Security

In our previous column, we covered the first two elements of security and loss prevention when setting up a new business: site selection and employee screening. This issue we look at alarm systems.

Once you've selected a location for success and hired great employees for your team, it's time to turn your attention (and a portion of your budget) to protecting these valuable assets!

Certainly, the type of business you're conducting can determine the risk level and accordingly, the kinds of security tools you'll want to use. A jewelry store has a far different security profile and needs than a greeting card store or a fast-food restaurant. If the business is open late, has large cash transactions, or has high-value inventory, you may want to speak with a security consultant...

Lyndon Johnson has high standards and expectations

Reciprocity Restaurant Group President Lyndon Johnson good-naturedly lets new acquaintances have a little fun with his name. That's because he's fine with his name. "I can think of a lot worse people to share a name with," he says.

But when the joke is over, Johnson, who holds a degree in business administration from Northwood University in Midland, Mich., is ready to get down to business. And it's no accident this rabid sports fan describes his day-to-day function running his company's 13 Church's Chicken restaurants as "head coach."

A COO runs his day-to-day operations, with general managers at every location, and HR, training, and accounting are outsourced...

While there are many good reasons to implement an automated employee scheduling system (two of the more obvious being to control labor costs and improve customer service), few employers realize that there are two additional important benefits to be realized.

The first is how these systems reduce employee turnover. The second is how they make your managers' jobs far easier.

These kinds of systems reduce costly employee turnover because your best people are usually the ones who prefer to be kept busy. These systems do just that by optimizing schedules to synch perfectly with demand. Many of these systems also take into account each employee's preferred working hours and days so your people feel more in control of their lives...

This report compares ten systems in the beauty industry: five in the tanning centers sub-sector and five in the hair care sub-sector. FRANdata examines the initial investment, unit financial performance and the ongoing fees of the systems.

The average initial investment for the sample is $337,065. The two sub-sectors display a significant difference in their initial cost estimates: $196,619 for the hair care and $424,844 for the tanning sub-sector. The higher costs of the latter are due to large tanning equipment expenses. In fact, tanning and related equipment is the largest item comprising initial investment for the tanning sub-sector. Leasehold improvements is the largest for the hair care sub-sector.

The large initial investment for the tanning salons impacts the initial investment per square foot measures...

Originally printed in Area Developer Magazines Issue II 2008, the 2008 Top 100 Power Zees examines the top 100 most successful franchisees by the number of units they operate.

Originally printed in Area Developer Issue I 2008, the 2008 Mega 99 rankings highlight the Top 99 Multi-Unit Operates broken down by brands operated and by industry.

Reduce employee theft and boost your bottom line

After my workshop on loss prevention and security at Franchise Update's Multiunit Franchising conference this past April in Scottsdale, attendees made their desire clear for more information on the topic--and for specific tactics they could employ to improve profitability. After all, every dollar not lost to employee or customer theft (or some other form of controllable loss), falls directly to the bottom line.

Studies show annual losses from employee theft in the retail sector cost owners between $20 billion and $40 billion annually, a figure that continues to rise each year--and that as many as 30 percent of the businesses that fail in a given year are harmed by losses caused by crime from employees or outsiders...

When we visited with Hank Huth last year, the franchising veteran was keeping busy overseeing his 23 Blockbuster Video locations and 7 Palm Beach Tan units. He had an eye on expanding his Palm Beach Tan portfolio and he did just that in 2007, adding 3 more and winning the company's 2007 Developer of the Year Award. But that's not all he's been busy developing.

But first, a quick look back at how Huth got to where he is today.

The one-time banker took "a leap of faith" in the 1980s as a result of a chance meeting with some executives at Blockbuster Video. Huth didn't have any franchising experience, but his friend (and soon to be partner) Tim Nolan did. The two teamed up and it turned out to be a perfect match, as the two have gone on to develop five different franchise concepts over the past two decades...

Linda Fong moves ahead in her own special way

With her high energy and positive attitude, it's no surprise that Linda Fong is a successful multi-brand, multiunit franchisee. However, like many franchisees, she's not one of those who made a plan and followed a straight line to that success. But it's the detours and her individualism that have taught her what she needed.

"I remember getting a review from one of my bosses, and they indicated 'Linda is a valuable asset, but needs to mature a bit more to...' I think I was all of 22, and I didn't pay attention to the first part of the sentence because I was so insulted with the latter part. What do they mean I need to mature? I know of what he spoke now," she says.

Her meandering route, which took place in and around the San Francisco Bay Area, included working for PG&E (a large California utility company) for several years before joining her husband at his salon, kenz!, in Alameda...