http://www.franchisewire.com/article.php?id=3223
October 23, 2008 - New England Franchise Association (NEFA) will present " Franchise Financing: Keys to Success in the Current Economic Climate" on Tuesday, November 18, 5:30 p.m. at the Marriot Hotel, 1000 Marriott Drive, Quincy.
The panel discussion will outline how successful franchise development requires franchisors to stay up to date on all financing options available. Expert panelists include Anne Rice Hunt, Finance Chief, U.S Small Business Administration; Barbara Arena, CIT Small Business Lending, Senior Regional Account Manager; Bill Rowland, Equity America Mortgage Services; Itamar Chalif, Atlantic Capital Solutions; and Tom McDonald, IRA Rollover Solutions. The discussion will be moderated by Constantine (Dean) Fournaris, Partner, Wiggin and Dana.
In today’s economy one of the biggest concerns of a franchise system is how and where to get capital for franchisees to start their business or ways for franchisees to keep it running or to finance their growth. This panel discussion is valuable for each member of your franchise development team as well as for existing franchisees, or prospective franchisees interested in expansion. You will learn how banks and other lending organizations evaluate franchisee loan applications, and the types of funding that is available, even in these unsettled financial times.
The evening includes a cocktail and networking session beginning at 5:30 PM, dinner at 7:00 PM, and then the presentation. The entire business community is urged to attend. Membership in the NEFA is NOT required. Reservations are required. Registration Fee is $60 per person and includes dinner. All NEFA Members get $10.00 off.
For information regarding NEFA membership visit www.nefranchise.org.
About NEFA:
New England Franchise Association (NEFA) is the trade organization for franchisors and franchisees in the region, with over 150 members. The mission of NEFA is to bring franchise executives, franchisees and vendors together to share ideas for success.
Franchising more than ever before, has an unprecedented opportunity to make a major positive impact on the future New England economy. In a 2001-05 study conducted by PriceWaterhouseCoppers on behalf of the International Franchise Association (IFA) found that in New England over 875,000 jobs area result of franchising, the total output is over 100 Billion dollars a year, and there are over 35,000 franchise establishments in the six New England States.
To reserve your seats, please contact New England Franchise Association via the organization's website www.NEFranchise.org, email: info@NEFranchise.org, or by calling NEFA Executive Director Jim Coen, (617) 469-3002.
Showing posts with label francorp international. Show all posts
Showing posts with label francorp international. Show all posts
Thursday, October 23, 2008
Tuesday, October 21, 2008
A Buffet of Franchise Growth: Stevi B’s Serves Up Huge Helpings of U.S. Territories
http://atlanta.dbusinessnews.com/shownews.php?newsid=169176&type_news=latest
Atlanta - Marietta, Georgia (October 21, 2008) – A proven restaurant executive who helped drive strategic growth for worldwide icons McDonalds and Arby’s, has taken the reigns at Stevi B’s to put the emerging family pizza buffet concept on the national map. Jordan Krolick, president and CEO of Stevi B’s, America’s leading value oriented family pizza buffet franchise concept, has designed a growth strategy that aims to more then triple the chain’s size over the next five years, moving outward from its core of restaurants in Atlanta. With a strong mix of both franchise and corporate owned restaurant locations, the strategic expansion calls for the system to exceed 100 units by 2013. “Now more than ever, families are looking for ways to get out and have a good time without breaking the bank at mealtimes,” said Krolick, who, before getting into the restaurant industry, spent 10 years as an attorney, CPA and eventually partner in a Chicago-based investment banking firm. “Stevi B’s is growing with carefully selected franchisees at a pace that allows us to best serve our franchisees and maintain the distinct restaurant environment that defines our franchise concept.” The planned growth of Stevi B’s builds upon the chain’s momentum established in 2008. Since the beginning of the year, Stevi B’s has signed development agreements to add 18 new locations to the franchise system. Included in the agreements is a pair of multiunit deals with experienced restaurant operators which will add a total of 13 new restaurants along Florida’s eastern and southern coasts during the next three years. Already in 2008, new Stevi B’s franchise locations have opened in Gadsden, Alabama, Cleveland, Tennessee and Chesterfield Township, Michigan. Before the end of the year franchised units are slated to open in Cartersville, Georgia and Southaven, Michigan, and in early-2009 in Winder, Georgia, Gainesville, Georgia and West Palm Beach, Florida. A new corporate-owned restaurant in Columbia, South Carolina is also slated to open before the end of this year. “We are attracting experienced restaurant operators with proven success in franchising,” said Krolick. “Stevi B’s has built a great reputation with consumers and as word spreads we are experiencing tremendous growth.” With original menu items such as Loaded Baked Potato pizza and a warm décor featuring stonework and granite countertops in an open kitchen environment, Stevi B’s breaks through the blasé of buffets with an exciting fast casual concept. Creative pizzas include the Cheeseburger Deluxe, Chicken Fajita, Macaroni and Cheese and more, and are complemented with a fresh and full salad bar and enticing dessert selections. Buffet prices for adults typically vary from $5 to $5.79 and from $2.99 to $3.29 for children. “Stevi B’s lets mom be the mealtime hero. When the decision is made to go to Stevi B’s, the whole family is high-fiving mom,” added Krolick. “Our value-driven offerings provided in a welcoming environment for adults and children keep customers coming back, often for multiple meals a week.” Stevi B’s prototype store design reflects the chain’s commitment to fast casual dining, blending quick service with a casual dining atmosphere complete with multiple flat screen televisions. For adults, each Stevi B’s offers a laid back environment ideal for lunch and dinnertime discussions, and for children, the experience includes a retreat from the norm with a fun game zone. Each store’s unwavering commitment to the community it serves further defines the Stevi B’s brand. On a nightly basis, all Stevi B’s locations offer to donate a percentage of sales to local school groups, community and religious organizations, local athletic teams and others. Plus, Stevi B’s provides Peel-A-Deal cards to youth groups at steep discounts which are resold as a fundraiser. About Stevi B’sStevi B’s, a national pizza buffet restaurant franchise, was founded in 1996 in Atlanta. Recently purchased by Argonne Capital, an Atlanta private equity firm focused on growing restaurant and retail companies that are market leaders with strong growth potential, Stevi B’s currently has 25 franchised and five company-owned locations in six states throughout the United States. With distinctive pizzas such as Loaded Baked Potato, Chicken Fajita, Cheeseburger Deluxe and Spinach Alfredo served fresh and at a great value in an atmosphere that is fun for adults and children, Stevi B’s is primed for growth throughout the United States. For more information, please visit www.SteviBs.com or contact Stevi B’s by e-mail at info@SteviBs.com.
Atlanta - Marietta, Georgia (October 21, 2008) – A proven restaurant executive who helped drive strategic growth for worldwide icons McDonalds and Arby’s, has taken the reigns at Stevi B’s to put the emerging family pizza buffet concept on the national map. Jordan Krolick, president and CEO of Stevi B’s, America’s leading value oriented family pizza buffet franchise concept, has designed a growth strategy that aims to more then triple the chain’s size over the next five years, moving outward from its core of restaurants in Atlanta. With a strong mix of both franchise and corporate owned restaurant locations, the strategic expansion calls for the system to exceed 100 units by 2013. “Now more than ever, families are looking for ways to get out and have a good time without breaking the bank at mealtimes,” said Krolick, who, before getting into the restaurant industry, spent 10 years as an attorney, CPA and eventually partner in a Chicago-based investment banking firm. “Stevi B’s is growing with carefully selected franchisees at a pace that allows us to best serve our franchisees and maintain the distinct restaurant environment that defines our franchise concept.” The planned growth of Stevi B’s builds upon the chain’s momentum established in 2008. Since the beginning of the year, Stevi B’s has signed development agreements to add 18 new locations to the franchise system. Included in the agreements is a pair of multiunit deals with experienced restaurant operators which will add a total of 13 new restaurants along Florida’s eastern and southern coasts during the next three years. Already in 2008, new Stevi B’s franchise locations have opened in Gadsden, Alabama, Cleveland, Tennessee and Chesterfield Township, Michigan. Before the end of the year franchised units are slated to open in Cartersville, Georgia and Southaven, Michigan, and in early-2009 in Winder, Georgia, Gainesville, Georgia and West Palm Beach, Florida. A new corporate-owned restaurant in Columbia, South Carolina is also slated to open before the end of this year. “We are attracting experienced restaurant operators with proven success in franchising,” said Krolick. “Stevi B’s has built a great reputation with consumers and as word spreads we are experiencing tremendous growth.” With original menu items such as Loaded Baked Potato pizza and a warm décor featuring stonework and granite countertops in an open kitchen environment, Stevi B’s breaks through the blasé of buffets with an exciting fast casual concept. Creative pizzas include the Cheeseburger Deluxe, Chicken Fajita, Macaroni and Cheese and more, and are complemented with a fresh and full salad bar and enticing dessert selections. Buffet prices for adults typically vary from $5 to $5.79 and from $2.99 to $3.29 for children. “Stevi B’s lets mom be the mealtime hero. When the decision is made to go to Stevi B’s, the whole family is high-fiving mom,” added Krolick. “Our value-driven offerings provided in a welcoming environment for adults and children keep customers coming back, often for multiple meals a week.” Stevi B’s prototype store design reflects the chain’s commitment to fast casual dining, blending quick service with a casual dining atmosphere complete with multiple flat screen televisions. For adults, each Stevi B’s offers a laid back environment ideal for lunch and dinnertime discussions, and for children, the experience includes a retreat from the norm with a fun game zone. Each store’s unwavering commitment to the community it serves further defines the Stevi B’s brand. On a nightly basis, all Stevi B’s locations offer to donate a percentage of sales to local school groups, community and religious organizations, local athletic teams and others. Plus, Stevi B’s provides Peel-A-Deal cards to youth groups at steep discounts which are resold as a fundraiser. About Stevi B’sStevi B’s, a national pizza buffet restaurant franchise, was founded in 1996 in Atlanta. Recently purchased by Argonne Capital, an Atlanta private equity firm focused on growing restaurant and retail companies that are market leaders with strong growth potential, Stevi B’s currently has 25 franchised and five company-owned locations in six states throughout the United States. With distinctive pizzas such as Loaded Baked Potato, Chicken Fajita, Cheeseburger Deluxe and Spinach Alfredo served fresh and at a great value in an atmosphere that is fun for adults and children, Stevi B’s is primed for growth throughout the United States. For more information, please visit www.SteviBs.com or contact Stevi B’s by e-mail at info@SteviBs.com.
Monday, October 13, 2008
Immigrants as Franchisees
A key target for a franchise owner is an immigrant. As this article from the Wall Street Journal points out, immigrants tend to be ideally suited for to be a franchise owner. For more information on how to franchise a business or franchise development, go to www.francorp.com.
OCTOBER 13, 2008
FranchisingChain ReactionFor many immigrants, owning a franchise is the path to the American dream
By RICHARD GIBSONhttp://online.wsj.com/article/SB122347728915015415.html?mod=djkeywordLike many immigrants, Lyudmila Khononov turned to a franchise to fulfill her American dream.When she was 10 years old, Mrs. Khononov's family left Odessa, Ukraine, for the U.S. in search of a better life. "There was a lot of discrimination against Jews," she recalls of their exodus 30 years ago.As they began anew in this country, "we had nothing except a dream," Mrs. Khononov says. "But our parents told us we could be anything we wanted to be."After marrying, Mrs. Khononov and her husband, Gregory, ran a diner in Queens, N.Y., for six years. But when it came time to think about expansion in 2001, they borrowed money from a bank and friends and turned to a franchise instead.Mrs. Khononov says she spotted "tremendous growth potential" for the Subway fast-food concept in neighboring Brooklyn, where there were only a handful of the outlets, primarily in gas stations.She says they considered it a fairly easy concept to operate since "you don't have to prepare all the food from scratch" and the franchiser's big marketing campaign would give their business instant recognition. Her husband, also an immigrant, adds that it would have been much harder for them to expand the diner on their own.The decision has paid off. The Khononovs now operate four Subway stores in Brooklyn. And this past summer, Subway, a unit of Doctor's Associates Inc., named Mrs. Khononov its top multistore franchisee in North America, among 12,200 competitors.Built-In HelpMany immigrants look to establish themselves by running their own business. And the chance to start afresh after enduring hardships and adversity in another country often stokes their resolve to succeed. But starting -- and successfully running -- a small business is hard enough without the language and cultural barriers that immigrants can encounter.So, many immigrants turn to a franchise concept. With its proven track record, name recognition and built-in marketing, a franchise can take out a lot of the uncertainty of running a business. And immigrant entrepreneurs often are able to tap their own immigrant community for customers, as well as use the franchise name to broaden that base.A 2006 study by the Ewing Marion Kauffman Foundation of Kansas City, which advocates entrepreneurship, found that immigrants are 30% more likely to become entrepreneurs than are native-born Americans.One reason so many immigrants gravitate toward running their own business may well be because of their experiences with risk, often starting from scratch, says Vivek Wadhwa, an executive in residence at Duke University in Durham, N.C., who has written several papers on immigrants for the foundation and who, after emigrating from India, founded two software companies in the U.S."They've learned what it's like to lose everything," Mr. Wadhwa says. "Once you've done that, you're less afraid of doing it again."Hospitality BusinessThe number of foreign-born franchisees operating in the U.S. businesses isn't known. The International Franchise Association, the sector's leading organization, and major franchisers say they don't keep count.What is known is that some franchised concepts are particularly attractive to immigrants. For example, nearly half of the hotel and motel units in the country -- most of which are franchised -- are run by first- or second-generation East Indians and Pakistanis, according to Fred Schwartz, president of the Asian-American Hotel Owners Association.Anil Chagan is one of them. Raised in South Africa by Indian parents, he immigrated to the U.S. in 1978 at age 24, in part because of the apartheid then embroiling South Africa, where he ran a men's clothing store.Mr. Chagan initially worked at a brother-in-law's motel in East Oakland, Calif. But after two years, he sought to acquire his own. "I couldn't see myself working for somebody else," he says.He purchased a motel in Visalia, Calif., that wasn't affiliated with any of the big national brands. After five years, he converted it to an EconoLodge, a unit of Choice Hotels International Inc., at the chain's invitation. Today, Mr. Chagan's company, Infinite Hospitality, operates two hotel-motels in central California and is building three more. All are franchised, but with various franchisers.Being a franchisee "has been a very significant part of my success," Mr. Chagan says, adding that the affiliation with a national brand helps in obtaining loans and various construction permits.Getting the Message OutOne of the biggest challenges immigrant business owners face -- especially those unfamiliar with local customs -- is understanding what the market wants and then effectively getting their message out."With a franchise," though, says Duke University's Mr. Wadhwa, "that's already done for you."It was RE/MAX International Inc.'s built-in Internet marketing that convinced Shawn Nam, a South Korea native, to sign on with the big real-estate franchiser. When looking up properties on a specific area on the franchiser's Web site, the local franchisee's address pops up. Mr. Nam figured that constructing his own site -- and the marketing to go with it -- would cost him thousands of dollars.Now 39 years old, Mr. Nam immigrated to the U.S. with his parents when he was in high school. "We were looking for a better life," which, he says, included freedom of speech. He worked for his father's janitorial company before enrolling in Rutgers University in New Jersey, dropping out after three years to help support his family. He then set out for a career in real estate.Helping HandThe Situation: Many immigrants look to franchises when opening a business.The Appeal: With its proven track record, name recognition and built-in marketing, a franchise can take out a lot of the uncertainty of running a business.No Guarantees: Cultural and language barriers can still be a challenge.He got a job as an agent at the Prudential Fox & Roach real-estate agency in Voorhees, N.J., and quickly became one the office's leading producers, focusing on the area's large South Korean community, says Paula Goldberg, the agency's vice president. After three years with the Prudential affiliate, Mr. Nam left to start his own agency under the RE/MAX banner, with the Korean community his primary customer target.Mr. Nam had a rough start, though. He believes that several of his agents quit because "they didn't want to work for a Korean. They didn't tell me," he says. "But I can feel it." Today, he counts Koreans, Chinese, Filipinos and East Indians among his agency's employees. Its president is a Palestinian.Making the CutShahin Urias was spurred by the opportunity to do something few women in her native Iran enjoy -- own her own business.Mrs. Urias, who survived bombings and, for a time, lived with her young children in a mud basement-shelter in Tehran during the Iraqi-Iran war in the 1980s, came to the U.S. as a refugee 16 years ago.Her early years here were hardscrabble. She worked in a Luby's cafeteria in Austin, Texas, where, after six months, a cafeteria manager encouraged her to pursue her desire to own a hair salon. At first, Mrs. Urias's poor English kept her out of beauty school, but with her children's help her linguistic skills improved. After 11 months of study, she earned a degree in cosmetology.She started working at a Sports Clips Inc. hair-care franchise in Austin as a part-time stylist. After moving her way up to manager, Mrs. Urias, by then remarried, moved to Tucson, Ariz., and purchased her own Sports Clips franchise -- the first one in that area. While she could have opened an independent shop, Mrs. Urias says she saw advantages in going with a proven concept with a solid market niche and "policies and procedures in place. All the hard work is done."Also, Sports Clips, she says, is a known national brand. So, people who either move to Tucson or are passing through are familiar and comfortable with the brand.Mrs. Urias acknowledges finding bookkeeping and some other aspects of running a business unfamiliar, but says help from Sports Clips is only a phone call away. "Without their support, I would be lost."Although she has had her shop only a few months, Mrs. Urias, 45 years old, has plans to open two more. "I think I'm doing great," she says. "My numbers may not be up there yet, but I'm definitely on the right path."—Mr. Gibson is a writer in Des Moines, Iowa.Write to Richard Gibson at reports@wsj.com
OCTOBER 13, 2008
FranchisingChain ReactionFor many immigrants, owning a franchise is the path to the American dream
By RICHARD GIBSONhttp://online.wsj.com/article/SB122347728915015415.html?mod=djkeywordLike many immigrants, Lyudmila Khononov turned to a franchise to fulfill her American dream.When she was 10 years old, Mrs. Khononov's family left Odessa, Ukraine, for the U.S. in search of a better life. "There was a lot of discrimination against Jews," she recalls of their exodus 30 years ago.As they began anew in this country, "we had nothing except a dream," Mrs. Khononov says. "But our parents told us we could be anything we wanted to be."After marrying, Mrs. Khononov and her husband, Gregory, ran a diner in Queens, N.Y., for six years. But when it came time to think about expansion in 2001, they borrowed money from a bank and friends and turned to a franchise instead.Mrs. Khononov says she spotted "tremendous growth potential" for the Subway fast-food concept in neighboring Brooklyn, where there were only a handful of the outlets, primarily in gas stations.She says they considered it a fairly easy concept to operate since "you don't have to prepare all the food from scratch" and the franchiser's big marketing campaign would give their business instant recognition. Her husband, also an immigrant, adds that it would have been much harder for them to expand the diner on their own.The decision has paid off. The Khononovs now operate four Subway stores in Brooklyn. And this past summer, Subway, a unit of Doctor's Associates Inc., named Mrs. Khononov its top multistore franchisee in North America, among 12,200 competitors.Built-In HelpMany immigrants look to establish themselves by running their own business. And the chance to start afresh after enduring hardships and adversity in another country often stokes their resolve to succeed. But starting -- and successfully running -- a small business is hard enough without the language and cultural barriers that immigrants can encounter.So, many immigrants turn to a franchise concept. With its proven track record, name recognition and built-in marketing, a franchise can take out a lot of the uncertainty of running a business. And immigrant entrepreneurs often are able to tap their own immigrant community for customers, as well as use the franchise name to broaden that base.A 2006 study by the Ewing Marion Kauffman Foundation of Kansas City, which advocates entrepreneurship, found that immigrants are 30% more likely to become entrepreneurs than are native-born Americans.One reason so many immigrants gravitate toward running their own business may well be because of their experiences with risk, often starting from scratch, says Vivek Wadhwa, an executive in residence at Duke University in Durham, N.C., who has written several papers on immigrants for the foundation and who, after emigrating from India, founded two software companies in the U.S."They've learned what it's like to lose everything," Mr. Wadhwa says. "Once you've done that, you're less afraid of doing it again."Hospitality BusinessThe number of foreign-born franchisees operating in the U.S. businesses isn't known. The International Franchise Association, the sector's leading organization, and major franchisers say they don't keep count.What is known is that some franchised concepts are particularly attractive to immigrants. For example, nearly half of the hotel and motel units in the country -- most of which are franchised -- are run by first- or second-generation East Indians and Pakistanis, according to Fred Schwartz, president of the Asian-American Hotel Owners Association.Anil Chagan is one of them. Raised in South Africa by Indian parents, he immigrated to the U.S. in 1978 at age 24, in part because of the apartheid then embroiling South Africa, where he ran a men's clothing store.Mr. Chagan initially worked at a brother-in-law's motel in East Oakland, Calif. But after two years, he sought to acquire his own. "I couldn't see myself working for somebody else," he says.He purchased a motel in Visalia, Calif., that wasn't affiliated with any of the big national brands. After five years, he converted it to an EconoLodge, a unit of Choice Hotels International Inc., at the chain's invitation. Today, Mr. Chagan's company, Infinite Hospitality, operates two hotel-motels in central California and is building three more. All are franchised, but with various franchisers.Being a franchisee "has been a very significant part of my success," Mr. Chagan says, adding that the affiliation with a national brand helps in obtaining loans and various construction permits.Getting the Message OutOne of the biggest challenges immigrant business owners face -- especially those unfamiliar with local customs -- is understanding what the market wants and then effectively getting their message out."With a franchise," though, says Duke University's Mr. Wadhwa, "that's already done for you."It was RE/MAX International Inc.'s built-in Internet marketing that convinced Shawn Nam, a South Korea native, to sign on with the big real-estate franchiser. When looking up properties on a specific area on the franchiser's Web site, the local franchisee's address pops up. Mr. Nam figured that constructing his own site -- and the marketing to go with it -- would cost him thousands of dollars.Now 39 years old, Mr. Nam immigrated to the U.S. with his parents when he was in high school. "We were looking for a better life," which, he says, included freedom of speech. He worked for his father's janitorial company before enrolling in Rutgers University in New Jersey, dropping out after three years to help support his family. He then set out for a career in real estate.Helping HandThe Situation: Many immigrants look to franchises when opening a business.The Appeal: With its proven track record, name recognition and built-in marketing, a franchise can take out a lot of the uncertainty of running a business.No Guarantees: Cultural and language barriers can still be a challenge.He got a job as an agent at the Prudential Fox & Roach real-estate agency in Voorhees, N.J., and quickly became one the office's leading producers, focusing on the area's large South Korean community, says Paula Goldberg, the agency's vice president. After three years with the Prudential affiliate, Mr. Nam left to start his own agency under the RE/MAX banner, with the Korean community his primary customer target.Mr. Nam had a rough start, though. He believes that several of his agents quit because "they didn't want to work for a Korean. They didn't tell me," he says. "But I can feel it." Today, he counts Koreans, Chinese, Filipinos and East Indians among his agency's employees. Its president is a Palestinian.Making the CutShahin Urias was spurred by the opportunity to do something few women in her native Iran enjoy -- own her own business.Mrs. Urias, who survived bombings and, for a time, lived with her young children in a mud basement-shelter in Tehran during the Iraqi-Iran war in the 1980s, came to the U.S. as a refugee 16 years ago.Her early years here were hardscrabble. She worked in a Luby's cafeteria in Austin, Texas, where, after six months, a cafeteria manager encouraged her to pursue her desire to own a hair salon. At first, Mrs. Urias's poor English kept her out of beauty school, but with her children's help her linguistic skills improved. After 11 months of study, she earned a degree in cosmetology.She started working at a Sports Clips Inc. hair-care franchise in Austin as a part-time stylist. After moving her way up to manager, Mrs. Urias, by then remarried, moved to Tucson, Ariz., and purchased her own Sports Clips franchise -- the first one in that area. While she could have opened an independent shop, Mrs. Urias says she saw advantages in going with a proven concept with a solid market niche and "policies and procedures in place. All the hard work is done."Also, Sports Clips, she says, is a known national brand. So, people who either move to Tucson or are passing through are familiar and comfortable with the brand.Mrs. Urias acknowledges finding bookkeeping and some other aspects of running a business unfamiliar, but says help from Sports Clips is only a phone call away. "Without their support, I would be lost."Although she has had her shop only a few months, Mrs. Urias, 45 years old, has plans to open two more. "I think I'm doing great," she says. "My numbers may not be up there yet, but I'm definitely on the right path."—Mr. Gibson is a writer in Des Moines, Iowa.Write to Richard Gibson at reports@wsj.com
Friday, October 10, 2008
Yum discusses brands' product plans
http://www.nrn.com/breakingNews.aspx?id=359216&menu_id=1368
LOUISVILLE, Ky. (Oct. 9, 2008) Officials at Yum! Brands Inc. said the company is looking to expand on successful product introductions at its brands, including new varieties of Taco Bell's Frutista Freeze and more choices in Pizza Hut's Tuscani pasta line.
Yum executives spoke to investors in a conference call Wednesday after reporting a 4.4-percent increase in net income for the company's Sept. 6-ended third quarter.
David C. Novak, Yum's chairman and chief executive, described the Frutista introduction at Taco Bell as "an unqualified success" and hinted that the frozen beverage platform would help the Mexican chain snag more afternoon snack traffic and break into the dessert category. Taco Bell in May debuted the Frutista Freeze in two flavors, strawberry and strawberry-mango, and is already promoting a creamier version on its website. The new versions are called Triple Berries 'n Crème, Strawberries 'n Crème and Mango 'n Crème.
At Pizza Hut, Novak said the Tuscani pasta line has fetched $500 million in sales, and he said the company "has a whole line of different kinds of pastas" that it will introduce over the next two years. He did not disclose specifics. The current line includes Meaty Marinara, Creamy Chicken Alfredo and Premium Bacon Mac 'N Cheese.
For its third quarter, Yum said a 4-percent increase in corporate same-store sales at domestic locations was led by strong performances by Taco Bell and Pizza Hut, but dragged down by negative results at KFC. Novak said he believes the national rollout next year of the Kentucky Grilled Chicken line would improve sales at that chain.
Yum officials also disclosed plans for new menu items at its overseas restaurants. In China, KFC is trying out fish and beef products, including a Szechwan beef wrap, and Pizza Hut units, which are positioned as casual dining, are starting to serve afternoon tea and desserts. Elsewhere overseas, KFC is expanding its Australian test of Crushers, a frozen beverage in mango, coffee and cookies-and-cream flavors.
The world’s largest restaurant company, Yum oversees more than 35,000 restaurants in more than 100 countries and territories. Its other brands include Long John Silver's and A&W All American Food.
LOUISVILLE, Ky. (Oct. 9, 2008) Officials at Yum! Brands Inc. said the company is looking to expand on successful product introductions at its brands, including new varieties of Taco Bell's Frutista Freeze and more choices in Pizza Hut's Tuscani pasta line.
Yum executives spoke to investors in a conference call Wednesday after reporting a 4.4-percent increase in net income for the company's Sept. 6-ended third quarter.
David C. Novak, Yum's chairman and chief executive, described the Frutista introduction at Taco Bell as "an unqualified success" and hinted that the frozen beverage platform would help the Mexican chain snag more afternoon snack traffic and break into the dessert category. Taco Bell in May debuted the Frutista Freeze in two flavors, strawberry and strawberry-mango, and is already promoting a creamier version on its website. The new versions are called Triple Berries 'n Crème, Strawberries 'n Crème and Mango 'n Crème.
At Pizza Hut, Novak said the Tuscani pasta line has fetched $500 million in sales, and he said the company "has a whole line of different kinds of pastas" that it will introduce over the next two years. He did not disclose specifics. The current line includes Meaty Marinara, Creamy Chicken Alfredo and Premium Bacon Mac 'N Cheese.
For its third quarter, Yum said a 4-percent increase in corporate same-store sales at domestic locations was led by strong performances by Taco Bell and Pizza Hut, but dragged down by negative results at KFC. Novak said he believes the national rollout next year of the Kentucky Grilled Chicken line would improve sales at that chain.
Yum officials also disclosed plans for new menu items at its overseas restaurants. In China, KFC is trying out fish and beef products, including a Szechwan beef wrap, and Pizza Hut units, which are positioned as casual dining, are starting to serve afternoon tea and desserts. Elsewhere overseas, KFC is expanding its Australian test of Crushers, a frozen beverage in mango, coffee and cookies-and-cream flavors.
The world’s largest restaurant company, Yum oversees more than 35,000 restaurants in more than 100 countries and territories. Its other brands include Long John Silver's and A&W All American Food.
Francorp Client - American Prosperity Group
American Prosperity Group, the First Retirement and Estate Planning Franchisor, Exceeds First-Year Franchise Goal
Last update: 11:19 p.m. EDT Oct. 9, 2008
WAYNE, N.J., Oct 09, 2008 (BUSINESS WIRE) -- American Prosperity Group (APG), headquartered in Wayne, NJ, is the first and only retirement and estate planning organization to be franchised. Nine APG franchises are now operating in cities in the eastern United States, two more than the company's 18-month objective. More are planned.
APG is the creation of Mark E. Charnet, a Certified Annuity Specialist. For over 26 years, he has been helping people solve their individual problems of successful retirement and estate planning. APG does this by implementing those parts of a total retirement and estate planning system needed to meet each client's needs.
The APG system has been so successful for over a decade that Mr. Charnet has turned his precepts and product offerings into the first-ever retirement and estate planning franchise. The current franchises are operated by:
-- Bill Romeo, Matthews, NC
-- Dawn Sarnoski, Closter, NJ
-- Shane Couturie, Bryn Mawr, PA
-- Peter Murphy, Santa Fe, NM*
-- Mark Timmick, Ellicott City, MD
-- Mike Linker, Totowa, NJ*
-- Kevin Lynch, Belle Mead, NJ
-- Ari Cohen, Bergenfield, NJ*
-- Holly Sikora, Sicklerville, NJ*
"Now, we are offering additional franchises," Mr. Charnet said. "The franchisees we seek are ideally situated in metro or suburban areas with average or higher senior populations. APG is a relatively low-overhead franchise, with an investment under $100,000. Our present franchisees are well on the way to paying off their franchise investment--and some have already done so within their first few months of operation.
"What we look for in a franchisee is entrepreneurial spirit. Financial know-how is not as important as the ability to be a good presenter, speaking to small and medium-sized groups. Empathy--the talent for caring about peoples' needs--is a must, as is a good sense of organization. This is an excellent opportunity for those with sales experience, but that experience need not include finance."
For franchisees, Mr. Charnet has fine-tuned APG's systems, products and operating procedures developed over his years of experience. Now, others can present his proven system to good effect. "It's all worked-out, step-by-step," he said. "Also, every franchisee receives complete coaching, supervision and assistance from me and my staff. The APG precepts are teachable, portable and repeatable--the keys to any successful franchise."
As for success, Mr. Charnet is a sterling example. During and after college, he built one very successful career in insurance sales, only to lose everything due to the insurance company's dramatic management change. Beginning again with virtually nothing, he developed the proven retirement & estate planning methods taught exclusively by APG. In aiding others in building and retaining income, he has built lasting success for himself.
Those interested in an APG franchise should contact APG at 1-973-831-4424. On the Web: www.apgfranchise.com
*(offices scheduled to open within 90 days)
SOURCE: American Prosperity Group Serpente & Co. Inc.
Joe Serpente, 856-275-6931
Last update: 11:19 p.m. EDT Oct. 9, 2008
WAYNE, N.J., Oct 09, 2008 (BUSINESS WIRE) -- American Prosperity Group (APG), headquartered in Wayne, NJ, is the first and only retirement and estate planning organization to be franchised. Nine APG franchises are now operating in cities in the eastern United States, two more than the company's 18-month objective. More are planned.
APG is the creation of Mark E. Charnet, a Certified Annuity Specialist. For over 26 years, he has been helping people solve their individual problems of successful retirement and estate planning. APG does this by implementing those parts of a total retirement and estate planning system needed to meet each client's needs.
The APG system has been so successful for over a decade that Mr. Charnet has turned his precepts and product offerings into the first-ever retirement and estate planning franchise. The current franchises are operated by:
-- Bill Romeo, Matthews, NC
-- Dawn Sarnoski, Closter, NJ
-- Shane Couturie, Bryn Mawr, PA
-- Peter Murphy, Santa Fe, NM*
-- Mark Timmick, Ellicott City, MD
-- Mike Linker, Totowa, NJ*
-- Kevin Lynch, Belle Mead, NJ
-- Ari Cohen, Bergenfield, NJ*
-- Holly Sikora, Sicklerville, NJ*
"Now, we are offering additional franchises," Mr. Charnet said. "The franchisees we seek are ideally situated in metro or suburban areas with average or higher senior populations. APG is a relatively low-overhead franchise, with an investment under $100,000. Our present franchisees are well on the way to paying off their franchise investment--and some have already done so within their first few months of operation.
"What we look for in a franchisee is entrepreneurial spirit. Financial know-how is not as important as the ability to be a good presenter, speaking to small and medium-sized groups. Empathy--the talent for caring about peoples' needs--is a must, as is a good sense of organization. This is an excellent opportunity for those with sales experience, but that experience need not include finance."
For franchisees, Mr. Charnet has fine-tuned APG's systems, products and operating procedures developed over his years of experience. Now, others can present his proven system to good effect. "It's all worked-out, step-by-step," he said. "Also, every franchisee receives complete coaching, supervision and assistance from me and my staff. The APG precepts are teachable, portable and repeatable--the keys to any successful franchise."
As for success, Mr. Charnet is a sterling example. During and after college, he built one very successful career in insurance sales, only to lose everything due to the insurance company's dramatic management change. Beginning again with virtually nothing, he developed the proven retirement & estate planning methods taught exclusively by APG. In aiding others in building and retaining income, he has built lasting success for himself.
Those interested in an APG franchise should contact APG at 1-973-831-4424. On the Web: www.apgfranchise.com
*(offices scheduled to open within 90 days)
SOURCE: American Prosperity Group Serpente & Co. Inc.
Joe Serpente, 856-275-6931
Friday, October 3, 2008
Francorp Client - Plains and Prints
Plains & Prints sets sights on Asian market
Plains & Prints was established in November 1994 by Roxanne and Erickson Farillas. Then known as Prints & Plaids, the first boutique opened in Shoppesville, Greenhills. The company’s first products were lace-edged towels and basic polo shirts.
Later on, the brand ventured into women’s apparel, carrying the concept of classic and stylish, which became a hit with teenagers and young professionals.
In 2002, Plains & Prints took on Gretchen Barretto as endorser and this move brought the brand to the national consumer’s consciousness.
Plains & Prints has strengthened its position as a major player in women’s apparel by providing stylish and classic apparel. The present product line includes shoes, handcrafted bags, belts, Bread and Butter (basic tees), Down Under (underwear), Eve (eau d toilette), and Intuitions (body spray).
In terms of brand recall and market share, Plains & Prints ranks among the top 5 local women’s apparel brands. The brand has become synonymous with quality clothing for women with style.
Plains & Prints offers franchise opportunities to entrepreneurs who wish to own and operate their own Plains & Prints boutique. Plains & Prints has been franchising since November 2002 and has franchised outlets in Cebu City, Bacolod, Iloilo, Davao City, Cagayan de Oro, Baguio, Dagupan, Cabanatuan, Marilao and Valenzuela.
Plains & Prints was awarded the Most Promising Filipino Franchise (retail category) in the 2004 Franchise Excellence Awards. The company’s franchise program was developed by Francorp, a leading international franchise consultancy firm with offices in the Philippines, Malaysia, Japan, United States and South America.
The brand now embarks on a bold expansion move that, hopefully, will introduce the Plains & Prints concept to the Asian market.
Leading the expansion plan is the introduction of new collections that highlight the creativity and ingenuity of local fashion designers. Plains & Prints has collaborated with designer Rajo Laurel for its high-end R.A.F. (Rich and Famous) line.
Roxanne explains that the new collection highlights Laurel’s avant-garde approach to fashion, featuring designs that incorporate architecture, romance and luxury.
Another major leap for Plains & Prints is its choice of Thai-British model Paula Taylor as its image model.
“With Paula as the model of our new campaign, we are confident that Plains & Prints will be given more exposure globally and hopefully, discovered as a brand that provides a new twist on classic fashion,” says Roxanne.
Next on the brand’s agenda is opening stores in key cities in Asia, starting with Thailand and Malaysia. The brand has 49 stores in the Philippines, including the newly opened branch at the fifth level of the Shangri-La Plaza Mall. Aside from its Asian expansion, Plains & Prints also wants to open more branches in prime locations in the country.
“Despite stiff competition from international brands, Plains & Prints still emerged as a top local brand which Filipino women prefer,” says Roxanne. “The next step is really to move forward and introduce Filipino fashion to the world. Now that we’ve been given an opportunity to do so, we have big plans to make our mark in the international fashion community.” Dinna Chan Vasquez
www.francorp.com
www.francorpconnect.com
Plains & Prints was established in November 1994 by Roxanne and Erickson Farillas. Then known as Prints & Plaids, the first boutique opened in Shoppesville, Greenhills. The company’s first products were lace-edged towels and basic polo shirts.
Later on, the brand ventured into women’s apparel, carrying the concept of classic and stylish, which became a hit with teenagers and young professionals.
In 2002, Plains & Prints took on Gretchen Barretto as endorser and this move brought the brand to the national consumer’s consciousness.
Plains & Prints has strengthened its position as a major player in women’s apparel by providing stylish and classic apparel. The present product line includes shoes, handcrafted bags, belts, Bread and Butter (basic tees), Down Under (underwear), Eve (eau d toilette), and Intuitions (body spray).
In terms of brand recall and market share, Plains & Prints ranks among the top 5 local women’s apparel brands. The brand has become synonymous with quality clothing for women with style.
Plains & Prints offers franchise opportunities to entrepreneurs who wish to own and operate their own Plains & Prints boutique. Plains & Prints has been franchising since November 2002 and has franchised outlets in Cebu City, Bacolod, Iloilo, Davao City, Cagayan de Oro, Baguio, Dagupan, Cabanatuan, Marilao and Valenzuela.
Plains & Prints was awarded the Most Promising Filipino Franchise (retail category) in the 2004 Franchise Excellence Awards. The company’s franchise program was developed by Francorp, a leading international franchise consultancy firm with offices in the Philippines, Malaysia, Japan, United States and South America.
The brand now embarks on a bold expansion move that, hopefully, will introduce the Plains & Prints concept to the Asian market.
Leading the expansion plan is the introduction of new collections that highlight the creativity and ingenuity of local fashion designers. Plains & Prints has collaborated with designer Rajo Laurel for its high-end R.A.F. (Rich and Famous) line.
Roxanne explains that the new collection highlights Laurel’s avant-garde approach to fashion, featuring designs that incorporate architecture, romance and luxury.
Another major leap for Plains & Prints is its choice of Thai-British model Paula Taylor as its image model.
“With Paula as the model of our new campaign, we are confident that Plains & Prints will be given more exposure globally and hopefully, discovered as a brand that provides a new twist on classic fashion,” says Roxanne.
Next on the brand’s agenda is opening stores in key cities in Asia, starting with Thailand and Malaysia. The brand has 49 stores in the Philippines, including the newly opened branch at the fifth level of the Shangri-La Plaza Mall. Aside from its Asian expansion, Plains & Prints also wants to open more branches in prime locations in the country.
“Despite stiff competition from international brands, Plains & Prints still emerged as a top local brand which Filipino women prefer,” says Roxanne. “The next step is really to move forward and introduce Filipino fashion to the world. Now that we’ve been given an opportunity to do so, we have big plans to make our mark in the international fashion community.” Dinna Chan Vasquez
www.francorp.com
www.francorpconnect.com
Sunday, September 28, 2008
Yum! Gives Back
Yum! Donates $80 Million to WFP
2008-09-25 — The Clinton Global Initiative today recognized Yum! Brands (NYSE:YUM - News) for its worldwide commitment to raise and donate $80 million over the next five years to help the World Food Programme (WFP) and others provide 200 million meals for hungry school children in developing countries. In addition, Yum! pledged over the next five years to donate 20 million hours of hunger relief volunteer service in the communities in which it operates; $200 million worth of its prepared food to hunger agencies in the United States and use the company's marketing clout to generate awareness of the hunger problem, and convince others to become part of the solution.
President Bill Clinton announced Yum's commitment during a special Plenary Session that made school feeding a top priority in the fight to end global hunger. The commitment will mean that 1 million children could come to school every day for an entire year and receive a nourishing meal.
The funds will be raised through Yum! Brands World Hunger Relief campaign, the world's largest private sector hunger relief effort to help end world hunger. World Hunger Relief supports the United Nations WFP and other hunger relief agencies.
"Hunger is unacceptable. As a society, we should not and can not tolerate the fact that nearly 925 million people are starving and go to bed hungry every day. As the world's largest restaurant company, we believe it is our privilege and responsibility to find a meaningful solution to this critical problem," says David C. Novak, Chairman and CEO of Yum! Brands.
Global hunger has reached epic proportions--reaching nearly 1 billion people--due to the convergence of higher commodity and global food prices; increased competition for products that produce energy; severe droughts and floods due to climate change and increasing demand from growing economies in Asia and South America.
"We hope to move millions of people from hunger to hope through our efforts," said Novak. The company's employees and franchisees will be volunteering their time around the globe at hunger relief agencies, food banks, soup kitchens and launching fundraisers. The Yum! Foundation also will be donating to the cause by covering the WFP's administrative fee so that funds collected from customers and employees will go directly toward feeding people. Funds raised for WFP go directly to the areas of greatest need, feeding poor school children in the developing world and helping villages become self-sustainable. Every U.S. dollar raised during World Hunger Relief 2008 will provide 4 meals for hungry children all over the world.
During this year's World Hunger Relief campaign, Yum! plans to generate the equivalent of nearly $50 million in awareness of the hunger issue through television and print advertising, public service announcements, public relations, web-based communications and in-restaurant posters and signage. In addition, the company is leveraging the power of the internet to reach millions of people through the www.fromhungertohope.com Web site and other on-line activity.
2008-09-25 — The Clinton Global Initiative today recognized Yum! Brands (NYSE:YUM - News) for its worldwide commitment to raise and donate $80 million over the next five years to help the World Food Programme (WFP) and others provide 200 million meals for hungry school children in developing countries. In addition, Yum! pledged over the next five years to donate 20 million hours of hunger relief volunteer service in the communities in which it operates; $200 million worth of its prepared food to hunger agencies in the United States and use the company's marketing clout to generate awareness of the hunger problem, and convince others to become part of the solution.
President Bill Clinton announced Yum's commitment during a special Plenary Session that made school feeding a top priority in the fight to end global hunger. The commitment will mean that 1 million children could come to school every day for an entire year and receive a nourishing meal.
The funds will be raised through Yum! Brands World Hunger Relief campaign, the world's largest private sector hunger relief effort to help end world hunger. World Hunger Relief supports the United Nations WFP and other hunger relief agencies.
"Hunger is unacceptable. As a society, we should not and can not tolerate the fact that nearly 925 million people are starving and go to bed hungry every day. As the world's largest restaurant company, we believe it is our privilege and responsibility to find a meaningful solution to this critical problem," says David C. Novak, Chairman and CEO of Yum! Brands.
Global hunger has reached epic proportions--reaching nearly 1 billion people--due to the convergence of higher commodity and global food prices; increased competition for products that produce energy; severe droughts and floods due to climate change and increasing demand from growing economies in Asia and South America.
"We hope to move millions of people from hunger to hope through our efforts," said Novak. The company's employees and franchisees will be volunteering their time around the globe at hunger relief agencies, food banks, soup kitchens and launching fundraisers. The Yum! Foundation also will be donating to the cause by covering the WFP's administrative fee so that funds collected from customers and employees will go directly toward feeding people. Funds raised for WFP go directly to the areas of greatest need, feeding poor school children in the developing world and helping villages become self-sustainable. Every U.S. dollar raised during World Hunger Relief 2008 will provide 4 meals for hungry children all over the world.
During this year's World Hunger Relief campaign, Yum! plans to generate the equivalent of nearly $50 million in awareness of the hunger issue through television and print advertising, public service announcements, public relations, web-based communications and in-restaurant posters and signage. In addition, the company is leveraging the power of the internet to reach millions of people through the www.fromhungertohope.com Web site and other on-line activity.
Tuesday, September 23, 2008
Francorp - Franchise Sales Strategies
Franchise Sales Strategies:
Christopher James Conner
Vice President
Francorp Consulting
As the Franchise World continues to move towards technology like all other industries, more and more sales processes become automated, it becomes easier and easier to forget and lose the most critical ingredient of what has made salespeople successful for centuries, "Building Relationships."
People still buy from people they like and that they can relate to. Technology can't create this, it can only enhance what we as salespeople do during the process. To most potential customers, all the "fluff" becomes white noise and people don't read or listen to mass emails and bombardment of marketing materials.
It is up to the franchise sales professional to create a feeling of caring for the potential franchisees future. The sales process should evoke a sense of "mutual exploration" for both the candidate and the sales person.
Initial contact for a franchise sales person needs to be through the phone. I have never awarded a franchise solely through email contact. This is an enormous decision for most franchise buyers, a cold email and information requests don't convey very much sincerity to a prospective franchisee. Most franchise buyers are refinancing homes or closing out 401k's to make this possible, they must feel very confident in the franchise sales person to pull the trigger on a decision as big as this.
It is important for the franchise sales person to combine emails with phone calls, the prospect should know your voice as well as personal background about the franchise sales person....after all, isn't that what "building a relationship" is all about!?! The franchise sales person should think of themselves as a consultant, work with the franchisee by taking a personal interest in their success.
The initial phone call should be to set an appointment, don't jump into the sale! A franchise sale sis very different from most sales where you are providing a traditional good or service. This is a partnership we are selling now. The first call should be an explanation as to what the next call will cover.
The first phone appointment is about the customer! Remember you should be doing no more than 25% of the talking! If you find that you are doing most of the talking during the call....it probably isn't going very well. Key points to cover during this appointment, timing, why should they be looking at franchising now? Background, what is your level of interest in franchising and why? Goals, what would you like to achieve through franchising? Where, what locations would you like to consider opening the franchise? When it comes down to it, people really don't care about how smart you are until you show concern for their well being and interests.
Here is an acronym we use at Francorp when describing franchise sales. The franchise sales person should strive to be a "Star".
S - Support - Family, Friends and Peers
T - Timing - Now is the right time for Franchising
A - Assets - Building wealth through owning your own business.
R - Recreation - It's fun and exciting!
Building a relationship with a potential franchisee unlocks unbiased information from a franchise candidate, this allows the franchise sales person to make legitimate recommendations. Typically the most guarded area of information will be in regards to financial well being - franchise buyers will not be up front about financial facts until they fell comfortable with a franchise sales person. It is impossible for you as the sales person to provide valuable assistance for them without accurate information! Build the relationship first, then the information will be unbiased and your recommendations will be authentic.
Franchise buyers, much like any other buyer want to feel that they are getting involved with people who are like them. A big part of the franchise sale is drawing connections with the buyer and making examples of existing franchisees who are similar to the prospective buyer. Throughout the sales process, it is important for franchise sales people to remember that the franchise opportunity they are selling is just that....an opportunity. People who are awarded the right to operate as a franchisee will unlock their financial future, this should be about helping people!
www.francorp.com
www.francorpconnect.com
Christopher James Conner
Vice President
Francorp Consulting
As the Franchise World continues to move towards technology like all other industries, more and more sales processes become automated, it becomes easier and easier to forget and lose the most critical ingredient of what has made salespeople successful for centuries, "Building Relationships."
People still buy from people they like and that they can relate to. Technology can't create this, it can only enhance what we as salespeople do during the process. To most potential customers, all the "fluff" becomes white noise and people don't read or listen to mass emails and bombardment of marketing materials.
It is up to the franchise sales professional to create a feeling of caring for the potential franchisees future. The sales process should evoke a sense of "mutual exploration" for both the candidate and the sales person.
Initial contact for a franchise sales person needs to be through the phone. I have never awarded a franchise solely through email contact. This is an enormous decision for most franchise buyers, a cold email and information requests don't convey very much sincerity to a prospective franchisee. Most franchise buyers are refinancing homes or closing out 401k's to make this possible, they must feel very confident in the franchise sales person to pull the trigger on a decision as big as this.
It is important for the franchise sales person to combine emails with phone calls, the prospect should know your voice as well as personal background about the franchise sales person....after all, isn't that what "building a relationship" is all about!?! The franchise sales person should think of themselves as a consultant, work with the franchisee by taking a personal interest in their success.
The initial phone call should be to set an appointment, don't jump into the sale! A franchise sale sis very different from most sales where you are providing a traditional good or service. This is a partnership we are selling now. The first call should be an explanation as to what the next call will cover.
The first phone appointment is about the customer! Remember you should be doing no more than 25% of the talking! If you find that you are doing most of the talking during the call....it probably isn't going very well. Key points to cover during this appointment, timing, why should they be looking at franchising now? Background, what is your level of interest in franchising and why? Goals, what would you like to achieve through franchising? Where, what locations would you like to consider opening the franchise? When it comes down to it, people really don't care about how smart you are until you show concern for their well being and interests.
Here is an acronym we use at Francorp when describing franchise sales. The franchise sales person should strive to be a "Star".
S - Support - Family, Friends and Peers
T - Timing - Now is the right time for Franchising
A - Assets - Building wealth through owning your own business.
R - Recreation - It's fun and exciting!
Building a relationship with a potential franchisee unlocks unbiased information from a franchise candidate, this allows the franchise sales person to make legitimate recommendations. Typically the most guarded area of information will be in regards to financial well being - franchise buyers will not be up front about financial facts until they fell comfortable with a franchise sales person. It is impossible for you as the sales person to provide valuable assistance for them without accurate information! Build the relationship first, then the information will be unbiased and your recommendations will be authentic.
Franchise buyers, much like any other buyer want to feel that they are getting involved with people who are like them. A big part of the franchise sale is drawing connections with the buyer and making examples of existing franchisees who are similar to the prospective buyer. Throughout the sales process, it is important for franchise sales people to remember that the franchise opportunity they are selling is just that....an opportunity. People who are awarded the right to operate as a franchisee will unlock their financial future, this should be about helping people!
www.francorp.com
www.francorpconnect.com
Monday, September 22, 2008
Is Franchising For Me? SBA Workshop
WORKSHOP INTRODUCTION
IS FRANCHISING FOR ME?
WORKBOOK
Training Module - 1
Workshop Objectives
By the end of this workshop, you should be able to:
* Define franchising.
* Determine whether franchising is the best business option for you
- evaluate your skills and experience
- identify your reasons for purchasing a franchise
- personal characteristics
- personal conditions
- experience.
* List
- advantages of franchising for both the franchisor and franchisee
- disadvantages of franchising for both the franchisor and franchisee
* Identify franchisor's responsibilities.
* Determine what is contained in a franchise package.
* Understand the franchise contract
- legal implications
- your rights and obligations as a franchisee
- financial statements, contracts and receipts
- trademarks and copyrights
- restrictions on goods and services to be offered by franchisees
- renewal, termination and sale of the franchise
____________________________________________________________________________________________
_
BUSINESS FORMATTING - WHAT IS FRANCHISING?
Deciding whether or not to go into business is a very important step in the business start-up process for new and
potential small business owners. Each year, thousands of entrepreneurs and potential entrepreneurs are faced with
this difficult decision. Because of the risk and the amount of work involved in starting a new business, many new
and potential small business owners choose franchising as an alternative to starting a new, independent business.
Although the success rate for franchise-owned businesses is significantly better than the success rate for many
independent businesses, there is no formula to guarantee success. One of the biggest mistakes you can make is to
be in a hurry to get into business. That's why it's important to understand your reasons
for going into business, and to determine if owning a business is right for you.
If you are concerned about the risk involved in a new, independent business venture, then franchising may be the
best business option for you. Remember, however, that hard work, dedication and sacrifice are key elements in the
success of any business venture, including franchising.
WHAT IS FRANCHISING?
A franchise is a legal and commercial relationship between the owner of a trademark, service mark, trade name or
advertising symbol and an individual or group seeking the right to use that identification in a business. The
franchise governs the method of conducting business between the two parties. Generally, a franchisee sells goods
or services supplied by the franchisor or sells goods or services that meet the franchisor's quality standards.
Franchising is based on mutual trust between the franchisor and franchisee. The franchisor provides the business
expertise (i.e., marketing plans, management guidance, financing assistance, site location, training, etc.) that
otherwise would
not be available to the franchisee. The franchisee brings to the franchise operation the entrepreneurial spirit and
drive necessary to make the franchise a success.
While forms of franchising have been in use since the Civil War, enormous growth has occurred in franchising
only recently. By the end of 1985, 500,000 establishments in 50 industries achieved gross sales of over half a
trillion dollars and employed 5.6 million full and part-time employees. Franchising created 18,500 new businesses
in 1991 and approximately 108,000 new jobs to the economy. Business format franchises experienced sales growth
of 8.9 percent from $213.2 billion in 1990 to 232.2 billion in 1991. Industries that rely on franchised businesses to
distribute their products and services touch every aspect of life from automobile sales and real estate to fast foods
and tax preparation. Thus, we can see that franchising can be is a viable, lucrative business alternative.
There are primarily two forms of franchising:
* product/trade name franchising and
* business format franchising.
In the simplest form, a franchisor owns the right to the name or trademark and sells that right to a franchisee. This
is known as "product/trade name franchising." In the more complex form, "business format franchising," a broader
and ongoing relationship exists between the two parties. Business format franchises often provide a full range of
services, including site selection, training, product supply, marketing plans and even assistance in obtaining
financing.
____________________________________________________________________________________________
_
SELF-PACED ACTIVITY
During this activity you will:
* List at least three reasons for going into business.
* Identify the type of business you are interested or may be interested in operating.
____________________________________________________________________________________________
_
IS FRANCHISING FOR YOU?
As with any business, the first step in determining whether or not to enter into the venture is to assess your reasons
for going into business. If you feel you need a change, or you're tired of having other people tell you what to do,
then you should reassess your decision before investing your time, money and energy because operating a business
requires more than a need for a change, or the desire to do as you please. Purchasing a franchise like any other
business requires a total commitment of your time, energy and financial resources. If you are not prepared to invest
these qualities and resources into your franchise, then you
should stop at this point.
EVALUATING YOUR SKILLS AND EXPERIENCE
Identify Your Reasons
As a first and often overlooked step, ask yourself why you want to purchase a franchise. This question, although
basic, is an excellent way of evaluating your reasons for going into business. List every reason you identify, no
matter how farfetched it may seem. Divide your list into two separate components. Separate the viable reasons from
the trivial reasons and categorize them accordingly. It isn't unusual for reasons to range from the desire to be your
own boss to the desire to be a billionaire. Whatever your reasons, remember that your future is at stake so try to be
objective. Your checklist should include reasons such as these (check each that applies to you):
YES
* Freedom from the 9-5 daily work routine ______
* Being your own boss ______
* Doing what you want when you want to do it ______
* Improving your standard of living ______
* Bored with your present job ______
* Have a product or service for which there is a demand ______
Some reasons are better than others, none are wrong; however, be aware of tradeoffs. For example, you can escape
the 9-5 daily routine, but you may replace it with a 6 a.m. to 10 p.m. routine.
After assessing your reasons for going into business, next conduct a self analysis to determine if you possess the
personal characteristics needed to be a successful franchise owner. Consider questions such as:
Personal Characteristics
YES NO
1. Are you a leader? _____ _____
2. Do you like to make your own decisions? _____ _____
3. Do others turn to you for help in making
decisions? _____ _____
4. Are you willing to accept managerial assistance
from the franchisor? _____ _____
5. Are you willing to comply with the provisions
outlined in the franchise contract? _____ _____
6. Do you enjoy competition? _____ _____
7. Do you have will power and self discipline? _____ _____
8. Do you plan ahead? _____ _____
9. Do you like people? _____ _____
10. Do you get along well with others? _____ _____
Personal Conditions
These questions cover the physical, emotional and financial strains you will encounter operating a franchise.
YES NO
1. Are you aware that running your own franchise
will require working 12-16 hours a day, six days
a week, and maybe even on Sundays and
holidays? _____ _____
2. Do you have the physical stamina to handle the
work load and schedule? _____ _____
3. Do you have the emotional strength to
withstand the strain? _____ _____
4. Are you prepared, if needed, to temporarily
lower your standard of living until your
franchise is firmly established? _____ _____
5. Is your family willing to go along with the
strains they, too, must bear? _____ _____
6. Are your prepared to invest, and possibly lose,
your savings? _____ _____
Answering "yes" to any of these questions means that you have some of the skills needed to operate a successful
franchise; a negative answer means that you may have to acquire these skills or hire personnel to supply them.
Experience
Certain skills and experience are critical to the success of a business. Since it is unlikely that you possess all the
skills and experience needed, you'll need to hire personnel to supply those you lack. There are some basic and
special skills you will need for the particular franchise you purchase. By answering the following questions, you
can identify the skills you possess and those you lack (i.e., your strengths and weaknesses).
YES NO
1. Do you know what basic skills you will need to
operate a successful franchise? _____ _____
2. Do you possess those skills? _____ _____
3. When hiring personnel, will you be able to
determine if the applicants' skills meet the
requirements for the positions you are filling? _____ _____
4. Have you ever worked in a managerial or
supervisory capacity? _____ _____
5. Have you ever worked in a business similar to
the franchise you want to purchase? _____ _____
6. Have you had any business training in school? _____ _____
7. If you discover that you don't have the basic
skills needed for your franchise will you be
willing to delay your plans until you've
acquired the necessary skills? _____ _____
When you complete your self-analysis, discuss your results with your family and financial advisor. Their feedback
can help you make the right decision. If you all agree that you have most of the skills needed to operate a successful
franchise, then you should feel comfortable proceeding with your plans. If, however, they feel you lack most of
these skills, then you may need to consider delaying your plans until you are better prepared. Above all, be honest
and objective with yourself; after all, it is your future.
A more detailed self-analysis, the "Small Business Entrepreneur's Checklist," is located in Appendix I. This
checklist is designed to assist you in determining what you actually know about operating a business, and the skills
you will need to do so. Review it carefully before deciding whether or not to purchase a franchise or to go into
business. If you discover that you lack many of the skills needed to operate a successful franchise, you may need to
take some training courses or hire personnel to compensate for these deficiencies.
Once you are certain that your reasons for going into business and the franchise you've selected are viable, gather
the information that you will need to make an informed decision from sources, such as: 1) a directory of franchises,
e.g., the Franchise Opportunities Handbook (published by the U.S. Department of Commerce), 2) the disclosure
document, 3) current franchisees, 4) other references, such as U.S. Small Business Administration (SBA), Federal
Trade Commission (FTC), Better Business Bureau, local chambers of commerce and 5) professional advisors.
Many new small business owners choose franchising over starting a new business because it provides easy access to
an established product, reduces many of the risks involved in opening a new business, provides access to proven
marketing methods and in some instances provides assistance in obtaining start-up capital from financing sources.
Franchising can be advantageous as well as disadvantageous to both the franchisee and franchisor. A few of the
advantages and disadvantages are listed below. Study these factors carefully before choosing the franchise option.
FRANCHISEE
Advantages Disadvantages
- established product or service - failed expectations
- technical & managerial assistance - service costs
- quality control standards - overdependence
- less operating capital - restrictions on freedom of ownership
- opportunities for growth - termination of agreement
- territorial franchisee
- right of subfranchisees
- operating franchisee no rights - performance of other franchisees
FRANCHISOR
Advantages Disadvantages
- expansion - company-owned vs franchised units
- limited risk
- limited capital
- equity investment
- motivation - problems with recruitment
franchisee highly motivated
- operation of non-union business - communication
- bulk purchasing - freedom
- cooperative advertising
____________________________________________________________________________________________
_
SELF-PACED ACTIVITY
During this activity you will:
* Determine if franchising is for you by listing at least five reasons why you should choose franchising over
starting a new, independent business.
* List sources where you can gather information to help you make an informed decision on choosing
franchising as an alternative to starting a new business.
* Determine if you have the skills needed to own and operate a successful franchise.
____________________________________________________________________________________________
_
IDENTIFYING THE FRANCHISOR'S RESPONSIBILITIES
An important step in making an informed decision about purchasing a franchise is to know the responsibilities the
franchisor is legally obligated to fulfill. One of the toughest decisions any entrepreneur faces is whether or not to
purchase a franchise. And while buying a franchise means obtaining a complete system of
doing business, there is no guarantee for success.
Being aware of the franchisor's responsibilities takes some of the guess work out of the decision making process.
Learn as much as you can about the franchise and the franchisor's obligations before entering a purchase
agreement, or even before meeting with the franchisor or his or her representative to discuss the possibility of
purchasing a franchise.
Fourteen states have franchise disclosure or registration laws that require the franchisor to prepare documents for
submission to state authorities. The FTC requires in all states that a lengthy disclosure document, as well as
financial statements, be given to franchisees before purchasing the franchise. In addition to state filing fees,
printing and accounting and legal expenses, the franchisor must develop internal controls and policies to ensure
ongoing compliance with regulations.
Franchisors are obligated to:
1. Give you a copy of the Uniform Franchise Offering Circular (UFCO) at least 10 days before you sign the
agreement. If you meet face to face with the franchisor's representative and have serious discussions
concerning the purchase of the franchise, the UFCO also must be given to you at this time.
2. Give you a copy of the franchise agreement, other contracts and the franchisor's financial statements. The
franchisor, however, cannot, under federal law, make claims concerning the amount of money you will
make. The UFCO will disclose estimates of all initial start-up costs.
3. Provide one week of training to you, the franchisee, and your manager in one of the parent stores, the
operational manual and ongoing support and assistance to you and other franchisees.
4. Provide guidelines on audits and assignment procedures and any extra franchisor criteria for approving an
assignment (e.g., ownership rights - franchisee rights to sell the franchise if it becomes successful).
5. Provide information on franchisee's initial fees and other costs (e.g., royalties, promotional fees).
Franchisors should:
6. Provide a marketing plan, promotional materials and area site selection assistance to franchisees.
7. Provide adequate insurance coverage for franchises.
Insurance coverage generally includes:
- fire insurance
- inventory insurance
- burglary insurance
- workmen's compensation
- accident and health insurance
- use and occupancy insurance
- general liability insurance
- automobile insurance (may be optional depending on franchise type)
8. Provide a trademark or service mark that is known, or will be known through advertising in the
geographic area of use.
9. Provide guidelines on the purchase of inventory and equipment, requirements on restrictions on goods
sold and the terms of agreement and renewal.
Most of these responsibilities are or should be included in the UFOC document, but since there are no uniform
regulations governing the operation of franchises in any given state, make sure the UFOC document complies with
the FTC's regulations, and the regulations of the state in which you plan to purchase the franchise. Review the
UFOC document carefully with your attorney before signing the purchase agreement.
____________________________________________________________________________________________
_
SELF-PACED ACTIVITY
During this activity you will:
* Identify issues you need to be aware of as a franchisee.
____________________________________________________________________________________________
_
DETERMINING WHAT THE FRANCHISE PACKAGE CONTAINS
After gathering all the information you will need to make an informed purchase decision, carefully examine this
information with your attorney, accountant or business advisor ensuring that it is addressed in the franchise
contract. Think carefully about the level of independence you will maintain as a franchisee and how comprehensive
the operating controls will be. Be very clear about the cost of purchasing the franchise and the documents that
make up the franchise package.
You can obtain information on franchising from: 1) a directory of franchises, 2) the disclosure document, 3)
current franchisees, 4) other references, such as SBA, FTC, Better Business Bureau, local chambers of commerce,
5) professional advisors and 6) reference materials on franchises from the local library.
Your franchise package should contain the following information:
* The full initial costs and what they cover.
* Licensing fees.
* Land purchase or lease.
* Building construction or renovation.
* Equipment.
* Training.
* Starting inventory.
* Promotional fees.
* Use of operations manuals.
* Continuing costs related to the franchisor.
* Royalties.
* Ongoing training.
* Cooperative advertising fees.
* Insurance.
* Interest on financing.
* Requirements regarding purchasing supplies from the franchisor, and if the prices are
competitive with other suppliers.
* Restrictions as they apply to competition with other franchisees.
* Terms covering renewal rights and resale of the franchise.
In reviewing the franchise contract with your attorney, familiarize yourself with the language. Be aware of terms
such as hold harmless clauses, integration clauses and choice of venue or choice of law provisions. These terms
may favor the franchisor over you if improprieties arise during or after the settlement process.
Hold harmless clauses - may require that you release the franchisor from specific acts or
violations of state laws.
Integration clauses - may prevent you from successfully suing for any deceptions preceding the
signing of the contract.
Choice of venue or choice by law provisions - are especially important if the franchisor has
headquarters in another state. These clauses may dictate that you settle all disputes in your
franchisor's state of residence and settle your claim under laws favorable to the franchisor.
Other important clauses to consider deal with severance, renewal and transfer of the franchise.
Again, use professional help when examining the franchise contract. And, remember some of the contract terms
may be negotiable. Find out which terms are negotiable before you sign; otherwise, it will be too late.
____________________________________________________________________________________________
_
SELF-PACED ACTIVITY
During this activity you will:
* List some of the information that should be contained in the franchise package.
* Identify sources where you can obtain information on what the franchise package should contain.
____________________________________________________________________________________________
_
UNDERSTANDING THE FRANCHISE CONTRACT
The franchise contract, like the UFOC, is a very important document. The contract is probably the most important
document in the transaction process. It is a legal commitment which is binding on both the franchisor and
franchisee. In the franchise contract, the franchisor's promises must be presented to the franchisee in writing and
subjected to careful scrutiny. During this stage of the buy/sell process, the franchisee must have competent legal
advice regarding the meaning and effect of the contract.
When reviewing the contract, you and your attorney will need to determine if it confirms what you have been told.
If you find improprieties in the contract at this point, you may decide to withdraw from the transaction before
committing your time, energy and money to an agreement that may not be beneficial for you. If, however, you
choose to continue with the process, you may be able to negotiate favorable terms, but remember by signing the
contract, you are legally bound by the provisions of the agreement.
The franchise contract consists of two main parts: 1) the purchase agreement and 2) the franchise or license
agreement. For convenience, occasionally the franchise transaction is split into two stages. When this happens,
some franchise companies have two contracts, one for each stage, rather than a single contract. While it isn't
necessary to have two contracts, it can be the better method where there is a comprehensive equipment and initial
services package.
The purchase agreement of the contract covers:
* the franchise package
* the price
* the services to be provided.
The franchise or license agreement covers:
* the rights granted to the franchisee
* the obligations undertaken by the franchisor
* the obligations imposed upon the franchisee
* trade restrictions imposed upon the franchisee
* assignment/death of franchisee
* termination provisions.
A brief explanation of each agreement follows.
PURCHASE AGREEMENT
1. The franchise package. Consists of an equipment or inventory list. This list must contain all the items the
franchisee has been told to expect. Some franchise companies regard this list as being confidential and
stipulate in the contract that it must be so treated.
2. The price. The price and the manner of payment will be specified. This may be cash on signature,
although rare. More often a deposit is required on signature with payment of the balance to follow on
delivery of the equipment or at other stages of the transaction.
3. The services to be provided. This section outlines or lists the franchisor's responsibilities to the franchisee.
Those services the franchisor is required to provide the franchisee before he or she is ready to open for
business are called the initial services. Those services the franchisor provides periodically are called
continuous services. A more detailed explanation of the services provided by the franchisor are included in
the next section on the license agreement.
FRANCHISE OR LICENSE AGREEMENT
1. The rights granted to the franchisee. The franchisee will be given the right as it applies to particular
circumstances. As a franchisee there are certain rights that are extended to you.
Your rights include:
* use of trademarks, trade names and patents of the franchisor.
* use of the brand image and the design and decor of the premises developed by the franchisor.
* use of the franchisor's secret methods.
* use of the franchisor's copyright materials.
* use of recipes, formulae, specifications and processes and methods of manufacture developed by
the franchisor.
* conducting the franchised business upon or from the agreed premises strictly in accordance with
the franchisor's methods and subject to the franchisor's directions.
* guidelines established by the franchisor regarding exclusive territorial rights.
* rights to obtain suppliers from nominated suppliers at special prices.
2. The obligation undertaken by the franchisor. This item in the contract tells prospective franchisees what
the franchisor will do for them both before and after start-up. That is why this item frequently refers to
specific contractual obligations detailed in the franchise agreement, which is attached to the UFOC.
3. The obligations imposed upon the franchisee. Certain obligations are required of you by the franchisor.
These obligations include:
* to carry on the business franchised and no other business upon the approved and nominated
premises.
* to observe certain minimum operating hours.
* to pay a franchise fee.
* to follow the accounting system laid down by the franchisor.
* not to advertise without prior approval of the advertisements by the franchisor.
* to use and display such point of sale advertising materials as the franchisor stipulates.
* to maintain the premises in good, clean and sanitary condition and to redecorate when required
to do so by the franchisor.
* to maintain the widest possible insurance coverage.
* to permit the franchisor's staff to enter the premises to inspect and see if the franchisor's
standards are being maintained.
* to purchase goods or products from the franchisor or his designated suppliers.
* to train your staff in the franchisor's methods to ensure that they are neatly and appropriately
clothed.
* not to assign the franchise contract without the franchisor's consent.
4. Trade restrictions. The restrictions imposed upon a franchisee may prohibit him or her from carrying on a
similar business except under franchise from the franchisor, taking staff away from other franchisees,
carrying on a similar business in close proximity to other franchised businesses within that chain, and
continuing, after termination of the franchise contract, to use any of the franchisor's trade names, secrets,
and so forth.
5. Assignment/death of the franchisee. The franchisee should ensure that in the event of death his/her
personal representative or dependent will be able to keep the business going until one of them can qualify
as a franchisee, and that arrangements can be made to keep the business going until a suitable assignee
can be found at a proper price.
6. Termination provisions. The termination of a franchise is an event heavily regulated by the franchise laws
of 17 states. Franchise relationship laws in many states specify the conditions under which a franchisor
may terminate or refuse to renew the franchise, imposing a standard of "good cause," "reasonable cause"
or "just cause" as defined by those laws. Minimum advance notice usually has an opportunity to cure the
default and avoid termination; notice ranges from five days to 90 days. Many states also specify
circumstances under which the standard notice and cure requirements need not be met.
In view of the close working relationship that must exist between the franchisee and franchisor all provisions must
be stated clearly in the contract. In this transaction, no small print should exist. Make sure, if possible, the
franchise contract contains provisions that are favorable for both you and the franchisor.
____________________________________________________________________________________________
_
SELF-PACED ACTIVITY
During this activity you will:
* List at least four rights and four obligations you as the franchisee are entitled to and required to fulfill.
____________________________________________________________________________________________
_
APPENDIX 1
SMALL BUSINESS ENTREPRENEUR'S CHECKLIST
A. Business Planning and Management Limitations
B. Market Analysis
C. Marketing Strategy
D. Financial Controls
E. Personnel Function
F. Operation, Organization and Special Areas
____________________________________________________________________________________________
_
SMALL BUSINESS ENTREPRENEUR'S
CHECKLIST
A. Business Planning and Management Limitations
1. Do you know your own personal management assets and liabilities?
_____ yes _____ partially _____
no
2. Do you have a written small business plan covering 1 to 5 years?
_____ yes _____ partially _____
no
3. Can you concretely define what product or service franchise you are in?
_____ yes _____ partially _____
no
4. Can you describe in writing what business franchise you are in?
_____ yes _____ partially _____
no
B. Market Analysis
5. Do you know in detail what factual market conditions and government requirements impact on
your franchise?
_____ yes _____ partially _____
no
6. Do you know your specific geographic and demographic market areas?
_____ yes _____ partially _____
no
7. Do you know your market area business and franchise competitor by name, organization, size
and gross sales?
_____ yes _____ partially _____
no
8. Can you describe in writing the strengths and weaknesses of competitors in your defined market
areas?
_____ yes _____ partially _____
no
C. Marketing Strategy
9. Can you identify in a written business plan what advantages your franchise's products or services
have over specific competitors?
_____ yes _____ partially _____
no
10. Based on the guidelines from the franchisor, can you describe in writing how your products and
services are distributed or sold?
_____ yes _____ partially _____
no
11. Based on the guidelines from the franchisor, do you know what sources of supplies and costs are
required to operate your franchise?
_____ yes _____ partially _____
no
D. Financial Controls
12. Can you detail the specific monthly cash and credit requirements of your franchise?
_____ yes _____ partially _____
no
13. Do you maintain a file of and stay aware of the advantages of small business computer planning,
accounting, financial management and marketing controls?
_____ yes _____ partially _____
no
14. Do you use Standard Financial Industry Ratios as a guide to measure your franchise's annual
performance?
_____ yes _____ partially _____
no
15. Do you maintain written costs of sales, breakeven analyses, profit and loss statements and
appropriate accounting journals?
_____ yes _____ partially _____
no
E. Personnel Function
16. Do you know how much personnel money your franchise spends on human resource development
as compared to competitors?
_____ yes _____ partially _____
no
17. Do you know exactly what employee benefits cost your franchise?
_____ yes _____ partially _____
no
Do you know the impact when compared with industry standards?
_____ yes _____ partially _____
no
18. Based on guidelines from the franchisor, do you have a detailed personnel plan for the
management staff, clerical and specific labor (i.e., part-time, union) required to operate your
franchise?
_____ yes _____ partially _____
no
F. Operation, Organization and Special Areas
19. Based on guidelines from the franchisor, do you have a detailed building or facility plan which
documents the space required to operate the business?
_____ yes _____ partially _____
no
20. Do you know why your business is a franchise and the legal limitations or advantages of this
business form?
_____ yes _____ partially _____
no
21. Do you use specialized consultants on a pre-planned basis for accounting, legal, tax, insurance,
employee benefits and other critical business operational areas?
_____ yes _____ partially _____
no
www.francorp.com
IS FRANCHISING FOR ME?
WORKBOOK
Training Module - 1
Workshop Objectives
By the end of this workshop, you should be able to:
* Define franchising.
* Determine whether franchising is the best business option for you
- evaluate your skills and experience
- identify your reasons for purchasing a franchise
- personal characteristics
- personal conditions
- experience.
* List
- advantages of franchising for both the franchisor and franchisee
- disadvantages of franchising for both the franchisor and franchisee
* Identify franchisor's responsibilities.
* Determine what is contained in a franchise package.
* Understand the franchise contract
- legal implications
- your rights and obligations as a franchisee
- financial statements, contracts and receipts
- trademarks and copyrights
- restrictions on goods and services to be offered by franchisees
- renewal, termination and sale of the franchise
____________________________________________________________________________________________
_
BUSINESS FORMATTING - WHAT IS FRANCHISING?
Deciding whether or not to go into business is a very important step in the business start-up process for new and
potential small business owners. Each year, thousands of entrepreneurs and potential entrepreneurs are faced with
this difficult decision. Because of the risk and the amount of work involved in starting a new business, many new
and potential small business owners choose franchising as an alternative to starting a new, independent business.
Although the success rate for franchise-owned businesses is significantly better than the success rate for many
independent businesses, there is no formula to guarantee success. One of the biggest mistakes you can make is to
be in a hurry to get into business. That's why it's important to understand your reasons
for going into business, and to determine if owning a business is right for you.
If you are concerned about the risk involved in a new, independent business venture, then franchising may be the
best business option for you. Remember, however, that hard work, dedication and sacrifice are key elements in the
success of any business venture, including franchising.
WHAT IS FRANCHISING?
A franchise is a legal and commercial relationship between the owner of a trademark, service mark, trade name or
advertising symbol and an individual or group seeking the right to use that identification in a business. The
franchise governs the method of conducting business between the two parties. Generally, a franchisee sells goods
or services supplied by the franchisor or sells goods or services that meet the franchisor's quality standards.
Franchising is based on mutual trust between the franchisor and franchisee. The franchisor provides the business
expertise (i.e., marketing plans, management guidance, financing assistance, site location, training, etc.) that
otherwise would
not be available to the franchisee. The franchisee brings to the franchise operation the entrepreneurial spirit and
drive necessary to make the franchise a success.
While forms of franchising have been in use since the Civil War, enormous growth has occurred in franchising
only recently. By the end of 1985, 500,000 establishments in 50 industries achieved gross sales of over half a
trillion dollars and employed 5.6 million full and part-time employees. Franchising created 18,500 new businesses
in 1991 and approximately 108,000 new jobs to the economy. Business format franchises experienced sales growth
of 8.9 percent from $213.2 billion in 1990 to 232.2 billion in 1991. Industries that rely on franchised businesses to
distribute their products and services touch every aspect of life from automobile sales and real estate to fast foods
and tax preparation. Thus, we can see that franchising can be is a viable, lucrative business alternative.
There are primarily two forms of franchising:
* product/trade name franchising and
* business format franchising.
In the simplest form, a franchisor owns the right to the name or trademark and sells that right to a franchisee. This
is known as "product/trade name franchising." In the more complex form, "business format franchising," a broader
and ongoing relationship exists between the two parties. Business format franchises often provide a full range of
services, including site selection, training, product supply, marketing plans and even assistance in obtaining
financing.
____________________________________________________________________________________________
_
SELF-PACED ACTIVITY
During this activity you will:
* List at least three reasons for going into business.
* Identify the type of business you are interested or may be interested in operating.
____________________________________________________________________________________________
_
IS FRANCHISING FOR YOU?
As with any business, the first step in determining whether or not to enter into the venture is to assess your reasons
for going into business. If you feel you need a change, or you're tired of having other people tell you what to do,
then you should reassess your decision before investing your time, money and energy because operating a business
requires more than a need for a change, or the desire to do as you please. Purchasing a franchise like any other
business requires a total commitment of your time, energy and financial resources. If you are not prepared to invest
these qualities and resources into your franchise, then you
should stop at this point.
EVALUATING YOUR SKILLS AND EXPERIENCE
Identify Your Reasons
As a first and often overlooked step, ask yourself why you want to purchase a franchise. This question, although
basic, is an excellent way of evaluating your reasons for going into business. List every reason you identify, no
matter how farfetched it may seem. Divide your list into two separate components. Separate the viable reasons from
the trivial reasons and categorize them accordingly. It isn't unusual for reasons to range from the desire to be your
own boss to the desire to be a billionaire. Whatever your reasons, remember that your future is at stake so try to be
objective. Your checklist should include reasons such as these (check each that applies to you):
YES
* Freedom from the 9-5 daily work routine ______
* Being your own boss ______
* Doing what you want when you want to do it ______
* Improving your standard of living ______
* Bored with your present job ______
* Have a product or service for which there is a demand ______
Some reasons are better than others, none are wrong; however, be aware of tradeoffs. For example, you can escape
the 9-5 daily routine, but you may replace it with a 6 a.m. to 10 p.m. routine.
After assessing your reasons for going into business, next conduct a self analysis to determine if you possess the
personal characteristics needed to be a successful franchise owner. Consider questions such as:
Personal Characteristics
YES NO
1. Are you a leader? _____ _____
2. Do you like to make your own decisions? _____ _____
3. Do others turn to you for help in making
decisions? _____ _____
4. Are you willing to accept managerial assistance
from the franchisor? _____ _____
5. Are you willing to comply with the provisions
outlined in the franchise contract? _____ _____
6. Do you enjoy competition? _____ _____
7. Do you have will power and self discipline? _____ _____
8. Do you plan ahead? _____ _____
9. Do you like people? _____ _____
10. Do you get along well with others? _____ _____
Personal Conditions
These questions cover the physical, emotional and financial strains you will encounter operating a franchise.
YES NO
1. Are you aware that running your own franchise
will require working 12-16 hours a day, six days
a week, and maybe even on Sundays and
holidays? _____ _____
2. Do you have the physical stamina to handle the
work load and schedule? _____ _____
3. Do you have the emotional strength to
withstand the strain? _____ _____
4. Are you prepared, if needed, to temporarily
lower your standard of living until your
franchise is firmly established? _____ _____
5. Is your family willing to go along with the
strains they, too, must bear? _____ _____
6. Are your prepared to invest, and possibly lose,
your savings? _____ _____
Answering "yes" to any of these questions means that you have some of the skills needed to operate a successful
franchise; a negative answer means that you may have to acquire these skills or hire personnel to supply them.
Experience
Certain skills and experience are critical to the success of a business. Since it is unlikely that you possess all the
skills and experience needed, you'll need to hire personnel to supply those you lack. There are some basic and
special skills you will need for the particular franchise you purchase. By answering the following questions, you
can identify the skills you possess and those you lack (i.e., your strengths and weaknesses).
YES NO
1. Do you know what basic skills you will need to
operate a successful franchise? _____ _____
2. Do you possess those skills? _____ _____
3. When hiring personnel, will you be able to
determine if the applicants' skills meet the
requirements for the positions you are filling? _____ _____
4. Have you ever worked in a managerial or
supervisory capacity? _____ _____
5. Have you ever worked in a business similar to
the franchise you want to purchase? _____ _____
6. Have you had any business training in school? _____ _____
7. If you discover that you don't have the basic
skills needed for your franchise will you be
willing to delay your plans until you've
acquired the necessary skills? _____ _____
When you complete your self-analysis, discuss your results with your family and financial advisor. Their feedback
can help you make the right decision. If you all agree that you have most of the skills needed to operate a successful
franchise, then you should feel comfortable proceeding with your plans. If, however, they feel you lack most of
these skills, then you may need to consider delaying your plans until you are better prepared. Above all, be honest
and objective with yourself; after all, it is your future.
A more detailed self-analysis, the "Small Business Entrepreneur's Checklist," is located in Appendix I. This
checklist is designed to assist you in determining what you actually know about operating a business, and the skills
you will need to do so. Review it carefully before deciding whether or not to purchase a franchise or to go into
business. If you discover that you lack many of the skills needed to operate a successful franchise, you may need to
take some training courses or hire personnel to compensate for these deficiencies.
Once you are certain that your reasons for going into business and the franchise you've selected are viable, gather
the information that you will need to make an informed decision from sources, such as: 1) a directory of franchises,
e.g., the Franchise Opportunities Handbook (published by the U.S. Department of Commerce), 2) the disclosure
document, 3) current franchisees, 4) other references, such as U.S. Small Business Administration (SBA), Federal
Trade Commission (FTC), Better Business Bureau, local chambers of commerce and 5) professional advisors.
Many new small business owners choose franchising over starting a new business because it provides easy access to
an established product, reduces many of the risks involved in opening a new business, provides access to proven
marketing methods and in some instances provides assistance in obtaining start-up capital from financing sources.
Franchising can be advantageous as well as disadvantageous to both the franchisee and franchisor. A few of the
advantages and disadvantages are listed below. Study these factors carefully before choosing the franchise option.
FRANCHISEE
Advantages Disadvantages
- established product or service - failed expectations
- technical & managerial assistance - service costs
- quality control standards - overdependence
- less operating capital - restrictions on freedom of ownership
- opportunities for growth - termination of agreement
- territorial franchisee
- right of subfranchisees
- operating franchisee no rights - performance of other franchisees
FRANCHISOR
Advantages Disadvantages
- expansion - company-owned vs franchised units
- limited risk
- limited capital
- equity investment
- motivation - problems with recruitment
franchisee highly motivated
- operation of non-union business - communication
- bulk purchasing - freedom
- cooperative advertising
____________________________________________________________________________________________
_
SELF-PACED ACTIVITY
During this activity you will:
* Determine if franchising is for you by listing at least five reasons why you should choose franchising over
starting a new, independent business.
* List sources where you can gather information to help you make an informed decision on choosing
franchising as an alternative to starting a new business.
* Determine if you have the skills needed to own and operate a successful franchise.
____________________________________________________________________________________________
_
IDENTIFYING THE FRANCHISOR'S RESPONSIBILITIES
An important step in making an informed decision about purchasing a franchise is to know the responsibilities the
franchisor is legally obligated to fulfill. One of the toughest decisions any entrepreneur faces is whether or not to
purchase a franchise. And while buying a franchise means obtaining a complete system of
doing business, there is no guarantee for success.
Being aware of the franchisor's responsibilities takes some of the guess work out of the decision making process.
Learn as much as you can about the franchise and the franchisor's obligations before entering a purchase
agreement, or even before meeting with the franchisor or his or her representative to discuss the possibility of
purchasing a franchise.
Fourteen states have franchise disclosure or registration laws that require the franchisor to prepare documents for
submission to state authorities. The FTC requires in all states that a lengthy disclosure document, as well as
financial statements, be given to franchisees before purchasing the franchise. In addition to state filing fees,
printing and accounting and legal expenses, the franchisor must develop internal controls and policies to ensure
ongoing compliance with regulations.
Franchisors are obligated to:
1. Give you a copy of the Uniform Franchise Offering Circular (UFCO) at least 10 days before you sign the
agreement. If you meet face to face with the franchisor's representative and have serious discussions
concerning the purchase of the franchise, the UFCO also must be given to you at this time.
2. Give you a copy of the franchise agreement, other contracts and the franchisor's financial statements. The
franchisor, however, cannot, under federal law, make claims concerning the amount of money you will
make. The UFCO will disclose estimates of all initial start-up costs.
3. Provide one week of training to you, the franchisee, and your manager in one of the parent stores, the
operational manual and ongoing support and assistance to you and other franchisees.
4. Provide guidelines on audits and assignment procedures and any extra franchisor criteria for approving an
assignment (e.g., ownership rights - franchisee rights to sell the franchise if it becomes successful).
5. Provide information on franchisee's initial fees and other costs (e.g., royalties, promotional fees).
Franchisors should:
6. Provide a marketing plan, promotional materials and area site selection assistance to franchisees.
7. Provide adequate insurance coverage for franchises.
Insurance coverage generally includes:
- fire insurance
- inventory insurance
- burglary insurance
- workmen's compensation
- accident and health insurance
- use and occupancy insurance
- general liability insurance
- automobile insurance (may be optional depending on franchise type)
8. Provide a trademark or service mark that is known, or will be known through advertising in the
geographic area of use.
9. Provide guidelines on the purchase of inventory and equipment, requirements on restrictions on goods
sold and the terms of agreement and renewal.
Most of these responsibilities are or should be included in the UFOC document, but since there are no uniform
regulations governing the operation of franchises in any given state, make sure the UFOC document complies with
the FTC's regulations, and the regulations of the state in which you plan to purchase the franchise. Review the
UFOC document carefully with your attorney before signing the purchase agreement.
____________________________________________________________________________________________
_
SELF-PACED ACTIVITY
During this activity you will:
* Identify issues you need to be aware of as a franchisee.
____________________________________________________________________________________________
_
DETERMINING WHAT THE FRANCHISE PACKAGE CONTAINS
After gathering all the information you will need to make an informed purchase decision, carefully examine this
information with your attorney, accountant or business advisor ensuring that it is addressed in the franchise
contract. Think carefully about the level of independence you will maintain as a franchisee and how comprehensive
the operating controls will be. Be very clear about the cost of purchasing the franchise and the documents that
make up the franchise package.
You can obtain information on franchising from: 1) a directory of franchises, 2) the disclosure document, 3)
current franchisees, 4) other references, such as SBA, FTC, Better Business Bureau, local chambers of commerce,
5) professional advisors and 6) reference materials on franchises from the local library.
Your franchise package should contain the following information:
* The full initial costs and what they cover.
* Licensing fees.
* Land purchase or lease.
* Building construction or renovation.
* Equipment.
* Training.
* Starting inventory.
* Promotional fees.
* Use of operations manuals.
* Continuing costs related to the franchisor.
* Royalties.
* Ongoing training.
* Cooperative advertising fees.
* Insurance.
* Interest on financing.
* Requirements regarding purchasing supplies from the franchisor, and if the prices are
competitive with other suppliers.
* Restrictions as they apply to competition with other franchisees.
* Terms covering renewal rights and resale of the franchise.
In reviewing the franchise contract with your attorney, familiarize yourself with the language. Be aware of terms
such as hold harmless clauses, integration clauses and choice of venue or choice of law provisions. These terms
may favor the franchisor over you if improprieties arise during or after the settlement process.
Hold harmless clauses - may require that you release the franchisor from specific acts or
violations of state laws.
Integration clauses - may prevent you from successfully suing for any deceptions preceding the
signing of the contract.
Choice of venue or choice by law provisions - are especially important if the franchisor has
headquarters in another state. These clauses may dictate that you settle all disputes in your
franchisor's state of residence and settle your claim under laws favorable to the franchisor.
Other important clauses to consider deal with severance, renewal and transfer of the franchise.
Again, use professional help when examining the franchise contract. And, remember some of the contract terms
may be negotiable. Find out which terms are negotiable before you sign; otherwise, it will be too late.
____________________________________________________________________________________________
_
SELF-PACED ACTIVITY
During this activity you will:
* List some of the information that should be contained in the franchise package.
* Identify sources where you can obtain information on what the franchise package should contain.
____________________________________________________________________________________________
_
UNDERSTANDING THE FRANCHISE CONTRACT
The franchise contract, like the UFOC, is a very important document. The contract is probably the most important
document in the transaction process. It is a legal commitment which is binding on both the franchisor and
franchisee. In the franchise contract, the franchisor's promises must be presented to the franchisee in writing and
subjected to careful scrutiny. During this stage of the buy/sell process, the franchisee must have competent legal
advice regarding the meaning and effect of the contract.
When reviewing the contract, you and your attorney will need to determine if it confirms what you have been told.
If you find improprieties in the contract at this point, you may decide to withdraw from the transaction before
committing your time, energy and money to an agreement that may not be beneficial for you. If, however, you
choose to continue with the process, you may be able to negotiate favorable terms, but remember by signing the
contract, you are legally bound by the provisions of the agreement.
The franchise contract consists of two main parts: 1) the purchase agreement and 2) the franchise or license
agreement. For convenience, occasionally the franchise transaction is split into two stages. When this happens,
some franchise companies have two contracts, one for each stage, rather than a single contract. While it isn't
necessary to have two contracts, it can be the better method where there is a comprehensive equipment and initial
services package.
The purchase agreement of the contract covers:
* the franchise package
* the price
* the services to be provided.
The franchise or license agreement covers:
* the rights granted to the franchisee
* the obligations undertaken by the franchisor
* the obligations imposed upon the franchisee
* trade restrictions imposed upon the franchisee
* assignment/death of franchisee
* termination provisions.
A brief explanation of each agreement follows.
PURCHASE AGREEMENT
1. The franchise package. Consists of an equipment or inventory list. This list must contain all the items the
franchisee has been told to expect. Some franchise companies regard this list as being confidential and
stipulate in the contract that it must be so treated.
2. The price. The price and the manner of payment will be specified. This may be cash on signature,
although rare. More often a deposit is required on signature with payment of the balance to follow on
delivery of the equipment or at other stages of the transaction.
3. The services to be provided. This section outlines or lists the franchisor's responsibilities to the franchisee.
Those services the franchisor is required to provide the franchisee before he or she is ready to open for
business are called the initial services. Those services the franchisor provides periodically are called
continuous services. A more detailed explanation of the services provided by the franchisor are included in
the next section on the license agreement.
FRANCHISE OR LICENSE AGREEMENT
1. The rights granted to the franchisee. The franchisee will be given the right as it applies to particular
circumstances. As a franchisee there are certain rights that are extended to you.
Your rights include:
* use of trademarks, trade names and patents of the franchisor.
* use of the brand image and the design and decor of the premises developed by the franchisor.
* use of the franchisor's secret methods.
* use of the franchisor's copyright materials.
* use of recipes, formulae, specifications and processes and methods of manufacture developed by
the franchisor.
* conducting the franchised business upon or from the agreed premises strictly in accordance with
the franchisor's methods and subject to the franchisor's directions.
* guidelines established by the franchisor regarding exclusive territorial rights.
* rights to obtain suppliers from nominated suppliers at special prices.
2. The obligation undertaken by the franchisor. This item in the contract tells prospective franchisees what
the franchisor will do for them both before and after start-up. That is why this item frequently refers to
specific contractual obligations detailed in the franchise agreement, which is attached to the UFOC.
3. The obligations imposed upon the franchisee. Certain obligations are required of you by the franchisor.
These obligations include:
* to carry on the business franchised and no other business upon the approved and nominated
premises.
* to observe certain minimum operating hours.
* to pay a franchise fee.
* to follow the accounting system laid down by the franchisor.
* not to advertise without prior approval of the advertisements by the franchisor.
* to use and display such point of sale advertising materials as the franchisor stipulates.
* to maintain the premises in good, clean and sanitary condition and to redecorate when required
to do so by the franchisor.
* to maintain the widest possible insurance coverage.
* to permit the franchisor's staff to enter the premises to inspect and see if the franchisor's
standards are being maintained.
* to purchase goods or products from the franchisor or his designated suppliers.
* to train your staff in the franchisor's methods to ensure that they are neatly and appropriately
clothed.
* not to assign the franchise contract without the franchisor's consent.
4. Trade restrictions. The restrictions imposed upon a franchisee may prohibit him or her from carrying on a
similar business except under franchise from the franchisor, taking staff away from other franchisees,
carrying on a similar business in close proximity to other franchised businesses within that chain, and
continuing, after termination of the franchise contract, to use any of the franchisor's trade names, secrets,
and so forth.
5. Assignment/death of the franchisee. The franchisee should ensure that in the event of death his/her
personal representative or dependent will be able to keep the business going until one of them can qualify
as a franchisee, and that arrangements can be made to keep the business going until a suitable assignee
can be found at a proper price.
6. Termination provisions. The termination of a franchise is an event heavily regulated by the franchise laws
of 17 states. Franchise relationship laws in many states specify the conditions under which a franchisor
may terminate or refuse to renew the franchise, imposing a standard of "good cause," "reasonable cause"
or "just cause" as defined by those laws. Minimum advance notice usually has an opportunity to cure the
default and avoid termination; notice ranges from five days to 90 days. Many states also specify
circumstances under which the standard notice and cure requirements need not be met.
In view of the close working relationship that must exist between the franchisee and franchisor all provisions must
be stated clearly in the contract. In this transaction, no small print should exist. Make sure, if possible, the
franchise contract contains provisions that are favorable for both you and the franchisor.
____________________________________________________________________________________________
_
SELF-PACED ACTIVITY
During this activity you will:
* List at least four rights and four obligations you as the franchisee are entitled to and required to fulfill.
____________________________________________________________________________________________
_
APPENDIX 1
SMALL BUSINESS ENTREPRENEUR'S CHECKLIST
A. Business Planning and Management Limitations
B. Market Analysis
C. Marketing Strategy
D. Financial Controls
E. Personnel Function
F. Operation, Organization and Special Areas
____________________________________________________________________________________________
_
SMALL BUSINESS ENTREPRENEUR'S
CHECKLIST
A. Business Planning and Management Limitations
1. Do you know your own personal management assets and liabilities?
_____ yes _____ partially _____
no
2. Do you have a written small business plan covering 1 to 5 years?
_____ yes _____ partially _____
no
3. Can you concretely define what product or service franchise you are in?
_____ yes _____ partially _____
no
4. Can you describe in writing what business franchise you are in?
_____ yes _____ partially _____
no
B. Market Analysis
5. Do you know in detail what factual market conditions and government requirements impact on
your franchise?
_____ yes _____ partially _____
no
6. Do you know your specific geographic and demographic market areas?
_____ yes _____ partially _____
no
7. Do you know your market area business and franchise competitor by name, organization, size
and gross sales?
_____ yes _____ partially _____
no
8. Can you describe in writing the strengths and weaknesses of competitors in your defined market
areas?
_____ yes _____ partially _____
no
C. Marketing Strategy
9. Can you identify in a written business plan what advantages your franchise's products or services
have over specific competitors?
_____ yes _____ partially _____
no
10. Based on the guidelines from the franchisor, can you describe in writing how your products and
services are distributed or sold?
_____ yes _____ partially _____
no
11. Based on the guidelines from the franchisor, do you know what sources of supplies and costs are
required to operate your franchise?
_____ yes _____ partially _____
no
D. Financial Controls
12. Can you detail the specific monthly cash and credit requirements of your franchise?
_____ yes _____ partially _____
no
13. Do you maintain a file of and stay aware of the advantages of small business computer planning,
accounting, financial management and marketing controls?
_____ yes _____ partially _____
no
14. Do you use Standard Financial Industry Ratios as a guide to measure your franchise's annual
performance?
_____ yes _____ partially _____
no
15. Do you maintain written costs of sales, breakeven analyses, profit and loss statements and
appropriate accounting journals?
_____ yes _____ partially _____
no
E. Personnel Function
16. Do you know how much personnel money your franchise spends on human resource development
as compared to competitors?
_____ yes _____ partially _____
no
17. Do you know exactly what employee benefits cost your franchise?
_____ yes _____ partially _____
no
Do you know the impact when compared with industry standards?
_____ yes _____ partially _____
no
18. Based on guidelines from the franchisor, do you have a detailed personnel plan for the
management staff, clerical and specific labor (i.e., part-time, union) required to operate your
franchise?
_____ yes _____ partially _____
no
F. Operation, Organization and Special Areas
19. Based on guidelines from the franchisor, do you have a detailed building or facility plan which
documents the space required to operate the business?
_____ yes _____ partially _____
no
20. Do you know why your business is a franchise and the legal limitations or advantages of this
business form?
_____ yes _____ partially _____
no
21. Do you use specialized consultants on a pre-planned basis for accounting, legal, tax, insurance,
employee benefits and other critical business operational areas?
_____ yes _____ partially _____
no
www.francorp.com
Tuesday, September 16, 2008
Francorp Breakfast - West Coast Franchise Exposition
Each year Francorp holds a breakfast debreifing before every major franchise exibition around the country. These meetings are held for the specific purpose of working with clients to get them ready for the show that weekend and help strategize how to most effectively utilize your time as a franchisor at a large tradeshow.
The Breakfast Breifings are designed to focus on "booth tactics", booth design, tradeshow set up, staffing the show, collateral material design and handouts, managing a tradeshow and following up with prospective franchisees after the event.
This coming November Francorp will be holding the West Coast Franchise Breakfast on Friday, 11/07/08 at 7:30am. This meeting is for Francorp Clients only, but Francorp will also be exibiting at the Franchise Exposition as well at booth #325.
Show Dates & Hours
Friday, November 7, 2008
10:00 am to 5:00 pm
Saturday, November 8, 2008
10:00 am to 5:00 pm
Sunday, November 9, 2008
10:00 am to 4:00 pm
Location:
Los Angeles Convention Center1201 South Figueroa StreetLos Angeles, CA 90015PH: 213-741-1151Fax: 213-765-4266 Booth # 325 Register for Free before November 6, 2008 go to www.wcfexpo.com enter in source code GPEX8. Registration link: http://www.wcfexpo.com/registration.cfm
Francorp is the world leader in franchising and franchise development. Francorp has consulted with over 10,000 companies over it's 32 year history. For more information on the work and clients that Francorp has developed, visit the corporate site, www.francorp.com.
The Breakfast Breifings are designed to focus on "booth tactics", booth design, tradeshow set up, staffing the show, collateral material design and handouts, managing a tradeshow and following up with prospective franchisees after the event.
This coming November Francorp will be holding the West Coast Franchise Breakfast on Friday, 11/07/08 at 7:30am. This meeting is for Francorp Clients only, but Francorp will also be exibiting at the Franchise Exposition as well at booth #325.
Show Dates & Hours
Friday, November 7, 2008
10:00 am to 5:00 pm
Saturday, November 8, 2008
10:00 am to 5:00 pm
Sunday, November 9, 2008
10:00 am to 4:00 pm
Location:
Los Angeles Convention Center1201 South Figueroa StreetLos Angeles, CA 90015PH: 213-741-1151Fax: 213-765-4266 Booth # 325 Register for Free before November 6, 2008 go to www.wcfexpo.com enter in source code GPEX8. Registration link: http://www.wcfexpo.com/registration.cfm
Francorp is the world leader in franchising and franchise development. Francorp has consulted with over 10,000 companies over it's 32 year history. For more information on the work and clients that Francorp has developed, visit the corporate site, www.francorp.com.
Franchising Your Business - J. David Washington
VMG Vivere Management Group, LLC. Bringing energy, passion, and vigor to your business… INFLUENCE • INTEGRITY • INNOVATION Book Review
Franchising Your Business is the Quintessential Resource
For Growth Expansion in Today’s Marketplace
By J. David Washington
After reading "Franchising Your Business" by Donald D. Boroian and Patrick Callaway, I felt that the veil of the franchising world had been removed. Don and Pat carefully unravel all the myths that surround the world of franchising. One of the most important ingredients to success is to have a winning formula & blue print. The blue print required for success in franchising is mapped out clearly and succinctly in sixteen exciting and fast moving chapters. In chapter one the reader learns the rules of engagement and gets a 30,000 feet view of where the industry was and where it’s heading. Don and Pat have clearly shared gems of wisdom that can only be acquired through vetted industry experience. "Franchising Your Business" is filled with charts, examples of operation manuals, and a very practical franchiseability test to help a business owner to determine where there my stand in becoming the next great franchise success story. Chapter fourteen was very intriguing for me"Going International"; with the globalization of the world’s economy it’s important that one has a balanced prospective on the opportunities and pitfalls that lurk about in the international marketplace. Don and Pat do a good job of sharing their good and no so good experiences in the shark infested world of international business. The eight-step international checklist is a must read and review for entrepreneurs that aspire to expand their business beyond the shores of their local, regional, and domestic markets. Even though I'm not a teacher, this is a well written book based on first-hand experience and industry knowledge I give it an A+! It truly is a "must read" for anyone wanting to go into franchising and really want to expand their business. As a franchise consultant, I recommended "Franchising Your Business" to every prospective client with information garnered from this book you will be at the "head of the class" Clearly Don is a Guru in the world of franchising. Patrick, Don’s grandson merges their experience and prospective in a way to anticipate every thought you would have, every question, and every action you would take as you investigate, start up of your franchise system. Their goal is to equip the reader with "franchise blueprint knowledge." They have achieved this goal and more. If you are thinking of expanding into a franchise, "Franchising Your Business" is the book for you. If your goal was to take your business to the next level through franchising, the secret to success has been reveled in this resources guide, what you want to accomplish in terms of your franchise goals and what you need to know has been made available in "Franchising Your Business An Owner’s Guide To Franchising As A Growth Option".
Good luck and many blessing to you on the journey!
www.francorp.com
Franchising Your Business is the Quintessential Resource
For Growth Expansion in Today’s Marketplace
By J. David Washington
After reading "Franchising Your Business" by Donald D. Boroian and Patrick Callaway, I felt that the veil of the franchising world had been removed. Don and Pat carefully unravel all the myths that surround the world of franchising. One of the most important ingredients to success is to have a winning formula & blue print. The blue print required for success in franchising is mapped out clearly and succinctly in sixteen exciting and fast moving chapters. In chapter one the reader learns the rules of engagement and gets a 30,000 feet view of where the industry was and where it’s heading. Don and Pat have clearly shared gems of wisdom that can only be acquired through vetted industry experience. "Franchising Your Business" is filled with charts, examples of operation manuals, and a very practical franchiseability test to help a business owner to determine where there my stand in becoming the next great franchise success story. Chapter fourteen was very intriguing for me"Going International"; with the globalization of the world’s economy it’s important that one has a balanced prospective on the opportunities and pitfalls that lurk about in the international marketplace. Don and Pat do a good job of sharing their good and no so good experiences in the shark infested world of international business. The eight-step international checklist is a must read and review for entrepreneurs that aspire to expand their business beyond the shores of their local, regional, and domestic markets. Even though I'm not a teacher, this is a well written book based on first-hand experience and industry knowledge I give it an A+! It truly is a "must read" for anyone wanting to go into franchising and really want to expand their business. As a franchise consultant, I recommended "Franchising Your Business" to every prospective client with information garnered from this book you will be at the "head of the class" Clearly Don is a Guru in the world of franchising. Patrick, Don’s grandson merges their experience and prospective in a way to anticipate every thought you would have, every question, and every action you would take as you investigate, start up of your franchise system. Their goal is to equip the reader with "franchise blueprint knowledge." They have achieved this goal and more. If you are thinking of expanding into a franchise, "Franchising Your Business" is the book for you. If your goal was to take your business to the next level through franchising, the secret to success has been reveled in this resources guide, what you want to accomplish in terms of your franchise goals and what you need to know has been made available in "Franchising Your Business An Owner’s Guide To Franchising As A Growth Option".
Good luck and many blessing to you on the journey!
www.francorp.com
Thursday, August 28, 2008
Francorp Regional Directo - Stephen Russell
PRESS RELEASE
(Company Letterhead)
FOR IMMEDIATE RELEASE FOR INFORMATION CONTACT:
Francorp
(401-787-2530)
Francorp Welcomes New Regional Director
(South Jersey, NJ) - Francorp is proud to announce that Stephen Michael Russell has been appointed Regional Director of the Greater Philadelphia area.
Stephen Michael Russell is a dynamic individual with integrity and charisma. He resides in South Jersey with his loving wife and four beautiful children. He embraces the ' American Dream' to the fullest and believes that any motivated self-starter can make it big. His mission statement would be 'Persistence, perseverence and drive will always take one to a place of greatness.' He is a vibrant addition to the Francorp team and is a Finance Specialist. Stephen's background includes various type of business finance from commercial/residential mortgages to business equipment leasing.
Francorp is acknowledged as the world's leader in franchising. Since 1976 Francorp has provided full development programs to help insure the franchise success of over 2,000 businesses. To continue helping businesses expand, Francorp has established a Regional Directors Program. This program allows representatives throughout the country to provide the necessary resources to new business interested in franchising. For more information, visit www.francorp.com or call 401-787-2530.
# # #
(Company Letterhead)
FOR IMMEDIATE RELEASE FOR INFORMATION CONTACT:
Francorp
(401-787-2530)
Francorp Welcomes New Regional Director
(South Jersey, NJ) - Francorp is proud to announce that Stephen Michael Russell has been appointed Regional Director of the Greater Philadelphia area.
Stephen Michael Russell is a dynamic individual with integrity and charisma. He resides in South Jersey with his loving wife and four beautiful children. He embraces the ' American Dream' to the fullest and believes that any motivated self-starter can make it big. His mission statement would be 'Persistence, perseverence and drive will always take one to a place of greatness.' He is a vibrant addition to the Francorp team and is a Finance Specialist. Stephen's background includes various type of business finance from commercial/residential mortgages to business equipment leasing.
Francorp is acknowledged as the world's leader in franchising. Since 1976 Francorp has provided full development programs to help insure the franchise success of over 2,000 businesses. To continue helping businesses expand, Francorp has established a Regional Directors Program. This program allows representatives throughout the country to provide the necessary resources to new business interested in franchising. For more information, visit www.francorp.com or call 401-787-2530.
# # #
Wednesday, August 27, 2008
Francorp Client - Dogtopia
Amy Nichols - CEO of Dogtopia
To learn more about the Dogtopia Franchising Opportunity please click here
1. What made you decide to quit a successful career in telecommunications and start a Dog Spa?
I have always been a very motivated and success-oriented person, and right out of college I had specific goals that I wanted to accomplish. While working at Verizon I decided I wanted to be an Account Manager (technology sales). I was able to achieve that within a few years, but once I got there, with all of the financial rewards it entailed, I still did not feel fulfilled. I had the nice car, my own house, and was even putting away money for the future, but I started to feel more and more that this was not what I envisioned for my future. Large companies are great places to learn, but definitely inhibit creativity and the ability to be innovative - not to mention telecommunications was not super-interesting to me. What had always been interesting to me is animals - particularly dogs, and I would often find myself stopping by a pet store on my lunch break or after work. The puppies always made me feel good. My own dog, Griffin, a Boston Terrier, was also a big outlet - I loved taking him for long walks and with me when I went shopping and to run errands. It was then that I started to think about how I could combine my love of business with pets.
2. Did you have any doubts in the early days that you had made the right decision?
I didn't have time! Once I was open for business, that is. The hardest part emotionally and mentally for me was getting the funding and finding a location. There were not many landlords that were keen on having dogs running around in their building. I had to present to seven banks before I was approved for an SBA loan. But, being the saleswoman that I am, I knew that it was a matter of "selling" them on myself and my vision for the company. Not only was there no time for doubts, but I knew that I had to be very focused on the success in order to present my business plan to banks and Landlords for it to happen at all. "Failure is not an option," is something I told myself often. Ultimately it was through networking that I met my first Landlord, and proceeded to rent almost 9000 square feet in Tysons Corner for our first location.
3. How fulfilling is it to work with canines?
Dogs are great. Unconditional love and that uncanny ability to be forever-optimistic. I can be having a really challenging day, but one wet kiss wipes it all away!
4. Do you believe that dogs should be treated like children?
Yes and no. I have never felt that dogs are on par with humans, but I have to say that after having my own child (and another due this month) the "parenting" philosophies and teaching techniques are nearly identical. If you want a well-balanced child or dog, you need to provide the standards - food, shelter and unconditional love - but also boundaries and rules. I have a three year old and I have been amazed at how similar it is to manage him and young dogs!! You have to watch them every second - not just to keep them out of trouble, but also to protect them. Providing socialization and stimulating activities is another common element. Above all is consistency - when you make rules, stick to them. Ultimately dogs are not people, and I am thankful for that - my two dogs are much much easier to manage than my three year old son!
5. What kind of service do you offer to those who want to treat their dogs right?
As I mentioned above, one of the things that I believe is an important component for a healthy, well-balanced dog is socialization. Dogs are pack animals, and having a "human pack" is great - but there is no substitute for them spending some time with each other. Dogtopia provides this important component so that the dogs can then be happier and more relaxed when they are home. Exercise is an obvious need for all dogs, but most do not get nearly as much as they should, particularly with the most popular dogs being Sporting Breeds - Labrador and Golden Retrievers. Consequently, that is our most common customer - Labs! They need exercise and dog parents recognize that a well-exercised dog is also well-behaved!
Dog daycare is our primary business, but we also offer several other services. As an add-on to daycare, we also have overnight boarding services. We get lots of weekend stays, but have had dogs stay for several weeks. We added webcams a few years ago and that has gone a long way towards eliminating the anxiety people feel over boarding their dogs. They can check-in from anywhere in the world and see their dog having a great time - eliminates all the guilt! We have spa services at all of our stores - we can give them a bath and do their nails for you, or they can also use our self-serve tubs (very popular after an afternoon at the dog park) We also have training classes in the evenings and have boutiques in each of our stores for special snacks and unique dog products.
6. What do dog lovers say about you?
Usually "Thank goodness for Dogtopia!" Although dog daycare is still a relatively new concept, once someone starts to use us, they really get hooked and cannot imagine not having daycare for their dog! Dog lovers want their dogs to be happy, and that is what we do best!
7. What is the greatest factor that helped you succeed?
It is always important to follow your heart for true happiness and success, but it is equally important to be prepared to work really hard to get there. Determination and willingness to work as much as needed were probably the most important factors initially. After that, I would say that it was learning from our mistakes, it is OK to make mistakes, but use them as an opportunity to learn so that it is not repeated, and to improve your processes and procedures.
8. Let's talk about your franchising opportunity.
I used the birth of my son and subsequent maternity leave as a testing ground for my business. I felt strongly that I had prepared them to handle everything in my absence, and maintain our high standards of quality and service. I knew that if I was able to take-off that time and the business continued to run smoothly, then we were ready to expand. When my son was four months old I decided we were ready to move on to our next chapter - franchising. Franchising incorporates many elements that are really important in our business - the Owner/Operator model being of greatest importance. No one cares like an owner. I also felt that I wanted to help other people make their dreams come true by owning their own dog daycare - but at the same time creating a national network and maintaining the same quality and consistency across the brand. Franchising makes sense for us on so many levels, we can become the bigger company that I have strived for, but also maintain a small business feel in our locations.
9. What's it like to be a working mom? How do you balance family and career (and your dogs of course!!)?
Balance is an ongoing challenge, but it is probably one of the main reasons why I started my business in the first place. I love my business, but my family comes first. If that means I have to slow things down on the business side, then that is what we do. It all starts at home, and I felt that pretty soon after I started the company in 2002. My husband and I were both working too many hours - including staying over at the facility with boarding dogs, and it was just wearing us out physically, mentally, and emotionally. We had to decide how we were going to adjust the business in order to maintain balance personally and in our relationship. We made some hard choices, Mike eventually went back to work outside the company, but it was what was best for us. Four years later and he is back - but this time it is in a role that better utilizes his abilities, and the company is now big enough for both of us. Because we both work here, we can be very flexible when it comes to taking care of our son. We can fill-in for each other as needed, when the inevitable illness or doctor's appointment comes up, and it has really worked well. While I am out on maternity leave next month, Mike will be running the show here at Dogtopia! That gives me great peace of mind, and I know I will be able to really enjoy spending time with our new baby, and not worrying about my business.
10. Any words of wisdom for our mompreneurs?
First, research, research, research. Don't commit yourself to a major career change and investment until you have developed a thorough business plan. The Internet is a wonderful tool with virtually unlimited information - take advantage of it. Taking the time to research now will save you a ton of heartache and potential financial loss down the road. That being said, when you are ready, you're ready! Be your own biggest cheerleader, and hold on tight!
To learn more about the Dogtopia Franchising Opportunity please click here
To learn more about the Dogtopia Franchising Opportunity please click here
1. What made you decide to quit a successful career in telecommunications and start a Dog Spa?
I have always been a very motivated and success-oriented person, and right out of college I had specific goals that I wanted to accomplish. While working at Verizon I decided I wanted to be an Account Manager (technology sales). I was able to achieve that within a few years, but once I got there, with all of the financial rewards it entailed, I still did not feel fulfilled. I had the nice car, my own house, and was even putting away money for the future, but I started to feel more and more that this was not what I envisioned for my future. Large companies are great places to learn, but definitely inhibit creativity and the ability to be innovative - not to mention telecommunications was not super-interesting to me. What had always been interesting to me is animals - particularly dogs, and I would often find myself stopping by a pet store on my lunch break or after work. The puppies always made me feel good. My own dog, Griffin, a Boston Terrier, was also a big outlet - I loved taking him for long walks and with me when I went shopping and to run errands. It was then that I started to think about how I could combine my love of business with pets.
2. Did you have any doubts in the early days that you had made the right decision?
I didn't have time! Once I was open for business, that is. The hardest part emotionally and mentally for me was getting the funding and finding a location. There were not many landlords that were keen on having dogs running around in their building. I had to present to seven banks before I was approved for an SBA loan. But, being the saleswoman that I am, I knew that it was a matter of "selling" them on myself and my vision for the company. Not only was there no time for doubts, but I knew that I had to be very focused on the success in order to present my business plan to banks and Landlords for it to happen at all. "Failure is not an option," is something I told myself often. Ultimately it was through networking that I met my first Landlord, and proceeded to rent almost 9000 square feet in Tysons Corner for our first location.
3. How fulfilling is it to work with canines?
Dogs are great. Unconditional love and that uncanny ability to be forever-optimistic. I can be having a really challenging day, but one wet kiss wipes it all away!
4. Do you believe that dogs should be treated like children?
Yes and no. I have never felt that dogs are on par with humans, but I have to say that after having my own child (and another due this month) the "parenting" philosophies and teaching techniques are nearly identical. If you want a well-balanced child or dog, you need to provide the standards - food, shelter and unconditional love - but also boundaries and rules. I have a three year old and I have been amazed at how similar it is to manage him and young dogs!! You have to watch them every second - not just to keep them out of trouble, but also to protect them. Providing socialization and stimulating activities is another common element. Above all is consistency - when you make rules, stick to them. Ultimately dogs are not people, and I am thankful for that - my two dogs are much much easier to manage than my three year old son!
5. What kind of service do you offer to those who want to treat their dogs right?
As I mentioned above, one of the things that I believe is an important component for a healthy, well-balanced dog is socialization. Dogs are pack animals, and having a "human pack" is great - but there is no substitute for them spending some time with each other. Dogtopia provides this important component so that the dogs can then be happier and more relaxed when they are home. Exercise is an obvious need for all dogs, but most do not get nearly as much as they should, particularly with the most popular dogs being Sporting Breeds - Labrador and Golden Retrievers. Consequently, that is our most common customer - Labs! They need exercise and dog parents recognize that a well-exercised dog is also well-behaved!
Dog daycare is our primary business, but we also offer several other services. As an add-on to daycare, we also have overnight boarding services. We get lots of weekend stays, but have had dogs stay for several weeks. We added webcams a few years ago and that has gone a long way towards eliminating the anxiety people feel over boarding their dogs. They can check-in from anywhere in the world and see their dog having a great time - eliminates all the guilt! We have spa services at all of our stores - we can give them a bath and do their nails for you, or they can also use our self-serve tubs (very popular after an afternoon at the dog park) We also have training classes in the evenings and have boutiques in each of our stores for special snacks and unique dog products.
6. What do dog lovers say about you?
Usually "Thank goodness for Dogtopia!" Although dog daycare is still a relatively new concept, once someone starts to use us, they really get hooked and cannot imagine not having daycare for their dog! Dog lovers want their dogs to be happy, and that is what we do best!
7. What is the greatest factor that helped you succeed?
It is always important to follow your heart for true happiness and success, but it is equally important to be prepared to work really hard to get there. Determination and willingness to work as much as needed were probably the most important factors initially. After that, I would say that it was learning from our mistakes, it is OK to make mistakes, but use them as an opportunity to learn so that it is not repeated, and to improve your processes and procedures.
8. Let's talk about your franchising opportunity.
I used the birth of my son and subsequent maternity leave as a testing ground for my business. I felt strongly that I had prepared them to handle everything in my absence, and maintain our high standards of quality and service. I knew that if I was able to take-off that time and the business continued to run smoothly, then we were ready to expand. When my son was four months old I decided we were ready to move on to our next chapter - franchising. Franchising incorporates many elements that are really important in our business - the Owner/Operator model being of greatest importance. No one cares like an owner. I also felt that I wanted to help other people make their dreams come true by owning their own dog daycare - but at the same time creating a national network and maintaining the same quality and consistency across the brand. Franchising makes sense for us on so many levels, we can become the bigger company that I have strived for, but also maintain a small business feel in our locations.
9. What's it like to be a working mom? How do you balance family and career (and your dogs of course!!)?
Balance is an ongoing challenge, but it is probably one of the main reasons why I started my business in the first place. I love my business, but my family comes first. If that means I have to slow things down on the business side, then that is what we do. It all starts at home, and I felt that pretty soon after I started the company in 2002. My husband and I were both working too many hours - including staying over at the facility with boarding dogs, and it was just wearing us out physically, mentally, and emotionally. We had to decide how we were going to adjust the business in order to maintain balance personally and in our relationship. We made some hard choices, Mike eventually went back to work outside the company, but it was what was best for us. Four years later and he is back - but this time it is in a role that better utilizes his abilities, and the company is now big enough for both of us. Because we both work here, we can be very flexible when it comes to taking care of our son. We can fill-in for each other as needed, when the inevitable illness or doctor's appointment comes up, and it has really worked well. While I am out on maternity leave next month, Mike will be running the show here at Dogtopia! That gives me great peace of mind, and I know I will be able to really enjoy spending time with our new baby, and not worrying about my business.
10. Any words of wisdom for our mompreneurs?
First, research, research, research. Don't commit yourself to a major career change and investment until you have developed a thorough business plan. The Internet is a wonderful tool with virtually unlimited information - take advantage of it. Taking the time to research now will save you a ton of heartache and potential financial loss down the road. That being said, when you are ready, you're ready! Be your own biggest cheerleader, and hold on tight!
To learn more about the Dogtopia Franchising Opportunity please click here
Francorp Regional Director, Walter Smith
PRESS RELEASE FOR IMMEDIATE RELEASE
FOR INFORMATION
CONTACT:
Francorp
(310-228-8517)
Francorp Welcomes New Regional Director Walter Smith. (Los Angeles, CA) - Francorp is proud to announce that Walter Smith has been appointed the Regional Director of the Greater Los Angeles Area. Walter holds a B. S. degree in Business Administration/Marketing from California State University, Los Angeles, California he has over 20 years experience directing sales organizations. Responsibilities included: Product development, account development, sales& marketing planning, inventory management and over-all business operations management. Francorp is very excited to be working with Mr. Smith and looks forward to having such a valuable asset join the franchise consulting team.
Francorp is acknowledged as the world's leader in franchising. Since 1976 Francorp has provided full development programs to help insure the franchise success of over 2,000 businesses. To continue helping businesses expand, Francorp has established a Regional Directors Program. This program allows representatives throughout the country to provide the necessary resources to new business interested in franchising. For more information, visit www.francorp.com or call 310-228-8517.
# # #
FOR INFORMATION
CONTACT:
Francorp
(310-228-8517)
Francorp Welcomes New Regional Director Walter Smith. (Los Angeles, CA) - Francorp is proud to announce that Walter Smith has been appointed the Regional Director of the Greater Los Angeles Area. Walter holds a B. S. degree in Business Administration/Marketing from California State University, Los Angeles, California he has over 20 years experience directing sales organizations. Responsibilities included: Product development, account development, sales& marketing planning, inventory management and over-all business operations management. Francorp is very excited to be working with Mr. Smith and looks forward to having such a valuable asset join the franchise consulting team.
Francorp is acknowledged as the world's leader in franchising. Since 1976 Francorp has provided full development programs to help insure the franchise success of over 2,000 businesses. To continue helping businesses expand, Francorp has established a Regional Directors Program. This program allows representatives throughout the country to provide the necessary resources to new business interested in franchising. For more information, visit www.francorp.com or call 310-228-8517.
# # #
Tuesday, August 26, 2008
Business is Booming for Health Care Franchises
Business is booming for new health care franchises
The doctor's office could be going the way of the restaurant. Local and national numbers suggest an emerging trend among health care providers: More optometrists, chiropractors and other specialists are signing up with franchises, opting for the security of an established brand over the frenzied tug-of-war of an independent practice.
Companies like Massage Envy, a chain offering therapeutic massage services, are burning up Entrepreneur magazine's Franchise 500 list. The Arizona-based company started franchising in 2003 and has since exploded into 439 locations, including 13 in Utah and one more on the way. The breakneck pace earned Massage Envy the No. 2 spot on Entrepreneur's listing of new franchises this year.
It's a similar story for SpinalAid Centers of America, a Florida-based company offering nonsurgical spinal decompression therapy. Having started franchising in 2003, the chain now boasts 142 locations across the United States, including eight in Utah. That was good enough for 18th place among new franchises this year.
Dr. Eric Lee owned Utah's first SpinalAid franchise in American Fork. He founded a private practice there in 2003, but signed up with the national chain in 2005 after meeting with its founder, Dr. Frank Liberti, in Florida. He said he was hesitant at first to give up on his independent practice and join the company, fearing it could reflect an image unrepresentative of his philosophy -- but as he began to see the benefits, those feelings were assuaged.
"I had a lot of ideas," he said. "When I met with them and they said, 'We've already got all this stuff,' I didn't have to do it."
Lee said the biggest advantage he's seen is that SpinalAid handles the business end of things -- coordinating marketing, dealing with insurance companies -- so he can give his undivided attention to healing, rather than worrying about the bottom line.
"I can focus fully on the patients," he said. "I don't have to worry about printing and creating material, creating a brand -- that's all there. That's huge."
Now, Lee can go online and simply click on any number of template ads created by the company. Days later, they're appearing in the newspaper and on TV.
Lee pitched SpinalAid as the safe choice for consumers, too: Like a McDonald's, patients know what to expect in the way of services and pricing at any SpinalAid they enter, whereas billing could vary wildly from one independent practice to another. That's beginning to yield industrywide benefits, he said, where large insurance companies are looking to franchises to help standardize how compensation is awarded for different procedures.
Aaron Massey, a Pleasant Grove man suffering from a bulging disk he sustained while building a shed, visited the store Thursday for a lumbar decompression procedure. Having been treated by independent chiropractors before, he said a friend recommended he try the franchise over conventional offices.
"They're one-on-one with the patients," he said.
Massey said he had no reservations about seeing a franchise provider instead of an independent doctor -- that the potential "McDonald's factor" wasn't an issue.
Optometry chains have led the field of franchised health care for years. Pearle Vision began franchising in 1980, and now maintains 402 independent stores and 496 company-owned ones. It currently holds spot No. 104 on Entrepreneur's Franchise 500 list.
Entrepreneur magazine's staff did not return calls Friday for comment.
www.francorp.com
www.francorpconnect.com
The doctor's office could be going the way of the restaurant. Local and national numbers suggest an emerging trend among health care providers: More optometrists, chiropractors and other specialists are signing up with franchises, opting for the security of an established brand over the frenzied tug-of-war of an independent practice.
Companies like Massage Envy, a chain offering therapeutic massage services, are burning up Entrepreneur magazine's Franchise 500 list. The Arizona-based company started franchising in 2003 and has since exploded into 439 locations, including 13 in Utah and one more on the way. The breakneck pace earned Massage Envy the No. 2 spot on Entrepreneur's listing of new franchises this year.
It's a similar story for SpinalAid Centers of America, a Florida-based company offering nonsurgical spinal decompression therapy. Having started franchising in 2003, the chain now boasts 142 locations across the United States, including eight in Utah. That was good enough for 18th place among new franchises this year.
Dr. Eric Lee owned Utah's first SpinalAid franchise in American Fork. He founded a private practice there in 2003, but signed up with the national chain in 2005 after meeting with its founder, Dr. Frank Liberti, in Florida. He said he was hesitant at first to give up on his independent practice and join the company, fearing it could reflect an image unrepresentative of his philosophy -- but as he began to see the benefits, those feelings were assuaged.
"I had a lot of ideas," he said. "When I met with them and they said, 'We've already got all this stuff,' I didn't have to do it."
Lee said the biggest advantage he's seen is that SpinalAid handles the business end of things -- coordinating marketing, dealing with insurance companies -- so he can give his undivided attention to healing, rather than worrying about the bottom line.
"I can focus fully on the patients," he said. "I don't have to worry about printing and creating material, creating a brand -- that's all there. That's huge."
Now, Lee can go online and simply click on any number of template ads created by the company. Days later, they're appearing in the newspaper and on TV.
Lee pitched SpinalAid as the safe choice for consumers, too: Like a McDonald's, patients know what to expect in the way of services and pricing at any SpinalAid they enter, whereas billing could vary wildly from one independent practice to another. That's beginning to yield industrywide benefits, he said, where large insurance companies are looking to franchises to help standardize how compensation is awarded for different procedures.
Aaron Massey, a Pleasant Grove man suffering from a bulging disk he sustained while building a shed, visited the store Thursday for a lumbar decompression procedure. Having been treated by independent chiropractors before, he said a friend recommended he try the franchise over conventional offices.
"They're one-on-one with the patients," he said.
Massey said he had no reservations about seeing a franchise provider instead of an independent doctor -- that the potential "McDonald's factor" wasn't an issue.
Optometry chains have led the field of franchised health care for years. Pearle Vision began franchising in 1980, and now maintains 402 independent stores and 496 company-owned ones. It currently holds spot No. 104 on Entrepreneur's Franchise 500 list.
Entrepreneur magazine's staff did not return calls Friday for comment.
www.francorp.com
www.francorpconnect.com
Friday, August 22, 2008
Francorp Regional Director - Kent Boxberger
PRESS RELEASE
FOR IMMEDIATE RELEASE FOR INFORMATION CONTACT:
Francorp
(678-462-8646)
Francorp Welcomes New Regional Director
(Atlanta, GA) - Francorp is proud to announce that Kent Boxberger has joined the Regional Directors Program.
For over 25 years, Kent has worked with Fortune 500 companies to grow, expand and increase business success. Over the past 12 years, as President of his own small business, MarketCorp International, Inc., in Atlanta, GA, he has worked in various executive management positions as a consultant with expertise in Sales, Marketing, Advertising, Management, Operations and Training, with dozens of companies in many industries.
Prior to joining Francorp, Kent worked for Bell Atlantic Leasing and Finance, as a Regional Manager facilitating the finance and expansion for business equipment manufacturers, distributors and dealers nationwide. He also worked with large Franchise organizations, providing finance and leasing of multiple unit locations, for expansion on a national scale. In addition, holding various positions and as an executive, he has worked with some of the largest insurance companies, in providing personal and business insurance through agents, brokers and direct sales organizations.
Francorp is acknowledged as the world's leader in franchising. Since 1976 Francorp has provided full development programs to help insure the franchise success of over 2,000 businesses. To continue helping businesses expand, Francorp has established a Regional Directors Program. This program allows representatives throughout the country to provide the necessary resources to new business interested in franchising. For more information, visit http://www.francorp.com/ or call 678-462-8646.
# # #
FOR IMMEDIATE RELEASE FOR INFORMATION CONTACT:
Francorp
(678-462-8646)
Francorp Welcomes New Regional Director
(Atlanta, GA) - Francorp is proud to announce that Kent Boxberger has joined the Regional Directors Program.
For over 25 years, Kent has worked with Fortune 500 companies to grow, expand and increase business success. Over the past 12 years, as President of his own small business, MarketCorp International, Inc., in Atlanta, GA, he has worked in various executive management positions as a consultant with expertise in Sales, Marketing, Advertising, Management, Operations and Training, with dozens of companies in many industries.
Prior to joining Francorp, Kent worked for Bell Atlantic Leasing and Finance, as a Regional Manager facilitating the finance and expansion for business equipment manufacturers, distributors and dealers nationwide. He also worked with large Franchise organizations, providing finance and leasing of multiple unit locations, for expansion on a national scale. In addition, holding various positions and as an executive, he has worked with some of the largest insurance companies, in providing personal and business insurance through agents, brokers and direct sales organizations.
Francorp is acknowledged as the world's leader in franchising. Since 1976 Francorp has provided full development programs to help insure the franchise success of over 2,000 businesses. To continue helping businesses expand, Francorp has established a Regional Directors Program. This program allows representatives throughout the country to provide the necessary resources to new business interested in franchising. For more information, visit http://www.francorp.com/ or call 678-462-8646.
# # #
Monday, August 18, 2008
Francorp Video - Former Client, Auntie Anne's
http://search.smallbusinessschool.org/video.cfm?clip=1064
Key Question:How do I grow my business?
A: Find people who had done what you want to do and hire them.
Q: How can a small business afford all the experts and consultants who are available to offer advice on every topic imaginable?
A: Most don't. Although, carefully chosen experts can save time and heartache. If you use Anne's rule of thumb, you hire experts when you arrive at a place you've never been before that seems to be confusing and perhaps fraught with potential legal problems. While Anne didn't hire a consultant to evaluate her pretzels, she did hire the well-known company, FranCorp to answer the question: Is franchising a good idea for Auntie Anne's?When the answer to that question turned out to be yes, Anne hired the firm to put the documentation in place so that Auntie Anne's would be positioned properly for long-term success.So much about building a business is a "do it yourself" project. But, when you begin to form financial partnerships, it is wise to have the contracts and supporting paperwork put in place by people who know the ropes. Even though there are dollars out up front, it is more cost-effective to pay professionals at the beginning than when a problem arises that could have been prevented. Rule: It is cheaper to have attorneys at the beginning of a relationship that at the end of it.One mentor told me, "If you are a capitalist, you will be sued." Everyone who has run a business for any amount of time knows what I am talking about. Anne was smart and is smart about all the legalities. Don't be cheap or naive when you come to a crossroads. Hire someone who has a map.Think about itAre you over your head when it comes to technology? Would a human resource consultant be able to improve or create an employee manual for you? Might there be an insurance expert who could save you dollars? If your team isn't working smoothly, should you hire someone to lead an in-house seminar or help you figure out who needs to be fired?Clip from: Auntie Anne's PretzelsAnne Beiler says that everyone is teachable and lovable.Gap, Pennsylvania: An angel investor stood by her while bank after bank turned her down because the purpose of this business was to make money then give it away.Meet Anne Beiler, founder f Auntie Anne's Pretzels. Anne's generous spirit is infused throughout this company and it is their secret ingredient. Anne has proven that her franchisees want to run a business built on love. While most franchise companies have to market to find new owners, Anne has to turn away hundreds who want to buy into her concept. Products topped with her love of people make Anne Beiler a leadership example to follow.In 1988 Anne Beiler turned a mistake into a new product. Today, Auntie Anne's Hand-Rolled Soft Pretzels are baked fresh in over 800 locations and are the perfect high carbohydrate, low-fat, back-to-the-basics snack so many people crave. Customers will part with over $500 million a year to enjoy this hot treat.So now, we travel out to Gap in Pennsylvania's Amish Country; it is a simpler place. And though it may be an unlikely place to be running a fast-growing business, maybe there are lessons here for all of us in these hostile times. This business is based on love and on giving. This is the American Dream. It has come alive for all the right reasons.Go to all the videos and key ideas...Go to the homepage of this episode...Auntie Anne's Inc.Anne Beiler, Founder160-A Route 41Gap, PA 17527 717-435-1610 Visit our web site: http://www.auntieannes.com/Office: 717-435-1610Business Classification:Retail Year Founded: 1988 Hire ExpertsYoung employee: Hot tray coming out. ANNE: To really structure what we wanted to do was something that I didn't know how to do. So we had to go outside.
And first of all, my youngest brother had actually gone to business school, and so he came in and really helped departmentalize the organization, and from there, we went to Francorp, which was a company based out of Chicago, Illinois. They are a franchise consulting company. And they helped us with--they took our licensing agreement to an official franchise agreement, which was a great help, which you really need that. If you're going to franchise, you really need to have the documentation in place, and you need to have an agreement that is good for you and it's good for the customers, for the franchisee. And in this agreement, you need to make sure that you're protected, but you also need to make sure that the franchisee is protected from the franchisor.
Because it's really a two-way street. And so if you understand franchising, a good way to understand it is to see it as a partnership for the rest of your life, more like a marriage.
www.francorp.com
Key Question:How do I grow my business?
A: Find people who had done what you want to do and hire them.
Q: How can a small business afford all the experts and consultants who are available to offer advice on every topic imaginable?
A: Most don't. Although, carefully chosen experts can save time and heartache. If you use Anne's rule of thumb, you hire experts when you arrive at a place you've never been before that seems to be confusing and perhaps fraught with potential legal problems. While Anne didn't hire a consultant to evaluate her pretzels, she did hire the well-known company, FranCorp to answer the question: Is franchising a good idea for Auntie Anne's?When the answer to that question turned out to be yes, Anne hired the firm to put the documentation in place so that Auntie Anne's would be positioned properly for long-term success.So much about building a business is a "do it yourself" project. But, when you begin to form financial partnerships, it is wise to have the contracts and supporting paperwork put in place by people who know the ropes. Even though there are dollars out up front, it is more cost-effective to pay professionals at the beginning than when a problem arises that could have been prevented. Rule: It is cheaper to have attorneys at the beginning of a relationship that at the end of it.One mentor told me, "If you are a capitalist, you will be sued." Everyone who has run a business for any amount of time knows what I am talking about. Anne was smart and is smart about all the legalities. Don't be cheap or naive when you come to a crossroads. Hire someone who has a map.Think about itAre you over your head when it comes to technology? Would a human resource consultant be able to improve or create an employee manual for you? Might there be an insurance expert who could save you dollars? If your team isn't working smoothly, should you hire someone to lead an in-house seminar or help you figure out who needs to be fired?Clip from: Auntie Anne's PretzelsAnne Beiler says that everyone is teachable and lovable.Gap, Pennsylvania: An angel investor stood by her while bank after bank turned her down because the purpose of this business was to make money then give it away.Meet Anne Beiler, founder f Auntie Anne's Pretzels. Anne's generous spirit is infused throughout this company and it is their secret ingredient. Anne has proven that her franchisees want to run a business built on love. While most franchise companies have to market to find new owners, Anne has to turn away hundreds who want to buy into her concept. Products topped with her love of people make Anne Beiler a leadership example to follow.In 1988 Anne Beiler turned a mistake into a new product. Today, Auntie Anne's Hand-Rolled Soft Pretzels are baked fresh in over 800 locations and are the perfect high carbohydrate, low-fat, back-to-the-basics snack so many people crave. Customers will part with over $500 million a year to enjoy this hot treat.So now, we travel out to Gap in Pennsylvania's Amish Country; it is a simpler place. And though it may be an unlikely place to be running a fast-growing business, maybe there are lessons here for all of us in these hostile times. This business is based on love and on giving. This is the American Dream. It has come alive for all the right reasons.Go to all the videos and key ideas...Go to the homepage of this episode...Auntie Anne's Inc.Anne Beiler, Founder160-A Route 41Gap, PA 17527 717-435-1610 Visit our web site: http://www.auntieannes.com/Office: 717-435-1610Business Classification:Retail Year Founded: 1988 Hire ExpertsYoung employee: Hot tray coming out. ANNE: To really structure what we wanted to do was something that I didn't know how to do. So we had to go outside.
And first of all, my youngest brother had actually gone to business school, and so he came in and really helped departmentalize the organization, and from there, we went to Francorp, which was a company based out of Chicago, Illinois. They are a franchise consulting company. And they helped us with--they took our licensing agreement to an official franchise agreement, which was a great help, which you really need that. If you're going to franchise, you really need to have the documentation in place, and you need to have an agreement that is good for you and it's good for the customers, for the franchisee. And in this agreement, you need to make sure that you're protected, but you also need to make sure that the franchisee is protected from the franchisor.
Because it's really a two-way street. And so if you understand franchising, a good way to understand it is to see it as a partnership for the rest of your life, more like a marriage.
www.francorp.com
Saturday, August 16, 2008
Soul De Cuba Cafe
The Soul of Crown Street
Nicole D'Andrea, Senior Writer
08/06/2008
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If you go... Soul de Cuba 283 Crown St., New Haven; 203-498-cuba; souldecuba.com What makes a city a city isn't something you can exactly put your finger on but when you feel it, you know it.
That's sort of the best way to explain the vibe of Soul de Cuba, tucked away on the corner of Crown and High streets.
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Just 40 seats for dining and only a handful of stools at the bar, Soul de Cuba embodies everything that is the lifeblood of New Haven. Think diversity in culture, historically accurate native cuisine and of course, authenticity of ownership.
Birthed by New Haven staple Yoon Kim, son of Sung Kim who has operated Seoul Restaurant on Crown Street for many years and brothers Jesus and Robert Puerto, Soul de Cuba has solidified itself as a New Haven necessity since its doors opened in January 2005.
Shortly after opening the first location- about one year- Jesus revisited his past, traveling to the South Pacific where he used to do work for the Peace Corps and launched a second Soul de Cuba in Honolulu, Hawaii across the street from the Hawaii Theater.
Hailing from an international relations background, Jesus shares that he and his partners are now finalizing the details for a global franchise expansion of Soul de Cuba which coincides with the debut of the restaurant's new line of homemade mango salsa, honey balsamic vinaigrette dressing and mojo marinade which are sold in store and are coming soon to participating supermarket shelves.
Phoning in from Hawaii- he gets to run this location while little brother Robert mans the New Haven locale- Jesus explains, right now he's at a crossroads with his business and he's hoping to figure out what is the best way to replicate the Soul de Cuba concept on a national level and become one of, if not, the first chain of Cuban eateries.
But before this Afro-Cuban enclave takes the world by storm, it's important to consider where it came from and who the Puertos are.
Though Jesus has a lengthy background serving in the international relations field- he came to New Haven through Paul Newman's Association of Hole In The Wall Camps to serve Thailand, Southern Africa and Japan- his family's past is deep rooted in Cuban cuisine.
Coming to the Tampa area of Florida, at the turn of 19th century, Jesus' great grandfather Santiago Gonzalez settled in Ybor City, which is the oldest Cuban-American community in the U.S.
The Puerto's family established themselves in Ybor and became well-known bakers. Even today, Robert says, they have a cousin who has taken up the baking trade in Ybor.
Generations of Afro-Cubans from the Puerto lineage have contributed to the flavor and style of Sol de Cuba and when speaking of franchising in terms of a restaurant "concept" it's sort of impossible to do so because the mantra of the restaurant is anything but trendy, stylish or en vogue. There's no "concept" per-se because it's real, right down to the family photos, which adorn the walls and even the cigar box tops that decoupage the bar top- yes, the Puerto family was also cigar rollers in Ybor City.
By way of food, diners can delight in the traditional marinated pork, a famous Cuban dish called lechon asado where the meat is marinated 24 hours in mojo- a creamy blend of citrus, oregano and garlic- before cooking.
But also on the menu, there are dishes that aim to highlight the unique Afro-Cuban heritage that the brothers share. Jesus explains that in addition to meals bearing the namesake of their past, it's the paintings of Afro-Cuban spirituality and respect for family that really puts the soul in Soul de Cuba.
Rabo encendido, traditional oxtail stew shares a place on the menu with Abuela's sopa de frijoles negros and less conventional dishes like Robert's pollo Soul de Cuba.
Cooking for almost half his life, Robert has taken the reins of the business from behind the stove and says he continues to try to represent the Cuban and Afro-Cuban cultures with his food while also taking into consideration the importance of creating new dishes with more contemporary ideals.
Before the rest of the world has the opportunity to delight in the wondrous multi-sensory experience of Sol de Cuba, which wakes your mind and taste buds simultaneously, take advantage of dining in the New Haven location where it all started (283 Crown St., New Haven; 203-498-cuba).
The Spread: Lunch entrees $11-$16, sandwiches $7-$9, appetizers $7-12, dinner entrees $12-$21.Signature: Soul de Cuba offers jars of homemade mango salsa and bottles of honey balsamic vinaigrette dressing and mojo marinade for sale in store, and soon on participating supermarket shelves. Also, make sure to order the Puerto family recipe sangria or a classic Cuban mojito.
Beyond the food: Monthly, you can come enjoy drum nights at as the restaurant is turned from a dining space to a dancing frenzy. Check souldecuba.com for dates.What we ate: Pollo Soul de Cuba, $18 (Marinated chicken breasts (overnight) pan fried and served with Chef Robert's special salsa of mango, black beans, red onion and rum, served over arroz blanco and plantanos maduros.
What we thought: Soul de Cuba is the epitome authentic and represents the best of New Haven's multicultural cuisine. If you're interested in having some imported wines or Cuban influenced drinks, this is one the city's most romantic spots to do so. If you're dining, Soul de Cuba is known for making traditional Afro-Cuban food with a contemporary twist- evidence of its success is the sweet and hearty Pollo Soul de Cuba.
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Nicole D'Andrea, Senior Writer
08/06/2008
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If you go... Soul de Cuba 283 Crown St., New Haven; 203-498-cuba; souldecuba.com What makes a city a city isn't something you can exactly put your finger on but when you feel it, you know it.
That's sort of the best way to explain the vibe of Soul de Cuba, tucked away on the corner of Crown and High streets.
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Just 40 seats for dining and only a handful of stools at the bar, Soul de Cuba embodies everything that is the lifeblood of New Haven. Think diversity in culture, historically accurate native cuisine and of course, authenticity of ownership.
Birthed by New Haven staple Yoon Kim, son of Sung Kim who has operated Seoul Restaurant on Crown Street for many years and brothers Jesus and Robert Puerto, Soul de Cuba has solidified itself as a New Haven necessity since its doors opened in January 2005.
Shortly after opening the first location- about one year- Jesus revisited his past, traveling to the South Pacific where he used to do work for the Peace Corps and launched a second Soul de Cuba in Honolulu, Hawaii across the street from the Hawaii Theater.
Hailing from an international relations background, Jesus shares that he and his partners are now finalizing the details for a global franchise expansion of Soul de Cuba which coincides with the debut of the restaurant's new line of homemade mango salsa, honey balsamic vinaigrette dressing and mojo marinade which are sold in store and are coming soon to participating supermarket shelves.
Phoning in from Hawaii- he gets to run this location while little brother Robert mans the New Haven locale- Jesus explains, right now he's at a crossroads with his business and he's hoping to figure out what is the best way to replicate the Soul de Cuba concept on a national level and become one of, if not, the first chain of Cuban eateries.
But before this Afro-Cuban enclave takes the world by storm, it's important to consider where it came from and who the Puertos are.
Though Jesus has a lengthy background serving in the international relations field- he came to New Haven through Paul Newman's Association of Hole In The Wall Camps to serve Thailand, Southern Africa and Japan- his family's past is deep rooted in Cuban cuisine.
Coming to the Tampa area of Florida, at the turn of 19th century, Jesus' great grandfather Santiago Gonzalez settled in Ybor City, which is the oldest Cuban-American community in the U.S.
The Puerto's family established themselves in Ybor and became well-known bakers. Even today, Robert says, they have a cousin who has taken up the baking trade in Ybor.
Generations of Afro-Cubans from the Puerto lineage have contributed to the flavor and style of Sol de Cuba and when speaking of franchising in terms of a restaurant "concept" it's sort of impossible to do so because the mantra of the restaurant is anything but trendy, stylish or en vogue. There's no "concept" per-se because it's real, right down to the family photos, which adorn the walls and even the cigar box tops that decoupage the bar top- yes, the Puerto family was also cigar rollers in Ybor City.
By way of food, diners can delight in the traditional marinated pork, a famous Cuban dish called lechon asado where the meat is marinated 24 hours in mojo- a creamy blend of citrus, oregano and garlic- before cooking.
But also on the menu, there are dishes that aim to highlight the unique Afro-Cuban heritage that the brothers share. Jesus explains that in addition to meals bearing the namesake of their past, it's the paintings of Afro-Cuban spirituality and respect for family that really puts the soul in Soul de Cuba.
Rabo encendido, traditional oxtail stew shares a place on the menu with Abuela's sopa de frijoles negros and less conventional dishes like Robert's pollo Soul de Cuba.
Cooking for almost half his life, Robert has taken the reins of the business from behind the stove and says he continues to try to represent the Cuban and Afro-Cuban cultures with his food while also taking into consideration the importance of creating new dishes with more contemporary ideals.
Before the rest of the world has the opportunity to delight in the wondrous multi-sensory experience of Sol de Cuba, which wakes your mind and taste buds simultaneously, take advantage of dining in the New Haven location where it all started (283 Crown St., New Haven; 203-498-cuba).
The Spread: Lunch entrees $11-$16, sandwiches $7-$9, appetizers $7-12, dinner entrees $12-$21.Signature: Soul de Cuba offers jars of homemade mango salsa and bottles of honey balsamic vinaigrette dressing and mojo marinade for sale in store, and soon on participating supermarket shelves. Also, make sure to order the Puerto family recipe sangria or a classic Cuban mojito.
Beyond the food: Monthly, you can come enjoy drum nights at as the restaurant is turned from a dining space to a dancing frenzy. Check souldecuba.com for dates.What we ate: Pollo Soul de Cuba, $18 (Marinated chicken breasts (overnight) pan fried and served with Chef Robert's special salsa of mango, black beans, red onion and rum, served over arroz blanco and plantanos maduros.
What we thought: Soul de Cuba is the epitome authentic and represents the best of New Haven's multicultural cuisine. If you're interested in having some imported wines or Cuban influenced drinks, this is one the city's most romantic spots to do so. If you're dining, Soul de Cuba is known for making traditional Afro-Cuban food with a contemporary twist- evidence of its success is the sweet and hearty Pollo Soul de Cuba.
www.francorp.com
www.francorpconnect.com
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