franchising feature
EXPERT ADVICE: Peter Buckingham | Managing Director | Spectrum Analysis Australia Pty Ltd
Franchise territories for mobile operations
In the times where COVID-19 is having a strong influence on what we do, more and more mobile franchises are coming onto the market. The lower cost of entry makes these more affordable to the potential franchisee, along with not having the hassle of a retail lease. A potential client rang me the other day and said he and his wife were looking at going into a mobile franchise relating to the auto industry. He said the franchisor had given him a territory, and could we do some work to decide if it made business sense! Well, while I feel I am reasonably astute in these areas, my first question was what did your franchisor tell you in the 34 business franchise MAGAZINE
Peter Buckingham CFE CMC, is the Managing Director of Spectrum Analysis Australia Pty Ltd, a Geodemographic and statistical consultancy. Peter is the Go To person as to where to open new stores in Australia and New Zealand. Peter is both a Certified Franchise Executive (CFE) and a Certified Management Consultant (CMC). Spectrum Analysis is the winner of the FCA 2021 Supplier of the Year. To contact Peter email peterb@spectrumanalysis.com.au or call on 0411 604 921.
disclosure document, and what are the basic assumptions about the market and specifically the brand and business you are becoming part of? The answer was very little! This seems to me to be a common problem, especially with small franchise systems, where the potential franchisee sits between a franchisor telling them enough to raise interest, and trying to avoid saying anything
of substance in fear of later recriminations (legal), if there is a problem. My view is if some logical work and assumptions have been formulated by the franchisor, then there is a reasonable case to give a territory with a realistic explanation, not just ‘This should work GREAT, but don’t ask me how we came to that conclusion!’ – Which then evolves into a ‘Beer and Pizza map.’
