Franchising is our business. If youre thinking of franchisng your business but dont know whats involved, this is where you can find the answers. At FranchiseYourBusiness.ie we offer a complete consultancy service for start up and established Franchisors. With many years experience of growing businesses through franchising, we can take the client through the entire process, quickly and efficiently, to make it a success. We advise on everything from franchise agreements, fees and royalties, operation manuals, lead generation, PR, advertising and marketing, and franchise support. Apart from setting up the system, we can provide ongoing management of the project, recommending a cost effective method of generating leads and actively negotiate with potential franchisees to make the all-important sales.

USA

The USA has 3,000 Franchisors and a new franchise opens every eight minutes of every business day. Franchising is responsible for 1 in 12 retail outlets, generating 18 million jobs and an annual payroll of 500 billion. It accounts for 40 per cent of all retail sales.

UK

The number of Franchisors in Britain exceeds 700 with 35,000 Franchisees employing 333,000 people and generating annual sales of 12,4 billion.

Ireland

The franchise market in Ireland shows incredible growth averaging 12 per cent per year. There are now 270 Franchisors with 2,400 Franchisees employing 20,000 people and generating sales of 1.5 billion in 2007. Because of customer recognition of franchise brands, a franchise is a particularly attractive tenant for a shopping centre as is shown by the high percentage of franchised businesses operating in new shopping centres in urban areas.

The main benefits of franchising as a means of expanding a business are.

Rapid growth without large scale capital investment the capital used to expand the network comes from the franchisees

The expansion of the business is in the hands of people with local knowledge, who are motivated to make the business successful

Rapid expansion speeds consumer recognition of the brand.

Franchise Your Business operates in every part of Europe. If you plan to franchise your business you can rely on us for professional, cost effective, specialist advice. We can take you through the entire process, quickly and efficiently, to make it a success.  

For example, we can Draft the Agreements, Set fees and royalties, Generate leads, Develop operations manuals, Prepare advertising, Advise on Public Relations,  Join Franchise Associations,  Screen potential franchisees, Close franchise sales,  Provide training and franchise support If you are planning to franchise your business, we should be talking.

FranchiseYourBusiness

57 Clontarf Road Clontarf Dublin 3 

Tel 01 8537309  Mob 087 2449186  Email This e-mail address is being protected from spambots. You need JavaScript enabled to view it

Terms Franchise Agreement

A legally binding contract defining the obligations of the Franchisor and Franchisee throughout the period of the operation of the franchise. It defines the duration of the contract usually five years the territory in which the Franchisee will conduct business often outlined on a map and annexed to the contract and the level, frequency, and method of payment of all continuing fees. It may also include equipment specifications, extension and termination clauses and the conditions under which either party may terminate or extend their business arrangement. The Operations Manual may be an integral part of the agreement, obliging the Franchisee to follow the strictly defined business method laid out in it. By nature of the relationship, the franchise agreement will favour the Franchisor, as the Franchisor must at all times remain in control over certain standards critical to the ongoing success of the business format. 

Franchise unit

An individual franchise outlet, whether company-owned or franchised. It is possible for a Franchisee to operate more than one unit of the Franchise.

Franchise territory

Most Franchisors will grant franchises on a demographic basis, allowing the franchisee to draw on a population large enough to sustain his business without competition from another franchise in the same network. London might have 50 franchises, Leicester 15, but a small town may only support one unit. A Franchisee may buy more than one franchise in his particular territory if he feels the market is ready for it. The boundary of the franchised territory may be defined on a map and annexed to the franchise contract.

Operations Manual

The rule book for the operation of the Franchise. It sets out, explicitly, the complete method for conducting the franchised business on a day-to-day basis. The manual is subject to regular updating, reflecting modification to methods or systems in response to market or other trends. The Operations Manual is a handy how to reference book for both the franchisee and his staff and will cover every eventuality, including how to handle complaints, media enquiries-even harassment in the workplace. Its purpose is to ensure that everyone in the system works to the same guidelines, and that every outlet in the network provides exactly the same service.

Franchise package

The franchise package gives tangible form to the business. It brings together its elements, reflecting the accumulation of the Franchisors total operating experience. It specifies the range of items that must be purchased to ensure a uniform image is presented to the customer. In a retail outlet the package may include the shop front, layout and design, product display, fixtures and fittings and equipment necessary to operate the business. In a service franchise, the package may include business stationery and promotional literature.

Initial franchise fee

This is set by the Franchisor and covers his expenses in recruiting, training, and setting up the Franchisee in business. It also covers areas such as site selection and design. The fee for a blue collar franchise can be anything from 7,500 to 15,000, depending on whats in the franchise package, while a professional or white collar franchise, where annual earnings can be potentially much greater can be upwards of 25,000.

Continuing fees

Continuing fees include the management services fee MSF or royalty, a payment usually made on a monthly basis by the Franchisee to either the Franchisor or Master Franchisee. It is usually calculated as a percentage of the Franchisees gross turnover excluding VAT. Other continuing fees are the straight fee or minimum payment made irrespective of turnover to ensure a steady income for the Franchisor.

Advertising levy

This is a small percentage of the Franchisees turnover which goes towards the systems advertising and promotional activities. Most Franchisors will make this levy a condition of the franchise contract, while others will not. Although the Franchisor may agree to provide some input into the advertising and marketing costs, the Franchisee is still required to contribute the majority of the funds required. This fund is administered by the Franchisor but used in consultation with the Franchisees who may recommend whether the money is spent locally or nationally. National advertising creates a recognisable brand which should more than compensate the Franchisee by improving his sales.

Master Franchisee

An individual or company who negotiates the franchise rights for a particularly large territory-usually a country or a region-and administers the franchise system for the Franchisor in that territory for the term of the contract. The Master Franchisee has the right to appoint, train, and receive fees from his or her franchise. In return, he or she pays the Franchisor a share of both initial and continuing fees received from franchises opened in the territory. Master Franchising is most common in international franchising.

For more Franchising information please contact, This e-mail address is being protected from spambots. You need JavaScript enabled to view it