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What franchisees expect from their franchisor

More often than not, budding entrepreneurs choose the franchise route because they want to be in a business of their own without being alone. They are quite happy to pay the initial and upfront fees prescribed by the franchise agreement as long as they receive perceived value in return. And they willingly follow the guidelines contained in the operations manual as long as they are up to date, relevant and practical to implement. In return, they will expect the following from the franchisor:

Full disclosure. The franchisees will want to know the true potential of a site. Continue Reading »

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Franchising is all about working together towards a common goal. On the surface of it, this appears to be the building of the brand for mutual financial gain - what could be simpler than that? Further investigation reveals, however, that in reality, matters are a little more complex. Granted, both the franchisor and his franchisees want to build wealth for themselves and their families to enjoy. Beyond that, the franchisor and his franchisees have dreams that have the potential to take them in different directions.

Franchisors will want their brand to dominate the landscape of every city and town; their gut feel may tell them to do whatever it takes to realise this dream. Franchisees, on the other hand, are likely to be more concerned with the short-term profitability of the outlet they own. They tend to overlook the fact that it is better for them to belong to a strong network Continue Reading »

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