Archive for the ‘Franchise Management’ Category

Franchise Partnership

Buying a franchise unit is probably easy if you have the capital, but running one is a different story.

Firstly, a franchise owner is required to be responsible for the whole business operations, from hiring to managing finances. This is a good thing, but not many can actually do this well – wearing many hats is not for everybody.

Secondly, a franchise owner is expected to build a good relationship with the franchisor and other franchisees, because in essence, franchising is all about relationship. Also, you are expected to closely follow guidelines laid out by your franchisor –…

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home-based franchise operations

Many people don’t realise that not all home-based franchises are enabling you to do most of your work from home. Some do allow your home to be the ‘headquarters’, where business operations are done mostly outside the comfort of your home.

Let us get this straight – Home-based franchises are those franchises that allow you to, well, use your home as the franchise ‘base’ or ‘headquarters’. Although, in general, home-based franchises describe those that allow franchisee to stay at home and (mostly) work from home, some home-based franchises are mobile franchises – Those that don’t require…

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Think outside the box – literally

The title above is probably one of the questions franchisee candidates have in their mind but are too reluctant to raise the issue with the franchisors.

We all know that in everything we worked in (to make a living,) we need to put our best effort into it. Just like any other type of business startups, franchising, too, require franchisees to put top effort in order to succeed.

Suppose you have a day job that is too difficult to let go to allow you running a franchise unit full-time – Are there any possibilities…

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McDonalds franchise units, Orlando

Visiting franchise expos, I generally pitched with the following, “We have expanded well from X to Y franchise units in 3 years into franchising.”

While expansion, for me, is one of the key indicators of the franchises’ potential, it is often misleading franchisee candidates into thinking that rapid expansion means strong franchise company with great potential.

Quick expansion means more emphasise on quantity and less on quality

Expansion is great, but you must understand that franchises that put expansion into the top priority in their business plan present franchisors and franchisees with a double-edged sword.

In…

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7-Eleven as Kwik-E-Mart

Franchising is more appealing to entrepreneurs than ever – Many thanks to the recession. People are ‘forced’ to take entrepreneurship route due to downsizing and troubled personal finance. As people need a hand in guiding them in the new frontier, franchising comes to the rescue, offering proven system, strong brand name and support/help along the way.

I’ve just read an article from the NYDailyNews.com that, in essence, echoes to what I believe all this time – Franchising as the legitimate business model in the midst of economic uncertainty.

The article, titled In weak economy, having…

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PostNet store, South Africa

Will branding by a franchise company help an independent business reach new heights? Could be, provided you partner with the right franchise company.

What is this all about?

Basically, the idea is for your existing business to be transformed with franchising concepts – Management restructuring, business process and system refining, and re-branding.

Your business premise is re-designed and re-purposed in a way that is most effective (according to the franchise company you partner with.) Your staffs will wear (different) uniforms, and their performance will be measured with different set of rules. In your case as the…

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Multi-unit franchising

You have done your due diligence well – You have searched and evaluated dozens of franchise opportunities you are interested in, and you have finally picked the one suit you best. And your hard work proves right – Your franchise unit is profitable and growing well.

The idea of multi-unit franchise ownership – owning more than one franchise units of the same franchise company – is suddenly pop out of your head.

On paper, the idea looks good: If you own a franchise unit, owning two of the same franchise is double the fun, right? Maybe. Maybe not.…

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Franchise agreement signing

I have just read an article from The New York Times that covers the questions you should ask to yourself and a franchisor before deciding on buying the franchise of your dream.

The article opens up some facts that, to tell you the truth, somewhat against franchising, in a sense that you should take great(er) care to invest your money in a franchise opportunities, as many facts and pitches made by the franchise companies are misleading to the ‘untrained eyes.’

I enjoy reading and benefit greatly from the…

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Exhausted franchisee

You fed up working for others and have called it quit. With your cash in hand, you set your sight focused on a mission: being a successful entrepreneur.

You revved up, and despite of all the worries and negative comments on you quitting your job, you are start looking for a business to invest in, simply because you feel you don’t have enough experience in starting out yourself. One logical choice you have found: franchising.

You are excited, ready to take the most promising franchise today. You learned that it only took you $20,000 to start with $2,000…

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Win-win solution

A conventional wisdom on franchising says that absentee ownership is not ideal in running franchise units; Therefore, most franchises offer franchising opportunities that do not allow absentee ownership. Perhaps they should think about allowing absentee ownership, as it presents a win-win solution for both franchisee and franchisor.

Absentee ownership means owners who are not physically present on-location to manage their franchise unit’s daily operation.

Non-absentee ownership requirement is justified due to the fact that franchisors need to maintain franchise operation quality standard across their franchisees, and to achieve this, they require non-absentee franchise unit owners. Of course,…

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