Why Franchise Your Business... What is Franchising? Business Format Franchising is a system in which the original business (the Franchisor) grants the rights for a third party (the Franchisee) to trade using the name of the Franchisor. The Franchisee uses the same systems and methods that the Franchisor has developed successfully in the original business. True franchising has certain characteristics, which identify it as a system, which benefits both Franchisor and Franchisee. Key Points · · A Franchisor has a company which has proven its profitability over a reasonable time scale, has an established system and its own corporate trading style and appearance · A concept which can be successful in other locations - and can be replicated often enough to create a profitable network · A business which can be funded comfortably with some bank borrowings to give a good return for a franchisee · It must have a service which can be learned quickly and does not need highly specialised skills which take a long time to acquire · It must have a proven sales methodology which does not rely on personal contacts to bring in business · · A business which creates enough profit to make a satisfactory income for the franchisee and which gives the franchisor a return for his investment. · A business that has the desire and management capability to grow into a major brand · The owners must have a desire to share and work with investors in their business and recognise that a united approach partnering with independent business to build the business is a winning formula What are the benefits for you? If you decide to franchise your business, it must be to benefit you. · Allows you to expand your company very quickly using someone else's cash · Gives you a higher Return on Investment with less risk · Will give you higher quality management who are more committed to your concept · Franchisees generally outperform company owned outlets · Ties the key personnel into your business for a contracted time · Less people to manage directly · Gives you control over your brand and its development · Offers the opportunity to expand internationally with lower capital and less risk · Higher value achieved for your company when/if you sell. What are the benefits for your Franchisee? No one is going to invest in your business unless it is good for them · They are buying into a proven profitable business model which has made mistakes, improved and has worked out how to deliver profit consistently · 20% of all businesses fail in their first year and only 50% survive beyond year 3. Less than 5% of franchisees fail in any year and 92% of all franchisees are profitable so a franchise is a more secure route to success. · They are part of a national brand - not just a one off · They have your support and mentoring to make their business a success · They are often able to benefit from better buying margins by being part of your network · They are able to benefit from the market research and product development that you will undertake as the business grows · They have access to your business partners giving them higher quality support for accountancy, business advice and IT systems What do I do next? Please contact us now for a completely free no obligation meeting to discuss your plans. View Site Map