and available credit) in purchasing a franchise business. In both cases, with the need for immediate revenue so great and little room for error, neither may have the staying power to survive through the current economy. At the very least, both would likely approach the endeavor with a mix of fear and trepidation…certainly not the best way to begin a new business.

This caution stated, it is exciting to share that the current U.S. economy actually offers incentives that makes franchising a business or investing in a franchise an excellent decision for many companies and individuals. Although franchisors in general have experienced a decrease in franchise inquiries over the past six months (our clients report 25-30% fewer leads on average), franchises are continuing to be purchased nationwide. In fact, one of our clients (ALOHA USA) announced in November that they had just granted their 25th franchise since beginning to offer franchises in August 2007.

So what incentives are there in this economy for a company to consider franchising?

First, in times of economic uncertainty the number of individuals concerned with their job status dramatically increases, which in turn leads some individuals to consider starting their own business. Due in part to the economy and mixed with a little “I’ve always wanted to operate my own business,” some ultimately choose to start a business. For other individuals, the opportunity to accept a buyout or early retirement package is the motivating factor for considering starting their own business. In both cases, rather than waiting for the proverbial shoe to drop, these people prefer to take destiny in their own hands. Of course, many prefer to do so with the assistance and support of a franchisor.

In addition to the “currently employed” candidates, a recessionary period creates tens of thousands of additional “forced” franchise candidates, who come from the ranks of the “recently unemployed.” Consider that with each ¼% increase in the unemployment rate, more than 350,000 people are added to the pool of prospective franchisees (another upside of high unemployment is the availability of qualified employees to assist in running a new business). Even recognizing that many of the recently unemployed will seek and find other employment (eventually), there are thousands of others who choose (and in some cases, are forced) to consider starting their own business. Many of these individuals take retirement funds, buyouts and/or severance packages with them when they leave their employment so from a financial standpoint, they are often ideal franchise candidates.

Which brings us to another affect this economy, and more directly, the stock market is having on franchising. With many investment and retirement accounts hovering somewhere below sea level, many people have opted out of the market. Now they are holding onto capital which they realize they need to invest somewhere. The question is where? Once again, some decide that investing in starting their own business is a good option, and what safer way than following the proven business model offered through a franchise system?

So what are the economy-related incentives for potential franchisees?

I will share three of the major ones. First, one of the key expenses associated with starting a franchised retail business is lease space and construction costs. With lease space going begging right now in markets across the country, many franchisees are securing lease space at discounts unheard of even a year ago. On top of this, landlords are increasingly offering high allocations for build-outs. In the last month, one client’s franchisee successfully negotiated an increase in the landlord’s build-out allowance by 300% (gaining an additional $40,000), while at the same time negotiating a 25% reduction in the lease cost.

Further incentives are available in the advertising and marketing arena. Many media are aggressively discounting advertising rates to attract business. It appears that we will see continued discounts from traditional media in 2009. The opportunity to advertise now at reduced rates can have a dramatic impact on a company’s bottom line following the recession period. McGraw-Hill studied the advertising expenditures of companies during the 1981-1982 recession. They discovered that companies who decreased their advertising during the recession increased sales an average of 19% following the recession while companies who continued to advertise during the recession increased sales by an average of 275%.

A third economic-related incentive relates to the cost of borrowing . Although credit requirements are much tighter than a year ago, capital is starting to flow again (think $70 BILLION bailout) and is available extremely cheap to individuals whose credit history, net worth and available cash meet the new requirements. The difference lower borrowing costs make to a company that is undertaking a franchise development program or to an individual who is purchasing a franchise cannot be understated.

When determining whether now is the right time to undertake a franchise expansion program or purchase a franchise business, prospective franchisors and franchisees should first evaluate their financial condition to determine whether they have sufficient capital to survive if revenues fail to meet expectations. During a recession, it is especially wise to follow the adage, “Hope for the best. Plan for the worst.” A thorough evaluation should also be conducted relative to the type of business being franchised. Is it in a industry that normally holds its own during recessionary periods? This alone makes a franchise business an attractive opportunity during good times and bad.

If both of these questions can be answered affirmatively, you may want to act now to take advantage of the incentives afforded by the current economy. In doing so, history demonstrates that you will be well-positioned to reap the rewards that come following a recessionary period.

Steve Vandegrift is President of FranSource International, Inc., a full-service franchise development and consulting firm founded in 1997. FranSource works with both startup and existing franchisors providing the expertise required to start and maintain successful franchise operations. You can email Steve via the FranSource website at http://www.fransource.com

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The Advantages and Disadvantages of Running a Franchise

Wednesday, January 28th, 2009

When it comes to starting up your own business, the thought of a franchise has a lot of appeal. When starting a franchise you already know that your customers have heard the name of your business and will most likely come to your shop as well. You already have that free advertising going for you. Nothing can spread business faster than word of mouth. But there are pluses and minuses to every type of business you could decide to start up. It would be a good idea to read through some rent-a-center franchise information before jumping in feet first.

One of the major benefits to starting up your own franchise is that the franchisor often provides a significant amount of training. This is highly beneficial since any other business would not have access to this type of assistance. While your franchise might have to pay for the training, this is a better option than having to go out and figure it all out on your own. In addition, the franchisor will usually provide continued support and mentoring throughout the life of your own rent-a-center franchise. This is due to the fact that each franchisor wants to see each branch of their company succeed. They will not want to have one of their own stores ruin the reputation of all the stores.

On the other side of the advantages are also some disadvantages. The biggest disadvantage that you have owning your own franchise is the loss of control in most aspects of your company. If you want to make any changes the change must be approved by the franchisor. Also, if the franchisor is not running the company to the benefit of each franchise, this can cause major problems between you and the franchisor. You should make sure to read through your franchise agreement as most of these have you sign your rights away if any such disagreement should occur. The other main disadvantage is the cost in general. There is an upfront fee that you must pay to the franchisor for using their name and trademark. You will also have to pay royalties to the franchisor which will cut into your pocketbook for the life of your business.

While starting up your own business sounds like a wonderful idea, it is also a good idea to weigh the good and the bad that go along with opening a franchise. After you read some RAC franchise information you might decide that you still want to go ahead or you might change your mind altogether. It just depends on what type of business owner you want to be.

So if you are looking for more RAC franchise information, you should click on APRO today for answers to all of your questions. If you are interested in starting up your own Rent-a-Center franchise then APRO has plenty of information on that as well. APRO is an invaluable resource when it comes to looking for details on Rent-a-Center franchise information.

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Starting Up Your Own Rent to Own Franchise

Wednesday, January 28th, 2009

When it comes to starting up your own business, the thought of having to risk your entire initial investment can be quite nerve-wracking. There are numerous startup costs that should be taken into consideration before you even begin to think about starting up your own company. There is the purchase of merchandise and the rental of the office space just to start with. Once you get past all of the initial costs, there are the upkeep costs to be considered as well.

You should take great care when deciding what type of business you will start up as well. One way to get started is by researching about rent n go franchise information online or at your local store. There is a huge demand for stores that provide the rent-to-own service in today’s economy. If someone has recently been laid off due to the current financial crisis and their refrigerator stops working, they will need some way to be able to purchase a new fridge. With a rent-to-own store that can be possible for that person. They will be able to make monthly payments rather than having to fork over a huge lump sum right up front which may very well deplete all of their savings. With an RAC franchise you will feel as though you are helping out your fellow man that could really use your helping hand.

There are many other different types of franchises that you could startup as well. You could open up a chain restaurant or maybe even a shoe store. When it comes to starting your own business the sky is the limit, so long as your pocketbook as some deep pockets. You also need to make sure that you are passionate about the type of business that you open. If you really aren’t all that into shopping for shoes, then perhaps that type of shop just isn’t for you. You need to find something that you will be happy to get up in the morning to go off and work at all day long.

If you really want to feel as if you are giving something back to your local community, a rent-to-own store is the perfect solution for you. These stores will bring tremendous relief to those who desperately need it during these hard financial times. Especially when it looks as though things are only going to get worse before they get better. So start researching easyhome franchise information today.

If you are searching for a rewarding business to call your own, consider a RAC franchise. APRO has plenty of information on starting up your very own rent-to-own business. APRO is also a great resource if you are looking for rent n go franchise information as well. If you are more interested in obtaining more easyhome franchise information, APRO has plenty of information on that as well.

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Signs Now franchise

Wednesday, January 28th, 2009

igns Now centers provide their clients with high quality Graphic Communications and Signage Solutions. We use the latest technology to create customized Digital Graphics, Vehicle Wraps, Interior & Exterior Signage, Point Of Sale Displays, Banners, Trade Show & Exhibit Displays , Dimensional Signage, and much, much more!

The Right Industry + The Right Economics = A Huge Opportunity!

Our business model is designed to help franchise members take full advantage of the following key industry changes:

*
New advances in digital imaging and printing technology have created an array of exciting new B to B target markets and revenue opportunities.

*
The new technologies have also significantly reduced key operating costs, which has dramatically increased profit potential.

Why is Signs Now Different? – Support, Support, Support

Highly Effective Business to Business Marketing Initiatives

Powerful Marketing Mailers & Collaterals
Proven Profit Management Program – “Profit Mastery”
Industrial Studio Center Design – Attractive Store Branding
Five Weeks of Training – 3 Weeks at Signs Now HQ & 2 weeks in your Center
Complete Site Selection Assistance
Regional Operations Director – Business Management Consulting
Growth by Acquisition Program

Leading Edge Technology and More!

Here’s What Our Franchise Members Are Saying

“The marketing programs have been invaluable to the overall success of our Signs Now franchise. They have created road maps to success that have taken the mystery out of marketing.” – Jerry & Ann Swanson, Tulsa, OK

“When I really think about what I consider to be the most important benefit of being a Signs Now franchisee, I would have to say it’s the support and direction given by the staff at headquarters and my regional Director. It keeps me focused on running a successful and profitable business. I am very pleased with my decision.” – Lori Pastuszak, Lombard, IL

“My background in Operations combined with my experience working with the Sales department in my previous career made Signs Now an excellent choice. I have used both to build a successful business that continues to grow.” – Travis Masters, Largo, FL

Minimum Financial Requirements: $250,000 Net Worth, $75,000 Liquidity

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Servpro franchise

Wednesday, January 28th, 2009

Over the years, SERVPRO has grown into a top franchisor for the cleaning and restoration industry. This was not an accident or coincidence. SERVPRO provides franchisees with the following tools:

* A franchise territory.
* The SERVPRO brand name.
* A complete start-up package.
* A tested and proven method of running a business.
* Professional training.
* A support network of over 1,300 franchises.
* The technology to run an effective business.
* A Corporate staff who truly cares about “Helping Entrepreneurs Succeed.”

Franchise Fundamentals.
10 Keys to a Quality Franchise System

How do you know if a franchise is the right one for you? SERVPRO® realizes selecting a franchise and a franchisor can be a difficult and confusing process. For this reason, SERVPRO developed the following list to help you in the franchise selection process. We suggest you follow these steps to find the right franchise for you. We hope your decision is SERVPRO!

1) Interview Franchisees
The best way to learn about the quality of a franchise system is to speak with current franchisees. Call at least five franchisees and visit at least two. It will provide you a realistic look at the opportunity. In particular, ask about the following:

* Start Up Assistance
* Market Demand
* Profitability of the Franchise
* Whether the Franchisee Would Do It Again

2) Visit the Franchisor’s Headquarters
You should know what support the franchisor provides. Interview the franchisor’s employees and see if there is an organized support effort. Most franchisors claim to have a comprehensive support system. Be sure you see what you’ve been told by the sales force. Visit the franchisor’s team:

* Training Department
* Field Operational Support
* National Accounts
* Product and Supplies
* Information Services
* Advertising Department

3) Analyze the Financial Stability of the Franchisor
If the highest source of revenue is franchise sales income, you should be concerned. A franchise must generate enough royalty revenue to maintain all company expenses. Otherwise, the franchisor is very vulnerable to problems. Also, note the equity in the company. A company should not be heavily in debt.

4) Talk to Executive Management
Are they focused on the future of the company, or are they acting as day to day operations? How long has the management been in place? What have they done to improve the company? What are the current initiatives? Are the executives open and willing to speak with you?

5) Initial Training
Talk to the last three franchises that completed training.

* Was the training complete?
* Do they feel well prepared?
* Is there complete documentation?
* What did their training consist of?
* Is your equipment/products package complete?

6) Operating Support
The franchisor should offer comprehensive support, especially in the following areas:

* Regular Meetings
* Complete Documentation
* Regular Visitations To Your Site
* Employee Training
* Newsletter and Bulletins
* Product and Equipment Research & Development
* National Accounts Support
* Software/Automation Assistance
* Local Training Assistance

7) Quality Name Recognition
The name, or trademark, is a primary value of the franchisor. Make certain the name of the franchise is known by key clients in the industry.

8) The Industry
Within what industry is the franchise operating? Is the product or service a necessity? Is it a luxury/fad orientated item? How large is the industry? Is the product or service diversified enough to react to difficult entry markets, or is it a single product/service offering?

9) Size of the Franchisor
The length of time in business and the total number of franchisees will indicate how mature the franchisor is in the marketplace. Quality Franchisors have steady growth and a good history of service to the franchisees.

10) The Application Process
A franchisor should have a profile of the best franchise candidates. There should be an organized process of learning about the franchise offering. There should also be a qualification process for the franchisees.

Required Capital: $0 – $2,500,000
Net Worth: $100,000+

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Grease Monkey franchise

Wednesday, January 28th, 2009

Over Grease Monkey’s 30-year history, we have built a reputation as one of the nation’s most reputable quick lube franchise concepts. We provide a high level of service, professionalism and environmental stewardship.

Monkey Shine is poised to become the first brand name car wash company with a nationwide presence. With the Monkey Shine franchise concept, we are revolutionizing the in-bay automatic and express car wash segments.

Grease Monkey is the only major quick lube concept that is not owned by an oil company. While we negotiate pricing and make recommendations for Grease Monkey franchisees, we do not dictate what products or supplies franchisees must use.

Monkey Shine is the first car wash franchise that is run by a franchise company, not an equipment manufacturer or distributor. We have spent years assessing the hundreds of car wash equipment options to identify the best providers, with whom we have negotiated special pricing and extended service packages for our franchisees.

Grease Monkey and Monkey Shine have developed industry-leading franchise systems to consistently provide a superior level of service in the preventive automotive maintenance segment.

The Grease Monkey and Monkey Shine platforms are designed to guide franchisees in all aspects of running their quick lube and car wash businesses. From site selection, construction and initial training to ongoing training, marketing and operations, our systems provide an unparalleled level of support throughout the franchise relationship.

Grease Monkey and Monkey Shine are complementary franchise concepts that work well together from a business perspective. Franchisees can choose to operate stand-alone Grease Monkey or Monkey Shine centers, or develop side-by-side Grease Monkey and Monkey Shine centers.

The benefits of developing side-by-side Grease Monkey and Monkey Shine centers include:

* Making better use of real estate sites
* Taking advantage of operational efficiencies
* Providing complementary automotive services to the same customer

Grease Monkey and Monkey Shine have franchise opportunities in major markets across the country. If you share our passion for providing superior customer service while building an outstanding brand name, we invite you to start the process towards becoming a franchisee with us today.

Required Capital: 250000
Net Worth: $500,000+

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Working For a Franchise – Employee Relationships Understood

Tuesday, January 27th, 2009

Because of their unique nature, employees and owners working within a franchise are more likely to have strained or alienated relationships that employees and owners working in a traditional business setting. Without a doubt, franchising presents excellent opportunities for profit making and career advancement, but it can often feel that the bond between co-workers is not as strong within a franchise and personal well-being and productivity suffer as a result.

Employees and owners of franchises need not be told corrosive affects of a sick work environment, all too many deal with such environments on a daily basis, but few within the franchise system have offered solutions and analysis of this malady. While there is certainly no one, single right way to conduct yourself in the work place, there are methods that can help identify different ‘characters’ that workers within the franchise tend to play.

Often referred to as ‘employee paradigms’ these two general, broad categories of worker – the achiever and the buddy- can help to illustrate the positives and negatives of two contrasting styles of work. There are certainly more character types to be dissected within the franchise dynamic, but these two will serve to set the stage for understanding franchise relationships.

The Achiever: Simply put, the achiever is the employee who treats their job as a life or death situation and who will stop at nothing to make sure that everyone else at work realizes how seriously they consider their employment. The achiever’s behavior and demonstrative attitude can take many, often contradictory forms such passive aggressiveness, assertiveness, and ill-humor, but the underlying thread in the achiever’s behavior is that they are driven by a need to succeed and be recognized.

Without delving too far into the psychology of the achiever type, it is important to understand that if you find yourself working alongside an achiever, though their behavior may at times be off-putting, their goals and projects are most likely driven by an inborn desire to succeed (and perhaps a fear of failure as well) and as such, a few well placed compliments will do wonders for this co-workers self-confidence and opinion of you. Likewise, in your interaction with the achiever, you should not attempt to become too ‘chummy’ or unprofessional as they might be taken aback by your seeming lack of respect for their dedication.

The Buddy: Traditionally considered to be on the opposite end of the franchise employee spectrum, the buddy is an employee who, for one reason or another, puts their work within the franchise as a secondary goal to that of making friends and becoming popular.

The buddy is often great fun to be around and can really lighten up the work place if kept in check, but if poorly managed or, worse, if managing, the buddy can become a plague on the office, draining productivity and causing irritation wherever they go. Buddies are best dealt with in short spurts, if you feel that you cannot talk to a buddy without going back to your work in a bad mood simply find reasons to stay away from them- your work will profit as a result.

One can reduce these two general categories into further specialized character types, but in terms of franchise success and profitability, the achiever and the buddy tend to be the two signature personalities that reoccur most frequently. Above all, with all character types, remember to be understanding, compassionate, and adaptable.

Mr. Oliver is a marketing agent of FranNet. The franchise business experts provide franchise consulting services throughout the nation.

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Five Things to Consider If You Want to Turn Your Business Into a Franchise

Tuesday, January 27th, 2009

Your business is very successful and you want to start franchising? What do you look out for? What do you do? There are many pitfalls in franchising, but concept and timing are critical. The first thing you need to concern yourself with is concept. How many competitors in the category that you are in? Let’s take pizza for example, well over 500 chains in this category, so what sets you apart and makes you different? Are you Domino’s and you focus on delivery? Or are you Little Caesars with the 2 for 1 concept? You need an edge, what sets you apart from the others?

If you don’t have a specialty you need one. Got great meatballs? Become the meatball king. What is it you are best at? If you don’t have it, come up with something. Remember if I am a franchise candidate, why should I buy your concept if there is nothing special about it? Get good at one thing and push it to the forefront.

Every good concept is able to paint a good picture with a formal profit & loss statement. I am not just talking about the company overall, but more importantly at the store level. The financial piece is critical and is the measuring stick for future and continued success. If every franchisee has his/her own different statement, how can you measure it as a group. You should also have biannual meetings or workshops to discuss acceptable percentages of each item category for the P&L. For instance, what should be the projected labor as a percent of gross sales? 20% 30%? You keep your franchises successful by keeping them in a set format with projected percentages. In the food business, food, paper and labor percentages are critical.

Another critical piece is legal documents. You will need to develop a Franchise Disclosure Document or FDD. This is basically everything about your company from it’s principals to it’s financial status. It’s the law and you will need to not only have one but file it in some states that require registration. it needs to be updated on an annual basis. It is always a good idea to find a good franchise attorney so that it is prepared correctly.

Training, at the core of a great franchise concept is it’s ability to train people to run it as well as you do. If you can’t teach them, your concept will fail. Consider classroom training, a 1-800 help number for problems tied directly into your office and video library with internet access to training video’s.

It is always best when considering a franchise to pick the right people to help you build it. Find someone with a background in franchising that can assist you in the process. It may cost you initially but will save you in the long run. A great example is a group that I know of that spent $ 65,000 on training videos. They were great, state of the art, but another group spent $10,000 rolled them out in less time with a more than adequate product. A good franchise leader that has been there, done that may cost you, but at the end of the day could save you considerable money.

Bob Moglia http://www.linkedin.com/in/bobmoglia Do you need help with your concept? CONTACT ME

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Fortunes Found in Franchising

Tuesday, January 27th, 2009

Seizing a lucrative business opportunity is best done by purchasing an available franchise. By becoming as franchisee, you will have a business that comes with a ready made reputation. The standard franchise rules and regulations will help you set up the business. You can avoid making mistakes in the set up of the business because the franchiser company will be able to help you if you have a problem.

Franchises give the small entrepreneur the influence and the purchasing power of a big corporate name and the advantage of a low investment. The most common examples are fast food franchises, hotel franchises and franchises for moving and storage containers. The disadvantages are that small businesses can feel suffocated by the excessive control of the franchisor with little freedom in proportion to the investment.

However, there is merit in not having too much business freedom. The franchiser will give you a dedicated location, no other business person will be allowed to take a franchise in that location. You don’t have to experiment with different business strategies because the standard business practices are given in the form of an agreement with the franchiser.

You will need to pay a portion of your profits to the franchiser for the right to use their name. All the equipment used will have to adhere to certain standards stipulated by the franchiser. You can get a franchise directly from the franchiser or through a franchise agent. You must make sure that you can get a clientele for your business before taking a franchise otherwise it could be a costly mistake.

Franchises are hassle free ways of starting a business riding on the name and fame of the franchiser.

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Arbys franchise info

Tuesday, January 27th, 2009

ARBY’S® Restaurant Franchising –Something Different,
Something Better

Success in life isn’t an accident. It’s a choice
– a decision to desire more than average and
do whatever it takes to attain it. To take the
opportunity to achieve something different and
better than what’s merely presented to you.

At Arby’s, we know this too. That’s why we
have unique, cut-above selections, from our
thinly sliced roast beef to our delicious Market
Fresh® line of sandwiches, salads, and wraps.
It’s also why we continue to be food innovators
in the quick-service industry, offering customers
unique menu selections, a welcoming dining
atmosphere, and an overall experience that is
authentic, exceptional, and real.

What makes Arby’s such a unique opportunity for you?

You get the strength of a brand with a 40-year history of doing things different and better. You get unparalleled marketing, franchising, and operational support. And best of all, you get to join one of the most loyal franchise families in the restaurant
business, a group of go-getters who want you to succeed and will do whatever it takes to help get you there. Sound like a place you can call home?

We think you’ll agree that Arby’s is the place to hang your hat.

Arby’s Opportunities

We currently boast a proud system of over 3,700 Arby’s restaurants and we’re growing fast. There’s plenty of room for expansion in both existing and emerging markets.

The opportunity to join an established and profitable, yet growing brand is here. When you become part of the Arby’s family, you’ll have access to an innovative product line, prime restaurant sites, open development markets, and a brand culture that believes in something different and better for our customers, vendors, employees, and franchisees.

What qualifies Arby’s as being “something different”?

National Brand Presence – With over 3,700 restaurants, Arby’s is one of the few top 10 restaurant brands that currently has opportunities to grow in almost every market.

Our Menu – A combination of quality, innovation and variety, the Arby’s menu features our famous roast beef with signature Arby’s Sauce® and Market Fresh sandwiches, wraps and salads as well as other one-of-a-kind items such as curly fries and Jamocha shakes.

Our Image – Arby’s restaurants are now constructed in a Pinnacle or modified Pinnacle design, highlighting prominent architectural features. Our flexible, contemporary layout allows us to adapt restaurants to almost any prime commercial site.

Prototypes & Investment Levels – We offer a choice of prototypes and investment options to accommodate your specific business needs.

Operating Systems & Support – Our proven operating systems and development teams stand ready to help you grow your business, whether it’s your first Arby’s
or your 100th.

Our Culture – Our company culture is the ultimate secret to our success, and is
founded upon our core values: Dream Big, Work Hard, Get It Done, Play Fair, Have
Fun, and Make A Difference®.

Investment Levels and Fees

The initial license fee for an Arby’s restaurant is $37,500 for the first franchise unit and $25,000 for each subsequent unit.

The estimated initial investment for an Arby’s restaurant ranges from $336,500 to $927,900 for a lease situation, and from $750,700 to $2,474,400 for a land and building purchase situation (based on an initial license fee of $37,500 for the first unit).

Royalty Fee – 4% of gross sales

Advertising – 1.8% of gross sales for participation in our franchisee-owned marketing association and national advertising; at least 3% of gross sales for local
store marketing.

Who are we looking for?

We are searching for multi-unit foodservice and retail operators, as well as other
investors who have a history of business success. Other franchise candidates are also encouraged to apply, but will be required to have either experienced, qualified restaurant operators as part of their teams, or must complete our extensive training program.

Our primary financial requirement is a minimum liquid asset level of $500,000 (including real estate equity).

Required Capital: $0 – $2,474,400
Net Worth: $500,000+

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Mobile Graphics, USA franchise

Tuesday, January 27th, 2009

THE COMPANY:
Mobile Graphics USA is the fastest growing Automotive Marketing Company in the USA. The reason for that is… our product WORKS! In this challenging economy today, the Automotive Industry is looking for the most cost effective means of advertising. We are currently in 15 markets and helping over 450 franchise dealers on a weekly basis sell more vehicles through our advertising concepts.

THE MARKETING CONCEPT:
Mobile Graphics USA has created a marketing strategy that reaches thousands of potential customers every day. Dealerships pay a lot of money each month for their locations to be in a heavy traffic environment. What most dealers don’t think about is how to use their locations to their advantage by getting their advertising message out to everyone driving by their dealerships.

THE PRODUCT:
Mobile Graphics USA installs advertising messages such as low prices, payments, incentives, rebates, discounts and special custom messages in big, bright, bold and eye catching 3M vinyl to the side of the vehicles. When dealerships place these vehicles on their road front, thousands of potential customers can see their great deals and advertising specials every day of the week.

THE COST EFFECTIVE ADVANTAGE:
Mobile Graphics USA offers the most cost effective form of advertising in the industry. Most dealers are spending anywhere from $200.00 to $400.00 in advertising dollars to sell a vehicle, we can bring their cost per sale down to only $85.00.

OUR NATIONAL AUTOMOTIVE SEARCH ENGINE WEBSITE:
bestautodealintown. Is a website where vehicles that have our advertising can be placed for consumers to see on the worldwide web. This website is marketed to the public as”The Automotive Clearance Outlet”, where you can find the best deals in town!!

CORPORATE COMMITMENT:
At Mobile Graphics USA we are commited to treating our franchises as business partners and to provide them with the best training and continuing support in order to be successful year after year.

OUR MISSION:
To give dealerships across the country the most cost effective means of
advertising that WORKS!!

WHAT OUR DEALERSHIPS SAY:
Sutherlin Mazda -” Mobile Graphics advertising concept works great. We keep 15-20 vehicles stickered on our road front at all times. It creates an event atmosphere for us and increases our lot traffic tremendously, which in turn we sell more cars.” Chris Whitten – GM

Sutherlin Nissan -” I have used MG -USA for nearly 2 years now and can attribute selling 35-40 vehicles each month by using their road-front advertising and bestautodealintown website. John Prattes- GM

Mall of Georgia Ford -”We use MG-USA to sticker 12-15 NEW cars & trucks with heavy discounts, rebates and incentives. We replace them each week as they sell to make sure we are getting our message to all of the drive-by traffic. IT WORKS!! Eric Conley – GSM

AutoNation -”GREAT ADVERTISING…THAT WORKS!! Our stores all over the country are using MG-USA’s advertising!!

WHAT OUR FRANCHISES SAY:
” Mobile Graphics USA has been a great business for me. They have given me excellent training and support over the years. They treat me as a business partner and assist me in building my business to its fullest potential. During the past few months as the dealerships need us most, I have increased my business significantly. I would highly recommend Mobile Graphics USA and I did to a friend and he is process of purchasing a franchise in his city.”
- Smitty Deicks (Orlando Florida Franchise Owner 2007)
____________________________________________________________________

If you are looking for a home based business that has minimum start up investment and huge income potential that includes longevity in the automotive advertisng industry. Then don’t miss this opportunity!

Franchise Cost $34,000 – $99,000

NOTE: We have 7 cities that our currently Corporate Markets and are generating a steady income each month. We are offering this rare opportunity and are offering these markets for sale as franchises. The opportunity to purchase a corporate market is very rare in the franchise industry.

Charlotte NC * Knoxville TN * Ft. Lauderdale, FL * New Orleans, LA *
Houston, TX * San Antonio/ Austin, TX * Dallas, TX * San Diego, CA

Markets available in all major cities

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Lawn Care Business Franchise Or Independent Startup?

Tuesday, January 27th, 2009

Once you have decided to get into the lawn care industry, one of the first decisions that you will have to make is whether to start your own independent business or to go with one of the many lawn care franchises that are available.

Lets take a look at some of the things that you should be aware of when making this decision.

A franchise is usually a business system that has been proven to work well, no matter where it is set up. Franchisees usually receive full guidance into the business, a complete business model and plan that they then only have to implement for success. Well that is the ideal anyway. In reality many franchises fail just like independent businesses do and the franchise route can be limiting in some ways as your business grows and it can cut into your profits.

The early support that you will be offered during the startup phase is one of the best aspects of a franchise. Your franchisor will hold you hand through the whole process of learning about the lawn care business and get you off to a start without you having to do a lot of research and learning yourself. But in the long run those who do put in the hard work in the beginning and build their own baby from the ground up are usually rewarded more and are free to grow and profit to a greater extent. Bear in mind that lawn care is not that difficult to learn and you can easily learn how to mow and maintain lawns without expert advice from a franchisor.

Taking the independent route will mean that you have to develop and grow your own brand over time and to slowly build relationships and reputation with your customers. Franchisees immediately inherit a brand that has already been built up over many years so often they will have an easier time selling their services at first and may even be able to command a premium for their work. Not every brand has a good reputation though so do your research to make sure that franchise brand recognition will work in your favor.

The main downside with franchising is that it comes with an expensive price tag with startup and annual fees and ongoing obligations in terms of having to buy certain supplies from the franchisor. In the early stages of your business life it can be better to preserve your capital instead of handing it over for a lawn care franchise.

Independent lawn mowing operators will have the freedom to work as they wish and grow their business into new niche markets when opportunities arise. On the other hand, a franchise can limit your future potential for growth by placing constraints on what you can and can’t do. Being told exactly how to run your business is nice for the first six months but after that you want to be in charge of your own destiny and not be told how to manage your business.

Before going with the franchise route you should try and talk to some franchise owners, in any industry, and try to understand some of the pitfalls. Franchisees often complain that their franchisor opened too many branches within a small area and thus limited their opportunities by reducing the size of their market.

If you do go with a franchise then make sure that you read the agreement carefully and ask a lot of questions. Try to find out about the failure rate and also an exit route if you want to sell or dump the franchise and go independent. Getting advice from a lawyer is prudent as contracts can often be long and complicated and may not include some key clauses that you need to protect yourself.

Overall I would recommend the independent route for small businessman or businesswoman wanting to get into the lawn care business. It is easy enough to get started on your own so why invest a large amount of cash into a franchise that offers no guarantees when you can put that money into growing your own business from scratch.

For information on how to start a lawn business independently visit – http://www.StartaLawnMowingBusiness.com

For a comparative review of some of the top expert lawn care business guides that can help you get started and lead you to success.

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Pro Image franchise

Tuesday, January 27th, 2009

A Superb Sports Franchise for Fans and Entrepreneurs

Pro Image is a sports fan’s dream come true. We are the nation’s largest licensed sports apparel gift shop, with franchises coast to coast. Die-hard fans migrate to our stores from all over to find their favorite team’s gear.

A Superb Sports Franchise for Fans and EntrepreneursIf you are one of thousands dying for a chance to work in sports, this is the business opportunity you’ve been waiting for. Now is the time for you to own a sports franchise, and work in an environment where you talk, sell and live sports! Pro Image Franchises is a great option for entrepreneurs looking for a low-risk, steady growth business with a relatively low investment requirement. And there’s more – qualified candidates who buy a Pro Image franchise in 2009 will receive a second franchise for FREE!

“I chose Pro Image over several other franchises because of the support from the home office. The prevailing attitude was that their #1 job was to help me be successful.” – Lloyd Knellor, owner of two stores in Tennessee for 19 years

Pro Image Franchises, LC has been the largest sports franchise in the nation for 23 years. Our stores have developed a strong following from customers that know we are the place to go for authentic and licensed sporting goods they cannot find anywhere else.
Here are some of the key reasons why you should join the Pro Image team:We are the nation’s largest licensed sports apparel gift shop

* Twenty-three year positive track record
* On-going demand
* Constant service and assistance from corporate office
* Multiple location strategies

A true sign of a quality franchise is the number of franchisees who re-invest in multiple locations. Pro Image franchisees who have owned their store over five years typically own at least 2-3 locations.

“My wife and I bought out the previous franchisee who had operated one small store. We have since grown to nine stores in a five state area. For anyone who is a big sports nut like me it is a great career choice. Being part of a franchise group allows us access to many resources and services that would be unattainable if we were on our own.” – Paul Shillingstad, owner of nine stores in South Dakota for 12 years
Outstanding franchise supportOutstanding franchise support

Key to the success of any business venture is a comprehensive set of support resources. Pro Image provides each franchisee with on-going professional services and support to the business that will ensure successful launch and sustained operation. Following is a list of support resources that the Pro Image franchise opportunity includes:

Marketing and sales support
Pro Image offers many marketing strategies throughout the year for our franchisees to promote business. We also have talented sales executives that can help you train and motivate your sales associates.

Leasing negotiation support
Our experienced leasing team has 23 years of experience and relationships with malls across the country. They can ensure you receive the best rent package and location possible.Pro Image Franchise Opportunity_2

Access to the Pro Image corporate service team
Pro Image has a close, on-going relationship with all franchisees. If there are ever questions or concerns, our corporate team is available any time to assist you.

An immediate communications network
By joining the Pro Image team you are immediately thrust into a network of accomplished owners that share their knowledge and experience with each other.

Instant access to top-name vendors
Pro Image has the ability to get you open with all key vendors in the sports licensing business. An added plus is the system-wide price breaks that our franchisees receive from vendors because of Pro Image’s buying power.

“I can honestly say that coming to work has never been something that I dread. Being able to make a living while working a job that encompasses your passion has been very rewarding.” – Tim Kerrigan, owner of four stores in Wisconsin for 25 years

Business Type: Franchise.
Minimum Investment: $137,500.
Financing Assistance: Yes, through a third party.
Training Provided: Yes.

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The Fast Fix Franchise Experience

Tuesday, January 27th, 2009

FAST-FIX is the World’s largest franchise of jewelry and watch repair services. Established in 1984, FAST-FIX perfected a system for delivering fast, efficient, professional repair work on jewelry and watches for men and women by locating its stores conveniently in high traffic areas of regional shopping malls. The company began franchising in 1987 and today, has over 150 franchised locations in the United States and Canada.

With over two decades of success in the jewelry and watch repair industry under our belts, FAST-FIX has earned it’s reputation as one of the top franchise business opportunities in the United States and Canada. We’ve tried it all and have a defined formula for success. With FAST-FIX, the business opportunity, the formula and the success are all available to you.

The Fast Fix Difference.
We offer the means to develop a business that is only limited by the amount of time and effort you are willing to commit and by your imagination.

Our franchise owners come from all walks of life – many are corporate executives, past business owners, educators, retail managers, jewelers, real estate agents, restaurateurs – but what they all have in common is a strong desire to succeed and a passion for satisfying customers.

For 25 years, the FAST-FIX brand has been helping individuals build their own business – hundreds of independently owned and operated businesses, run by people just like you!

The Fast Fix Family.
When you purchase a FAST-FIX franchise, you are joining a family. From step one, throughout the entire franchise process, the FAST-FIX system provides training and guidance that aids in the operation of each store.

Our system has been built around the relationship that we have with our franchise owners and has been a key factor in FAST-FIX growth for the last 25 years. We value our franchise owners and we collaborate with them on virtually every aspect of our franchise business.

We’re certain once you’ve experienced what our franchise system has to offer, you’ll understand why so many people have joined the FAST-FIX family.

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What to Consider Before You Buy a Franchise

Monday, January 26th, 2009

There is always risk involved when you are buying a franchise. It does not mean that if the franchiser is well known, you will also be successful. This is the reason why you have to look into several factors before investing. Think of it as an investment that you can make some profit from if you do the right things.

First of all, you should consider the reputation of the company or the franchisor. This involves the reputation of the franchiser, services, training, support, experience and profit potential. The ultimate reason for franchising a business is its brand and profit potential. You should look at the popularity of the company you are franchising with and find out if it has a registered trademark. This is important because you have to make sure that the business is not just an imitation of another person’s ideas.

You should also find out if the services offered by the company meet your target market needs. The experience of the company is important as well. You have to be aware of the length of time it has been operating or working to know how experienced the franchiser is in the business. Sometimes, the franchiser cannot guarantee close handling of the franchisees needs. That is why it is vital to understand the support and assistance that the company gives to its franchisees.

The training offered by the company is very important, since without adequate training you will not only fail to meet the standards of the franchise, but also be inadequately equipped to run your business properly. A failure of a franchiser to properly train you indicates a weakness, and that could be an indicator for you to get out as soon as you can. Your success depends upon the company’s success, and if the company is based on a foundation of poorly trained franchisees, then the future is bleak.

The franchising disclosure document is important, and you should be provided with a copy of that before signing up. This document will give you valuable information regarding the company, including the business background, the names of the executives, the business processes, the franchising system, and the experience of the company in franchising. Such a document also contains information about the history of litigation, costs, bankruptcy, terminations, restrictions, advertising, and current lists of franchisees. So make sure that you read and understand all the franchising disclosure information, since it will enable you to ask the right questions regarding the disclosure, so that you can get proper clarifications before franchising.

After gathering the information regarding the franchiser, you need to look at other important factors such as the location, market, demand, and competition. The location where you plan to establish the business can greatly affect your venture. Your franchising success will depend a lot on this because these other factors are affected by the geographical location of of the business. A sandwich bar might do reasonable lunchtime business in an industrial estate, but very little at other times.

Selection of the location should be strategic and well planned. Visual inspection is needed to find out if there are competitors in the area that offer the same services. Visit the area you have in mind and have walk around. Knowing the nearest franchisees of the same company is also essential because they can also be competitors. The location of your business should be accessible to your target market. Your market research should tell you which types of location are best for your kind of business; you will want somewhere that provides good exposure and best visibility for your business.

With regard to finance, the cost of the franchise should be well analyzed. Is franchising the ideal route to entry? Can you earn back your investment in a shorter span of time? You need to know how long the return of your investment is. You should also expect additional overhead costs when franchising because earning back your investment usually takes more than a year. This means that you will be spending more before you actually start making profit. There are also other expenses to consider such as the rent, supplies, utilities, and the payroll. Therefore, make sure that you have the necessary funds to sustain the business, so that you will not have to face the risk of bankruptcy.

With all these being considered, costs and benefits of franchising a business should be thoroughly analyzed before making a decision. Some of the factors mentioned above are disregarded by people when they go into franchising, but in order to be successful in the franchising business, you have to consider all these factors and make the necessary effort to ensure that they are in line with your business goals.

Given that you have done your homework and market research, there is no reason why you should not join all those others that are successfully operating a franchise business.

Naz Daud is the founder of CityLocal. This Franchise Opportunity is for people who would like to work from home and be their own boss.

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What Makes a Good Franchisee?

Monday, January 26th, 2009

Andrew purchased a Worldwide Online Printing franchise in Brisbane in 2003 and, despite having no printing experience, quadrupled its turnover in four years and soon was able to purchase his second franchise close by.

Is there anything Andrew wishes someone had told him at the outset that could have made him a better franchisee?

“I certainly wish I’d had a better understanding of the difference between cashflow and profit. I was running a very profitable business but all the same outran my working capital because I hadn’t fully appreciated the importance of cashflow. I learned that one the hard way.”

“You need to make sure you have enough working capital. Franchisors recommend a certain amount but you should really treat that as a minimum. You can never have too much.”

What are the other things he thinks help make a franchisee successful?

Understanding the role of the franchisor

“You really need a clear view of what you are getting into. Franchising isn’t about paying your money and then sitting back and watching the money come in.”

“A lot of franchisees expect too much. The franchisor gives you access to a brand, systems and methods of doing business. It’s still up to you to make a success of it.”

“There are a number of key benefits that joining a franchise group brings – access to operating systems, a recognized brand, marketing and technical assistance, buying power, and a network of fellow franchisees to support you. This all comes at a price, and it’s important to recognise the value that you get for your royalty fee.”

Managing risk

Another key factor Robertson identifies is the ability to manage risk.

“It’s definitely part of the package and sometimes the stresses and strains are rather different from those of an employed person. You get individuals entering franchising with a golden handshake payment after many years as an employee. They want to be their own boss. That’s all well and good, but it comes with risk.”

“One day they wake up and realise ‘Gee, I’ve put my house on the line! I can’t sleep. I’ve got this debt to worry about’ and it comes as a shock. They then start to make decisions based on fear rather than on what’s best for the business. The truth is debt is a fact of life when you own your own business.”

Interpersonal skills

People skills are another key area Robertson emphasises, though he points out there’s no single right way of relating to others.

“It’s crucial to be able to relate positively to people. Obviously the most important people that you’ll deal with are your customers, so be prepared to impress them, to see the inevitable (although hopefully rare) customer complaints as an opportunity, and to ensure all your customer interactions are handled with respect and have a positive focus. Equally as important are your skills in communicating with your staff. The skills required with this can vary widely, for example in some fast food franchises you need to be able to deal really well with the young people who staff your business. The key is knowing where you have those interpersonal skills and choosing the franchise where they can be best used.”

Appetite for self-improvement

“You should be focused not just on building a great business but on improving yourself. In fact if you focus on becoming a better manager the business will probably take care of itself.”

“A piece of advice I often give people is that if they spot a problem in their business the very first question to ask is whether they might be the problem. Look at your own actions first. Be self-critical. If you want to see change in your business then usually that will mean making changes to your own attitude, knowledge or skills, so be prepared to invest time and money on improving yourself.”

Balancing working in the business and on the business

“You need to be prepared for a constant and continual battle between time spent hands-on in the business and taking time to be more strategic. Both are important.”

“It’s important to try to work at every level in your business so you understand the roles your staff play and can manage them effectively. But you can’t get so buried in operations that you can’t step back and look at the bigger picture.”

Hard work

“You really will have to display a considerable work ethic in the early days. You’ll need to keep your head down and bum up and do some long hours. It’s hard to avoid coming home with your head still in the business. Some people are naturally better at compartmentalizing than others and can switch off. Luckily I believe it’s something you can learn to do.”

“Your long hours can take a toll on your family and it helps if they’re prepared for it from the outset. Ultimately I don’t know anyone who doesn’t feel the effort has been worth it in the end.”

Positive mindset

Finally Andrew says that a positive mindset is important, but that’s normally something that franchisees have anyway.

“Thank goodness there aren’t a lot of pessimists who choose to become a franchisee!”

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