http://www.franchising.com/ Franchising.com provides detailed informative feature articles, franchising information, opportunities, and valuable resources for franchisees. en-us benjaminf@franchiseupdatemedia.com (Franchising.com) Tue, 09 Feb 2010 14:35:55 PST Copyright 2010 Franchise Update Media Group. All rights reserved. http://www.franchising.com/images/franchising_xml.gif http://www.franchising.com/ 135 40 http://www.franchising.com/howtofranchiseguide/the_traits_and_attributes_of_a_successful_retail_franchisee.html Last week we discussed the obstacles involved in becoming a retail franchisee. This week, we examine what traits and attributes franchisors with retail concepts look for in their franchisee prospects and candidates. Follows the system - The franchisor's operating system has been developed, refined, tested, and proven over time in many locations. It works. And it's one of the major reasons you signed on to become a franchisee. The wheel has been invented. Your job is to ride it as agree to do when you sign the franchise agreement. Franchisors know that a customer entering any of their retail locations expects the product or service to be identical with that of every other location - and they expect their franchisees to deliver it the same way every day. Replication is the secret sauce of franchising. However, if you have what you think is a better idea, share it with your franchisor. http://www.franchising.com/howtofranchiseguide/the_traits_and_attributes_of_a_successful_retail_franchisee.html Tue, 02 Feb 2010 09:30:00 PST http://www.franchising.com/howtofranchiseguide/what_franchisors_look_for_in_a_retail_franchisee.html Last night, you and the family celebrated your birthday with dinner at your favorite sit-down restaurant, a well-known franchised brand. After the usual great meal -- including a hearty greeting from the host and the owner -- you stopped in at your favorite ice cream emporium, also a franchise. (We won't name names here; you know what you like!) On the way home, your kids said they wanted you to own a restaurant and ice cream store "just like the ones we ate in tonight!" You laughed it off, but the next morning on the way to work, stuck in traffic, you began to wonder… "Wouldn't it be great to be in charge of my own business, serve great food, and become a place people love to come to for a good time? And think of all the money I could make! Is this something I should do?" http://www.franchising.com/howtofranchiseguide/what_franchisors_look_for_in_a_retail_franchisee.html Thu, 28 Jan 2010 10:00:00 PST http://www.franchising.com/howtofranchiseguide/the_right_fit__franchise_culture.html It sounds cliched, but leadership really does begin at the top. It's the attitudes and behavior of the CEOs, VPs, and other executives who set the tone for how well the franchise brand operates and grows. What's modeled at the top trickles down to all other areas of the brand. Optimism, integrity, teamwork, and recognition are all characteristics of strong leadership. Amazingly, leadership and a culture of healthy productivity are not that difficult to create. As you review franchise brands - talking to both franchise executives and franchisees - keep an eye out for the following signs. http://www.franchising.com/howtofranchiseguide/the_right_fit__franchise_culture.html Thu, 21 Jan 2010 08:00:00 PST http://www.franchising.com/howtofranchiseguide/the_right_fit__franchise_leadership_and_culture.html Let's face it, if you are looking into franchising, there's a pretty good chance that one of the reasons is that you are in search of a "culture" or leadership style that is a better fit than your career has been providing you thus far. Maybe you're coming from a background of working for a heavy-handed boss or a system that rejected forward thinking. You're beginning to see that strong leadership and a good cultural fit are important for your personal and professional success. Many franchise brands can offer this. When you begin searching for a franchise that might be a good fit for you, you will definitely want a sense of the system's culture and its leadership style. For example, when you begin dealing with the sales person, take careful note of their attitude, tone, and overall personality dynamic. Do they seem to really believe in the brand? Do they seem truly interested in telling you about the brand and determining if you would be a good fit? Chances are these "gatekeepers" are a reflection of the entire system. http://www.franchising.com/howtofranchiseguide/the_right_fit__franchise_leadership_and_culture.html Tue, 12 Jan 2010 10:00:00 PST http://www.franchising.com/howtofranchiseguide/nontraditional_locations.html One of the best ways for a new franchisee to get in on the action in franchising is by choosing a nontraditional location. Why? For starters, try reduced franchise fees, lower overall startup costs, smaller real estate fees (none for kiosks), fewer employees, and for some, the option of beginning part-time. "Nontraditional" locations include airports, college campuses, sporting events, concerts, stadiums, hospitals, military bases, government offices, convention centers, highway rest stops and turnpike plazas, even large companies - anywhere large numbers of people congregate, pass through, or live. http://www.franchising.com/howtofranchiseguide/nontraditional_locations.html Tue, 05 Jan 2010 09:00:00 PST http://www.franchising.com/howtofranchiseguide/complementary_branding_adds_another_twist.html It's not difficult to see the opportunities offered by co-branding. Teaming related concepts together in one central location can certainly offer benefits in many situations. But even if you don't co-brand in the same location, there's a related twist some franchisees have used effectively by turning to complementary brands. Portland, Oregon multi-unit operator Steve Foltz knows all about the technique. Foltz got into the franchising business almost by accident following college in the mid-1980s. He was working as an assistant manager at a restaurant while job searching when he realized the restaurant business might offer a future of its own. A friend of his was in franchising and looking for a partner. Within a year the new partners had opened three Cinnabon's in the Portland area. http://www.franchising.com/howtofranchiseguide/complementary_branding_adds_another_twist.html Wed, 23 Dec 2009 10:00:00 PST http://www.franchising.com/howtofranchiseguide/cobranding_offers_the_best_of_both_worlds.html Co-branding has been described as the combining and retaining of two or more brands to create a single, unique product or service. No matter how you describe it, it's a strategy that has really taken off in franchising during the past few years. You've probably been on a road trip and come across a McDonald's or Subway paired with a service station. That's co-branding. When properly done, it's simply a business strategy that makes sense. After all, if you're on a lengthy drive, you'll need to eat and refuel the car - why not take care of it all in one stop? What co-branding boils down to is leverage and efficiencies, but it requires the right brands, the right management, and the right time and place. For many franchise brands, co-branding can be a perfect strategy. Combine complementary or compatible brands or concepts, a single location (with shared space, equipment, and cross-trained employees), and you can create a win-win situation. http://www.franchising.com/howtofranchiseguide/cobranding_offers_the_best_of_both_worlds.html Wed, 09 Dec 2009 10:30:00 PST http://www.franchising.com/howtofranchiseguide/master_franchising_entering_the_game_at_a_higher_level.html Master franchising is a form of the franchisor-franchisee relationship in which the master franchisee essentially becomes a mini-franchisor for a specified territory. Within that territory, the master franchisee recruits, trains, and provides ongoing support to each franchisee they sign. In exchange, the master franchisee receives a large percentage of the initial franchise fee and ongoing royalties, typically 50 percent, though it varies. The master franchisee usually agrees to a development schedule, which can include owning and operating their own units. http://www.franchising.com/howtofranchiseguide/master_franchising_entering_the_game_at_a_higher_level.html Tue, 01 Dec 2009 09:00:00 PST http://www.franchising.com/howtofranchiseguide/area_representation.html Prospective franchisees have several different entry points into franchising. The most common entry path for a new franchisee is to sign on for a single unit and operate it. Other options include multi-unit franchising, area development, master franchising (also known as subfranchising), and area representation. This article focuses on area representation. However, since different franchisors define some of the above terms differently, some quick definitions are in order before proceeding. (Note: In practice, these terms, and the distinctions between them, are often more complex than we have room to discuss here. A good franchise lawyer can help you sort out the pros and cons of each, in terms of how they meet your business goals.) http://www.franchising.com/howtofranchiseguide/area_representation.html Wed, 25 Nov 2009 08:00:00 PST http://www.franchising.com/howtofranchiseguide/how_a_franchise_goes_global.html Taking a franchise brand international requires research, dedication, and a lot of hard work. And as we looked at last time, it requires strong relationships with the right people on the ground in the international countries. People like Americans Jake Weinstock and Paul Kuebler, who teamed up with Russian entrepreneur Vladimir Grumlik, to open Gold's Gym franchises. Weinstock and Kuebler had been living and working in Russia during the early 1990s immersing themselves in the language, business climate, and culture of the nation. The two identified a need for health-themed workout facilities in the former Soviet Union. When they met Grumlik, a Russian entrepreneur who had helped open some Nike stores among other endeavors in his native homeland, they knew they were on to something. They borrowed money from friends, families, and financial institutions to open their first Gold's Gym franchise in Moscow at the end of 1996. http://www.franchising.com/howtofranchiseguide/how_a_franchise_goes_global.html Tue, 17 Nov 2009 10:00:00 PST