Elite Franchise Magazine August 2015

august 2015

Just the job

Jan Mitman didn’t think she was cut out for a career in plumbing and drainage. But, 21 years after joining husband Freddie at the helm of Drain Doctor, the company is blowing Its competition out of the water

AUGUST 2015

ÂŁ4.50

Cover August15.indd 1

31/07/2015 16:55

Invest in Change

One of us makes a difference, together we make a change

T

he total number of people with unmet care needs has risen by 9% in the last two years. Recent reports have demonstrated that there is an estimated 900,000 people who need care that are left to fend for themselves. By 2030 over 2 million people will lack informal care from an offspring. Over the last 100 years life expectancy has continually seen growth. The 65 and above age group will increase 89% over the next twenty years, and the 85 and older population will grow 74% during the same period.

We are Europe’s the largest provider of live-in care solutions, who independently offer our clients affordable, alternative care solutions in the comfort of their homes. For the past ten we have witnessed the positive change and the impact this has on the lives of over 3500 people. We at Promedica believe in creating positive change, that is why we are always interested to work with potential franchise partners and offer business opportunities, to those who have a genuine desire to make a difference.

0800 086 8686 info@promedicaplus.co.uk

#InvestInChange @PromedicaPlusUK

www.promedicaplus.co.uk

14

The Elite interview

Jan Mitman on becoming the doyenne of drainage

4

elitefranchise | August 2015

Contents.indd 1

31/07/2015 16:10

30 23 7 Editor’s letter 8 Contributors 10 News & events 12 Talking point 80 Franchise diaries

43 Cash is king Losing control of cash flow can be a killer for franchises

23 Ground force

50 The write stuff

30 Lift off

54 Out of action

Tom Thumb Lawn Care is seeing the green shoots of growth

We speak to the franchisees who are flourishing after redundancy

37 Flying high

Trampolining franchise Sky Zone is bouncing its way into Blighty

37

Writing a blog is the perfect way to build your brand

It’s worth having a plan B in the case of a sick franchisee

58 All together now A successful franchise depends on both sides getting along

62 Looking up

Franchises are feeling the benefits of taking to the cloud

67 Purchasing power Getting to grips with exclusive purchase obligations

August 2015 | elitefranchise

Contents.indd 2

5

31/07/2015 16:10

Over 44,000 stores in more than 110 countries worldwide

This is your chance to get on board with the

Number One Franchise Opportunity! *

2 Outlet opportunities currently available 2 Low cost, simple operation 2 20 franchisee support offices throughout the UK and Ireland

2 70% of franchises purchased by existing owners

We’re celebrating!

Over 2,000 stores

now open in the UK and Ireland

To find out more visit

www.subway.co.uk/business www.subway.ie/business or call 0800 085 5058 (UK) 1-800-413-076 (Eire) *SUBWAY® is the number one QSR brand by total store count (as at January 2015). ©2015 Doctor’s Associates Inc. SUBWAY® is a registered trademark of Doctor’s Associates Inc.

Subway.indd 1

31/07/2015 18:40

VOLUME 03 ISSUE 07 / 2015

SALES Adam Reynolds – Senior Account Manager adam.reynolds@cemedia.co.uk Siobhan Stokes – Account Manager siobhan.stokes@cemedia.co.uk Gemma Campion – Account Manager gemma.campion@cemedia.co.uk EDITORIAL Hannah Prevett – Editor hannah.prevett@cemedia.co.uk Adam Pescod – Web Editor adam.pescod@cemedia.co.uk Josh Russell – Feature Writer josh.russell@cemedia.co.uk DESIGN/PRODUCTION Leona Connor – Head Designer leona.connor@cemedia.co.uk Dan Lecount Web Development Manager dan@cemedia.co.uk Marketing Claudia Laing – Marketing Manager claudia.laing@cemedia.co.uk CIRCULATION Paul Kirby – Circulation & Data Manager paul.kirby@cemedia.co.uk ACCOUNTS Sally Stoker – Finance Manager sally.stoker@cemedia.co.uk Colin Munday – Management Accountant colin.munday@cemedia.co.uk ADMINISTRATION Daisy Jones – Administrator daisy.jones@cemedia.co.uk DIRECTOR Scott English – Managing Director scott.english@cemedia.co.uk

Circulation enquiries: CE Media Call: 01245 707 516 Elite Franchise is published by CE Media, 4th Floor, Victoria House, Victoria Road, Chelmsford, CM1 1JR Copyright 2013.

All rights reserved

Taking the plunge As long as you’ve got a knack for business and a penchant for people management, you can make your way in any industry. Take Jan Mitman, this month’s cover star who, along with husband Freddie, has helped grow Drain Doctor into the UK’s largest emergency plumbing and drainage franchise, with turnover fast approaching £30m.

Mitman wasn’t having any of it when Freddie first asked her to come on board; how could they possibly build a successful business in a sector they knew nothing about? However, when Freddie said he needed Mitman’s people skills to help recruit new franchisees – and promised her a round-the-world cruise to boot – she decided to take the plunge.

More than 20 years later, Drain Doctor boasts 80 franchisees across the UK and is working with commercial clients including JD Wetherspoon and McDonald’s. A pretty impressive achievement for a couple with no prior experience of plumbing and drainage – but equally no mean feat for a woman operating in an industry that’s still dominated by men.

Suffice to say, this hasn’t gone unnoticed by Mitman’s peers. She was recently handed the Outstanding Contribution to Franchising Award at the 2015 NatWest EWIF (Encouraging Women into Franchising) Awards.

And while she is yet to recruit a female franchisee, with the example Mitman has set, we’re sure it won’t be long.

HANNAH PREVETT EDITOR

No part of Elite Franchise may be reproduced, stored in a retrieval system or transmitted in any form or by any means, without the prior written consent of the editor.

Elite Franchise will make every effort to return picture material, but this is at the owner’s risk.

Due to the nature of the printing process, images can be subject to a variation of up to 15 per cent, therefore CE Media Limited cannot be held responsible for such variation.

cemedia.co.uk

August 2015 | elitefranchise

Editor's letter.indd 1

7

31/07/2015 17:07

Emilie Sandy

Sandy went above and beyond for her shoot with this month’s cover star, Jan Mitman. With a train strike putting paid to her best-laid plans, Sandy had to complete the six-hour round trip from Stroud to Peterborough by car.

But, as the photos gracing our cover and Elite Interview show, it was well worth the journey. Sandy didn’t spend her travels alone either; she had a small bump to accompany her, which also means her son Freddie will soon have a new playmate. We’re sure you’ll join us in congratulating Sandy on her wonderful news.

Annabel Jones

As HR director for ADP UK, the payroll and HR services provider, Jones knows a fair bit about people management.

Which is why we’re delighted to get her on board as a columnist this month. Taking a thorough look at the franchisor-franchisee relationship, Jones demonstrates she is something of an all-rounder, much like ADP, which works with SMEs and franchises all the way up to multinationals. Out of the office, Jones has just taken up jogging, which she hopes will help when it comes to running around after her husband and daughter.

Claire Robertson

Making her Elite Franchise debut this month, Robertson expertly guides readers through the intricacies of exclusive purchase obligations. The quality of Robertson’s column shouldn’t come as much of a surprise though. After all, the Stevens and Bolton solicitor was a finalist in two categories at the recent Encouraging Women into Franchising (EWIF) Awards; no mean feat given the amount of fantastic females gracing the world of franchising. Robertson’s other impressive feats include reaching the summit of Mount Kilimanjaro. Not bad for a humble franchise lawyer.

Carl Reader

We certainly couldn’t think of anyone better than Reader to deliver a crash course on cash flow. One of the most charismatic characters in British accountancy, Reader has grown Dennis & Turnbull from a local firm into the UK’s largest specialist franchise accountants, while becoming a regular speaker at business shows around the country. He’s also the author of The Startup Coach, a book and accompanying blog for budding entrepreneurs. Aside from accounting, Reader is a family man who enjoys the simple pleasures in life: football, boxing and espresso.

8

elitefranchise | August 2015

Contributors.indd 1

31/07/2015 12:21

Build a valuable retail business

Mail Boxes Etc. is a successful global brand. We’ve learned what it takes to keep ahead in the retail sector and we’re sharing this knowledge with our select group of franchisees. Could you be joining them in 2015?

The world’s largest non-food retail franchise Over 1,500 stores in 5 continents 155 stores in the UK and Ireland Multiple revenue streams Operating for over 30 years in the UK Complete turnkey start-up package from £60,000

everyday needs: Worldwide parcel delivery and postal services Design, print and copy Business support services

“I chose to buy a franchise as I wanted the support; you’re more likely to succeed when you have someone to call on for guidance.

There’s a range of products rather than just one so it’s a diverse business opportunity. I now plan to open a second and third store.”

Kulwinder Bath (MBE Ealing)

Mailbox rental and virtual office solutions.

details on our next discovery day Untitled-17 1

01608 649230 franchise@mbe.co.uk www.mbe.co.uk/franchise

31/07/2015 17:13

There’s nothing like gelato on a hot day. Which is why we’re sure that Marka PJSC is onto a winner, having acquired the master rights for Morelli’s Gelato in the Middle East. This will see locations of the Kent-born franchise open in Qatar, Oman, Lebanon and Egypt, with additional units set to open alongside existing outlets in Saudi Arabia and the UAE. Given Marka has made it its mission to assemble a portfolio of premium brands in the Middle East, we’re sure Morelli’s freshly made luxury ice cream will fit right in.

WORDS: Josh russell

Combing the franchise mags for a new opportunity? Then you may be interested to learn that Supercuts, the high street hairdresser, will be rolling out its franchise model in the UK following its success across the pond. Franchisees don’t have to be John Frieda to get involved; stylists will handle the beehives and buzz cuts whilst they get on with the running of the business. For £500,000, franchisees will receive business consultation, training and marketing assistance and will get the chance to open multiple salons. So it’s worth having a think about whether you might be cut out for franchising.

Charity begins at home or more specifically, it seems, in the kitchen. Between May and June this year, in-toto Kitchens studios around Britain hosted over 25 Barnardo’s Big Brunch events, inviting locals in for brunch and fun activities in exchange for donations. The franchise has raised £4,218.40 for Barnado’s to help transform the lives of some of the UK’s most vulnerable children, with the studios raising £2,109.20 and in-toto Kitchen’s head office matching the contribution.

This led to Barnado’s awarding it the accolade of ‘Fundraiser of the Month’. Good on them.

10

News.indd 1

Camping is something that either brings you out in smiles or a cold sweat. Those in the former camp will be glad to hear that The Secret Campsite, which offers a chance for campers to bed down in a secluded meadow surrounded by nature, has started the hunt for franchisees to spread its unique camping experience across the UK. Suitable for small holders, farmers, retirees or young families who own at least eight acres of land, Secret Campsite franchisees will make an estimated £75,000 operating seven months a year. Happy camping indeed.

We all love a good celebration, which is it’s great to hear that Papa John’s has launched its 300th UK store in Wimbledon. The store was officially opened by John Schnatter, the company’s founder and CEO, who was greeted by a brass band and a town crier. The launch also featured a special appearance from Britain’s Got Talent’s Addict Initiative and free pizza for Wimbledon residents. As the opening follows fresh on the heels of Papa John’s setting the Guinness World Record for the most people simultaneously tossing pizza dough, it seems the franchise is smashing milestones left, right and centre.

elitefranchise | August 2015

31/07/2015 17:26

It’s always nice to get a little recognition. Just ask Agency Express: it has netted the much-desired Gold Award at the bfa HSBC Franchisor of the Year Awards 2015. In the other categories, One Stop grabbed the gong for Emerging Franchisor of the Year, whilst Dream Doors picked up the Franchisee Recruitment Award.

Meanwhile, the Customer Focus Award was bestowed upon EF cover star Home Instead Senior Care, whilst Dyno was presented with the Award for Innovation. And for those who feel that they missed out, worry ye not: the bfa HSBC Franchisee of the Year Awards 2015 are still to come this October.

It seems there are plenty more record breakers in the world of franchising: Belvoir Lettings Peterborough has become the first franchise in the network to achieve £1m in annual turnover, as well as agreeing £1m of property sales in a single day. Along with the Cambridge branch, the franchise is owned and run by Terry Lucking, who won Franchisee of the Year at the bfa HSBC Franchisee of the Year Awards 2007 and Olderpreneur Franchisee of the Year last year. He’s a keeper, by the sounds of it.

There are few education markets quite as promising as India, something which Pitman Training clearly knows first hand. Following on from its recent appearance at the Indian Education Congress in Delhi, the training franchise has struck a deal with Franchise India to roll out its model of computer-based, experiential learning across India, with an aim to helping upskill the local population and offering skills delivered to the same standard as British qualifications. With the first centres expected to open their doors later this year, it seems that there’s plenty of eastern promise in Pitman’s expansion plans.

upcoming events Networking Breakfast in Tottenham August 19 Tottenham Hotspur Football & Athletic, Lilywhite House, 782 High Road, London, N17 0BX Business Junction – Networking Lunch in Kensington August 26 The Britannia, 1 Allen Street, Kensington, London, W8 6UX

Prelude Group – ‘Back to Basics’ PR for SMEs August 27 Orega, 5 Chancery Ln, London, EC4A 1BL

Angels Den – London Angel Club September 15 Thomas Eggar LLP, 14 New Street, London, EC2M 4HE

bfa Prospective Franchisor Seminar London September 15 Riverbank House, 2 Swan Lane, London, EC4R 3TT

bfa Prospective Franchisee Seminar London September 16 Riverbank House, 2 Swan Lane, London, EC4R 3TT

Business Growth Exhibition and Conference September 30 Edgbaston Stadium, Edgbaston Road, Birmingham, B5 7QU Business Junction – Networking Evening on Park Lane September 30 Metropolitan by COMO, Old Park Lane, London, W1K 1LB

A full event listing is available on our website: elitefranchisemagazine.co.uk/events

August 2015 | elitefranchise

News.indd 2

11

31/07/2015 12:24

On the money?

How are franchises reacting to the introduction of a National Living Wage?

It throws up a lot of questions Mark Keegan, financial director, Select Appointments

There’s no question that the proposed National Living Wage is something that everyone in the recruitment industry will be keeping a close eye on.

Somewhere in the region of 1,600 employers already pay what is known as the Voluntary Living Wage, which is £7.85 and £9.15 in London. The chancellor’s proposal of £7.20 from next April is actually quite a bit below this, so I’m not sure that the National Living Wage is actually as big an economic gesture as everyone initially thought.

But the biggest concern for our business will be how employers react to paying the increase. Will they take fewer people on as a result? Will they think longer and harder about retaining staff in quieter periods? Will they look towards using more temporary staff to reduce the number of contracted employees they have? Since the increase doesn’t include the under-25s, will employers look to recruit more from that pool as a result?

I am sure that all hourly rates will ultimately be affected. At the moment employers paying above the minimum naturally attract the best candidates but as those rates become the norm, they will lose their advantage. Will they put their wages up to compensate? Will there be a domino effect on all wages? It throws up a lot of questions.

The government is passing on a lot of costs to businesses

WORDS: josh russell

I

t was always inevitable that the post-election budget, in which chancellor George Osborne laid out the meat of the next five years of economic policy, was going to be a big deal for businesses of all stripes. But whilst there were some predictable announcements – corporation tax cuts anyone? – there was also a major shock in there as well. We’re talking, of course, about the introduction of the National Living Wage.

Whilst a living wage has long been called for, the reveal of the Tories’ National Living Wage certainly shocked a few pundits when it was announced on July 8. The new National Living Wage will initially see over-25s earning £7.20 an hour by 2016 and £9 by 2020 and will theoretically provide a better deal for UK employees. But there are still a fair few criticisms of the plan: despite the cuts to corporation tax, which is set to fall to 19% in 2017 and 18% in 2020, a 50% increase in the Employment Allowance and a year-long lock on income tax, VAT and national insurance, some are questioning how the measure might impact businesses’ bottom line.

It does seem that the new National Living Wage will result in more pennies in the public’s pockets but support for it is far from unequivocal.

So how does the world of franchising feel about it?

12

Ken Deary, managing director, Right at Home

I believe that higher wages across the wider care sector will attract more people into what has long been perceived as an under-valued job role, considering how important caring for vulnerable people is. However there are undeniable implications for those companies who rely on local authority funding and whose budgets for care delivery are already stretched almost to the point of no longer being viable.

I added my signature to an open letter to the chancellor from the United Kingdom Home Care Association (UKHCA), in which we urge him to look very carefully at providing additional government funding to help local authorities afford this inevitable rise in the cost of providing home care as a result of the rise in the minimum / living wage. This needs to be addressed in the upcoming spending review or the industry will be facing a disaster.

Overall, my biggest concern is that the government is passing on a lot of costs to businesses, such as the National Living Wage, pensions contributions and an increase in dividend rates for the self-employed.

SMEs, which include franchises, are the lifeblood of our economy and hopefully we will see more positive government support for the sector in the future.

elitefranchise | August 2015

Talking Point.indd 1

31/07/2015 15:13

45083 DD Franchise advert_Layout 1 27/03/2015 11:33 Page 2

Your New Life Starts Here • Run your own business with earnings of £100,000+ • Work close to home and build an asset you can sell • Manage your diary to spend more time with your family

Dozens of people, just like you, enjoy freedom and financial rewards with a Dream Doors franchise

“Everything has panned out exactly as we were told it would. Dream Doors has been honest from the start, painting a realistic picture with real figures. I'm really enjoying being a business owner and have absolutely no regrets at all.”

Ex-teacher, Lesley Wallace, joined in 2012 and sold half-a-million pounds in her first year.

“This franchise works and the returns are much better than we'd expected.

The figures we were shown are very conservative; we beat our first year targets in just four months. We should have done this sooner as I love coming into work every day.”

Ex-police officer, Mark Battin sold three-quarters-of-a-million pounds in his first full year.

“This business gets better and better all the time. We've had more record breaking months already this year. Sales like ours can only be achieved if you have the right support network around you; whether that is staff or suppliers, the franchisor or your family.”

Ex-IT specialists, Angela and Clive sold more than £1 million last year.

“We wanted to start our own business, but take some of the risk out of the equation. Dream Doors ticked every box: it's well-established with a strong track record, plus it has an excellent support network. And, with such a busy start, we've relied on that support.”

Ex-police officer, Gareth Kavanagh-Dixon, sold £450,000 in his first year.

NO KITCHEN EXPERIENCE NEEDED this is a sales and management franchise Dream Doors is the UK's largest kitchen facelift retailer and a FULL member of the British Franchise Association.

10-time award winners, the company has been trading since 1999 and has transformed more than 40,000 homes across the country.

To start your new life, and join 60 fellow franchisees, contact Dream Doors today.

Tel: 02392 988685 EliteFranchiseApril2015.indd 1

www.dreamdoorsfranchise.co.uk 27/03/2015 18:06

THE ELITE INTERVIEW

Franchise Interview - Drain Doctor.indd 1

31/07/2015 16:30

The first THE ELITE INTERVIEW

lady of franchising

BY ADAM PESCOD

It took the promise of a round the world cruise to convince Jan Mitman to follow her husband Freddie into Drain Doctor, the emergency plumbing and drainage franchise. Two decades and no cruise later, Mitman has been recognised for her outstanding contribution to franchising as the company closes in on sales of £30m hortly before wrapping up my chat with Drain Doctor’s Jan Mitman, her phone rings. “That was a new franchisee,” she says after hanging up. “He’s all excited and raring to go.” It’s evident that the emergency plumbing and drainage company’s franchisees are by far its biggest asset. And, as the person responsible for bringing them in and helping them on their way, Mitman’s relationship with them verges on the maternal. “They are like my children,” she says. “I see them come in as little infants, they get a bit rebellious in the teenage years and then, when they get to maturity, they realise you did know what you were talking about after all. I’ve seen franchisees come into this business from nothing and then a few years later they’re turning over a million a year. It’s just so rewarding to see people grow.”

Yet despite being “absolutely passionate about franchising”, things could have ended up a lot differently for Mitman were it not for the perseverance of her husband, and Drain Doctor chairman, Freddie.

First, a bit of history. The couple met while working for a multinational firm headed up by Freddie. “He took a group of us to America and we met on the plane going out there,” says Mitman. “I had been working for the company in South Africa for a while. He invited me to watch the film [on the plane], which I think was Rocky, and he asked ‘Can you see the film?’. I said I couldn’t so he said, ‘Let’s move back a bit so we can see together’ but what he really wanted to do was grill me on what I’d found out in South Africa. We started a relationship and 37 years later, here we are.”

Freddie may have won Mitman’s affections but he would encounter some resistance when trying to convince his wife to join him at Drain Doctor. Seeking a new business opportunity in the service industry, Freddie was introduced to Don Dwyer, founder of the Dwyer Group, the American service franchise giant that has the likes of Molly Maid in its stable. Realising they’d met previously on the speaker circuit in the USA, the pair immediately hit it off and Freddie signed on the dotted line for the UK master franchise of Mr Rooter, as it’s called in the August 2015 | elitefranchise

Franchise Interview - Drain Doctor.indd 2

15

31/07/2015 16:31

THE ELITE INTERVIEW

States. But, as Jan explains, the name wouldn’t have worked on these shores. “In Australasia, a rooter means several things, including a male prostitute. We wondered what our technicians would be called out for, what jobs they’d be asked to perform and what form the management service fee would take. We felt it wasn’t applicable to the UK market,” she chuckles.

While it’s safe to say Freddie was rather excited about his new acquisition, his wife didn’t share in his enthusiasm. “You could knock me down with a feather,” says Mitman. “I said, ‘What the devil do you know about plumbing and drainage?’

He said, ‘Jan, I know nothing but I know how to run businesses and we’ll headhunt the people we need. It’s the most exciting business I’ve ever seen. It’s totally and utterly recession-proof.’”

Mitman was adamant she wouldn’t be joining her husband on his new business adventure but, six months later, she finally

SOMEBODY ONCE SAID I WAS THE MOST

POWERFUL WOMAN IN THE PLUMBING AND DRAINAGE INDUSTRY. THAT’S PROBABLY BECAUSE THERE AREN’T MANY

caved. “Freddie said to me, ‘I could really use you to talk to prospective franchisees because the guy who’s meant to be doing it just isn’t doing it’,” says Mitman. “I said, ‘No, definitely not. The plumbing and drainage industry is not for me.’ He pleaded and said I could have anything I wanted so I said I wanted a round-the-world cruise.

He said, ‘Done. Just come and help me for a while and I’ll take you on a round-theworld cruise.’”

“I’m still waiting for my round-the-world cruise 21 years later,” Mitman smiles.

She doesn’t seem all that fussed about it though. “I actually think I’d be bored because I love what we do,” she adds.

And what they do is provide a 24/7 emergency plumbing and drainage service for domestic and commercial customers.

“We like to think of ourselves as the fourth emergency service,” says Mitman.

“Water can create massive problems and emergencies happen all the time. One of my 16

elitefranchise | August 2015

friends came home from Spain last week and rang me at 10 ‘o’ clock at night saying, ‘Jan there’s water pouring through the ceiling. Can you get one of your guys round here?’ While they’d been in Spain, they’d had a leak in the tank up in their roof. Can you imagine?”

Aside from it being “recession-proof”, something else compelled the Mitmans to bring Drain Doctor to the UK back in 1993. “At the time Freddie bought it, the plumbing and drainage industry in this country was miles away from what they were doing in the States in terms of customer service,” says Mitman. “We asked 1,000 people to describe a plumber to us. They’d say you can never get hold of them and, if you do get hold of them, they’ll turn up in a beaten-up old van, their jeans will be filthy and they’ll probably not have all tools to do the job so will have to go away and come back again, all on your time.”

Pricing was also something of a sticking point for British customers, according to Mitman. “In this country, a plumber would come along, he’d look at the house, he’d look at you and he’d work out on the back of a fag packet what he was going to charge you,” she says. “If he thought you could pay more, you’d probably get charged more. You didn’t know at the beginning how much the job was going to cost you.”

Suffice to say, Drain Doctor does things differently. “We show the customer the price before we start the work,” says Mitman. “We

THE ELITE INTERVIEW

believe the customer has the right to know up front how much the job is going to cost.

Sometimes we can’t be completely specific when it’s an underground job but our technicians will say, ‘This is the price it will be – if it’s any more than that I’ll stop what I’m doing and come back to you. I’ll keep you informed.’”

Professionalism is hardwired into the DNA of every single Drain Doctor franchisee and technician. Their commitment to putting the customer first even extends to laying down a small red mat – branded with Drain Doctor’s iconic logo – to avoid making a mess when visiting a customer’s home or business.

“We are giving the customer the red carpet treatment,” says Mitman. “We’re different from the ordinary plumber out there.”

However, like any franchise worth its salt, Drain Doctor tested the water before opening up its doors to prospective franchisees. “When we brought this over in 1993, we set up three company-owned operations – one in Peterborough, one in Lincoln and one in Nottingham – to make sure that what the Americans told us was true and would work in this country,” says Mitman. It only took them a year to discover that the business was perfectly

geared to the UK market so, in 1994, they set about franchising Drain Doctor. As Mitman explains, the business opportunity is just as attractive now as it was 21 years ago. “A lot of one-man band plumbers don’t really know how to turn their business into something that’s turning over anything between £100,000 and £2m every year,” she says. “We can help show somebody how to grow their business, get greater market share in their territory and put some serious equity into their business.”

But it isn’t just plumbers that Drain Doctor targets as potential franchisees.

After all, the Mitmans had no prior knowledge of the industry so this needn’t be a hindrance for anybody looking to invest in a Drain Doctor franchise. “If you already have plumbing or drainage experience that’s great but sometimes it’s not as good as somebody who doesn’t know anything,” says Mitman. “If they’ve been a plumber before, they come in to it with preset ideas and sometimes it’s hard to change them.

One of our very first franchisees, a guy called John Rushworth, was an old-time Yorkshire plumber who didn’t know the first thing about sales. We had a different way of working and he thought we were absolutely mad. But he’s still with us 20 years later so I guess we must be doing something right.”

When I ask Mitman about the qualities she looks for in each and every one of her franchisees, she shows me a poster on her wall. It shows a climber at the summit of a mountain and reads, ‘The man on top of the mountain didn’t fall there.’

“We want somebody who is not afraid of hard work, who will lead others and who has plenty of empathy and understanding,”

We like to think of ourselves as the fourth emergency service says Mitman. “This is not a get rich quick scheme. They have got to want to look after the customer.”

In return, Drain Doctor supports its franchisees every step of the way, from advising them on the best equipment to buy to providing helplines for any legal or employment issues. “We probably lose money in their first year because of the amount of work, the amount of training and the amount of support we put in,” admits Mitman. However, while head office is always on-hand, Mitman ensures the relationship remains more akin to a mentorship than a dictatorship.

“That’s important in franchising because franchisees are not employees,” says Mitman. “I can’t tell them what to do. I can lead them to the water but I can’t dunk their head in it.”

Drain Doctor currently has 80 franchised areas across the UK and while domestic plumbing was the biggest source of business for franchisees in the early days, commercial drainage is where the real money is being made nowadays. Among Drain Doctor’s biggest customers are the likes of JD Wetherspoon and McDonald’s.

August 2015 | elitefranchise

17

Untitled-5 1 •advert Template 1

30/07/2015 09:07 15:37 10/06/2015

THE ELITE INTERVIEW

“In 1994, when we brought in our first franchisees, 80% of our work was domestic and 80% of our work was plumbing. Now it’s completely the opposite: 80% of our work is commercial and 80% of our work is drainage,” says Mitman. “In a way it’s better for the franchisees as they are working with companies that are constantly getting call-outs because of the sheer volume of people they are serving. In the domestic market, you might only get a plumbing callout once every seven or eight months and a drainage callout once every three years.”

On top of the 80 franchises in the UK, Drain Doctor also has a few in Ireland – and it recently launched in Portugal. “We have a villa in Portugal and one day my management agent rang up and said it had a blocked drain,” says Mitman. A local plumber came to fix the problem but the drain was soon blocked again. “My general manager said, ‘There’s something’s wrong there.

That’s not right. He’s missing something’,” says Mitman.

Using a handheld CCTV set, which all Drain Doctor technicians are equipped with, the general manager discovered the drain had a second chamber that was full of palm tree roots. “They hadn’t found out – forgive the pun – the root of the problem,” says Mitman.

Drain Doctor is now looking to sell a master licence for Portugal so that it can expand beyond its current locality.

“The guy over there has had his best week ever but we need somebody up in Porto and somebody in Lisbon.

And the Algarve, where we have the villa, is incredibly

We believe the customer has the right to know up front how much the job is going to cost busy in the summer.”

While Mitman is busy trying to help Drain Doctor reach £30m turnover – “we’re not far off that now” – she has also been enjoying the recognition of her peers. She was recently handed the Outstanding Contribution to Franchising Award at the 2015 NatWest EWIF (Encouraging Women Into Franchising) Awards. “I was speechless and I am very rarely speechless,” she says. “I don’t know what I’ve done to deserve it.”

Many would argue that Mitman’s achievements in a male-dominated industry are well worthy of recognition.

“Somebody once said I was the most powerful women in the plumbing and drainage industry. That’s probably because there aren’t many,” she says. But that’s not to say she isn’t working on changing this. “We have a lot of females who are in partnership with their husbands,” she says. “I wish I could find a female who wanted to franchise on their own but this industry is such that it’s deemed to be a male industry.”

Mitman certainly sees franchising as an incredibly attractive option for women. “There are so many franchises that are well-equipped for the female touch,” she says. “I saw some statistics recently that said something like 40% of new franchises in the last four years have been opened by females. I don’t think people realise just how strong the female workforce can be.”

Another woman who’s flourishing in franchising is Mitman’s daughter Vicki. A franchise lawyer at Leathes Prior, which itself represents Drain Doctor, she picked up the Young Woman in Franchising Award at the EWIF Awards, capping a brilliant night for the family. “She has learnt about franchising from her mother’s knee,” Mitman smiles.

“She knows every one of our franchisees and understands franchising inside-out.”

But while they may be the first family of franchising, Mitman still believes in a clear division between her personal and professional life. “Freddie and I drive in separately; we hardly see each other during the week,” she says. “I leave my wife head at home and put my business head on in my car coming to the office. It works well.”

August 2015 | elitefranchise

Franchise Interview - Drain Doctor.indd 5

19

31/07/2015 17:09

Enjoy a safe and secure future with Dublcheck

Founded in 1993, Dublcheck is the UK’s leading franchised commercial cleaning company and has been recognised as the 20th fastest growing private business by Virgin Fast Track and The Sunday Times.

With over 100 franchisees in operation, Dublcheck remains a wholly owned British company. Founder and chairman Carol Stewart-Gill says: “If you put in the effort and follow the Dublcheck system, huge rewards can be realised.

Franchisees can look forward to a safe and secure future and a great opportunity to create a large business and valuable asset.”

The benefits of Dublcheck are: • Low-cost entry • Invoicing and cash collection • Recession-proof utility business • Low overhead requirement - can operate from home • Dublcheck is the franchise where you don't need to be able to sell, we obtain the business for you • Professional white-collar management franchise or operational franchise • Everywhere you look buildings need cleaning • Over 100 franchisees across the UK • 92 per cent customer retention rate • Hundreds of fantastic franchisee testimonials • A massive market that keeps on growing

What our franchisees say:

Graham Coulston-Herrmann and his wife from Lancashire started our Dublcheck Cleaning Franchise in August 2012. “My wife and I were both police officers. I retired in September 2012 after 30 years In Lancashire Constabulary.

I chose a Dublcheck franchise after seeing them at the Franchise exhibition 6 months earlier. I was drawn to them as they had a strong customer service model.

They also were very friendly and approachable, almost like joining a family.

The initial training was excellent covering the practicalities of running a cleaning company as well as the issues that a startup business has to consider.

Starting out as a Dublcheck franchisee has allowed someone with no business experience to grow a successful business. I aim to double the size of the business over the next two years. In order to achieve this we will continue to do the basics very well and thereby build a very strong and loyal customer base. Supported by a happy and loyal workforce.

For further details call 0800 317236 or email franchise@dublcheck.co.uk www.dublcheck.co.uk Dublcheck FP Ad Aug15 .indd 1

31/07/2015 10:20

ADVERTISING FEATURE

Q&A

with Carol

Carol Stewart-Gill, founder and owner of Dublcheck, answers all of your burning franchise questions Why do you think franchising works?

I have been franchising for 22 years now and have been told many times that people wished they had done it sooner. I have seen many people flourish both financially and in their work life balance since moving into franchising.

How much do I need to invest in a franchise?

This can vary enormously but my advice is try not to invest a huge amount. Dip your toe in the water, see if you like the industry you have chosen and then you may have the option of reinvesting safe in the knowledge that you will be successful.

What sort of industry should I go into?

It does not necessarily have to be something you are familiar with. A change can be good. I would choose a trusted industry that you believe is recession proof.

Do I need expensive premises to run my franchise?

No. I know of many successful management franchises that operate from home and enjoy low overheads as a result.

I am a business executive tired of working and making money for someone else. Is franchising a good option for me?

Franchising is probably the way forward for you. I know of many executives who have brought their expertise to their franchise and have not only befitted financially but have also enjoyed lots of flexibility to work the hours that they choose.

I have been looking at a franchise but the company has only recently started franchising. I like the service they offer but can’t find any concrete evidence of success. What should I do?

It is as well to join a well-established, successful franchise company whereby you can speak to existing franchisees who can tell you about their experience of working with the franchisor and how their business has evolved.

How much support should I expect when investing in a franchise?

When buying a franchise, the idea is that you are not on your own. Ask other franchisees how supportive the head office staff are because when you start your new venture, it’s very important that you have the support of people with experience, knowledge and an interest in your success.

August 2015 | elitefranchise

Dublcheck Q&A Aug15.indd 1

21

31/07/2015 10:28

OF SUCCESSFULLY SETTING PEOPLE UP IN CH BL E BUSINESS 1993

Cleaning

CK

Cleaning

OVER TWO DECADES DU

R

ESTABLISHED

2015

Franchising

19

Franchise F hi owners say: JOANNE Previously Project manager at Bank of Scotland Starting turnover: £50k Current turnover £144k

“We found Dublcheck during our research into the franchise industry and immediately liked its concept of guaranteed turnover*, with Dublcheck finding your clients and guaranteeing the level of turnover you desire.”

- Peter

Carol Stewart-Gill and the Dublcheck Support Team

“Once I met the Dublcheck team I found the concept of commercial cleaning very appealing” - Joanne

BUILD YOUR BUSINESS THE EASY WAY

PETER & PRU Previously Greengrocers Starting turnover: £12k

NO NEED TO DO ANY SELLING...

WE GET THE BUSINESS FOR YOU!

We Guarantee:

• Turnover • Growth • Support

Current turnover £77k

GRAHAM Previously MD of Colouroll Starting turnover: £48k Selling turnover £400k

“Facing redundancy in my 50’s was unsettling. A management franchise was ideal because it enabled me to utilize my previous management experience. I love the fact that the harder my team and I work the higher the rewards.” - Graham

LEN DONNELLY “A big thank you to the Dublcheck team, and o receive an award was brilliant” - Len

93-2013

Previously Retail Manager

Larry, Franchisee

Jolanta, Franchisee

Starting Turnover £62k Current Turnover £250k

Starting Turnover £14k Current Turnover £108k

Full training, support and low investment Invest from £9,950 to £190,950.

Turnover from £14,000 to half a £1/2 Million per annum.

With over 100 franchisees nationwide, and many more areas and opportunities available, you too could benefit from the proven Dublcheck system.

Dublcheck’s unique franchise system is a proven way to build a successful business in a multi-billion pound cleaning industry.

Purchased resale

Carol Stewart-Gill, Founder and Chairman of Dublcheck

Current turnover £350k

Further Details: 0800 317236 SONAL & MITESH Previously Quantity Surveyor Starting turnover: £14k Current turnover £150k

“Sonal and I can’t belive a year has past since we decided to join this wonderful franchise.

We both wish we had done this years ago.”

- Mitesh

email: franchise@dublcheck.co.uk web: www.dublcheck.co.uk

APPROVED FRANCHISE ASSOCIATION FULL MEMBER

ALL FIGURES CORRECT AT THE TIME OF GOING TO PRESS

Dublcheck, The 20th Fastest Growing Company in the UK - Official Source, Sunday Times *Guarantee turnover is not a guarantee of profit.

Dublcheck Q&A Aug15.indd 2

31/07/2015 10:29

ONE TO WATCH

Offering an innovative franchise model and embracing all the benefits tech can bring, it’s fair to say that Tom Thumb Lawn Care isn’t prepared to let the grass grow beneath its feet

WORDS: Josh russell

Laying down the lawn

L

awn care might not seem like the most cutting-edge sector but Howard Abramson, managing director of Tom Thumb Lawn Care, is unequivocal about the opportunities presented by the burgeoning industry. “The market is at an embryonic stage,” says Abramson. “This means there is a massive potential for growth.”

By embracing tech and an innovative model, Tom Thumb Lawn Care hopes to be at the head of the flourishing UK lawn care market and be the leader in creating luxurious lawns.

Abramson has a long history of tending to lawns, having worked in the industry for well over a decade. “After attending university in Manchester, I fell in to the lawn care market after researching various different franchised businesses,” he says.

Abramson ran a small lawn care business for several years in Liverpool, until he was tracked down by one of the market leaders to help one of its territories that had gotten caught in the long grass. “My role was to re-establish one of their ‘abandoned’ franchises in Essex,” he explains. “I increased its customer base by over 2,500% in that time.”

Before long, Abramson came across Tom Thumb, a small-scale business that handled tree-care and gardening, in addition to lawn care. “The business was run as a very small operation but it had the building blocks of a great lawn-care service,” he says. However, Abramson quickly began to recognise that the existing owners didn’t appreciate the huge opportunity for growth that lay in front of them. “As soon as I started speaking to them, I realised they simply didn’t see the potential in the lawn-care market,” he recalls.

August 2015 | elitefranchise

One to watch.indd 1

23

31/07/2015 17:17

ONE TO WATCH

Most of our team are quite young; we’ve grown up in a really technological advanced age Howard Abramson, Tom Thumb Lawn Care

After a round of negotiations with its previous owners, Abramson took over Tom Thumb and began to grow the lawn care side of the business. “I did a complete overhaul by introducing an approved lawn care method, standard operating procedures and new branding,” he explains.

The business also started asking new customers why they wanted to leave their old provider; this meant it could focus on delivering exactly the sort of service customers needed. “Things took off pretty quickly and our customer base grew rapidly,” he says. “We had a fantastic reputation within the local area and this grew beyond the borders of our territory.”

But what does Tom Thumb’s lawn care entail? “A lot of people ask me what I do and then say ‘so you cut lawns?’” he says. “It couldn’t be further from the truth; we do completely the opposite.” Typically Tom Thumb will visit clients between four and six times a year; its core service entails treating lawns with fertiliser, weed control and moss control. “Following each treatment, we 24

identify any additional problems and advise our customers how we can address them,” explains Abramson.

These additional services can include anything from fungicide or insecticide treatments to scarification and aeration of the lawn.

But whilst it offers an impressive range of treatments, this is far from being its primary differentiator in the market. Understanding what separates Tom Thumb Lawn Care from your average franchise first requires a little knowledge about the nature of the people behind it. “Most of our team are quite young,” says Abramson. And this has bestowed some natural benefits for a franchise looking to gain an edge over its competition. “We’ve grown up in a really technological advanced age and that’s something we really want to take advantage of,” he explains.

Certainly being innately technologically savvy has had some real benefits for the franchise, as the day-to-day running of Tom Thumb Lawn Care simply wouldn’t be possible without embracing some seriously sophisticated tech.

One example is its appointments system. As franchisees will sometimes be carrying out more than 30 treatments a day, which may vary wildly in length, scheduling appointments and factoring in travel time can be immensely complicated.

Fortunately, they’ve devised a solution to this problem.

“We’ve developed an algorithm to suit our requirements with the help of a Hungarian mathematician who went to MIT,” says Abramson.

But it doesn’t end there. Since Tom Thumb Lawn Care is essentially a van-based franchise, franchisees need to be able to access the central CRM system even whilst they’re on the go. “The day’s customers, all of their account history, that all needs to be accessible with or without 3G,” explains Abramson. Unfortunately, 3G is still notoriously patchy out in the countryside, which is why the app is able to work effectively offline and seamlessly sync when franchisees find signal.

“Outside the customer’s property, they can log that the treatment’s been completed and they’ve made these recommendations,” he continues. “As soon as they get back into 3G it will update our central system.”

elitefranchise | August 2015

One to watch.indd 2

31/07/2015 12:25

6710 Franchise Ad_Layout 1 20/07/2015 11:58 Page 1

Turn over £988k a year with this management franchise opportunity Entry-level investment from £35,000 (licence fee £30,000) Help available with purchase finance

Our offer to you: Invest in a start-up or an existing business Your own postcodedefined territory National customer contracts with leading companies Comprehensive training and marketing support

Unique software package

Driver Hire is

People like you

Financial returns

• One of the UK’s leading specialist recruiters • A proven franchise with a 30-year record of success • Providing logistics staff to private and public sectors • Over 100 offices, supplying some 3,000 workers per day

• Franchisees from a wide range of backgrounds • No previous knowledge or experience required, but...

• A passion for excellent customer service and the commitment and desire to build a successful, profitable franchised business • 93% of franchisees would buy a Driver Hire franchise again!

• Average full year franchise turnover of £988k in 2014/15 • 36 of offices achieved sales of £1m+ in 2014/15 • Low fixed costs and attractive resale values upon exit • Net profit potential of over £100,000 per annum • Opportunity to boost revenue significantly by offering complementary products

Get in touch to discover more about this fantastic business opportunity.

✆

www.driverhirefranchise.co.uk

01274 361073

franchise@driverhire.co.uk

AWARD WINNER - bfa HSBC ‘Franchisor of the Year’ 2006 and 2012 Untitled-5 1

30/07/2015 15:35

ONE TO WATCH

Given the decentralised nature of its service, choosing to take Tom Thumb Lawn Care down the franchising route was a no-brainer.

“Franchising is the way forward for many domestic service businesses,” he says. Not only would the capital investment involved in setting up multiple local branches from scratch be prohibitively expensive but Abramson maintains that having a stake in the business’s success boosts the commitment of all involved. “It’s the motivation and determination that a franchisee has over an employee that really makes the difference,” he says. “Employees can come and go, whereas a franchisee has a vested interest in the business.”

It was very important to Tom Thumb Lawn Care to make sure its franchise model reflected the needs of its franchisees. “We wanted to really design the package around what the franchisees want because we’re firm believers that if our franchisees are happy, our customers will be happy,” says Abramson. It wasn’t hard for Tom Thumb Lawn Care to build its package organically; essentially, it packaged up 180 of its customers and sold them to one of its star employees as its first franchised territory. And the model certainly proved successful. “Within a few months, we had somebody knocking on our door asking if they could take

26

the next franchise,” Abramson says.

Part of the reason for the model’s immediate popularity is the additional level of support it provides for its franchisees. “We’re on hand 24 hours a day – or as close as,” Abramson explains. “There’s a dedicated phone line that will come through to my mobile phone no matter where I am in the world.” Tom Thumb Lawn Care also takes on a lot of the customer service for its franchisees, such as rescheduling treatments, booking quotes and answering technical questions. “From day one, our franchisees can concentrate on growing their business and maintaining their current customer base,” Abramson explains.

Additionally a lot of time has been spent revising the training package Tom Thumb Lawn Care provides new franchisees.

“Our franchisees are not botanists or plant Howard Abramson, Tom Thumb Lawn Care scientists,” says Abramson. “They simply don’t require that depth of knowledge.” Rather than focusing on deep technical knowledge or giving franchisees exhaustive training on marketing and business practices, the package is carefully focused on giving franchisees what they need to provide great service to their customers. “Our training package has been designed to turn a franchisee into a lean, mean, amenitylawn-care-service machine,” Abramson says.

Franchisees certainly have begun to join thick and fast but Tom Thumb isn’t prepared to just rest on its laurels.

“We’re constantly researching how new technology can be implemented in to our business to improve the experience for our franchisees and our end consumer,” says Abramson. The franchise has some big plans in the offing for its network, with a target of signing up between 12 and 14 franchisees by the spring of 2016. “Since joining the bfa, we’ve really started to kick things into gear,” Abramson says. “Our goal is to expand into a UK wide network. Then who knows from there?”

We’re firm believers that if our franchisees are happy, our customers will be happy

elitefranchise | August 2015

One to watch.indd 3

31/07/2015 12:26

Grow... faster Franchise Top 10 works with selected franchise systems to complement their existing recruitment programmes with an ongoing marketing campaign across multiple media platforms.

We work closely with our clients to bring new leads to their business for them to convert into prospects for their system.

Franchise Top 10 services: • We provide additional leads for your available franchise territories • Predominantly success related fee payment – pay for results • Ongoing marketing campaign – not just a website • Success – we produce half of all new franchise contracts for most of our Franchise Top 10 clients • Over 60 years combined franchise knowledge and experience • Over 1,200 franchise contracts over last 10 years • Currently generating over 1,000 franchise leads per month • Our focus: Lead Generation

For more information call James O’Brien for a confidential discussion on 0207 0789 089 or email him: james@FT10.co.uk Franchise Top 10 will launch in October 2015 and is run by experienced franchisors—people like you who know the challenges of growing your business in a competitive market. Our support system for franchisors may be new to the UK but we are not inexperienced and we believe that our system will help you achieve your plans for growth in 2016.

Franchise Top Ten Aug15.indd 1

30/07/2015 15:46

ADVERTISING FEATURE

A day in the life of a Mac Man ®

Thriving Mac Tools franchisee Claudio Zanobini provides insight into what it takes to make a success of the business

C

laudio Zanobini covers the Exeter area for Mac Tools. Driven by a desire to make positive changes to his life, he knew that if he was willing to work hard he could reap the rewards of self-employment with the benefit of full back-up from a global leader in the tool market.

Zanobini is the first to admit that life on the road as a Mac Man can be hard work but he’s quick to declare that by putting the hours in he is getting more job satisfaction than he’s ever had before. He started his working life as a trainee with a national tyre fitting business 25 years ago before working his way up the career ladder to reach the role of divisional director, controlling 127 branches and approximately 750 staff. It is this determination to succeed at whatever he does that he is now putting to good use on the road with Mac Tools.

Zanobini’s days start early as he aims to have his Mac tote bag prepared with items that are mentally priced up and ready to go before he gets on the road in his van by 7:15 ready for his first garage visits at around 8 to 8:30.

“When I make my first visit of the day it’s

‘show time’ as I use my tote bag to promote items,” says Zanobini. “The bag creates an interest in the tools and my customers now look to see what deals I have when I call into their garage. Generally, that part is fun with lots of banter with my customers and it gives us something to discuss. The whole idea, I suppose, is to get them from the workshop and into the van to give me a better chance of selling something.

“I never feel disheartened if I don’t sell anything out of the bag as I use it mainly as a prop. It’s just become part of me and it gets me discussing stuff with the guys in the garage so the short-term sale on the day is unimportant; the long-term sales relationship is where the money can be made.”

Zanobini uses his tote bag sales technique throughout his working day, usually finishing his time on the road around 17:30.

However, some days after he has finished his rounds of car garages he stays on the road in order to visit truck garages, which tend to open later, giving him more sales opportunities.

Once he has finished meeting his

When I make my first visit of the day it’s ‘show time’

28

elitefranchise | August 2015

MAC Tools Advertorial Aug15.indd 1

31/07/2015 17:09

ADVERTISING FEATURE

customers. the working day continues for Zanobini. As he explains, “When I’ve finished my daily visits, I go back to my stores to check what I have sold that day and replenish my stock. I make sure that my tote bag is refreshed for the following day, cash up and then print off my route plan for the following day. The final thing is to mop the van out and drive home.

“When I get home I check the garage to see if any stock has been delivered and then check it off. After that I go inside and check my e-mails and finally transmit the day’s orders through to head office. A typical working day for me is about 13 hours. I know that sounds like a long time, but that’s a choice I made for myself and, to be honest, I don’t mind. I get such a buzz from doing my job that time becomes irrelevant. I don’t even realise what time of the day it is most of the time.”

It is not only the time passing by quickly throughout the working day that Zanobini enjoys about being a Mac Man. “Financially

I chose Mac Tools as I wanted to stay within the motor industry but also wanted the autonomy to run my own business it is very rewarding. I can honestly say that I never feel short of money and generally can afford to buy whatever I want or need within reason.”

Zanobini concludes: “I chose Mac Tools as I wanted to stay within the motor industry but also wanted the autonomy to run my own business. I find Mac Tools to be the perfect fit for me. I’m left alone to do my job, which I feel I do very well and hopefully very successfully. Yes, it’s hard work but it’s so very rewarding in all sorts of ways.”

If you are ready to take the driver’s seat with Mac Tools and join its thriving network of franchisees, please call 08450 6000 60 or email franchise@mactools.co.uk for more information.

August 2015 | elitefranchise

MAC Tools Advertorial Aug15.indd 2

29

31/07/2015 17:09

ANALYSIS

A fresh start It’s never nice to be let go by an employer but for those who have since turned to franchising, redundancy has proven a blessing in disguise

30

elitefranchise | August 2015

Analysis.indd 1

31/07/2015 12:27

ANALYSIS

WORDS: ADAM PESCOD

W

hile it may have gone unnoticed by some outside the sector, franchising proved to be remarkably resilient during the recession; its contribution to the UK economy grew by 20% over five years as the overall economy shrunk by 2.5%. Central to this was the decision of many people to turn to franchising after being made redundant.

It’s hardly surprising that franchising is such a popular career move for people who have been let go from their previous job. “The benefit to buying into a franchise is that the franchisor has made all of the mistakes already and now has a successful, proven business format,” says Kelly Blackmore-Lee, head of compliance and finance at the British Franchise Association.

“It means your route to market is a lot quicker than it would be if you went into business by yourself.”

But it’s not just the safety net provided by franchising that is so attractive to people who have been made redundant. They also have access to a pot of money that probably wasn’t available when they first considered striking out on their own. “Those who have been made redundant have often got a bit of entrepreneurial spirit but perhaps they haven’t had a cash injection or that equity available to them before,” says Blackmore-Lee. “Redundancy is therefore appealing to them, especially if they’ve decided they don’t want to go back into paid employment.”

So, while redundancy can be a difficult experience, it can also hand people a chance to start afresh. And as the following stories demonstrate, franchising is proving the perfect tonic for many seeking a new lease of life.

Getting down to business In May 2010, Terry Houghton was made redundant from the paper company he’d served as operations director for 17 years.

By this time, he had clocked up almost 30 years in manufacturing and, after a short period of reflection, he decided it was time to leave the world of employment. “I turned 50 pretty much on the day I was made redundant so I took three months to think about things,” he says. “I went for a couple of interviews but I didn’t have a lot of respect for the people interviewing me so I thought, ‘This is not for me.’”

He started to consider franchising while at a franchise exhibition in Manchester. “I thought franchising was Domino’s and car cleaning companies but I found out you can also do consultancy or coaching through a franchise,” he says.

And it was upon visiting Business Doctors’ HQ that Houghton found his calling. “I went to see them and just thought it was ideal,” he says. “The problem with other consultancy or coaching franchises was that it was almost like having a job.

The thing I liked about Business Doctors was that you’ve got a process but you’re not forced down a path. Small businesses don’t want a formula applying to them; they want somebody to go in, understand their problems and help find a solution to them.”

Houghton has since expanded his Business Doctors franchise from a local office serving 7,000 businesses to a regional franchise covering Merseyside – something he believes he couldn’t have achieved on his own. “It would have taken me a couple of years to get anywhere close to being as established as I was in the first nine to 12 months,” he says.

While Houghton admits that adapting to business ownership is a steep learning curve, he would happily recommend franchising to other people who find themselves redundant and seeking an escape from the nine to five. “I’m enjoying what I’m doing,” he says. “There’s a bit more freedom over how you spend your time than being employed so I would encourage anyone to go and have a good look at it.”

Kelly BlackmoreLee head of compliance and finance, British Franchise Association

Terry Houghton director, Business Doctors Merseyside

Paul Crocker director, Ed’s Garden Maintenance Swindon

I not only saw it as an investment but also as an opportunity for me to follow something that I love doing Paul Crocker, Ed’s Garden Maintenance

August 2015 | elitefranchise

Analysis.indd 2

31

31/07/2015 12:27

Insurance claims management & building repair

Victim’s of Our

OWN SUCCESS What do Concept do?

Our Network acts on behalf of policy holders in the event of a property claim to ensure that they receive a fair settlement and a high quality repair to their property. We work on behalf of both domestic and commercial clients. At the core of our service is customer satisfaction delivered through ethical and professional claims management joined with a high quality project management provision.

What Next?

Due to our unprecedented recent success we now need to recruit new professional, focussed individuals into our network. To expedite the recruitment

of new members to our network we are offering the opportunity for new franchisees to defer ÂŁ10,000.00 of the purchase price for 3 months and then pay this over a 12, 24 or even 36 month term with no interest or charges. Offer makes joining the Concept franchise considerably more affordable than many of competitors.

We only have a limited number of these opportunities therefore we will provide them based on the merit of each individual who applies, let us know what makes you the ideal Concept candidate. Upon receipt of your application we will endeavour to provide you with a decision within 72 hours. * Subject to your financial status Be

fo

re

aft

er

To make an application or if you would like to learn more about the Concept Building Solutions franchise opportunity please call us on the number below.

We will send you an application form

0800 037 0315 info@concept-solutions.co.uk @conceptCBS conceptbuildingsolutions

.

Limited

number of Opportunities

www.conceptpropertyclaims.co.uk Concept building solutions_FP Aug15.indd 1

30/07/2015 14:03

ANALYSIS

The great outdoors Having been made redundant from insurance giant Zurich in June 2014, Paul Crocker tried to find work as a contractor – but with little success. “I went for five or six interviews and nobody told me I didn’t have the ability to do the job so I came to the conclusion that it was my age,” says Crocker. The final straw came in November at an interview with a high-profile insurer in London. “I asked ‘what happens next?’ and the guy told me they had already offered someone the role,” says Crocker. “I was absolutely speechless but it made my mind up: it was time to go it alone and do something I really loved.”

Fortunately for Crocker, he found a franchise that aligned perfectly with his personal interests in the shape of Ed’s Garden Maintenance.

“Gardening has been a passion for me all my life and Ed’s fitted the bill,” he says. “Being an auditor, I had 101 questions when I went to the open day but they had answers to all of them. So I thought, ‘This is something that I can actually buy into.’”

Crocker had ultimately stumbled across a venture he’d enjoy but that also had the potential to deliver some healthy profits. “I realised that if I was successful and grew my business Susie Bearne, Banana Moon Day Nursery over five years, I’d be 60 and I could sell it on again,” he explains. “So I not only saw it as an investment but also as an opportunity for me to follow something that I love doing.”

Six months in and Crocker says things are “going very well”. And, while he admits to having some reservations at the start, these have all but disappeared. “One of my

Franchising gives you more choice but with the cushion of support – and that support is essential for me

fears was that Ed’s is primarily based in and around London and the South Coast,” he says. “I was thinking, ‘Does that model work in Swindon?’ but it does.”

As far as Crocker is concerned, the challenges that come with self-employment have been offset by the support of the Ed’s franchise team. However, he advises that anyone considering franchising should look for something that they’ll actually enjoy. “You will probably work a hell of a lot more hours than you would when you were employed so it helps if you’re doing something that you actually love doing,” he says.

Down with the kids Leaving the police to run a nursery may not sound like the most conventional career move but it’s worked out pretty well for Susie Bearne. Having taken voluntary redundancy from the force in 2011, Bearne has spent the last four years as director of Banana Moon Day Nursery in Lower Sundon, Bedfordshire, after buying into the business as its first ever franchisee.

With her redundancy coming at the same time as a divorce, one can hardly blame Bearne for not rushing into anything too soon. “I had two young children, I’d been put at risk, I was getting divorced and you kind of sit there with a million and one ideas,” she says.

One of the ideas was opening a nursery but starting from scratch wasn’t really an option for Bearne. “It was in the ‘too difficult’ pile,” she explains. Her sister suggested that franchising could be the ideal solution because she could fund it with the money from her redundancy and divorce while enjoying the help and support of an existing business.

After taking a look at nursery franchises online, Bearne plumped for Banana Moon. “I got loads of brochures and when Banana Moon came through the door, I just knew that was the one,” she says. “Their brochure was colourful, it was bright, it was professional, it wasn’t overloaded with information. It was just simple: this is what we do, this is how we do it. And I thought I could do that.”

Four years later, Bearne remains delighted with her decision to set up a nursery with Banana Moon. “I have learnt so much. No two days are the same and I don’t regret it at all,” she says. However, she’s under no illusions about the amount of work it’s taken to make it a success.

“It’s weird when you realise you don’t have an HR department or a finance department so suddenly you’re responsible for everything,” she adds. “It is massively daunting and it’s a lot of hard work [but] the support of the franchisor is always there, which is really reassuring.”

As Bearne concludes, this support is crucial for someone who has been made redundant. “Franchising does give you a certain freedom,” she says. “It actually gives you more choice but with the cushion of support – and that support is essential for me.”

August 2015 | elitefranchise

Analysis.indd 3

33

31/07/2015 12:28

ADVERTISING FEATURE

Are you looking for an opportunity to

Earn a Big Income

...with a low cost base, residual income and huge growth potential Then congratulations, you’ve come to the right place!

W

elcome to thebestof – quite simply one of, if not the best business opportunity, in the UK today...

Founded over nine years ago by millionaire and entrepreneur, Nigel Botterill; thebestof promotes the very best businesses, events and local info in your local area. Thebestof began life as the UK’s first independent web directory. Today though, it’s much, much more than just a website.

For the right people, it is an amazing business opportunity with extraordinary rewards. With an established track record, a host of top national awards and thousands of great local customers... thebestof franchise has huge potential growth. thebestof has franchisees all over the UK, Australia and launched in Ireland in 2014. If you were to become a ‘thebestof franchisee’ you would truly be able to engage with your local community and give them a voice.

Not only would you become a ‘word-ofmouth’ specialist, but you’d become the most influential person in your town and get to build relationships with the very best businesses!

It has been the most amazingly, fun experience that we’ve ever had - running a business. The support from the franchisor has been nothing less than spectacular.

Adrian and Amanda Keeling thebestof Woking

34

Through their franchisees, thebestof is bringing back the close ties we used to have in our towns; keeping the pound in their area.

With relationships like this, you will be able to build yourself a very significant income, a business that gives you lots of flexibility and you’ll also be giving back to your community.

After just 6 months I was earning £2,500 residual income a month. I am now aiming to earn £150k per year by year 2 or 3.

This really is achievable – thanks to thebestof.

What I liked about them is that it’s all so low maintenance – the three big reasons I chose thebestof over all of the other franchisee opportunities were; Freedom, unlimited earnings and I’m helping people.

Simon Jones thebestof Colchester

Quite simply, thebestof is the go-to place for everything happening locally. They have an extensive track record, and no-one understands better than them, what it takes to start a business, and how to build it into something super-successful.

With all these advantages there’s no wonder why thebestof is celebrating it’s 10th year in franchising. After all, what securer way is there to start your own business? Franchising has a faultless formula – throw together an ambitious business owner and a successful business model with all the support you could dream of, and your business has a far better chance of success…If done well that is!

You will have the opportunity to build your capital, as well as your earnings; especially

as major banks tend to be very supportive of successful franchises. What’s more, as a business owner, you’ll be in control. You’ll be able to decide what works and what doesn’t.

Although becoming your own boss may seem like a daunting task, it can be a very exciting one too. If you have a strong desire to see your local area and the people within it prosper – becoming a ‘thebestof franchisee’ might be the thing for you.

So what does a thebestof franchisee do?

Our franchisees identify the best businesses in their local area and then, using a suite of marketing tools unique to thebestof, work with the business owner to showcase and promote them.

Your core income will be from the monthly membership payments made to you by local businesses. Because of the multi-faceted approach of thebestof, there are also additional revenue opportunities available to franchisees.

After two to three years, when you’ve got 200 featured businesses paying you £99 upwards a month, you’ll have built up a fantastic regular monthly income. Remember: residual income is a beautiful thing.

There’s only room for one thebestof franchisee in each town – one individual, partner or team who will champion and promote the very best local businesses in each area. Could that town’s hero or heroine be you?

To request your free franchise information pack visit: getthebestof.co.uk/elitefranchise

elitefranchise | August 2015

The Best Of Aug15.indd 1

31/07/2015 18:37

Coming to the UK: Germany´s fastest growing and most innovative franchise system!

The Coffee-Bike is a mobile, self-contained coffee shop with a unique and eye-catching design.

• • • • •

Your own coffee shop on only 3m2 Low initial investment No monthly revenue minimum Royalties only on sold coffee specialities Individual training and ongoing support

Work full-time or part-time and choose where you want to operate your Bike.

• • • • •

Flexibility and mobility Private, public and corporate events Sustainability and environmental protection Brand concept and company culture Innovative technology

Join one of our next Franchise Information Days in Birmingham:

Contact us for more details:

Friday, 14th August Friday, 11th September Thursday, 1st October

+44 (0) 203 - 695 89 - 80 franchise@coffee-bike.co.uk www.coffee-bike.com

Untitled-5 1

30/07/2015 15:58

ers renewable energy solutions for both domestic and commercial use. Be a part of the fastest growing subsector industry in the world with Green Square.

• Exclusive product range •

renewable technology

cations in

• Quality Management system for micro-generation technologies in place (MCS) • Supported by legislation • Low overhead model • Bespoke software allowing full system design and calculations for complex installations • Full Marketing support: Website, launch event and marketing campaigns • Turn-key business concept For more information about this amazing opportunity:

Call: 0845

263 7474

Email: franchise@greensquare.co.uk Web: greensquare.co.uk/renewablefranchise

EliteFranchiseApril2015.indd 1

The home of energy solutions

31/03/2015 22:56

INTERNATIONAL

Trampoline park franchise Sky Zone has come a long way, growing from a chance experiment in an R&D centre to a global franchise operating in 100 cities around the world

WORDS: Josh russell

I

f you’ve got the capital, an entertainment franchise can be a rewarding way to earn a crust. But it’s hard to know what to go for: bowling is boring and laser tag is lame. Fortunately there’s a new international franchise coming to our fair shores that has got kids and adults alike jumping for joy. Its name is Sky Zone.

A lot of great start-ups feature a pivot at some point in their journey but it’s fair to say that Sky Zone took a larger leap than most. “We were going to start a competitive sport that was played on trampolines,” says Jeff Platt, CEO of Sky Zone. However, trying to get a sport off the ground was far more costly than they anticipated and before long the future Sky Zone founders were forced to monetise the only asset at their disposal: an R&D centre filled with trampolines. “We decided to charge people to come in and jump around to see if they would pay for jumping,” he continues.

Fortunately, the Sky Zone team’s gamble paid off: not only did they manage to pack the centre full that day but the customers kept coming back. They realised they’d hit on something that had enormous potential. “We completely shifted the focus from trying to start this sport to having an indoor trampoline park,” Platt says.

And thus, in 2004, Sky Zone was born.

But this is not to say that it was all clear skies ahead for the company. As with any venture that’s blazing a trail, there wasn’t a handy roadmap to help them find their way. “There was no expert to call,” Platt says. “We had to figure out everything on our own and truly build August 2015 | elitefranchise

International.indd 1

37

31/07/2015 12:29

EliteFranchise0615.indd 1

20/05/2015 14:37

INTERNATIONAL

it organically.” What followed was a lot of painstaking work hammering out its model, developing its operations and establishing connections with the right vendors, during which time Sky Zone only opened three locations. “It took a lot of time,” Platt explains. “It wasn’t until about 2010 or 2011 that we really started to grow quickly.”

Part of the reason Sky Zone’s expansion began to gather momentum was it recognised that, for such a capital-intensive business, company-owned sites weren’t the best way to expand. “We started franchising and that’s when it really took off,” says Platt.

And this is where all the groundwork it had put in really paid off; with help from some outside consultants, it started adapting its model into a comprehensive package, a step Platt feels all too many franchises rush. “Most try to grow as fast as they can without stopping and putting the proper procedures in place,” he says. “And that can be very challenging once they grow.”

Sky Zone’s model certainly seems to be proving a hit with its customers, offering up a wide variety of activities for all ages.

“We have what we call a free jumping court, which is where they can jump, flip, bounce off walls and practise tricks,” says Platt.

Jeff Platt CEO, Sky Zone

But there’s far more available besides this; it also boasts trampoline dodgeball courts, basketball hoops and a foam pit that customers can jump in, whilst international parks have an additional area for wall running. “We’re also adding a couple of new things in the future; things like a slack line or obstacle courses,” says Platt.

“We’re even looking at adding a space for a non-traditional form of rock climbing.”

Embracing these kinds of innovation is a central tenet of Sky Zone’s offering, meaning that it is constantly on the hunt for new ideas. “As a franchisor, we are spending a lot of money in the field of innovation and testing new products, programmes and systems,” Platt says. It finds new ideas in two ways; firstly it looks out at what other types of entertainment parks are doing and explores whether it can improve on them. Secondly it has an internal innovation committee that focuses purely on devising and testing new concepts. “Not all of them work,” he says. “But when they do work, they’ll benefit our franchise network and we roll those innovations out to them.”

And this approach has helped the franchise network expand and bed down in new locations far beyond the United States.

“Funnily enough, our international expansion started with a relative of one of our US franchise owners who saw the business in the US and wanted to take it to Canada,” Platt says. Before long, operators from Mexico and Australia had also approached Sky Zone, eager to take on the master franchise rights for the territories. “And as we’ve continued to develop the brand, we’ve started taking a more aggressive approach internationally,” he says. Aggressive certainly covers it: Sky Zone currently has plans to enter the UK, Saudi Arabia, Kuwait, New

There was no expert to call; we had to figure out everything on our own Jeff Platt, Sky Zone

August 2015 | elitefranchise

International.indd 2

39

31/07/2015 12:29

Kitchen Duct and Kitchen Deep Clean experts

FRANCHISE OPPORTUNITIES This is your opportunity to become part of an established, accredited and successful organisation.

We already have work for you with some of the world’s leading brands, including KFC, Crowne Plaza and McDonalds.

Benefits of owning an Envirogroup Franchise:  Commercially proven business  Recession proof /legislation led  Fully supported through telemarketing and website  Ongoing training and technical support package  Exclusive protected territory  Van livery, racking, own branded chemicals and specialist equipment

Five franchisee in the last five months have realised the advantages of an envirogoup franchise ...

I just wanted to say a huge thank you to all the Envirogroup staff who worked with us and assisted us.

They couldn’t have made us more welcome, without exception everybody bent over backwards to ensure we were looked after. They also took time out of their own jobs to show us the systems and share their experience.

The office had a great team spirit about it and made me feel that I was joining something really special.

Graham Coulston-Herrmann Preston franchisee

Envirogroup FP Aug15.indd 1

Franchise Investment The start-up investment for a new franchisee is now available at two entry levels: OWNER OPERATOR OPPORTUNITY £19,500 inclusive of licence, exclusive territory, full training, stock, equipment, IT and marketing materials (inc. website), van livery and racking, launch & 24/7 mentor MANAGEMENT OPPORTUNITY £29,500 inclusive of licence, multi-territory, extensive training, IT and Marketing materials (inc. website), van livery and racking, stock, equipment, launch & 24/7 mentor From the impressive vehicle graphics to the up to date website and the bespoke software packages to the on-going support and on the job training we have everything covered for you!

Envirogroup have business waiting for you in all areas of the UK. For more information or an appointment to discuss, please contact:

John Brooks Franchise Director

t: 0284 175 4035 e: john@envirogroupni.com w: www.envirogroupni.com

31/07/2015 18:40

INTERNATIONAL

Zealand, Germany, Spain and Dubai in the next 18 months alone.

For many franchises operating across so many territories, localisation can be a significant concern but Platt feels Sky Zone is comparatively universal. “The core brand works really well,” he says. “It’s not like a food brand where you have different palates in different countries.”

However, Platt does acknowledge the importance of being able to localise a franchise’s message and positioning. For example, Australia is far more risk hungry than the US and has more of an appetite for extreme sports, meaning that Sky Zone could amp up its message for the antipodean market. “American franchisors get themselves in trouble when they think that just because it works in the US it will work everywhere,” he says. “That’s an arrogant way to think; you have to be flexible.”

So what about the British market? Although it’s taken it a while to get a handle on how things work over here, Sky Zone has reached an agreement with a master franchisee and is hoping the British Jeff Platt, Sky Zone public will get its first experience of Sky Zone later this year. If everything goes to plan, Sky Zone expects to open three to six locations in the UK over the next year and 25 over the next five. “Like anything in business, nothing moves for quite some time and then all of a sudden everything falls into place,” says Platt.

“You go from securing no locations for seven months to having the opportunity to secure five locations within thirty days.”

Sky Zone’s expansion has definitely begun to pick up some

As we’ve continued to develop the brand, we’ve started taking a more aggressive approach internationally

serious speed. Just last month, on July 10, the franchise opened its 100th centre and decided to celebrate in style, giving away prizes to customers in every one of its locations. But it didn’t just hand out prizes: it also donated money to local charities in each location in which it operates. “Each park picked one charity within their own community,” Platt says. “$500 came from the park and $500 came from us as the franchisor.” In total, Sky Zone donated £100,000 to 100 different charities in around 100 cities around the world.

But it’s not past milestones that Sky Zone has its mind on: it’s very much thinking about the future.

The franchise believes it will open an additional 150 to 200 sites in the US in the coming years, start adding European locations at a rate of 15 to 20 a year and begin making serious inroads into the Asian market, where it is aiming to add 40 to 50 sites each year. Evidently, Sky Zone isn’t prepared to rest on its laurels.

“We’re always striving for more,” says Platt.

“It’s always good to celebrate your success, then move on immediately and keep going.”

All in all, it seems the sky’s the limit.

August 2015 | elitefranchise

International.indd 3

41

31/07/2015 12:30

WF MASTER 11_3_- 12/06/2015 12:48 Page 40

FREE INFO NO: 4040

Untitled-5 1

30/07/2015 16:03

FINANCE

Go with the flow

Poor cash flow is renowned as the biggest killer of businesses. Carl Reader, director at Dennis & Burnbull, is here to offer franchises his top tips on keeping the money moving

A

s a new franchise owner, you don’t need to be an accountant but you do need to be aware of some key financial statistics within your business.

New franchises are often operating on a minimal budget so ensuring that your finances are managed correctly is crucial to success and to making sure that you aren’t left with more month than money.

The following phrase might be familiar: turnover is vanity, profit is sanity but cash is king. Ultimately, it means cash is vital for the health of a business.

However, the difference between cash flow and profit can be a source of confusion for business owners, many of whom think they are the same thing. This can make financial matters unclear and confusing. For example, a business could have a £100,000 profit on paper but their bank accounts may show that they’re still overdrawn and are struggling with their cash flow.

Many items are included in a profit and loss account but they may not be visible in your bank account. For example, making a trade sale to another business would August 2015 | elitefranchise

Go with the flow.indd 1

43

31/07/2015 12:32

Do you long to be your own boss?

Make more money? Have more free time? Secure your future?

We will help you build and run a profitable business, using a proven model in the still new and growing industry of outsourcing. A franchise where you employ others to do valuable work for both large and small businesses.

You will grow as your client portfolio expands, leaving you free to pursue your goals and dreams.

Benefits:

• Keep your costs to a minimum while helping you grow • Limit the time you spend on operational matters that hinder growth and profitability • Help you establish a business, not a job, that runs itself when you’re not there • Create an asset that you can use to support your lifestyle or sell on when the time is right

So .... What are you waiting for?

Call 01279 276200 and ask for Alan or Kaye email alan.hopgood@zebpa.co.uk Zeb PA June15 FP.indd 1

www.zebpafranchise.co.uk 30/07/2015 16:09

FINANCE

not necessarily show up in your accounts, as you would usually send them an invoice with a period of 30 days for them to pay. On the other hand, your payment for a purchase would not show up in your accounts until it has actually been paid.

Whether it’s struggling to keep up with changes in the market or not being able to receive any funding, it’s little wonder cash flow problems are a common reason for business failure. It is therefore vital that all businesses take every step possible to ensure that their cash flow is managed effectively.

Check that your customers are credit worthy If you take on customers who have a bad track record for payments or reputation, it is likely history will repeat itself with you as the victim.

Linking up with companies like Red Flag Alert can help you gauge a business’s credit risk.

Invoice your customers promptly If you do not raise your invoices promptly, you have no chance of getting paid promptly. The way I see it, the value of any work performed for a customer decreases every day that you delay raising an invoice.

In other words, customers are most enthusiastic about your service or product on the day that they purchased it. Their initial excitement is likely to disappear over time so if you leave it two months before getting round to invoicing them, they may not believe it’s worth what you originally charged them.

Invoice everything that you can This is perhaps more important than the last tip because although a late invoice may get paid, an invoice that’s never raised is never paid. This may seem obvious but it surprises me how many businesses don’t have a system to ensure that all the work they do or products they sell actually get invoiced.

It is vital that all businesses take every step possible to ensure that their cash flow is managed effectively Invoice accurately Whilst it is important to ensure that you invoice everything you can, it’s dangerous to invoice any more than you should. Not only is this practice illegal and unethical if done on purpose but it will also give the customer a chance to dispute the invoice, which will drag out the time before they pay you. It is therefore vital that you have an accurate invoicing system that can help you avoid errors on invoices.

Set appropriate due dates Many businesses seem to default to 30 day terms of payment. However, I find that businesses adopt these terms with little consideration of the terms that they’d like to set. While some larger customers may require you to work with their payment policies, it is up to you to determine your own terms of business. Also, make sure that your accounting system can handle the terms of business that you require, as some software packages can only handle fixed terms of 30 days.

August 2015 | elitefranchise

Go with the flow.indd 2

45

31/07/2015 12:32

Are you missing calls or losing new orders?

Are you...

• Using an answer-machine?

• Closing too early for your callers?

• Too slow speaking to your new web enquiries?

• Losing new callers whilst you’re on your phone?

• Relying on a weak mobile signal?

• Too busy on your existing work projects?

• Closed at weekends?

PA4You support some of the fastest growing businesses in the UK turning their missed opportunities into new orders. Give our award winning support services a try, for free! What do you have to lose?

supporting your business

www.pa4you.co.uk

Email: hello@pa4you.co.uk or call us: 0333 800 3690 PA4You_Aug_Full Page.indd 1

31/07/2015 18:41

FINANCE

Chase your debtors Once you have raised an invoice and set a due date, you need to actually chase the debt. Provided that your system is able to report on it, make sure that you keep a regular report of debtors and have an agreed follow up process for contacting your customers. The best processes will include courtesy calls to ensure the invoices have been received before their due date and a reminder on the due date if they are not paid by then. This will be followed by a series of escalating letters ending in a final letter before further recovery action is taken. There are numerous debt collection agencies who can help you once at this stage and the introduction of a third party is often all you need to get paid by your late paying customers.

Many business owners worry about chasing debts because they’re fearful of upsetting their customers but it’s worth bearing in mind that a customer who doesn’t pay you is usually not worth keeping.

Use free of charge credit from suppliers Having extolled the virtues of effective credit control, it is worth remembering that your suppliers will also have payment terms and you should be able to use these to your advantage. For example, if one of your suppliers gives you 30 days’ credit, you could use this credit to help fund your overall business. I am not advising that you perpetually pay late but it can sometimes be beneficial to make

If you do not raise your invoices promptly, you have no chance of getting paid promptly

the most of the permitted credit terms.

However, it is still worth reviewing your suppliers’ terms of business to establish whether or not there are any opportunities for early settlement discounts, while also considering whether it is worth using these yourself on your own invoices.

Regularly monitor your bank account Now online banking is available to all businesses, there is no excuse for not knowing your exact financial position on a daily basis. Make sure you have a projection of how the forthcoming days, weeks and months look – even if it’s only a rough calculation – so you can act to improve your cash flow sooner rather than later.

Keep your financiers updated If you do anticipate cash flow difficulties, make sure you speak to your bankers at the earliest possible opportunity as they might be able to support you through any difficult period. They also have a vested interest in you continuing to trade so, provided that you approach them with a sensible proposal, they will probably want to assist you by offering some additional facilities. It’s essential to not bury your head in the sand over these matters, as financial support is not easy to obtain and is usually expensive later on.

I can’t overstate the importance of all of the above when it comes to staying on top of your cash flow. By implementing all of these practices into your business, it’ll keep you in a healthy position on a monthly basis and, as long as your product or service is selling well, you should find yourself on the road to commercial success.

August 2015 | elitefranchise

Go with the flow.indd 3

47

31/07/2015 12:33

Surelet.indd 1

31/07/2015 16:14

Surelet.indd 2

31/07/2015 16:15

TOP

BLOGS In an age where content is king, franchises risk selling themselves short by not having a blog on their website. But jumping on the blog bandwagon for the sake of it can be even more costly

50

elitefranchise | August 2015

SALES & MARKETING

WORDS: ADAM PESCOD

I

MARK MASTERS managing director, ID Group

KASIA BALDWIN franchise marketing manager, Driver Hire

It’s no good anymore to have a static website.

You need to have regularly updated, relevant content

RACHAEL EVANS communications manager, Kumon

Richard Dancy, Barking Mad RICHARD DANCY marketing manager, Barking Mad

t’s no surprise that the number of businesses with their own blog has spiked in recent years. The meteoric rise of Google and its preference for content-rich websites has seen companies of all sizes going hell for leather to get themselves to the top of page one – and blogs are proving integral to their efforts.

Suffice to say, merely having a presence online is far from the USP it would have been ten or 15 years ago. “It’s no good anymore to have a static website,” says Richard Dancy, marketing manager at Barking Mad, the dog care franchise. “You need to have regularly updated, relevant content.”

As Dancy explains, Barking Mad introduced a blog to its website in 2012 “to give our potential customers, franchisees and host families a reason to find us, be interested in us and interact with us.” It includes content that appeals to dog owners on the one hand and prospective franchisees on the other. “It has to be a mix of different topics appealing to our different markets,” says Darcy.

Initially, Dancy wrote all of the Barking Mad blog posts himself but he now delegates that responsibility to a few other people, while retaining oversight of the content that goes on the blog. And the company will soon be taking things one step further; while the blog is currently managed at Barking Mad HQ and acts as a voice for the whole business, every franchisee is to have their own blog as part of a revamped Barking Mad website. “In effect, we will end up having 70 blogs,” says Dancy. “They will include content that’s not only relevant to customers, host families and potential franchisees, but that’s also relevant to their local area.”

Blogging will be mandatory but Dancy says this won’t have much of a bearing on Barking Mad’s franchisees, the majority of whom have already got some experience under their belts. “Most of them are doing it anyway because they’ve had news pages for a long time,” he says.

It’s evident that Barking Mad has a very clear idea of who it’s trying to target with its blog. However, actually reaching these people entails no end of time, effort and sometimes money. “You need to make sure that what you’re saying is being seen by people and, for it to be seen, it needs to be shared and put in the right places,” says Dancy. “There are various different things that you can do but I don’t think you can just assume that people are going to find you without putting in some effort and perhaps paying for it.”

Clearly, rushing headlong into starting a blog is not the wisest of moves. It’s crucial to invest some time building up an understanding of one’s industry and potential customers before putting pen to paper. “You can’t necessarily put out content that you think your customers want to read,” says Mark Masters, managing director of the ID Group, the content marketing consultancy.

“You need to see what’s happening within your business and your industry. Essentially, you need to ask ‘What is the thing that makes us different?’”

Kumon, the education franchise, is certainly feeling the benefits of a slow and steady approach. The company launched its blog in 2012 but kept it hidden as it sought to establish the types of content that would hit the mark with parents and prospective franchisees.

The blog was afforded a more prominent position when the Kumon website was redesigned and relaunched in 2013, by which it time it had already amassed a generous amount of content. “It is a great way to share our values and lift the lid on Kumon so that any potential customers can get a better idea of what it is we do and what it is that we stand for,” says Rachael Evans, communications manager for Kumon.

August 2015 | elitefranchise

51

Not just another gym franchise BURN UP TO 1000KCALS PER SESSION HEART RATE BASED TRAINING BURN CALORIES FOR UP TO 36 HOURS AFTER YOUR WORKOUT

Be your own boss from as little as £30,000 • • • •

Proven & successful concept Affordable investment Distinguished training and support Manageable business processes DANIEL KEITH - FRANCHISEE

The unique concept of YourZone, along with the companies ambition are what appealed to me in the first place. Nothing beats being your own boss and having the support from the franchise team makes it all the more enjoyable.

Join the YourZone team today E franchise@yourzonestudio.co.uk T 01268 200168 W www.yourzonestudio.co.uk

Untitled-5 1

30/07/2015 16:10

SALES & MARKETING

The Kumon blog is separated into three sections. While success stories carries tales of students’ achievements and testimonials from parents, Kumon’s community news page includes articles from franchisees about their experiences as a Kumon instructor. It also publishes a number of articles for parents that offer invaluable advice on anything from independent learning to the value of reading. “When anyone asks about how Kumon works – and are really considering the proposition as a parent or as a potential franchisee – we would always advise them to have a look at the blog,” says Evans. “We can say how great it is to be a Kumon franchisee until we are blue in the face but actually hearing it from the people who are doing the job is so much more powerful for somebody considering that as a proposition.”

With 10% of traffic on the Kumon website coming directly through the blog – attracting between 10,000 and 12,000 people every month – it’s safe to say the company’s content strategy, which favours quality over quantity, is paying off. “On platforms like Twitter, the feeds move very quickly and you are asking people to take on a snapshot of information,” says Evans. “With a blog, you really want people to take a couple of minutes looking at the page, so two to three times a week is more than enough to bring people back, to spark their interest and to keep them engaged with the content.”

Blogs evidently play a slightly different role in the franchise sector than they do in the wider business community. As the examples above have demonstrated, franchise businesses need to target two very distinct audiences: customers and franchisees. Offering insight into the benefits of franchising is therefore just as important as promoting one’s brand to potential customers. “In the franchise industry, it’s about educating people who are new to it and letting them know what their options are,” says Kasia Baldwin, franchise marketing manager at Driver Hire, the transport and logistics recruitment company. “We are really helping them start their due diligence process.”

Yet, in spite of these subtle differences, assuming the role of an educator is something that all businesses – franchises included – should aspire to when writing a blog. If anything, it will help elevate them to a position where they’re regarded as far more than a mere

When anyone asks about how Kumon works, we would always advise them to have a look at the blog Rachael Evans, Kumon

commercial entity whose sole interest is turning a healthy profit. “You have to take the role to educate your audience because if you can educate others, they can see the value in what you do and look at you as a knowledgable resource,” says Masters. “If you do stuff that’s of interest and people think ‘they know what they’re on about’, it positions you differently in their minds.”

In other words, you can’t put a price on knowledge. “In this day and age when people are doing further research online, if you’ve got a blog that’s relevant to them, it may portray you as an expert in that field,” says Baldwin.

“Sometimes it helps you come across as a bit more transparent and open to discussion as well.”

A blog can therefore work wonders for any franchise but, to really feel the benefit, it has to be treated as an essential and ongoing component of the business. “If you’re not going to use it as a way to continue a dialogue, to create interest and information, don’t do it,” says Masters. “But if you’ve got something to say and you can do it with authenticity, you can do it with your own voice and you can do it with humour, then it’s worth doing.”

August 2015 | elitefranchise

Top blogs.indd 3

53

31/07/2015 12:34

PEOPLE

WORDS: josh russell

W

hen any key player in a business falls seriously ill, its certainly cause for some sleepless nights. But when it’s a franchisee who is in a bad way, it can potentially threaten the health of the entire network. That’s why making sure there are certain provisions in place to support the franchise through this difficult time is absolutely vital.

Obviously the relationship between a franchisee and franchisor is not the same as that of an employee and employer. “Frankly the franchisor has no obligation to look after somebody’s business for them,” says Andrea Loasby, director of Aspray, the property repairs and insurance claims management. This drives straight to the heart of the argument that surrounds dealing with sickness in franchisees – as business owners, franchisees have a responsibility to manage their own affairs and may not appreciate excessive interference from a franchisor. “Franchisees should already have the facilities to deal with illness and sickness – whether it be short-term, medium-term or long-term,” Loasby says. “The onus is on them.”

However, Dave Lister, FD of X-Press Legal Services, urges caution; whilst it might be tempting to think you can simply wash your hands and disregard a franchisee’s problems, this would be a rather short-sighted approach. It may be a franchisee’s obligation to make provisions in case of long-term health problems but if they fall ill and a location’s performance begins to suffer, they won’t be the only ones that are hit in the pocket. “Apart from the disaster that’s unfolding in front of you, you have to worry about upholding your brand,” he says. “What you don’t want is for the brand to have a bad name because the service was not up to scratch.”

Striking the balance between respecting a franchisee’s autonomy and providing the support required to keep the network in shape can be a tricky tightrope to walk. But appropriate planning can help ameliorate the worst of this. “Every

Ill fortune If a franchisee is involved in an accident or falls victim to a serious illness, providing a helping hand can protect your network

54

elitefranchise | August 2015

Ill fortune.indd 1

31/07/2015 12:35

BE YOUR OWN BOSS We provide all you need to own your own commercial cleaning business!

Every day nearly 11,000 JAN-PRO owner-operators across the world bring our clients the kind of high quality service we not only promise, we guarantee. It’s a reflection of the commitment that comes from the best training, equipment and measurable processes available. More importantly though, it’s a commitment that begins with a positive attitude and a drive to always do better, and that is what makes JAN-PRO a different kind of commercial cleaning company.

Training - Guaranteed Customers - Financing - On-going Support The Processes Are Ours. The Benefits Are Yours.

• Jan-Pro Regional Directors provide all your sales, marketing and admin support • You choose your investment level and working hours - part time or full time • Training and ongoing coaching to help you build a business and your future • The Entrepreneur Magazine 2010 Report went on to rank JAN-PRO as the Fastest Growing Franchise globally • A JAN-PRO® franchise allows you to make investment decision that best suits you, and then provides you with all the systems, support services, and training you need to be successful

Industry Recognition for JAN-PRO In the latest Franchise 500 Awards Entrepreneur Magazine ranked JAN-PRO #1 in Commercial Cleaning and the Fastest Growing in Commercial Cleaning Overall. In addition JAN-PRO is the only franchise commercial cleaning company to have ever been ranked as the Fastest Growing for three consecutive years, 2008-2010.

No one Supports you Better To learn more about JAN-PRO, please visit: www.jan-pro.com or contact your local JAN-PRO repesentative Ann Mary Wardman 07933 753 228 email: annmary.wardman@jan-pro.com

Jan-Pro FP Apr15.indd 1

Commercial Cleaning with a Difference 31/03/2015 20:23

PEOPLE

business owner should have a business continuity plan,” says Loasby. Essentially this will entail the creation of a plan B that will detail how a franchisee will keep the business running if they are incapacitated.

“What’s the back up? What’s the succession plan?” she asks. “Business continuity planning should form the basis of the due diligence and the considerations made when setting up a business.”

One of the most important provisions will be arranging who will manage the business in the interim.

“You would expect there to be cover in place,” says Loasby.

“Possibly a deputy manager would step up to the mark on a temporary basis.” Subject to the agreements they have entered into, the franchisee may be able to choose who they would like to manage their territory should they be taken ill. “But you would also expect a franchisor to be kept informed of what’s happening because they would want to make sure that whoever was covering is entirely suitable to run that operation,” Loasby adds.

However it may be that there isn’t someone waiting in the wings that can pick up the reins; relatives, for example, might struggle to step up whilst dealing with all of the pressures that come with taking care of a sick loved one. Lynne Lister, MD of X-Press Legal Services, recalls a time one of its franchisees had a severe car accident.

“We obviously had to support his wife and children by helping them keep the business running,” she says. Fortunately

Apart from the disaster that’s unfolding in front of you, you have to worry about upholding your brand Dave Lister, X-Press Legal Services

56

X-Press Legal Services had a system in place to help them keep the business on its feet and maintain a continuity of service. “Basically we put one of our head office staff at their disposal for them as long as they needed it.”

In territory-based franchises like X-Press Legal Services, there is another solution that franchises can put in place. Lynne Lister makes reference to another franchisee whose infant child was taken very ill. “The baby was in hospital for about three weeks in intensive care; it was a very tough time for that family,” she recalls. Fortunately, a neighbouring franchisee was able to take on her territory and help keep the franchise on its feet. “In all honesty, our head office didn’t even have to get involved because she ran the entire business on top of her own.”

Regardless of who a franchisee has agreed will take over the franchise if they fall ill, this isn’t the only provision they need to make.

Insurance will inevitably be a vital part of protecting a franchise.

“Critical illness cover and key man insurance should definitely be part of your business continuity plan,” says Loasby.

Essentially, critical illness insurance will cover a franchisee’s living costs and potentially pay for someone to temporarily step in and manage the franchise, whilst key man insurance will keep the business on its feet in cases where the franchisee passes away.

But in some situations – regardless of the provisions in place – the franchisee or their next of kin simply may not be able to keep up with the expectations put in place by the franchisor. “If they aren’t able to perform the role expected of them or maintain turnover, then it’s entirely possible that the franchisee is in breach of their agreement,” says Loasby. In these circumstances, there are three approaches a franchisor can take. “Either the franchisor will take a view that they want to hold on and help the franchisee as long as they can, the franchise will go up for resale or the franchisee would resign,” she adds.

But Lynne Lister recommends not being too rigid in sticking to the letter of a franchise agreement when a franchisee is in a difficult way. “When someone rings in and says ‘there’s been a terrible accident, he’s in hospital, I don’t know which way to turn’, the last thing you want to do is start quoting franchise agreements at them,” says Lister. “It’s all about dealing with people the way that you would want to be treated.”

elitefranchise | August 2015

Ill fortune.indd 2

31/07/2015 12:36

ADVERTISING FEATURE

Inspire the next generation in sport exhibiting at the NEC IN Birmingham on October 2 & 3

PTC Sports has been providing high quality sports coaching to young children since 2002. Its franchisees have reaped the rewards of joining the franchise and providing their community with the right mix of sports development and education

P

TC Sports is rapidly expanding throughout the UK and encouraging young children to lead a healthy and active lifestyle. To achieve this, it requires enthusiastic, passionate and businessorientated individuals to deliver its goal with a unique and rewarding franchise opportunity.

Your opportunity with PTC Sports Working hand in hand with head office, the PTC Sports franchise network provides young children with sports provision encouraging social interaction.

No matter your previous experience or expertise, the team at PTC Sports will provide you with the key tools and training to ensure that you, along with other franchisees, are delivering a consistent and more comprehensive service throughout the UK than the competition.

Franchising gives you the perfect platform to start your own business with a significantly lower risk. This will allow you the opportunity to potentially earn a high income from day one, safe in the knowledge that PTC Sports is supporting you throughout.

to help with organic growth and secure work with schools and various other organisations. In a short amount of time you could be working with a whole host of organisations and ultimately recruiting additional staff to help manage your business fully.

Like any business, growth is key to increasing income and profile. Once your territory has been maximised it is possible to purchase a further territory with PTC Sports so that you can continue with your expansion plans.

Ambassadors PTC Sports has an exceptional line up of ambassadors that includes former Premier League footballers Muzzy Izzet, Steve Claridge and Steve Walsh, along with former England cricketer Paul Nixon.

These elite sports stars have played their respective sports at the highest level for many years and are now part of PTC Sports, inspiring the next generation of youngsters to achieve their own dreams.

PTC Sports’ ambassadors are contracted to you and will provide a number of visits in your territory at no additional cost. They are fully committed to helping you drive your business forward.

A business with no limits:

Success stories

A truly scalable business opportunity, PTC Sports will provide initial support

“The support from day one from PTC Sports and their ambassadors has been

second to none. Whenever there was an issue or a question I needed answering there was always a member of the team on hand to give me a rapid response.

“In the short time I have been running my franchise, it has grown beyond my expectations from my own hard work plus the second to none support from everyone at PTC Sports.”

David Simms, business area manager, Barnsley

What PTC Sports’ partners say “I would highly recommend PTC Sports.

It is an excellent sports coaching provider and I have had the privilege to meet a company with a passion and desire to not only want to make sports enjoyable but also to make a real difference in people’s lives.”

Adepitan Adewale, curriculum team leader – P.E., Eastlea Community School

Inspired?

Together we can make it happen!

Website: www.ptcsports.co.uk/franchise Email: info@ptcsports.co.uk Phone: 01709 913600

August 2015 | elitefranchise

PTC Sports Advertorial 15.indd 1

57

31/07/2015 18:42

PEOPLE

Getting to

58

elitefranchise | August 2015

Getting to know you.indd 1

31/07/2015 12:39

PEOPLE

know you The success of a franchise hinges on the relationship between the franchisor and its franchisees. If both parties aren’t singing off the same hymn sheet, the business will be in trouble from the outset, says Annabel Jones, HR director at ADP UK

With so much at stake for both franchisors and franchisees, it is essential that both players commit to building a cohesive and engaging relationship.

Creating a common culture

First and foremost, there must be a common culture between the franchisor and the franchisee. A shared set of ethics, values and principles creates a foundation for their relationship and fosters trust and respect. The franchisee must be able to adopt the business’ culture, help its employees identify with it, and even be willing to defend it. This ensures their investment in the brand is a he relationship between a franchisor and sincere one and will go the distance. franchisee is one of the most unique business The franchisor can take a number of steps to facilitate models. While the connection is bound by and build this enthusiasm. They should effectively convey contract, in reality it is much more complex. On one the brand’s narrative, which will shape an identity for the hand, it could be compared to a marriage due to its company and can also be a relative intimacy, while on the other key way to build appeal for hand it is closer to a parent-child customers. For example, relationship. Yet such comparisons The franchisee must be able to those customers who have undermine the magnitude of adopt the business’s culture, previously had a positive responsibility for both parties, as there experience with the brand is a strong requirement for establishing help its employees identify with will be more inclined to a shared culture, need for clarity in it and even be willing to defend it revisit the franchisee that communication and focus on achieving most effectively reflects the clear goals. same brand culture. The A more appropriate metaphor for the franchisee will then benefit from the loyalty of prebond between a franchisor and a franchisee may existing customers and reap greater rewards. therefore be that of a mentor and student. The franchisor Internal communication and training play an important must offer continuous guidance, help and expertise to role in building the culture and educating franchisees. support the franchisee in building and sustaining a Franchisors could build excitement through informative successful business model. The franchisee, on the other yet motivational videos or testimonials of franchisees hand, should ensure they remain open to advice, show a who have already gained success through the business willingness to learn and listen to the franchisor. By model. Seeing the accomplishments of other franchisees adhering to both roles, the bond between the franchisor will stimulate a desire in the franchisee to adhere to the and franchisee will strengthen and success will become business model that will also help them achieve success. more likely.

Yet at the root of this bond – and all franchise systems – there must be an underlying sense of mutual respect Embracing effective communication and collaboration. The franchisor entrusts what may be The ability to communicate effectively is fundamental their life’s work into the hands of a new partner. But, at to building an engaging relationship between franchisors its best, a franchisor-franchisee relationship can be a winand franchisees, as poor communication is often the root win for both parties. While the franchisee receives the cause of major business issues. For starters, it may lead to brand name, sales or operating systems and ongoing confusion over the strategy or the responsibilities of each support from the franchisor, the franchisee invests their party. Furthermore, it might foment what Greg Nathan, money, time and energy into helping to build the brand chairman of the Franchise Relations Institute, terms a me and boost profit margins. and you mindset. If there is a lack of engagement, the

T

August 2015 | elitefranchise

Getting to know you.indd 2

59

31/07/2015 12:39

PEOPLE

franchisee may begin to mistrust the franchisor and feel that they are in competition or they may start feeling apathetic about standards.

To avoid issues arising, it is important for the franchisor to frequently correspond with franchisees. For SMEs, this correspondence may be in the form of personal visits or frequent calls discussing an array of issues. Larger franchises may instead communicate via regular newsletters or hold conferences that provide guidance, support and address franchisees’ common concerns. This is particularly important for franchises on a global level, where communication is restricted by time, cultural and language barriers. In such cases, it is important that franchisors ensure they have a regulated system of correspondence that enables efficient and frequent communication with each and every franchisee.

Conversely, communication is a two-way street and the franchisor should listen to their individual franchisees as opposed to just barking out advice dogmatically. In fact, one of the leading factors of positive change cited by franchisees is their franchisors’ willingness to listen.

Supporting each franchisee in difficulties they are facing and addressing concerns they have not only mitigates problems before they become detrimental but it also provides franchisors with a wealth of information about their organisation.

The importance of this open and honest dialogue cannot be understated. Not only does it allow the business to overcome issues before they become serious crises but it also improves the overarching strategy. By revealing issues, scenarios and loopholes that the franchisor may not have known existed, the business can strengthen as a result of overcoming challenges and grow as a consequence.

Building focus through leadership Finally, the creation of focus through good leadership is crucial in building an engaging relationship between the franchisor and franchisees. Franchisors must direct the franchisee towards clear and mutual goals, articulating a plan that drives all franchisees towards achieving 60

these goals and reaping in the success that follows. When franchisees are focused on goals in all aspects of the business whilst being held accountable to someone, the franchise is far more likely to thrive and succeed.

Some of the most significant causes of disengagement are mistrust and a lack of focus, which may ultimately cause the business to suffer or even collapse. Good leaders make space for others to grow, provide guidance when required and accept feedback from their partners, employees and other stakeholders. Maintaining a healthy balance between authority and responsibility will enable the organisation to meet its goals, while further supporting the relationship between the franchisor and its franchisees. By staying focused and listening to its franchisees, the business is able to stay one step ahead and ensure that its strategy is innovative and ready to respond to changes in the marketplace.

The relationship between a franchisor and a franchisee is multifaceted. Whether you compare it to a marriage or mentorship, it is clear that both parties must be invested in making the relationship work. The brand’s story is the heart and soul of the franchise, while a strong set of values and a common culture provide the business with a solid ground for success.

Furthermore, the importance of committing to efficient communication and establishing the right level of leadership cannot be understated when enhancing engagement among each player. Taking time to invest in each of these factors will ensure a balanced franchisor-franchisee relationship is maintained and means that everyone will reap the rewards from a productive, engaging and high performing business model.

The ability to communicate effectively is fundamental to building an engaging relationship between franchisors and franchisees

elitefranchise | August 2015

Getting to know you.indd 3

31/07/2015 12:39

s coaching t r o p s g in w o ies. est gr The UK’s fast hools and local communit sc provider for

rn on Proven restu ent tm e your inv

Reasons to become a PTC Franchisee

y compan We are a bition full of am sion and pas

Let’s get the children of Britai n active again!

Top class ambassadors to support yo ur franchise

Great job satisfaction

To start your journey call us on

01709 913600 www.ptcsports.co.uk/franchise or e-mail info@ptcsports.co.uk

PTCGroupUK

@PTCGroup_UK

Cent Building, Sheffield Road, Rotherham,S. Yorks, S60 1DX PTC Sports is part of the PTC Group

Untitled-24 1

Endorsed by Muzzy Izzet, Steve Walsh, Steve Claridge and Paul Nixon

31/07/2015 18:43

TECHNOLOGY

Silver linings

Franchising has come to embrace cloud software – perhaps more than any other sector. But what are the benefits of shifting to the cloud for franchises?

But it’s not just time that a franchise can save; adopting cloud software can also have a very real impact on its bottom line. Not only does switching to a cloud provider save on outlays for server space and staffing but pricing for cloud software often doesn’t involve the same long contractual terms that come with purchasing other software.

This makes it easy to roll out as needed without making loud software has revolutionised businesses of all shapes and sizes in hefty financial commitments. “Because the model is recent years – and franchises are also getting in on the action. But what subscription-based and centred on usage, they can make makes it such an important tool for franchising?

One of the first factors is simply down to the realities of the modern business the investment in areas they need it, as opposed to taking on a monolithic capital expenditure,” says Bernard Ellis, landscape. Mark Woodhams, managing director of EMEA at NetSuite, the VP of industry strategy hospitality at Infor, the enterprise cloud business software suite, makes reference to some research conducted software solution provider.

by Frost & Sullivan. It revealed that in 1953 the average life expectancy for a Inevitably, one of the most important benefits of cloud business was 63 years. Now companies only tend to last 18 years; in five years software to franchises will be mobility, particularly given time, it will be just ten. “You’ve got new entrants to market all of the time, franchisees may be spread out across potentially quite therefore you need to be able to move your business quickly,” he says. “Cloud diffuse locations. “Clearly they’re not all based in an software gives you the ability to be agile.” office,” says Karen Kelly, founder and There’s certainly no disputing that cloud software can managing director of Cleanhome, the afford franchises certain flexibilities that other forms of It just takes cleaning franchise. “People are out and software can’t. “If you don’t have to physically have your own about; they need to have access to data PC, your own server or your own software and somebody away an whilst they’re travelling or meeting else maintaining all of those bits and pieces for you, then enormous their clients and suppliers.” Being able it’s got to be easier,” says Woodhams. He explains that if a amount of to access everything on the go can be franchisee has to focus less time and energy on maintaining hugely beneficial to franchisees; Kelly systems and dealing with hardware, it frees them up to be pain for a even gives the example of one franchisee creative, enter new markets, win new customers and serve franchisee who caught up on their work while existing ones. “It just takes away an enormous amount of sitting in a field at Glastonbury. pain for a franchisee,” he adds.

Mark Woodhams, NetSuite

WORDS: Josh russell

C

62

elitefranchise | August 2015

Silver linings.indd 1

31/07/2015 12:42

Become a legal practitioner and enjoy the privileges of becoming a lawyer J. Boddington Law Associates Ltd. Licensed Business Package Price £15,000 Our Licensed Business Opportunity package includes:• Legal Training Courses Levels 1& 2 • Registration and 12 months membership to two Recognised Legal Bodies • Practising CertificateTraining Manual • Relevant Latest edition Law Books to include:Civil Procedure Volumes 1 & 2 (The White Book) Stones Justice Manual Volumes 1,2 & 3 • Initial Point of Sale Material Business Cards, Company Letterheads, Company Banner • Support and Mentoring • Marketing Campaigns

Potential Earning Capability With dedication, hard work and following our structured business, marketing and networking model, you could achieve potential earnings up to £100,000 and in excess.

As part of the package we give unique and innovative advice and planning on a proactive approach to marketing and networking in your area for client acquisition to support any national marketing campaigns that we might undertake.

ENJOY YOUR NEW CAREER IN A PROFESSIONAL INDUSTRY Download our free brochure at bit.ly/1Iqrxla

£15k +VAT

0845 873 4664 | info@boddingtonlaw.co.uk | boddingtonlaw.co.uk

065EliteFranchise0815.indd 1

30/07/2015 16:13

TECHNOLOGY

Another huge benefit of cloud software is that, rather than sitting behind a wall, a franchise’s data can far more easily be put to work. “We don’t sit there and hold data on people,” says Kelly. “We utilise the internet, email and SMS messaging directly from our system.” For example, when Cleanhome allocates a new cleaner to a client, it can send the cleaner a text with all the details on the customer and appointment with the single press of a button. “That saves ten minutes of talking to the cleaner on the phone whilst she scrabbles around with a piece of paper,” she says.

And this goes both ways; the real-time data provided by Genesys, Cleanhome’s bespoke cloud system, allows on the spot insight. “We can log on and we can see all of our franchisees by month, by income, by client, see who’s growing and see who’s not,” says Kelly. This means that if one franchisee is outperforming their neighbours, Cleanhome can reach out and find out if there is any competitive insight that can be shared with the network. Similarly, Karen Kelly, Cleanhome if one franchise seems to be under-performing, it can reach out and offer additional support.

“That’s a direct result of having cloud-based data,” she adds.

Clearly there’s a strong case for franchises adopting cloud solutions. But, historically, not everybody was sold on their benefits, with questions of security being a sticking point. Fortunately this has shifted in recent times.

People need to have access to data whilst they’re travelling or meeting their clients

64

“With the majority of customers, we explain to them the protections that we put in place and most of them are blown away by how secure it is,” Woodhams says. In fact, it has become commonly accepted that your data is probably more secure in the hands of a large-scale cloud company than it is in your own. “We’ve come an enormous way in the last three years,” he says. “People are actually far less concerned about it now.”

Before franchises take the plunge with cloud software, it is worth considering whether they are going to go with an offthe-shelf solution or something bespoke.

Ellis says that proprietary solutions have rarely been able to keep up with the pace of development set by off-the-shelf solutions.

“This means franchisees have started to question their real value,” he says. “More and more franchisors are happy to take off-the-shelf cloud solutions, even if it’s the same solution that their direct competitors are using.”

Conversely, Kelly feels using off-the-shelf can be tough for franchises with a long heritage because it will mean adapting their existing processes, something longstanding franchisees might resist. “They’re not only going to be trying to introduce new technology into that network but a whole different way of running their business,” she says. A franchise developing its own solution means it can create something tailored perfectly to its processes.

However, it may not be a case of either / or. Many off-the-shelf solutions can be tailored to a franchise’s needs without having to start coding from scratch; Ellis explains that the front end can easily be redressed and altered whilst leaving a lot of the fundamental, behind-the-scenes architecture in place. “It’s the best of both worlds,” he says. “They can customise the customer-facing pieces that reinforce their brand but not be bothered by the tasks behind the scenes.”

But regardless of whether you go bespoke or off the shelf, cloud software is definitely not something franchises can afford to ignore. “Rather than saying ‘why cloud?’, people are almost taking a ‘why not cloud?’ approach now,” Woodhams says. “The opportunity there is enormous.”

elitefranchise | August 2015

Silver linings.indd 2

31/07/2015 12:43

ADVERTISING FEATURE

What is The Franchise Alliance?

T

viability and are looking to promote an ethical and effective business opportunity to prospective franchisees. TFA’s aim is to bring a fresh approach to the way in which franchisors and franchisees interact by assisting in the every step of the franchise business lifecycle.

he Franchise Alliance (TFA) is an organisation that has been created by professionals in the franchise industry looking to build better communication and relationships between franchisors and franchisees. It has been formed to cross what its founders consider a gap in the franchise market place – it is the bridge between franchisor and franchisee.

How does it do this?

With a combined experience of the franchising industry spanning over 50 years, the management team at TFA is well equipped to deliver advice, training, mediation and even due diligence for either party. It utilises a variety of methods, depending on the service required, to ensure that it can provide a solution to virtually any franchising issue.This

can involve developing new franchise opportunities, identifying suitable franchisee candidates for franchisors, dispute resolution and even management consultancy.

It also offers an accreditation to franchisors that are looking to have their business model independently assessed for

News TFA is proud to announce that it has recently launched it’s new look website and brand which it feels represents its goal of uniting the franchise industry. The site now features it’s new ‘fresh’ logo that will be proudly displayed by all members of TFA, franchisors and franchisees alike.

If you would like more information on The Franchise Alliance please call 0845 862 6767 or visit www.thefranchisealliance.org

Uniting the Franchise Industry Our services are predominately designed to simplify the interaction between franchisor and franchisee to create more productive relationships that benefit all parties.

Other organisations delivering similar accreditations are expensive, exclusive and often are unwilling to move away from their pre-set rigid criteria for joining.

Want to know more?

Feel free to call us for a friendly chat

0845 862 6767

Or just drop us a message at

info@thefranchisealliance.org www.thefranchisealliance.org August 2015 | elitefranchise

TFA Advertorial Aug15.indd 1

65

31/07/2015 18:44

Ableworld

Franchise Opportunity Ableworld, one of the UK’s leading mobility and home care retailers, is looking to award a limited number of franchises for its successful retail and stairlift businesses.

According to government statistics, in 10 years time over 25 per cent of people will be aged over 65 and the figures for those over 80 and 90 are even more striking. Ableworld’s products and services are designed to capitalise on this growing market and you can capitalise too, as an Ableworld franchisee.

Franchisees will get: • Two integrated businesses for one price • The opportunity of earning up to £95,000 p.a. by Year 3 • Use of the Ableworld™ brand in an exclusive territory • A first class training and support programme

For more information call

01270 627 185

Franchisees will need:

or visit

• Drive, energy and enthusiasm • A customer service mentality • A passion for helping people • The desire to want to run their own business in a growing market

www.ableworldfranchise.co.uk

Windscreen Repair Franchise opportunities available right now Become an Optic-Kleer® Franchisee and you too could find it’s the best career decision of your life. The windscreen repair market is growing every year as car ownership keeps growing. Optic-Kleer® Franchisees start earning from their very first day of trading and keep reporting really high satisfaction levels.

For more info: Call 01205 311132 today or Freephone 0800 028 8987 (choose option 5) email: info@optic-kleer.co.uk www.optic-kleer.co.uk

066EliteFranchise0815.indd 1

• • • • •

Be your own boss Enter a growing market Every territory offers excellent income potential First class national and local marketing Funding available

Don’t delay, we’re releasing a limited number of franchise opportunities right now.

The best career decision you’ll ever make!

31/07/2015 18:58

LEGAL

and

Supply demand W

hat is the difference between a McDonald’s burger from Exeter and one from Essex? If McDonald’s has its way, the answer should be “nothing”. For McDonald’s and any other product-based franchise, ensuring consistency and quality across the franchise network is essential.

It is for this reason that franchisors often stipulate that franchisees must purchase products and materials from the franchisor itself or from suppliers approved by the franchisor. Such an obligation is known as an exclusive purchase obligation.

Exclusive purchase obligations are common in franchising and have different implications depending on what side of the fence one sits.

Whilst franchisors undoubtedly benefit from imposing exclusive purchase obligations across their franchised networks, there are risks and due care should be taken. In particular, franchisors should consider the following: What is the term of the franchise agreement?

If the franchise agreement is to contain an exclusive purchase obligation, it is standard for the length of the term to be five years. Imposing a longer term may result in a breach of competition law. If a longer term is to be agreed, the franchisor must ensure that this can be justified.

Exclusive purchase obligations are commonplace in the world of franchising but the onus is on franchisors and franchisees to ensure they work in their favour, says Claire Robertson, associate at Stevens & Bolton

What items will be covered by the obligation?

Is it only brand-defining products that will be covered – for example, the burgers in a burger franchise or the shoes in a shoe franchise? Or will the exclusive purchase obligation go wider, for example, to apply to purchases of display units, telephones, stationery and other items used in the franchisee’s business?

Whilst the temptation may be to seek to control all such purchases, with such control also comes a level of responsibility and franchisors should balance the two against each other. Excessive limits on a franchisee’s ability to select its suppliers may be off-putting to prospective franchisees, as well as being hard for the franchisor to justify.

August 2015 | elitefranchise

Supply and demand.indd 1

67

31/07/2015 12:43

ADVERTISING FEATURE

Want in on our success?

By this time tomorrow, someone will possibly own a White Box Photography franchise. Why not make that somebody you?

Y

ou’ve dreamed of starting a business. So have we.

You’re tired of working for others. So were we. You don’t want another job. We know how you feel. That’s why the White Box Photography franchise is beginning to break the industry mold. We are starting to stand out as one of the north’s leading affordable family portraiture companies. We make lots of noise about our copyright free policy on every image we take, and we drive our competition crazy with free taster sessions for all mums with newborns.

What’s more, this year we’re prepared to open a new area every week, for the next year.

Want in on our success? Find out how you can start your own business with a White Box Photography franchise, today!

Who we are

White Box Photography was set up seven years ago to bring fun affordable photography to thousands of families across the north of England. Already established in various cities across the M62 corridor, our aim is to become the UK’s premier family portraiture specialist.

We pride ourselves on being different. More than 5000 families have already said ‘yes’ to a White Box Family portraiture session so far.

All of them paid one fixed price, and all of them walked away with a copyright free CD of images and written

68

permission to get as many images printed as they liked. Right now that’s unique in the UK. A White Box Family portraiture session is a mix of contemporary and traditional style of photography which can be a fun, tearful, romantic experience. All of our photographers attend a bootcamp where we teach pose construction techniques that allow them to get the very best from their session. Our aim is to offer a highstandard professional, well-trained, DBS checked photographer who can take stunning pictures.

We also provide photography in a number of playgroups, nurseries, primary schools and academies as well as other charitable organisations.

Who are we looking for?

There are two clear options available for the right person. Firstly, there’s a master franchisee where you get to run your own regional territory such as the South East, London or South West and at the very least work with five single White Box Photography units. Photographic and business knowledge is essential to be considered for this option.

Our most popular route is franchisee where you get to run your own single White Box Photography unit.

If you are someone with lots of get-upand-go, enthusiasm, a desire to work for yourself and, most importantly, a commitment to succeed, then we’d love to hear from you. Typically our franchise opportunities suit highly motivated individuals or couples keen to shape a new, full-time career.

No previous experience is necessary to run the single White Box unit.

Photographic training along with a comprehensive business plan and essential marketing instruction is given.

White Box Photography has a tremendous franchise package but we’ll only tell you about it once you’ve passed our screening and have demonstrated that you can meet our criteria. Sound fair? We think so.

Call Now 0113 2555 193 or email chris@whiteboxphotography.co.uk Master Franchisee Areas: London, South East, South West Single Unit Ready-To-Go Franchisee Areas: Manchester, Sheffield, Huddersfield, Hull

elitefranchise | August 2015

Whitebox June15.indd 1

31/07/2015 10:49

LEGAL

Who is it that will be supplying the products?

Will the franchisor be supplying the products itself or is it going to nominate approved suppliers? If the latter, the onus will be on the franchisor to select suitable suppliers and negotiate competitive rates with such suppliers on behalf of the franchise network.

The franchisor should also reserve the right to review and amend the list of approved suppliers on a regular basis. This will help avoid the franchisor being tied in to using suppliers that no longer suit the franchise network.

Will profit be made or a rebate received when the franchisee buys products?

According to the British Franchise Association (bfa) Code of Ethics, if a franchisor is making a profit from products supplied under an exclusive purchase obligation or is receiving kickbacks from approved suppliers, it should be transparent about this. Such rebates should not be a source of secondary income to the franchisor and instead should be used for the benefit of the entirety of the franchise network.

What if the franchisee asks to use a different supplier?

It may be that the franchisee has a relationship with an existing supplier that it would like to continue using.

The franchisor should consider whether its model can allow flexibility in such circumstances, albeit subject to a vetting procedure. If flexibility is to be allowed, it should be applied consistently across the network.

When purchasing a product-based franchise, an informed prospective franchisee should not be surprised to see exclusive purchase obligations in the franchise agreement. It is important to remember that such obligations are not necessarily a bad thing for franchisees. Franchisees are choosing to buy in to an established brand; therefore, the ability to access the necessary products and materials of that brand will be essential in the success of the franchisee’s business and may be worth the sacrifice in autonomy to select suppliers.

If flexibility is to be allowed, it should be applied consistently across the network

When faced with exclusive purchase obligations, prospective franchisees should consider the following: What items are covered by the obligations?

Do the restrictions apply only to brand-defining products or do they go wider? If the latter, is it reasonable for the franchisor to insist that the item in question is purchased from it or an approved supplier?

How much do the products cost?

Are the prices charged for those products that must be bought from the franchisor or its supplier competitive or at least reasonable?

Can the franchisor increase these prices at will and are such increases subject to any control? According to the bfa Code of Ethics, the franchise agreement should provide

protection against such unilateral increases. If such protection is not in the franchise agreement, a wise franchisee should seek assurances before signing.

Has the franchisor negotiated a good deal?

The franchisor should provide evidence that it has negotiated a competitive deal with any approved suppliers and is committed to regularly reviewing the terms agreed with suppliers to ensure that it is getting the best deal for the entire franchise network.

What is the franchisor getting out of it?

Of course, the franchisor will have the benefit of ensuring consistency across the network but what profit is in it for the franchisor? What margin is the franchisor making? Is it receiving a kickback or other rebate?

Has this been disclosed and, if so, will any profit be used for the benefit of the franchised network?

Can a franchisee use its own suppliers?

If there are particular suppliers that the franchisee would like to use for certain products, this should be discussed and if possible agreed with the franchisor at the outset and before the agreement is signed.

Exclusive purchase obligations are a fact of franchising and should benefit all because maintaining product integrity and quality across the franchised network will only serve to enhance profits. By taking the steps listed above, parties to a franchise agreement can help ensure that exclusive purchase obligations work for both of them.

August 2015 | elitefranchise

Supply and demand.indd 2

69

31/07/2015 12:44

Why buy a sandwich franchise?

• The British ‘on the go’ sandwich market is currently valued at £3 billion • 1.8 billion sandwiches are bought in the UK every year • A healthier fast food option

Visit FranchiseSales.com to find out about buying a sandwich franchise – and more!

Franchisee: Ipswich Location: Ipswich Investment: TBC Established: 2010 Turnover: £58,850

A resale opportunity has arisen for one of our Franchises based in Ipswich. The franchisee started the practice in 2010 from shop front premises. The business has 102 clients with gross recurring fees of c£55,000.

As the business operates from a shop front, any purchaser would be walking into a ready-made business with a fully fitted shop complete with furniture, IT and telephone systems. This represents an excellent foundation upon which a new franchisee can further develop an already established business.

The business has enjoyed regular growth with the majority of new clients coming from recommendations, walk in business and inbound leads generated from the Support Centre.

For a franchise re-sale you only pay us a half franchise and training fee as we recognise that you will also be investing in purchasing the business. You will of course benefit from the training and support that a new franchisee would expect.

Franchise RESALES - sponsored by FranchiseSales.indd 1

31/07/2015 18:33

Franchisee: Greater Manchester Location: Greater Manchester Investment: TBC Established: 2006 Turnover: £240,000

A resale opportunity has arisen in one of our franchises based in the Greater Manchester area.

The franchisee operates from a shop front so any purchaser would be walking into a readymade business with a newly refurbished shop complete with furniture, IT and telephone systems along with experienced, well qualified staff.

This represents an excellent foundation upon which a new franchisee can continue to develop a substantial business which is very well known in the local area.

The business has enjoyed regular growth with the majority of new clients coming from recommendations, walk in business and inbound leads generated from the support centre.

The business has gross recurring fees of c£242,000 and the franchisee is now looking to realise the asset built.

For a franchise re-sale you only pay us a half franchise and training fee as we recognise that you will also be investing in purchasing the business. You will of course benefit from the training and support that a new franchisee would expect

No+Vello Franchise Opportunity In Slough For Sale Slough, Berkshire £30,000

A very rare opportunity to take on a recently established clinic in Slough The chance to take over a No+Vello clinic that is already established doesn’t come along too often. But that’s exactly what’s on offer with our Slough clinic in Berkshire.

With the current owners husband accepting a Job abroad Manuela is now offering her much loved clinic for sale so she can accompany her husband.

Using launch campaigns to build a strong and loyal client base.

To cope with the ever-increasing demand for the clinic’s cutting edge IPL treatments, she currently employs one full-time therapist, and works on a part-time basis herself too. treatments on offer in Slough are IPL Hair Removal, Skin Rejuvenation and Pro Skin (Galvanic and Ultrasonic Skin Cleansing).

Franchises RESALES - sponsored by FranchiseSales.indd 2

31/07/2015 18:34

Interested in Starting an Estate and Letting Agency?

1st

First

Join the Best of the Best First UK Franchise created from a business idea and not an expansion of an established business.

First Property Agency Franchise to include professional qualifications within the franchise package.

First Property franchise to give franchisees an individual local website enabling them to compete effectively with their competitors.

First franchise to create a one system and one bank account model giving control over franchisees software. As all finances are paid to the Central Support Office this reduces expensive financial audits.

First franchise to offer franchisees a choice of launch marketing plans, so franchisees can compete effectively with the local market forces.

First franchise to use Facebook to search for properties and to let and sell properties.

To register to attend a Discovery Meeting near you, visit www.home-xperts.co.uk or email franchise@home-xperts.co.uk

To join HomeXperts call us on

01905 678853

Start your own franchise

for just £3000 Oast House Farm Snacks provide a fantastic range of the highest quality muffins, flapjacks, cookies, crunch bars, shortbread fingers, nuts and confectionery. Our boxes are delivered to offices around the country to meet the snacking needs of all those who work there.

What’s included ?

What you need

For more information

• Your snack boxes will be placed for you prior to your business starting • Postcoded territory • Business planning & finance support • Registration for business • Initial stock of stationery • Corporate clothing • All training and ongoing support • Business software system • Business operation manual • Full accounting support • Arrange local hospice cause related marketing contract • Great revenue while supporting your local hospice

• You will need to invest in your boxes and start up stock • You will also need to purchase your top up stock • A vehicle of a suitable size such as a hatchback, estate or small van • A storage area such as a garage or within a self storage facility

Call Matt: 01444 471752 Email: Franchising@charitysnacks.co.uk

072EliteFranchise0815.indd 1

www.charitysnacks.co.uk

31/07/2015 18:47

80% of women & 50% of men claim to have unwanted hair..... that is a massive untapped market Permanent Hair Reduction using IPL (Intense Pulsed Light Technology) and other aesthetic treatments are a growing market. No+Vello UK are expanding in this market and are seeking owner operated, or management franchisees who are keen to develop with an internationally successful brand by operating or managing between 1 to 4 centres.

Our ‘Low Cost’* Franchise set-up includes the following: • 3 Month local marketing plan • Marketing & advertising support • Patented IPL & +esthetic LED equipment • Initial stock of products • Premises advice & lease negotiations • All furniture and centre design • Full training & operations manuals • Cloud based software & online booking

Why No+Vello?

With the back up and support of a global organisation together with your desire to run your own business we will help your business become successful from the moment you join our network.

Our passion is your desire to succeed. Our industry leading equipment and treatments together with our flat rate pricing strategy will create loyal customers from the very start. You will have piece of mind from the full support of head office and will be able to advise you on anything from running your business to health and medical advice.

Over

1000

centres in 16 countries

For more information call Matthew Simmonds on: 033 3344 0105 or email: ukfranchising@nomasvello.co.uk

franchise.nomasvello.co.uk Novello FP Aug 15.indd 1

31/07/2015 18:26

Run a business that makes

a real difference

in your community

Right at Home provides top quality home care services to support people to live independently in their own homes. Our services range from weekly companionship, shopping and household support visits to complex 24/7 personal care needs. We differ from other homecare companies in that our minimum visit time is 1 hour, our carers don’t wear uniforms, we carefully match our clients to carers and are happy to go the extra mile to help make their lives easier.

Why join the Right at Home UK franchise?

• Fast-growing, recession-resilient market which cannot be overtaken by technology • Well-established international company (400+ offices on 5 continents) • 30+ UK offices and fantastic territories available in all regions • We are a company that looks after its franchisees, with a BFA award-winning managing director • Identified by the bfa as Emerging Franchisor of the Year 2014

Initial franchise fee: £31,995 +VAT. Working Capital is also needed – total investment up to £120,000 For further information please enquire via www.rightathomeuk.com/franchise-opportunities or email kate.dilworth@rightathomeuk.com

Become a Reseller

Initial s

tart-up

£9,90 0 £7,60 0

As a reseller of The BobbleShop, you can allow consumers to create something truly unique.

Personalised goods have a huge future. Get your share of this rapidly expanding market. Become a reseller of The BobbleShop to start an exciting new business or add this service to your existing activity.

It takes just one hour to install The BobbleShop equipment. You’re then ready to scan hundreds of customers per day and delight them with their personalised 3D figurines.

The Business Model

• as a reseller of The BobbleShop, we’d expect you to sell approximately 300 figurines per month (10 per day) • you will receive a guaranteed margin of the sale price • on this basis, you should offset your investment within 3 months

074EliteFranchise0815.indd 1

020 3126 4878 info@3dgeneration.co.uk www.bobbleshop.co.uk

31/07/2015 18:51

The Interface Financial Group

An ‘in-demand’ Financial Service

Low Capital Start-up

40+ year-old Organization

GREAT REASONS

We work with you on every transaction

Home-based

to join ifg

You set the timetable (think Bankers’ hours)

No cold calling/telemarketing/advertising

even more REASONS...

Training

Support

Experience

R.O.I

0845 834 0332 ifg@interfacefinancial.com www.interfacefinancial.co.uk

OPTION 2.indd 1

20/05/2015 14:16

Receive 6 issues of the UK’s best new franchise magazine for entrepreneurs for only £20*

GET INSPIRED BY SOME OF THE UK’S MOST SUCCESSFUL FRANCHISORS Elite Franchise is the UK’s fastest-growing title for franchisees, startups and growing franchise businesses in the UK. A high-quality magazine, it’s packed with engaging content including interviews with the hottest franchises around, hints and tips to help aspiring entrepreneurs and columns from those in the know.

SAVE £20 on the cover price delivered free to your door. Subscribe to the print edition and enjoy free access to the digital edition every month.

(QUOTING REF. ELITEOFFERLR2)

Call us today on:

01245 707 516 IL

PR

A

o

N

or visit: elitefranchisemagazine.co.uk/subscription

er

t at

m

15 20

yo

dd il.in Apr

r u

1

d, ley oo s t t f em ke as H ar n f en m ds h i ph ise an ug Ste ch Br do n an e is a e fr chis e h irm m an ad cha e ho , Fr g m zza f th ture vin s Pi e o en Ha ino’ slic est v m s a lat Do ant ith w w

er

Cov

ing er Ds liv oo De he g t

EF

a

m

2

:1

23

e

v

e’

15 20

3/ /0

31

,w et

k

r

15 L 20 RI AP

.50 £4

g t o N TU M A U

er v o c

20 14

it :21

In L A th est pri 2 e b er b l 2 a 0 y usi eg 012 £ targ ears ne an , K D 40m e p ss fra ate d iam tu t of rev she’ nc su estin on rn 40 iou d st hisin cc e d ov de sly. ar g ess d fo Lo er po W te r sp gisti by 2 ts a ith d ark cs 017 nd lin is , g

03

/10

/20

14

14

£4.

50

A rA ge re m

AU TU MN

201 4

ed

, r et te rk at a t m m o d o r g e N ou ’ve er y e ov w c it

*Limited to new subscribers at UK addresses only. Please allow 28 days for delivery. Overseas mail: Europe £60; rest of world £95 Offer closes 30.09.15

ov

er

.in

dd

1

Franchise Subscribe Aug_FP.indd 1

31/07/2015 18:53

FRANCHISE FOCUS

DNS Accountants

The flexible, efficient & highly rewarding Accountancy Franchise Whatever your experience we have the PERFECT Franchise solution for you. Whether you have many years accountancy experience or are a trainee accountant / bookkeeper looking for a great product, training and support, then we have the Accountancy Franchise for you. Our Franchise Package also includes fully integrated cloud-based bookkeeping and accounting software, as well as high quality leads through our proven lead generation marketing; we give you the tools to succeed and stand out in this highly competitive industry.

• Award Winning Business • Proven Sales Program and Leads • Free Accounting & CRM Software • Large Marketing Territory • Full Training & Unlimited Support • IT Set-up, Back-up & Support • Low Overhead Zero Risk Solution

Call: 020 7148 1706 | email: info@dnsaccountantsfranchise.co.uk | www.dnsaccountantsfranchise.co.uk

Home Instead Senior Care

Home Instead Senior Care specialise in providing older people with non-medical care in their own homes. We take the lead not only in the care we provide, but also for the industry leading support we provide to our franchisees. Choosing a Home Instead franchise will enable you to combine making a difference with running a substantial and rewarding business.

• The bfa Gold Franchisor and Franchisee of the Year • Smith & Henderson Best Franchise Award • No.1 Home Care Provider • 5 star Franchisee Satisfaction

Contact phone 01925 732460 | email: franchiseinfo@homeinstead.co.uk | www.homeinstead.co.uk/franchise

Driver Hire Nationwide

A straightforward business with huge potential A proven B2B management franchise with over 100 offices and a 30 year track record, Driver Hire is one of the most successful franchise brands in the UK. A specialist recruitment company supplying temporary staff to the transport and logistics sector. Average full year sales for Driver Hire franchisees in 2014/15 were £988k.

• Entry investment level from £35,000 (including start-up capital) • Run your own business in a sector worth £28.7bn in the UK • Net profit potential of over £100k per annum • No previous recruitment, transport and logistics experience required

Call Kasia Baldwin 01274 361073 | email: franchise@driverhire.co.uk | www.driverhirefranchise.co.uk

PA4You

Our call handling support will bring your franchise more sales - guaranteed! All small businesses miss calls. Engaged lines, unanswered calls, too busy on your workload, weak mobile signals. This all means lost opportunities. Our award winning, very personalised, sales support teams of PA’s will quickly capture your diverted missed calls, and new web leads, that you are missing every day and help you convert them into happy new clients. Our service pays for itself!

Call us for a free trial

• Knowledgeable, responsive PA staff helping your callers • Longer opening hours for your callers • Low cost, high value sales support • Short contracts • More profits for your business

Call 0333 800 3690 | email: hello@pa4you.co.uk | pa4you.co.uk

78

elitefranchise | August 2015

zFranchise Focus August.indd 1

31/07/2015 18:32

FRANCHISE FOCUS

Harry Ramsden’s

Celebrating over 85 years in operation, Harry Ramsden’s is Britain’s longest established restaurant chain and is world famous for its Fish and Chips. With almost 30 Harry’s outlets operating across the UK and Ireland, we’re looking to increase our presence and are offering an amazing opportunity to become part of a British Institution.

• Fish and Chips remain the nation’s favourite cuisine with 382m portions sold annually • Harry Ramsden’s is the brand most closely associated with Fish and Chips globally • Brand awareness and recognition, along with the popularity of the offering, ensure Harry Ramsden’s outlets compete effectively from the outset

Contact phone 0203 077 5880 | email: franchise@harryramsdens.co.uk | www.harryramsdens.co.uk/franchise

Mail Boxes Etc

Mail Boxes Etc. is one of the world’s largest non-food retail franchises. It is the only High Street chain that offers consumers and local companies a truly comprehensive range of national and international courier delivery, postal, print and copy services. As well as mailbox rental, stationery and packaging supplies plus many other complimentary profit streams. When you join Mail Boxes Etc. you get the full support of a globally-recognised brand with a proven business model and a comprehensive induction and training system.

• Established, fast-growing network with a proven system • Full support of a globallyrecognised brand • A complete turnkey start-up package from £60,000 • Comprehensive start up and initial training • Continual operational and marketing support

Call 01608 649238 | email: mbe.co.uk/franchise_opportunities | www.franchise@mbe.co.uk

Martin & Co

Martin & Co is one of the only UK property agency franchises that offers lettings and estate agency with UK-wide recognition. With a network of just under 200 franchise owners, they are the largest property franchise business in the UK. With strong high street and online presence, the secret of their franchise owners’ success is that they can provide local property knowledge whilst being backed by a national brand.

• Buoyant rental market • Growing sales market • Turnover £245k in year 3 • Build a business worth over £380k in just 5 years

Contact phone 01202 292829 | email: propertyfranchise@martinco.com | www.propertyfranchise.co.uk

Zip Yard

Are you ambitious to run your own business?

Customer driven and well organised?

Can you follow a proven business system?

All Zip Yard franchises are finished to a distinctive specification and you are presented with a fully operational and fully supported business with trained staff and comprehensive brand marketing from day one.

• Marketing and promotion tools • Group purchasing power • Internet and web support • Ongoing training programmes • Continued concept and product development • Day to day troubleshooting

Contact phone 01530 513307 | email: edownes@thezipyard.co.uk | www.thezipyard.co.uk

August 2015 | elitefranchise

zFranchise Focus August.indd 2

79

31/07/2015 18:32

Franchise Diaries with Kate Lester

Beefing up your recruitment process can help you get the very best franchisees on board while giving them peace of mind about their investment, says Kate Lester

Sound selection I

had lunch with a potential investor on Friday. He was remarking how high he thought our franchise fee was given the age of our franchise product and how quickly we’d recruited our first 20-30 franchisees.

Now, before you think we are getting £50k a franchise, we aren’t. Ours now start from £19,998 for pretty big geographical areas. He was right in the sense that our initial investment has increased substantially since we launched but our product and service offering to our franchises is much better now than when we started over two years ago. We also think a higher starting point filters out people who, quite frankly, can’t afford to adequately capitalise the venture or maybe aren’t that serious about their own sustainability. So a higher starting point acts as a very useful filter.

And the triple price increase has not slowed our recruitment. It has just resulted in a higher calibre of franchisee – people serious about building the kind of business that is reflective of our premium brand in what can often be seen as a commoditised market.

It also got me to thinking about how different our recruitment process is now. Once upon a time we had a one page application form, a quick interview and then due diligence before we made an offer. Now it’s

80

a qualifying call; an application and non-disclosure agreement; a call with me in the initial stages; a full application form of ten plus pages; a formal interview at Diamond HQ; a vetting call from one of our top franchises so the network gets to check who is joining them and give their approval; and a site visit to either their home or the potential new premises. Only then is the application put forward to our board for final approval. All these layers of filtration mean the franchise applicant has to really want to be part of Diamond because there are quite a lot of stages for them to negotiate.

We don’t even have a standard lead capture page on our website; this means that anyone just enquiring has to give up quite a lot of information. Our theory is that if they cannot be bothered at that stage to commit to disclosure, then they are not our kind of franchise because everyone we recruit is joining our network.

They all have to be 100% reflective of our brand and we want them to last because our profits are not secured on the franchise sale. We invest 100% of that initial figure in the marketing, setup and training of their depot.

Our profits come from the long-term revenue of the franchise in that depot and our ability to sell services

elitefranchise | August 2015

Franchise diary.indd 1

31/07/2015 12:46

Franchise diaries

in that area once their depot is established.

We select franchises that are going to last so making it harder to get in makes it more likely they will stick it out in our tough world of logistics.

And this is a very important point for potential franchisees to consider. Trust me, there are quite a few crappy franchises out there and a huge warning sign should be if they are just after your money. With very little due diligence or a lightweight application process, it means they are probably more interested in the franchise fee and not your long-term longevity. If their application form might as well have been written on the back of a cereal packet, they will snatch your money, constantly chase your application or – and I have seen this happen – they’ll take your £50k off you on their stall at the NEC without giving a damn about your longevity.

I’d obviously recommend looking at the long-term business plans, the validity

of the market, the accounts and the CVs of the key players in your new franchise team. Search your soul and make sure you like them – after all you are building a partnership here. And here’s something I didn’t think I’d say – as I like to be somewhat non-conformist – but they must have professional accreditation. The bfa process makes franchisors jump through more hoops than you could individually, including evaluating the business model and speaking to existing franchises. So if there’s bfa accreditation then it’s far more likely your franchise is going to be a good, long-term bet. And it’s not cheap either – so if your franchisor wants to invest in their professional accreditation you know they are taking their business seriously too.

For franchisees and franchisors alike, a protracted selection process with a good price tag is a good thing. It filters out the crap, makes sure the partners are committed to each other and increases the

For franchisees and franchisors alike, a protracted selection process with a good price tag is a good thing odds on the longevity and sustainability of the franchise business that both parties are investing into. After all, this whole franchise thing is about partnerships and you know what they say: marry in haste, repent at leisure. Or maybe that’s just me!

Take your time, be suspicious of those who are overly keen on either side and then, hopefully, enjoy a longer, sustainable and mutually beneficial relationship as you, together, build your business.

August 2015 | elitefranchise

Franchise diary.indd 2

81

31/07/2015 12:46

GREAT TO WORK WITH

®

BE YOUR OWN BOSS WITH A MAC TOOLS FRANCHISE 4

Part of £7 billion global organisation Stanley Black & Decker

4

The strength of world famous brands like Mac Tools, Facom, Britool Expert & DeWalt

4

Opportunity to earn £50,000 - £75,000 a year

4

Be your own boss in a market worth £150 million

4

Professionally-equipped van stocked with some of our 18,000 strong product line

4

No ongoing royalties so you keep 100% of your profits

4

Head office support and a comprehensive training programme

4

We now offer two options to finance your Mac Tools franchise:

POTENTIAL TO EARN OVER

£75,000 pa

- With £15,000 liquid capital and a £35,000 bank loan you receive our highest trading terms - With £3,750 liquid capital and a £8,750 bank loan you receive our lower trading terms

with our new low investment level

“After days out with other franchisees I saw what can be achieved. The rewards, job enjoyment and satisfaction were obvious and lead to an easy decision to pursue the chance of becoming a Mac Man”

Steve Marchant Mac Tools Northampton

08450 6000 60 www.mactools.co.uk franchise@mactools.co.uk Untitled-5 1

Mac Tools UK

MacToolsUK

Mac Tools UK

+MacToolsUK

Mac Tools UK

30/07/2015 15:39