Franchising usa T he ma g a z ine for franchisees
VOL 03, ISSUE 6, april 2015
$5.95 www.franchisingusamagazine.com
improving
Franchise sales
Liberty Tax Our Company Our Culture which
franchise to buy main feature
Pets & Franchising LATEST NEWS
FINANCIAL ADVICE FROM THE BANKS
TOP LAWYERS’ ADVICE
Page 3
Franchising usa T he ma g a z ine for franchisees
FRANCHISING USA VOLUME 3, ISSUE 6, APRIL 2015 president: Colin Bradbury. colin@cgbpublishing.com
Publisher: Vikki Bradbury. vikki@cgbpublishing.com
Advertising Sales: Kimberly Kutnick kimberlyk@cgbpublishing.com
Editorial Department: editor@cgbpublishing.com
Editorial team: Rob Swystun Gina Gill
Production: usaproduction@cgbpublishing.com
DESIGN: Jejak Graphics. jejak@bigpond.com
COVER IMAGE: liberty tax service CEO and Founder John T. Hewitt
CGB PUBLISHING Canadian Office: 676 Wain Road, Sidney B.C Canada V8L 5M5 U.S. Office: 800 5th Ave, #101 Seattle, WA 98104-3102 Sales: 847 607 8407 Editorial: 778 426 2446 www.franchisingusamagazine.com Proud member of the IFA:
SUPPLIER FORUM International Franchise Association 1501 K Street, N.W., Suite 350 Washington, D.C. 20005 Phone: (202) 628-8000 Fax: (202) 628-0812 www.franchise.org
from the
Publisher Spring is in the air and what a great time to start something new! This issue of Franchising USA has some great advice and wonderful Franchise opportunites for you to explore. On the cover we have Liberty Tax Service who are the fastest-growing tax preparation franchise in the business. Take a look at their story on page 10. As always we have some great Expert advice from our regular contributors covering a wide range of topics to help you in the decision process. Kyle Zagrodzky discusses the reality of staying in touch and maintaining a positive culture of cohesion and solid communication in his article “Seven ways to improve franchisee communication”. Craig Coleman co-founder and ceo of Forwardline (the first company in America to offer Merchant loans). looks at the topic of Merchant Loans for Franchisees and the need for capital that can come in many forms.
Making dollars and cents of private equity is a subject covered by Mark Fleischer and Lisa Manetta of Plante Moran. Did you know that according to data sourced from pitchbook platform, more than $500 billion of private equity (PE) funds were invested globally in 2014, compared to $316 billion in 2013 , that is quite a substantial figure. These are just a few of the many experts we have in this bumper issue. Our ever popular Veterans in Franchising has First Light Home Care on the cover and we look at one of their Franchisees Eric Friedrich a Veteran with the Air Force. Franchising USA strives to do great stories and in depth interviews with Franchisors and Franchisees and in this issue we have some great ones. I hope you enjoy this issue and don’t forget to keep sending me your emails. Happy Reading! Vikki Bradbury Publisher
“It is better to be prepared for an opportunity and not have one, than to have an opportunity and not be prepared.” - Whitney Young Jr.
The information and contents in this publication are believed by the publisher to be true, correct and accurate but no independent investigation has been undertaken. Accordingly the publisher does not represent or warrant that the information and contents are true, correct or accurate and recommends that each reader seek appropriate professional advice, guidance and direction before acting or relying on all information contained herein. Opinions expressed in the articles contained in this publication are not necessarily those of the publisher. The publication is sold subject to the terms and conditions that it shall not be copied in whole or part, resold, hired out, without the express permission of the publisher.
Franchising USA
APRIL 2015
On the Cover 26 Feature Article
Liberty Tax
74
20 Improving Franchise Sales Christopher Conner, Franchise Marketing Systems
30
Pets and Franchising
Which Franchise to Buy (Part 3) Lynn Shelton, Shelton & Power
74
10 Cover Story
22 In Every Issue
Spotlight on Service
06 Franchising News Announcements from the Industry
64 Income Store 72 Honkamp Kruger & Co.
26 Feature Article Pets and Franchising 41 Veterans Supplement News and Information for Veterans in Franchising 76 A-Z Franchise and Services Directoy
34
f ra nchising usa
Contents
Franchising USA
16 3 Reasons Leaders Can’t Keep an Open Mind Brian Ray, Business and Management Consultant
f ra nchising usa
12 3 Way’s to be the Type of Boss Employees Love Andy Roe, SurePayroll, Inc.
66
Expert Advice
20 Improving Franchise Sales Christopher Conner, Franchise Marketing Systems 22 Buying Business Software Rolando De La Torre, Jr, Zeehubb
34 Unpaid Internships, Pitfalls and Solutions John Balitis, Fennemore Craig Law Firm 36 Growing Your Existing Franchise Portfolio George Knauf, Franchoice
26
30 Merchant Loans For Franchisees Craig Coleman, ForwardLine
60 What Creates an Above Average Franchise Opportunity David Banfield, The Interface Financial Group 56 7 Ways to Improve Franchisee Communications Kyle Zagrodzky, Osteostrong 66 Making Dollars and Cents of Private Equity Mark Fleischer and Lisa Manetta, Plante Moran 74 Which Franchise To Buy (Part 3) Lynn Shelton, Shelton & Power
Focus 38 One Stop Tax 58 Nutrition Zone
Franchisor In Depth 68 All About Loving Care
Franchisee In Action 14 Bin There Dump That 32 Filta Environmental Kitchen Solutions
50
18 Franchise Foundry
f ra nchising usa
what’s new!
Dessange Group North America is on the Move and Expanding the US Market Franchise signings are up over 70% from previous year Dessange Group North America is rapidly bolstering its footprint in North America by expanding the iconic Fantastic Sams salon franchise, opening new locations of its popular French salon franchise, Camille Albane, and attracting new interest in its luxury Dessange salons and spas. The hair salon segment is seeing strong year-over-year growth and is attracting investors with its stability and high market demand. Fantastic Sams saw a 71% increase in franchise signings from the previous year, and the pipeline of prospects across all three brands is up over 700%. The three salon brands give Dessange Group North America market dominance across the entire industry: the value segment with Fantastic Sams, the upscale salon
segment with Camille Albane and the luxury segment with Dessange. Currently Fantastic Sams has over 1,100 locations open, Camille Albane has nearly 300 and Dessange has nearly 400, spread globally in over 34 countries. Since its recent acquisition by Dessange International, Fantastic Sams has been undergoing a brand evolution, introducing a new store model, a new operating system and a focus on increasing owner profitability. The favorable results demonstrate an all-around increase in store revenues, customer loyalty and brand awareness. Camille Albane and Dessange are newer to the US market but are attracting customers and investors in the upscale and luxury markets. http://fantasticsamsfranchise.com
Valpak - continuING to excite consumers For nearly five decades, Valpak has helped consumers save money and enjoy a better lifestyle, with deals on everything from restaurants and personal care services to automobile and home maintenance. As the brand has evolved in recent years to incorporate technology, Valpak has continued to find ways to excite consumers about couponing, with even more offerings in the digital space, which supplement its flagship blue envelope. Valpak’s programs do more than provide advice on where to go for savings. Our
Franchising USA
new parntnership with KaBOOM!, a national non-profit that creates great places to play, helps to bring communities together around the country. The brand also works to drive the national discussion about the importance of play in fostering healthy lives and communities. Since 1996, KaBOOM! has built, opened and improved nearly 16,000 playgrounds, engaged more than one million volunteers and served 7.4 million children. In addition to its expanded community initiatives, Valpak has unveiled its new logo and signage on its website, on its
envelope, and at Valpak’s new corporate headquarters in St. Petersburg, FL. Valpak moved into the new space in December as part of the evolution of the brand. The new Valpak home is divided into neighborhoods, reflecting the approach adopted by the company. www.valpak.com
States in 2015 and beyond. To support
the company’s franchise expansion plans, i9 Sports hired Charlie Carnahan in
November 2014 as the company’s director of franchise development.
The company was founded and began
franchising in 2003 on the principle that
the number one reason kids play organized sports is to have fun, not to become the
next draft pick. i9 Sports has since grown to 138 locations across the United States. With convenient flexible hours, no real
estate or upfront inventory, i9 Sports is
a low-investment, home-based franchise opportunity offering entrepreneurs a
compelling business with great profit
potential. i9 Sports plans to open dozens
i9 Sports kicks off in 2015 i9 Sports, the nation’s first and fastest growing youth sports league franchise, kicked off 2015 by signing two new franchise agreements for locations in Philadelphia, PA. and Madison, WI.
These new agreements signed within the first six weeks of the year, coupled with the corporate expansion i9 Sports achieved in 2014, positions the brand for future development across the United
of new franchise locations each year over the next several years and has extensive
franchise opportunities available across
the country including a focus on markets in the Pacific Coast, Midwest and North East.
www.i9sportsfranchise.com particularly attractive to potential franchisees. In January, Lance Trenary was named as the third CEO in the company’s 43 years. Trenary moved up the ranks at Golden Corral over the past 29 years, most recently serving as the company’s Chief Operating Officer. Additionally, the average tenure of senior management is 18 years. This level of experience and stability in company leadership has led to the company’s franchise success.
ANOTHER SUCCESSFUL YEAR FOR Golden Corral Golden Corral had another successful year in franchise sales in 2014, and growth is expected to continue into this year. The nation’s largest grill-buffet chain opened 14 new restaurants in 10
Golden Corral now has 500 restaurants operating in 41 states. In 2015, the
franchise will add 20 new locations,
including restaurants that have already opened this year in Richmond, KY.,
different states last year, which was
Christiansburg, VA. and Bellflower, CA.
more new store openings than all of
Officials with Golden Corral believe
their direct competitors combined.
company stability makes the brand
“Golden Corral’s continued growth is a result of the stability of the company and the commitment to bringing innovation to our restaurants,” says Bob McDevitt, Golden Corral’s Senior Vice President of Franchise Development. “We’re testing a Mongolian grill where fresh meats and vegetables are cooked to order, and this spring we featured our new Lenten seafood promotion with fish tacos, salmon and larger shrimp. Our customers love the new additions while savoring the traditional favorites at an affordable price.” www.goldencorralfranchise.com
Franchising USA
f ra nchising usa
Page 7
f ra nchising usa
what’s new!
preventive maintenance and entrepreneurs seek franchising opportunities within the industry. The franchise is accelerating expansion through qualified single and multi-unit franchise partners for development across the U.S. and Canada, specifically in Atlanta, Jacksonville/Daytona Beach, Nashville, Orlando, Tampa, and Northern California.
Meineke Car Care Center Puts its Foot on the Gas with Incentive Programs to Drive Expansion The automotive aftermarket is projected to top more than $722 billion by the year 2020, according to Global Industry Analysts, Inc.
Meineke Car Care Center, the nearly
1,000-unit, top-rated aftermarket auto
franchise, is poised for paralleled growth as consumers place a greater focus on
To break down the barriers of franchise development and accelerate brand growth in new and underserved markets, Meineke has developed several financing and incentive programs for new and existing franchisees. Recently partnering with BoeFly, the online marketplace harnessing technology to dramatically simplify the execution of commercial transactions, Meineke is now able to offer access to more than 3,600 lenders with the completion of a single loan request for faster start-up periods and better financing options. Investment levels for franchise locations range from $225,000-275,000 and topperforming stores average more than $675K in annual sales. www.meinekefranchise.com
Curt Fisher joins DirectBuy Curt Fisher joins DirectBuy, the membership-based buying club that allows consumers to purchase lifestyle products from manufacturers and suppliers without hidden retail markup, as its new vice president of sales. Fisher will oversee the direction and management of internal sales development, the building of new sales channels, and the expansion of the company’s marketplace reach. As an accomplished sales management professional, he brings more than 20 years of leadership experience and achievement in customer relationships management in Fortune 500 companies. For the past three years, Fisher served as the Chicago-
Franchising USA
area General Manager of Goodman Manufacturing, the largest residential HVAC manufacturer in the United States. While in this position, he built and managed a startup distribution operation that grew 30 percent each year over. His areas of expertise include sales strategy, sales management, budget management and profit and loss (P&L). Fisher joins a new DirectBuy leadership team led by CEO Mike Bornhorst and CMO Curt Hilliard. Together, they are actively executing a new set of standards and policies to strengthen the brand, adopt more transparent business practices, and become an easier company to do business with overall.
For more information on DirectBuy’s service, selection and value, visit www.DirectBuy.com.
expansion on the horizon for Tropical Smoothie Café Tropical Smoothie Café, the leading fast casual café concept known for its better-for-you food and smoothies with a tropical twist, announced today it is actively pursuing Philadelphia and Northern New Jersey for franchise growth. Over the next 10 years, the sandwich and smoothie franchise expects to open 50 locations throughout the area in communities such as Upper Darby, Conshohocken, Norristown, Germantown, Wynnefield, South Philadelphia and West Philadelphia. “Tropical Smoothie Café currently operates just four cafes in New Jersey and
Philadelphia, so to say we have immense opportunity to develop the region is an understatement. We see Philadelphia and North Jersey as prime markets for Tropical Smoothie Café and are actively searching for local entrepreneurs to join our growing fast casual franchise,” said Charles Watson, vice president of franchise development for Tropical Smoothie Café. Tropical Smoothie Café is looking to add qualified franchisees to its growing brand. Candidates should have business experience, preferably in the restaurant industry; $100,000 in liquid assets and a minimum net worth of $300,000; and an initial investment of between $165,940 and $414,685. For more information about opening your own Tropical Smoothie Café franchise, please visit www.tropicalsmoothiefranchise.com.
Orangetheory® Fitness Celebrating Fifth Anniversary and Exponential Franchise Growth On the heels of an impressive 2014, Orangetheory® Fitness, the energizing and fast-growing fitness franchise, is celebrating its fifth year of high velocity growth with the opening of its first location in New York City. Orangetheory® Fitness will make its Manhattan debut on March 6 with the brand’s newest studio in Chelsea. In 2014, Orangetheory® Fitness raised the bar in the health and wellness industry having nearly doubled its footprint by opening 99 new studios. Furthermore, the company signed more than 200 franchise agreements in 2014 and is on track to open an additional 150 locations by the end of 2015. In addition to its entry into New York City this month, Orangetheory® Fitness is proud to announce further international expansion with the grand opening of its first studio in Bogotá, Colombia on Feb. 26. “It’s incredible that in just five years we’ve been able to muscle our way into the highly competitive New York City market,” said Dave Long, chief executive officer of Orangetheory® Fitness. “It all started in 2010 with a single Fort Lauderdale studio, and we are now an international brand with demand for Orangetheory® Fitness studios growing each day. Our explosive growth both domestically and internationally has been fueled by our unique workout solution and a successful franchise business model. We look forward to continued growth and expansion into new markets in 2015.”
top fitness franchises, with nearly 200 studios in 28 states, and has expansion plans both in and outside of the United States. In addition to its newest international location in South America, the brand currently has studios in Canada and the U.K. and has signed a master agreement to bring the concept into Australia.
Today, Orangetheory® Fitness has become one of the world’s
www.orangetheoryfitness.com
Franchising USA
f ra nchising usa
Page 9
cov er sto ry
L ib er t y Ta x Ser v ice
Liberty Tax
Our Company, Our Culture Liberty Tax Service is the fastest-growing tax preparation franchise in the business. With our iconic Lady Liberty Wavers and a commitment to community service, Liberty Tax takes a different approach to the typically staid tax business. Our three business tenets tell it all: Set the Standard, Improve Each Day, and Have Some Fun! If you have ever driven by a Liberty Tax
location, you may have seen our smiling,
dancing marketing representatives waving at you. This idea was based on “Guerrilla Marketing,” the books and teachings of the late Jay Conrad Levinson touting
unique, unconventional, even disruptive approaches to marketing. For us, that
meant fun and friendly, says CEO John T. Hewitt in his new book “iCompete: My Extraordinary Strategy for Winning.” “Over the years, I asked hundreds of
people, ‘When you had the costume on, did you notice people treated you differently?’ Unanimously people said, ‘Yes!’ People
honked, smiled and waved back. This was especially true for franchisees that visited another business. Without a costume,
They’ve also sought expert advice from Liberty owners and highlighted Liberty’s service in the community. Part of our corporate culture includes “giving back to the less fortunate.” Our franchisees offer free seminars at neighborhood associations and Chambers of Commerce. They host community events throughout the year and especially during tax season. They’ve raised money for families whose homes were destroyed by fire and fed the hungry through partnerships with local food banks. They’ve built businesses that are part of the community and that people trust because, along with the fun stuff, Liberty does great work. We provide accurate tax preparation services with a money back guarantee. Liberty franchisees are all different. They’re retirees, CPAs, full-time Moms, bankers and insurance pros. For all their differences, they do share a few common beliefs — they embrace the challenge of being self-employed and believe in following a proven system that will lead them to succeed.
they are often shooed out with a stern
Liberty Tax CEO John T. Hewitt – from
are rarely asked to leave because people
for Winning”
A costumed character attracts positive
My father, Dan Hewitt, was a frustrated entrepreneur. He had a desire to run his own business, but he had bills that
warning – no solicitation. But our wavers are interested to know what’s going on.
attention. Across the country, many local
Franchising USA
newspapers and television stations have featured our wavers.”
“iCompete: My Extraordinary Strategy
needed to be paid now. He worked full-time in finance, ran a small income tax business on the side, and completed graduate school. Dad was successful by any standard, and for as long as I can remember, he wanted to work for himself, to be his own boss. Like my father, you may be born with an entrepreneurial spirit, but have bills that need to be paid yesterday. My father and I learned the secret of being a hired hand to generate that immediate income. However we both took a different approach to being an employee in someone else’s business. I believe that when you work for someone else, you work for yourself. Act as if you are the owner. At Liberty Tax, I te ach franchise owners and employees what it takes to be winners – to be No. 1. I do my best to inspire my team every day, many times arguing and challenging them to do what others won’t. On average, every other day during tax season I hold conference calls for all of our franchisees to help them set the standard in their communities, increase profitability and, most importantly, create raving fans through second-to-none customer service.
“I look for potential owners who want to be part of a bigger vision to change people’s lives. That’s what we do at Liberty Tax.” - CEO and Founder John T. Hewitt. I look for potential owners who want to be part of a bigger vision: to change people’s lives. That’s what we do at Liberty Tax.
Liberty Tax Owners, Eric and Becky Elder – from Give Me Liberty magazine Ask Eric and Becky Elder about their success, and Becky will respond: “The Lord has used Liberty Tax and John’s system to drastically change our lives.”
The Elders became Liberty Tax
franchisees with a commitment. Their life experience had shown them how
challenging it can be for families still
struggling to recover from the recession. So now through Liberty Tax, they reach
out to help in their community. Their very first partnership was with a church in the Albany, Georgia area. They helped raise
money for the church’s building program.
Like most Americans, the Great Recession had affected their family. Becky’s two cousins were headed to foster care until Becky and Eric gained temporary guardianship. Then Eric was laid off from his corporate job. They had a house full of growing children, four of their own and two of Becky’s cousins. They needed a solution.
Becky and Eric finished last tax season -
“As soon as we heard John speak at the Virginia Beach Liberty Tax Open House, we knew this was something we could do,” Eric said.
these kids, we need an empire.”
their third- with four liberty locations. And they opened four more new stores this tax season. Their long-term goal had been to
open five locations in five years. Now they hope to have 10 locations in five years. “We want to grow this into a family
business,” Eric said. “Actually, with all For more information: www.libertytaxfranchise.com
Franchising USA
cov er sto ry
Page 11
ex per t advice
Andy Roe, General Manager, SurePayroll Inc.
3 Ways to be the
Type of Boss Employees Love
Franchising USA
Think back to the days before you became a franchise owner. Think back to the days before you moved into a manager or supervisor role. Are there things you would change about your boss at the time? Obviously, as the boss, being well liked can’t always be your top priority. But there are ways to gain both respect and admiration from your employees. And as long as you’re not a pushover, the carrot can often be just as effective, if not more so, than the stick. Here are three ways you can be the head of your franchise without being disliked by the people working for you:
1
Make yourself available
There is nothing worse than a boss who makes demands and critiques employees without ever showing his or her face. If you want employees to respect you, keep the lines of communication open at all time. A big part of leadership is engaging with people, so when you run a franchise, you shouldn’t be spending your days sitting behind a computer. You should be meeting with your employees, learning more about their abilities and personalities, and finding better ways to help them succeed. They will appreciate it, and it will make
“If an issue needs to be addressed with an employee, do so in person and be direct with them.” you more successful in the long run.
2
Stay above office gossip
Regardless of industry or company size, office gossip has the ability to run rampant. The last thing you want to do is get caught up in the rumors. Stay above this, no matter how tempting it may be to jump in and take part. If an issue needs to be addressed with an employee, do so in person and be direct with them. Be extremely cautious of exchanging emails, IMs or texts about someone who works for you. It’s simply too easy for them to get passed around and into the wrong person’s hands.
3
Be as fair as possible
When a boss or business owner plays favorites, they end up with a group of people who likes him or her and another group that feels they’re missing out on special treatment. It doesn’t matter if you are giving praise or critiquing, it is a must to remain fair. Employees love a fair boss, even if it means they will take their lumps from time to time.
Andy Roe
in the past. Furthermore, you can become the type of boss employees love.
This doesn’t mean you treat every employee the same, but the perception of a double standard can have a detrimental effect on your franchise’s culture.
Andy Roe is the General Manager of SurePayroll, Inc., a Paychex Company. SurePayroll is the trusted provider of easy online payroll services to small businesses nationwide. SurePayroll compiles data from small businesses nationwide through its Small Business Scorecard optimism survey, and exclusively reflects the trends affecting the nation’s “micro businesses” — those with 1-10 employees. You can follow Andy on Twitter @AndrewSRoe.
With the three tips above, you can avoid turning into the type of boss you disliked
Learn More at www.surepayroll.com and http://blog.surepayroll.com.
Franchising USA
ex per t advice
Page 13
fra nchisee i n acti o n
Bin T here D u mp T hat
Bin There Dump That
Franchisee says now is the time to join the company While Bin There Dump That franchisee James Spink has nothing but praise for the company, he does have one regret about getting involved with it; he regrets that he didn’t do it sooner.
“I wish I had started six years ago rather than three years ago,” he said during a recent interview from his office in Indianapolis, IN. After finding out about the franchise on a job board, Spink identified it as a business opportunity that fit with what he wanted at the time and he opened his franchise in 2012. He currently runs it with his wife, Lori. They split the administrative duties with Lori handling outside sales, bookkeeping, accounting and inside sales while he also focuses on outside sales along with public relations, marketing and branding. Bin There Dump That largely serves homeowners or contractors doing home remodelling projects or some type of disaster restoration where they need to dispose of construction waste and other material that a municipal trash collecting service wouldn’t pick up. That easy to run business model appealed to Spink, who, after spending 15 years in the racing industry coordinating and scheduling hundreds of races all over the country and launching new series and divisions of open wheeled racing, had just had enough. “I wanted a lifestyle change,” he recalled. “I didn’t want to be on the road, didn’t want to live out of a suitcase anymore.” His first 14 years in the business side of the racing industry were highly enjoyable and hardly seemed like work at all, but the last year brought a hefty dose of burnout with it and with a newly born son at home, Spink was on the lookout for a business opportunity that wouldn’t take him away
Franchising USA
from home much of time and see him criss crossing the country. He also wanted a businesses that both he and his wife could be involved in together.
Enter Bin There Dump That Although Spink looked at a lot of different franchises, the folks at Bin There Dump That were great and didn’t pressure Spink at all. He described the business team as being like a family. “It just felt like the right fit at the time,” he said.
Training and support A graduate from the University of North Carolina at Charlotte, Spink identified the peer groups that Bin There Dump That has set up as being one of his main sources of support within the company. With these groups, franchisees can offer advice to each other and brainstorm ideas together. He said their feedback is just as valuable as what he receives from the corporate office. Spink said there is a group of 5 to 10 fellow franchisees that he talks with on a weekly basis to bounce ideas off of and get their thoughts on various facets of the business.
“We’re more an industry changer than we are a competitor of anyone.” The support that comes from the corporate office is comprehensive, as well, it features continuing education throughout the year and an open door policy if franchisees have any questions or concerns. Much of the company’s ongoing training is done at its annual conference which just happened in February in Atlanta. Right after buying his franchise, Spink. spent a week in Toronto in Bin There Dump That’s corporate headquarters learning about the business and also spent several days out in the field learning about actual operations of the business. The company also kept in constant touch leading up to his opening and helped with looking for office space, meeting with the different facilities they would use in their business, getting all the proper permits from the local city in place and finding employees.
Home sweet home With Bin There Dump That, Spink got just what he wanted; a successful business that allows him to stay close to home near his family and allows him to work closely with his wife.
“It’s been a drastic improvement in the work/life balance,” he stated. And while the business is booming, he acknowledged that every new business is going to be labor intensive, including Bin There Dump That, and anyone who is thinking of joining should be prepared to put in long hours to get business off the ground. He also encouraged any potential franchisees to perform a lot of research prior to getting into any franchise to see what is and isn’t in their local market. If they are interested in joining Bin There Dump That, he recommended giving the corporate headquarters a call and learning about the brand. Now is the right time to get involved with Bin There Dump That, as it’s a brand on the rise, Spink noted. He was one of the first locations to open in the United States and since he’s joined, the brand has tripled its numbers in the country. He described it as an opportunity to get in on the ground floor and grow with the brand. The only regret potential franchisees may have is that they didn’t buy a franchise sooner. www.bintheredumpthat.com
Franchising USA
fra nchisee i n actio n
Page 15
ex per t advice
Brian Ray, Business and Management Consultant
3 Reasons
Leaders Can’t Keep an Open Mind
Let’s face facts, many individuals in corporate leadership positions have created the illusion for themselves that their ideas alone are the best and their word on every subject within their sphere of influence is final, no matter what. Even though evidence to the contrary can be staring them right in the face, and/ or other people could be shouting the truth at them all day long, in their minds it doesn’t matter. They will do what they want, no matter what, because they are the boss, and to their line of thinking that makes them automatically correct. Every professional in business today (regardless of industry) has at least one story of an encounter with a peer, manager, or executive that behaved this way, and many professionals unfortunately face this situation on a daily basis. That brings us to what is one of the most important, yet difficult to achieve, aspects of management and leadership in general - keeping an open mind. Unfortunately, this concept is utterly disregarded by many individuals in leadership positions throughout the corporate world today. The reasons for this disregard can be somewhat varied, so let’s take a look at a few of the major points that feed this issue:
Franchising USA
“As the old adage goes – it’s very easy for the power of leadership go to a person’s head – however, that can only occur if it is allowed to happen.”
1
The Quest for Glory
Every person in the workforce wants to have shining moments in their career where they achieve greatness. However, during the pursuit, many individuals put their blinders on, get caught up in the chase, and only see what their contributions can bring to table, pushing everyone else aside so they themselves can take center stage. In the corporate world’s current climate of the “me, me, only me” mentality, facing the fact they do not have all the best answers or solutions is very disconcerting for the person involved as it shatters the illusion of self-perfection they have built up within their own mind. So in order to avoid facing that reality, they live in absolute denial of the truth, causing everyone around them to suffer for their delusions.
2
Power Corrupts
As the old adage goes – it’s very easy for the power of leadership to go to a person’s head, however, that can only occur if it is allowed to happen. So, if a professional has their ego in check, this trap can be avoided. How? Well, in order to achieve this, a conscious choice must be made by the individual in question to ensure they really listen and contemplate other possibilities when they are presented. A true leader must continuously bear in mind that just because they are in a management position does not mean they always have the best ideas or solutions. Learning early on that swallowing the pride and being open to new perspectives allows a professional to broaden not only their own horizons, but that of their respective companies as well. Those that master & maintain this perspective will ultimately become very formidable individuals, not only in business, but in life as well.
3
The Fear of Inadequacy
Another major reason many individuals in leadership positions have difficulty keeping an open mind is quite simply - fear. This fear manifests itself in the person’s mind in that the manager/ leader feels that if they do not present the best ideas and solutions at all times; it will make them appear weak or incompetent to their departments, peers and upper management. However, the reverse is actually true. By being a tyrant and closing their mind to other possibilities, it makes the leader in question appear, rigid, unyielding, and unapproachable. That perspective then has a domino effect which spreads like wildfire amongst other members of the organization. People will begin to avoid the manager in question at all costs, and/ or keep themselves at arm’s length in every encounter to minimize contact. Not a very productive scenario at all. Every person in business should work to ensure this fear does not control their thought processes.
Maintaining Perspective In summary, all business professionals should strive to be open to suggestions from their peers, team members, and subordinates. Keep the ego in check by facing the fact that no one person can know it all, no matter what level their position is within the hierarchy. When good, viable options are presented by others, be sincerely grateful for the input and tell those individual(s) who presented the options that they are appreciated. That action will demonstrate to the other members of the organization that their perspectives matter, which has an extremely positive effective overall. This in turn will also go a long way toward expanding a person’s own opportunities
Brian Ray
for growth and advancement. Not to
mention it will place a professional on the
path of true leadership, and help avoid the self-destruction of egocentric behavior. Brian Ray is a Business and Management Consultant with over 20 years of experience. He has worked with several of the largest companies in the world on multiple projects and assignments, from the basic Project level to the Executive level. These companies include General Motors, Hewlett-Packard (HP), Delphi, and several others. In addition to possessing a Business Degree with a major in Technology Management, he has continued his business education in various disciplines, IT applications, and business concepts. Ray has also taught multiple subjects and classes in the corporate environment and has been the creator of many reference, training, and process documents/manuals throughout his career. Ray is the proprietor of his own consulting company, and is a speaker/ corporate trainer specializing in promoting positive changes in business and people. Learn more about Ray and Revelations Incorporated at www. thecalloftruth.wordpress.com and connect with him on Twitter. Revelations Incorporated is available for purchase at Amazon and Kindle.
Franchising USA
ex per t advice
Page 17
focus
Fra nchise Fou ndr y
Hitting the Accelerator
Emerging Franchisors Hitting the Accelerator with Franchise Foundry and its Strategic Partners Houston based franchise development agency announces HUB like community of business partners poised to help young franchise systems generate aggressive, yet sustainable, growth.
development and digital strategies
Franchise Foundry, a Houston Based agency dedicated to accelerating
digital strategies offered by Foundry, such
Franchising USA
for emerging franchise brands, has
worked hard in Q1 2015 to solidify
strategic partnerships with multiple
franchise focused companies who offer complementary services to emerging franchisors working with Foundry.
With these HUB like relationships in
place, Foundry clients will benefit from a wide range of services outside of the
franchise consulting, development and
as portal development, content creation,
social media support, brand audits, and marketing and fulfillment support. According to Paul Segreto, Franchise Foundry’s CEO, these partnerships have allowed his company to cultivate a community that benefits all parties involved in franchising - franchisors, franchisees, and suppliers. “By developing this innovative Hub of strategic partners, we have created a community within which Franchise Foundry clients can access some of the best and brightest minds in franchising,�
said Segreto. “We work with more than a dozen emerging franchise brands that need business partners capable of refining, sharing, and promoting their inspirational stories. And I’m thrilled to report that we have aligned ourselves with an elite group of partners capable of helping our clients do just that.”
An Inside Look at The Franchise Foundry HUB Community The Franchise Foundry team began exploring the idea of building a HUB community in Q4 2014 when Manalto, a social media management software company, named Segreto to their Advisory Board in order to benefit from his franchising pedigree and social media expertise. “The Manalto relationship really opened my eyes to the possibilities because it made so much sense for our clients,” said Segreto. “As our clients grow and prosper, they will need a highly reputable partner capable of providing a software solution to help manage their brand across multiple social media platforms. Now, we can simply introduce them to the Manalto team and save them the time. And that got us thinking - who else do we know within franchising who can make life easier for our clients?” So, Segreto and the Foundry team hit 2015 with a head full of steam, actively creating partnerships with highly regarded companies within franchising who could provide Foundry clients with services they need to thrive as a growing franchisor. In addition to Monalto, these companies are as follows: • 919 Marketing, a leading content marketing agency specializing in social relations™ programs, works with Franchise Foundry clients to create, refine, and share, their unique and powerful story with customers and franchise prospects in ways that generate brand awareness and preference. • FRM Solutions, a leading franchise relationship management company offering the only franchise sales and
“We work with more than a dozen emerging franchise brands that need business partners capable of refining, sharing, and promoting their inspirational stories.” compliance solutions integrated with Microsoft Outlook, helps Franchise Foundry clients “navigate the maze” of CRM and portal development with complete lifecycle management - taking qualified prospects from the exploration phase all the way to grand opening. • Business Partner, a one stop solution for businesses seeking creative promotion and fulfillment marketing products, is capable of fulfilling the printing, trade show display, and promotional product needs of all Franchise Foundry clients. • MFV Expositions, the trade show host responsible for many of the leading shows in franchising that are laser focused on generating profitable relationships between franchise brands and qualified prospects, such as the Franchise Expo South, International Franchise Expo, and the West Coast Franchise Expo, has engaged Franchise Foundry team as their social media management partner. This helps MFV in its mission to inform and educate individuals interested in franchising on many different levels - which is the similar mission of Franchise Foundry.
Franchise Foundry Expands its Service Offerings While powerful, this newly established HUB community only tells part of the story. Franchise Foundry has also recently launched Accelerated Digital Strategies (ADS), a move that will enable Foundry to use social media tools and digital technology for information sharing and educational purposes. According to Franchise Foundry President, Deb Evans, there are specific differences between ADS digital and social media strategies and those presented by reputable marketing companies.
“With ADS, we will help our clients communicate the value of their franchise model and educate all parties of the franchise relationship, including franchisees, franchisors, employees, suppliers, consumers, and of course, franchise candidates,” said Evans. “Of course, marketing messages are part of the package, but ADS strategies are different than marketing specific social media strategies because they are laser focused on building and leveraging communities both internal and external for the brand. Ultimately, ADS helps franchisors drive brand awareness and growth while developing an internal culture defined by open communication and transparency. As Franchise Foundry heads into Q2 2015 and beyond, it can offer all clients access to its newly established HUB community while providing three powerful service offerings custom built to help emerging franchisors accelerate growth. These are as follows: • Accelerated Development Strategies – providing franchise sales and development expertise for emerging and established brands alike. • Accelerated Franchise Strategies – providing franchisor coaching and consulting services necessary to build sustainable franchise brands. • Accelerated Digital Strategies – providing digital solutions focused on building communities while driving growth at all levels of a franchise organization. Segreto, Evans and the entire Franchise Foundry team are excited to get to work helping their clients capitalize on these new relationships and all three Foundry service offerings. For more information about Franchise Foundry, please visit www.franchisefoundry.com.
Franchising USA
focus
Page 19
ex per t advice
Christopher Conner, Franchise Marketing Systems
Improving Franchise Sales
Franchise development and franchise sales are like any other sales process, you have a product, you should have a defined buyer and you need to get your product in front of this buyer, the difference in a franchise sales process is that you are selling intellectual property, this is different for most sales people and takes some time to transition to get comfortable with the process.
Franchising USA
“Define your buyer profile and characteristics you need to make someone successful in your business.” Have patience If you haven’t sold a franchise before, this process takes time and focus. Most franchise transactions take in excess of 90 days and can take as long as a year to complete the sale. There are endless variables in place as to how a franchise transaction will impact the buyer’s life.... family....financial future and lifestyle will all be impacted by this decision, don’t rush it, don’t push the timeline. Buyers need to be supported, guided and communicated with when it comes to buying a franchise. If you do your job as a franchise salesperson, you will be there for the buyer providing real, authentic support, data and information to them as they work through the evaluation process.
Management Systems Have a qualified management system in place to manage the process, lead flow and communications with buyers is essential. Implement a franchise sales CRM and you can expect better results from the franchise development campaign. By effectively tracking, reporting and evaluating the franchise sales data you can make better decisions regarding your market, business development and franchise sales team. Franchise Marketing Systems has an approved CRM that works well throughout this process: (http://www. franchisemarketingsystems.com/services/ franchise-crm/)
Define your buyer profile and characteristics you need to make someone successful in your business Having worked with a wide variety of different franchises and business models, some industries and franchises
require certain skill sets (Sales, business development, prospecting, client management, etc) while others may be completely different (Retail, Food Service, Technical, etc). Create a solid buyer profile and stick to it. Make sure that buyers fill out an evaluation form, that they answer the questions completely and accurately in order for you to draw a conclusion as to whether they are the right fit for your business. Then comes the hard part....say no to candidates that don’t meet your qualificaiton requirements....even when they have the money.
Have a good sales team in place to manage the process It typically takes in excess of 150 leads to close a franchise sale, you need to have a lot of manpower in place to manage this lead flow and to appropriately call the leads the 6-10 times required to get a candidate on the phone and to appropriately deliver the value proposition. We typically recommend at least 3 stages and people involved in the sales process.... the owner of the company should not be involved until the END of the sales process - build the perceived value in what and WHO they get when they purchase the franchise model. Don’t give them access to the head of the company early on in the sales process.
Know your market Don’t go into the franchise sales process without a complete market evaluation and competitive overview. You can’t answer a buyer’s question of “how do you compare with them?” with....”Well, I’ve never heard of them,” or “I don’t know much about them” and sound like you know your industry. Having the information up front and ready is part of being able to sell franchises effectively. We recommend a
Christopher Conner
good strategic plan and market research program prior to launching a franchise sales campaign.
Have your ducks in a row. Make sure that your FDD, franchise state registrations and complete franchise legal documentation are in place to effectively and legally offer a franchise. Remember, you can’t even market a franchise legally before you have gone through this process. Make sure you cover your bases prior to launching a franchise sales campaign. Mr. Conner has spent the last decade in the franchise industry working with several hundred different franchise systems in management, franchise sales and franchise development work. His experience ranges across all fields of franchise expertise with a focus in franchise marketing and franchise sales but includes work in franchise strategic planning, franchise research and franchise operations consulting. Christopher has worked with multiple International franchise and licensed organizations throughout the United States, Middle East, India and Europe. He has an MBA in Finance and Marketing from DePaul University in Chicago and a Bachelors Degree from Miami of Ohio. For more information: chris.conner@fmsfranchise.com www.franchisemarketingsystems.com
Franchising USA
ex per t advice
Page 21
ex per t advice
Rolando De La Torre, Jr., Co-founder, ZeeHub
Buying Business Software:
Problem Solving vs. Shopping for Acronyms Creating and upgrading enterprise IT infrastructure can intimidate even the most seasoned executive. To make it worse, confusing jargon and acronyms fill the enterprise software lexicon.
Franchising USA
Is any of this necessary? No. If you understand and articulate what your company wants to get out of tech platforms, you can ignore this marketing fluff entirely. This article shows why problem solving clarifies the process of buying software.
First, Why Bother to Invest in Tech Infrastructure? You can do more with less resources when you have the right infrastructure. That is the obvious answer. Most overlook the fact that your tech infrastructure directly
reflects your company’s culture. Planning on pitching your company as innovative, efficient, and relevant to potential
employees and clients? If this is true,
you have to walk the walk so leveraging
technology to get your business running
smoothly becomes essential. It’s likely that you will also have a more collaborative, transparent, and pleasant operation as a result of tech upgrades.
Consider the following points when you start the process of shopping for these upgrades.
Page 23
Franchising USA
ex per t advice
Rolando De La Torre, Jr., Co-founder, ZeeHub
“Articulating your problems equips you to shop for software in the context of what will help you most.” The Trouble with Acronyms Too many executives start their search for new software by seeking out a CRM/ LMS/POS/etc. that they heard solves all problems. These terms tend to confuse more than clarify matters, and should be ignored at the beginning of your software search. Many software acronyms originated as marketing terms intended to help people understand products, but the products themselves do not adhere to some standard list of functions because they are marketed as a “CRM”. Also, people in the industry (consumers) interpret these acronyms based on what they have been told, or what the acronym means in the context of their business. In summary, if you ask 10 people what a CRM/ERP/PPM does, you may get 10 answers. These aren’t acronyms like “FBI” which stands for exactly Federal Bureau of Investigation. You are setting yourself up for misunderstandings and frustration with software vendors if you approach the buying process from the context of ambiguously defined acronyms. You could end up looking in the wrong place for the wrong functions. Your software search should always begin with a closer analysis of the problems you need to solve.
The Real Starting Point: State the Problem (or Goal) Your software buying process begins here: What do you want to accomplish? This could be something like, “I want an email marketing campaign for potential clients.” You can also make a list of pain points like, “I don’t like having to manually input royalties every month.” Nobody understands your business like you do. Articulating your problems equips you to shop for software in the context of
Franchising USA
what will help you most, and cuts through a lot of salesmanship from vendors. Once you have your lists, it’s time to start shopping.
Managing the Process Jargon and Feature Sets Beware of marketing jargon. You’ll see a lot of “integrated, all-in-one” things, fancy “solutions”, and many verbose product descriptions. You’ll also see incredible sounding feature lists. None of this nonsense matters if it doesn’t help you achieve your outlined objectives, or if it introduces operational complexity. How can you tell? Set up a demo, and have a company show you how they can help.
Navigating Demos and Sales Pitches Make it about you. Lay out your objectives, and have the company show you a sample of how their product helps you. Be open to suggestions for alternative approaches (vendors might see something you didn’t consider before), but make sure you see these suggestions in a demo. You are building your business on top of whatever you buy! It’s important to “see to believe” when the stakes are this high.
Shop the Competition Companies have different styles, ideologies, and capabilities. All of these factors are important in finding the right software, so shop accordingly. This might seem tedious, but it’s a necessary step in making the right decision.
Rolando De La Torre, Jr.
multiple apps for your business as well. You may have a broad scope of goals,
making it impossible to find all solutions in one place. That’s fine. Most modern platforms offer integrations, making it
easier to streamline processes and share information between products.
The Decision Does the product do what you need? Can
you make changes to it? Can you afford it? Can you teach someone how to use it? Yes to all? Looks like you have a winner.
In Conclusion Don’t get distracted by nonsense! Focus
on your needs, and it will greatly simplify your software search. Please reach out
to let me know how your search process goes!
Rolando De La Torre, Jr. is a co-founder of ZeeHub, a startup that creates simple, lightweight franchise management software. Prior to ZeeHub, he was Director of IT for a startup franchise brand, and graduated from Stanford University in 2009. Rolando was recently chosen as a winner of the Young
Many Products vs. “One Stop Shop”
Entrepreneurs in Franchising Global
You have multiple apps on your smartphone, and each app serves some purpose in your life. You will need
For more information:
Competition. Email: rolando@zeehub.com Web: www.zeehub.com
Page 25
Franchising USA
pe t fra nchising
Featu re
pet franchising
e r u t Fea
The business of animals came into the economy by surprise, what was once a deep love for the care and well-being of individual pets sparked a huge industry. This unique industry has created a lot of fields that now offers multiple franchises with a large customer base. The classic American family usually involves two parents, couple kids and an animal for a picture perfect snapshot. In fact, approximately 60% of households within the U.S. have at least one pet. No matter what the family dynamic, a lot of members recognize a pet as a family member. The care and maintenance of a pet, as well as the product line invented for the pet population has increased over the last decade and encompassed many areas of business.
Stores These facilities are specific to pet ownership and adoption. Of course, all of the necessities can be purchased like food, cages, kennels and travel carriers but the pet industry now adheres to the many needs and wants of animals. Including toys, harnesses, cat strings, bird mirrors,
Franchising USA
“Approximately 60% of households within the U.S. have at least one pet. No matter what the family dynamic, a lot of members recognize a pet as a family member.� fish rocks, even clothing. It’s a complete department store on its own.
Walls of pet stores are lined with
Costumers want to shop with a store specified for their pets, rather than pick up a bag of food from the grocer. Their needs are specific and they care deeply for their animals, therefore they want to go somewhere that specializes in all fa cets of pet ownership.
with bunnies and aisles with numerous
aquariums with every type of fish, cages choices of products. Plus most stores
include associates who are well versed in their field, helping costumers establish a loyal relationship with the brand.
These stores have become well established and recognized throughout the nation
giving new franchisors a huge client base and well-marketed industry.
From a negative standpoint, some pet stores selling animals have come under controversy because consumers are concerned with puppy or kitten mills, which are criticized for breeding animals without concern for their welfare. Therefore, some stores have stopped the sale of animals and focused on retail products and pet supplies. Even with criticism in 2003 only 38% of stores claimed to not sell animals and according to the American Pet Products Manufacturers Association live animal sales reached $1.6 billion in 2004. Specialty foods are a growing product within the industry and 43 % of consumers admitted to only buying these products in specific pet retail stores, according to National Pet Owners Survey.
Grooming Although grooming can be offered in pet shops, industries focusing directly on the maintenance and priming of animals have been extremely successful. The growth within the industry is due to the increase in pet ownership but also an
increase in spending per pet. Americans now spend $48 billion a year on their pets, which is double the amount spent on pets a decade ago. Grooming has become an important part of animal ownership. Not only are cats and dogs getting a bath and their claws cut, the field has grown to include all-inclusive spas and pet massage. People want the best for their animals and they are willing to dish out the cash to keep man’s best friend happier than ever. This is usually an easily adjustable franchise for business owners, offering locations that are adaptable and run by owners. In fact pet pampering is not only expected, but has become the norm. The American pet owner is spending an average of $107 annually on grooming. It’s also a continuous service, which keeps costumers returning. Grooming can also adhere to the specifications of dog breeds. There can be a lot of maintenance involved in helping dogs be preserved to the characteristics of the breed and grooming locations can help maintain those requirements.
Daycare Although everyone’s furry friends are a part of their family, people have to travel or leave their homes and they want the best of the best for their pets. With travel so easily accessible, people
need to leave for vacation or business and they want a loyal and trusted brand to care for their loved ones. Outside of traveling, owners are seeking daily care while they are away at work. This type of care can include walking, which a lot of owners are unable to upkeep with their busy schedules. A lot of pet owners are working day jobs and want their pets to be entertained, walked and kept active. Pet spending had remained resilient through the recession; actually consumers are spending even more on the pets and day care is an integral part of pet ownership. Again this field has expanded to suit a lot of high-end needs of many consumers. Doggie hotels, daytime guarding, adventure walks, playing off leash, are only some of the services offered by day cares, as well as grooming and spa packages. The simple maintenance of pets has turned into venues of opportunities for business owners, day cares can offer many services dedicated to the variety of needs for such a huge customer base.
Training There is a concern for the overall health of animals. Health obsessed Americans like to extend their concerns to their pets. There is weight controlled food, organic
Franchising USA
pe t fra nchising
Page 27
pe t fra nchising
Featu re Domesticated dogs are trained in doggy school and even have to surpass specific classes in order to graduate. This type of franchise is a great opportunity for the pet lover, allowing people to mix pleasure with business. There is a lot of variety within the field but also a lot of crossover. Franchisees can be very specific in the types of services or products they offer, or they can satisfy a variety of customer needs under one roof. One thing is for certain, the pet franchising industry is not a dog eat dog world, but rather a guarantee. It keeps increasing year after year and so does the pet population and the customer base. One could even say this field truly is the cat’s pajamas.
and gluten-free choices, vitamins and many exercise options.
A lot of dogs are used in therapy, including seeing-eye dogs, seizure dogs and senior
However, the need to influence and train dog behavior has been a concern for much longer and it has become a specialized form of business.
care. There are police and fire dogs all of
Of course it’s hard not to assume the pet industry only involves cats and dog, but there are fish, rodents, reptiles, birds and most importantly to training, horses.
a team of experts and pets can be taught to
Dogs and horses are the top customers for training and it has extended past the classic sit or stay but involves a lot more expectations on animals. There is training for dog and horse shows that can be a high-end business venture, however may require a lot of knowledge and experience within that area.
which require specialized training as well. With every breed of dog, comes a
possibility of guidance that would involve change their behavior and be better suited to a family’s needs.
About the author: After receiving an English Degree, followed by a Journalism Diploma, Gina became a freelance journalist in 2008. She has worked as a reporter and in communications, focusing on social media. She currently works as a community information officer with Epilepsy Society, while pursuing her writing career at the same time.
Look out for our next special feature:
Automotive Franchising
“Dogs and horses are the top customers for training and it has extended past the classic sit or stay but involves a lot more expectations on animals.” Franchising USA
Call us today to learn about our different IFPG Memberships:
(888) 977-IFPG
Connecting FRANCHISE PROFESSIONALS around the Globe The International Franchise Professionals Group (also known as IFPG) is a membership based organization that has over 700 members. Our members consist of Franchisors, Franchisor Brokers, Lenders, and other Franchise Professionals that help potential candidates in the process of buying a franchise. Hundreds of nationally recognized franchise companies have chosen the IFPG and its members to represent their brand; hundreds of experienced franchise consultants and brokers have chosen the IFPG to power their business. All of these individuals understand the value of being associated with IFPG.
Call us today we would be happy to schedule a tour to learn what the IFPG has to offer: (888) 977-IFPG
Franchising USA
ex per t advice
Craig Coleman, Co-founder & CEO, ForwardLine
Mercha
for Franchisees Franchisees, like all small businesses, have capital needs that come in many forms. Whether it’s planned growth, timesensitive opportunities, or franchisor updates to your business—all require capital. In the past, the traditional route to capital was to attain a business loan through a bank or to finance business capital through personal credit. Today, there are more options for small business owners to explore financing their franchise, including the merchant loan.
What is a merchant loan? A merchant loan is a short-term loan designed to meet the needs of Main Street businesses, including franchisees. Merchant loans are unique in their attainability and speed, and most loans are funded in a matter of days after an application is completed. Merchant loans don’t require collateral, which makes them a particularly good choice for Main Street business owners because their businesses typically don’t
Franchising USA
ant Loans
ranchisees
Craig Coleman
“Merchant loans are unique in their attainability and speed, and most loans are funded in a matter of days after an application is completed.” have significant amounts of collateral and they understandably are reluctant to pledge personal assets for a business loan. In terms of documentation, most merchant lenders only require the last few months of a franchisee’s credit card statements along with a one or two page application. This simplified application process is ideal for busy owner-operator franchisees.
How is a merchant loan different from a bank loan? Business loans from banks are usually secured by some form of collateral like property, cash reserves, or other personal assets. In contrast, merchant loans do not require collateral and therefore approval isn’t tied to the value of the business or personal assets. Merchant loans are designed to be shortterm in nature; as opportunities arise, business owners take out a merchant loan and pay it back in a matter of months, unlike bank loans, which typically have repayment in terms of 3 years or more. Due to the short-term nature of a merchant
loan, lending amounts are usually smaller compared to a bank loan, and are designed for a specific purpose such as renovation, growth, or paying franchisee fees. Merchant loans also differ from bank loans in their repayment structure. Rather than require a large fixed monthly payment, merchant lenders offer a more manageable daily payment that is either a fixed dollar amount or a fixed percentage of each day’s credit sales. The latter option works particularly well with a business’ cash flow because repayment rises and falls with daily sales levels.
Is a merchant loan right for my franchise? A merchant loan may be the right option for your business if: 1) You have a time sensitive need for financing. Merchant loans fund faster than other forms of financing. 2) You do not want to use personal assets to obtain a business loan. Merchant loans do not require collateral, either business or personal.
3) You want an easy, straight forward application process. Merchant loans have a simpler application process that saves many hours of your time compared to a bank loan. 4) The revenues from the financing will have an immediate impact on your business. The short-term nature of the merchant loan means that your business pays off the debt faster, giving you the capacity to borrow in the future if necessary. The bottom line is that if you’re looking for funding to grow your business, and need it in a timely manner, a merchant loan may be right for you. The good news is that there are numerous options for you and your franchise, so always consider and explore all of your options to make the best choice. Craig Coleman is co-founder and CEO of ForwardLine. Founded in 2003, ForwardLine was the first company to offer a merchant loan in America. Today, using their proprietary loan origination platform and small business credit algorithm, ForwardLine provides financing that is fast and simple to thousands of U.S. small businesses every year. Learn more at: www.ForwardLine.com
Franchising USA
ex per t advice
Page 31
fra nchisee i n acti o n
Filta Env ironmental K itchen Solu tions
Success with Filta
Environmental Kitchen Solutions Duc and Jennifer Pham have always wanted to own their own business. They were doing a bit of research and became interested in Filta Environmental Kitchen Solutions while doing some online browsing.
The two bought the franchise in December 2013 and have truly been enjoying running their own business. Duc has a background in operations and sales within the technology industry, while Jennifer was a realtor who had also done some development with a non-for-profit.
“My wife stumbled across it through a
Filta Environmental Kitchen Solutions has been in business since 1996. The company focuses on restaurants and food establishment to help deliver higher
franchising website. We did some more research and that’s how we found it,” recalled Duc.
“We had always wanted to run our own business for a long time. I had built some other businesses for the companies I had worked for. I was tired of doing it for other people and thought why not do it for myself and my family?” asked the franchisee.
“Franchising certainly isn’t for everyone. If someone is willing to work hard, work smart, stay positive and see the big picture as a business owner, this franchise is definitely worth the look.”
quality food, while providing safe kitchens and a smaller carbon footprint. Since the environment is being established as a staple in a lot of industries, it’s important to think how vital this type of service is for the function of kitchens. Essentially, Filta focuses on preserving the environment and cooking process wherever food is fried or refrigerated by offering a onsite mobile service with a microfiltration system and cleaner. They also recycle cooking oil and turn it into biodiesel, as well as more cost effective refrigerator system with humidity control. Customers are interested in wellprocessed food with a low impact on the environment. They expect business do to the work for them and Filta offers the food industry another means to attract customers. Duc went to the training facility on his own and found both the classroom and field training equally as important and helpful. “We did training from sales to operational to accounting. We did in field and how the process works, how the machine works,” explained Duc. “It was great. It’s one of those things, you can only learn so much in the classroom but it sets you up for what you learn on the job. It was fantastic.” Continuous support for franchisees is offered with Filta including webinars, an annual conference that covers a variety of topics, as well as ongoing online training. However, Duc found a unique type of support through other franchisees, which he had not discovered until he was in the business.
Franchising USA
“The thing that jumps out to me, we are really fortunate to have it, are the people have been great to work with. The network of other franchise owners has been great for us. We rely on each other, we call each other, we give each other advice and share what didn’t work for us,” said the owner. “That has been way better than we had ever anticipated or has ever expected and it’s been a huge part of our success. No doubt about it.” Once someone interested applies for a franchise with Filta, there is a prescreening call to discuss territories and qualification. If the candidate is then approved, they will have a webinar with the VP and followed by Discovery Day. This day allows people to create connections and form a strong network of coworkers while also meeting staff and learn about the business. This day gives the candidate a unique and beneficial opportunity to determine whether or not Filta is the type of company they are interested in franchising before the process is started. One of the reasons people consider stepping down from the business is to
obtain a better work life balance. Duc has recognized the benefits of being his own boss, but he does not shy away from hard work. “Some days are crazy and other days are great. Being a small business owner, sometimes, you have a lot going on. The balance has been fantastic. For example today, I had lunch with my son at his grade school. Does it get any better than that?” asked Duc. “The trade off is a lot of times my wife and I are talking about business into the night but it’s not like work. We understand where each of us is coming from.” Duc and Jennifer have three kids and they admit being a part of Filta has allowed them to spend more time with their family and be there for the important stepping stones. Duc recently helped his daughter’s kindergarten class design their classroom door and in turn won a pajama party. “I had the time and resources to help them win the project and that is pretty neat,” he said. While both Duc and his wife have a business background and were able to bring their experience to the table, he
believes a wide variety of backgrounds can be helpful for a franchisee with Filta. “Franchising certainly isn’t for everyone. If someone is willing to work hard, work smart, stay positive and see the big picture as a business owner, this franchise is definitely worth the look,” he advised. “With the training provided, there are a lot of people with sale or operational backgrounds like myself but it amazes me how many different backgrounds people have come from and become a franchise owner. I wouldn’t say anyone has to have a specific background but they must be willing to work hard.” While the company itself expects owners to have determination and persistence, as well as being quick learners. Though a background in the service industry is not necessary, Filta expect owners to enjoy the process. Duc also said the network of franchisees is a continuous support and training system. “We continue to learn every day from our mistakes and our successes and our backgrounds as well. It has been great.” For more information go to: www.filta.com
Franchising USA
fra nchisee i n actio n
Page 33
ex per t advice
Andrew John Balitis, Cagnetta, Fennemore CEO, Transworld Craig Law Firm Business Advisors
Unpaid Internships:
Pitfalls and Solutions
With summer approaching, businesses that engage seasonal interns should review their internship programs to ensure compliance with applicable wage and hour laws. Under these programs, unpaid interns can gain valuable experience, and employers often receive valuable free labor in return. But recent developments show that the intern arrangement is not that simple. Multiple class action lawsuits have been prosecuted by former unpaid interns in recent years alleging they actually were “employees,” and therefore entitled to minimum wage and overtime pay. Although unpaid internships and volunteer programs in the public, civic and charitable sectors generally are permissible, similar arrangements in the
Franchising USA
for-profit private sector are another matter. An intern in the for-profit private sector generally is entitled to minimum wage and overtime pay under the federal Fair Labor Standards Act (FLSA), just like any regular employee, unless the internship meets the specific criteria discussed in this article. Employers can avoid liability in connection with unpaid interns by meeting six specific requirements. It is important to note that although some courts treat the requirements merely as factors to consider, the Department of Labor (DOL) takes the position that all of them must be met to keep unpaid internships legal. 1. The internship, even though it includes actual operation of the facilities of the employer, is similar to training that would be given in an educational environment. The more an internship involves skills that are transferrable to other employers or industries, rather than the employer’s own operations, the more likely it will
be viewed as training. Likewise, if an internship is structured around a classroom or academic experience, as opposed to an employer’s operations, it is more likely to be viewed as an extension of the intern’s academic experience. To meet this requirement, employers should allow interns to observe a broad range of functions within the organization, regularly speak to interns about the business in a classroom type setting, or create projects for interns that simulate (but do not involve) the actual work of the business. 2. The internship experience is for the benefit of the intern. This requirement is less burdensome than some of the others because providing an intern the opportunity to perform real world tasks benefits the intern through the development of new and useful skills. That said, to remain lawful, the internship cannot provide a substantial benefit to the employer. The employer’s benefit must be secondary.
“The internship should be for a specific time period, agreed upon in advance. Do not use unpaid internships as a recruiting tool for vetting potential new employees.”
3. The intern does not displace regular employees, but works under close supervision of existing staff. If an employer substitutes interns for regular workers to increase its capacity during busy seasons, the interns must be paid a minimum wage. In other words, if the employer would have hired other workers or required its existing employees to work additional hours but for the presence of interns, then the interns likely will be viewed as employees. In addition, employers should provide more supervision to interns than to regular employees. Interns who receive the same level of supervision as regular workers are more likely to be considered employees. By contrast, interns who mostly observe or shadow regular employees are less likely to be considered employees themselves. 4. The employer that provides the training derives no immediate advantage from the activities of the intern and, on occasion, its operations may actually be impeded.
Interns clearly derive a benefit from performing actual work for an employer, but the DOL’s position on this point is clear: “If the interns are engaged in the operations of the employer or are performing productive work (for example, filing, performing other clerical work or assisting customers), then the fact they may be receiving some benefits in the form of a new skill or improved work habits will not exclude them from the FLSA’s minimum wage and overtime requirements because the employer benefits from the intern’s work.” Nonetheless, if an employer provides job shadowing opportunities to an intern, under the supervision of a regular employee, and the intern performs minimal work, it is much less likely that the intern will be considered an employee. Unfortunately, satisfying this requirement means not only avoiding a benefit to your business, but actually placing a burden on it. 5. The intern is not necessarily entitled to a job at the conclusion of the internship. The internship should be for a specific time period, agreed upon in advance. Do not use unpaid internships as a recruiting tool for vetting potential new employees. 6. The employer and the intern understand that the intern is not entitled to wages for the time spent in the internship. Employers should ensure that the terms of an internship are clear, including the lack of compensation, by putting the terms in writing and requiring the intern to sign
John Balitis
off on the terms. Good documentation is critical.
CONCLUSION The DOL takes the position that
internships in the for-profit sector most often will be considered employment
subject to the FLSA. Employers who have unpaid internship programs should assess
the programs with the DOL’s six factor test in mind, and should consult legal counsel to ensure that any unpaid internship
safely falls outside of the employment relationship.
John Balitis chairs the Employment and Labor Relations Practice Group at Fennemore Craig, where he has practiced for the last 25 years. Balitis can be reached at 602-916-5316 or jbalitis@fclaw.com. For more information about Fennemore Craig, visit www.fclaw.com.
Franchising USA
ex per t advice
Page 35
ex per t advice
AndrewKnauf, George Cagnetta, Senior CEO, Franchise Transworld Business Business Advisor, Advisors FranChoice
Growing your Existing Franchise Portfolio We often get calls from current owners of franchise businesses asking that all important question: “What should I do next?� The answer depends on a few factors, but is usually pretty easy to start narrowing down to if we take a close look at where they started and what their goals are.
In a very general sense we see existing owners coming in from these business models: 1. Home or office based products and services 2. Industrial products and services 3. Mall based retail and services 4. Restaurants Each owner picks their starting point in building their business portfolio to fit their experience, interests and resources at the time they start that previous business. The next step, though, may not fit the same model as the first because now that owner has a business that takes the majority of their focus, family demands may be different and life goals may have changed. Our first step is to determine if the candidate will be liquidating any of their current portfolio and freeing up time to work on the new endeavor. A liquidity event may also contribute money to the new acquisition. The biggest consideration is actually time. Business owners with an existing portfolio can usually access the growth capital they need, but they can’t buy more personal time. Whatever their available personal time availability will be, a plan can be built to enable the growth of a portfolio with the hours they wish to contribute. Much of what determines time availability is what kind of infrastructure the candidate built in the previous business. For current owners of home based, office based or industrial businesses who may be actively involved in the ongoing daily operations, any business they consider adding to their portfolio will have to take their available time into consideration. In these cases we may be more likely
Franchising USA
“A great franchise will also include vital elements such as extensive training, brand recognition, ongoing education and many levels of support.” to consider adding a semi-absentee or absentee operation to their portfolio. Maintaining quality of life while growing your portfolio is critical. By finding business that are manager run from the outset we assist owners that are involved in another business grow without taking time away from their family. Those that own semi-absentee brick and mortar operations coming in already have a manager run operation and with that a little more flexibility. In some cases they had a semi-absentee business first because they used it to transition out of their job. In that case they likely found that the semi-absentee business they had alongside their job is still semi-absentee when they become a full time business owner. Often the 5-15 hours per week that a semi-absentee business demands does not engage them enough and they want more time doing what they enjoy in business. For these semi-absentee business owners we have a couple paths to consider, the first is to put them in a portfolio manager role where we accelerate the growth of their semi-absentee holding and they spend much of their time in site selection, construction and team oversight. Alternatively we could look at their professional career background and see if there is a business opportunity that would be more of a full-time endeavor, like our previous home or office based service franchise owner. While this may provide the sense of comfort of a full time endeavor, it would be limited as the only business of this kind they could run. Most of our candidates when reaching this decision point lean towards the portfolio manager role. Restaurant owners coming back to us are usually the candidates most focused on that portfolio manager role. Most restaurants are structured to be operator
run at the single unit level, then to add units the operator typically has to build a very capable local infrastructure to handle growth. That infrastructure is often a corporate office, support staff, senior managers and district/area managers who oversee multiple units. Once that infrastructure is built their goal tends to be leveraging that as much as they do their personal experience. Once they have an infrastructure built to oversee restaurants most restaurant owners focus the bulk of their efforts in that food space. We work first to understand any non-compete agreement they have and where their team has any particular skills then we tend to look at the growth opportunities in the restaurant segment. Restaurant operators tend to be very savvy in their segment and we tend see focus trending to the top three food categories: Burgers, Pizza and Chicken. Those top three categories account for the bulk of dollars spent in the fast food and fast casual spaces. With owners that have been in the food space for a long period of time we are seeing a new trend for a simpler more streamlined business model. Often they have sold, or are planning to sell, their food concept if they don’t have a family member that will step in and take it over. Moving their portfolio from food to simple semi-absentee may then be more of a retirement age timeframe quality of life move. They may be seeking fewer moving parts, higher more forgiving margins and businesses where a buyer would not be required to have the segment experience that buying an existing big brand food concept would require. We have assisted countless business owners in growing their current portfolio or transitioning to a new game plan. The key in each case is a thorough evaluation
George Knauf
of where you are and where you want to go. This may sound simple and like you can do it yourself, but regardless of experience we have found that the right professional asking the questions, looking for the gaps, strategizing the plan and acting as your sounding board can be very helpful. Invariably one of the most important factors in that planning process is the owner’s time and what any new business would require of them. The right choice can make that new business a brilliant move instead of the most challenging thing you have ever attempted. Business owners rarely feel like it is time to stop growing, they also tend to be very bad at retiring. Find the right business for where you are today and plan well for the years ahead. Mr. Knauf is a highly sought after, trusted advisor to many companies; Public, Independent and Franchised, of all sizes and in many markets. His 20 plus years of experience in both startup and mature business operations makes him uniquely qualified to advise individuals that have dreamed of going into business for themselves in order to gain more control, independence, time flexibility and to be able to earn in proportion to their real contribution. Contact the Franchising USA Expert George’s Hotline 703-424-2980 www.FranGuide.com
Franchising USA
ex per t advice
Page 37
focus
O ne S top Ta x
Ancient philosophy guides tax franchise The golden rule has been around for a long time and it’s the basic philosophy that One Stop Tax Services Inc. instills in all its franchisees. “We treat our customers the way we want to be treated,” owner Dr Charles Kinuthia said during a recent interview from the One Stop Tax headquarters in Houston, TX. In fact, the franchise is such an ardent purveyor of the golden rule that it’s been nominated for an iChange Nations Golden Rule International Award to be given out April 18 in Michigan. The tax preparation franchise has been in operation since 2009 and started franchising in 2014. Currently, it has 15 franchisees located in Texas, Alabama, Florida and California and a total of 30 locations nationwide. One Stop Tax aims to expand right across the country and has available territories in every state, with
Kinuthia specifically mentioning Georgia, Missouri, Mississippi and Kansas. “We are a young franchise, so we do have a lot of prime territories available,” Kinuthia said.
Fun Fit The type of person One Stop Tax is looking for in a franchisee is someone who can fit into the company culture, the owner noted. “We like to have people who like to make money and who like to have fun while doing so, we also love franchisees that like to give back to the community” he said. One Stop tax is involved in a lot of community work from feeding the hungry, offering scholarships to students, etc. Tax experience is good, but not necessary, he added, as the company constantly trains franchisees and their employees. Their corporate structure is also lean rather than bureaucratic, which means the company is responsive to franchisees’ needs and can easily assist newcomers to the tax industry. Working class people, as well as full-time
“We like to have people who like to make money and who like to have fun while doing so, we also love franchisees that like to give back to the community.”
Franchising USA
investors could readily fit into their system as long as they have the right attitude, he said. The company is fortunate to have a great group of leaders, Kinuthia said, and they believe they have a competitive edge with their golden rule approach to customer service.
Training That great group of great leaders is due to what Kinuthia called world-class training for both franchisees and employees. One Stop Tax’s franchising process makes it more of a partnership rather than just a financial transaction. For the training, they first start off with a minimum five-day operations training course at the corporate office in Houston. It addresses the critical aspects of operating an income tax preparation business like staffing, marketing and IT. After that, they also provide hands on training that happens at select franchise locations throughout the country. This training is focused primarily on taxes, how to prepare them, how to deliver and communicate financial products and any other functions related to the tax preparation process. The company also has advanced training that focuses on how to grow a franchise so franchisees can go from having a single location to being an area developer.
“One of the keys to having a successful organization is developing great leaders, so they can, in turn, then develop great leaders themselves.” They’ve established a training model that teaches franchisees how to sustain their growth and keep their momentum going once they’ve become successful. Every Monday during tax season, Kinuthia personally hosts a conference call where he talks about the challenges in the market, different marketing trends, staffing needs, what franchisees need to be concentrating on that week to be successful, plus hot topics like tax issues that they’re seeing lots of questions about. As One Stop Tax is big on leadership, once per month, the company also has a webinar where they talk exclusively about leadership. One of the keys to having a successful organization is developing great leaders, Kinuthia said, so they can, in turn, then develop great leaders themselves.
Going Paperless While not a new concept, One Stop Tax is developing green initiatives to help people go paperless. The tax industry uses a lot of paper, Kinuthia pointed out, and the company is concentrating on going paperless by developing a system where people walk in and out with no paper, but still have a reliable record of their taxes. Plus, they are also developing an app that will allow customers to chat with tax preparers from anywhere so they know exactly what they need to bring with them when they get their taxes done. It’s not just One Stop Tax customers who will be able to download and use this app, but anyone who has tax questions. What One Stop Tax does — help citizens fulfill their duty to their government to pay taxes — will always be necessary, Kinuthia said. His company just wants to make the process that much more pleasant with their golden rule approach to customer service. www.onestoptax.com
Franchising USA
focus
Page 39
Don’t miss an issue
Get the App
www.franchisingusamagazine.com
april 2015
Veterans in Franchising www.franchisingusamagazine.com
Veteran Chooses
First Light Home Care Spending Money
That Makes Sense
VET To CEO
offers Online Franchise Course to Veterans Franchising USA
feature
Page 41
FRANCHISING USA is part of the global network of CGB Publishing See us on
BOOTH #972 at the International Franchise Expo June 18-20, 2015 Javits Center, New York City
With 30 years experience in providing high quality business information, with a particularly strong focus on franchising, our global presence allows opportunity
T H E
I N E M A G A Z
F O R
H I S E E S F R A N C VOL 09 ISSUE
Franchising U S A
2015 03 MAR/APR
THE MAGAZ INE
AUS TRA LIA
LAN D and NEW ZEA
$5.95 www.franchisi
ngusamagazine.com
DELIVERING FRANCHISE SUCCESS WITH
THE BANK S ADVI CE FROM
T H E
M A G A Z I N E
FINANCIAL ENT MANAGIEM N TOUCH
WHICH
KEEPING
(NZ) inc. GST.
ADVI CE TOP LAWY ERS’
PETS & FRANCHISING
LATES T NEWS
FINAN CIAL ADVIC E FROM THE BANK S
E S F R A N C H I S E
w w w. c a n a d i a n f r a n
chisemagazine.co
m
VERA’S ACK ER SH BURG S TO GO FROM AIM
MAIN FEATURE
$4.95 (AUD), $6.95
F O R
M A I N F E AT U R E
FRANCHISE TO BUY
TO ASK A FRANCHISE
Franchising FOOD GLORIOUS FOOD
LIBERTY TAX
S ESTION 10 QUBE FORE BUYING
FINA NCIA L
APRIL 2015
OUR COMPAN OUR CULTUREY
WITHIN SERVICE SECTOR
S LATE ST NEW
VOL 03, ISSUE 6,
IMPROVING
S SUCCES THE
SUCCESSION PLANS
ES
FRANCHISE SAL ES
INXPRESS
THAT WORK
FOR FRANC HISE
$5.95
Canadian Franchising
CANADIAN
ISSUE 2#1 - 2015
for international franchise marketing solutions.
BEACHSIDE TO COUNTRY WIDE
SUPPLIER FORUM
TOP LAWY ERS’ ADVIC E
LATEST NEWS
1
FROM THE BANKS FINANC IAL ADVICE
Page TOP LAWYE RS’ ADVICE
Visit www.franchisingusamagazine.com to find out more Franchising USA
V eterans in F ranchisin g S upplement april 2 0 1 5 Our Veterans in Franchising special supplement has become a regular feature of Franchising USA. To share your story in the next issue, please contact Vikki Bradbury, Publisher Phone: 778 426 2446 Email: vikki@cgbpublishing.com
Contents Cover Story
Profiles
44 First Light Home Care
48 ValPak 54 Massage Envy
News & Expert Advice 46 Spending Money That Makes Sense Debbie Fanning, Veterans Business Resource Center
Focus 52 Tutor Doctor
50 Vet To CEO Patrick Mingey, Veterans Business Services
Franchising USA
V e t era ns i n Fra nchising
C over S tor y - first light ho m e car e
Veteran Chooses
First Light Home Care Due to Accommodation
Right from day one, First Light Home Care was as accommodating as possible with franchisee Eric Friedrich. As he was approaching his deployment date with the Air Force, where he was an Intelligence Officer, Friedrich contacted numerous franchises and explained that
he was set to deploy, but planned on separating from active duty upon his return. So, he wanted to get as much of the franchising process done as he could before leaving so when he returned, it would essentially be ready to start. First Light Home Care was one of the few that were more than willing to work with him, letting him do as much as he could prior to deployment so it would be ready to pick up and begin once he returned. (Most other franchises simply told him to contact
them after he returned from deployment.) Due to a leg injury, it turned out that Friedrich didn’t end up deploying, so he was able to put his franchising plans into action even sooner than anticipated. A lot of what Friedrich had read about franchising warned him that franchisors can be accommodating up front, but disappear when they get their franchising fee. That’s why he feels especially fortunate to be with First Light. “They all just sounded genuine and sincere and they actually cared about me and my well being,” Friedrich recalled during an interview at his office in Brunswick, GA. Although based in Brunswick, Friedrich’s franchise does most of its business on St. Simons Island. “We provide non-medical home care to seniors, new mothers and people with disabilities,” Friedrich explained. “Nonmedical meaning personal care and companion care.” Personal care is when someone needs assistance with the activities of daily living, like mobility, getting out of bed, getting in and out of cars, using the bathroom, basic hygiene, eating, bathing and more. If clients don’t need hands on care, they can still provide companion care to keep the person company and drive them
“‘We provide non-medical home care to seniors, new mothers and people with disabilities...non-medical meaning personal care and companion care.” Franchising USA
“‘If clients don’t need hands on care, they can still provide companion care to keep the person company and drive them around on errands and grocery shopping.” around on errands and grocery shopping. While in client’s homes, caretakers will also help with light housekeeping work and some light cooking.
Starting Out Friedrich moved into his current office in March 2014, but there was a state licensing process to go through, so he’s been in operation officially since July 2014. His initial contact with the franchise happened in August 2013 via a program through Veteran’s Affairs that helps veterans get set up with a franchise. After looking into several different types of franchises, the more he researched, the more the non-medical home care business appealed to him. This makes sense, as Friedrich was born and raised in a medical family with a father who was an ear, nose and throat doctor while his mother worked in his father’s surgery center. It was wanting to spend as much quality time with his parents, who are both seniors now, that brought him back to Brunswick, St. Simons Island where he was born and raised, to open his franchise. Friedrich described himself as passionate about the area. He is equally as passionate about how much he learned from his time in the Air Force. In fact, he’s still in the Air Force reserves and serves from time to time. Through the Air Force, he said, he was able to travel the world, do some amazing things and meet amazing people. His service also provided him with the work ethic, organization, and people management skills to make his franchise a success. And if his work-life balance is any indication, it’s a successful franchise. As with all businesses, Friedrich had to work
long hours to get it off the ground, but now that the business has hit its stride, he has much more free time. Currently, he has three office staff managing 40 caregivers. “Things that used to take us four hours at the beginning, we can do in 20 minutes now,” he noted.
Quality Corporate Support Part of that success with getting the business established involves the support he receives from First Light, which was a lot when he was getting things going. “My first few months of business, I was on the phone with them every single day,” he said. Any unfamiliar situations that popped up, and there were many at the beginning, the First Light staff would talk him through it. Headquartered in Cincinnati, OH, First Light keeps a registered nurse on staff for consultation. And while Friedrich’s franchise also has a registered nurse on staff, the one at headquarters has been doing it for so long, her insight is invaluable. Additionally, the knowledge of the First Light technology expert who can walk him through every single accounting issue and through any issues with their scheduling software is equally as important. First Light has staff to help with marketing, they are continually building national alliances with big name companies and they have monthly franchise calls to share news and touch base with everyone. Right from the beginning, the company has been active with their help, analyzing the site Friedrich had picked out and giving him insight into the demographics in the area. Once Friedrich signed the franchise agreement, First Light provided him with a two-week new owner training course where they taught him everything about
best practices for hiring and using the scheduling and tracking systems. The training was so extensive, it included role playing of scenarios that he would be likely to run into in that sort of work environment. It also included tours of complimentary businesses like the emergency care call center for seniors. One thing Friedrich especially likes is First Light’s use of a third-party quality control company that the franchisees are required to use for evaluation. That third party company calls clients and care givers and gives their ranking based on that. “That’s a good way to gauge how we’re doing,” Friedrich said. In a business that’s all about being accommodating to clients, First Light Home Care showed Friedrich just how accommodating they could be with their franchisees. For more information: www.firstlighthomecare.com
Franchising USA
V e t era ns i n Fra nchisi ng
Page 45
V e t era ns i n Fra nchising
Debbie Fanning, Administrator, Veterans Business Resource Center
Spending
Money That Makes Sense Here it is! Tax season and you spent the entire month of March trying to remember what expenses were business and what were dinner out with the little league team. Entrepreneurs thrive on a DIY mentality:
Do everything you can yourself and don’t pay for anything new until you have
absolutely must. They find it especially
Franchising USA
difficult to justify hiring financial help like a bookkeeper. With user friendly software such as QuickBooks available, many business owners feel they should be able to do keep their records on their own, even as they wrestle with finding the time and wonder if they’re doing things correctly. Entrepreneurs who hire accounting help usually discover they weren’t doing nearly as well on their own as they thought they were. Veterans ask us all the time, what options are available for professional help with financial tasks? Here is a primer:
Do I Need a Bookkeeper or an Accountant? Actually it’s a trick question. You may need both. Think of it as needing to hire both a carpenter and an architect when building a house. An accountant can analyze the big picture of your financial situation and offer strategic advice. He or she produces key financial documents, such as a profit and loss statement, if needed, and files a company’s taxes. After tax season is over, an accountant can also act as an outsourced chief financial
“Entrepreneurs who hire accounting help usually discover they weren’t doing nearly as well on their own as they thought they were.” “Knowledge is power,” even when it comes to the small details. If you don’t have a bookkeeper, you’re probably not being as strategic as you could be in how you spend your money.
When do I Bring in a Bookkeeper? Initially you may need a bookkeeper for a few hours a week within a few months after starting a new venture. For the first six to nine months, you may be too busy to focus much on recordkeeping, then things may begin to stabilize. Then you can see trends and you can start to think strategically about where your money is going and where you can save. This is when a bookkeeper becomes valuable. The rates for hiring a bookkeeper on a part-time basis in the U.S. can range from $15 to $60 an hour, depending on location, the workload and whether work is done at the company’s office or from home.
When do I Hire a Staff Accountant or Bookkeeper? officer, advising an entrepreneur on financial strategies, such as whether to secure a line of credit against receivables when introducing new products. In contrast, a bookkeeper does the day to day hands on tasks: making sure new employees file all the right paperwork for the company’s payroll, submitting invoices (promptly) and following up on them, and paying the bills. The bookkeeper also tracks company expenses and can assure that every cost has been entered and recorded correctly into software like QuickBooks so that the business is ready for tax time along with filing any other reporting to, say, creditors or investors.
Many small entrepreneurs can probably stick to outsourcing accounting or bookkeeping services for quite some time. The typical service business can often outsource its chief financial officer tasks and bookkeeping until its revenues rises well above the $1 million mark or until it has about 30 employees. Until then, most businesses usually don’t have enough work to keep a full-timer busy every day. It’s time to hire full-time help though when you’re calling your accountant often enough that you wish he or she were in the office all the time. Bring in a fulltime bookkeeper when your part-timer is spending two or three full days in the office and still falling behind.
Debbie Fanning
Be sure to seek out a bookkeeper and an accountant who can speak to you plainly. Many financial or accounting professionals struggle with this. Also, never be afraid to stand up and say, “I’m not fully understanding what you are telling me. Can you rephrase?” Accounting can be a lot of gobbledygook and is a language all its own. Professionals can be very good at what they do, but they also need to be able to explain concepts easily. A professional demeanor, friendly personality, and honesty are also important. You want to be sure that if there is something crucial that needs to be discussed, the discussion is timely and isn’t put off if it’s unpleasant. Most new business owners find a staffing solution somewhere along the continuum that ranges from trying to go it alone and paying for full-time help. If you need assistance making this decision, reach out to the Center at 314-531-VETS (8387) or info@vetbiz.com. Our consultants can help you assess your company needs as you grow your business. Debbie Fanning, Administrator at the Veterans Business Resource Center and all around guru of numbers. She can be reached at fanning@vetbiz.com where you can discuss her love of gardening, cooking and how she puts her CPA background to excellent use for Veteran small business owners. (But really ask her how much she loves peas!)
Franchising USA
V e t era ns i n Fra nchisi ng
Page 47
V e t era ns i n Fra nchising
Valpa k
“Even though it’s vastly different, the military does train you to be a leader and to be mission-oriented.” Lozier spent 15 years in the U.S. Marine Corps, in the enlisted ranks and then as
an officer. Being apart from his wife was the hardest part of his tenure with the
military. So when it came time for a new
career endeavor, Mike and Robyn decided to go into business together. Lozier has successfully transitioned from being
a leader in the U.S. Marine Corps to a
thriving franchise business owner with
the leader in cooperative direct mail. The couple purchased their Valpak franchise from Robyn’s parents, and have since
operated their New Jersey business with Mike as CEO and Robyn as President.
They offer Valpak’s flagship blue envelope and an impressive portfolio of digital
advertising products to business customers throughout their franchise territory.
Even though it’s vastly different, the
military does train you to be a leader and
Mike Lozier
Valpak, a leader in local print and digital coupons, initiated a veteran’s incentive program in 2012 to support returning U.S. military veterans seeking to start a Valpak franchise. Valpak will waive start-up fees for qualified, honorably discharged veterans, making it easier for them to start their franchise business and receive training at no direct cost. The savings amount can be up to $32,500. The company is also a proud member of the International
Franchising USA
to be mission-oriented. “As a Marine,
there was no task too small or too large
that I couldn’t figure out a way to get the
Profile
Franchise Association’s VetFran Program. Valpak has several veteran franchisees in the family, including Mike Lozier, who owns the Valpak of N.J. Gold Coast along with his wife Robyn. Lozier served for 10 years in the enlisted ranks in various positions, ranging from Intelligence Analyst and Marine Reconnaissance to Close Combat Instructor. He completed challenging, lengthy training courses, such as U.S. Army Airborne School, U.S. Army Ranger School, Combat EMT Training, U.S. Army S.E.R.E. (Survival, Evading, Resistance, Escape), also known as POW School, and USMC Amphibious Reconnaissance Course. As an officer for an additional five years, he served as a Financial Management Officer.
job done,” said Lozier. “Being a Valpak
owner is similar, because you are always
on deadline and must meet those deadlines in order to manage hundreds of accounts
and deliver top-notch customer service to each and every one.”
The Lozier’s have quickly become
standouts in their region. Mike will tell others that the most important thing to do when transitioning from a military
career to the business world is to choose
a career you love. As a Valpak owner, he
loves helping other small business owners
market their products and services. He gets great satisfaction in helping them expand their business and attract more and more customers.
For more information on becoming a Valpak franchisee, please visit www.valpakfranchising.com.
Page 49
OWN IT!
Do you want to be in business for yourself but not by yourself? Franchising is the proven answer.
1 Global Exposition 400+ Leading Franchise Brands
DIDYOUKNOW:
There are franchise opportunities in every industry at every investment level, even part-time and home-based.
Register for FREE and attend 70+ FREE educational seminars. Learn how you could own one of these top franchise brands:
The Javits Center, New York City - June 18-20, 2015
Register today for FREE!
Sponsored by:
Visit: IFEinfo.com use promo code: FRANUSA
#IFE2015
Franchising USA
V e t era ns i n Fra nchising
Patrick Mingey, Marketing Director, Veterans Business Services
Franchisors are stepping up to provide sponsorship support for the “Franchising for Transitioning Warriors Program.” Vet to CEO in collaboration with Veterans Business Services has developed an innovative seven week online course which is specific to the franchising industry. Vet to CEO historically has been offering entrepreneurial franchising courses to transitioning Veterans since 2012 but now has adapted the online course to focus on the franchise industry. The current online entrepreneurial seven week program has already been offered to hundreds of transitioning Veterans on a monthly basis but now Veterans can learn about the intricacies of the franchise industry and the many facets of starting a franchise business through the new franchising course. “Franchising for Transitioning Warriors Program” will address issues relating
“Last time we promoted the course we received over 75 eager Veterans interested in taking the course within five days and the course usually has initial enrollments over 100 members.”
Franchising USA
to financing, marketing, and business planning as it relates to purchasing any franchise concept. The Vet to CEO franchising based online program has experienced facilitators in entrepreneurship and teaches franchising principles exclusively to veterans and transitioning members of the military. The program enables veterans to construct a viable business plan for acquiring a franchise based on a military planning model. The program also leverages the innovative GUST platform to assist participants seeking funding sources for their businesses. The course is free to all vets, funded by donations and support from franchisors. “VetToCEO started with a Kaufmann Foundation partnership,” said Mike Horn, a Director at VetToCEO “We designed our own program after delivering the Kauffman FastTrac program and have delivered it to hundreds of veterans.” Now, in collaboration with Veterans Business Services and several quality franchisors, we can deliver the same hands on approach to Veterans interested in franchise opportunities. The “Franchising for Transitioning Warriors Program” is a very hands-on program,” said John Panaccione. “The Veteran entrepreneurs we work with, from start-up to experienced business owners, are taught entrepreneurship in much the same way as they learned skills in the military, making it easier to understand how their military service can equate to entrepreneurial success.” John Panaccione served as an 82nd Airborne paratrooper and then started a software company, LogicBay, in Wilmington, North Carolina. He’s convinced that other vets have what it takes to start their own businesses. Through Vet to CEO, the nonprofit he co-founded, he’s showing them just how to do it.
educating Veterans. Each educational online module will have guest speakers from the franchising industry or from the business services sector to provide unique experiential lectures from the experts in the franchise industry. When you consider that almost 10 percent of small businesses are owned by members of the active military or veterans, any training that helps make the transition from active military service to successful entrepreneurship is a worthwhile endeavor. Companies such as Tutor Doctor, UPS Stores, and StreetShares are stepping up to support the program and Vet to CEO/VBS is inviting other franchise organizations to get involved as sponsors to support the program on an ongoing basis. “Veteran enrollment for the class has not been an issue.”, states Patrick Mingey Director of Marketing for VBS, “last time we promoted the course we received over 75 eager Veterans interested in taking the course within five days and the course usually has initial enrollments over 100 members.” VBS is very excited to continue to promote the new “Franchising for Transitioning Warriors Program,” and we are inviting representatives of the franchise industry to not only sponsor the program but take an integral role is supporting Veterans through sharing your knowledge within the webinars.
John Panaccione, Vet to Ceo
Get to know the presenters John Panaccione and Mike Horn by visiting www.VettoCEO.org and learn more about Jim Mingey at www.veteransbusinessservices.us. The franchising course “Franchising for Transitioning Warriors Program” will be offered on June 23rd through August 1st, and Veterans can register for at http:// www.vettoceo.org/franchising/ If you are interested in becoming a sponsor for the course or possibly becoming a presenter within one of the webinar modules, please contact Patrick Mingey at 610-504-5385 or email him at pmingey@veteransbusinessservices.us
Vet to CEO has a unique way of teaching and has a collaborative approach to
Franchising USA
V e t era ns i n Fra nchisi ng
Page 51
V e t era ns i n Fra nchising
FOCUS - Tu tor Doctor
Veterans Business Services strategy
to reach, support and help place Veterans in franchising continues to work one Veteran at a time
Our marketing platform built in 2013 to support Veterans in franchising has been selecting only franchises that provide discounts or incentives to Veterans and which have a commitment to supporting Veterans in the future. VBS has been educating and mentoring Veterans about the franchise selection process and Bobbi Collins selection of the Tutor Doctor franchise is another example how we are reaching Veterans who have a passion for franchising. Tutor Doctor started marketing with VBS in September 2014 with an aggressive campaign to promote their Veterans Entrepreneur Program which provides up to 100% financing at 0% interest for those who qualify. Bobbi Collins, was interested in the Tutor Doctor offering which is an attractive business model to Veterans for a number of reasons, including the unique value proposition and the fulfillment of making a difference in the lives of customers. Bobbi L. Collins was a DLA Pacific Deputy Commander. She is a distinguished graduate of the Naval Postgraduate School where she was awarded the Master of Science Degree in
Franchising USA
“‘Tutor Doctor started marketing with VBS in September 2014 with an aggressive campaign to promote their Veterans Entrepreneur Program which provides up to 100% financing at 0% interest for those who qualify.” Systems Management, with a subspecialty in Supply Chain Management. She also earned the Naval Supply Systems Command Award for Excellence in Systems Management. Ms. Collins retired from the United States Navy as a Commander in the Supply Corps in May 2007. She reported to Officer Candidate School in April 1986, where she received her commission on August 1, 1986. Her joint experience is the result of serving as an International Logistics Officer at the U.S. Pacific Command, Camp Smith, Hawaii, working in both joint and combined logistics efforts. Her military assignments within the Defense Logistics Agency include the Commander of the Defense Supply Center Philadelphia, Pacific Region and the Operations Officer of the Defense Distribution Depot, Pearl Harbor, Hawaii. Ms. Collins’ awards include three Defense Meritorious Service Medals, two Navy Commendation Medals, a Navy Achievement Medal, and the Surface Warfare Supply Corps Officer Qualification pin. Bobbi is an entrepreneurial military veteran who has spent the majority of her
military providing broad logistics and supply support for government contracts. Much of this support is delivered based on large contracts. Bobbi connected with Tutor Doctor in mid-October 2014 because she saw that need in her market for a professional company to offer private, in-home tutoring. She had first-hand experience with the deficiencies in the learning center model and knew that Tutor Doctor provided a unique business opportunity for her local community. Now just four months later she is up and running with revenue being generated in the first week of business. As you consider this story, keep in mind that Bobbi does not have a background in education. Rather, she has a passion for owning a business that offers a unique service that makes a difference in the lives of their customers. Think of what Tutor Doctor is doing to the supplemental education industry like what Redbox and Netflix have done to the movie rental market. Virtually overnight, these companies structurally altered the way people rent movies by creating a more convenient, more effective and more affordable way to watch movies (which
“‘VBS would like to applaud Bobbi Collins on successfully starting a Tutor Doctor franchise and we wish her all the success in the future.” put Blockbuster out of business). At Tutor Doctor, they are reshaping the way parents can get academic help for their children. American’s mindset toward education and tutoring has shifted and private tutoring is the fastest growing trend among parents to help their children achieve their academic goals. When parents discover that Tutor Doctor will match their child with a professional tutor who will work with their child on a one-to-one basis in the convenience of their own home, all for about the same price they would pay to take their child to a learning center, they are blown away. VBS would like to applaud Bobbi Collins on successfully starting a Tutor Doctor franchise and we wish her all the success in the future. For additional information about the Tutor Doctor please visit http://www. veteransbusinessservices.us/productitem/tutor-doctor/
Bobbi Collins & Marissa Allen
Franchising USA
V e t era ns i n Fra nchisi ng
Page 53
V e t era ns i n Fra nchising
M assag e Env y Spa
Austin Amsden
Massage Envy Spa, the pioneer and national leader of professional, convenient and affordable massage and spa services, has made it a priority to recruit franchise owners with military experience. The company, a proud member of the International Franchise Association’s VetFran Program, offers a discounted franchise fee to veterans and has implemented a marketing program to educate and recruit veteran franchisees. Massage Envy Spa franchisee and former U.S. Navy officer Austin Amsden is a medically retired and disabled veteran. Amsden’s family has historic roots in the U.S. Military dating way back to 1889. His great-great-great grandfather was the draftsman and builder of the Eisenhower Building, which stands next to the White House. Amsden joined the Navy in 2004 as a nuclear engineering electrician’s mate
Franchising USA
Profile
student, and then transitioned to a military liaison position. Afterwards, he served onboard the USS Boxer and was present at the rescuing of Captain Philips and the Mersck Alabama. Commissioned as a U.S. naval officer in the Supply Corps in 2010, he served as a supply corps officer onboard the USS Mesa Verde. During the Libyan Liberation operations in 2011, Amsden ran an anti-piracy and anti-terrorism team called VBSS. Amsden became entrenched in the health and wellness industry while recovering from injuries suffered during active duty, requiring several rounds of surgeries. After shredding his left knee in 2006 while standing watch on active duty in South Carolina, he became an orthopedic patient requiring physical therapy. In fact, both of his knees have required multiple surgeries and therapies for long periods. Eventually, a surgeon recommended that he also begin a regimen of regular massages, which have helped tremendously with his recovery process. According to Amsden, military veterans often find themselves taking advantage of massage therapy after their time in service to help them with recovery from health issues.
Amsden and his wife, who is currently active in the U.S. Navy as a registered nurse, were introduced to Massage Envy Spa when they went to a local clinic for a couples massage in 2008. After their visit, the two became members. When Amsden medically retired in July 2013 as a disabled veteran, he already had a strong connection to the health and wellness industry and Massage Envy Spa, which led him to become a franchisee, with his wife as his partner. “We love being part of a company that in today’s ‘what’s in it for me’ business mentality, is truly trying to improve lives and offer pain relief from conditions such as arthritis and chronic headaches,” said Amsden. “Some of our most rewarding moments have been when clients who have suffered from multiple illnesses or chronic pain have come out of their massage sessions crying tears of relief that they can finally sleep or bend over or reduce their pain medications. Many have even sent cards to our clinic thanking us for finally relieving their pain and helping them find a pathway to wellness.” For more information on becoming a Massage Envy Spa franchisee, please visit www.MassageEnvyFranchise.com.
Page 55
Franchising USA
ex per t advice
7
Andrew Kyle Zagrodzky, Cagnetta, President, CEO, Transworld OsteoStrong Business Advisors
Ways to Improve Franchisee Communications
Kyle Zagrodzky
Franchises are meant to be big. Without the promise of significant scale, there is no point in the major investments every new franchise demands. Everything from network expansion to branding and legal setup all come at a cost, but there is a hidden pitfall in expansion that’s often overlooked in lieu of line items that pack a punch on the bottom line—the challenge of staying connected with a growing group of franchisees.
Franchising USA
In the beginning, everyone knows everyone. Life on the ground floor can be both exciting and simple, and it’s easy to stay in touch. But as the franchise vision becomes a reality and more new people join the team, it becomes harder to pay attention to which franchisees are in the loop and notice who might be falling through the cracks. Isolated franchisees may not show up in the cost spectrum right away, but they could end up crashing the brand. To build and maintain a positive culture of cohesion, solid communication has to be emphasized at every level. Without it, morale and performance could plummet.
Build a thorough organizational structure One person businesses can revolve around a single leader or two, but franchises have to be prepared for grander development with a solid organizational structure that plans for today as well as tomorrow. Accessibility is everything when it comes to building a healthy franchise, but for any ship to sail smoothly, every sailor can’t have access to the captain 24-7. Instead, leaders should lean on a structure that empowers regional developers to be an extension of the corporate team. Regional developers who serve as both franchisees and corporate spokespeople can be your eyes and ears, relay vital messages, and understand daily franchise life.
Emphasize education Notable franchises invest time and resources in educating the entire team on the brand’s systems, scripts, personality, and strategies. Emphasis on education goes double for regional developers, who can personally pass on their knowledge to new, seasoned, and potential franchisees. It’s not easy to educate every single franchisee flawlessly, but if they can rely on a solid backup system for help, they’re more likely to ask questions quickly instead of waiting around for rescue.
Send specialists to oversee operations, especially in the beginning A vetted group of regional developers is an asset, but new franchisees will need more than supervision when they first get started. A specialized field trainer should be dedicated to holding hands, answering questions, and being on-site just before and during the first few opening days. Telephone and email support is always great, but there is nothing like having a human being there to help when you need it most.
Keep checking in To keep the team connected, don’t rely only on field trainers and regional reps to guide franchisees through every process. Conference calls aren’t enough, either. Every week, someone from corporate leadership should reach out to franchisees
directly by phone. A personal phone call from one human to another makes people feel important, plus gives franchisees an opportunity to ask questions or raise issues they might not feel comfortable bringing up on a group call.
Don’t just ask about numbers Numbers are an indication of profit and performance, but they can’t even begin to tell the whole story of how a franchisee is really doing. Reach out on multiple levels to ask if franchisees need guidance. If someone is particularly successful, find out what they’re doing to stay on top and shine a spotlight on how they achieved wins. If they’re struggling, offer to help by connecting them with experts and introducing them to other franchisees who have overcome similar obstacles.
Develop a culture Blast emails are a useful communication tool, but the finest mass marketing on earth can’t build a meaningful culture that people will feel proud to be part of. Mega-
“To build and maintain a positive culture of cohesion, solid communication has to be emphasized at every level.” messaging keeps people on the same page and can serve as a support for an existing culture, but it’s no substitute. Every level of your franchise team structure should ooze a positive attitude that faces challenges directly, solves problems, and encourages teamwork to drive success for everyone.
Guide franchisees away from communication cracks Some franchisees will have a harder time feeling connected at first, especially when they’re caught in the fray of running a business, but that’s no excuse for letting anyone fall through a communication crack. Track all communications in a shared system that includes notes, schedules, and a log of contact dates and times. Don’t let a franchisee slide into a communication gap. Communication is about connection, but it takes concentrated effort at every leadership level to maintain a healthy
verbal exchange network. However, building a reliable structure and implementing a strong system with checks and balances will amount to a happy culture and hearty profits in the present and the long term. Kyle Zagrodzky is president of OsteoStrong, the health and wellness system that boosts bone and muscle strength in less than 10 minutes a week using scientifically proven osteogenic loading concepts. OsteoStrong introduced a new era in modern fitness and aging prevention two years ago and has since helped thousands of clients between ages eight and 92 improve strength, balance, endurance, and bone density. In 2014, the brand signed commitments with nine regional developers to launch 500 new locations across America. www.osteostrong.com
Franchising USA
ex per t advice
Page 57
Focus
N u tr ition Zone
We are in the business of
changing lives
Nutrition Zone was founded to serve, educate and empower the community by improving the quality of our client’s lives.
The Right Industry
The Right Opportunity
It’s no secret that sports nutrition is
Nutrition Zone has Franchising opportunities open in key territories across the U.S. for individuals who are as passionate about helping people, and grabbing hold of their financial freedom, as we are at Nutrition Zone.
From inception, Nutrition Zone’s customer service and sincerity has been at the forefront of its growth. This is realized through highly educated Franchisees and NZ Team Members who share our goal of making a positive, meaningful impact in our communities.
proliferation of gyms (24hr fitness,
Nutrition Zone, the Premier Sports Nutrition Retailer, currently has over 25 stores in the U.S. that provide premium service and premium products at extremely competitive prices.
Franchising USA
growing at an exponential rate, but you may be surprised to hear, according to Forbes, that 2012 revenue equaled $32
Billion, and in a short time it is projected to surpass $60 Billion!
Everything around us, from the
LA fitness, Crossfit) to the increasing awareness of health consciousness
(Wholefoods, Trader Joe’s, low calorie menus) is boosting this industry boom even faster.
And on the other side, the US population becoming more obese than ever, busy
lifestyles and the increase of health care
costs, are also driving consumers into this industry, and into Nutrition Zone stores.
Nutrition Zone is the fastest growing sports nutrition retailer not only because they have the best looking stores, superior products, proven franchise systems and passionate reliable support, but Nutrition Zone also has one of the lowest start-up entry investment costs in the industry. Low entry cost equals rapid industry leading ROI. It’s simple. Nutrition Zone gets it. Lower investment cost with superior service and great products and knowledge…equals… value. Nutrition Zone has the right
formula for anyone interested in the sports nutrition, health and wellness industry to own his or her own business.
The Right Team With over 75 years combined experience in franchising, brand building and operations, and 10+ years of perfecting the Nutrition Zone store model, the Nutrition Zone team has skillfully tested and proven the Nutrition Zone business model in the most demanding markets in the country. Nutrition Zone is proud to have the best and brightest on its Executive Team, individuals who have created and obtained phenomenal success in the Franchise and Consumer Goods industries, bringing with them a level of professionalism, insight and skillset not found in any of their competitors. This group includes: Founder & CEO Joseph Eckstrom, with over 20 years of business management in the sports nutrition and fitness industry. Partner & President Trenton Ulicny, a serial entrepreneur who has founded and managed his previous companies to outstanding financial success and brand recognition, including TY KU Sake & Spirits. And Greg Ferrell and George Huggins, founders of Conehead Investments, Inc, who pioneered over $100 Million in sales with their management
“Nutrition Zone has the right formula for anyone interested in the sports nutrition, health and wellness industry to own his or her own business.” and support as Area Developers with franchise standout Cold Stone Creamery.
The Right Support Nutrition Zone invests heavily in systems, as it is the backbone of success. This can be found in Nutrition Zone’s Point of Sale System, Product Ordering, Warehousing and Logistic capabilities as well. Thanks to these systems, processes and investment, Nutrition Zone can focus where it matters, on serving their franchisees and helping you grow your business. Nutrition Zone has also developed the benchmark for training in the sports, health and wellness industry with NZU: Nutrition Zone University. NZU is a combination of in-classroom and online instruction that is used to fully teach, train and empower Nutrition Zone’s Franchise Partners. One of the core values at Nutrition Zone is SERVICE, and Nutrition Zone knows that extended knowledge in diet and supplementation will allow you to help serve your customers, driving loyalty and profits. NZU is continually adding courses and
classes to keep you up to date on the latest information in the industry. On the marketing front, Nutrition Zone’s marketing provides your customers and you with cutting edge, innovative, and relevant campaigns and materials. At the forefront of Social Media inside the nutrition and wellness industry, Nutrition Zone maximizes every dollar utilizing the latest technology, strategies, and partnerships to communicate and influence carefully identified core demographics. Nutrition Zone’s knowledge and experience allows them to target local markets as well, capturing new customers and driving foot traffic, providing you the support you need to win!
Join the Nutrition Zone Team Live Your Dream! If you feel you are ready to live your dreams, and have what it takes to make those a reality with our team, Nutrition Zone welcomes you to take the next step toward Nutrition Zone Franchise ownership. www.nutritionzonefranchise.com
Franchising USA
focus
Page 59
ex per t advice
Andrew David Banfield, Cagnetta, President, CEO, Transworld The Interface Business Financial Advisors Group
What creates an above average
franchise opportunity?
In all startup operations there is always an element of capital required to establish the business, and then to cover day-to-day operations going forward. This is equally true with both franchises and those that start from scratch. With a franchise model, much of the costly prestartup work has already been carried out and financed by the franchisor. The Interface opportunity brings a venture to the marketplace where, naturally, the early stage development work and cost have already been covered.
The Interface Financial Group offers a financial service dedicated to the SME market sector. They have, over 40 years, defined a unique delivery system through a franchise and licensing approach. Now operating in 9 countries, they are again expanding and looking for new growth opportunities. The service offered by Interface is a simple invoice discounting process. Interface takes single invoices from their small business clients and turns them into instant cash. This cash flow acceleration service is much in demand at the small business level. Typically banks have been the main suppliers of credit to the business world. In
Franchising USA
today’s environment however few, if any, banks have a genuine appetite for assisting their small business clients. This shortcoming in their approach provides a natural opportunity for Interface. Working with businesses that in many cases have been rejected by their bankers, Interface is able to complete their due diligence and put a financing opportunity together literally in a few business days. By delivering this service through local franchised offices, Interface is able to work with prospective clients on a face-toface basis adding confidence and speed to the startup process. While economic uncertainties continue, this in demand service will certainly provide a valuable service to small entrepreneurial growing companies.
In any new business you will need capital for premises, equipment, staff, inventory and so on. What happens if you have a business that requires virtually none of those elements? Well, naturally, you eliminate the cost. Interface has achieved this for their franchisees by making this a simple homebased business that in the very simplest of terms only requires a telephone, fax capability, and a computer with a reliable broad band service. Does age matter? In some areas maybe it can be dismissed, and in others it is a foundational part of a business. Starting a business from scratch requires many things over and above the basic finance and business plan. It requires ‘courage’. Starting from scratch is in many instances like setting off into the unknown. For these reasons franchising has achieved a strong foundation in the business world as it brings, in many cases, instant history to a startup business.
Page 61
The Best Choice In Franchising
7(9 #(//3% /.% 34/0 4!8 &2!.#()3%
One Stop Tax Services, Inc 7322 SW Freeway, Suite 1506 Houston, TX 77054
s 2ECESSION RESISTANT
s Ongoing Training
s (IGH 2ETURN ON INVESTMENT
s 9EAR 2OUND SUPPORT
s ,OW START UP #OST s 0ROVEN -ARKETING PLAN
s -ULTI UNIT OPPORTUNITIES AVAILABLE
s 0RIME TERRITORIES AVAILABLE
s -INIMAL REAL ESTATE NEEDED
s 0ROVEN "USINESS SYSTEM
s 7ORK ONLY MONTHS OF THE YEAR
s .O 4AX /2 !CCOUNTING EXPERIENCE NECESSARY
s 3ITE SELECTION ASSISTANCE
Own a Franchise
Phone: 855.408.2937 Ext 809 Fax: 281.763.2722 www.onestoptax.com Email:franchise@onestoptax.com
Franchising USA
ex per t advice
Andrew David Banfield, Cagnetta, President, CEO, Transworld The Interface Business Financial Advisors Group
“It requires ‘courage’. Starting from scratch is in many instances like setting off into the unknown.” History is not easily measured in terms of the events contained in the background. However, the fact that it exists creates the all important starting point for an entrepreneur. Knowing that someone has pioneered the way before you is a great asset. Especially when you realize that at they’ve travelled down the same road and cleared the road blocks from their path as part of the initial learning curve. In many franchise models, the original business operated for many years prior to it becoming a franchise. This was certainly the case with Interface. It operated for approximately 20 years prior to franchising, thus accumulating a vast wealth of background information and knowledge that they could package into their franchised opportunity. If you are familiar with franchising to any degree, you will know that in a ‘maid’ type franchise it is not the franchisor that is out cleaning houses, likewise in a hair salon franchise, it is not the franchisor that is involved in day-to-day hair styling and working with clients. This is where the Interface opportunity shows a real difference. Interface is involved with each and every franchisee on a daily basis, working with them on every transaction to ensure that they are completely comfortable with all aspects of the transaction. Very few Interface franchisees come into the business with an indepth knowledge of invoice discounting or factoring. It is, therefore, essential they know there is this comfort zone whereby they can get immediate expert advice and direction based on over 40 years of hands on experience. Our experience tells us that franchisees work to their maximum potential when they know that they have a strong support team and back office facility at hand. Many of the potential franchisees that apply for a franchise award from Interface
Franchising USA
are long-term corporate individuals. They have devoted many years of their career to working for large corporations. In some cases they have spent an entire career with just one employer. Employment guarantees are a thing of the past, and no longer does 20+ years of loyal service mean that your services will be required tomorrow. These corporate ‘refugees’ are all looking for their next career and, in many cases, finding it extremely difficult to identify an appropriate direction. In many cases, age can be a factor that reduces their opportunities. They all have strong work ethics and 40/50/60 hours a week is not an unusual work load for many of them. When they talk to Interface we have to burst their expectations balloon, as Interface offers a franchise that calculates time needed in hours per month rather than per week. We have styled our franchise in such a way that an individual franchisee can engage in other activities, including having a real and normal family life alongside their Interface business. Working hard is fine, but working smart with Interface is even better.
David Banfield
Franchisees build their business through a networking approach. This means that we eliminate cold calling, telemarketing (illegal in some areas) and other such ‘hard work’ approaches. By working with entities that can actually refer potential clients to Interface, we quickly build a business in both a professional and cost effective manner. Creating relationships is not a difficult task, so we encourage our franchisees to network with specific groups in their area to create a solid lead source referral group that keeps their new business pipeline active. As a franchisor, we believe it is also part of our task to ensure that each franchisee has an initial lead source referral group as they open their franchise operations. To this end, we craft that initial group for each franchisee.
As these candidates work through the due diligence process, probably the number one question we are asked as a franchisor is, how do you get business, and how do Interface franchisees build their portfolio?
Relationship marketing is a solid approach that generates lasting results. Likewise, having a strong ‘hands-on’ relationship between franchisee and franchisor is all part of the recipe for success.
We always start off the answer with an understanding of what a portfolio of clients looks like. Typically it will be small - probably less than 10 active clients, and 5 or 6 is not at all uncommon.
David Banfield is President of The Interface Financial Group, a position that he has held for over 20 years. He has been instrumental in starting Interface as a franchise opportunity and building it to its current international status. Prior to his involvement with Interface, he worked extensively in the banking, credit and factoring financial service areas.
Armed with that knowledge, we can now explore what works for us. With over 40 years of history, we have literally tried all client acquisition methods over the years. We always keep coming back to one that has been tried and tested and proved to work for us.
For more information visit: www.interfacefinancial.com
HELPING OTHERS FIND THE PERFECT FRANCHISE Are you considering owning your own business or franchise and not sure where to start? Best Franchises, LLC provides free franchise consulting services to entrepreneurs just like you. We represent over 475 of today’s leading franchise opportunities and our professional franchise consultants can help you navigate the often overwhelming franchise world to choose the franchises that are right for you and your market.
OUR FULL RANGE OF SERVICES INCLUDE: t 'SBODIJTF $POTVMUJOH 4FSWJDFT t "TTJTUBODF JG ZPV MPPLJOH UP QVSDIBTF B GSBODIJTF t 4FSWJDFT GPS 'SBODIJTPST t 'SBODIJTF #SPLFSJOH t #SPLFS UP #SPLFS .BSLFUJOH t 'SBODIJTF .BSLFUJOH
DO YOU HAVE QUESTIONS ABOUT FRANCHISING OR THE SERVICES WE OFFER? If so, please visit our website at: bestfran4u.com Or, call: 262-442-6990 Franchising USA
spotlight o n serv ice
Income S tore
puts websites to work for you “authority website,” which is modelled after the website WebMD. These authority websites provide people or companies with a large traffic pattern, a lot of leads and provide multiple revenue streams for them. This helps balance their revenue against their expenses. As an example, Courtright said, a private equity firm in Washington state has approached Income Store over a dozen times and said they’ve just sold an oil well or some other piece of property and have money to invest. Instead of purchasing real estate or traditional investment assets, the Washington firm purchases revenue generating websites.
When people think of safe places to grow their money, websites may not be the first things that come to mind, but Income Store wants to change that. Lead by CEO Ken Courtright, Income Store is a 23-year old growth consulting firm that has turned its attention away from traditional growth consulting over the past six years to the purchase of websites. “Today, we manage a portfolio of just under 500 revenue-generating websites
Franchising USA
for individuals, companies and private
equity firms,” Courtright explained during a recent interview from the Income
Store headquarters in Minooka, Illinois, southwest of Chicago.
Typically, Courtright said, people call
them up and say they need a second or
third revenue stream and Income Store will either build them or buy them a
website that is large enough to attract
enough traffic that it is able to sustain a
steady revenue stream from advertising. Or, sometimes companies call Income Store and say they’ve hit a bad patch
and need to generate more leads through their website. In that case, Courtright
said, they’ll build clients what he calls an
How it works Income Store takes the money a person or company wants to invest and purchases a website at two times earnings. So, on a $100,000 investment, for example, Income Store will buy a website that makes $50,000 per year and then split the money 50/50 with the investor so both the investor and Income Store get $25,000 per year from the website. Typically, investors will see 15 - 25 percent return on their investment. Meanwhile, Income Store reinvests the majority of their share of the website to keep it growing so it is able to earn even more revenue. The company’s portfolio of close to 500 websites are seen about 130 million times
“We’re more an industry changer than we are a competitor of anyone.”
“The company’s portfolio of close to 500 websites are seen about 130 million times per year and is growing by about 30,000 views per day.” per year and is growing by about 30,000 views per day, Courtright said. The business model seems to be working, as Income Store has been one of fastest growing companies for the past two years and is set to get on the coveted Inc. 5,000 list for a third year in a row.
The Sites Income store has working relationships with over 40 large brokerages around the world that sell websites. Most of the sites they buy are out of London. Just like physical property, Courtright explained, people build these sites and put them up for sale to be bought. And, also like property, they can be resold or left in a will. The websites come in many forms. They can range from information based sites
to gaming and e-commerce sites. The revenue comes from the ads that are placed on the sites. At any given moment, there are 300,000 to 400,000 websites up and running that bring in substantial traffic and can generate substantial revenue from the ads on them, Courtright said. An example of one site that Income Store sold to an investor is PlayTruckGames. com, a site for people who want to play online games that involve trucks and motorcycles. When Income Store bought the site, it was earning about $4,000 per month, so the investor received $2,000 per month and the company received $2,000 per month. Now, the site is up to $6,000 per month so the investor and Income Store each receive $3,000. This sites model is to keep adding more games to the site and the more games they add the more ads they can run, and the
more ads they can run, the more revenue the site brings in. Courtright said there is a need for the service that Income Store offers because there are few other types of investment that can garner a steady 15 - 20 percent return. “There are very few places where you can put your money that’s decent, let alone a double digit return that’s guaranteed,” he stated. A lot of people who come to them are people who were looking for a franchise. People like franchises because they are turnkey operations, he noted, and those types of people who are looking for something turnkey love what Income Store does because it’s similar to a franchise, but there is no actual work involved. It is completely passive income. So, the next time people think about solid investments, Courtright wants them to think of websites. www.incomestore.com
Franchising USA
spotlight o n serv ice
Page 65
ex per t advice
Mark Fleischer, Partner & Lisa Manetta, Senior Manager, Plante Moran
making
s t n e C & s r a ll Do uity q E rivate of P
As the recent downturn continues to fade from investors’ collective memory and the enthusiasm to find quality deals persists, the amount of money allocated to private equity deals is on the rise. According to data sourced from the Pitchbook Platform, more than $500 billion of private equity (PE) funds were invested globally in 2014, compared to $316 billion in 2013. For the successful franchisor or franchisee, this could translate into strong growth opportunities, as investors look for favorable investment prospects. If you’re looking to actively attract PE interest as part of an exit strategy, to take cash off the table, to fuel growth, or for professional management assistance as you strive for even higher growth opportunities, here are four considerations that will maximize your company’s appeal.
Substance Over Flash PE companies are looking to invest in organizations that have a unique value proposition, a sustainable competitive advantage, and customer loyalty. Take a burger concept, for example. A restaurant that’s reminiscent of all the others is
Franchising USA
unlikely to be a prime target for investors. On the other hand, an organization that takes the fast casual burger concept and elevates it, offering a variety of unique fresh ingredients and a distinctive service model or environment, stands out.
“For the successful franchisor or franchisee, this could translate into strong growth opportunities, as investors look for favorable investment prospects.”
PE investors look for long-term viability, not what might be trending up at the moment. Solid brand recognition, customer and brand loyalty, long-term viability, and a unique model will keep one’s strategy from becoming a falling star.
Scalability Are there opportunities for growth? A concept that has limited barriers of entry into new markets and a proven infrastructure can help to ensure a scalable model, an important characteristic for PE investors. PE investors are looking for vibrant concepts devoid of market saturation or other geographic boundaries that inhibit future growth. In addition, diversity of cash flows is important. While recurring monthly revenues from royalty fees provide a stable source of income, franchisors that have multiple revenue sources that can bolster the bottom line are attractive to investors. Both restaurant and service franchisors often generate revenue from the distribution of food, supplies, and additional services (technology, enhanced training, etc.) in addition to royalties and franchise fees. Finally, a franchisee or franchisor with multiple concepts under one umbrella may be more attractive, due to the diversification of offerings to consumers.
Key Performance Indicators PE investors will look for strong metrics when evaluating whether a deal makes sense. They want to invest in concepts with a solid bottom line and consistent performance. However your franchise system defines a “unit” (a store, a truck, a territory, and so forth), PE firms will want to clearly understand the strength and consistency of your unit performance and the quality of those measurements. Common measures companies look at are year-over-year same-store sales, gross margin, labor costs, and average customer
Mark Fleischer
sales. While strong unit economics are important, other factors such as customer counts, average growth rates exclusive of price increases, number of troubled units, and number of closures and re-sales will be analyzed as well. If your failure rate (i.e., franchisee closings) is low and your unit economics are strong, these traits are the underpinnings for growth and they’re indicative of a strong future.
Sell-Side Due Diligence For those considering an exit, this intense self-assessment involves analyzing your business in much the way that a prospective buyer would perform an evaluation. During this process, you’ll want to review every facet of your operations, addressing any perceived weaknesses. For instance, reviewing your franchise network to determine whether there is operational consistency. Are there struggling units in part of your system that are pulling down sales? Improving the performance of weaker groups will help strengthen the overall appeal of your brand. If you are a franchisor, do you have uniformity in your franchise agreements? Do you consistently monitor compliance and status? Do you have a strong management and development team? Bestin-class companies address these potential
Lisa Manetta
weaknesses, thus enhancing profitability and marketability.
Other Considerations Other factors to consider include: • A concepts international footprint (American concepts are very popular internationally) • Franchisee satisfaction • Customer relationships and satisfaction. • An organization’s closure ratio While PE firms differ in their approach — some are looking for a long-term investment relationship while others seek a quick return on investment — all will look for the most attractive, financially sound company in which to invest. Anything that you do in advance of that scrutiny to bolster your strengths while minimizing your potential weaknesses will increase your value and return. Mark Fleischer Partner, Franchise Practice Leader 248.375.7307 mark.fleischer@plantemoran.com Lisa Manetta Senior Manager 586.416.4937 lisa.manetta@plantemoran.com
Franchising USA
ex per t advice
Page 67
fra nchiso r i n depth
A ll A bou t Lov ing Ca re
All About Loving Care, Inc.
Home care. Companion care. Loving care.
Franchising USA
“At some point, every family is faced with the challenge of caring for a loved one. This is why finding the right support team is crucial.”
At some point, every family is faced with the challenge of caring for a loved one. This is why finding the right support team is crucial. Rarely does a corporation’s name so closely mirror the heart, spirit and mission of its owner, but All About Loving Care is the perfect name for a business founded and run by Sherie Wright. All About Loving Care Inc. is designed to assist people, mostly seniors, maintain independent living. We are in the business of taking care of people and their home care needs, whatever they may be. We provide assist with daily tasks of living such as: personal care, medication reminders, light housekeeping, meal planning and preparation, errand running, shopping and other day to day activities. At All About Loving Care we take our job seriously, that is why we strive to provide experienced caregivers, certified nursing
assistants, or home health aides who show genuine care and respect to our clients. In the mid-80’s, Sherie founded a supplemental, hospital staffing agency, placing hundreds of nurses and other health care professionals all over Los Angeles County. Then in the early-90’s, she founded Pacific Home Health Group, a home health agency specializing in providing clinical care for people at home. In 2009, after realizing how important social care was to many of her patients, she founded All About Loving Care. When asked why, Sherie responded, “Nurses provide clinical care, caregivers provide social care. The birth of All About Loving Care came from the desire to provide a social need that a nurse cannot... companionship, conversation, comfort, personal care, housekeeping, a nice meal or a walk in the garden. Often times the only contact our clients have is when their caregiver is present. The greatest gift, is when we create the perfect match between caregiver and client, transforming the lives of our clients and their families. That is our mission. That is our promise.
Franchising USA
fra nchiso r i n depth
Page 69
fra nchiso r i n depth
A ll A bou t Lov ing Ca re
“Often times the only contact our clients have is when their caregiver is present, and the greatest gift is when we create the perfect match.” - Sherie Wright, All About Loving Care Founder
Because everyone deserves a comfortable, independent and fulfilled life.”
All About Loving Care introduces the “Franchise Internship” The homecare industry is booming and is anticipated to continue its explosive growth for decades to come. More and more families are choosing in-home care over facility care or extended hospitalization, and with this ever-increasing opportunity, many entrepreneurs are considering owning their own homecare business... but simply don’t have the $25,000 to $100,000 upfront fee required by established homecare franchises, let alone the money, experience or wherewithal to build a business on their own.
Franchising USA
Introducing the “Franchise Internship” from All About Loving Care. As one of the most respected homecare agencies in Southern California, All About Loving Care has the experience, the leadership, the tools, the training, and the commitment to help those who qualify own their own franchise... without the upfront fee.
by All About Loving Care’s management
By following the proven strategies outlined
www.allaboutlovingcare.us
team, and by achieving certain goals
and milestones along the way, owning a
thriving homecare business has never been easier, smarter, safer or more affordable than now.
For more information:
Page 71
Franchising USA
spotlight o n serv ice
H onk a mp K r u eg er & C o.
Top 100 CPA and business consulting firm assists franchise organizations with increasing bottom line profitability 40-plus suite of services, we are able to provide innovative, customized solutions for franchise owners. We want to be more than historians for our clients – we want to be your trusted business advisor.”
Natalie Hoffmann
With over 53,000 certified public accounting firms in the United States, choosing the right CPA firm can be daunting for a franchise owner. What is their knowledge and reputation in the franchise space? Do they have a breadth of services to choose from so you can avoid using multiple vendors? Can I build and maintain a relationship with them with my busy travel schedule? Honkamp Krueger & Co., P.C. (HK), a Top 100 CPA and business consulting
Franchising USA
Ryan Hauber
A unique offering by HK is the complimentary TaxGap Review. Hauber explains, “During this process, we take a look at your prior year tax returns and give it a second look to see if there are any gaps and potential tax savings. It is much like getting a second medical opinion, which is a savvy step for business owners. Many have been surprised at what we find. We do this at no cost for interested franchise owners.”
Managing your human capital firm in the U.S., specializes in serving franchise owners with forward-thinking solutions that directly increase bottom line profitability. As the eighth-fastest-growing CPA firm in the nation (Accounting Today, 2015), HK is well versed and well prepared to scale along with a franchise owner and meet his/her goals for growing the franchise.
Not your typical CPA firm Offering traditional CPA services such as tax planning and preparation and monthly financial statements, HK goes beyond what a typical accounting firm does for business owners. Ryan Hauber, partner at HK, states, “HK takes a consultative approach when assisting our clients. Through our
One of the biggest challenges HK recognizes with its franchise clients is managing the complete hire-to-retire employment life cycle. Natalie Hoffmann, CPA.CITP, president of HKP, the workforce management affiliate of HK, states, “Franchise owners come to us because they want to get as many human capital management platforms as possible from the fewest amount of vendors. At HKP, we offer a full plate of services including payroll, HR, benefits, and time and attendance in one database through a web-based solution.” Another element of the employment life cycle is the processing of employment tax credits, such as the Work Opportunity Tax Credit (WOTC), which can return
“We want to be more than historians for our clients – we want to be your trusted business advisor.” thousands of dollars in tax credits to business owners for hiring certain groups of disadvantaged workers. Hoffman explains, “WOTC is a popular credit in the franchise world that many are missing out on. It is little-to-no-cost to start applying for and recouping tax credits, so it’s an easy way for a franchise owner to directly add to the bottom line.” To hear from business owners about the benefits of tax credits, watch HKP’s video at https:// youtu.be/tTU6P6rnkEI. To round out the workforce management suite of services offered by HKP, the firm also provides human resource consulting. Whether an organization is lacking their own dedicated HR professional or looking for outside consulting assistance, HKP’s HR consulting team partners with franchise owners to optimize their human capital management approach. From compliance to ACA/benefits consulting to recruitment to handbooks, HKP offers a full array of HR services.
Planning for the future To round out the solutions a franchise owner may be looking for in a CPA firm, HK offers wealth management services through its affiliate, HK Financial Services (HKFS). One of the most popular options for franchise owners is retirement plan services as it offers a streamlined approach for owners with their payroll processing and retirement plan at the same family of companies. In addition to retirement plans, HKFS offers risk management, asset management and brokerage services to franchise owners. “What is unique about HKFS is that they work directly with clients of CPAs and take a holistic approach to managing wealth, especially the tax situation. They are well-versed in partnering with a business’ CPA firm and creating a unified approach that maximizes an owner’s wealth,” states Hauber.
Location, location, location Just as important as location may be to a franchise owner, location is a small factor for most HK clients. “With today’s technology and ease of travel, we have thousands of clients located distantly from our brick-and-mortar offices. We conduct frequent client satisfaction interviews, partners work closely on accounts, and we are not afraid to travel anywhere to see a client anytime they desire,” explains Hauber.
Test it out With so many CPA firms to choose from, why HK? Its solid reputation and references in the franchise space and consultative approach are good reasons to start. Also, with the complimentary HK TaxGap Review, owners have nothing to lose to give HK a test drive. Contact HK today Ryan Hauber 888.556.0123 rhauber@honkamp.com www.honkamp.com
Franchising USA
spotlight o n serv ice
Page 73
ex per t advice
Lynne Shelton, Senior Partner, Shelton & Power
Which Franchise to Buy
When Financial Numbers Lead and When They Lie
Part 3
Franchising USA
“Scrutinize with an eye for detail and with the due diligence of Magnum PI; does anyone remember him?�
Current Financial Positions The Journal’s analysis shows that the last fiscal year only $705 million was charged off, (defaulted loans) down from nearly $2 billion charged off in 2010. Thus, most recently, charge offs on SBA 7(a) loans have declined by 35.2%. What’s the Franchisor’s financial position now? Franchisees beware of the results you find. Scrutinize with an eye for detail and with the due diligence of Magnum PI; does anyone remember him? How about with the due diligence of Sherlock Holmes or Scooby Doo? That should cover the Baby Boomers and the X Generation out there. There are several Franchisors, who I will refrain to name, that literally went down with the ship. During the “tough times” especially from 2008 to 2010, franchise systems spent additional funds on marketing and advertising budgets to edge out their competition on the uprise of the economy. Yet they furrowed and forgave the collection of royalty and/or marketing fees from their franchisees in an attempt to lighten the financial burdens in the “downturned economy” as it was being called. Unfortunately, for too many Franchisors they were overly generous and ended up having to file for bankruptcy protection over the last couple of years, suring up the slogan, “nice guys finish last.” Normally, during our national and regional education series, “What to Ask Before You Buy A Franchise” as well in our coauthored book on “How to buy a Franchise from Your IRA Funds,” we caution about getting involved in a system that has either been on the SBA default list, or who has filed bankruptcy. However, I feel the need to go on the record here and say that this
year could be an out of place exception to the normal rules. These numbers should not give prospective franchisees much more than a pause and inkling to dig deeper. The truth is that these facts haven’t given the SBA reason to pause either. In fact, $18 billion was loaned to franchise systems in fiscal 2013 which was the second highest loan year in total amount approved in the past decade, according to the SBA. Remember, high failure rates aren’t necessarily a problem for Franchisors as they can still consistently generate millions of dollars in revenue every year from ongoing royalties, products and services, and rebates from purchases of approved suppliers, successful franchisees, not counting the ongoing sales of new franchise units. In conclusion, if the franchise system that you are interested in is on the list, find out why and use it to your advantage as an extra evaluation tool. This is just one more tip Shelton & Power uses to teach you a way that you can interview the Franchisor while they are deciding whether to award a franchise location to you.
Also note: In the face of fairness, among the best performers in The Journals ranking were Jimmy John’s, Little Caesar’s Pizza and Days Inn, which all had SBA default rates of 2% or less. Shelton & Power additionally works with entrepreneurs buying franchises by assisting with Business Creation, Industry Evaluations, Franchise Disclosure Document Review, Fairness Factors, Opinion Letters and Negotiations. For more information or to schedule a
Lynne Shelton
customized consultation for your business you can write to franchising@sheltonpower.com or call (866) 99-FRANCHISE. ii Overall Federal Reserve Loan Charge offs. Last confirmed October 20, 2014 http://www. federalreserve.gov/releases/chargeoff/chgallsa.htm iii Discussions with Al Wells. Retired GE Aviation employee. March 10, 2012. iv Sarah E. Needleman and Coulter Jones. Franchise Brands With Higher-Than-Average Default Rates. Last confirmed October 20, 2014. Found online at: http://online.wsj.com/articles/some-franchise-brandshave-higher-than-average-default-rates-1410392545.
Ms. Shelton in a previous life was a franchisor of a large franchise system, and is currently a Senior Partner at Shelton & Power franchise law firm. Shelton & Power Attorneys have 25+ years’ of business consulting, franchise and trademark experience. Our knowledge facilitates an understanding of a large variety of businesses, services and technologies. We help businesses protect their brands through Trademark, Copyright, and Business contractual transactions. These services allow us to “Expand their Brand” through Franchising. For existing Franchisors, we provide full outsourced in house counsel.
Franchising USA
ex per t advice
Page 75
fra nchise & serv ices dir ecto ry
franchsing usa
Choose a 12 or 6 month package or simply
A-Z Listings are a great way to promote your business, giving you a presence within our publication and also the Franchising USA website.
add the A-Z directory onto your Focus, Profile
Each detailed, full colour A-Z listing comes with a 150 write up and your logo. Excellent for branding and recognition.
All About Loving Care, Inc. All About Loving Care, Inc. is designed to assist people maintain an independent lifestyle. We provide the means for all our clients to remain in the privacy of their own home. We believe in treating each client with respect, compassion, and dignity, and strive to meet each client’s physical, emotional, and financial needs. We offer non-medical home care for those in need of assistance with their day-to-day activities.
Big O Tires® BIG O Is Your BIG Opportunity. With more than 50 years in the tire and automotive maintenance industry, Big O Tires® is proud to be a worldclass leader. As we continue to thrive in an ever-expanding market, we invite you to be a part of the exciting opportunities as a member of the Big O Tires® family. Big O Tires® is proud to be one of the most progressive tire and automotive service franchises in the nation. When you join our family, we supply you with a powerful set of tools to help bring your business to the front of the pack: This website and any request for information or forms are not a franchise offering or an offer to sell a franchise.
Bin There Dump That Bin There Dump That is a mini disposal container system and we’re FRANCHISING IN YOUR AREA! This is a franchise business that can be up and running quickly. We invite you to imagine yourself operating your own successful mini disposal business, providing cost effective solutions to customers who appreciate your service. The time is right for Bin There Dump That. We are a low-tech business whose systems are recognizable and repeatable. We offer services that are systematic. The process is easy to teach and easy to learn. In no time you will be answering customer’s requests for bins and building a strong, robust client base. Come and get your piece of this SIMPLE TO OPERATE business that has a reasonable entry cost, offers exclusive
Cardinale Enterprises Cardinale Enterprises is a leading real estate investment and development company that has built a solid reputation in the New York and New Jersey commercial real estate marketplace. For more than 25 years, our company has
Franchising USA
or Ad! To learn about the A-Z directory or any other products please contact Kimberly Kutnick: kimberlyk@cgbpublishing.com or 847-607-8407.
The clients we service range from those newborns to the elderly and with conditions ranging from Autism to Alzheimer’s. We are a non medical home care agency specializing in Senior care. Our services include but are not limited to 24 hour care, hospice care, personal care, respite care, meal planning and preparation. Phone: (877) 822-0211 Fax: (310) 301-0004 Website: www.allaboutlovingcare.us
• Leading name-brand recognition. • Experienced franchise system. • Competitive marketing strategies. • Dynamic and perpetuating consumer engagement • Comprehensive start-up training. • Sales guidance from a network of retail experts. • Multiple warehouses stocked to meet inventory demands. • National and regional meetings/conventions. • Access to exclusive marketing resources. • On-site visits and strong support from Franchise Business Consultants. Contact us today! www.bigofranchise.com
territories, full training, marketing materials, lead programs and offers you over 100 years of experienced franchisor support! Enjoy the benefits of non-competitive relationships with other Bin There Dump That dealer/owners across North America. Share in a pool of knowledge that will assist you in maintaining competitive market advantages. Learn key success factors from the pioneers of the mini roll off container systems. Create an organization designed to maximize productivity while controlling costs. Contact: John Ferracuti Phone: 905-823-8550 Email: john@BinThereDumpThat.com Website: www.BinThereDumpThat.com
established a track record of excellence by developing, marketing, managing and investing in retail properties and mixed-use developments throughout the Northeast. Phone: 732-747-7846 or Email: Leasing@cardainaleenterprises.com You can also visit our website: www.CardinaleEnterprises.com
Filta Enviromental Kitchen Solutions The Filta Franchise is described as a mobile vacuum-based fryer management company. Serving 5,000 customers a week on average from 130 Filta Franchise Owners and hundreds of Service Technicians all over the United States. Micro-filtration of oil and fryer management may not be a franchise you’ve considered yet. However, first consider the demand from customers. Filta’s customers save a great deal of money in oil costs, less accidents and labor in their operation. FiltaFry, a core service of the company, claims to save customers up to 50% in their oil usage. Second, consider reports which now show food service industry sales to exceed $683 billion in the US alone.
Franchise Dynamics, LLC Franchise Dynamics is a full-service franchise sales outsourcing firm. We provide our clients with world class consulting, training, lead qualification services and full service franchise sales, building the next generation of leading franchisors around the globe. Franchise Dynamics provides a full suite of services on an ongoing basis, allowing our clients to focus on their operations and marketing. We provide start to finish franchise development for our clients. We recommend and manage lead generation marketing, distribution of marketing
Franchise Foundry Franchise Foundry is truly a business accelerator with specific focus on franchising. The Foundry team has years of experience building businesses and understands the unique challenges that emerging franchisors face.
Both points make it clear to see the unique position Filta has and how it’s directly keyed into the growth of the food service industry. For a Filta Franchise Owner, this means an in-demand value based service, which everyone can agree is the cornerstone of any successful business. Not to mention, offering a service which prevents workplace accidents is just good for you, your business and your customers. Want to learn more about becoming a Filta Franchise Owner? Address: 7075 Kingspointe Pkwy #1 Orlando, FL 32819 Phone: 407-996-5550 Fax: 407-996-5551 Website: www.filta.com Email: ablake@filta.com Please send leads to franchiseleads1@filta.com Contact: Adam Blake, VP of Franchise Development
materials, disclosure documents and manage all leads through the franchise sales process. The Franchise Dynamics team on each project looks, feels and operates like a member of the franchisors’ internal organization, working with marketing, operations and executives and staff to coordinate activities. Our fulfillment model is shared risk; unlike other competitor companies, we never take a portion of either royalty or equity from our client companies. Contact: Robert Stidham Email: info@franchisedynamics.net Website: www.franchisedynamics.net
growth initiatives and form proactive interdependent relationships at all levels. • To assist early-stage and mature franchise brands (USA & International) that have not yet achieved levels of success per stakeholder expectations with customized change management programs developed and launched within a re-incubation process.
• To ensure success of franchise start-ups through development and execution of comprehensive strategies and deployment of key business support resources.
• To focus primarily on franchise brands in various industry segments including children’s products & services, home products & services, consumer products & services, B2B professional services, commercial services, home-based businesses and unique food concepts.
• To create positive cultures, implement franchise best practices, build solid foundation for strong unit-economics, introduce effective technologies, develop & launch practical
Website: www.FranchiseFoundry.com or Email: Deb@FranchiseFoundry.com Phone: (832) 838-4822
honkamp krueger
Our depth and level of franchising expertise along with our track record for providing independent and objective franchise advisory/consulting services clearly differentiates HK from all other franchise advisors across the country.
Our Mission
Honkamp Krueger & Co., P.C. is a Top 100 CPA and business consulting firm and the eight-fastestgrowing CPA firm in the U.S. (Accounting Today, 2015) Specializing in franchise services, HK offers 40-plus forward-thinking, innovative solutions to franchise organizations in all 50 states. In addition to our tax, accounting and consulting services, HK offers total hire-to-retire solutions through our human capital management affiliate, HKP. Through our HK Financial Services affiliate, HK offers world-class wealth management solutions.
International Franchise Professionals Group
When you partner with HK for your franchising needs, you will always have easy access to one of our owners who will walk in your shoes with you and who has a unique perspective on being an entrepreneur and business grower. Phone: 888.556.0123 www.honkamp.com
IFPG to power their business. All of these individuals understand the value of being associated with IFPG.
The International Franchise Professionals Group (also known as IFPG) is a membership based organization that has over 700 members. Our members consist of Franchisors, Franchisor Brokers, Lenders, and other Franchise Professionals that help potential candidates in the process of buying a franchise.
The IFPG is a strictly membership based organization that does not participate in any referral fees from our franchisor members or our brokers, thereby allowing all of our members to work freely together. Our long-term success is predicated on retaining our members and providing all the tools needed to help you sell more franchises, and close more deals.
Hundreds of nationally recognized franchise companies have chosen the IFPG and its members to represent their brand; hundreds of experienced franchise consultants and brokers have chosen the
If you’re a franchisor, franchisor broker, or another profession that serves the franchising industry call us today at (888) 977-IFPG to learn about membership opportunities.
Franchising USA
fra nchise & serv ices dir ecto ry
Page 77
fra nchise & serv ices dir ecto ry
Income Store We are an Inc 500/5000 company as of 2013 and over 5 years of business growth. What if a store carried income items that produced $500 / month to $20,000 / month? Although sounding a bit “Too Good To Be True”, that store exists. You can find it at www.incomestore.com We are looking for capital investments of $50,000 to $700,000 to put a partnership together with you. We buy it with you and run the business for you. We maintain and grow your online business as you do other things. Watch our videos on IncomeStore.com and TodaysGrowthConsultant. com web sites for more information.
Generating” websites for individuals, groups and funds. They refer to the individuals, groups and funds as “Site Partners”. Income Store takes the real estate agent model to another level. Not only does Income Store find revenue generating websites, they buy, manage, market and further monetize the website for their Site Partners. Income Store uses the term Site Partner because they have skin in the game. Instead of getting paid an upfront fee, like a real estate agent, Income Store receives a revenue share on each site purchased. Income Store is unique on many levels. Phone: 877-627-1213 Website: www.Incomestore.com Email: mengstrom@incomestore.com Contact: Mike Engstrom
Similar to a real estate agent, Income Store finds “Revenue
Jimmy’s Fries & Shakes Jimmy Britz was serving in the US military in Hamburg, West Germany during the cold war. After retiring from the army, he moved to Quebec, Canada, where he moonlighted as a DJ. He found something else though as well. He found a new favorite food, and it ended up being a food which would change his life forever. Poutine. Poutine is a simple dish, the base being French fries covered in brown gravy and cheese curds. Of course, there are many places in Canada to get the dish, and each one puts their own spin on it.
Liberty tax service Founded in 1997 by CEO John T. Hewitt, Liberty Tax Service is the fastest-growing tax preparation franchise in the industry and has prepared almost 18 million income tax returns in more than 4,400 offices and online. Liberty balances strong growth, best business practices, social responsibility, and a fulfilling life experience for our franchisees. We’re committed to creating a business system and environment that will be held up as the model for all other tax preparation franchises to emulate.
The restaurant offers poutine, Canadian dishes and its signature milkshakes. Jimmy’s have recently signed a multimillion franchising deal with a master franchisor in Dubai, United Arab Emirates. That franchisor is expected to expand Jimmy’s Fries & Shakes throughout that region. Franchising queries: franchising@jimmysfries.com General queries: info@jimmysfries.com www.jimmysfries.com
Liberty Tax is a company to watch, not just in tax preparation franchise terms, but in the business world as a whole. Our corporate team, Area Developers, and franchisees are accessible and down-to-earth. We provide a supportive network and a culture that is progressive and fun. You can join one of the top franchise opportunities in the world. Just fill out our request franchise information form to find out more about Liberty Tax. www.libertytaxfranchise.com/request-franchiseinformation.html
Little Caesars
continue to receive support, expert analysis and consultation from corporate as their business grows.
Little Caesars offers strong franchisee candidates opportunities in select locations across the country. As America’s fastest growing pizza chain, Little Caesars provides candidates an opportunity for independence with a proven system, a simple operating model and strong national brand recognition.
Little Caesars’ requires candidates desiring to open one store to have a net worth of $150,000 with a minimum of $50,000 in liquid, unencumbered assets (such as cash). Franchisees must also be able to obtain financing to cover the total costs of opening a franchised location.
Franchisees benefit from a comprehensive training program that focuses on all aspects of the business, including training, architectural and construction services to help with design, preferred lenders to assist with financing, the ongoing research and development of new products, and effective marketing programs. Franchisees
LoyaltyGenerator LoyaltyGenerator provides a fully-managed, automated, cloud-based cross-media marketing platform that incorporates prescriptive analytics to empower franchises of all sizes to simply, predictably and profitably generate intense customer loyalty. With LoyaltyGenerator, franchisors can systematically define and drive the loyalty story at any level of their value chain, controlling brand
Franchising USA
Jimmy had it and fell in love, and found himself shocked that the dish wasn’t more popular in America. ‘Jimmy’s Fries & Shakes‘ has been nominated among the 100 fastest growing franchises in 2014 in America by Franchising Today.
For the sixth year in a row, Little Caesars was named “Best Value in America”* of all quick-serve restaurant chains. Phone: 800-553-5776 Email: USdevelopment@LCEcorp.com Website: www.LittleCaesars.com
continuity and consistency from the top-down, while selectively enabling franchisee autonomy from the bottom-up. Innovators like Annex Brands trust LoyaltyGenerator to automatically deliver the right message to the right customer on the right channel, at the right time. Just set it and forget it. We’ll take care of the rest. For more information about increasing your customer loyalty, please visit: www.loygen.com.
Midas Midas, a recognized brand throughout the world and highly renowned name in complete car care, is proud to be one of North America’s original franchise opportunities – and one of its best. With Midas, you experience the best of both worlds - the support of an experienced franchise organization and the satisfaction of operating your very own auto service enterprise. As a Midas franchisee, you become a trusted name the day you open your doors for business. Building consumer trust is at the heart of our brand. We work every day to earn that trust by providing expertise, responsiveness, and the best value to every customer every time. Benefit from nearly 60 years of “The Midas Touch”
Money Mailer Money Mailer Franchisees are marketing consultants, showing neighborhood business owners how to target their best prospects with compelling offers delivered in the mail, on the Internet, to mobile devices and on social media. This integrated marketing solution is provided to each business for literally pennies per household. We are the only national franchise laser-focused on local businesses, one of the most under-served market segments in the Country. Local business owners do not have the time or internal resources to develop this marketing expertise on their own so franchisees become an internal ad agency resource creating monthly repeat business potential in each protected territory.
Nutrition Zone Nutrition Zone is in the business of changing lives. That includes the Franchisees who join us on this incredible and noble journey. At Nutrition Zone, we do not only take great pride in creating stronger, smarter and healthier clients through the best stores and business model in the industry, we take great pride in identifying and developing successful, determined entrepreneurs providing them the tools and opportunities to reach their financial goals along the way. Nutrition Zone was founded to serve, educate and empower the community by improving the quality of our
One Stop Tax One Stop Tax is a professional tax preparation services provider offering personal and business income tax returns catered to the low and middle income brackets. As a franchisor we offer state-of the art tools that help make the entire business run efficiently and intelligently because of our proven business system.
Midas has built a stellar reputation in the automotive service and repair industry nearly six decades. We want to help you succeed. Before you open a location and as you continue to operate your shop, Midas will help you with the following: • Business management system for your shop • New franchisee orientation • Ongoing training and training resources • Operational support. • Development support • Optimizing and marketing your business: Join Midas today by calling 1-800-365-0007 or visiting www.midasfranchise.com! This website and any request for information or forms are not a franchise offering or an offer to sell a franchise.
Money Mailer’s revolutionary “GPS” (Goals, Process & System) franchise package provides an exclusive 2 -year performance based funding platform that gives new owners a clear and direct path to success as they open and build their business. It also includes one week of classroom training, 4 weeks of “Boot Camp” at Money Mailer’s company store, 2 years of $0 royalty and a personal Franchise Performance Coach to assist in a successful launch in your own territory. Money Mailer’s training and ongoing support is unrivaled in franchising. Phone: 714.889.4698 Website: www.franchise.moneymailer.com Email: franchiseleads@moneymailer.com
clients’ lives. From inception, Nutrition Zone’s customer service and sincerity has been at the forefront of our growth. This is realized through highly educated team members who share our goal of making a positive, meaningful impact in our communities. Nutrition Zone provides premium service and premium products at extremely competitive prices. SERVICE - QUALITY -COMPETITIVENESS - EXCELLENCE NUTRITION ZONE – A FORCE BEHIND A BETTER YOU!!
www.nutritionzonefranchise.com
Our services are sought year after year despite economic condition and regardless of demographics and income levels. Contact: Charles Kinuthia Phone: 855.408.2937 or Email: franchise@onestoptax.com You can also check out our website: www.onestoptax.com
Pop-A-Lock™
grown to serve 8,500 communities throughout the U.S. and Canada.
Pop-A-Lock™ is the most trusted team of security professionals in North America.
While Pop-A-Lock’s main focus is on emergency automotive locksmith services, we also offer a full range of services for your home and business security. In addition, we are proud to have created the PAL Saves Kids Program – a free community service dedicated to saving children who are inadvertently locked in vehicles.
It was founded in 1991, in Lafayette, Louisiana by two law enforcement officials who recognized the need for security services in their area. Due to years of dedication to pride in service and customer satisfaction, Pop-A-Lock has developed a reputation for fulfilling customer needs quickly and professionally - and as a result, the company has
Contact: Michael Kleimeyer Email: MichaelKleimeyer@systemforward.com Website: www.popalock.com
Franchising USA
fra nchise & serv ices dir ecto ry
Page 79
fra nchise & serv ices dir ecto ry
Smoke’s Poutinerie Smokes Poutinerie is the Worlds Largest & Original Poutinerie; inventing and leading the quick-serve Poutine industry, offering over 30 types of Gourmet Poutine. The exclusive Poutine menu plays a very significant role with its Signature Gravy, Fresh Hand-Cut Fries, Squeaky Cheese Curds and an unlimited combination of toppings like double-smoked bacon, flat iron steak, grilled chicken, caramelized onions, sautéed peppers and many more mouthwatering options.
The first official U.S. location recently opened in Berkeley, California where customers were lined up around the block anxiously awaiting their first bite! Next up, Smoke’s Poutinerie Las Vegas, Hollywood, New York City and numerous other states and cities.
The Smoke’s Poutinerie goal is to bring this authentic, quality Canadian dish to the rest of the World in their own original and unique way.
Phone: 905 427 4444 Website: www.smokespoutinerie.com Email: franchises@smokespoutinerie.com
Spherion Staffing Services
industries. Specializing in administrative, light industrial, contact center, non-clinical healthcare and professional placements, we offer a comprehensive range of workforce solutions to fit the unique needs of our clients. Operating through a network of 175 franchise locations, Spherion has distinguished itself as a local staffing partner providing personalized service, backed by the resources and breadth of a $2 billion workforce leader. Last year, we connected more than 170,000 job seekers to 3,000 companies nationwide, and the numbers continue to grow. We are a strong community of owners that genuinely love what we do and it has earned us a reputation of excellence in our industry.
Join the ranks of an established recruiting and staffing leader! As a Spherion franchise owner, you will be well-positioned to create a successful future for yourself and you’ll have a stake in helping others make a better life for themselves through rewarding employment opportunities. This is the passion that drives our business every day and the financial rewards are just as exciting. One of the fastest growing industries, staffing is projected to grow six percent annually and reach $115 billion this year. Spherion owners produced more than $500 million in annual sales last year alone. It’s an ideal opportunity for an entrepreneur to step into and begin building a thriving business. Since 1946, Spherion® has been supplying flexible, tempto-hire and direct-hire talent to companies of all sizes and
Stratus Building Solutions Founded in 2006, Stratus Building Solutions was developed to provide a superior, environmentally friendly commercial cleaning experience driven by dedicated, entrepreneurial, small business owners and regional support centers. Now under new ownership, the company continues to grow upon idea that through commitment and a loyalty to exceptional service, your own commercial janitorial service franchise has unlimited earning potential. For the past 9 years, Stratus Building Solutions has developed into a household name in the janitorial service industry. Offering professional training programs,
The Interface Financial Group – IFG 50/50 The Interface Financial Group – IFG 50/50 is an affordable home-based franchise that provides short-term working capital to small and medium-sized businesses by purchasing current, quality invoices at a discount, thus accelerating the client’s cash flow and growth. All transactions are syndicated 50/50 with the franchisee and the franchisor, and that means less working capital required to fund transaction: IFG does the bulk of the due diligence and the ‘paperwork’ for the transactions, and IFG 50/50 franchisees will concentrate their efforts on building the referral relationships – they do the ‘people work’. Key advantages of being an IFG 50/50 franchisee include: • No staff to hire, fire, or manage
Veterans Business Services Veterans Business Services provides the most advantageous franchise acquisition terms for Veterans and provides innovative entrepreneurial training for qualified Veterans seeking grants under the VA Vocational Rehabilitation Program. Veterans Business Services (“VBS”) specializes in entrepreneurial opportunities for Veterans and has an extensive reach into the Veterans community and can generate significant interest from qualified Veterans who wish to start a franchise or small business. VBS offers multiple marketing methods that have proven effective with helping franchise organizations with their expansion plans. Utilizing custom email marketing
Franchising USA
There is no slowing down the Gravy Train, with Smoke’s Poutinerie expanding exponentially since its debut on the Franchise scene in 2009. Boasting a whopping 100 locations Coast to Coast in Canada and kicking it into high gear with its expansion into the U.S., Sports & Entertainment and International Markets.
To learn more, please contact Bill Tasillo on our Market Expansion Team at 404/964-5508 or go to www.spherion.com/franchise
multi-level business support, state-of-the-art cleaning equipment, Green Seal Certified, biodegradable, non-toxic “Stratus Green Clean” chemicals, 24-Hour emergency services, Stratus Building Solutions is second to none in the commercial janitorial service industry and the pursuance of cleaning for health. With customizable cleaning options and competitive rates, Stratus Building Solutions provides services to a large range of clients, from schools, medical offices, shopping centers, warehouses, dealerships, religious centers, professional offices, daycares, retail stores, gyms and more. Contact us today at www.stratusclean.com
• No storefront to own, lease, or maintain • No Inventory or stock to purchase • No extensive travel because IFG franchisees do business locally • Business-to-Business, professional environment with regular business hours of operation • Flexibility to relocate for part of the year or permanently and continue doing business Our franchisees are excellent communicators, relationship builders with decision-making and problem-solving skills, and much more sales & marketing oriented. IFG has been in the ‘invoice discounting’ business since 1972, and employs its franchise network in the US, Canada, New Zealand, Singapore, the UK, Ireland, Australia, Mexico and South Africa. www.interfacefinancial.com
campaigns, news press releases, and online franchising e-magazine articles, VBS gets the message to qualified Veterans who are invested in starting a franchise. VBS supports service disabled Veterans who are enrolled in the self-employment track within the Veterans Administration and provides outreach efforts to transitioning military through TAP and ACAP programs. As a graduate business of the Entrepreneurial Bootcamp for Veterans (“EBV”), we also assist other graduates of EBV and provide coaching support through mentoring programs. VBS is where Veterans turn to make their franchise dreams a reality. Contact: James Mingey Phone: 202-349-0860 Email: info@veteransbusinessservices.us Website: www.veteransbusinessservices.us
Page 81
INTRODUCING OUR NEW
A-Z LISTING SECTION! Midas
ld and highly ughout the wor ized brand thro ud to be one Midas, a recogn car care, is pro e plet com in e s – and renowned nam chise opportunitie a’s original fran of Nor th Americ one of its best. lds - the best of both wor experience the and With Midas, you e organization erienced franchis vice exp ser an o of t aut por sup r ver y own ted of operating you become a trus the satisfaction you ee, chis lding a Midas fran Bui As s. . ines rise erp bus ent your doors for n ry ope eve k you wor name the day of our brand. We ness, t is at the heart se, responsive consumer trus providing experti by t trus t . tha day to ear n er every time e to every custom and the best valu ch” “The Midas Tou rly 60 years of Benefit from nea
otive ser vice tion in the autom t a stellar reputa t to help you Midas has buil decades. We wan stry nearly six continue to you as and repair indu and n a location ope you wing: ore Bef succeed. you with the follo p, Midas will help p operate your sho tem for your sho sys ent em nag • Business ma ee orientation • New franchis resources ing and training train • Ongoing por t. sup al tion era • Op suppor t • Development business: marketing your • Optimizing and or visiting ww w. 00-365-00 07 ay by calling 1-8 Join Midas tod m! .co ng or an a franchise offeri midasfranchise or forms are not inform any request for This website and hise. offer to sell a franc
ation
Making an appearance every month in Franchising USA magazine Each detailed, 4 color A-Z listing comes with a 150 word write up and your logo. Excellent for branding and recognition. Choose a 12 or 6 month package or simply add the A-Z directory onto your FOCUS, PROFILE or ad! To learn about the A-Z directory or any other products, please contact Kimberly Kutnick: kimberlyk@cgbpublishing.com or 847-607-8407.
www.franchisingusamagazine.com
Franchising USA
2015 International Franchise Association events Franchise Development Seminar
April 23, 2015
The Marquette Hotel // MINNEAPOLIS, MN
Legal Symposium
May 3-5, 2015
CHICAGO MARRIOTT DOWNTOWN // CHICAGO, IL
Franchise Development Seminar
IFA Summer Board Meeting
Marriott Marquis // WASHINGTON, DC
GRAND TRAVERSE RESORT & SPA // TRAVERSE CITY, MI
June 4, 2015
Public Affairs Conference & Fall Leadership Meetings September 28-October 1, 2015 JW MARRIOTT // WASHINGTON, DC
June 14-17, 2015
FranTech: Digital Marketing & Technology Conference
October 27-28, 2015
InterContinental Dallas // DALLAS, TX
Check franchise.org regularly for updates! Franchising USA
IBA/IFA Joint Conference
May 5-6, 2015
CHICAGO MARRIOTT DOWNTOWN // CHICAGO, IL
International Franchise Expo
June 18-20, 2015
JAVITS CENTER // NEW YORK, NY
West Coast Franchise Expo
November 12-14, 2015
ANAHEIM CONVENTION CENTER // ANAHEIM, CA
IFA Franchisee Growth Conference
May 17-18, 2015 LAS VEGAS, NV
Franchise Development Seminar
September 3, 2015
CROWNE PLAZA REDONDO BEACH AND MARINA // ORANGE COUNTY, CA
Emerging Franchisor Conference
November 17-18, 2015
INTERCONTINENTAL MIAMI // MIAMI, FL