Elite Franchise Magazine Dec 15 by Elite Business Magazine

DECEMBER 2015

Living thE dream DECEMBER 2015

If you put your mind to it, you can achieve anything. Just ask Troy Tappenden: in the space of 16 years, he’s grown Dream Doors from a single showroom into the UK’s largest kitchen makeover franchise £4.50

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02/12/2015 17:28

Profit from print with Cartridge World Delivering cost saving print management services Office printing is a highly lucrative £90bn market. With a Cartridge World franchise you’ll be part of it, providing SMEs with a local print management service that offers up to 30% cost savings. • Perfect for ambitious, sales-driven people • Sales are largely on contract, guaranteeing cash flow • Full support and guidance from day one • Part of an established global brand • Access to industry partners to help your business grow

A business-to-business print services opportunity Leading franchisor Cartridge World developed Cartridge World Print Services -- a flexible print management service for its franchisees to sell to thousands of small and medium-sized businesses. For a fixed monthly fee, Cartridge World manage their printers, provide an automated supply of printer cartridges, paper and ongoing maintenance. Most importantly, it delivers tangible customer cost savings. “Research shows 90% of businesses have no idea how much they spend on print,” says Cartridge World’s General Manager Gavin Askew. “Cartridge World Print Services capitalises on this. It’s a simple, cost effective way of running their business printing with savings of up to 30%.” “Our franchisees benefit from in-depth support at every level of their business,” says Gavin Askew. “They also have access to our industry partners, giving them the opportunity to offer print hardware/software solutions, full service and repair contracts and finance, if required.”

Contact our franchise sales team for more information: Phone: 01423 878 528 Email: franchise@cartridgeworld.co.uk www.cartridgeworld.co.uk/franchise

The Elite interview Things are heating up for Troy Tappenden

7 Editorâ&#x20AC;&#x2122;s letter 8 Contributors 12 News & events 64 Franchise diaries

24 A cut above

45 Cream of the crop

30 Taking flight

49 Follow the leader

Hair salon franchise Supercuts is providing high-end coiffs at a snip of the price

Why running a pilot is the best way to ensure a franchise takes off

36 Holding all the cards

The Original Poster Company is being greeted in all corners of the globe

41 Size matters

When choosing a franchise to invest in, it really isnâ&#x20AC;&#x2122;t a case of go big or go home

Awards are about more than backslapping; they can prove a powerful boost for your brand

Learning good leadership can have significant ramifications for your franchise

53 Net result

A slick looking website is a surefire way to draw in customers and franchisees

56 Within their rights

How franchises can avoid falling foul of the updated Consumer Rights Act 2015

elitefranchise | December 2015

Contents Dec15.indd 1

30/11/2015 15:19

Wanted Property Entrepreneurs

Are you Ready to Deliver a World-Class Customer Service? Join a Multi Award-Winning Property Franchise - HomeXperts Jason & Gaya chose HomeXperts for their support and training... “There are a number of reasons why I chose HomeXperts. I have worked in estate agency for approximately 17 years and enjoyed building a good name, contacts and market awareness. I have also been a landlord and let property for over 10 years. The HomeXperts franchise enabled me to continue working in the area that I have great knowledge and contacts while offering me greater flexibility running my business working from home. As I enter my second year my business is healthy, growing at a rate of knots and I have established a reputation for excellent customer service which is creating some excellent referral business for HomeXperts.

Sussanne Chambers, Managing Director and Founder, accepting The Sunday Times’ Gold award for Best Franchise from Michelle Mone OBE

It scares me now that I may have missed out on this amazing opportunity by not having the courage to branch out on my own. But with the support of the amazing team at the Central Support Office my dreams are coming true.”

Happy Franchisees n

HomeXperts received a rating of 88% in the Lloyds TSB Franchise Benchmark Satisfaction Survey, the highest rating for any property Franchise.

Impressive Training

HomeXperts is the only property franchise delivering an industry-leading monthly programme of Continual Professional Development.

Serious Franchisee Support n

An individual launch marketing plan and marketing campaign enable franchisees to hit the ground running. We work with you to make your business a success. To register to attend a Discovery Meeting near you, visit www.home-xperts.co.uk or email at us at franchise@homexpertsuk.com

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Jason & Gaya Barnett, HomeXperts Worcester

Our top franchisees become members of the HomeXperts ‘Altitude Club’ by earning more than £25,000 in a month in invoiced commissions. Clever marketing has helped our franchisees to achieve profitability and sustainable businesses. Our intensive training academy trains to National Federation of Property Professional (NFOPP) standards. 22 weeks of ongoing support to guide new franchisees through their business set up process.

Each franchisee has a Support Manager to guide them through the launch processes and business development. Monthly one-to-one’s to discuss your progress. To join HomeXperts call us on

01905 678853

03/12/2015 19:38

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.

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VOLUME 03 ISSUE 12 / 2015

SALES Adam Reynolds – Ad Sales Manager adam.reynolds@cemedia.co.uk EDITORIAL Adam Pescod – Acting Editor adam.pescod@cemedia.co.uk Josh Russell – Acting Web Editor 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 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 Emily Fulcher – Administrator emily.fulcher@cemedia.co.uk DIRECTOR Scott English – Managing Director scott.english@cemedia.co.uk

It all starts with sales Successful entrepreneurs share many qualities – and brilliant salesmanship is undoubtedly one of them. Quite simply, if a business owner can’t convince people to part with their hard-earned cash for their product, they’re not cut out for the world of entrepreneurship. Thankfully, this was never a problem for Troy Tappenden. Dream Doors, the kitchen makeover company he founded back in 1999, has never taken out a bank loan or an overdraft to fund its growth. Its expansion in the early days depended on Tappenden, in his own words, “absolutely nailing sales left, right and centre.” The company now boasts 67 franchises across the UK and has just opened in Ireland, with turnover set to hit £25m this year. By bringing in franchisees of his ilk – business professionals who can sell, sell, sell – Tappenden has ensured the success of his first Dream Doors showroom in Gosport, Hampshire has been replicated up and down the country. Tappenden now has his eyes set on £50m turnover and, with his army of Troy Tappendens supporting him, one can’t help but fancy his chances.

Adam Pescod - ACTING EDITOR adam.pescod@cemedia.co.uk

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%, therefore CE Media Limited cannot be held responsible for such variation.

cemedia.co.uk

December 2015 | elitefranchise

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Alex Littner Guest columnist Littner certainly has pedigree when it comes to finance. Currently managing director at Boost Capital, a business funding company, he previously spent eight years at American Express working on its Small Business Card Portfolio across EMEA, Asia-Pacific, Latin America and the Caribbean. Away from work, Littner is a family and football man, having both a two-year-old daughter and an Arsenal season ticket.

Emer O’Kelly Legal eagle O’Kelly is an associate at Stevens & Bolton LLP, advising on a range of commercial law issues including franchising, data protection, IT and consumer law. Naturally, this made her our first choice to pen a piece about the ways the new Consumer Rights Act 2015 will impact franchises. Originally from Northern Ireland, O’Kelly currently lives in London and is looking forward to embracing the Christmas season in the Big Smoke.

Annabel Jones You could argue that being HR director for a company that provides HR support to other businesses make Jones something of a double expert. Her fantastic article on franchise leadership definitely bears all the hallmarks of somebody who knows a thing or two about people management. Back home, Jones has currently got her hands full with primary school applications for her three-year-old daughter. No rest for the wicked.

Emilie Sandy Ace snapper Sandy is responsible for the superlative shots of Dream Doors founder Troy Tappenden that grace our cover and lead interview. Sadly this will be Sandy’s last shoot with us for a couple of months: she’s due to give birth to baby number two at some point over the holidays, which we’re sure will make a fantastic Christmas present. So, until she rejoins us in the new year, we hope you’ll join us in wishing her the very best.

elitefranchise | December 2015

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03/12/2015 09:07 15:45 10/06/2015

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 canâ&#x20AC;&#x2122;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, itâ&#x20AC;&#x2122;s very important that you have the support of people with experience, knowledge and an interest in your success. December 2015 | elitefranchise

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With record numbers of people turning to a life of entrepreneurship, the demand for small business accountants only looks like it’s heading in one direction. And it seems TaxAssist Accountants is reaping the rewards of this demand. The company, which is celebrating its 20th anniversary this year, has reached the milestone of 200 franchises in the UK after recruiting six new franchisees in its last intake of 2015. It means there are now over 250 TaxAssist branches across Blighty, as well as 24 in Ireland, with the company targeting its first franchisee in Australia in the near future. The figures are certainly looking good for TaxAssist.

Things are on the up for Barking Mad. Having relocated to a brand new head office in September, the dog-sitting and -grooming franchise is celebrating a successful end to the year by welcoming eight new franchisees. Neil Waugh has been awarded the Sutton Coldfield franchise, Andy Beck has taken on Sheffield, Valarie James is the new franchisee for Sunderland & Durham East Coast and Andrea Balderston has been granted the Derby franchise. Finally, the franchises for Huddersfield and Derby have gone to Mark & Louise Abbot and John Johnson & Ros Mahoney respectively. We’re sure they’ll be scampering to success in no time. Fancy a meatball marinara and a Ford Mondeo or a tuna sub and a Transit van? Well it seems you’re in luck. Not content with opening 500 non-conventional locations in convenience stores, hospitals and petrol stations, Subway has launched its first outlet within a car dealership. Opened by brothers Mark and Ed Bentley, the new store will provide subs, salads and flatbreads to the customers and employees of their Skipton Ford dealership and adds to the Bentley brothers’ existing portfolio of three dealerships and a Subway store in Garforth. Here’s hoping this partnership will drive yet more success for Subway.

WORDS: ADAM PESCOD, JOSH RUSSELL

Topping off a fantastic year for Papa John’s, the pizza franchise has picked up the National Pizza Delivery Chain Award for the sixth time running at the 25th annual Pizza, Pasta and Italian Food Association awards. Commenting on the win, Gareth Davies, the company’s regional vice president for western Europe, said: “We are delighted that the work of our franchisees and corporate team has been recognised as a leader in upholding excellent standards within the industry.” Yet more proof that Papa John’s is the big cheese of pizzerias.

upcoming events bfa AGM & Chairman’s Dinner December 10 Hyatt Regency, 2 Bridge Street, Birmingham, B1 2JZ

Prospective Franchisee Seminar January 13 bfa offices, 85f Park Drive, Milton Park, Abingdon, OX14 4RY

Prospective Franchisor Seminar January 14 bfa offices, 85f Park Drive, Milton Park, Abingdon, OX14 4RY

Northern bfa Discovery Day January 19 Hilton Manchester Airport, Outwood Lane, Manchester, M90 4WP

The Franchise Show February 19 - 20 ExCeL, Royal Victoria Dock, 1 Western Gateway, London, E16 1XL

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

elitefranchise | December 2015

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30/11/2015 15:28

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20/05/2015 14:37

Own the assets for life Platinum Property Partners enables both novice and seasoned property investors to build their own sustainable and profitable buy-to-let business, where they own the assets forever and earn an income for life.

BE MORE. DO MORE. HAVE MORE. GIVE MORE.

01202 652101

www.platinumpropertypartners.co.uk/elt info@platinumpropertypartners.co.uk EliteFranchise1015.indd 1

06/10/2015 11:56

ADVERTISING FEATURE

Paul and Linda Cronin

Wanted a business for himself but not by himself After 30 years building an impressive corporate career in the IT world, Paul Cronin felt the urge to get out of the rat race and run his own business. His career culminated in the role of VP of Sales for a telecommunications software company.

Paul and Linda Cronin

Partners since 2010

With his three children now young adults, Paul began to reassess his options. Paul and his wife Linda decided they wanted a business they could run together and, having already invested in property previously, it presented an attractive option. “When we first ventured into the world of property investment, the benefits were fairly intangible. Buying and selling was risky because we were assuming there would be short term capital growth. Before setting out on our own again, we recognised that we needed a more certain return on investment in respect to both our time and money. “We were struggling to choose between six excellent franchises, until I realised that Platinum Property Partners had two features that set it apart. Firstly, the other franchises required continuous selling – fail to sell sufficiently and the business fails to exist – PPP offers the attraction of passive income after some initial hard work, without the sales slog I was trying to get away from. Secondly, where most other franchises leave you with just good will, with PPP we are accumulating tangible, appreciating assets in bricks and mortar. These were the key reasons we selected PPP.”

THE FIGURES Total Portfolio Value:

£1,214,838

Annual Rental Income: £180,588 Annual Rental Profit:

£103,869

Return on Equity:

15%

“

I’d always wanted to start my own business but knew that at this point in my life there was no room for mistakes. When I found PPP, it was a light bulb moment. I realised that with hard work and the right execution, I would have my own successful business and tangible assets that would give me a passive income later in life.

Paul and Linda joined the PPP franchise in April 2010, through which they are building a highly cash-positive property portfolio. They now have five HMOs up and running and sixth in the pipeline. The five properties produce £103,869 rental income profit per year. That’s after paying all costs including mortgage, bills and maintenance and allowing for voids and PPP’s management service fees. “A large part of our decision to join PPP was down to the integrity of Steve Bolton and quality of the network – both professional advisors and the other Partners,” said Paul. “We are now working with some truly great people who approach life with a very giving attitude and a philosophy of sharing their time and skills freely. The focus is on achieving financial freedom and thus being able to choose how and with whom we spend our time. Being part of such a community has already had an incredibly positive impact on our lives. Linda and I are enjoying more time together while giving something back; we’ve found a way to address the balance between input and return and are enjoying all the personal and financial rewards of running our own business.”

“

Call us on 01202 652101

platinumpropertypartners.co.uk info@platinumpropertypartners.co.uk

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BE MORE - DO MORE - HAVE MORE - GIVE MORE

06/10/2015 18:12

THE ELITE INTERVIEW

THE

Kitchen King A dodgy newspaper ad gave Troy Tappenden a stark introduction to the kitchen industry. But it’s safe to say he learnt from the experience: Dream Doors, his kitchen makeover franchise, is now turning over £25m BY ADAM PESCOD / PHOTOGRAPHY BY EMILIE SANDY

ome people become entrepreneurs by chance but that’s not true of Troy Tappenden. The founder and managing director of Dream Doors had his sights set on business ownership from his mid-20s. “I basically gave myself a deadline that by the age of 30, I wanted to have my own business,” he explains. “I figured that if I hadn’t found myself a business by then, I’d never do it.” Everything came to a head while Tappenden was maintaining street lights for Hampshire County Council. “I worked there for eight years and in the last three years I was looking for my own business because I was fed up,” he says. “For two and a half years, I bought the local paper every Monday and the Daily Express. I used to look at the franchise opportunities in those papers, I had been to the NEC and I had a pack for every franchise going. But I never found anything I wanted to do.” He finally found what he was looking for in another national newspaper. “One day, I was reading the News of the World and there was an advert that basically said, ‘Cash in on the kitchen boom with Made To Measure Doors. You can do a door swap in one day and earn a couple of thousand pounds per job’,” says Tappenden. “I thought that sounded too good to be true so, long story short, I took the phone number and I called the guy.” However, things weren’t as clearcut as they first seemed. “I paid him £6,000 for his knowledge, his contacts, his door suppliers and I used to get a little bit of telephone support but it was a joke really,” Tappenden explains. “I was on my own from day one.” The experience didn’t deter Tappenden: he’d still managed to secure a few jobs, which suggested there was a good level of demand for kitchen door swaps. Soon enough, he had come up with a new brand – Dream Doors – and opened a showroom in Gosport, Hampshire. As Tappenden explains, this gave the business the credibility it needed to succeed. “When I spoke to my customers, they said they absolutely loved the fact that I had a showroom because it meant they could come and see, touch and feel the product,” he says. An attractive price point also attracted customers in their droves. While Dream Doors does offer full kitchen refits, the majority of its business comes from kitchen ‘makeovers’, which can range from a simple swap of existing doors to the replacement of work surfaces and sinks. Fitters can be in and out in the space of two days – or one day for a door swap – meaning there’s a significant cost saving for customers, not to mention a lot less stress. ‘If you wanted to have a really nice kitchen, all singing all dancing, you could easily be looking at £10,000,” says Tappenden. “Our average order value is £4,000, which is less than 50% of that.”

I basically gave myself a deadline that by the age of 30, I wanted to have my own business

December 2015 | elitefranchise

THE ELITE INTERVIEW

Two years after opening the first Dream Doors showroom – and with some serious sales under his belt – Tappenden started to broaden his horizons. “I didn’t have a website back then, I didn’t have any brilliant marketing material but I was turning over £350,000,” he says. “I thought to myself, ‘Christ, I’m just doing this on my own.’” Despite initially launching Dream Doors to serve the people of Gosport – “I just wanted to do it locally and earn good money” – Tappenden realised he might have created something with national appeal. Keen to grow the company quickly but lacking the capital to do so organically, he decided to take a familiar route. “I had just studied franchising for two and a half years while trying to find a business,” Tappenden says. “I thought ‘there must be thousands of people looking for a business just like I was. I could easily franchise it across the country.’” But before launching headlong into franchising, Tappenden needed some peace of mind that the Dream Doors model could be easily replicated by other business owners. He launched two pilot franchises in the same postcode area as Dream

I am not interested in having 150 or 200 franchisees with half the network making no revenue whatsoever. I find that pointless

Doors HQ, which taught him a few things about the challenge of running a franchise network. “It taught me that you have got to really be on top of these people, you have got to be monitoring them and you have got to make sure the support is there,” says Tappenden. “Don’t just assume everyone can go out, smash the sales and be hungry for money.” After a year of fine-tuning the model, Tappenden officially launched the Dream Doors franchise at Birmingham’s NEC in October 2002. Ultimately, he was looking for franchisees in his ilk, which meant they didn’t necessarily need any kitchen know-how. “Most of the time, we actually prefer it if they don’t have industry experience because, if they come from that mindset, they’ll say ‘We don’t do it that way’ or ‘We used to do it this way.’ You could end up arguing with them,” says Tappenden. “I’d say 95% of our network don’t have any prior kitchen experience.” Instead, Tappenden looks for the traits that you’d expect from any would-be business owner. “I look at whether they’re really going to work hard, put a shift in and give it everything they have got,” he says. “I think to myself, ‘If the going gets tough, have they got resilience? Are they going to be able to take the knocks and keep going?’ To be brutally honest, that is more important to me than anyone’s CV.”

elitefranchise | December 2015

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01/12/2015 10:00

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

THE ELITE INTERVIEW

The Dream Doors franchise opportunity is certainly a compelling one: franchisees are offered a comprehensive support package from day one, which includes a two-week induction course at head office, exclusive training days with suppliers and a central marketing team that helps generate leads. The company also launched a brand new training and recruitment programme last month. Devised by recently-appointed director of franchising Bill Owen – who successfully grew Snack-in-the-Box into a 100-strong franchise network – the programme will help Dream Doors attract the cream of the crop going forward. And, whilst the Dream Doors franchise fee has increased from £10,000 to £25,000 since 2002 – in part to attract a higher calibre of franchisee, admits Tappenden – it’s pretty much a drop in the ocean once franchisees are up and running. “People with no kitchen or business experience whatsoever have joined Dream Doors and, because the business I look at model is that good, they are turning over £500,000 in their whether they're first year and making between really going to £70,000 and £100,000 net profit,” says Tappenden. work hard, put a Not even a recession could shift in and give dent Dream Doors’ growth. If anything, it accelerated it, with it everything top-line sales up 30% during the they have got downturn. “It definitely helped as people were battening down the hatches and not spending £10,000 - 15,000 on kitchens,” says Tappenden. “But not only that, quite a few of my franchise owners had been made redundant during the recession so it also helped me attract quality white-collar management franchisees.” Dream Doors’ franchise network in the UK is currently 67-strong and the company has also opened a showroom in Belfast, its first in Ireland. Should it perform well in its first year, the master licence for Northern Ireland and the Republic of Ireland will be awarded to franchise owner Jon O’Hara, with Tappenden targeting a total of ten franchises across the Emerald Isle. 20

While a foray into Ireland might suggest Tappenden is starting to entertain the idea of exploring foreign climes, his priorities currently lie a little closer to home. “I need to focus on the UK instead of flying all over Europe trying to chase dreams and charging £250,000 for master licences,” he says. Back on these shores, he hopes to expand the network to 100 franchises. “We are at 67 now and I want to get it to 100,” says Tappenden. “I am not interested in having 150 or 200 franchisees with half the network making no revenue whatsoever. I find that pointless. I’d rather have 100 franchise owners with 80 or 90 of them doing exceptionally well.” There’s more to Tappenden’s life than kitchens though. An avid traveller, he takes regular long-haul holidays with his wife, visiting the Caribbean and Zimbabwe among other far-flung places. And, two years ago, he bought a villa on the Greek island of Rhodes. “My wife has two children and four granddaughters so we take her granddaughters with us,” he says. “I love going there to chill out.” With Dream Doors going from strength-tostrength, Tappenden could soon be adding to his overseas property portfolio. Like any shrewd businessman, he has his eyes set firmly on the prize. “They all say you have got to start with the end in mind,” he says. “We are turning over £25m a year now – the aim is to scale that to at least £50m and then sell it for millions.”

elitefranchise | December 2015

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01/12/2015 10:02

ADVERTISING FEATURE

What is The Franchise Alliance?

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 December 2015 | elitefranchise

TFA Advertorial Dec15.indd 1

03/12/2015 19:43

Ju st li k e K y m -Y

ou too cou ld receive a cheque like this!

t e G ! ! D E D A LO Why Prima Ardelle?

What is it like?

What can I make?

A Prima Ardelle recruitment business is quick to set up and easy to run from home to keep your initial costs down. Excellent ongoing support and training are provided.

You will enjoy a varied role talking to both job seekers and companies over the ‘phone in this easy to run “white collar” business. You will be good at problem solving and enjoy dealing with people with the added value of no weekend work.

You will enjoy above average earnings potential.

You too can achieve results by following time proven easy to manage systems.

On average you should achieve around £8,000 a month once established with very low operating costs. This role is both highly rewarding and challenging with good work/life balance.

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Join a 24 Billion Pound Industry Recruitment.Redeﬁned

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ONE TO WATCH

T U C A E V O B A

LONS A S 0 TS, OF 18 E K E R R O T IGH S NET W H E S ’ V I N S N NATIO EXTE E D TO N H N T A A G H H N T I WI G ITS N PANN I S N Y R D A OW TU A LR E N S I ORES H S S T E U S C N THE SUPER O G N I C H IS FR AN

elitefranchise | December 2015

ONE TO WATCH

WORDS: JOSH RUSSELL

ranchising offers an excellent way for new brands to quickly ramp up their operations. Businesses entering the sector with just a few corporate stores under their belts are often ten a penny; its far rarer to see brands that are already a household name throwing their hat in the ring. So, whilst high-street, shopping centre and supermarket-based hair salon chain Supercuts might be a newcomer to the UK franchising sector, it’s safe to say that it’s bringing a whole heap of heritage with it. Originally Supercuts was the brainchild of Frank Emmett and Geoffrey Rappaport, two hairdressers with experience of operating full-service salons. “They’d seen the gap in the market for affordably priced, noappointment salons,” says Jackie Lang, managing director of Supercuts UK. Inspired by this realisation, the two co-founders created the first Supercuts in Los Angeles in 1975 and before long were sat at the helm of a thriving hairdressing business. Realising the raw potential of what they had on their hands, Emmett and Rappaport recognised they had to find a way to quickly ramp up their operations. That could mean only one thing. “They decided the easiest way to achieve market penetration was through franchising,” Lang says. Developing the model for the nascent hairdressing franchise was a cinch, in no small part because the business was structured in a manner that readily leant itself to replicability. “Therein lies the secret,” Lang says. “It was so easily transportable and straightforward to operate; the strength of this business model is its simplicity.” Suffice to say, this didn’t go unnoticed by larger players in the market. In 1996, the company was snapped up by multinational hair-salon chain Regis Corporation and the hairdressing giant refined the operation still further. “When the Regis Corporation acquired Supercuts, they then put even more automation and processes into the business,” says Lang. In time this has seen the American side of Supercuts’ operation ramp up considerably, with the salon nearing almost 2,000 franchised outlets across the US. Supercuts’ point of difference has always been its emphasis on wallet-friendly, stress-free hairdressing. “It’s about creating a no-fuss experience, taking any risk out of appointments and making it really convenient for the consumer to engage,” Lang explains. But when the brand began its corporate expansion this side of the pond in 1999, it realised that the peculiarities of the UK market required some tweaks to its approach. Not only did its clientele skew 75% female, rather than the 75% of male customers it received stateside, but it became clear its customer base didn’t want a low price point at the expense of a stylish do. “They still want value and convenience but when they come in they want to make sure that they’re not compromising style for price,” says Lang. In light of this, the UK brand has spent a great deal of time developing a premium feel for its shop fits and service without hitting its customers in the purse. December 2015 | elitefranchise

ONE TO WATCH

This has proven an incredibly successful approach for Supercuts UK, ensuring positive growth in same-store revenues every year since its inception. And whilst it’s fair to say the 2008 recession had a transformative effect on the UK hairdressing market, the hairdressing chain found its low price point actually served to its advantage, with both high-end and value offerings escaping the global economic slowdown relatively unscathed. “The mid-market is the market that’s been really squeezed,” Lang says. This, coupled with its comparatively few competitors, has meant there is a huge market share ready for the brand to capitalise on. That’s why Supercuts eventually turned its mind to franchising in the UK. “We thought: ‘it’s worked so well in the US, why don’t we start to think about franchising?’,” recalls Lang. But whilst it would have been tempting to lift the American model wholesale, the aforementioned differences between the markets either side of the Atlantic meant the UK brand has spent some time translating its franchise processes for the British market. “We didn’t reinvent the wheel but it’s safe to say that we anglicised some things,” she says. Not only has Supercuts focused on making its approach to haircutting, its booking systems and its marketing as replicable as possible, it has also spent time crafting a franchise package that offers its franchisees comprehensive support. “We’ve created a full turnkey operation,” says Lang. Supercuts guides its franchisees through site selection, buildout and marketing, giving them a

Customers want to make sure that they’re not compromising style for price

helping hand with everything up to and including their first day of trading. After this it will continue to visit salons once a month to check in on franchisees and ensure that they’re adequately supported. “It’s almost a complete partnership,” explains Lang. Whilst it’s still very early doors for the franchise – Supercuts UK only officially announced its foray into franchising in June this year – it’s getting serious about signing up new recruits, hiring franchise marketing agency Arc Media to get the word out. “We’re going to go through digital, franchise magazines, PR and obviously word of mouth,” says Lang. In terms of what it’s looking for in a franchisee, Supercuts is thinking more entrepreneur than coiffeur. “We’re looking for people who have business acumen, who like people and can motivate staff,” she says. And it certainly doesn’t seem short of candidates; the franchise has already signed its first franchisee with another in the pipeline. It is looking to bring in around ten franchisees in its first year, before ramping up to 25 or 50 a year and setting its sights on territories overseas in Europe and Asia. But Lang is keen to emphasise that Supercuts isn’t prepared to put expansion over delivering the best possible deal for both its customers and franchisees. “We’re always looking to improve the guest experience and the process, so it delivers value,” she says. “It’s all about thinking about one guest at a time.”

elitefranchise | December 2015

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01/12/2015 10:04

The freedom.. of running your own business, with the support that only a successful national brand can give.

Established for over 21 years Drain Doctor is offering: - A solid recession proof business - Good cash flow - A national company with national accounts and marketing support Franchises available in: TAUNTON, SLOUGH, EXETER, BRISTOL, BRADFORD, WEST LONDON, ABERDEEN, EDINBURGH, GATWICK, STOKE ON TRENT

For more information contact Jan Mitman on 01733 753939 or visit www.draindoctor.co.uk

Drain Doctor FP Oct15.indd 1

06/10/2015 14:01

Looking for a new career? Fat Freeze Hollywood’s Best Kept Secret Investments from £1000 Make over £100,000 per year! Money back guarantee*

Franchise Fee The total investment required is £15,000. However, what makes us unique is that we offer a finance option. For those individuals choosing the finance option we ask for a £1,000 deposit (subject to credit status) and monthly instalments set over a 12, 24 or 36 month period. Alternative finance options may be available.“

Have you got what it takes to be a VIVO franchisee? Protecting our brand is a fundamental part of our business strategy and therefore imperative to who we allow join our business enterprise. Therefore potential investors should be: • Able to work on their own initiative • Self driven • Willingness to listen and learn • Be able to follow procedure • 100% dedicated as you will be representing our brand • Have the ability to manage a successful business • Have a personal commitment to expand and succeed • Know when to ask for help! Why are we different? 1. The HD Lipofreeze procedures are all conducted on a single platform machine. As a result of this it saves on space as well as the individual costs of individual machines. 2. Unlike our local competitors, we don’t just manufacture and distribute the machines; we provide ongoing support and training throughout your business venture. 3. As a result of being manufacturers as well as distributors we are cheaper than local competitors. 4. Unlike local competition we are selective in where we allow future franchise opportunities to be set up as we believe that similar businesses should work together and not against each other....we believe no two local businesses should take clients from others. Enquiries can be made by contacting: Mr. Ricky Mason on 0121 661 7317 E-mail: franchise@vivoclinic.com www.vivoclinic.com www.hdlipofreeze.com

Vivo Clinic FP Dec15.indd 1

Before

After

Before

After

03/12/2015 20:08

Franchise businesses come in all shapes and sizes

From high street franchise businesses to high rise offices, insurance is essential for every business. Allianz Insurance plc provides a range of mid-corporate insurance solutions that can be tailored to suit your needs. To find out more contact: Maurice Logie Moreland Insurance Brokers maurice@morelandinsurance.com

01698 456500

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ACOM6540 04.15

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www.allianz.co.uk. Allianz Insurance plc. Registered in England number 84638. Registered office: 57 Ladymead, Guildford, Surrey GU1 1DB, United Kingdom. Allianz Insurance plc is a member of the Association of British Insurers. Allianz Insurance plc is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the Prudential Regulation Authority. Financial Services Register number 121849. W.S. Moreland & Co Ltd is authorised and regulated by the Financial Conduct Authority and our registration number is 304481. Moreland Insurance Brokers is not part of the Allianz group of companies. Allianz Insurance commercial insurance products are available from other insurance intermediaries.

EliteFranchise1015.indd 1

07/10/2015 17:59

ANALYSIS

TAKING FLIGHT Any company taking its first steps into franchising needs to ensure its model is foolproof from the outset. Thatâ&#x20AC;&#x2122;s why many franchises launch pilot schemes to help set them on the right course

elitefranchise | December 2015

ANALYSIS

WORDS: ADAM PESCOD

ranchising might be a great enabler of fast and sustainable business growth but before striking out and launching a franchise network, a company first needs to establish whether or not its business model is one that can be replicated in all parts of the country. That’s why many would-be franchisors launch a pilot franchise before taking flight. “A pilot franchise is massively important before you roll out your franchise,” says Suzie McCafferty, managing director of Platinum Wave, the franchise consultancy. “Ultimately, it’s the opportunity to prove the model works when you take yourself out of the equation.” A pilot franchise also offers franchisors an opportunity to get their operations ship-shape so as to avoid any complications when rolling out the franchise. “It will let them see any gaps in their operational processes that need to be covered to make sure franchisees are running successful businesses,” says McCafferty. “It also lets you identify any gaps in your training programmes and shows you what support you are going to need to provide on a remote basis.” Given that the performance of the pilot will determine the future of a franchise, finding the right person, or persons, to operate it is essential. “Your pilot franchisee is one of the most important recruits in the life of a franchise network because if you choose the wrong pilot franchisee, you won’t prove the model,” says McCafferty. “You need people who have got the right attitude, who have bought into your brand and who will be a figurehead for future franchisees.” As McCafferty explains, a pilot franchisee is often cut from a different cloth than those who invest in a franchise further down the line. At the end of the day, they’re taking a punt on an unproven model, meaning they might Suzie McCafferty, Platinum Wave have more of an entrepreneurial mindset than your everyday franchisee. “They are generally people who are excited by first-mover advantage, who are quite excited about getting in with a brand at ground level and being part of building the future of the brand,” says McCafferty. “You tend to then reward that, if you like, by reducing

If you choose the wrong pilot franchisee, you won’t prove the model

the franchisee fee for your first pilot or first couple of pilots.” It therefore goes without saying that a franchisor should invest a decent amount of time in finding the best pilot possible. “You need to choose your first pilot franchisee very carefully,” says McCafferty. “Don’t necessarily award it to somebody just because they happen to have a purse and a chequebook.” Finding the time to get pilot franchisees up to speed is also key. “You need to make sure that you can spend time with your pilot franchisee in the early stages, holding their hand and giving them exceptional support to prove the business can work in that territory,” says McCafferty.

Sink or swim Running a pilot franchise can help companies get a better handle of the logistics involved in operating a franchise and how it differs to a operating a traditional business. This is why Swimtime, the swimming-lesson franchise, decided to go down the pilot route in 2002. “We realised that we had to do a pilot because, even though we had been running the business for five years, franchising it was actually going to mean that we were in effect running two businesses,” says Linda Price, founder and director of Swimtime. “We were already running 40 sites from one office so we knew a lot about swimming lessons and running our business but we needed to know how to manage and support our franchisees.” Operating the pilot helped Price identify and fill some skills gaps that needed filling in order to operate a successful franchise scheme. “Up until that point, we had been taking on swimming teachers who were already trained and knew how to do their job,” she says. “We were now having to help people find the right teachers and effectively put them in a management role. We needed to understand what we had done to build the business because when you’re in business for five years and working night and day, you don’t actually realise what skills you’re using.”

December 2015 | elitefranchise

ANALYSIS

Although Swimtime’s pilot franchisee was one of the company’s existing swimming teachers – and the person who first floated the idea of franchising to Price – swimming experience is not essential for all Swimtime franchisees. “This is a management franchise; it’s not a practical franchise. It’s about how to run a franchise, not how to teach swimming,” says Price. “We realised [while running the pilot] that we needed to get them away from the pool and into the office, managing and supporting the teachers and the whole franchise model.” However, the overarching lesson that Price took from Swimtime’s pilot franchise was to ensure that all legal documentation is kept watertight. “The main thing that we learnt from the pilot was not to write your own franchise agreement,” Price says. “You need professionals to take care of the legal and financial systems from the start and that’s something that we impress upon franchisees. We know that we aren’t the ones to give the advice so we insist on them having professional advisers in all of those areas.”

Picture perfect The Headshot Guy, which specialises in taking professional headshots for businesses, has launched two pilot franchises this year. Founded by John Cassidy in 2010, the company decided to franchise after interest in its service started to grow substantially. “It got to the point where John’s diary was completely full,” says Ian Bradley, managing director of the Headshot Guy. “A firm of solicitors in London said ‘We have got a sister office in Liverpool. Can you go and do that?’ and then an accountancy firm said ‘We have got offices up in Glasgow. Can you go and do those?’ So not only was his diary full but he was being pulled all over the UK.” Cassidy was convinced to look at franchising by Simon Hulme, the founder and CEO of greetings card franchise Card Connection, who he met at an event. Hulme introduced Cassidy to Bradley, who came on board in August 2014 to help drive the company’s expansion across the UK. “I looked at the business model, did a competitor analysis, put together a business model for prospective franchisees and it was decided that franchising was the right route for the business,” says Bradley. 32

But before ramping up its rollout across the country, The Headshot Guy is looking to hone its model through the operation of pilot franchises, which Bradley describes as “the ethical thing to do.” The company is looking to run four pilot franchises – the first two were launched in January and July, while discussions are in progress for the third and fourth. “We want four pilots in various parts of the country so that we know we can remotely manage them as well as assist them on the day-to-day requirements,” says Bradley. “Once we have got four up and running and they are operating to the business model, we will expand further.” Like any company launching a pilot scheme, finding the right people has been key for The Headshot Guy. “We have to make sure that we take on the right person and they have to make sure that they’re committed to what is required to run a successful franchise,” says Bradley. “One of the benefits to them is that we offer a reduced initial franchise fee so that their Linda Price, Swimtime risk is minimised. It also means that if it does become a successful franchise, they will be able to sell their business at a later date for significantly more than if it was a mature franchise with a high initial fee.” Ultimately, says Bradley, the success of a pilot franchise hinges on the relationship between franchisor and franchisee. “You’re not going to get everything right on day one so there has to be flexibility from both parties to ensure the business is transformed over a period of time,” he explains.

The main thing that we learnt from the pilot was not to write your own franchise agreement

elitefranchise | December 2015

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01/12/2015 10:23

Reach out for renewables

Other benefits include:

The renewable market in the UK has a predicted value set to reach £50 billion by 2020 and the sector presents fantastic opportunities for entrepreneurs who want to establish a new business in a rapidly growing market.

• Exclusive products

Green Square is looking for like-minded people to join their team and experience a business model that is in high demand from domestic and commercial customers looking towards greener alternatives for practical renewable energy solutions for the future. The Green Square franchise offers the opportunity to work in an ethical environment and penetrate a ring fenced business area, while minimising the risks associated with starting out alone, with a sales potential of over £1 million in three years.

• Fully certified training and qualifications in renewable technology • Quality Management system for microgeneration technologies in place (MCS) • Supported by legislation • Reasonable franchise fee • 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 further information please visit our website, or to express an interest in finding out more information email:

franchise@greensquare.co.uk

T: 03333 707 707

www.greensquare.co.uk Untitled-2 1

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ADVERTISING FEATURE

Right care right support Quality home care provider Right at Home has been named among the top three high investment franchises in the UK and is a finalist in the Best Franchise Awards

he awards are run by research experts Smith & Henderson and based on feedback from thousands of franchisees from all sectors that have completed the Franchise Satisfaction Benchmark. The survey asks franchisees to anonymously rate their franchisor on everything from training and support to shared goals and how it has compared with their expectations. Right at Home scored above 90% for the third year and as a result has retained its Five Star Franchise status. Director of Smith and Henderson, Steven Frost, said: “Many congratulations to all our finalists; because of the unique way our awards work, based on testimonial from their own franchisees, these finalists should be congratulated for already being amongst the best of the best in British franchising.” UK Managing Director Ken Deary said: “This award ranks incredibly highly with us, because it reflects the views of our franchisees about the support that we provide to help them grow their business and provide a first-class service to their clients. “At Right at Home, head office support is tailored to each individual local owner from the moment they enter into a Right at Home franchise agreement; it evolves through their early-years development and continues throughout the long-term growth of their business. “We are very proud to once again be identified as part of an elite group of franchise businesses that have demonstrated their complete commitment to their franchisees’ success.”

For more information about Right at Home UK, please contact: Kate Dilworth t: 07825 047344 kate.dilworth@rightathomeuk.com

December 2015 | elitefranchise

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03/12/2015 20:33

INTERNATIONAL

Holding all the cards By prioritising people and product, The Original Poster Company has grown to become a greeting card distribution company with a truly global reach

WORDS: JOSH RUSSELL

efore launching The Original Poster Company, Simon WarrenGash, the company’s chairman, had been a banker in both the UK and South Africa. “But, by chance, he ended up stepping into something new,” says Mark Thompson, managing director at The Original Poster Company. When Warren-Gash became a franchisee in a greeting card franchise, he started to realise the raw potential of the industry. Teaming up with lawyer David Mills, Warren-Gash decided to build his own greeting card distribution franchise and launched The Original Poster Company in February 1991. Whilst many businesses turn to franchising once they have a few outlets under their belts and are looking for a way to ramp up their expansion, it was always a core part of The Original Poster Company’s plan. “The concept right from the off was for a franchisebased business,” says Thompson. So, as soon as the founders had a handful of designs ready to go, they started attending franchise shows and scouring their networks to the company’s first

franchisees. “And the momentum just built from there,” adds Thompson. Clearly Warren-Gash’s faith in the concept was well-founded: by 1993, just two years into the franchise’s lifecycle, The Original Poster Company had a presence across the length and breadth of Britain. “There were about 50 franchisees covering the whole of the UK and Ireland,” Thompson says. “It expanded very quickly.” There are two factors that have aided the franchise’s phenomenal expansion. “Product is obviously key,” Thompson explains. As its name suggests, The Original Poster Company started out selling both posters and cards but, responding to the requirements of the market, it dropped posters fairly early on. This is indicative of its approach to product more broadly, creating merchandise that captures the greetingcard zeitgeist. “We look at the whole of the market, various photo libraries and design agencies,” he says. “We’re actually sourcing the latest talent and fashions in the marketplace.” Another significant element that has

elitefranchise | December 2015

International.indd 1

30/11/2015 15:34

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

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INTERNATIONAL

contributed to its success is its monetisation strategy. “Retailers only pay for the products that they’ve already sold: it’s on a sale-or-return basis,” says Thompson. Franchisees distribute a range of products to retailers; when they call again a month later, they simply charge the store for what it has sold. “For a retailer, it’s a no-brainer,” he says. “They don’t have to invest anything or place any orders.” However this only tells half the story; ultimately a franchise is only as good as its franchisees. Without a doubt, The Original Poster Company’s success has been in part down to its clear selection criteria for franchisees. “We look for people that are ambitious and motivated but that are willing to follow the business model,” says Thompson. And whilst customer-facing skills and established business acumen are also desirable, Thompson explains that they don’t outweigh the importance of certain basic aptitudes. “Those aspects we can teach them,” he says. “But it is the desire to succeed, follow a proven system and work with us that are most important.” As this suggests, the onus isn’t solely on franchisees: The Original Poster Company is a staunch believer in the importance of comprehensive, ongoing support. “You can have the product and you can have the business model but you’ve got to be supporting your franchisees,” Thompson says. When a new franchisee has signed on the dotted line, a business development manager will not only spend five days showing them the ropes but will also provide more hands-off support on an ongoing basis. This commitment is recognition that the success of the franchise is inextricably linked with that of its franchisees. “If we don’t train them to triumph, neither will we,” says Thompson. In light of The Original Poster Company’s success here in the UK, it’s hardly surprising that it rapidly began to look for opportunities abroad. Its first territory came about as the result of a chance meeting with a French businessman who was looking for a new opportunity. “After various meetings, we decided to try it and at that point they joined as our first international master franchisee,” says Thompson. Inevitably, entering into a new culture 38

You can’t just duplicate an existing product, stick a French caption on it and hope for the best

meant that The Original Poster Company couldn’t expect to achieve the same results by simply replicating its offering wholesale. “You can’t just duplicate an existing product, stick a French caption on it and hope for the best,” says Thompson. Not only was it vital that the franchise’s cards lined up in terms of language and humour but localisation also required a broader knowledge of the country’s cultural expectations. “You’ve got to assess the consumer demand, fashions and trends in that country,” he says. The Original Poster Company’s international expansion only ramped up from there. Whilst it was trying to crack the US market, it began attending no end of international franchise events and trade shows. “At several of the shows, we got introduced to other international communities and potential master franchisees,” Thompson says. Before long it had signed up master franchisees for Holland and northern Belgium, Germany and Austria. “In a very short space of time, we’d become international in a pretty comprehensive way,” he adds. Outside of the UK, The Original Poster Company now has 65 territories throughout seven countries, not to mention distribution rights in Canada, Singapore and Brazil, amongst others. And, whilst it is eager to refine and consolidate the service and support it offers its existing franchisees, it has no plans to ease off yet. “We’re looking to re-enter Spain and Portugal in 2016 and the areas of Europe that are on our doorstep,” says Thompson. If it plays its cards right, it looks like there are still plenty of overseas opportunities for The Original Poster Company.

elitefranchise | December 2015

International.indd 2

30/11/2015 15:34

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

HP Ad Place RHP.indd 1

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

03/12/2015 19:45

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FINANCE

Size matters Investing in a big-name franchise offers no more guarantee of success than buying into a smaller brand. That’s why the questions a franchisee needs to ask before parting with their money remain the same, says Alex Littner, managing director of Boost Capital

he appeal of franchising for those with ambitions of business ownership is clear. Buying into a tried and tested business model makes sense for a would-be entrepreneur who dreams of running a company but lacks an original idea. Franchising is also ideal for business beginners who want extra guidance on running a successful enterprise. But figuring out which franchise system to invest in is not easy. There are currently 930 to choose from in the UK, according to the British Franchise Association (bfa). With so much choice, should you go for a well-known name – which probably comes with a hefty price tag – or a less established outfit that will likely cost less? Certain big names are strongly associated with franchising. Subway, the sandwich chain, is the second biggest franchisor in Britain after Dairy Crest, the milk delivery service, and more than 70% of McDonald’s’ UK stores are franchised. The advantage of allying yourself with these huge companies is that they are welltested with an impressive success rate. Only recently, McDonald’s reported a 4% surge in like-for-like sales worldwide and it put much of this down to its greater focus on franchising its restaurants. In addition, established household names will typically provide franchisees with top-rate training and extensive support. They also have strong marketing know-how and consumers typically tend to favour big brands when deciding where to spend their hard-earned money. Finally, a franchise system’s reputation could also help when negotiating with deals with landlords, service providers and suppliers. But such instant recognition does not come cheap. A Subway franchise requires a minimum investment of £100,000 and can be anything up to £250,000. Food and

beverage franchises in good locations often cost up to £800,000 and some other contracts require franchisees to find more than £1m. Franchising fees and royalties for bigger franchise chains can also be higher than the average. So, despite the security that might come from investing in an established brand, success is far from guaranteed. Franchisees with insufficient capital to survive before the business becomes profitable can end up struggling, while having the wrong skills or experience can also cause a bigname franchise unit to fail. And with size comes a certain degree of exposure – a scandal elsewhere in the company can taint perfectly functional franchise outlets operating under the same brand name.

Despite the security that might come from investing in an established brand, success is far from guaranteed

December 2015 | elitefranchise

Size matters.indd 1

03/12/2015 17:33

FINANCE

Interrogate the franchisor

Smaller can be beautiful Not all franchise opportunities are wellknown or require hundreds of thousands of pounds of investment. There are many deals available that only require a relatively low sum and which can offer a very strong return on investment for a franchisee. Developing a ‘greenfield’ franchise site or opportunity, which involves starting a new concept from scratch, can also be a less expensive way of getting into franchising. However, working out when the business may break even is likely to require at least a little educated guesswork, since there will be no trading history. How much you need to invest will frequently depend on the industry sector. The bfa puts the mean total sum invested on startup at £111,000 for a hotel and catering franchise but those in so-called personal services – dog grooming, personal training or children’s tutoring, for example – require a mean sum of just £36,000. Franchises in property services, including estate agencies, plumbing, cleaning, and gardening, come out at a mean of £52,000. It is also worth considering products or services that are not tied to a specific location or premises, which can be cheaper since they will have fewer overheads. Every franchise system must start somewhere – McDonald’s wasn’t always the world’s largest fast food chain, after all. It

began its franchising journey in 1952, with its second franchisee only coming on board more than a year later. Getting in early on a franchise opportunity can be a great advantage, giving the franchisee a strong relationship with the parent company, the chance to enter new territories when the business expands and even the possibility of playing a part in how the group is shaped. But, as with any franchise investment, proper due diligence is essential. Some people prefer established franchises because they are afraid of putting money into an unknown name that could prove to be a dud or even a business scam posing as a legitimate operation. The first step is to check whether the company is registered with the bfa, which demands franchisors sign up to a code of ethical franchising. It’s then advisable to speak to existing franchisees but, instead of letting the company select them for you, make sure you choose the franchisees that you would like to speak to. Last but not least, ask to visit the head office and always take legal and financial advice before handing over any cash. Fundamentally, you should be wary of those franchises that are promising huge riches for little investment and minimal work. The harsh reality is that if a deal sounds too good to be true, it probably is.

If a deal sounds too good to be true, it probably is

Regardless of whether you opt for a household name or a less recognisable brand, there are questions a would-be franchisee should always ask. The first things to establish are how many outlets are currently operating in the franchise system, how long the franchisor has been established and how much of its own money has been invested in the overall business. Other important details include the turnover and failure rates of franchise units; upfront costs and ongoing charges; the franchisor’s financial projections, backed up with evidence of accounts; and what support is given by the franchisor for things like marketing, advertising and bookkeeping. It is also worth checking whether the franchisor provides any financing arrangements and, if so, the terms of such arrangements. And, crucially, where can a franchisee turn for advice and guidance if their franchise is struggling? Exclusive purchase agreements are commonplace in franchising so you might also wish to check whether franchisees are obliged to buy stock or services from the franchisor and, if so, at what price. Finally, what are the opportunities for business growth and how would the franchisor help you achieve such an ambition? These are all questions that need to be asked as part of your due diligence process. Without a doubt, franchising can be a great way to start a business and, tellingly, our company finds itself dealing with more franchised businesses than ever before. The surge in franchising over recent years is typical of tougher economic times when people crave a proven business model which is less vulnerable than a regular startup, with many using redundancy money to get started. Since the 2008 downturn, the number of franchise systems in the UK has increased by 11%, according to the bfa. And, once many of these new business owners have experienced the thrill of running their own enterprise, they will never look back. But the old adage ‘buyer beware’ is worth bearing in mind when entering into franchising negotiations. Whether it is a big parent company or an ambitious minnow with growth potential, do your own research, take professional advice and ask as many questions as you can. If you make the right choice, it should be a relationship that provides you with years of happiness, professional fulfilment, and, of course, huge business success.

elitefranchise | December 2015

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A franchise that’s right behind you Helping you to realise your dream and 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 Dec15 FP.indd 1

www.zebpafranchise.co.uk 03/12/2015 15:23

SALES & MARKETING

veryone likes to be told they are the best. Being handed a shiny gong and having your picture taken is a pleasurable experience, even if some of us pretend otherwise. But awards are about far more than having your ego massaged. They also serve a key purpose in improving a franchise’s brand identity and sales story, not to mention boosting morale across the company.

Cream of the crop

Building trust

WORDS: JON CARD

Entering your franchise for an award might be time-consuming but the rewards of winning will make it all seem worth it

Consumers are understandably apprehensive when making buying decisions from businesses they know little about. Nowhere is this truer than in the care sector, where the welfare of elderly relatives is being entrusted to someone else. “Awards are a critical part of franchising in homecare where quality is crucial and trust is everything,” says Ruth Brown, head of franchise development at Home Instead Senior Care. “They add to the power of our brand and allow us to illustrate the fact that we are an ethical, respected, responsive and trustworthy franchisor.” Home Instead has actively sought awards for the last ten years, accruing an impressive list of wins and nominations. The business won bfa Franchisor of the Year in 2013 and, last year, company founders Trevor and Sam Brocklebank were crowned Entrepreneurs of the Year in the Laing & Buisson Awards. The business also puts forward employees to ensure they share in the glory. Among them is Helen Potts, who won the 2015 Dementia Care Award. “We always focused on the franchise industry and care industry but have gone beyond in 2015 by entering customer experience awards,” says Brown.

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SALES & MARKETING

Feel-good factor Autosmart, the vehicle-cleaning product franchise, has also picked up a number of awards. It was named bfa Franchisor of the Year in 2014, which it also won in 2008 and 2012, and scooped the Franchisee Recruitment award the same year. For Sophie Atkinson, managing director of Autosmart, awards are a key part of team-building and help when it comes to recruiting new franchisees. She says that franchisors should support their franchisees as much as possible in their pursuit of awards and then use them to boost morale. “When a franchisee is shortlisted or wins their category, it creates huge excitement because it is public recognition of the franchise owner’s success,” says Atkinson. “The award is shown off in our and their offices for all to see and helps keep our motivation topped up every day.” Growing franchises are always looking for talented people to help grow their businesses. Atkinson says awards act as a calling card for her company, adding that she has recruited franchisees off the back of them. “This strategy has been very successful,” she says. “Potential business owners often mention our awards were one of the main reasons they came to meet us to find out more.”

A fighting chance

Awards applications are timeconsuming and require thought. Boost your chances of success with these top tips:

2 Admit your mistakes: Although success is key, stories of how problems were overcome are just as compelling.

Cathryn Hayes chair of the judging panel, bfa awards 2015

3 Find key facts and figures: Allow the judges to quickly appreciate the scale and growth of your business by presenting turnover figures and highlighting milestones. 4 Research the awards: Some awards are more credible and more useful than others, so be selective in those that you enter.

Impressing the judges When entering awards, business owners should remember that a written application will be looked over by a panel of people who have never met you and possibly know little about your business. It’s important to present documents that quickly create a picture of what your business is all about and why you should be nominated. As Cathryn Hayes, chair of the judging panel for the 2015 bfa awards, explains, the worst mistake is to be boring. “Facts and figures are important but don’t make your presentation bland or dull,” she says. “If you love your business, make sure that comes across and let your passion for your franchise shine through. That makes all the difference.” Hayes says a good story is important but this must also be backed up with hard facts. Instead of overstating their success, business owners should just accentuate the positives. “One of the key things I look for as a judge is evidence of success,” says Hayes. “For instance, if you are talking about a clever marketing campaign, provide the results so that the judges can clearly see that your actions have resulted in new business or leads.” Finally, Hayes reminds franchisors that the key to every successful franchise is the relationship between the owner and the franchisee. This is also vital for success in franchise award schemes. “Occasionally, an awards entry will give details about the successful operation of the franchisor’s business without mentioning the people who have contributed to that success: the franchisees,” she says. “Make sure your entry talks about how your support or initiatives have benefited your franchisees and helped them build a strong business too.”

1 Tell a story: No one wants to read a bland, corporate script. Present a human face, describing who you are and why you run the business.

Sophie Atkinson managing director, Autosmart

Ruth Brown head of franchise development, Home Instead Senior Care

5 It’s a team event: Speak about your franchisees and include them in the application and event itself. Awards are a chance for everyone to experience some glory.

Potential business owners often mention that our awards were one of the main reasons they came to meet us Sophie Atkinson, Autosmart

elitefranchise | December 2015

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Buy a coffee franchise with

Why buy a coffee franchise? Coffee is big business: 800,000 people in Britain buy coffee at least 4 times a week It makes lots of money: Total turnover for this sector reached £5.8bn in 2012 And it’s growing: Analysts predict that the chain market will grow at least 6% by 2017, hitting 7,000 outlets and £3.7bn in sales revenue.

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

Untitled-2 1 Advert - November 2013.indd 1 Talk Business

03/12/2015 15:30 12/11/2013 16:59:27

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

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• 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

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

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PEOPLE

Follow the leader Like any business, the success of a franchise hinges on brilliant leadership at every single level, says Annabel Jones, HR director at ADP UK

reat leadership is essential in any company and a franchise is certainly no different. Both a franchisor and its franchisees are expected to delegate, inspire and, of course, achieve results. Yet fulfilling these expectations can create challenges when a leadership framework does not exist. In such instances, it may be difficult for the franchisor and franchisees to ‘own’ responsibilities and this can have detrimental effects on an organisation. So how exactly can franchises ensure that they have an effective leadership structure in place?

Share responsibilities Franchisors are expected to take leadership over fundamental business functions such as product management, national marketing campaigns and analysis of

market trends. Yet franchisors often find themselves attempting to juggle these types of strategic initiatives in addition to dayto-day tasks that should not in fact be part of their remit. They might be concerned that giving franchisees greater control will affect their ability to fulfil responsibilities in line with wider business objectives. It is important to combat such misconceptions and ensure that all parties within the business are capable and trusted to take ownership of important tasks. Implementing detailed contracts that specify the responsibilities for both the franchisor and franchisee will evenly distribute tasks between the parties and relieve the pressure of having too much responsibility on one person’s shoulders. However, the real emphasis should be on building trust and training franchisees so

that they are able to take on different types of responsibilities. Many franchisees may have recently entered the industry or have little experience in business management and might therefore find the prospect of leading their own business daunting and unfamiliar. Franchisors should offer franchisees the support, motivation and tools needed to tackle responsibilities head on. This way, both franchisor and franchisee will own their role and fulfil it to the best of their ability.

Have confidence in your abilities Confident leaders are humble, accept their strengths and weaknesses and surround themselves with people who will challenge and support them. Leaders who demonstrate these characteristics are more trusted by their employees – and this also applies to franchise businesses. For example, when educating new franchisees about the business model that they are expected to follow, franchise leaders should ensure they know their business inside out and spend time configuring the most effective way of passing this knowledge onto their franchisees. This way, when franchisors communicate with franchisees about the business, it will be done with complete confidence and conviction. The franchisee will then trust in the franchisor as a useful contact who possesses the experience and expertise necessary to help guide them to success. For franchisees, it is essential that they remain authoritative and convincing when training their employees. Confidence doesn’t necessarily mean a firm or severe approach; instead franchisees should demonstrate an impressive understanding of the business and the role December 2015 | elitefranchise

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ADVERTISING FEATURE

Probably the best franchise in the UK today “It has been the most fun that we have ever had running a business” Adrian Keeling, thebestof Woking, attended an information day and met Head of thebestof Michelle Downey. “And what a fascinating day it was,” Adrian says. “The whole concept is well thought out and fun as well.”

Making local life better for everyone in the community thebestof might not be the most well-known franchise in the country, but with a ten-year track record and more than 150 UK franchises, it’s certainly one of the most successful. After it was launched in 2005 (by Yorkshire-born entrepreneur Nigel Botterill, above), thebestof quickly became the fastest growing franchise in the UK. Over the last few years the franchise has shown no sign of losing pace: thebestof continues to go from strength to strength, with Nigel and his team amassing a cupboard-full of awards along the way. 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!

What is thebestof? Thebestof is a marketing franchise. Our franchisees identify the best businesses in their area and using marketing tools, unique to thebestof, work with the business owner to showcase and promote them. There’s only room for one thebestof franchisee in each town – one individual, partner or team who will champion the very best local businesses in each area. Could that town’s hero be you? www.getthebestof.co.uk

He and his wife Amanda were impressed with the support infrastructure available. “It’s amazing,” he says. “It’s clear that they really care about their franchisees. We purchased the franchise for our home town of Woking and were on the next induction day for new franchisees just five days later. We now have over 70 clients and a residual income of £5,500 a month. We can only say it has been the most amazingly fun experience that we have ever had running a business.”

Residual income is the key £72,000 by the end of the year + £15,000 in sign up fees is very achievable. Stuart Pate, franchisee for thebestof Kettering since 2005 says “The earning potential is very simple. It’s very black and white if you get 5 businesses per month that will get you £72,000 by the end of the year + £15,000 in sign up fees.

Connecting local people and businesses With thebestof, a franchisee becomes part of the community and works to connect local people, the businesses and organisations that serve them. Quite simply, thebestof is the go-to place for everything happening locally! Because of the nature of the business, it’s a huge help if franchisees are passionate about their local community. Thebestof team are choosy about who they accept as a franchisee - it’s a people business after all. They know well the characteristics required to become successful. Thebestof’s application process may be rigorous, but new franchisees don’t necessarily need sales experience or technical skills. What matters most is that each new franchisee is a proper people person. If you’re bright and switched on, not intimidated by hard work and you’re passionate about making a positive difference to your community, then thebestof could be the perfect franchise opportunity for you.

Find out more To get a full Information Pack, visit www.getthebestof.co.uk or contact thebestof team on 0121 765 5556

Imagine doing that in year 2, year 3 and so on, you can clearly see what can be achieved. With 200 businesses your monthly residual income would be in excess of £19,000. Residual income is the key. It means that you do not have to think about how to earn each month because your income comes from monthly membership payments from your local businesses. There are additional revenue streams also. Every day is different but you get such a sense of satisfaction from this role, which is why I have been a franchisee with thebestof for 10 years now and still enjoy it as if it were day one.”

This is a business that can be developed by working hard but also gives time for family. I work from home with my team of four. thebestof provide support and training delivered by expert franchisees and keeps abreast of changes in marketing.

With a young family, I wanted to be able to grow a business, yet fit work around my children. I work extremely hard, yet I’m able to take my children to school, work from home and enjoy growing an interesting business that has exceeded my expectations.

Diana Vickers, thebestof Pembrokeshire

Penny Wilby, thebestof Sudbury

Check if your area’s available at www.getthebestof.co.uk or call Rosie on 0121 765 5556 Thebestof FP Oct15.indd 1

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PEOPLE

of each employee. For example, conducting informative and accurate appraisals with staff will prove that the franchisee can confidently make fair and just decisions on an employeeâ&#x20AC;&#x2122;s performance. In turn, this accurate investment into employee performance will enhance engagement with employees and build their trust in the leadership strategy.

A strong culture can also inspire employees, who will feel they are a valued part of an interesting business and will serve as proud ambassadors of the organisation as a result.

Invest to see rewards Organisations are recognising that they should invest in leaders just as much as employees, not least because employees are likely to mirror the habits, skills and working attitudes of those who manage them. Continuous training is important in creating an effective managerial strategy that is geared towards developing and enhancing key leadership skills such as the ability to mentor, motivate and inspire employees. Franchise businesses should consider how they can build this into their framework and funnel the skills and mentality down to franchisees. Those franchises that can replicate the organisationâ&#x20AC;&#x2122;s leadership approach will be able to ensure consistency and commitment to shared goals. This will lead to absolute clarity and focus of leadership techniques across all levels.

Lead decisively In times of stress, employees rely on their leaders to make quick and logical judgements. Leaders need to demonstrate that they can deliver on their promises, proving to those around them that they are able, responsible and trustworthy to lead the rest of the business through challenges. The ability to act decisively is particularly important for franchisors, as they are often expected to assist franchisees on matters far beyond their remit of responsibility. Franchisors need to reassure franchisees that there is a strong support network available to them and encourage them to seek advice and guidance in times of stress. However, it is equally important that franchisors give franchisees autonomy to lead in a way that suits the nature of the individual branch. Even though franchises should maintain a consistent strategy, franchisees should have a level of freedom to decide which initiatives they want to implement. By involving franchisees in planning and always asking for their feedback on decisions that impact each individual franchisee, decisive leadership will always produce the best outcome for all parties involved.

It is imperative that franchisors focus on feeding their cultural vision through to franchisees

Create a workplace culture One of the biggest challenges for a franchise is creating a unanimous culture. This is an important success factor and is also expected by customers who want to receive the same experience across all branches. If franchise businesses fail to meet these expectations, it could seriously damage their reputation and lead to a loss of customers and revenue. It is imperative that franchisors focus on feeding their cultural vision through to franchisees. All franchisees should understand what the companyâ&#x20AC;&#x2122;s values are and work towards one shared vision and mission statement.

A hand-in-hand relationship Although franchisor and franchisee leadership tasks can be perceived as complex and daunting, taking the time to delegate responsibilities, invest in leadership training and create an aligned franchise culture can help the relationship between franchisees and the franchisor flourish. Both parties will become content in their individual leadership roles, enabling employees to learn and grow in a stable, effective and attentive leadership environment. This will provide substantial benefits to the business, allowing it to move from strength to strength. December 2015 | elitefranchise

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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

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TECHNOLOGY

Net

result Creating a website that hits home is vital for any franchise. If you want a web presence that draws in franchisees and customers in equal measure, there are a few things to bear in mind

iven that the internet is the first port of call for potential franchisees and customers alike, it is absolutely vital that franchises have an effective web presence. Get your website right and you can pretty much guarantee you’ll have a steady stream of quality leads coming in; get it wrong and you could extinguish any interest that visitors have in your brand. Putting together the perfect website certainly isn’t easy but, if franchises take into account a handful of key points, they can ensure they’re presenting the best possible face to the world.

WORDS: JOSH RUSSELL

Research high and low First things first, any business building up its web presence will need to work out what kinds of people it is looking to attract. “Identifying who exactly will be visiting your site can help determine its style and content,” says James Hamilton-Martin, senior creative designer at PHA Media, the PR agency. “How do you want to be represented? Do you want to appear serious and corporate or fun and playful?” An example he gives is that of the British Heart Foundation website, which is designed to make it as easy as possible for potential philanthropists to donate. “[It] is dominated

by simple call-to-action buttons and a persuasive signup process, all tied together in a simple-to-navigate, easy-access interface,” he says. Additionally, franchisors should be giving as much consideration to their competitors as their customers. “Competitor analysis is always a vital part of the planning process,” Hamilton-Martin explains. Taking a look at how others in your sector frame their digital presence can provide an excellent insight into the expectations of the market. But Hamilton-Martin stresses that this doesn’t mean simply duplicating other people’s ideas. “The key to gaining an edge over competitors online is not to copy what they’re doing but to construct ways to make it better,” he says.

Keeping it brief There’s no value in doing comprehensive research, however, if this isn’t effectively communicated to the people that will actually be coding a franchise’s site. “Before you send your website designer off to work their magic, franchisors need to be clear about what the business is looking to achieve,” says Dave Bowers, head of design at Evolutia, the web design and digital marketing agency. Creating a clear and comprehensive December 2015 | elitefranchise

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Identifying who will be visiting your site can help determine its style and content James Hamilton-Martin, PHA Media

brief will ensure that a franchisor gets exactly what they’re looking for, as well as preventing a need for costly revisions down the line. “Changing the brief once work has commenced will lead to spiralling project costs and delays,” he says. “This is often a result of the project scope or website’s purpose being misunderstood.”

By mistake or design Whilst aesthetics might not be your first concern, there are few things that will have more of an impact on how franchisees and customers respond to a website than the way it is structured and presented. “Consider what layout route you want to go down,” says Hamilton-Martin. “Do you want a visual site full of imagery and less reliant on copy or do you prefer an emphasis on text and information?” And regardless of which route you go down, it is vital that a franchise keeps the design as coherent as possible across all areas of its site. “It’s important to maintain the same style throughout; keep the layout consistent across each page,” he says.

Make it mobile But, in this day and age, there is one design factor that is more important than any other: whether a website is mobile ready. “Technology is changing the way we interact and use data and information, so your franchise website needs to be up to the challenge,” says Bowers. He refers to 54

research from mobile-insight specialists Mobilesquared, which says that by the second quarter of 2016 there will be 43 million mobile internet users in the UK. This means that no franchise can afford to ignore the huge proportion of potential customers and franchisees that will be browsing on a mobile phone or tablet. In light of this, not only is a responsive design – which will allow individual elements on a site to better scale to the size of any screen – a must-have for any modern franchise but Bowers recommends franchises explore the wider opportunities that mobile represents. “Many new websites are built with mobile capability but [you should] use your website designer to find mobile solutions to existing business problems – whether that is sales conversion or customer care services,” he explains.

After live Once a franchise has launched its site, it would be tempting to think its owners can

hang the mission accomplished banners and put their feet up. Unfortunately, nothing is further from the truth. “The hard work doesn’t stop once your new website is live,” says Bowers. Franchisors need to have an idea of how they will drive traffic to their new digital home; building a strong social media presence, utilising SEO and even pay-per-click advertising will become essential for franchises really wanting to make their mark on the web. “The launch of a new company website is more than just window dressing,” Bowers says. “It should mark a new stage in the development of the company.” No matter what, it is vital that franchises give their websites the utmost care and attention. “I can only stress the importance of dedicating adequate time to planning, designing and building an effective website,” Hamilton-Martin concludes. “After all, in today’s world, the loyalty and commerce of a customer can be won and lost on the a click of a mouse.”

elitefranchise | December 2015

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W.S Moreland & Co Ltd and Hiscox Underwriting Ltd are authorised and regulated by the Financial Conduct Authority. 14134 01/15

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LEGAL

Within their rights Whether they’re operating services or selling products, Emer O’Kelly, associate at Stevens and Bolton, outlines how franchises can operate within the bounds of the new Consumer Rights Act

o franchise wants to alienate its customers or fall foul of regulation, which is why reading up on the latest changes to consumer rights regulation is valuable for franchises of every stripe. Coming into force on October 1, the new Consumer Rights Act 2015 forms the centrepiece of the recent consumer law reforms and applies to contracts with consumers for the sale of goods, digital content and services. The act has the potential to impact directly upon the trading operations of franchisees who deal with consumers and indirectly upon the policies and practices of their franchisors. It restates many of the consumer protections under the previous law but also introduces some notable changes.

Rights and remedies for goods As previously required, goods sold to consumers must be of satisfactory quality, reasonably fit for purpose and match any description and sample provided. But the new Consumer Rights Act also introduces a new requirement that goods must match any model seen or examined by the consumer – unless the consumer is informed about specific differences before purchase. This will be particularly relevant to franchisors and franchisees whose sales practices allow consumers to try out models, for example in a showroom. The consumer has the following options when they have purchased defective goods:

 Within 30 days from delivery the consumer can choose to reject the goods and claim a full refund or request a repair or replacement. Here the choice is the consumer’s unless one option is disproportionately expensive for the seller. If they choose repair or replacement, the seller has only one chance to repair or replace the goods. In addition, the 30-day period for the short-term right to reject is paused until return of the repaired or replaced goods. If the goods are still defective on return, the consumer has the remainder of the 30 days – or, if longer, seven days – to reject them again and claim a refund.  After 30 days from delivery the consumer

can either request repair or replacement. But, if repair / replacement does not work, is impossible,

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LEGAL

is not provided or cannot be provided within a reasonable time or without significant inconvenience to the consumer, they can reject the goods and claim a refund or retain the goods but receive a price reduction. Within the first six months, any refund should be a full refund, except in the case of a motor vehicle. Once this period has ended, the seller can make a deduction for the use that the consumer has had of the goods.

Rights and remedies for digital content The Consumer Rights Act 2015 introduces new specific rights for ‘digital content’, essentially data that is produced and supplied in digital form such as computer games, TV programmes, computer software or apps. The act requires digital content to be of satisfactory quality, reasonably fit for purpose and match any description provided. When digital content is defective, the consumer has the right to repair or replacement or – if repair or replacement is not possible or does not resolve the fault – the right to a price reduction. This reduction in price should reflect the difference in value between what the consumer originally paid for the content and what they actually received. For franchisors and franchisees, it’s worth noting that if goods contain defective digital

If digital content is defective, the consumer has the right to repair, replacement or a price reduction

content, then the goods as a whole can be considered defective and a consumer can exercise the remedies for defective goods rather than digital content.

Rights and remedies for services Services must still be provided using reasonable skill and care and in line with any information provided about the service and seller. However, information provided about the service and the seller can be provided on behalf of the seller. This could therefore potentially include information that a franchisor provides about its franchisees and the services that they offer, for example online or in marketing materials. The remedies available to the consumer for defective services depend on which right has been breached. The consumer can require a price reduction if the service is not performed within a reasonable time or is not performed in line with information given to the consumer about the seller. The price reduction should normally reflect the difference in value between the service the consumer paid for and the value of the service actually provided by the seller. A consumer can request repeat performance if the service is not performed with reasonable skill and care or is not performed in line with information given to the consumer about the service. If repeat performance is not possible, cannot be done within a reasonable time or without causing a significant inconvenience to the consumer, then the consumer is entitled to a price reduction. Ultimately, a failure to comply with the Consumer Rights Act 2015 can result in sales terms being unenforceable, financial penalties and reputational damage. Both franchisors and franchisees should therefore review their trading practices and policies and all marketing materials, sales terms and other relevant materials to ensure continued compliance with consumer protection law.

elitefranchise | December 2015

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Are you looking for a flexible, efficient & highly rewarding Accountancy Franchise?

Are you a Bookkeeper or Accountant? Current job not paying enough? Want a better work life balance? You want to earn much more than your current income? DNS Accountants offer the perfect Franchise solution! There are many reasons to choose a DNS Accountants Franchise, from our Free Award Nominated Accounting Software to providing support in IT, marketing, running the practice and answering those technical accounting questions! Below is a summary of some of the many reasons why we are offering you great value for your money.

✔ ✔ ✔ ✔ ✔ ✔ ✔ ✔ ✔

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 Value Added Services Dedicated Account Manager Low Overhead, Zero Risk Solution

So what are the next steps to becoming a DNS Accountants Franchise owner? It’s very easy, either call us on 020 7148 1706 or email us at info@dnsaccountantsfranchise.co.uk with the following information: your full name, address, telephone number and the region you are interested in.

www.dnsaccountantsfranchise.co.uk

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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.

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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).

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FRANCHISE FOCUS

ActionCOACH

ActionCOACH is a multi award winning franchise. ‘Best Overall Franchise Award’ for 2014 in the £25k to £75k investment category. ‘5-Star Franchisee Satisfaction Award’ - 2nd year running. ‘Award for Continuous Improvement’ & Compare The Financial Market’s ‘UK’s Best Business Opportunity’. ActionCOACH is the world’s number one business coaching franchise, with more than 1,000 offices in 50 countries. Our teams of coaches were originally frustrated, undervalued entrepreneurs and white-collar managers.

• Best UK Business Opportunity according to Compare The Financial Markets • Guaranteed £10k per month by month 7 for the best applicants (Ask us about Ts & Cs) • 1st to achieve 5 Star Franchisee Satisfaction Award • Personal investment can be as low as £10k • You get to reap the rewards; the more you put In, the more you get out • Winner 2014 Best Franchise Award sponsored by RBS • Break the 9-5 routine!

Watch a six-minute overview video at www.actioncoach-franchise.co.uk/overview

Contact Rainy or Sam | Call: 01284 701648 | email: rainy@actioncoach.com | www.actioncoach-franchise.co.uk

BBX UK

Over 60% of businesses have the ability to service more customers without increasing their fixed costs – this is called their SPARE CAPACITY. If their spare capacity is not used its value will be lost forever which costs UK businesses hundreds of billions in lost revenue annually. BBX is the largest Global Cashless Trade Exchange offering businesses a facility to turn their spare capacity into additional revenue without discounting. Building on 22 years of franchising we have opportunities in the UK offering:

• Multiple income streams – earning 24/7 • Dedicated territories • Renewable income leading to exponential profit growth • Immediate cash flow • Global market leaders

Contact Matthew Harding | Call: 0333 4002014 | email: matt.harding@bbxuk.com | www.bbxuk.com

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

Eazi Apps

Get involved in the fastest growth market in history offering iPhone, iPad, Android and mobile web apps without any technical or design experience. We give you a full turnkey package that includes in- house training, support, help desk, loads of marketing materials and a full sales and marketing plan. Be your own boss, work your own hours, when you like, where you like.

• Start your own mobile app business for only £5,995 (+VAT) • Substantial income potential • Work from home • No tech experience required

Call 0800 865 4600 | www.eazi-apps-business.co.uk

elitefranchise | December 2015

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FRANCHISE FOCUS

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

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

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

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

Women UK

Your own glossy magazine and commercial membership directory. WomenUK.co.uk is the ultimate ‘online’ portal for women in the UK. Packed with fashion, style, health, interiors, business, family and more. WomenUK.co.uk provides readers with advice, tips and news on everyday life both on a national and local scale. WomenUK.co.uk is available to license on a county to county basis and provides businesses the opportunity to reach key decision makers both at home and at work through strong editorial and business listings. Perfect opportunity for anyone wanting to run their own business whilst building a residual income.

• Complete Franchise £9,999 • Full Training Given • Low Overheads/ Work from home • Realistic Earning Expectation in excess of £100,000 within two years • Payment Plan Available

Contact: Carole on 07525842212 or carole@ukwomenmagazine.co.uk for more details. | www.womenuk.co.uk

December 2015 | elitefranchise

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Franchise Diaries with Kate Lester

Final destination With 2016 looming, franchises should be considering where they want to be this time next year

t this time of year it’s well worth looking back at what you did and didn’t achieve in the past 12 months. Because you did have a plan when you started 2015, didn’t you? Business planning has to be at the heart of every enterprise, whether you are a startup, a maturing business or planning your exit. Certainly any franchisee and franchisor worth their salt should be putting this at the heart of their businesses. I always say business planning is a journey. It’s like taking a drive: you set your destination and, once you have done that, you can determine your route and what you have to do to get there. When you have reached your first destination, it’s then time to look back and review. What was successful and what wasn’t? Would you take the same route again? What would you change to get there faster? Would you use a different means of transport? All lessons are learned through your experience. I encourage you to do this with your business and put yourself at the heart of it. What do you want from it? What does the business have to earn to give you the life you aspire to, whether financially or otherwise? And what does the business have to do to reach that desired level of earnings? Once you have that target in mind, you can work back from there and create a plan for your business journey. 64

Business planning has to be at the heart of every enterprise If you know your business back to front, which you should, planning needn’t be onerous. You can soon reduce your targets down into manageable bite-sized chunks, which will give you a list of things you need to achieve at each stage of your journey to stay on track. Once you have those bitesized chunks, there will never be a day when you’re sat at your desk thinking ‘What do I do today?’ You just work to your plan and slowly but surely move towards your goals and business destination.

I was gobsmacked when I held a business planning event last year and only two businesses in the room – mine and a fellow speaker’s – actually had a business plan, let alone a life plan. It’s madness. Life is short and, without the direction that planning gives you, you could be going round and round in circles. And, in this short life, you don’t have time for that, do you? If you want to make 2016 your best year ever, I urge you to put planning at the heart of your life and business. Take some time to clarify where you want to go, what personal goals you want to fulfil, how your business can facilitate this and what it needs to earn for you to achieve these goals. Finally, plan back from then to today and there you have it: your plan for 2016. Here’s wishing you every success in your journey.

elitefranchise | December 2015

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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

Invest in Change

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

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 Europeâ&#x20AC;&#x2122;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

Join the No. 1 Global Franchise

I’m so glad I decided to visit the BFA-approved exhibition as it gave me the chance to find out more about franchising and what opportunities were available. It can be hard work but support is always available and I was quickly able to employ a strong team to help run the gym day to day. The club has enjoyed huge success since it opened and I am already exploring the possibility of opening another club.”

John Devlin Anytime Fitness Urmston

NEARLY 3,000 clubs open and more than 2.5 million members in 23 countries worldwide

WHAT OUR FRANCHISEES ENJOY: Over 95% of our franchisees are not from the fitness industry Funding available from major banks Continuous support every step of the way On average, clubs reach breakeven at 600 members Contracted memberships give guaranteed income Low fixed monthly management service fee Low staffing model

Currently over 55 clubs trading and a massive 200+ UK territories sold to date

Take the next step

Call us on 0800 0333 7773 jointhefamily@anytimefitness.co.uk AnytimeFitnessUK

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“The fastest growing fitness club in the world!” IHRSA

www.anytimefitness.co.uk

AnytimeFitUK

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