FRANCHISES FOR A BETTER HOME LIFE
FUNDING YOUR FRANCHISE: BEYOND THE BANK
SPECIAL FOCUS ON CASUAL DINING, BARS AND PATIOS
INSIDE! FREE PASS TO
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A Canadian Franchise Association Publication / FranchiseCanada.Online
GROWING SENIOR CARE FRANCHISES Franchise opportunities in Canada’s senior care sector on the rise
80% 1.5 BWR PD M/J
PM 41043018 $4.99
MAY | JUNE 2019
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0
74470
94981
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Display in business until Jun. 30, 2019
Welcome Home to Smitty’s
INVEST IN A PHILOSOPHY OF FAMILY, an atmosphere of friends, and a commitment to comfort food cooking. With the warm promise of ‘All Your Favourites, All Day Long’, Smitty’s Family Restaurants are the feel-good franchise. A place where management is dedicated to old-fashioned business values, with a contemporary focus on people and success. FRANCHISES AVAILABLE ACROSS CANADA Immediate opportunities: Medicine Hat, AB Grande Prairie, AB Calgary, AB
Recently Opened: Calgary - East Hills, AB Cranbrook, BC Cochrane, AB
For more information on a Smitty’s opportunity, please contact one of our franchise specialists at: 1-800-927-0366, info@smittys.ca or visit smittys.ca/franchise.
SPARK THINGS UP WITH AN M&M FRANCHISE!
NEW FOOD. NEW LOOK. NEW SHOPPING EXPERIENCE. Come check out our new store and exciting new products for the grill.
FRANCHISE OPPORTUNITIES AVAILABLE NATIONALLY.
AN OPPORTUNITY SO GOOD THAT YOU CAN TASTE IT!
CONTENTS MAY/JUNE 2019
17 COVER STORY
44
Keeping Up with the Boomers As Canadians born between 1946 and 1964 get older, demand for senior care services has grown exponentially. These five franchise systems are eager to help
47
17
FEATURES
25
Rise and Shine! Breakfast restaurant franchises across Canada • 44 NEW Canadian locations in 2019 •Over 360 stores in four countries • Premium locations available • Industry-leading sales growth • Own one or multiple stores • Full turn-key buildout • Comprehensive training
BE A PART OF THE BOOSTER JUICE TEAM! E-mail for franchise information: franchising@boosterjuice.com Or visit us online at:
31
The Homemakers Managing a happy home can be frantic, but these home care franchises make household drudgeries a breeze
Financing your Franchise Know your options when it comes to getting a loan to start your business The Future of Franchising Franchise Canada looks at just some of the many female franchisees that are shaping the industry’s future
59
Blossoming into a successful franchisee A step-by-step guide to who you’ll meet during the franchise sales process
SPECIAL FRANCHISE FOCUS
39
Following the Franchise Play Book For professional athletes, franchising is the ideal workout post-retirement
boosterjuice.com
4 Canadian Franchise Association
www.cfa.ca | www.FranchiseCanada.Online
51
Casual Dining, Bars & Patios
Franchise Canada is published by the Canadian Franchise Association www.cfa.ca | www.FranchiseCanada.Online
DEPARTMENTS
62
HOME-GROWN & LOCALLY-OWNED 100% Canadian Franchise Systems
65
MILLENNIALS IN FRANCHISING Values-Driven Franchising Raised to be humble, kind, generous, and hardworking, millennial franchisee Amanda Mucek’s core values fall perfectly in line with the corporate values of COBS Bread Bakery
68
THE FIRST YEAR Senior Savvy First year franchisee takes to the airwaves to raise profile in her community
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77
ICONIC BRAND Putting the Customer First For generations, McDonalds® has maintained its status as a leader in the quick service restaurant business with a franchise system that ensures its loyal customers receive the same quality and consistency at any location in the world
80
SHOW ME THE MONEY 4 Franchises under $50K
84
FRANCHISE FUN East Coast Flavour Steve Collette, motivational speaker, Co-Owner and CoFounder of 3rd Degree Training and Actual Nutrition, has grown the franchise to become one of Atlantic Canada’s foremost health and fitness brands
88
LEADERSHIP PROFILE Greekin’ Out! OPA! of Greece President and CEO Theodore “Dorrie” Karras never lost touch with his roots after moving from his native Greece to Canada when he was 19
FRANCHISE TUTORIAL Tutorials 23 & 24 This issue: • Introduction to Dispute Resolution • Introduction to Termination, Transfers and Assignments
74
COLUMNS
A DAY IN THE LIFE Making Business…Personal Hendrik Botha finds his calling with the Nurse Next Door team
FRANCHISE OPPORTUNITIES AVAILABLE NATIONWIDE!
10 CFA CODE OF ETHICS 12 INDUSTRY NEWS 86 ASK THE EXPERTS 93 MARKETPLACE 105 ADVERTISERS’ INDEX 106 GIVING BACK
Franchise Canada
“Booster Juice is a company that screams Canadian pride and we are proud to be a part of the vision.” Jason Tsang Booster Juice Franchise Partner
May | June 2019 5
PUBLISHER’S MESSAGE
FRANCHISES BUILDING HAPPY HOMES AND SERVING INDEPENDENT SENIORS
A
s Canada’s senior population grows at a rapid pace, so does the desire of our elders to “age in place.” The age in place concept refers to Canadian seniors who wish to retire and age independently in their own homes. The understandable desire to age in place by both the growing senior population and their families has brought with it some exciting opportunities in Canadian franchising. The May/June edition of Franchise Canada, The Seniors and Home Care Issue, explores these growing opportunities. As noted in our cover story on page 17, Canada’s population of baby boomers – those born between 1946 and 1964 – is getting closer and closer to retirement. This bodes well for the franchise concepts working to serve this significant segment of Canada’s population. With Canada’s senior population projected to nearly double between 2006 and 2026 as the baby boomer generation ages, demand for products and services aimed at this growing market segment is expected to expand as well. It’s great news for franchises providing seniors with the products and services they need to age in place, and it’s a growing trend in franchising that prospective investors should have on their radar. As mentioned in our cover story, franchises that are helping Canada’s seniors live full, independent lives are flourishing as they provide them with healthy meals, transportation, in-home care, physical fitness, and real estate services. But it’s not just franchises in the senior sector that are booming. When it comes to building a happy and healthy home, there is a myriad of franchise systems looking to help everyday Canadians live a little easier, no matter their age. If it’s a home service franchise you’re interested in, check out page 31, where
6 Canadian Franchise Association
Franchise Canada profiles five franchise concepts that serve homeowners with a wide range of services from cleaning to comprehensive storage solutions. In our regular department features, starting on page 62, you’ll find profiles of brands such as Nurse Next Door, COBS Bread, Comfort Keepers, OPA! Of Greece, and more. Have you noticed recently how McDonald’s® has really elevated their coffee and baked goods offerings? We take a look at how the iconic brand has evolved to keep up with market trends, while maintaining their strict commitment to delivering top-notch customer service, on page 77. We also have articles that will enlighten you on some of the essentials of franchising. For those looking to explore financing options, we outline some alternative funding sources that go beyond traditioinal borrowing from the banks on page 44. With an issue packed from cover to cover with awardwinning and rewarding franchise opportunities, we hope Franchise Canada is your guide to fulfilling your franchise dreams.
Sherry McNeil President & CEO Canadian Franchise Association
www.cfa.ca | www.FranchiseCanada.Online
CHICKEN
TATERS
Why Choose the Largest Canadian Quick Serve Chicken Restaurant?
Big Mary
®
Possibly
Canada’s Best
Chicken Sandwich
15
Consecutive Years of Same Store Sales Growth
Celebrating
50 YEARS in business
Member of Canadian Franchise Association for over
35 YEARS
Winner of the Franchisees’ Choice Award
8 YEARS
RUNNING
2020
Our plan is to reach 200 stores by
160 STORES
2020
Are you ready to be part of our success story?
franchising@marybrowns.com | www.marybrowns.com
and counting
CFA BOARD OF DIRECTORS (as of time of print) BOARD CHAIR John DeHart*, Nurse Next Door Home Care Services & LIVE WELL Exercise Clinic PRESIDENT & CEO Sherry McNeil*, Canadian Franchise Association 1ST VICE CHAIR Gerry Docherty*, Good Earth Cafes 2ND VICE CHAIR David Druker*, The UPS Store TREASURER Rick Chittley-Young*, MNP LLP
PUBLISHER
Canadian Franchise Association (CFA)
VP, MARKETING & COMMUNICATIONS
SECRETARY & GENERAL COUNSEL Peter Snell*, Gowling WLG LLP
Kenny Chan
PAST CHAIR John Wissent*
EDITOR Andrew Schopp
CHAIR, LEGAL & LEGISLATIVE COMMITTEE
GRAPHIC DESIGNER Andrea Lee
Larry Weinberg*, Cassels Brock & Blackwell LLP
ADVERTISING SALES Gwen Dunant
CHAIR, FRANCHISE SUPPORT SERVICES Tony O'Brien*, TruShield Insurance
AD COORDINATOR Andrea Lee
DIRECTORS
CONTRIBUTING WRITERS
Hadi Chahin, Mary Brown’s Chicken & Taters Steve Collette, 3rd Degree Training/Actual Nutrition Felix DeCata, Boston Pizza International Inc. Lawrence Eade, Box Concepts Food Group Lafleche Francoeur, Pacini Sebastian Fuschini, Pizza Pizza Clark Harrop, McDonald’s Restaurants of Canada Limited Terry Hould, ServiceMaster of Canada Limited Andrew Hrywnak, Print Three Franchising Corporation Rimma S. Jaciw, CFE, WSI Digital Marc Laurin, MTY Group Don Leslie, A&W Food Services of Canada Jon-Anthony Lui, Tutor Doctor Gary Prenevost, FRANNET Stephen Schober, Metal Supermarkets Family of Companies Frank Stanschus, Little Kickers Bob Tipple, Expedia CruiseShipCenters *Executive Committee member
NATIONAL SPONSORS
The CFA wishes to acknowledge and thank these National Sponsors for their support throughout the year. Find out more about these companies at www.cfa.ca/sponsorship
Georgie Binks, Suzanne Bowness, Jessica Burgess, Kristin Di Tommaso, Roma Ihnatowycz, Gina Makkar, David Chilton Saggers, Karen Stevens, Jordan Whitehouse, Kym Wolfe, Trisha Utomi FRANCHISE FUN ILLUSTRATION Sam Gorrie PRINTING Premier Printing FOR ADVERTISING INFORMATION:
Tel: 877-254-0097 | gwen@cfa.ca TO SUBSCRIBE TO Franchise Canada visit www.FranchiseCanada.Online or call 1-800-665-4232 ext. 224.
Return Undeliverable Canadian Addresses to: Canadian Franchise Association 5399 Eglinton Ave. West, Suite 116 Toronto, ON M9C 5K6 We invite your comments, questions and suggestions. Please contact us at editor@cfa.ca or 1-800-665-4232.
© 2019, Canadian Franchise Association. All rights reserved. The contents of this publication may not be reproduced by any means, in whole or in part, without the prior written consent of the publisher. Franchise Canada is a member of Magazines Canada. Publications Mail Agreement No. 41043018 Legal Disclaimer The opinions or viewpoints expressed herein do not necessarily reflect those of the Canadian Franchise Association (CFA). Where materials and content were prepared by persons and/or entities other than the CFA, the said other persons and/or entities are solely responsible for their content. The information provided herein is intended only as general information that may or may not reflect the most current developments. The mention of particular companies or individuals does not represent an endorsement by the CFA. Information on legal matters should not be construed as legal advice. Although professionals may prepare these materials or be quoted in them, this information should not be used as a substitute for professional services. If legal or other professional advice is required, the services of a professional should be sought. FSC® certification is a commitment to good forestry practices, carried from forest to consumer
8 Canadian Franchise Association
www.cfa.ca | www.FranchiseCanada.Online
Looking for a proven and profitable opportunity? Look no further. Massage Addict serves a gap in the market by providing affordable therapeutic massage without sacrificing quality or service. 1
Low investment and start-up costs
3
Opportunity for multi-clinic ownership
2
Recurring revenue and quick ROI
4
Straightforward business model
Canada’s first and largest membership-based massage therapy provider, with over 90 clinics across Canada!
For more information please contact Michael Mutsaerts, VP Franchise Development at FranchiseMA@massageaddict.ca
MassageAddict.ca
CODE OF ETHICS
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he Canadian Franchise Association (CFA) is dedicated to encouraging and promoting excellence in franchising in Canada. Each member of the Association agrees to abide by the CFA Code of Ethics and to further the Association’s goals of encouraging and promoting ethical franchising in Canada. Each member of the Association agrees to comply with the spirit of this Code of Ethics in its general course of conduct and in carrying out its general policies, standards and practices. The following are considered by the Association to be important elements of ethical franchising practices: 1. Franchise system and franchise support services members should fully comply with Federal and Provincial laws, and with the policies of the Canadian Franchise Association. 2. A franchisor should provide prospective franchisees with full and accurate written disclosure of all material facts and information pertaining to the matters required to be disclosed in advance to prospective franchisees about the franchise system a reasonable time [at least fourteen (14) days] prior to the franchisee executing any binding agreement relating to the award of the franchise. 3. A ll matters material to the franchise relationship should be contained in one or more written agreements, which should clearly set forth the terms of the relationship and the respective rights and obligations of the parties. 4. A franchisor should select and accept only those franchisees who, upon reasonable investigation, appear to possess the basic skills, education, personal qualities and financial resources adequate to perform and fulfil the needs and requirements of the franchise. Franchise systems and franchise support services members of the Association should not discriminate based on race, colour, religion, national origin, disability, age, gender or any other factors prohibited by law. 5. A franchisor should provide reasonable guidance, training, support and supervision over the business activities of franchisees for the purposes of safeguarding the public interest and the ethical image of franchising, and of maintaining the integrity of the franchise system for the benefit of all parties having an interest in it. 6. Fairness should characterize all dealings between a franchisor and its franchisees. Where reasonably appropriate under the circumstances, a franchisor should give notice to its franchisees of any contrac-
10 Canadian Franchise Association
tual default and grant the franchisee reasonable opportunity to remedy the default. 7. A franchisor and its franchisees should make reasonable efforts to resolve complaints, grievances and disputes with each other through fair and reasonable direct communication, and where reasonably appropriate under the circumstances, mediation or other alternative dispute resolution mechanisms. 8. A franchisor and a franchise support services member should encourage prospective franchisees to seek legal, financial and business advice prior to signing the franchise agreement. 9. A franchisor should encourage prospective franchisees to contact existing franchisees to gain a better understanding of the requirements and benefits of the franchise. 10. A franchisor should encourage open dialogue with franchisees through franchise advisory councils and other communication mechanisms. A franchisor should not prohibit a franchisee from forming, joining or participating in any franchisee association, or penalize a franchisee who does so. 11. A franchise support services member in providing products or services to a franchisor or franchisee should encourage the franchises to comply with the spirit of this Code of Ethics. A franchise support services member should not offer or provide products or services if legislative or professional qualification is required to do so unless the franchise support services member has such qualification.
LOOK FOR EXCELLENCE As you investigate the many franchise opportunities available to you, you will see a special logo featured in franchise literature, on franchising websites and in franchise tradeshow booths. This logo identifies franchise systems and franchise support services/suppliers as members of the Canadian Franchise Association (CFA). You should be on the lookout for this symbol when researching franchise systems or assembling a team of franchise support professionals to assist in your search. CFA encourages and promotes excellence in franchising in Canada and members of the Association voluntarily agree to follow the CFA’s Code of Ethics in pursuit of these goals. Start your search for your franchise dream with a CFA member. Visit FranchiseCanada.Online today.
www.cfa.ca | www.FranchiseCanada.Online
It’s Not Just a Business It’s the business of changing lives Blend strong demographics with your entrepreneurial spirit and our blueprint for success into a meaningful business that serves your community.
A proven franchise system 550+ Care Offices Globally 30 Canadian offices and Growing Territories available in every province
Global brand, Personal Feel
Work-Life Balance
With over 550 Care Offices in 8 countries around the world, Right at Home is a powerhouse in the homecare industry. But, our Canadian family of Care Office Owners are committed to caring to the unique needs of each individual family, one family at a time.
Our shared administration and after-hours management programs mean that as a Right at Home Care Office owner, you can enjoy a 24/7 business with protected time for you and your family.
Boutique Services, Unrivaled Quality High-touch, highly personal and a system devoted to a relentless pursuit of an exceptional experience.
Progressive, Forward-Thinking Programs Dementia specialty programs, cluster care, wheelchair-accessible transportation, relief staffing, and a seemingly endless list of unique programs continually attract attention in a competitive landscape.
Much More Than a Homecare Company A robust product line of adaptive clothing and continence care products, and an online retail website offer value-adds and an opportunity to build relationships with clients who may not yet need in-home support.
Unparalleled Training and Support Our training is weeks of learning, and our ongoing field coaching allows owners to learn every aspect of their Right at Home business.
Canadian Leadership with Direct Care Office Ownership Experience
“
Our Canadian Corporate Support Team has run their own Right at Home Canada offices. This means meaningful, highly operational and experienced support for every owner in our system.
Your desire to support your community and your willingness to work hard are our drivers for success. Homecare is not for the faint of heart. But, if your heart is strong, you will wake up every day loving what you do. Dani DePetrillo. CEO
”
1.844.635.3223
If you are interested in pursuing success with significance, lets talk.
brenda@rightathomecanada.com | www.rightathomecanada.com
INDUSTRY NEWS
Your source for what’s happening in Canadian franchising CFA Members Make Entrepreneur’s 2019 Franchise 500 List Congratulations to the CFA members who have made Entrepreneur magazine’s 2019 Franchise 500 List. Recently unveiled by Entrepreneur, the annual list recognizes the top franchise systems of the year, ranking them based on brand strength, size, support, financial strength and stability, and more. McDonald’s® was awarded the coveted top sport on the list, while fellow CFA members, The UPS Store, Planet Fitness, Great Clips, Baskin-Robbins and Kumon Math & Reading Centres all made their way into the top fifteen. Pur & Simple Opens Fifth Restaurant in Ontario This past February, Pür & Simple Breakfast and Lunch opened its fifth franchise location in Burlington, Ontario. Burlington, Ontario. The breakfast and lunch franchise has experienced significant growth since opening its first restaurant in Laval, Quebec in 2016. The concept was an instant success with 4 new restaurant openings in its first two years of operation. Despite increased competition within the breakfast segment, the Pür & Simple brand continues to experience tremendous growth highlighted with 15 new restaurants already slotted for opening by the end of 2019 and the first quarter of 2020. According to the company’s President & CEO, Derek Massad, the brand’s growth is due to continuous investment into innovation, research and development. “The quality of our products has always been the heart of our franchise system. We are constantly working on creating new and crave-able menu items as well as focusing on hospitality and
12 Canadian Franchise Association
guest experience. In an increasingly competitive industry, consumers are searching for authenticity and transparency. It is this exact philosophy that brought Pür & Simple to fruition and we strive to deliver this to our valued guests every single time they step into one our restaurants.” The success of the chain is in large part due to the dedication and commitment of the franchise partners. The new restaurant in Burlington is owned by Mansoor Nishat, a true entrepreneur and visionary. “My wife and I are thrilled to be joining the Pür & Simple family. We truly believe in the menu and are excited about the direction the company is heading with it’s great leadership and hospitality culture. Our plan is to open a new Pür & Simple restaurant every year.” Pür & Simple currently has presence in Ontario, Quebec and the Maritimes but will be rolling out an aggressive expansion plan that will include Central and Western Canada. Pür & Simple’s goal by 2021 is to have presence coast to coast and aims to be the premier breakfast and lunch destination in Canada. Sunset Grill Helps Curb Cancer with $1 Pancakes In honour of Shrove Tuesday on March 5, 2019, Sunset Grill franchised locations across Ontario donated $1 to the Canadian Cancer Society (CSS) for each pancake sold. The funds raised support the CSS’ research, support services for patients and their families, among other important initiatives. “It is important for us to work together as a community to contribute to the well-being of those around us,” said Angelo Christou, founder and CEO of Sunset Grill Restaurants
www.cfa.ca | www.FranchiseCanada.Online
Ltd. “That’s why we have been continually committed to supporting such a life-changing cause through Sunset Grill’s annual Pancake Tuesday event.” Sunset Grill has donated more than $97,000 to CCS since the launch of the campaign in 2009. In 2018, more than $24,000 was donated to help fuel the work of the country’s leading cancer charity. New this year, Juice Concepts, Sunset Grill’s fresh juice supplier, also donated $1 from every glass of fresh orange juice sold at Sunset Grill franchised location on the day of the event. “At the Canadian Cancer Society, our vision to create a world where no Canadian fears cancer is only achievable if we work collectively with people united by the same goals. We could not improve the cancer experience by helping people live longer and enhancing their quality of life, without the support of our corporate partners and donors. It’s for these reasons that we are very thankful for the contributions of Sunset Grill,” said Carly Schur, the charity’s national director of corporate programs. Inspiration Learning Center Helps Ontario and Vancouver Entrepreneurs Inspiration Learning Center (LLC), one of the largest and fastest growing tutoring centers in the Greater Toronto Area, is targeting Ontario and Vancouver for expansion. With 14 centers nationally, and growing in the GTA and Calgary, the company recently announced plans to open 10 additional locations through franchise partnerships and strategic development. The new locations will create approximately 100+ new jobs in both the Ontario and Vancouver communities this year alone.
INDUSTRY NEWS ILCs Canadian expansion is led by Director and Founder, Angel Kuang. With their innovative approach to teaching that uses the best of both Eastern and Western teaching styles, ILC has proven both franchisee growth, as well as a high student success rate. This winning formula has led to plans to open 10 new locations per year in Ontario including Stouffville, Vaughan, Hamilton, Burlington, Barrie, Ajax, Downtown Toronto and other GTA areas, as well as Vancouver. “Both Ontario and Vancouver are home to a diverse population of students and their families. We couldn’t think of better locations for our expansion. We look forward to helping to develop the young minds of the future generation in both of these regions and to help students reach their full potential,” says Kuang. ILC locations are owned and operated by people with diverse backgrounds who are passionate about education. Ongoing franchisee support and their business model based on offering tutoring, high school credit programs, educational consulting and retail have significantly contributed to their success. ILC has a comprehensive franchisee training program to guide franchisees through every step of the process. From lead generation programs and cutting-edge technology, to branding campaigns, and individualized learning plans, ILCs support is second to none. IHOP Will Open First Atlantic Canadian Location in Moncton, NB The International House of Pancakes (IHOP) announced earlier this year that they will open a location in the Hub City by the end of 2019.
The well-known restaurant chain serves more than 14 types of pancakes and various breakfast, lunch and dinner items. As of 2016, there are 1,695 IHOP locations in the U.S., Canada, Bahrain, the U.A.E., Guam, Guatemala, Kuwait, Mexico, Panama, The Philippines, Puerto Rico, Qatar and Saudi Arabia. The first restaurant opened over 60 years ago in Toluca Lake, Los Angeles. Express Employment Has Record-Breaking Year with $3.56 Billion in Sales Express Employment Professionals 35th year of business proved to be one of breaking records, innovative technology and topping lists. The staffing firm saw a record $3.56 billion in sales in 2018, up 5 per cent from the previous year and found jobs for more than 566,000 people, a 5 per cent increase year-over-year. “Our franchise owners, their teams and everyone at Express International Headquarters work tirelessly day in and day out to help make sure families can put food on the table,” said Express CEO Bill
Stoller. “What sets Express apart from other companies is our culture of servanthood. We believe our continued success comes from the idea that if we put people first, everything else will fall in line.” Express now boasts more than 800 franchise locations in the United States, Canada and South Africa, and has made it easier than ever for job seekers in North America to connect with local offices through the rollout of the ExpressJobs app. This much anticipated app was a significant step in the digital transformation of the company, offering real-time, location-based services for job seekers and current Express associates. “Whether at our international headquarters or at one of our more than 800 offices, we had an incredible 2018 with so many milestones and successes,” Stoller said. “We have big plans for 2019, which include technology upgrades, associate appreciation programs and continuing to strive to put a million people to work, annually, just to name a few. This is an exciting time to be part of the Express family!”
Canadian Territories Available in the BOOMING Senior & Healthcare Markets
• • • •
Wheelchair Ramps, Lifts & More Home-based Business Established Brand Low investment, low overhead Call today for more information
888-887-1186 | franchise.amramp.ca Franchise Canada May | June 2019 13
ADVERTORIAL
Backed by Experience A seamless business process backed by a franchisor with more than 80 years of combined experience puts Elite Trade Painting franchisees on the path towards success
F
or those in the professional painting trade, there’s no better reward than seeing your crew transform a client’s home or business into a beautiful space. For franchisees with Halifax-based Elite Trade Painting, completing a successful painting job is a great source of personal reward. Luckily for them, there’s no shortage of projects to fulfill. What sets Elite Trade Painting apart from other offerings in the residential and commercial painting space, from a franchisee’s perspective, is the system’s innovative franchise technology systems. Utilizing state-of-the-art software and CRM (Customer Relationship Management) tools, Elite Trade Painting has developed a seamless business flow process that saves time, insures quote accuracy, increases sales, and reduces costs to maximize profits and productivity. The bottom line: Franchise owners can spend less time managing
project proposals, employee communication, pricing, expenses, billing and payroll, and more time growing the business or enjoying an ideal work-life balance. It all amounts to a system that automatically follows up with leads and invoicing to save time and produce better results. Based on three years of reporting, Elite Trade Painting franchises see an average contract signing rate of 42.5 per cent, an average job value of $3,400, and $415,000 in average yearly production, with the system’s top units producing over $1 million. “One of our greatest successes is the ability of our franchisees to operate in the most effective and cost efficient way possible,” explains President Mike Benteau, who’s been in the painting business for more than 35 years. “This is achieved through our many years of experience operating within the painting contracting industry. This success can also be attributed to our systems, which
include our advanced business management software.” The Right Franchise Fit When Benteau began Elite Trade Painting back in 1991, he did so with a simple value proposition: Provide the highest quality painting and customer service for all residential and commercial customers at a reasonable price. Benteau began franchising the Elite Trade Painting concept in 2012. Since then, the franchise has expanded across the country, with locations in British Columbia, Alberta, Ontario, New Brunswick, Nova Scotia, and are currently working to expand in all of the provinces of Canada. To join the Elite Trade Painting family, a prospective franchisee will need between $85,000 and $110,000 to invest with the system. They’ll also need to operate within a territory that has a minimum population of 150,000. In return, they’ll benefit from the procedures, policies, and
ADVERTORIAL
Before
general operations that have been built upon a foundation of over 80 years of combined corporate experience in the painting business. In prospective franchisees, Benteau says he looks for candidates with experience in sales within the home service or trades industry, however, sales experience in any sector is an asset. Elite Trade Painting franchisees should also possess stellar interpersonal skills, as they will be managing staff, speaking with clients, and interacting with suppliers. “Our potential franchisees come from a wide variety of backgrounds and have diverse experience. These include people who have worked in skilled trades, and those who have not. Ultimately, it comes down to their motivation, organizational skills, and the assets that they bring from their past experience,” says Benteau. Franchisor and franchisee: Partners in success Franchisees in the Elite Trade Painting system aren’t investors, they’re partners. According to Benteau, the franchisor-franchisee relationship within his system is all about balance. “We best describe our relationship as a partnership between two equal individuals,” he explains. “Our franchisees leverage our resources,
After
experience, and services to achieve their targets and goals. We work with our franchisees to answer questions, provide guidance, and consultation to ensure that their business runs in a cost effective and efficient manner.” The Elite Trade Painting corporate team has been in the trenches, and is eager to impart their wisdom onto franchisees in the form of extensive on-going support. Initial training includes a week of training sessions held at head office, field training to familiarize franchisees with operations and working directly with clients, techniques for painter training, and access to an online learning portal with manuals, videos, and testing. From a marketing standpoint, the Elite Trade Painting head office provides franchisees with marketing materials, branded clothing as well as design work to fulfill a wide range of marketing needs. All franchisees are set up with a locally SEO-optimized website specific to their business. What’s more, they provide support with traditional and digital marketing programs, their National Marketing Program, ongoing social media management options and reputation management. In addition to this, they also provide payroll and accounting services for all franchisees. n
For more information about Elite Trade Painting franchise opportunities, contact: 1.877.663.5483 • info@elitetradepainting.com
ADVERTORIAL
TOOLS OF THE TRADE
With extensive product knowledge and a customer-first attitude, Snap-on Tools franchisees keep Canada’s engines running
T
here are more than 33.7 million vehicles registered in Canada. With billions of kilometres on the odometers of those vehicles, Canadian drivers rely on the country’s more than 23,000 automotive repair and maintenance providers to keep those engines purring. And those hardworking auto mechanics with the know-how needed to service those vehicles? Well, they rely on the tools of the trade. That’s where Snap-on Tools comes in. Every day, Snap-on franchisees start up their trucks, or as Snap-on Tools’ Director of Franchise System Tom Kasbohm calls them, “showrooms on wheels”. The fully merchandised mobile store hits the road to sell tools to professional mechanics and other clients who furnish their own tools as part of the day-to-day operation of their business. “Snap-on Inc. has a 99 year legacy of providing innovative productivity solutions to our customers,” explains Kasbohm of the franchise concept. “The Snap-on Tools of Canada LTD. (Snap-on) franchisee offers product solutions from Snap-on’s extensive line of over 33,000 products and another 6,500 products distributed by Snap-on Tools. A Snap-on Tools franchisee brings personal service, innovative solutions, and financing options directly to the customers working in the bays, where they perform critical tasks and repairs.”
Working from a protected list of clients, a Snap-on franchisee visits many mechanic shops a day either to make a sale, follow up with a client, provide a quote, or collect payment. Serving not only mechanics in the automotive space, Snap-on franchisees also provide equipment to clients in a wide range of other sectors, including aviation and aerospace, construction, manufacturing, mining, oil and gas, and more. Franchisees come from many different disciplines and have many different skills sets, but they all have one thing in common: a commitment to delivering top-notch customer service. In addition to acting as a knowledge base of the Snap-on brand’s extensive product line – which includes everything from tool storage solutions to hand tools, power tools, and diagnostic equipment – Snap-on franchisees are people persons. “The typical Snap-on franchisee exhibits personal discipline, is goal and customer service orientated, and enjoys a relationship-based business,” says Kasbohm. “The Snap-on franchisee regularly services their list of calls and establishes a strong personal relationship with the customer.” Snap-on franchisees are motivated entrepreneurs, with each franchise owner establishing their own goals and benchmarks for success. As business-owners, Snap-on franchisees are the authors of their own success, but they’re not in it alone.
The franchise provides extensive initial classroom training and three additional weeks of on the mobile store training. Snap-on’s extensive training programs help equip franchisees with the skills and knowledge they need to establish relationships with their customers and familiarize themselves to the products they’re selling. Once the franchise is up and running, the franchisor offers on-going support in the form of franchise performance team members who offer ongoing training, monthly product plans, and marketing strategies. In addition, the franchisee is encouraged to attend annual meetings, such as the Franchisee Kick-Off and Snap-on Franchise Conference, to continually hone their skills and better achieve their business goals. “Together, Snap-on and Snap-on franchisees work to build the brand. We know that together, we can improve the franchise experience,” Kasbohm explains of the system’s franchisor-franchisee relationship dynamic. “Franchisees often take advantage of the services offered by Snap-on’s performance team, attend training meetings, and participate in the National Franchisee Advisory council. We strive to be the franchisor of choice and are proud to be recognized by Franchise Business Review with the Franchise Satisfaction Award for 12 years running.” n
TO LEARN MORE ABOUT SNAP-ON FRANCHISE OPPORTUNITIES, VISIT WWW.SNAPONFRANCHISE.CA
COVER STORY
KEEPING UP WITH THE BOOMERS
As Canadians born between 1946 and 1964 get older, demand for senior care services has grown exponentially. These five franchise systems are eager to help. BY KYM WOLFE
C
anada’s population of baby boomers – those born between 1946 and 1964 – is getting closer and closer to retirement. For franchise systems operating in the senior care sector, this is good news. The first baby boomers turning 65 in 2011 led to the largest increase (+20 per cent) in the number of people 65 years of age and older in Canada in 70 years, according to Statistics Canada. This rapid increase in the number of Canadians 65 and older since 2011 has led to a growing demand for home and senior care service providers that offer seniors transportation, healthy meals, independent living assistance, and more. Luckily, the franchise model has stepped in to meet this massive demand. Franchise systems and their franchisees are prepared to help with a wider range of senior care service. From medical and non-medical in-home care to services that help seniors maintain mobility, proper nutrition, and independence, franchises assisting the growing senior population in Canada provide a variety of services as diverse as the demographic they serve. Here, Franchise Canada takes a look at five franchises that are helping Canada’s seniors live full, independent lives.
Franchise Canada May | June 2019 17
COVER STORY
Driving Miss Daisy Driving Miss Daisy isn’t simply a transportation service. The franchise also provides assistance and accompaniment to improve quality of life for seniors and people with disabilities or special needs. “We call ourselves ‘caregivers with cars’,” says Elfriede Lane, who operates Driving Miss Daisy in Niagara Region, Ontario with her husband Terry. “We saw a need for this kind of support service for seniors during my mother’s own experience with deteriorating health and independence,” says Lane. As they investigated the logistics of starting a business to help seniors preserve their independence and prevent social isolation, their research led them to Driving Miss Daisy. “We thought, there’s no need to reinvent the wheel. This brand aligned with our vision and values, had best practices in place, and was a reasonable investment for the potential return. The rates we get on vehicle insurance and liability as a franchise we would never be able to get on our own. Plus it’s a great name – it’s our best advertising!” The husband-wife duo appreciates the support and guidance they have received from Driving Miss Daisy’s head office, including navigating startup issues. They
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also value the autonomy they have, within franchise guidelines, to customize services to suit the local community, and to grow in a way that works best for them. “We started with one vehicle – a small SUV – and have added two wheelchair vans and a small multi-passenger van,” says Lane. “Different franchisees might make different choices.” Whether accompanying a client to a medical appointment or to board a flight, or driving a vanload of clients to a local community support agency, the Lanes say the best part of running a Driving Miss Daisy franchise is the people they meet and the relationships they build. Their only regret? “We wish we had done it sooner!” DRIVING MISS DAISY STATS Franchise units in Canada: 53 Franchise fee: $20K Investment required: $45K approx., includes vehicle Training: Training manual; ride along; on-going support and mentoring Available territories: All of Canada In business since: 2002 Franchising since: 2002 CFA member since: 2010
www.cfa.ca | www.FranchiseCanada.Online
COVER STORY
Bonus video content on FranchiseCanada.Online!
Heart to Home Meals Chetan and Roshni Bahl have training and experience in the hospitality industry, but they say that customer service and relationship building skills, coupled with being caring, empathetic and patient, are equally important to the success of their Heart to Home Meals franchise in Edmonton. “Growing up in India, my grandparents helped raise me and all generations shared family meals,” says Chetan. “We are committed to helping seniors improve the quality of their lives by offering a choice that makes it easier for them to live more independently. Having more control over your diet has tremendous health benefits.” They chose to become a franchise partner with Heart to Home Meals mainly because the franchise aligns with their values and expertise. “You feel satisfied at the end of the day, when you realize how important independence is to seniors,” explains Chetan. There were other reasons, including Heart to Home Meals’ high-quality and great-tasting product line (over 200 frozen soups, entrees, and desserts, with meals designed by nutritionists); a user-friendly print and online catalogue (food items are colour-coded, with a range of dietary choices from low sodium, no sugar, or high fibre to gluten-, dairyor peanut-free); training, support, and backing provided by the franchisor; and financial accessibility (reasonable
franchise and start-up fees, no royalties – franchisees are only charged for the food they order). Heart to Home Meals is not a subscription service clients order what they want, when they want. “We do a lot of marketing to seniors’ centres and also work with hospitals and dieticians. When a client has a list of allowable foods, it can be time consuming to assemble and prepare meals with those dietary restrictions,” says Roshni. Heart to Home Meals offers a convenient alternative, with free delivery to the client’s home by helpful and caring staff who have been empowered to do the little things that help build relationships and a loyal client base. HEART TO HOME MEALS STATS Franchise units in Canada: 12, International: 75 Corporate units in Canada: 5 Franchise fee: $40K Investment required: $150-$200K Start-up capital required: Up to $150K in Year 1 for initial investment Training: Orientation with travel, initial, and ongoing Available territories: Ontario, Manitoba, Nova Scotia In business since: 2007 Franchising since: 2009 CFA member since: 2009
Franchise Canada May | June 2019 19
COVER STORY
Just Like Family Home Care Jen Dimatatac worked in the home care field for 10 years as a caregiver, then a registered nurse, and had looked into working independently when she discovered Just Like Family Home Care. “Starting by yourself in a competitive field is very hard. Being part of a franchise system is extremely useful,” she says. “This was one of the more affordable franchises. They have great training and marketing programs, excellent 24/7 support in all stages of growth, their system is easy to follow, and everybody is very professional and friendly.” Dimatatac finds the franchise-supplied software systems are useful for scheduling staff, and tracking and billing clients. If she has any questions the corporate office responds quickly. Dimatatac does little front-line work these days, relying on her team of 20 staff members to provide in-home services to clients. While franchise owners need not have experience in nursing services, Dimatatac says that her background has been helpful for her to fill in when unexpected staff absences arise. “Helping seniors with everything they need to have a happier and safer life is what motivates me and our caregivers,” she says. The company's services – which
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include personal care, companionship, home support, and overnight/live in care – are personalized to meet the needs of individuals, to enable them to continue living in their own home. When she was originally researching and considering different options, Dimatatac was first drawn to Just Like Family by the name. “I've always tried to treat my clients the same way I would treat my family members,” she says. “With what Just Like Family teaches you, if you always follow the system and are 100 per cent committed, heart and soul, anybody can be a successful franchisee.” JUST LIKE FAMILY HOME CARE STATS Franchise units in Canada: 3 Corporate Units: 2 Franchise fee: $26K Investment required: $43K Training: Yes Available territories: All of Canada In business since: 2010 Franchising since: 2016 CFA member since: 2016
www.cfa.ca | www.FranchiseCanada.Online
COVER STORY
LIVE WELL Exercise Clinic LIVE WELL is a medical fitness clinic specializing in supervised exercise and healthy-lifestyle coaching for the prevention and treatment of chronic health conditions, such as heart disease, diabetes, hypertension, and obesity. Vancouver franchisees, husband-and-wife team Andrew Taylor and Tory Brooks-Hill, are excited about the emerging medical fitness industry and their ability to have a positive impact on the health of seniors. “Regardless of current activity levels or health status, regular exercise is the best first line of treatment and prevention for any chronic health condition,” says Brooks-Hill. “But each person needs to know ‘what is safe for me, based on my personal health history?’” Clients are often referred to LIVE WELL by family doctors. A LIVE WELL Clinical Exercise Physiologist will design a unique program for each client, and vitals will be monitored in every exercise session. For people with a sedentary lifestyle, starting an exercise program can be daunting. LIVE WELL facilities are designed to not look like a traditional gym, and exercise programs are in a small-group setting and designed to be fun and social. Being part of an emerging trend has both advantages
and challenges, says Brooks-Hill. “With the large baby boomer population there is an opportunity to work with a significantly large demographic. But being in a new industry means there is no blueprint for success—as each new clinic opens, we learn from each other and continuously improve as a franchise system.” “We did a lot of due diligence. This franchise has a strong training program and lots of ongoing support, easy to use systems, weekly coaching calls, and assistance to help grow the business. We currently have two clinics, and we’re looking at opening a third location.” LIVE WELL EXERCISE CLINICS STATS Franchise units in Canada: 22 Corporate Units: 2 Franchise fee: $40K Training: 8-12 weeks of online pre-training, one week of in-house training and ongoing online training and coaching calls post-launch Available territories: All of Canada In business since: 2011 Franchising since: 2016 CFA member since: 2017
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COVER STORY
Prep’n Sell The aptly named Prep’n Sell helps homeowners prepare their home before it goes on the market. “Typically, I will get a call from a real estate agent to do our ‘reno magic’ to make sure a home shows well,” says west coast franchisee Richard Foster. “If it’s a home that a family has been living in for two plus decades, styles might be dated or they might not have kept up with small repairs.” Whether it’s cleaning, de-cluttering, fixing, painting, renovating, roofing, moving items, or some other task, Prep’n Sell offers a one-phone-call solution – and that, says Foster, is one of the things that makes this business concept stand out. “I’ve had rental properties and flipped houses, but what drew me to Prep’n Sell is that it is a unique idea,” says Foster. He could have run a similar business running solo, but “I wanted to hit the ground running instead of spending a couple of years before I got it right. It’s a relatively inexpensive franchise to buy into, and you can be profitable quite quickly.” While Foster has a handyman background, that’s not a requirement. “Ideally I’m not on the tools, I’m out meeting with customers. Reno knowledge would be helpful,
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and it’s important to be able to know what to look for, but it’s more important to have excellent communication skills and to be good at networking. Most of the time you’ll be working with realtors, subcontractors, the trades, and of course customers.” Lining up good people to do the actual work and keeping them happy is one of the business’s biggest challenges, says Foster. He keeps about a dozen workers busy, including painters, electricians, plumbers and general handymen. “I throw them a lot of work, and I pay as soon as I know the client is happy, so when I call they put me at the top of the pile.” PREP’N SELL STATS Franchise units in Canada: 7 Corporate units in Canada: 1 Franchise fee: $27,500 Investment required: $35,000 Training: 7 weeks Available territories: All of Canada In business since: 2002 CFA member since: 2004
www.cfa.ca | www.FranchiseCanada.Online
P SI SU RO N CC VE C E N E S 20 S 10
www.justlikefamily.ca
Home Care Services | Customized Care Plans Care Services in private homes, assisted, and independent living facilities
What do we do? •
Help seniors stay safe and happy in their own homes by creating customized care plans that boost quality of life.
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Offer help with personal care, companionship and home support, on hourly, overnight and 24/7 live-in basis.
•
Provide friendly and professional care with bonded and insured staff from diverse backgrounds.
Visit www.justlikefamily.ca for details or call 604.440.3331
Own your Franchise Operate a low cost, profitable and long term business in the booming field of senior care, while making a great impact in your community. •
Proven success and tremendous year over year growth since 2010
•
The lowest franchise fee in the senior care field and affordable royalty fees
•
Large protected territory with high aging demographics
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Comprehensive training and 24/7 support to set up and run your franchise
Rise and Shine! BREAKFAST RESTAURANT FRANCHISES ACROSS CANADA It’s considered by many to be the most important meal of
the day, so there’s a good reason why most franchise systems operating in the food service sector have placed a heavy focus on their breakfast offerings. From savory pancakes and waffles to classics like eggs and sausage, quick service, fast casual, casual, and full-service restaurants alike are wise to ensure that they’re providing their customers with the right food to fuel their day. Whether they solely focus on this first meal of the day, or offer a strong breakfast menu in conjunction with lunch and/or dinner, these brands offer opportunities for franchisees to get off to a good start in franchising, while their customers get off to a good start with a balanced breakfast.
Franchise Canada May | June 2019 25
RISE AND SHINE!
Ben & Florentine Restaurants Inc.
Cora Breakfast and Lunch
At Ben & Florentine, it’s all about food! From hearty breakfasts to healthy lunches, all Ben & Florentine food is lovingly prepared with the freshest and finest ingredients. The franchise is committed to creating and delivering the finest dining experience in the breakfast and lunch industry with restaurants that are designed to create the perfect atmosphere for spending quality time with friends, family, and a great place for business meetings.
With close to 130 locations coast to coast, Cora Breakfast and Lunch is the largest sit-down breakfast operation in Canada and the chain’s growth continues, with many more openings slated in the coming months. Cora offers customers quality food and service in a warm family atmosphere.
Take charge of your future today! Start your own business by joining the Ben & Florentine family! The franchise is committed to creating and delivering the finest dining experience in the breakfast and lunch industry. By joining the family, you will benefit from a turnkey concept supported by a wellestablished team. They will assess your objectives, guide you through the franchising process, and support you from start until success! Their goal is to be the premier franchise in the breakfast and lunch industry. Franchise units in Canada: 57 Corporate units in Canada: 1 Franchise fee: $35K Investment required: $550K $650K Training: 8 weeks Available territories: All of Canada In business since: 2008 Franchising since: 2008 CFA member since: 2010
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As a Cora franchisee, you will benefit from a successful brand recognized as Canada's number one breakfast and lunch chain, a proven, innovative business model that serves original, high-quality product, a concept with an established, transferable operating system designed to meet rigorous standards, and a privately owned enterprise operated by a team whose core values are integrity, enthusiasm, and professionalism. Cora is seeking enthusiastic individuals looking for a good work-life balance. If you feel you have the passion and drive to become a Cora franchisee, they’d like to hear from you. To learn more, contact their franchise department at franchising@ chezcora.com or visit chezcora.com for more details. Franchise fee: $45K Training: 4-6 Weeks of training Available territories: All of Canada In business since: 1987 Franchising since: 1994 CFA member since: 2018
www.cfa.ca | www.FranchiseCanada.Online
Crepe Delicious Crepe Delicious is Canada's largest and fastest growing mall-based creperie and gelateria, specializing in the creation of world-class sweet and savoury crepes and handcrafted gelato. Serving breakfast, lunch, dinner and dessert, Crepe Delicious offers fresh, nutritious and tasty food for people on-the-go. Their signature crepe batter is only 170 calories and three grams of fat and filled with the finest and freshest ingredients. Their premium gelato is a perfect complement to a specialty crepe. Crepe Delicious is expanding! Not just a few stores here and there, but a comprehensive expansion plan to develop their national presence throughout the Canada, the U.S., as well as in international markets. Crepe Delicious is confident in their continuing success with a goal to grow the brand and share this achievement with the best owner-operators – like you! For more franchising information, visit https://www.crepedelicious.com/ franchise. Franchise units in Canada: 35, International: 10 Corporate units in Canada: 1 Franchise fee: $25K Investment required: $150K-$350K Training: Pre-opening training, grand opening support, on-going support Available territories: All of Canada, U.S., International CFA member since: 2009
RISE AND SHINE!
Eggsmart
Eggspectation
Eggsmart is more than a place to get breakfast; it's an excellent place to get together with friends and family before work or on weekends. Eggsmart has a cozy environment that is warm and inviting, offering comfort and convenience while providing great food choices at affordable prices. Although relatively new, Eggsmart currently operates 48 locations in Ontario and is currently developing two locations in Calgary, Alberta.
Eggspectation is an innovative upscale-casual dining restaurant concept. Founded in 1993, Eggspectation restaurants are known for their brunches. With extensive all-day menu choices, Eggspectation offers a unique experience. From breakfast to brunch, lunch to coffee and dessert time to happy hour and dinner, Eggspectation is the place to kick back in style with friends, family and business associates, and enjoy good times in this unparalleled environment.
Eggsmart® currently has over 40 locations and continues to focus on growth throughout Canada and internationally. Eggsmart is dedicated to building strong franchise relationships with people who have a passion for the fresh food industry and a drive to succeed. No experience is required! If you are interested in owning an Eggsmart franchise, visit www.eggsmart.com/franchising_ program to find out more about what’s required. Franchise units in Canada: 45 Corporate units in Canada: 3 Franchise fee: $25K Investment required: $275K $405K Training: Yes Available territories: All of Canada In business since: 2008 Franchising since: 2011 CFA member since: 2008
Eggspectation Restaurants is your opportunity to become a strategic franchise partner with one of North America’s most innovative, fast growing, upscale, and casual dining restaurant companies. The franchise would be delighted to begin a dialogue with you about the possibility of joining their team. Visit www.eggspectation. com/franchise/ for more details. Franchise units in Canada: 13, U.S.: 7, International: 6 Franchise fee: $50K Investment required: $500K - $1M Training: 10 weeks Available territories: All of Canada, U.S. In business since: 1993 Franchising since: 1998 CFA member since: 2011
Humpty’s Restaurants International Inc. A full-service family restaurant with an award-winning breakfast, lunch, and dinner menu. Available during all hours of operation, the menu features a wide selection of choices from omelettes and grillcakes to wraps, gourmet burgers, and delicious dinner selections. Special consideration is given to seniors and children under 10 with our Emerald Plus program and Kids Eat Free Fridays. Humpty’s Restaurants International Inc. (HRII) has developed restaurant concepts and operating systems that require lower levels of franchisee experience, fewer menu changes and less refurbishment to be profitable and competitive. They provide comprehensive training, support, restaurant operations, purchasing, and marketing systems to minimize franchisee risk. Humpty’s places a great deal of importance on systemwide procedures and operating standards to ensure store-level foodservice, food quality and operating efficiencies are maintained and continually improving. Franchise units in Canada: 43 Corporate units in Canada: 2 Franchise fee: $30K Investment required: $550K $750K Training: 7 weeks Available territories: All of Canada In business since: 1977 Franchising since: 1986 CFA Member since: 1995
Franchise Canada May | June 2019 27
RISE AND SHINE!
IHOP
Ricky’s All Day Grill
Smitty's Canada Inc.
IHOP opened its first restaurant in Southern California in 1958, and in the ensuing six decades has grown to more than 1,700 locations worldwide by serving their world famous pancakes and a wide variety of breakfast, lunch, and dinner items with warm hospitality that has become recognized the world over. Ranked "#1 in Family Dining" by ‘Nation's Restaurant News' annual Top 100 issue for the past 10 years, IHOP has brand awareness and appeal to a wide demographic, which makes becoming an IHOP franchisee a unique and exciting experience.
Ricky's All Day Grill is part of The Ricky's Group of Family-Style Restaurants with more than 85 locations in British Columbia, Alberta, Yukon, Saskatchewan, Manitoba, and Ontario. Ricky's has three dayparts (breakfast, lunch and dinner). Restaurant sizes are typically from 2,800 to 3,500+ square-feet and usually serve as endcaps in power centres or free-standing buildings.
Smitty’s is a full-service family dining restaurant and lounge offering guests wide menu variety, specializing in All your Favourites All Day Long! As a category leader in the family market, Smitty’s franchisees benefit from strong brand awareness and customer loyalty.
IHOP is currently celebrating its 50th year in Canada, where it opened its first truly International House of Pancakes in 1969 and continues its growth and expansion throughout the country. Franchise units in Canada: 28, U.S.: 1,703; International: 126 Franchise fee: $40K USD Investment required: $1.5M - $3.0M CAD; varies by asset type/size Training: 6 weeks Available territories: Ontario, Quebec, Yukon, Nunavut, Northwest Territories In business since: 1958 Franchising since: 1960 CFA Member since: 2006
Outstanding value and a family-friendly atmosphere are hallmarks of all Ricky’s restaurants across Canada, where mouth-watering menu options and welcoming staff have kept customers coming back for generations. The franchise is proud of the supportive, customer-focused culture they’ve built and the corresponding success of the Ricky’s franchise brand. The system offers a variety of franchise options featuring menus that delight, a tried and true system for business success with a nationally supported network and low start-up costs. All of this adds up to an enviable opportunity for any aspiring entrepreneur. Franchise units in Canada: 81 Corporate units in Canada: 5 Investment required: $650K $950K Training: Complete hands-on training + strong support Available territories: British Columbia, Alberta, Manitoba, Saskatchewan, Ontario, New Brunswick, Nova Scotia In business since: 1962 Franchising since: 1978 CFA Member since: 1999
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www.cfa.ca | www.FranchiseCanada.Online
The Smitty’s franchising department is continually searching for new locations. Smitty’s Canada insists on approving all proposed sites. The franchise fee includes professional experience in locating and evaluating each potential site. Evaluation includes, but is not limited to, existing competition, traffic patterns, sales generators such as shopping centers or hotel/motels, site accessibility, and demographics. Smitty’s draws on many years of experience in the selection process and knowledge in lease negotiations to provide assistance for you and your lawyer. Franchise units in Canada: 78 Franchise fee: $35K plus GST Investment required: Minimum $250K cash Training: Yes Available territories: All of Canada In business since: 1960 Franchising since: 1960 CFA member since: 2008
RISE AND SHINE!
®
Breakfast & Lunch
Sunny Morning
Sunset Grill
In 2012 Sergio and Freddy opened their first little restaurant in the Yonge and St. Clair area of Toronto with the idea of serving the best, freshest, made-toorder breakfast and lunch fare, with no processed or pre-cooked ingredients. It was an instant hit. In 2014 they opened their flagship location on The Queensway in Etobicoke and already Sunny Morning is expanding further into different parts of southern Ontario.
Owner-operated Canadian breakfast franchise featuring fresh grilled breakfast and lunch prepared in an open kitchen. California-inspired, serving up fresh ingredients, healthy cooking methods, and sourcing local wherever possible. An attractive oneshift operation (7 a.m. -4 p.m. daily) allows you to spend quality time with your family – without worrying about the business. Enjoy excellent potential income and generous net profits (up to 20 per cent profit on net sales). A proven concept since 1985.
So let's get together for breakfast! Join the brand that serves the freshest food in awesome portions at a great price. Sunny Morning calls it honest food, and it's one of the many reasons their customers keep coming back for more. Own a business that gives you profitability and quality of life (business hours are 7 a.m. to 3 p.m.). The franchise program covers all aspects of opening and operating your own location at a relatively low cost. Franchise units in Canada: 4 Corporate units in Canada: 1 Franchise fee: $30K Investment required: Capital costs $400K - $490K Training: 5-6 weeks Available territories: Ontario In business since: 2012 Franchising since: 2013 CFA Member since: 2014
Sunset Grill is focused on growing their franchised units across Ontario, Alberta, and select U.S. and international markets. The chain will concentrate on high traffic and highly visible street locations in addition to freestanding pad sites and end caps with patio (where possible). Street units require 1,000 to 1,500 square feet with basement areas while pad units require approximately 2,200 square feet. Franchise units in Canada: 85, U.S.: 2 Franchise fee: $55K Investment required: $635, 500 (includes Franchise Fee) Training: Before and after opening Available territories: Ontario, Alberta, U.S. In business since: 1985 Franchising since: 2003 CFA Member since: 2003
Tutti Frutti Breakfast & Lunch Tutti Frutti Breakfast & Lunch is a premium breakfast and lunch restaurant with a complete selection of breakfast plates from traditional to fresh fruit plates. For the past 20 years, Tutti Frutti has been inviting people of all ages to rendez-vous with the delicate pleasures of having breakfast together. Taking their time to prepare exquisite meals made with the freshest ingredients, combined with a craftsman’s legendary passion, gives Tutti Frutti the chance to witness the power of everything the earth has to bring to our lives. Tutti Frutti Breakfast & Lunch encourages those wishing to learn more about franchising opportunities to contact their franchising department. Visit tuttifruttidejeuners.com to learn more. Franchise units in Canada: 32 Corporate units in Canada: 3C Franchise fee: $35K - $40K Investment required: $500K $650K Training: Yes Available territories: All of Canada, U.S., International In business since: 1992 Franchising since: 1996 CFA Member since: 2008
Franchise Canada May | June 2019 29
We are always interested in speaking with operators who are serious about food, who understand how to grow a brand, and are considering multi-unit franchising opportunities in the Greater Toronto area.
To learn more, contact: Dan Lecocq Dan.Lecocq@dinebrands.com +1 (818) 637-3069
Celebrating 50 years in Canada
The Homemakers Managing a happy home can be frantic, but these home care franchises make taking care of household drudgeries a breeze BY JORDAN WHITEHOUSE
A
ccording to Stats Canada, there were over 14 million households in Canada at last count (2016). That’s up from around 12 million in 2006. That means a lot more people needing their homes cleaned, fixed, renovated, organized, and serviced than ever before. Couple this with an aging population requiring more help at home, and it’s easy to see why many experts think the home care industry is on firm ground for years to come. So, what’s it like to actually run a business in the home care space? Well, Franchise Canada caught up with franchisees working in interior cleaning, exterior cleaning, repairs and maintenance, storage, and meal planning. Here’s what they told us.
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THE HOMEMAKERS
MaidPro Co-founder: media production agency. Director: summer camp. Franchisee: home cleaning service. Thornhill franchisee Jonathan Shelson’s last three career moves don’t seem to have much in common, but there’s definitely a positive evolution, he says. And he’s glad it led to MaidPro. With the first two careers, he learned that he wanted
e c n e i r e p Ex Cora difference the
A specialized breakfast restaurant, Cora serves home-style gourmet breakfasts and unique lunch meals the whole family will enjoy. Open typically from 6 a.m. to 3 p.m., the Cora concept offers a balance between your business and personal life.
Become part of the Cora family! If you’re an enthusiastic entrepreneur with passion and drive, and you are interested in brightening up your business life, please contact:
Jim Jenkins
Senior Franchise Recruiter 905 673-2672, ext. 264, or jjenkins@chezcora.com
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to work for himself but also have a flexible work-life balance. The home cleaning industry seemed perfect because there’s generally low overhead, recurring revenue and consistent, knowable work. Franchising was also a good fit, he says, because while you’re doing it alone, you have a partner. And it’s a unique partnership with MaidPro, he adds. There is a system of course, but there isn’t a franchisee bible with a million commandments to follow. “They’re really flexible on letting you adapt their business model to your market and your vision for your own franchise. There’s no chief compliance officer.” Started in Boston in 1991, MaidPro now has over 150 locations in the U.S. and Canada. Shelson opened his in Toronto in 2017, and today has 10 employees cleaning homes mainly in Vaughan, Markham, and Thornhill. He anticipates continued growth, he says, one reason being MaidPro’s recent hiring of more coaching and support specialists. “One is only responsible for helping franchisees with hiring staff, for example, another for financials, another for customer experience. I can really tailor it.” The positive career evolution continues, it would appear. MAIDPRO STATS Franchise units in Canada: 10, U.S.: 265 Franchise fee: $17K Investment required: $75K Training: 1 week at home office; continued support Available territories: British Columbia, Alberta, Saskatchewan, Manitoba, Ontario, New Brunswick, Nova Scotia, P.E.I., Newfoundland, Yukon, Nunavut, Northwest Territories In business since: 1991 Franchising since: 1997 CFA member since: 2016
www.cfa.ca | www.FranchiseCanada.Online
THE HOMEMAKERS
“What’s one of the most recessionproof businesses there is? It’s a handyman business. Sure, people may stop buying new homes, but they still have stuff breaking down that needs to be fixed.”
Mr. Handyman It’s been several years, but Steve Soper can still clearly remember the moment when the lightbulb went off. He’d been searching for a new type of business to start, and he was watching a movie. “It was a motivational video, and one of the hosts asked the audience: ‘What’s one of the most recession-proof businesses there is?’ He said, ‘It’s a handyman business. Sure, people may stop buying new homes, but they still have stuff breaking down that needs to be fixed.’” Those words stuck with Soper, and launched him on a fix-it franchise search that eventually led him to Mr. Handyman. He became the Richmond Hill, Ontario franchisee in 2012. He chose Mr. Handyman over other similar franchises for two reasons. One, their market share appeared to be the largest. And two, the customer experience was top-notch. “A lot of the other brand concepts out there just hire sub-contractors, and they could show up in a 1990 Dodge Caravan that’s rusted out. So you just don’t have the control over the customer experience.” Now that he’s been a franchisee for seven years, the biggest benefit of the system is the support he gets from other Mr. Handyman franchisees and the franchise company, Neighborly, the largest service-based franchise company in the world. Another benefit is how flexible the system is. “If you want to run with an office and a warehouse and 10 technicians, you can. But you can also run it out of your basement with you, your wife and a couple of technicians. You can’t do that with a lot of other franchises.” MR. HANDYMAN STATS Franchise units in Canada: 12, U.S.: 124, International: 2 Franchise fee: $49.9K Investment required: $106.5K - $138.1K Training: SureStart Training, owner field training, and ongoing Available territories: British Columbia, Alberta, Manitoba, Ontario, Nova Scotia In business since: 1996 Franchising since: 2000 CFA member since: 2004
Franchise Canada
May | June 2019 33
THE HOMEMAKERS
Stor-X “Organization feels great.” That’s the motto of Stor-X, and it’s been the franchise’s guiding force since Wolf Nickel launched the Richmond, British Columbia business in 1989. He started franchising in 2012, but Stor-X has been an industry leader in the design and manufacturing of custom designed home storage solutions well before that. At press time, they had a dozen franchisees spread between
Vancouver Island and Saskatoon. Some are full-time, others are part-time, but all of them sell and install custom storage units for closets, pantries, laundry rooms, home offices and other spaces. “What makes us unique is that we’re both the franchise and the factory,” says Nickel. “We’re not just the franchise system; we’re actually providing the product. So there’s no need for the franchisee to go out and find their own supply chain.”
The future is yours. Embrace it.
At BMO, our national team of franchising finance experts is standing by to help make your future successful. Our in-depth knowledge of the franchise landscape allows us to advise you at every step along your business journey. To learn more, visit bmo.com/franchise Trademarks of Bank of Montreal
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www.cfa.ca | www.FranchiseCanada.Online
THE HOMEMAKERS As for what makes an ideal Stor-X franchisee, Nickel says that networking and sales abilities are huge. They don’t really need technical skills, however, he adds, because they can easily be taught how to install the product. Franchisees have come with backgrounds in everything from IT sales to naturopathy. There is one common attribute shared by almost all Stor-X franchisees, though, and — surprise, surprise — it’s that they believe organization feels great, too. “At the end of the day, what they’re doing is selling shelves, but what they’re really doing is selling stress relief, they’re selling organization for someone’s home,” says Nickel. “So if that resonates with someone, they’re probably already being on the right road to being a good fit.” STOR-X STATS Franchise units in Canada: 15 Franchise fee: $42.5K large markets; $19.9K small markets Investment required: $75K Training: 2 weeks, ongoing Available territories: British Columbia, Alberta, Saskatchewan, Manitoba In business since: 1989 Franchising since: 2011 CFA member since: 2011
Franchise Canada May | June 2019 35
THE HOMEMAKERS
SupperWorks We’ve all been there: It’s 5:30, and you have no idea what you’re going to make for dinner. Will it be the same boring tacos? Chicken and rice? Unhealthy takeout? With SupperWorks, you don’t really have that problem, says Ottawa-area franchisee Alison Kelly-Quesnel. Each of the franchise’s 10 Ontario stores has healthy and fresh meals that you can pick up, have delivered, or even make yourself in the SupperWorks kitchen.
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Think dishes like mushroom-smothered sirloin roast, baked lemon schnitzel with lemon butter, creamy Cajun chicken pasta and a rotating cast of others for families, singles, and couples. Kelly-Quesnel is the franchisee of the Nepean, Orleans, and Kanata, Ontario locations. She says customers are drawn to SupperWorks for a lot of reasons. Convenience is big, of course, but so is the quality of the food and the social aspect of using the kitchen.
www.cfa.ca | www.FranchiseCanada.Online
THE HOMEMAKERS The variety of ingredients on offer is a plus, too. “They’re family-friendly meals, so they aren’t extreme, but I don’t know if I would have cooked Thai curry for my kids at three and four. So it can open people up to trying new things.” As a franchisee, the biggest draw for her to SupperWorks is the positive atmosphere. “Coming from a restaurant franchise, it’s very different. Everyone’s happy here. It’s nice to know that you’re helping busy families or that you’re helping that senior stay in their house a little longer. And from an operations perspective, it’s nice that, unlike a restaurant, I know my orders days ahead of time.” SUPPERWORKS STATS Franchise units in Canada: 7 Corporate units in Canada: 3 Franchise fee: $40K Investment required: $300K Training: 3 weeks Available territories: All of Canada In business since: 2005 Franchising since: 2006 CFA member since: 2006
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Franchise Canada May | June 2019 37
THE HOMEMAKERS
Window Butler How’s this for a rise through the ranks? In 2007, Martin Goertzen was hired as one of Window Butler’s first window cleaners. A year later, he became the field manager. Another year later, the operations manager. In 2015, he bought the Ottawa-based company outright to become CEO. Now he’s looking at the next jump: franchising. This summer, Window Butler will open a location in Kingston, Ontario, marking the start of what Goertzen hopes is a Canada-wide window-cleaning, pressure-washing, and gutter-cleaning franchise company within five years. “We’ve grown every year, especially as more people know that we’re pretty affordable. But we’re not like the student window cleanings where it’s very basic cleaning, cheap. We’re more expensive than them but the quality is significantly higher.” They also guarantee satisfaction. If a customer finds any issues with the work within 72 hours of completion, Window Butler will fix it for free.
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And then there are those flashy blue and yellow trucks with the big tuxedoed butler on the side. Many Ottawans know them well. Kingstonians will soon, too, and maybe a lot more Canadians to boot. “Once we get our foot in the door in Kingston, it’ll grow quickly,” says Goertzen. “Within the next three to five years, I think we’ll be all over Canada. There’s a lot of market out here, there’s always houses to clean windows, and it’s a yearly job, so there’s work all the time.” WINDOW BUTLER STATS Corporate units in Canada: 1 Franchise fee: $10,000 per 250,000 population Investment required: $56,950 - $120,000 Training: $1400 - $3000 Available territories: All of Canada In business since: 2007 CFA member since: 2017
www.cfa.ca | www.FranchiseCanada.Online
FOLLOWING THE FRANCHISE PLAY BOOK For professional athletes, franchising is the ideal workout post-retirement BY JESSICA BURGESS
Franchising is a vital, dynamic business model, so it’s no surprise that retired pro-athletes are getting increasingly involved. The franchisors profiled here have found gold-medal success in fitness and food franchise systems.
Franchise Canada May | June 2019 39
FOLLOWING THE FRANCHISE PLAY BOOK
Eat the Frog Fitness The co-founder of Eat the Frog Fitness, Bryan Clay, is an Olympic Decathlon Gold and Silver Medalist with nothing short of Olympic-sized ambition for his thriving fitness franchise. “If it’s your job to eat a frog, it’s best to do it first thing in the morning,” shares Clay, noting that this famous quote is what inspired the fitness franchise whose model is as unique as its motto. “We know that fitness is hard. We understand that. What we want for our members is for them to take the chance of adopting this lifestyle of attacking the hard things in life, not backing away from them. That’s what we did as pro athletes,” Clay explains. After an incredibly successful career as a pro track and field athlete, Clay wondered what would come next for him. He was interested in fitness, but knew he didn’t want to spend 80 hours a week at the track coaching or get involved in a fitness model that he didn’t believe in completely. He wasn’t sure if his finely honed skills as a pro athlete would translate to the business world until a friend reminded him that the things that become so natural for a pro athlete – commitment, discipline, perseverance, tenacity – are exactly what you need to succeed in running your own business. Fast forward two years and Eat the Frog Fitness has 17 regions sold, 26 in discovery, 24 franchises sold, 218 licences awarded, and 13 studios in development. With renewed confidence, Clay started searching for the right next step. “I called my buddy, Joe Culver [cofounder of Eat the Frog], and said that I had this idea.” At first, Clay shares, Culver said no – go back to the drawing board. “But about two weeks later, I got a phone call, and he said that with a few tweaks, he thinks we could have something here, and he wants to do this together. I said, ‘Absolutely!’” And Eat the Frog was born. With their new fitness program, Clay and Culver wanted to combine the best things about group fitness
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with the best things about personal training. “When you first come in, we give you a fitness assessment,” shares Clay. “Based on that, we curate and customize a workout plan just for you. No one else out there does that for their members.” With this highly personalized and researched methodology, Clay explains, “your success rate is higher, people feel better, and there is less risk involved.” “I love this business, I love franchising – it was something new, and I had to jump in with both feet,” he continues. Clay’s advice to other pro-athletes considering franchising? Know that they already have the skillset that’s perfect for it and it might just be exactly the lifestyle and business model of their dreams. EAT THE FROG STATS Franchise units in Canada: 1, U.S.: 2 Franchise fee: $40K USD Investment required: $430K-$638K USD Training: 4 days at corporate office and online webinars Available territories: British Columbia, Ontario, U.S. In business since: 2017 Franchising since: 2017 CFA member since: 2018
www.cfa.ca | www.FranchiseCanada.Online
FOLLOWING THE FRANCHISE PLAY BOOK
M4 Burritos A combination of quick-service and fast-casual, created with fresh ingredients made daily in-house, the M4 Burritos franchise is full of energy and zest. It’s no surprise, then, that a pro athlete would be drawn to the business. Former NHL player Matthew Lombardi is a partner in the Mexi-Californian restaurant franchise, along with Director of Operations, Carl Michaelson. Having started a hockey school business together in 2004, Lombardi and Michaelson are no strangers to getting into business for themselves. “Carl and I have always talked about getting into the franchise world,” shares Lombardi, who spent the bulk of his NHL career with the Calgary Flames. “The banner was poised to do great things,” he continues, “all it needed was the love and attention any great franchise model requires.” “I had the experience of learning a lot about the franchise world through teammates who had gotten into this space and had a lot of success at it,” Lombardi says. “After hockey, I never had the intention to put my feet up and relax, so after enough research Carl and I believed that this would be an exciting avenue to pursue.” And the pair have hit the ground running ever since. The extremely competitive world of professional hockey certainly prepared Lombardi for the franchise world as well. “Being a part of a team, in the greatest league in the world, competing with 19 teammates for a common goal,” Lombardi explains, “creates an extremely competitive
environment. These are great qualities to possess for many industries” – and certainly for franchising. “The best teams win because everyone embraces their role and fulfills it to the best of their ability,” Lombardi continues. “Beyond the low cost of becoming an M4 Burritos franchisee, the simplicity of operations and profitability opportunity, we want our franchisees to choose us because they realize we share the same goals and are excited to work very hard with them to achieve them.” “Strong work ethic, character, being able to push through adversity – these are great qualities to possess for many industries, including owning a strong franchise brand that has a great destiny ahead,” Lombardi shares. And what advice would the M4 Burritos team give to others looking to get into the business? “Ask questions and build a strong team.” With those guiding principles in your playbook, it’s game-time for potential franchisees. M4 BURRITOS STATS Franchise units in Canada: 3 Franchise fee: $15K* (*+$2,500/12 months for 2 years) Investment required: $80K Training: 3 weeks Available territories: Ontario, Quebec In business since: 2012 Franchising since: 2015 CFA member since: 2018
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FOLLOWING THE FRANCHISE PLAY BOOK
OrangeTheory Fitness Blake MacDonald, President of OrangeTheory Fitness Canada, is a former professional curler who has long had a keen interest in business. “From 1997 to 2011, I was a professional athlete and during that time I was actually working with Franvest Capital. The opportunity with OrangeTheory came up about the same time I was going into retirement,” MacDonald shares. “My experience as
a pro athlete really translates into this business in a few different areas. One is that many of the concepts of building a successful curling team apply to building both a corporate team and selecting franchisees who will work collectively to raise the profile of the brand,” he explains. Franchising, much like pro sports, is a 24/7 commitment, and this dedication is certainly something that the entire OrangeTheory team embraces because of their passion for what they do. “We live to make our franchisees successful,” MacDonald says. “And that same commitment is something we try to pass on to all our franchisees in terms of running their own locations. It’s not a nine-to-five gig – it’s something you’ve really got to commit to.” And commitment is one of the evergreen traits of pro athletes that has stood MacDonald in good stead as OrangeTheory flourishes and continues to grow incredibly quickly. “We’ve had two big challenges: one is taking a brand that initially started in the U.S. and making it uniquely Canadian; the other challenge has been supporting the rapid growth we’ve undergone in Canada. It’s
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www.cfa.ca | www.FranchiseCanada.Online
FOLLOWING THE FRANCHISE PLAY BOOK
been a huge challenge to both formulate and then execute the infrastructure we need to support our growth,” MacDonald says. The OrangeTheory team has been successfully navigating these challenges, though, and for MacDonald, there’s no better way to remain engaged and excited by a business. “At the end of the day, you do well at anything you’re passionate about, and we’re really passionate about that here,” he says. The OrangeTheory brand motto is also a very personal one for MacDonald: “Giving
the gift of more life. It’s something I’m proud to tell my kids I’m a part of,” he concludes. ORANGETHEORY FITNESS STATS Franchise units in Canada: 90, U.S.: 972, International: 53 Franchise fee: $59.5K Training: Provided Available territories: All of Canada, U.S. Franchising since: 2011 CFA member since: 2012
Commercial Cleaning Business Opportunity. Initial business. Comprehensive training. High demand. Ongoing operational support. Established reputation. Industry leader. Low investment. Growth potential.
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Franchise Canada May | June 2019 43
Financing your Franchise
Know your options when it comes to getting a loan to start your business BY KAREN STEVENS
A
fter the initial excitement of learning about the multitude of franchise opportunities out there, it’s important to seriously consider all of the financial details so that you can sign on that dotted line with confidence. Among the myriad of questions to consider, how you’re going to finance your franchise is probably at the top of the list. There are many financing options for franchisees who want to take out a loan for their business, from borrowing from family to getting a loan from a not-for-profit organization, to government loan programs. Here, Franchise Canada takes a look at some of the options out there that are available to prospective franchises, beyond borrowing from the bank. All in the Family For many people, securing a loan from a family member is one of the first options they think of. It just makes sense: Both you and that family member are invested in your future, and you can work together to dictate the terms of the loan. Sabrina Callaway, a litigator with the firm Sotos LLP, agrees that many people do seek funding from
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friends and family. “Especially the millennials, or those who don’t have assets to support traditional financing,” she says. It’s hard for these younger would-be business owners to secure a loan, since it’s less likely that they have collateral. “There’s been a trend lately in millennials purchasing franchises. A lot of millennials are fresh out of college. They are burdened with debt and don’t necessarily have the assets to back the franchise and get it off the ground,” Callaway explains. While borrowing from family members is a popular option, Callaway cautions that with such an arrangement, there are some vital things a franchisee needs to be aware of. “What we find as lawyers is that it’s quite easy to accept money from people, but eventually they're going to want it back,” she says. “It’s important to have some kind of loan agreement or promissory note that sets out the terms of how you’re going to pay this back.” This note should include the payment terms along with the defined payment period. Franchisees should also think very carefully about the implications of the loan, and about whether or not their repayment plan is realistic before moving forward.
www.cfa.ca | www.FranchiseCanada.Online
FINANCING YOUR FRANCHISE Callaway also notes that franchisees have a number of options, especially when joining a larger system. “If they can’t get financing through the traditional routes, they should see what the franchisor has to offer. Occasionally franchisors will give loans to the franchisees, or it might come from someone else in the system, like a shareholder.” If this is the situation, sometimes the franchisor might perform a credit check on the potential franchisee. She also says that many franchisors also have connections with some of the banks, which may mean that a prospective franchisee can have a different agreement set up with a favourable interest rate. One final piece of advice from Callaway is to consider how much money you’ll actually need. “The franchise disclosure document will often list start-up costs, but that doesn't give insight into how much cash flow you’ll need or the burn rate of the business. It would be a good idea in the 14-day period between disclosure and the signing of the franchise agreement to consult with a business consultant who will set up a business plan,” she advises. “That business plan will show you what you need to run the business profitably and what you can expect in terms of revenue going forward.” Armed with that knowledge, the franchisee can then make informed decisions about loans.
Organizations Nurturing Entrepreneurship Not-for-profit organizations are also an excellent source of loans for potential franchisees. In particular, Futurpreneur Canada is a national notfor-profit that works with 18 to 39-year-olds. They provide business resources, such as start-up resources, financing, and mentorship for entrepreneurs all over the country. “We provide a ton of online resources free of charge that include business startup resources that are from all differ sectors and specialties - not just from Futurpreneur but from other partners as well,” explains Scott Bowman Senior director of Futurpreneur in Ontario. “Beyond the resources, we provide up to $45,000 in a no-collateral, no-equity loan,” Bowman explains. The first $15,000 of this loan comes from Futurpreneur’s own loan portfolio. Then, you’re automatically eligible to be considered for up to another $30,000 through the Business Development Centre (BCD). “It’s based on the strength of the business plan,” he explains. A big benefit of the Futurpreneur program, for young people in particular, is the unsecured loan. “Maybe they're just coming out of school and they have a student loan, but they still have this big dream of owning a business,” says Bowman. He goes on to say that while it
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Franchise Canada May | June 2019 45
FINANCING YOUR FRANCHISE is unsecured lending, they do perform a credit check to ensure the applicant has reasonably good credit. Bowman says that he’s seen a variety of prospective franchisees come through the door of the Futurpreneur program, including from Canadian Franchise Association (CFA) members Pita Pit and The Ten Spot. “Most people that come to us pay the franchise fee with our financing,” he explains. “Owning a franchise is still owning a business: You still have the same struggles, you just might have more support.” There are a number of useful franchising resources on the Futurpreneur website. Bowman recommends that you perform thorough research on the franchise that you’re interested in. “Talk to some of the franchisees and do research on what the business's track record is and its reputation,” he says. “Do they [the franchisor] provide you with financial information that you can take to an accountant or another funder?” He also suggests performing a SWOT (Strengths, Weaknesses, Opportunities, Threats) analysis, and understanding your competition. “Really doing your due diligence is really important for the potential franchisee,” he states. While Futurpreneur’s business plan writer and cash flow template aren’t specific to only the franchise model,
they are extremely helpful for planning out exactly how much money you’ll need. “If you don’t understand the costs beyond the franchise fee it will be tougher for you to get funding from others,” explains Bowman. “You might be able to get funding from Futurpreneur that's great, but you’re going to need more money for capital expenses, etc.”
Government Funding The Government of Canada offers a number of resources available to those looking to finance a new business. A great place to start is www.canada.ca/en/services/business/grants. Here, you'll find a comprehensive list of all of the government financing programs, public funds and grants and non-governmental community-based and private sector organizations that provide funding. You can also learn about important topics such as loans and capital investments, wage subsidies, plus resources for managing your finances and more. The Canada Small Business Financing program provides loans for new and existing businesses by partnering with financial institutions and sharing in the risk. The loans can be up to $1,000,000, depending on the arrangement between the borrower and the lender, and a maximum of $350,000 of that can be used towards the purchase and improvement of equipment and property. There are also other restrictions on what the money can be used for; it cannot be used for certain expenses such as inventory or your franchise fee. For these small business loans, there is a small registration fee, which EXPLORE YOUR OPPORTUNITY WITH THIS LONG comes out to two per cent ESTABLISHED FAMILY RESTAURANT FRANCHISE & BE THE FIRST TO SERVE GUESTS IN YOUR of the entire loan. The “Where Breakfast Never Ends”. COMMUNITY FROM OUR AWARD WINNING MENU. Serving Western Canada Since 1977. interest rate depends on the provider, and there may be lender fees as well. Achieve great success in communities with populations under 100,000. You can secure your small Flexible square footage (1800-3200 sq ft.). business loan at most financial institutions as We will do conversions. many have chosen to parDevelopment Agreements available. ticipate in the program. For more information, to take a virtual tour or to check out our success stories visit www.humptys.com or CONTACT: Sergio Terrazas at s.terrazas@humptys.com or by phone at 800.661.7589 or 403.608.7329.
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www.cfa.ca | www.FranchiseCanada.Online
The Future of Franchising Franchise Canada looks at just some of the many female franchisees that are shaping the industry’s future
More and more women are stepping into the world of franchising and are finding success as entrepreneurs. Women are even carving out a spot for themselves in spaces where we’d least expect it, purchasing franchises in landscaping, moving, and other sectors that were once thought of as “male” industries. The Canadian Franchise Association (CFA) continues to celebrate the female franchisees who are standing proof that women are changing the franchise landscape. After all, the future of franchising is female. Here, Franchise Canada showcases the hardworking females who have taken control of their own success using the franchise model.
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THE FUTURE OF FRANCHISING
Saba Tauseef, Homewatch CareGivers
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n 2016, when Saba Tauseef decided to open her own business, she knew she could either start from scratch and develop her own business concept, or join a trusted franchise with a successful system already in place. “I quickly came to the conclusion that purchasing a franchise was the best option for me because it would give me the opportunity to build a business based on a proven model in addition to having an experienced team behind me,” she says. Founded in 1980, Homewatch CareGivers and its franchise network have spent 37 years providing stellar home care services to disabled and rehabilitating clients in Canada, the U.S., and abroad. In addition to guaranteeing all franchisees “lifetime training,” Homewatch CareGivers’ familylike culture and high quality team of caregivers has appealed to countless entrepreneurs seeking to join the senior care industry. As a franchise owner, Saba says her primary focus is business development, which includes networking with key stakeholders, including local retirement homes, hospitals, physiotherapists, and long term care facilities. She says that it’s working one-on-one with clients that truly makes Saba feel like she is making a difference in her community. “Client contact is extremely important to me. I personally do assessments for all of our clients because I enjoy working with people,” she says. “As an entrepreneur I take pride not only in helping others, but in leading a great team of caregivers. Working in this sector of the franchise industry has taught me humility. It provides me the power to change the lives of others every day!”
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Karen Bhangal, Oxford Learning Centres
K
aren Bhangal has lived and breathed Oxford Learning for most of her life. Despite only becoming a franchisee with the company in the summer of 2015, Bhangal has a long history with the after-school program that teaches children how to be lifelong learners and problem solvers. “I went to Oxford Learning from the ages of three to seventeen,” says Bhangal. “I started in their Little Readers program and continued until high school.” Before considering a career in franchising, Bhangal was enrolled in teachers college at York University in Toronto when she saw first-hand the strengths and weaknesses of the Canadian school system. It was during her time working in classrooms that Bhangal began considering non-traditional learning outlets where she could apply her education background. It wasn’t long before Oxford Learning popped into her head. In a karmic twist of fate, Bhangal is now the franchisee of Oxford Learning’s Brampton North Centre, the same location she attended as a child. It was because of her positive experience with the centre that Bhangal was motivated to rejoin, this time as a franchisee. With locations across Canada, Oxford Learning uses an individualized approach to teaching, providing children from preschool to high school with resources and skills to help them succeed in school, gain academic confidence, and develop a love for learning. “All in all, I oversee that our location is following the Oxford Learning system by making sure programs are being offered the way they were built – to help students become long-term learners,” Bhangal says of her role as an Oxford Leaning franchisee. “I also ensure that we hire the best employees for our students and help to create a safe and fun environment for them and for our teachers.” Though her involvement with Oxford Learning has changed drastically since she was three, Bhangal feels right at home as a franchisee, where every day is a rewarding one. “I love seeing the small gains students make each day,” she says. “It’s amazing witnessing the changes in their attitude towards learning!”
www.cfa.ca | www.FranchiseCanada.Online
THE FUTURE OF FRANCHISING
Tylan Tough, PropertyGuys.com
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igns that Tylan Tough was meant to be a PropertyGuys.com franchisee were everywhere. “It was when my neighbor mentioned using them in Kitchener to sell their home that I started noticing the PropertyGuys.com signs,” Tough says. “At first, I thought it was just another traditional real-estate agency.” So, she powered up her computer, headed to PropertyGuys.com, and clicked on a button that read ‘do you have questions about a franchise?’ In a matter of minutes, “I received a response from Home Office in Moncton,” says Tough. Two weeks later, she was boarding a flight to the East Coast, on route for training to become a PropertyGuys.com franchisee. For Tough, being a PropertyGuys.com franchisee ticked off all the right boxes. Tough never had to, and still doesn’t have to, make any trade-offs when it comes to what she’s looking to get out of her career. That’s quite unlike her previous positions. When she was a draftsperson, for example, she got to work at a computer, but had to sacrifice a flexible work schedule. Or when she was a waitress, she got to work on her feet and engage with customers, but there were no opportunities to sit at a desk and work on a computer too. With PropertyGuys.com, Tough gets the best of both worlds and more. “I get the desk work and I get to answer people’s questions, which I enjoy,” says Tough. “Then there are days that I don’t have to sit at my desk at all, and get to go out and be the face of the company. To top it off, I get to prove to people that they can sell their home on their own.”
Martine Thomas, Pita Pit
S
potting Martine Thomas in a crowded room is easier than ever. Why? Because she’s typically sporting a Pita Pit shirt, even when she’s not working at her Pita Pit franchise. “I’m not afraid to walk out of the store and go out for dinner and still have my Pita Pit shirt on. There are some companies you work for and you don’t want to be seen with their shirt on,” Thomas says. “One time I went out with my boyfriend and ended up wearing my Pita Pit sweater to a bar, for dinner!” It boils down to this – she’s proud. And as a franchisee of one of the most iconic quick-service restaurants in Canada, she has every reason to be. Especially when you factor in her age. Fresh out of university, just shy of her 27th birthday, Thomas has already achieved what most haven’t accomplished at double the age: franchise success. “Greeting customers and asking how your day was is my favourite part about being a franchisee. And it’s something my employees do a good job at too. It makes it so much more inviting for the customers. It’s not just ‘here’s your pita, take it and go.’” Far from a stale experience, connecting with different people has made franchising a rewarding endeavour for this millennial. “It’s been crazy, fun-filled and unpredictable, in a good way.”
Franchise Canada May | June 2019 49
Everything you need to create your franchise future! Buying a franchise can be an overwhelming process. The good news is you don’t have to do it alone. Franchise Canada is here to guide you through the franchise process, with everything you need in one spot: www.FranchiseCanada.Online
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is pleased to present
a Special Franchise Focus on
CASUAL DINING, BARS & PATIOS
FEATURED IN THIS EDITION: MR MIKES SteakhouseCasual ����54 & 55 www.rammp.net
Wild Wing ���������������������52 & 53 www.wildwingrestaurants.com
Wing’n it ����������������������������������57 www.wingnit.ca
SPECIAL FOCUS
Special Franchise Focus on Casual Dining, Bars & patios
Casual Eats, Cool Drinks Although with the emergence of food delivery apps, it may appear on the surface that Canadians are opting to dine in rather than out. However, this is not the case. Canadians still love going to a restaurant to eat a meal. Whether it’s a rare treat, for a special occasion, to celebrate a milestone, or to simply socialize with friends, 54 per cent of Canadians eat out once or more a week, according to Stats Canada. It’s also not shocking that Canadians tend to enjoy an adult beverage with their meals. In the fiscal year ending March 31, 2017, the average Canadian over the legal drinking age in their respective province spent $755 on booze. Beer, a staple of casual dining and bar establishments, was far and away the most popular alcoholic beverage. How very Canadian, eh? With a taste for quality eats and alcoholic libations, more and more Canadians are looking to casual dining restaurants and bars when they want to sit down for a meal. This special section takes a closer look at the casual dining and bars category, highlighting the factors that make these restaurants a popular choice for Canadian consumers.
Franchise Canada May | June 2019 51
Hot Wings, Cold Beer, Great Sports! 101 amazing wing flavours to choose from!
FRANCHISING@WILDWINGRESTAURANTS.COM
Join Wild Wing Today! CANADA’S LARGEST CHICKEN WING RESTAURANT CHAIN OPERATING SINCE 1999 •
101 incredible wing flavours
•
National Brand Recognition
•
Comprehensive Management Training
•
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Very competitive fees • Royalty 5% • Advertising 2%
•
State of the art 7000 square foot Corporate Training Centre at 1700 King Road, King City, Ontario
Hands-On Pre/Post-Opening Support
NATIONAL AND LOCAL MARKETING SUPPORT
Promotions and materials including posters, social media posting files as well as regular Menu and Website updates. STARTING COSTS OF NEW RESTAURANT
RECENTLY OPENED
MARKETS AVAILABLE
Initial Franchise Fee $35,000* Rent, Security Deposits $20,000* Project Development $20,000* Construction $200,000-$600,000* Inventory/Working Capital $25,000*
ONTARIO Etobicoke London Oakville Oshawa Scarborough Smiths Falls Sutton York University
ONTARIO Ajax Bracebridge Burlington Cambridge Keswick Kingston Petawawa Owen Sound Sarnia Toronto Midtown
Plus applicable taxes. *Estimated Costs. The costs for a new restaurant can vary from project to project and depends on a number of factors including but not limited to: • The square footage of the property • Landlord’s contribution towards lease hold improvements • The efficiency of the contractor or project manager • Development and construction costs in a particular market/area. Retrofitting an existing restaurant is generally much less expensive than a new build.
WESTERN CANADA Burnaby, BC Langley, BC North Vancouver, BC Agriplace, Saskatoon Jemini, Saskatoon Ellis Avenue, Winnipeg
94 locations and growing! WILDWINGRESTAURANTS.COM
WESTERN CANADA Moose Jaw, SK Prince Albert, SK Regina, SK Saskatoon, SK Calgary, AB Fort McMurray, AB Medicine Hat, AB Red Deer, AB Vancouver, BC BC (various) EASTERN CANADA Dartmouth, NS Halifax, NS Sydney, NS Charlottetown, PEI Summerside, PEI Bathurst, NB Fredericton, NB Moncton, NB St. John, NB St. John, NL
f i t
SPECIAL FOCUS
Eating out: How often and why? (Stats Canada)
Meals eaten out most often are lunch and dinner
The main reason for eating out are convenience and socializing
10% 33% 49% Breakfast
Lunch
Dinner
52%
eat out as a treat, for a special occasion or celebration, to socialize with friends or family
40%
eat out for convenience, no time to cook, do not like or know how to cook
Most Canadians eat out or purchase takeout food
54% 39% 8%
Eat out once a week or more Eat out less than once a week Did not eat out in the past month
When available, canadians use nutrition information to make informed choice
57%
always, often or sometimes changed their order based on nutrition information on menus or menu boards
56 Canadian Franchise Association
www.cfa.ca | www.FranchiseCanada.Online
SPECIAL FOCUS
Alcohol Sales in Canada
Number of standard alcoholic drinks sold per week, per person.
As per the guidelines, a drink means: Beer
(Stats Canada)
Total Standard Drinks 9.4
Wine
341 ml (12 oz.) 5% alcohol content
142 ml (5 oz.) 12% alcohol content
Cider/ Cooler
Cider and Cooler 0.4 Spirits 2.4 Wine 2.5
Spirits (whisky, gin, rum, etc.)
341 ml (12 oz.) 5% alcohol content
43 ml (1.5 oz.) 40% alcohol content
Beer 4.2
While most Canadians choose to buy beer, there are regional differences.
Beer is the most popular alcoholic beverage across Canada in British Columbia and Quebec, they prefer wine.
Red is the most popular wine across Canada but Prince Edward Island buys more white wine.
Over 70% of cider sales are in British Columbia and Ontario
In Newfoundland and Labrador, almost 50% of spirits sales are rum.
Average sales of alcohol in Canada were $755 per person
Y.T.
(over the legal drinking age)
$1,261 N.W.T
Nvt.
$1,604
$231 N.L.
$1.056 B.C.
$864
Alta.
$768
Sask.
$730
Man.
P.E.I.
$630
Que.
$754
$782 Ont.
$741 N.B
58 Canadian Franchise Association
$676 www.cfa.ca | www.FranchiseCanada.Online
N.S
$789
BLOSSOMING INTO A SUCCESSFUL FRANCHISEE
A step-by-step guide to who you’ll meet during the franchise sales process
T
he sales process starts when you make initial contact with the franchisor. The term “sales process,” for the purpose of this article, is used to identify your transition from a potential candidate to a franchisee with a new location. Many would argue that the process is linear: you go through each step, complete the requirements, and then move on to the next step. In theory, the linear approach is logical; it’s a road with a defined route and destination. However, a different approach to the sales process, from initial contact to franchise opening, is cyclical. More specifically, it resembles a series of circles, and could resemble a flower. Each petal on the flower represents another part of the sales process, with the franchise sales person at the centre. You travel along on the outside of each petal,
always returning back to the centre. If the process runs smoothly, you’ll transition from department to department, or from petal to petal. You’ll meet a variety of people throughout the sales process. The steps, or petals, listed below are just examples. Each franchisor establishes their own criteria, process, project management techniques, corporate staff requirements, and relationships with suppliers. A smaller or emerging franchisor might rely on one person to complete several of the roles listed below, while a larger brand might separate the roles into distinct responsibilities. Franchise Development Manager. Drives the franchise approval process, ensuring you complete all documents; that all information is verified; that credit and
Franchise Canada May | June 2019 59
BLOSSOMING INTO A SUCCESSFUL FRANCHISEE is secured, the Real Estate Manager informs all other departments on the date of possession.
criminal checks are completed; and that market information, business plan, and executive summary are submitted and presented for approval. As the project proceeds, if you don’t have a good experience in any of the stages, or petals, you can contact the Franchise Development Manager, who takes on the role of project manager, for assistance.
Legal Department. Ensures you correctly create and execute all legal documents. This could include training school agreements and waivers, design and construction services agreements, and the franchise agreement.
Real Estate Manager. Helps you find a location that meets the requirements of the franchisor, and gets the location and project budget approved. Once the site
Design Manager. At this stage, you either work with a corporate Designer Manager to lay out your location, or you receive a prototypical set of plans and specifi-
THE FRANCHISE SALES PROCESS
When you consider the franchise sales process holistically, you may want to think of it as a cyclical process with the franchise sales person as your central contact. This is because the franchise sales person is usually your first point of contact, and the person you'll turn to for assistance. In this model, the franchise sales person (or Franchise Development Manager) will guide you to each department as you progress through the steps towards opening your new location.
2. REAL ESTATE MANAGER 9. OPENING TEAM
3. LEGAL DEPARTMENT
8. FINANCE MANAGER
4. DESIGN MANAGER 1. FRANCHISE DEVELOPMENT MANAGER
7. MARKETING MANAGER
5. CONSTRUCTION MANAGER
6. TRAINING MANAGER
60 Canadian Franchise Association
www.cfa.ca | www.FranchiseCanada.Online
BLOSSOMING INTO A SUCCESSFUL FRANCHISEE cations, and work with an architect/engineer to lay out your location and send to the franchisor for approval.
how and when to submit administration fees, and when to submit full financial statements.
Construction Manager. Monitors the project from lease execution to opening. The Construction Manager must ensure the location is built to required specifications, and is ready to receive the opening team.
Opening Team. Arrives and assists you with location setup and training your key staff. The team also ensures the location meets brand standards, and that you and your staff can execute on the brand promise to the consumer. In short, they determine if you and your location are ready for business.
Training Manager. This department arranges your franchisee training, and establishes curriculum and objective metrics for determining success or failure. The Training Manager ensures that you successfully complete the required training. Marketing Manager. Works with you to organize a “Friends and Family” event prior to opening. In addition, the Marketing Manager establishes a grand opening plan for the new location, and also helps you create a local store marketing (LSM) plan. Finance Manager. The finance staff instructs you as to how to calculate cost of goods sold and labour cost, how to complete the required reports to the franchisor,
While this is the typical process you’ll go through as you complete your franchise sale, it’s important to remember that every franchise is unique, with people from certain departments taking on different or multiple roles, depending on the franchise system. During your franchise investigation, you should meet with your franchisor to learn more about the steps in their process, and what this will mean for you. If the process seems at all daunting, don’t forget that representatives from the franchise system will be with you every step of the way, providing the support you need to go into business for yourself, but not by yourself.
Franchise Canada May | June 2019 61
HOME-GROWN & LOCALLY-OWNED
100% CANADIAN FRANCHISE SYSTEMS
Two of them began as one-store operations unknown outside their own neighbourhoods – until they began to grow and grow. The third has a huge presence in the domestic market but only those who’ve suffered a fender bender or worse will likely know and appreciate what it does. All three are proof of the dynamic Canadian franchise industry. BY DAVID CHILTON SAGGERS
C-Lovers Fish & Chips Franchise Units in Canada: 9 Corporate Units in Canada: 3 Franchise Fee: $40K In Business Since: 1984 Franchise Since: 1987 CFA Member Since: 2015
There can’t be many better recommendations for a franchise system than having former customers decide they want to be a part of it. Brad Macleod was one of those customers and in 1996, he opened his first C-Lovers Fish & Chips store in Langley, British Columbia, and a second store, also that year, in North Vancouver. Macleod, now Owner and President of C-Lovers, says there are 12 stores in his system – 11 of them in British Columbia and one in Edmonton. A thirteenth store is due to open this year in Maple Ridge, also in British Columbia. “Our concentration right now is still B.C. and going into Alberta,” says Macleod, who’s looking to grow slowly and steadily. C-Lovers usually takes over a space rather than look for a new build, and most stores are typically 2,000 to 2,100 square feet in neighbourhood strip malls. The cost of a franchise is between $550,000 and $650,000. Training takes new franchisees six weeks in either Langley or Abbotsford, British Columbia. The number one quality Macleod looks for in a potential investor is an attribute that is in constant demand: “Are they a people person,” he says. Some background in the restaurant business is also welcome, Macleod explains, but franchisees must have the energy and the personality to engage with their customers. Married couples are popular investors in C-Lovers. The system’s customers can be anyone looking for a high quality meal featuring “Ocean Wise” fish such as halibut, West Coast cod, haddock and salmon, and
62 Canadian Franchise Association
other seafood like prawns and oysters and homemade chowder as well as chicken. “We offer a quality product for a value price,” says Macleod, noting the very popular “all you can eat” feature priced at $14.95. C-Lovers serves 75 per cent of its meals as dine-in and the other 25 per cent as takeout. The system’s target demographic skews towards families and those aged 55 and older, and times its hours accordingly, opening at 11:00 a.m. and closing at 8 or 9 p.m. “We’re a lunch and dinner restaurant,” says Macleod. As for the benefits of investing in C-Lovers, Macleod points out there are many. For one thing it’s a company that’s been around for more than 30 years, he says, and has an excellent track record. It’s a rewarding job, too, he continues, with decent hours, manageable sized restaurants and a good return on investment.
www.cfa.ca | www.FranchiseCanada.Online
CARSTAR Canada
Franchise units in Canada: 320 Franchise fee: Based on market Investment required: $30K-$250K Training: Full menu of support services Available territories: British Columbia, Alberta, Saskatchewan, Manitoba, Ontario, Quebec, New Brunswick, Nova Scotia, Prince Edward Island In business since: 1989 Franchising since: 1994 CFA member since: 2007
Cars in Canada are a simple fact of life. Whether they run on gasoline, diesel fuel, or electricity, they are the way most people get around. Collisions involving cars are a simple fact of life here, too. And it’s this unfortunate state of affairs that has boosted the fortunes of CARSTAR to some 320 franchises coast-to-coast in Canada, concentrating as it does on the insurance industry. CARSTAR got its start in Kansas in the United States in 1989. Michael Macaluso, President of CARSTAR Canada says his firm began in 1994 and unlike most franchised companies his is a “conversion system”, meaning independently operated collision facilities come to CARSTAR and ask to join. Usually, they’re family-owned businesses, says Macaluso from his head
office in Hamilton, Ontario, and often there’s a husband and wife team involved. About 55 per cent of the system in Canada has multi-store owners, he explains. Macaluso says those who join his system need a strong track record as an independent business because CARSTAR performs a thorough review of its history, and there are “multi data points” to determine whether a territory is right for CARSTAR. The cost of joining CARSTAR varies, says Macaluso, but with the right equipment on hand it’s typically less than $50,000. Initial training is in Hamilton, and there is continuing instruction at CARSTAR U. “The training piece is significant,” he notes. Macaluso also goes on to say that as well as a background in the collision business, potential franchisees need to be progressive thinkers, hard workers, have a strong attachment to continuous improvement, and have strong local connections. As for expansion, Macaluso says, “We’re aggressively looking to grow across the country.” The focus, however, will be in British Columbia, Alberta, Ontario and Quebec. There are multiple benefits to investing in CARSTAR, Macaluso continues. The company works with the insurance industry, for one thing, he says. For another there is the buying power of the system meaning franchisees get better deals then they otherwise would as independents. And there is the undoubted advantage of having a strong Canadian brand, he concludes.
Franchise Canada May | June 2019 63
Cora
Franchise fee: $45K Training: 4-6 Weeks of training Available territories: All of Canada In business since: 1987 Franchising since: 1994 CFA member since: 2018
The experts tell us breakfast is the most important meal of the day. Cora, the restaurant, and Cora Tsouflidou, its Founder and Owner, would certainly agree. The Quebecborn system specializes in breakfast and brunch and has grown from one restaurant in Montreal in 1987 to 130 of them in nine of Canada’s 10 provinces – Prince Edward Island being the exception – following the decision to begin franchising in 1993. “Our emphasis is on food and quality,” says Marvin Shahin, Executive Director of Development for Cora, from headquarters in Montreal. “Cora is known for presenting an experience.” Cora franchises are typically located in suburbs, he explains, in major power centres, and strip malls surrounded by populations of between 50,000 and 75,000 at a minimum. The cost of a franchise varies, but Shahin says the average investment runs from $550,000 to $1-million for stores typically 2,500 to 3,500 square feet. Training lasts two to three weeks at a training centre fol-
64 Canadian Franchise Association
lowed by another week of theoretical learning at Cora’s head office. In-store trainers are also on hand to help new franchisees be fully prepared and ready to operate when they open for business. With breakfast likely to remain so important – Cora serves such fare as bacon and eggs, fruit smoothies and fruit crepes, French toast, pancakes, and more to its broad range of customers including lots of families -- Shahin says the company will continue to look for growth. The focus will be mostly on Ontario and Western Canada. “There’s still a lot of runway available (in both places),” says Shahin, noting a Cora franchise does not come with territorial rights. As for the qualities he looks for in potential investors, he says he likes to see those who have strong public management skills. And some hospitality and business experience is useful, he continues. There’s no typical Cora franchisee, but, given the family atmosphere, Shahin says they seem to draw in husband and wife teams aged 35 and older. “We look for solid partners in life or in business, people who complement each other’s skill sets,” he goes on to say. There are many benefits to investing in Cora, says Shahin. The franchise offers a premium product at a value price, a proven concept, an established brand, food service that provides visual excitement and a reinvention of how to serve breakfast. The 6 a.m. to 3 p.m. opening hours also allow a good work-life balance.
www.cfa.ca | www.FranchiseCanada.Online
Millennials in Franchising
Values-Driven Franchising Raised to be humble, kind, generous, and hardworking, millennial franchisee Amanda Mucek’s core values fall perfectly in line with the corporate values of COBS Bread Bakery. BY GEORGIE BINKS
I
t could just as easily have been the amazing goodies COBS Bread Bakery sells that would win Amanda Mucek’s heart when she was applying for a job several years ago. In fact, it was the company’s charitable giving program that sealed the deal, eventually leading her into the world of franchising. Mucek recalls, “I remember sitting in the kitchen with a friend and we were practicing interviewing each other when she realized I had applied to COBS. She let me know COBS had helped her in the past when she and her family had fallen onto really hard times with their ‘End of the Day’ giving program, where you donate all your goods to various charities in the direct community. That really touched me. This company was so compatible with my values.” Mucek, 27, says, “My parents are immigrants who came to Canada with nothing so I witnessed them work really hard to build a good life for my family. They definitely are my role models. They instilled in me these values, to be humble, kind, generous, and to work hard. These values were a compass for me. I kind of use it as an anchor for my life.”
Franchise Canada May | June 2019 65
Millennials in Franchising
Mucek, who originally joined the workforce with McDonald’s but declined a manager’s job so she could return to school, joined COBS to pay off student loans. Soon she was climbing the company’s ladder, eventually training new franchisees and managers. After winning an internal company award and being flown to Vancouver to work with the franchise’s best employees, she decided she wanted to become a franchise partner. At the age of 25 Mucek had her own COBS bakery. The franchise, which she purchased five years after she started working for COBS, is in the heart of Mississauga, Ontario, at Highway 10 and Eglinton Avenue, where scones, ham and cheese croissants, and healthy loaves reign supreme. COBS started in Australia as Baker’s Delight in the 1980s. The company expanded into Canada under the COBS name because there was already a Baker’s Delight in Canada. COBS in fact stands for a “Celebration of Bread”. With more than 700 bakeries world-wide, the company now has more than 100 bakeries in Canada with plans for 250 by 2022. Mucek says the challenges she faced when she first started up were different from those of other franchisees. Because she purchased the franchise from another franchisee and not the franchisor, she was working with an existing team. “It was a huge plus, but it also held me back from making any changes. I felt like I had to prove myself more. I was also warned that turnover might be a real problem. I think my age actually helped me with staff more.” She says a big challenge was her internal need to prove herself and hold her own because of her age. “However, ultimately it was a benefit because I worked harder to prove myself. I had to understand it was all psychological – that age was just a number. I find it is much easier to train my staff because they view me more as a team member rather than an owner, which makes for a really fun environment. Staff turnover is really low and morale is really high. Everyone feels welcome to bring their own ideas to benefit the bakery. I also believe there’s no such
66 Canadian Franchise Association
thing as a problem that can’t be solved which is really important.” The benefits of being a franchisee with COBS, Mucek says, are being your own boss but at the same time having an outstanding support system backing you up. “It makes you feel safe and not alone. You’re really part of the family. I also love that the franchisor encourages open communication amongst other franchisees because if you help one another you are always rewarded. You’re on a team – franchising is a team.” Like most millennials, Mucek stays current with social media. “COBS is such a fantastic brand. The products are delicious, mouth-watering and they look so good in pictures that it’s so easy to sell on social media outlets.” She says the company also keeps franchisees current by researching different trends. Mucek does her own research as well. She says the product is very appealing to millennials. “Millennials really want the freshest products that are healthy and visually appealing. They also want the knowledge that when you shop at a COBS, you’re supporting a small business that gives back to the community every day.” Not only does she love the healthy and tasty products her franchise sells, but she loves the way the company is run. Mucek explains, “Much of the company’s success is based on its proven business model and the transparency of sharing data and ideas across the network.” She says COBS offers outstanding support to its franchisees. “It’s hard to fail because you have such a good support system and everyone feels like family. Their human resources contact, Valerie, is so prompt and knowledgeable, IT is always on call so any staff member can call them anytime. If they can’t solve it right away, they send a technician in. There’s a lot of financial guidance as well as strategic marketing support.” The company has an e-learning platform that is great, says Mucek, for training new and current employees with everything from health and safety, food handling, and marketing. “It’s an invaluable resource.” Mucek says support moves beyond just the franchi-
www.cfa.ca | www.FranchiseCanada.Online
Millennials in Franchising sor and extends to the company’s network of franchisees across the country. “One thing that’s unique is that if there is any questions you need answering, you can call any franchisee anywhere, even in Alberta, which I’ve done in the past. You can also ask any area manager as well. It’s such a stress relief to have partners that want to help me succeed. You never feel alone.” And, of course, ‘The End of the Day’ program is a rewarding feature for the community and franchisees alike. Mucek explains different charities sign up for the program and two or three a night come by and pick up goodies. “We always hear these wonderful stories about how we’ve helped somebody. We’ve also had customers come back and say they fell on really hard times and went to local community groups who had our bread. Now they’re loyal customers.” The company has donated more than $250-million worth of fresh baked bread and treats to charitable organizations since 2003 across Canada and the U.S. Mucek describes her experience as a COBS franchisee as ‘thrilling’. “Everyday is very different and no matter how much I plan, something always comes up. I always love connecting with my customers and my staff. Sometimes my schedule is very flexible, which allows me to put myself wherever I am needed. But, you will always find me at the back baking.” Her advice to incoming franchisees. “Research, research, research. You have to find a company that is really suited to your values because it becomes such a big part of your life. It needs to feel really comfortable. I love how important it was for COBS to give back to the community. The brand never compromises so why should I? I was very happy and lucky to work with COBS Bread.” COBS BREAD BAKERY STATS Franchise Units Canada: 104, U.S.: 1 Corporate Units Canada: 8 Franchise Fee: $25K Investment Required New Bakery: $650k – $750k Start-up Capital Required: $200k - $250k Available Territories: British Columbia, Alberta, Saskatchewan, Manitoba, Ontario, New Brunswick, Nova Scotia, Prince Edward Island, Newfoundland and Labrador, Yukon Territories, North West Territories, U.S. In Business Since : 2003 Franchising Since: 2006 CFA Member Since: 2008
YOUR BUSINESS. YOUR SUCCESS.
YOUR PIZZA PIZZA. 21937_1/3_CFAAd_Franchising_4.75x4.625_R3.indd 1
FRANCHISES AVAILABLE www.pizzapizza.ca/franchising franchisinginfo@pizzapizza.ca
2019-02-26 11:01 AM
Franchise Canada May | June 2019 67
THE FIRST YEAR
Senior Savvy
First year franchisee takes to the airwaves to raise profile in her community BY SUZANNE BOWNESS
C
omfort Keepers Canada franchisee Erika Rendon has such a distinctive platform for setting her in-home senior business apart from competitors that it’s hard to recommend as general advice because not everyone would be able to pull it together: she launched a monthly local cable television show in Barrie, Ontario, that provides her community with useful information while simultaneously raising the franchise’s profile in her area. Inspired by the mandate of Comfort Keepers’ Nourish Senior Life program, Rendon’s cable show aims to raise awareness of diet and nutrition in the elderly population. The show features guest speakers on various topics relevant to seniors, including a speaker from the Alzheimer’s Society of Canada, who provides insight into foods that promote brain health and an osteopath with tips on bone health. Rendon hosts the show, with help from her general manager who is also a chef. They film the show in a kitchen at Amica, a local retirement residence, in order to incorporate seniors into the programming. “It’s
68 Canadian Franchise Association
a way for us to educate and promote healthy living with our seniors as well as any population, and that really kind of sets us apart,” she says. The glamour of television aside, Rendon is doing well as a franchisee—her’s is one of the fastest growing Comfort Keepers operations in Canada. Launching her business in the city of Barrie in February 2018, Rendon has built her business to include both individual clients as well as government contracts. Already, her team boasts 36 full-time and six part-time employees, including a general manager and a service coordinator. Longstanding healthcare passion With a background working in the healthcare field for the past 12 years, including more than four years as the general manager of a caregiving business, Rendon was already familiar with the space when she began to exploring franchise opportunities in the senior care category. She selected Comfort Keepers, in part, because the franchise had a Canadian office (Comfort Keepers Canada
www.cfa.ca | www.FranchiseCanada.Online
THE FIRST YEAR
is a part of the Sodexo family of companies which offer health care and senior care services globally). Since Rendon was already familiar with the healthcare space, she didn’t need as much training, but says that she found good value in the support of a financial coach provided by the franchise who connected with her on a regular basis to support her as she built her business. Franchise setup included five days of training at the Comfort Keepers head office, and focused on human resources, growth strategy, as well as training in payroll and scheduling systems. Continued support includes a helpful newsletter that keeps franchisees posted on everything from changing Annual Forum health care information to upcoming medical conventions. Today, Rendon says that 95 per cent of her client base is over 75. Most of her clients are independent seniors who require assistance with errands such as grocery shopping and transportation. In Annual Forum addition, she offers more extensive 24-hour care services. Yet another clientele are people with mobility issues, including some who are motor vehicle accident victims. AS SEEN ON While Rendon has found success in her busi-
ness, she says that the main challenges have been on the HR side, with caregiver retention. “It is probably the biggest point of contention that I have, and we continue to struggle with,” says Rendon, adding that it’s not specific to her franchise. “I think it’s a healthcare-wide issue, finding and retaining great caregivers.” She addresses the challenge by trying to offer a fair and consistent workplace to her employees. “I think first
Organization Feels Great franchise.STOR-X.com | 1.877.275.6868
Our business is making Canadian homes organized through our custom storage solutions. Our product is made in Canada and only gets produced once you send in your customers design. We work collaboratively with our franchisees, both year round and at our annual forum, to continuously improve and provide the best customer experience possible. Western Canadian franchises still available. Be a part of the STOR-X family!
Franchise Canada May | June 2019 69
THE FIRST YEAR
and foremost, it’s a level of respect for your employees,” she says, noting that incentivizing employees with perks such as bonuses and employee outings has helped. She makes an effort to ensure her employees feel like they are part of the business. She started offering health benefits to employees in 2019, a perk not always offered by the competition. To help attract more employees, she also offers a referral bonus for caregivers. Besides raising her profile through the television show and investing in Google marketing, Rendon has focused on getting involved in her community, which helps to promote word of mouth. She serves as an executive member of a committee to prevent elder abuse at a local hospital in Simcoe Muskoka. She also volunteers with the Senior Wish Association in Barrie, an organization that grants wishes to seniors in the style of the Children’s Wish Foundation. Recently, the Senior Wish Association granted an 85-year-old’s wish to do the CN Tower EdgeWalk at the top of the CN Tower in Toronto! Drawn to franchising Rendon says she was initially drawn to franchising after discovering that she enjoyed the challenge of working as a general manager. “I loved being in charge of a large managerial group, and I really enjoyed the connections that I had in the community with the big players out there, like hospital executives. I was very good at interacting with other people and I thought that it was a great time for me to own my own business, be my own boss, and really make a difference,” says Rendon. As franchise owner, Rendon’s typical workday includes everything from connecting with caregivers and families, to handling administrative tasks like payroll. A large portion of her time is also spent out in the community, at retirement homes and long-term care facilities meeting and educating potential clients about her services. She adds that the past year in business reinforced her decision to become a franchisee. “I like
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the freedom of being able to implement different areas of focus within the business.” In terms of advice she would have for other franchisees, Rendon says those in healthcare franchises have to like people and want to help others. While her health care background has been helpful in starting her business, she says that being a people person is even more essential. “I think being in healthcare definitely is helpful in terms of who you should be connecting with in the community, but as long as you are friendly and you are looking to make a difference in your community, that’s most important,” she says. Persistence is at the top of her list as general business advice. “When you first start off, a community can be a little closed off, because they don’t know who you are. We had started in a brand-new territory, so being persistent and consistent with who you are and what you are trying to accomplish, I think that that is the number one,” she says, adding that maintaining a positive attitude is also crucial. Rendon says that one of her longer-term goals is to open a respite for people in her area recovering from surgery, but for now she is happy to continue growing her business. “We are committed to our clients, we definitely believe in consistency and reliability of the caregivers. And we are just happy to be in the community and helping those that are in need,” she says. COMFORT KEEPERS STATS Franchise units in Canada: 40, U.S.: 617, International: 78 Corporate Units in Canada: 7, U.S.: 42 Franchise fee: $45K Investment required: $88K-$110K Training: Extensive Available territories: All of Canada In business since: 1998 Franchising since: 1999 CFA member since: 2004
www.cfa.ca | www.FranchiseCanada.Online
LEADERSHIP PROFILE
GREEKIN’ OUT! OPA! of Greece President and CEO Theodore “Dorrie” Karras never lost touch with his roots after moving from his native Greece to Canada when he was 19. BY ROMA IHNATOWYCZ
I
n many ways, life has come full circle for Theodore “Dorrie” Karras. The Greek-born entrepreneur came to Canada intent on pursuing a career in aircraft engineering, only to eventually find himself running a successful chain of quick service restaurants serving none other than Greek food. One could say it’s a classic case of taking the Greek out of Greece, but never really taking Greece out of the Greek. “Yes, that’s pretty much it,” laughs Karras, President and CEO of OPA! Of Greece. “Greece is always with me in spirit, and it’s not going anywhere!” While Karras’s ties to the Mediterranean country remain strong – his mother still lives there and he visits regularly – it was never his intent to sideline his engineering aspirations and end up in the restaurant business, Greek or otherwise. But as often happens in life, things evolved differently than planned. It was at the age of 19 that Karras moved from Patras, Greece, to Calgary to study at the Southern Alberta Institute of Technology (SAIT). He had family in Canada so he considered it an advantageous and practical move. He had also spent a few years in Canada as a child when
his parents had briefly relocated to the country, so his English was flawless and he spoke it like a native. But like many successful entrepreneurs, Karras always had a nagging yearning to run his own business and be his own boss. A few years after graduating from SAIT that dream turned to reality when he bought a fullservice restaurant-lounge in 1992 called Horizon in an industrial part of town. While a somewhat modest beginning, the decision set him on an entirely new career path. “When the opportunity came up to participate in the ownership of this restaurant, I took it,” says Karras. “I was 23 at the time, and I’ve been in the restaurant business ever since.” Running a typical ‘90s style restaurant-lounge was a tough slog – particularly the long hours that dragged late into the night. After a few years, Karras decided to sell the business and look for something that didn’t require late nights or liquor. An acquaintance from the city’s Greek community had launched OPA! and was starting to franchise the brand. He encouraged Karras to buy his first location, in the food court of Calgary’s CF Market Mall. “I was looking for a different direction and he was
Franchise Canada May | June 2019 71
LEADERSHIP PROFILE
That isn’t surprising given that Calgary was where the brand first launched. Founders Nick Tiginagas and Don Gebauer saw room in the city’s QSR scene for a tasty ethnic food offering that diverged from the fast-food troika of pizza, burgers, and fries. The concept was an instant mall hit, with shoppers gathering round to feast on succulent grilled souvlaki, garlic-laced tzatziki, and fetatopped Greek salad. “It was a great time to launch the OPA! Success Karras eventually grew his involvement in OPA! to 10 concept,” says Karras. “The brand was one of the first to franchise locations (four of which he still owns). He also get into the fresh, healthy food scene, which didn’t really became a shareholder in the company, a board member, exist in food courts back then. OPA! had real proteins, and then, in 2016, the company’s CEO. Today, OPA! has real lamb, real beef; you never had to ask ‘What’s this 96 franchise locations in Canada, with about a 50/50 stuff made of?’ OPA! was somewhat of a pioneer in that split between malls and street front locations. Most are respect and that helped spur on the brand’s success.” Karras plans to open 10 more franchises by the spread across Alberta where the brand is a household end of this calendar year, focusing on the Prairie provname; in Calgary alone there are 31 OPA! restaurants. inces where OPA! has pretty much cornered the Greek QSR market. B.C. is another target region, and the brand is slowly moving into more easterly provinces like Ontario, where THE MIDAS FAMILY it currently has three OPA! locations in and around the Greater Toronto Area. Further afield, Karras is launching a location in Midas is proud to be a world-class leader in Las Vegas that will act as a the automotive service industry and the gold test-project for the brand’s standard when it comes to total car care. entry into the U.S. market. When you join the Midas team as a franchisee, you’re joining a multi-billion dollar industry Other developments servicing a growing vehicle population. Build include adding some new your future with us while we expand our healthy items to the OPA! success throughout Canada. menu, which to its credit has remained relatively Contact us now unchanged since the Visit www.midasfranchise.com brand launched 20 years or call 800-365-0007 This advertisement does not constitute an offer of a franchise. A franchise offering can be made by us only after we provide you with an appropriate ago. The company is also Canadian disclosure document (as applicable in each province). Franchises may not be avalable in all provinces. looking to strengthen its in the process of selling his original location,” says Karras, who accepted the offer in 2001. “Initially I wasn’t sure if this was what I wanted to do, but after spending some time there and seeing the numbers, I was convinced I could continue to build on his success and that together we could take things to a whole different level.”
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www.cfa.ca | www.FranchiseCanada.Online
LEADERSHIP PROFILE online ordering business, tapping into the popularity of that burgeoning trend. It’s already available through SkipTheDishes, and customers can expect more customization in this area, says Karras. Passionate Involvement OPA! franchisees come from a broad range of backgrounds with very little in common among them other than a passion for the concept and a strong desire to play a hands-on role in the business. As Karras explains, “I want people who are excited and passionate about being involved in this business, people who are going to OPA! provides extensive training to new franchisees to be there to grow the brand and to grow with us. I don’t start them on that path: four weeks in Calgary divided want people who are just there to park their money and between instruction at the company’s head office and at a Calgary franchise location. After that, it’s a partnership get a little return.” OPA! locations that turn the highest profits tend to that can reap many rewards for everyone involved. “We work together to make it a successful business, be those that have just the kind of passionate personal involvement Karras looks for in his franchisees, and he and to help franchisees resolve any problems that come points to the correlation between active involvement and up,” says Karras. “That’s what I enjoy most about the business success. He also praises the franchise model work I do – finding solutions to best benefit profitability for the support, training, and guidance it provides aspir- for our franchisees.” ing business owners, as well as much-needed marketing and location-sourcing, which can be cost prohibitive for OPA! OF GREECE STATS independent restauranteurs. That’s much of the reason Franchise units in Canada: 95 why the country’s QSR scene is increasingly franchise- Franchise fee: $25K based, notes Karras. “The quick service segment is tran- Investment required: $340K - $430K sitioning into a franchise world and the independents Available Territories: All of Canada are dying out. It’s understandable.” In business since: 1998 Yet despite all the helpful underpinnings that come Franchising since: 2001 with the franchise model, Karras counsels aspiring CFA member since: 2010 franchisees to recognize that running any business – franchise or otherwise – requires a tremendous amount of work and initiative. “Some people come into a franchising business thinking it’s a turnkey operation that will run on its own, and that’s not the case,” he says. “Franchising provides you with instant methodology, systems, knowledge, and the right working tools, but there’s still a lot of involvement that’s required.” Outside of hard work and passion, Karras says the keys to franchise success are staying on the Start something good with a COBS Bread franchise. right path, understandCELEBRATE FRESH Find out more at cobsbread.com/StartSomethingGood. ing the system, and most importantly, sticking to it.
THAT SWEET
SMELL OF SUCCESS
ISN’T JUST FROM
OUR FRESHLY BAKED
BREAD
Franchise Canada May | June 2019 73
A DAY IN THE LIFE
Making Business…Personal Hendrik Botha finds his calling with the Nurse Next Door team BY KRISTIN DI TOMMASO
B
efore Hendrik Botha even began his franchise research, he knew one thing for certain: if he was going to invest in a franchise, it had to be with a company whose mission was to help others in need. “I knew as an entrepreneur, whatever business I was going to get myself into, was going to consist of long hours and late nights for me to be successful,” he says. “That’s why I wanted to find a business where, if I had to work those long hours, I would be doing something meaningful.” Enter Nurse Next Door. Founded by John DeHart and Ken Sim, the Canadian franchise has changed the way seniors and their families look at home caregiving since its founding in 2001. With a belief that seniors can stay at home with the right care, Nurse Next Door is dedicated to finding the perfect caregiver for their aging clients and bring “Happier Aging” to the forefront of care.
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In the nearly 20 years since first opening, the Vancouver-based brand has expanded rapidly across Canada and the U.S., quickly becoming one of North America’s fastest-growing home care providers. In late 2018, Nurse Next Door made a splash overseas when it awarded its first international master franchise agreement to a master franchisee in Australia. With over 190 locations, it’s easy to see why so many people, from franchise partners to seniors, are drawn to Nurse Next Door. The franchise’s feel-good motto is a selling point for clients and investors alike, and was the deciding factor for Botha when he invested in the franchise in 2016. Today, the South Africa-born franchisee is using his status with Nurse Next Door to give seniors and their families a relaxing and stress-free transition into home care services throughout his Halifax community.
www.cfa.ca | www.FranchiseCanada.Online
A DAY IN THE LIFE Finding the Perfect Balance Botha will be the first to tell you that his responsibilities as a small business owner are much different today compared to when he first opened his Nurse Next Door location. Days back then typically began at 6 a.m. and could last up to 12 hours. At the time, the franchisee couldn’t afford to hire administrative help, which meant he was handling everything from hiring nurses and caregivers to billing and payroll. These early mornings and late nights didn’t deter Brotha. If anything, he welcomed the challenge. “When I first started, I never worked so hard in my life,” he says. “It was crazy hours but that’s the thing about starting a business. It requires a lot out of you, but it’s to be expected because everybody warns you about it.” Today, things are a little different. As Botha’s Nurse Next Door franchise grew, he was able to hire additional staff including an Administrative Assistant and People’s Coordinator to assist with the training and onboarding of nurses and caregivers in addition to continuing education. And with 50 nurses and caregivers on staff, Botha says he is now in a position where he can focus on business development. “I have people who can work in my business while I work on my business,” Botha explains. “My role really went from doing the actual work to growing our clientele, working on marketing campaigns, and training and managing my staff to ensure they have all the tools they need to help us succeed and continue to grow.” Botha is just three years into his new career, but is already serving 45 families in his community. When it comes to hiring the nurses and caregivers who will assist this clientele base, the franchisee says he ultimately looks for people who have integrity, are compassionate, and have the proper medical qualifications. Nurse Next Door caregivers need to be Licensed Practical Nurses or a Registered Nurses in the province they are operating and must also be active and in good standing with the College of Nurses. Botha says recruiting nurses is the most important and challenging aspect of his role as a franchisee, especially in Nova Scotia,
where there is a nursing shortage throughout the province. For Botha, this means he is competing with hospitals and other caregiving facilities to recruit nurses. Though this specific staffing challenge may not apply to all Nurse Next Door franchisees, Botha says no matter what the challenge, the franchise provides of its franchisees with the support they need to find success, specifically through their 24/7 call centre. Because Nurse Next Door provides non-stop care, franchisees are also obligated to be on-call at all hours. But Botha says calls from any of his clients, including scheduling support, are first directed to the Nurse Next Door call centre, which he says is an added bonus of working with the brand as it relieves some of his own duties. “Our care services are great because they really help you scale your business fast!”
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A DAY IN THE LIFE
Leading by Example Never one to shy away from a challenge, Botha has always been realistic in his expectations of what it means to be a small business owner. Still, nothing could have prepared him for joining the Nurse Next Door team. Having spent over a year researching home care franchises to invest in, when Botha finally discovered Nurse Next Door, it seemed too good to be true. Not only was the brand 100 per cent Canadian – an important factor for the entrepreneur – but it provided nonmedical care in addition to medical care, signalling that the franchise was committed to helping seniors live happier lives even if they did not have a serious medical condition. Ultimately though, Botha decided the franchise was the right fit for him because of their stance on revenue. “When I interviewed with other companies, it was all about numbers and they were telling me how much money I was going to make,” he says. “When I interviewed with Nurse Next Door, all they talked about was how they cared about people. It was like I ran into a brick wall.” Feeling compelled to ask about the numbers during his initial meetings with the Nurse Next Door team, Botha was again surprised by the answer he received. “They just said, ‘Listen, if you care, provide a good customer experience, and are passionate about what you do, the rest will fall into place.’” The response sealed the deal for Botha and today he is using the Nurse Next Door culture to lead and inspire
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his own team. He’s also using the franchise’s leadership to inspire entrepreneurs who, like him, want to own a business where they can make a difference in the lives of those they serve. If you ask Botha what it takes to find success with Nurse Next Door, he’ll say first and foremost you must have a calling for entrepreneurship and an innate knack and passion for caring for others. Ultimately though, he says what helped him succeed was reaching out to as many Nurse Next Door franchisees as possible to hear about their experiences. “I found great value in talking to other franchise partners,” he says. “But it’s important to not just talk to the franchisees that are doing well. You should be talking to everyone, even the ones who aren’t as successful. This will help you form a picture of what your life could look like as a franchisee. Then you can make an informed decision about whether you want to invest.” NURSE NEXT DOOR HOME CARE SERVICES STATS Franchise units in Canada: 66, U.S.: 127 Corporate units in Canada: 9 Franchise fee: $65K Investment required: $112,500-163,700K Training: 1 week at Head Office plus ongoing support Available territories: Canada, U.S., Australia, UK In business since: 2001 Franchising since: 2007 CFA member since: 2007
www.cfa.ca | www.FranchiseCanada.Online
ICONIC BRAND
Putting the Customer First
For generations, McDonald’s® has maintained its status as a leader in the quick service restaurant business with a franchise system that ensures its loyal customers receive the same quality and consistency at any location in the world.
A
BY GINA MAKKAR
s a kid, going to McDonald’s was an experience. The sight of the golden arches and the anticipation of a burger stirred excitement. Whether it was a birthday party, a happy meal with family, or an outing with friends, going to McDonald’s was all about good fun, great food, and wonderful memories. It is this flicker of nostalgia that warms us, and has made McDonald’s the iconic brand it is today.
The making of McDonald’s In 1954, Ray Kroc, the exclusive distributor of a milk shake maker called the Multimixer, discovered the McDonald’s hamburger stand in California, owned by Dick and Mac McDonald, was running eight Multimixers at a time. Intrigued, he visited the McDonald brothers. Impressed by their quick service burger concept, he quickly became their franchise agent, and opened the first McDonald’s restaurant in Des Plaines, Illinois in 1955.
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ICONIC BRAND The company opened 700 restaurants by 1965, and went public with its first offering on the stock exchange. In 1967, the first McDonald’s restaurant outside the United States opened its doors in Richmond, British Columbia. Today, McDonald’s Restaurants of Canada Ltd. owns and operates over 1,400 restaurants and, along with its franchisees, employs 100,000 Canadians coast-to-coast. The evolution A leader and innovator in the QSR market, McDonald’s stays ahead of the curve by remaining responsive to what guests want. While familiar options have been constants over the years, like the ever-popular Big Mac, others, like the McPizza, made a brief cameo and faded from the menu. With visionaries like John Betts, President and CEO of McDonald’s Canada at the helm, many successes have been put in motion. In 2017, the company introduced their Velocity Growth Plan, aptly named for the fastmoving, clearly-defined direction. The focus: to provide what guests want; hot delicious food served quickly for an experience that exceeds expectations. The key pillars of the growth strategy are to retain, regain, and convert the guest experience. To retain guests, McDonald’s continues to focus on extending offerings in their areas of strength, like offering allday breakfast. The changing menu incorporates what guests want, from healthier options to preservative-free burgers and breakfast options made with cage-free eggs. The goal is to reengage guests with an enhanced menu at a good value. Lastly, McDonald’s aims to convert casual customers to committed customers with coffee and snacks. McCafé, with its premium coffee, specialty coffees, smoothies, and baked goods, has been in high demand since its onset a decade ago. Coffee consumption is on the rise, with more young Canadians making coffee their beverage of choice than ever before. In fact, the launch of standalone McCafé locations at Union Station and the Exchange Tower in downtown Toronto have been so positive, the company recently opened two more street level locations in downtown Toronto. The unique menu and smaller footprint will allow the brand to expand to high-density urban locations. Establishing McCafé as a café destination is part of the ongoing strategy to evolve the brand. Franchisee success Successful McDonald’s franchisees are professionals that come from all walks of life. The company seeks candidates that love the brand and have a track record of great leadership. Franchising Manager Tom Marlow says it doesn’t matter what business background they come from, as long as they understand the fundamentals. “The
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“We’re in the hamburger business, but really, we are in the people business, because that’s how we get things done every day.” fundamentals are understanding how important it is to please the guests in our restaurants. It’s also a person who understands business, has business acumen, and has a proven track record of how to grow a business.” With 80 to 100 people employed at every restaurant, teams range from first time job holders to long-term employees. A successful franchisee comes to the table with a history of great leadership skills so they can foster the McDonald’s goal of being an employer of choice. McDonald’s popular tagline, ‘I’m lovin’ it’, extends beyond the delicious food for the brand’s franchisees. “McDonald’s itself is an iconic brand. We are in the burger business, and you have to appreciate and love that as well,” says Marlow. “If I meet someone who has a history of success in business, we’re happy to talk about how they can fit into the culture here at McDonald’s.” Globally, McDonald’s has endeavored to ensure consistency, no matter which golden arches you walk through anywhere in the world. It’s a hallmark of the brand’s success, and the same attention to detail trickles down to the commitment and support of their franchisees. World-class training embraces not only the initial guidance provided to franchisees, but the training they’ll have to manage and execute when they eventually manage their own teams. The training program and ongoing support continues to evolve as the business changes. “We are guestcentric, and depending on what guests are looking for, we have to make changes to accommodate those needs.” Franchisees are provided a lot of support. Not only do field service teams protect the consistency of the brand, they’re on the ground in the restaurants, helping grow the business by sharing best practices and helping address challenges. Marlow’s advice to prospective franchisees? It’s all about the people. Whether it’s a kid, or an adult that remembers being a kid, the McDonald’s experience is something people remember, and the franchise constantly evaluates itself to ensure that consistent guest
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ICONIC BRAND experience is part of their success. “There’s two people in our business. There’s the guests that come in every day, and if you’re not thinking about the guest experience than you’re probably not going to meet your goals. And you always have to be thinking of the people who serve those guests. Yes, we’re in the hamburger business, but really, we are in the people business, because that’s how we get things done every day.” Franchisees that go for gold For Kathie Gilmour, the shine of owning a construction company began to dull after 20 years in the business. “I was almost 50 years old and felt stuck in my industry. I never thought I would change career paths or have the opportunity to.” Encouraged by her husband and brother, she applied for the McDonald’s Registered Applicant Program in 2013 and was approved. “It was the best thing that ever happened to me, to be accepted in to that program and to be involved with McDonald’s. I’m thrilled to be an owner-operator.” The program takes nine months to two years to complete, and applicants train from the ground up, learning everything from how to drop fries to working the drive-thru to moving into management. “It was a challenge working eight hours a day on the restaurant floor. If it wasn’t something for you, you’d know it in the first three months,” says Gilmour. “I was placed with a wonderful owner-operator that was hands-on. It was an extraordinary experience.” Gilmour moved to multiple markets to gain exposure to different levels of management, working shoulder-to-shoulder with a female owneroperator toward the end of her journey. “There aren’t as many female owner-operators in the system, and I was really happy to have that experience. She was structured and routine-oriented, which is how I’d run my market, and her people were always number one for her. I felt really connected.” The training ended with a mentorship program among the best owner-operators in Ontario, and Gilmour reached out to as many as she could, gaining insight and developing relationships along the way. “To this day, I can contact any of those owner-operators at any time, and they will support me and mentor me and share with me. Some have been with McDonald’s for 20 to 30 years. They’ve seen everything and done everything, and when I’m struggling to find a way to make something work, I reach out and they get back to me right away. The owneroperator community is such a cohesive group of people that share the same vision, and to me that equals success.” For Gilmour, the support was an integral part of her success, from regular visits by a business consultant to check-ins with the director of Ontario. “There’s always someone to help me and support me if I’m falling off balance or feel like I’m overwhelmed. That’s the best part about McDonald’s. They do everything in their power to set us up for success, and it’s never just lip service. They always follow through.” Gilmour’s advice to prospective franchisees. Reach out and try it. “If you go through the Registered Applicant Program and you follow the training provided, there’s so much support, I just don’t see how you can fail. I feel like I won the lottery. Every day is a good day, even when it’s a challenging day, it’s still a good day because I’m a McDonald’s owner-operator.”
Franchise Canada
MCDONALD’S STATS Total units in Canada: 1,450, U.S.: 14,155, Other: 21,294 Franchise fee: $45K Investment required: $800K unencumbered funds Training: 1-2 years Available Territories: All of Canada In Business Since: 1967 Franchising Since: 1968 CFA Member Since: 1976
2179 H2H CFA 2.25 x 6.5
Business is (baby) booming! There are now more seniors than children in Canada.* • Own your own franchise delivering frozen meals to seniors • Proven growth opportunity • $0 royalty and $0 ad fund • Limited territories remaining in Ontario, Manitoba & Nova Scotia For more information call, Pedro Santos 1.647.761.4465 pedro.santos@apetito.ca or visit HeartToHomeMealsFranchise.ca
CFA Franchisees’ Choice 2017, 2018
*Source: Statistics Canada, 2016 Census of Population
May | June 2019 79
SHOW ME THE MONEY
4 FRANCHISES UNDER $50K Franchising is about diversity. Franchise opportunities may be found in nearly every industry and business sector. It’s a great way for Canadians from all walks of life to go into business for themselves but with the support of a franchise system behind them. One of the most important considerations for a prospective franchisee is investment level. Figuring out a budget that fits with your financial situation and goals will help you to zero in on the franchise opportunities that might be the best match. With so many opportunities, there is a franchise for everyone at a variety of investment levels. Here, Franchise Canada showcases franchise systems in which you can invest under $50K.
Above Grade Level
Furniture Medic of Canada
Above Grade Level provides in-home, one-on-one, world class tutoring in math, English, and more. Their expertly-developed, customized, proven curriculum is so effective that the franchise ‘guarantees’ that their students will improve by at least 1-grade level or 10 per cent. With over $1-million invested in their teaching materials and 10,000s of student success stories over 30 years, new franchisees can have every confidence in their future success. In two weeks, you’ll learn how to run a thriving tutoring business with a low upfront investment. Franchise Units in Canada: 5, U.S.: 16 Franchise fee: $19,990 Available territories: British Columbia, Alberta, Saskatchewan, Manitoba, Ontario, New Brunswick, Nova Scotia, Yukon, Northwest Territories Training: 2 weeks of online training In business since: 2013 Franchising since: 2013 CFA member since: 2013
Furniture Medic - wood, furniture repair/restoration, offering affordable alternatives to the replacement of furnishings/fixtures both residential and commercial. Furniture Medic of Canada’s services are needed in homes, offices, hospitals, hotels/restaurants, and more. Servicing furniture manufacturers and retail outlets, hospitality, and moving industries. Experience not necessary, but handyman, woodworking, or furniture repair experience serves as a good base. The franchise offers the tools to run your business including training and marketing. Franchise units in Canada: 36, U.S.: 220 Corporate units in U.S.: 8 Franchise fee: $24,500 Available territories: All of Canada Training: Yes In business since: 1993 Franchising since: 1993 CFA member since: 1992
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www.cfa.ca | www.FranchiseCanada.Online
SHOW ME THE MONEY
Resume Hut
Sportball Systems Inc
Resume Hut has been providing employment related consulting services in Canada for 30 years. The company has decided to undertake an aggressive international expansion and grow the business through a franchise model. The underlying reason that the Owner-established and respected business is being offered as a franchise is in order to keep the selling price low and maintain quality control over the brand and primary service branding. The owner will stay connected to the business and available for support! The company has a track record of amazing results and has a huge client base which comes to us predominantly on a referral basis. Resume Hut is currently looking for franchise owners throughout Canada. Franchise units in Canada: 2 Franchise fee: $5,000 Training: Online training: 3 weeks plus ongoing support Available territories: All of Canada, U.S., International In business since: 1986 Franchising since: 2013 CFA member since: 2013
Whether you’re interested in SportBall’s larger urban market franchise opportunities or in the system’s smaller market franchise model, both provide an attractive and rewarding business opportunity for those who love working with children and who recognize the benefit of sports and activity-based programming. As leaders in the field of children’s health and physical literacy, Sportball offers high-energy, fun skills-based classes, camps, and clinics for kids aged 16 months to 12 years. Franchise units in Canada: 429, U.S.: 205 Corporate units in Canada: 319 Franchise fee: $25-$30K Investment required: $50K - $60K (min) Training: Yes Available territories: Alberta, Manitoba, Ontario, U.S., International Franchising since: 2005 In business since: 1995 CFA member since: 2006
Find franchises by investment level on LookforaFranchise.ca
Want to find franchises at a particular price point? Searching by investment level is just one of the search options available on Franchise Canada’s online franchise directory at LookforaFranchise.ca. This website is powered by the Canadian Franchise Association and part of Franchise Canada’s suite of products for aspiring franchise owners. Build your profile on LookforaFranchise.ca and browse available franchises, request more information directly from the companies you’re interested in, and access exclusive Franchise Canada content online.
Franchise Canada May | June 2019 81
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FRANCHISE FUN
EAST COAST FLAVOUR Steve Collette, motivational speaker, Co-Owner and Co-Founder of 3rd Degree Training and Actual Nutrition, has grown the franchise to become one of Atlantic Canada’s foremost health and fitness brands.
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FRANCHISE FUN Staying fit and maintaining a healthy lifestyle takes passion, optimism, and of course, energy. Franchising is no different. Backed by these three qualities that are conducive to both physical fitness and success in the franchise industry, 3rd Degree Training and Actual Nutrition Co-Owner and Co-Founder Steve Collette has helped grow the brand to a thriving system of fitness centres with locations across P.E.I., New Brunswick, and Nova Scotia. 3rd Degree Training and Actual Nutrition recently sold their first area development, taking a major step towards national expansion across Canada. Franchise Canada caught up with Steve for a little bit of Franchise Fun to see what he and his thriving fitness brand are all about! The most interesting thing I’ve done recently is… Delivering a philosophy of wellness speech to the philosophy/theology department at our local university. In its best form, work is… Fun, inspiring and full of challenges. If you love what you do you’ll never work a day in your life. A good franchisee… Loves the brand, follows the system, communicates, is coachable, and is always passionate about the concept they invested in. Your franchisees are your brand. A good franchisor… Listens, communicates, embraces change, and is a solid leader. My top advice for prospective franchisees is… Research your franchise options. In order to flourish you must love the franchise system you’re investing in. My top advice for new franchisors is… Align yourself with a great team including legal, accounting, and growth management. Create a profile of the franchisees that you feel would best match the vision you have for your brand.
The most important thing in life is… Family. Once my son Lukin was born, everything changed. I’m fortunate to have my wife as my business partner, which can have its challenges at times but is so rewarding. One of the most enjoyable things to do is… Gaze at the night sky and embrace all the questions that you will have. The hardest thing for me to do is… Shut my brain off. It is both a gift and a curse. My favourite drink is… Of course, water is important but I would have to say my favorite alcoholic beverage is Gahan Iron Bridge Brown Ale. If I could change one thing… I would have studied philosophy as a younger man. One of the best things I’ve done for myself is starting that journey in my 30s. If I could meet anyone… Thomas Aquinas or Plato. The person who has had the most positive influence on me as a businessperson is… I can’t choose just one. I would have to say my father in law, Ray, Ken LeBlanc and the team at Property Guys.com have all been amazing mentors for me. I also have to give a shout out to Sherry McNeil who was my mentor with the CFA mentor/ mentee program.
Canadian franchising is… Booming. The future of franchising in Canada is very bright. My franchise system began because… I wanted to expand our awesome concept while creating business opportunities for other passionate entrepreneurs. It was a perfect fit. The most positive influence on my life as a person is… My son Lukin. When he was born a switch went off and watching him grow is a great privilege. The key to success is… Having grit, optimism, and surrounding yourself with the right people. Also knowing that failure is part of the journey and to learn from your mistakes. I’d like my friends to describe me as… Loyal, compassionate, and a true extrovert. The accomplishment I look forward to the most is… Having franchises in every municipality across Canada. My personal motto is… Well there’s a couple of them. Regret is a byproduct of not trying. If you’re the smartest person in the room you’re in the wrong room. One necessary item on my life’s “to do” list is… To complete the journey of getting a PhD in philosophy.
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ASK A LEGAL EXPERT
What do I need to know about franchising in the cannabis retail space?
ON OCT. 17, 2018 Canada put itself on the map by being only the second country in the world – and the first G7 nation – to legalize and regulate the recreational use of cannabis. While the production of cannabis is regulated by the federal government, the distribution of cannabis has been left to each province to regulate. In Ontario, the provincial government has adopted a model in which the online sale and wholesale of cannabis is run by the province, and the bricks-and-mortar retail sale of cannabis is left to the private sector. This has opened the door to significant business opportunities in the space, and the potential for the franchise business model, or at least parts of it, to play a major role in the industry. The current Ontario regime restricts the number of cannabis retail store authorizations that may be issued to a single retail store operator and their “affiliates” to 75 stores. There are also restrictions on the involvement of federally licensed cannabis producers (“LPs”) in the cannabis retail market. LPs and their “affiliates” (“affiliate” is defined very broadly in the regulations) are only permitted to have one retail store, and such retail store must be located on the LP’s licensed premises. The Government of Ontario has stated that the reasons for this limitation are to prevent an inappropriate degree of market consolidation and to promote opportunities for small businesses and investment in the cannabis retail sector. Recently, the Government of Ontario decided that it would allow only 25 retail store authorizations before December 13, 2019 and that these 25 applicants would be selected by way of a random lottery. On January 11, 2019, the 25 lottery winners were selected. Absent from the list of winners were any recognized or established cannabis companies. Successful lottery winners are required to open their stores by April 1, 2019 or face fines of up to $25,000. Many market participants and observers expressed concern regarding the lack of experience and expertise of the lottery winners, and whether they’d be able to have a store operational by the tight April 2019 deadline. Most, if not all, of the lottery winners had little if any experience in the cannabis industry or with running a business. Concerns also arose regarding whether applicants would have access to sufficient resources to get a cannabis retail business off the ground. To many, the franchise model appeared to be the answer. The involvement of sophisticated commercial parties equipped to manage a network of franchisees made sense. So too did the uniformity in management, policies, and procedures typical in the franchise busi-
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ness model. It was, at the time, also thought to be a potential way around the strict rules regarding the number of retail store authorizations one retail store operator could obtain. However, according to the Lottery Rules published by the Alcohol and Gaming Commission of Ontario (the “AGCO”), those selected in the lottery to apply for a licence are “not permitted to change their applicant type, ownership and/or corporate structure in such a way that would result in a change of control of the applicant or licensee during the lottery process.” Under the Arthur Wishart Act (Franchise Disclosure) (the “Act”), a “franchise” is generally defined as a right to engage in a business in which (i) the franchisee is required to make a payment or continuing payments to the franchisor, (ii) the franchisor grants the franchisee a license to use its trademark in association with the sale of certain goods or services, and (iii) the franchisor exercises significant control over the franchisee’s operations. Thus, depending on how one interprets what a franchise is under the Act and what a “change of control” means under the Lottery Rules, franchising may or may not be permitted. As a result of this ambiguity and in response to public inquiries around the permissibility of a franchise model, the AGCO published an update to the Expression of Interest Lottery – FAQ which expressly states that a lottery winner may not enter into a franchise agreement without considering its impact on the control of the lottery winner. According to the AGCO, if the franchise agreement, or any other agreement, results in a change of control of the lottery winner, it is prohibited and the lottery winner may be disqualified. A common misunderstanding and important distinction when evaluating the suitability of a franchise structure is that controls exercised in a franchise model are directed to method of operations and adherence to system standards intended to protect the franchisor’s brand, and not “control in fact” over the franchisee or the franchise’s business. Franchising is a proven format that allows smaller, inexperienced entrepreneurs to enter into business for themselves using the resources, know-how and established business practices of more sophisticated retailers. As a result, we are seeing lottery winners entering into a variety of arrangements in order to address their limited operational expertise and lack of resources. Lottery winners are partnering with market players who have the know-how, infrastructure and resources to operate a successful cannabis retail business. Examples of these collaborations include traditional franchise arrangements (with heavily diluted control provisions to
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allay AGCO concerns), consulting agreements, and management services agreements, to name a few. Given the high stakes and the current and future value of cannabis retail licenses, the recent statement by the AGCO warning applicants against entering into franchise agreements may have caused many lottery winners to avoid employing a traditional franchise model. However, when analyzed closely, many of the alternative arrangements being used still exhibit many of the features implicit in a traditional franchise model and are the same in substance to a franchise model. The cannabis retail market in Canada is a multi-billion dollar opportunity. The people best equipped to efficiently and profitably run the cannabis retail market should be the ones doing so. Arrangements that facilitate this model should be encouraged, so long as they operate within the parameters of the rules and legislation. For the reasons discussed above, franchising or business models that share qualities with the franchise model are wellequipped to address concerns expressed about the lack of experience, capital, and expertise of lottery winners. So, if you are approached with an opportunity to participate in a commercial arrangement in the cannabis retail space, what should you do? First, whoever you partner with and whatever commercial structure is employed, be sure that the distribution of control is your own and accords with the restrictions imposed by the legislation, the AGCO, and your
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licence. The types of commercial structures out there will otherwise be limited only by the creativity of the lottery winner and their business partners. Second, be aware that no matter who your potential business partner may be and no matter what licences they may possess, you will still need to apply for and obtain a retail operator licence and a retail store authorization from the AGCO. Thus, there is a risk your application may be unsuccessful. As such, you should always negotiate safeguards in your agreement with a potential business partner to protect yourself. Such safeguards may include guaranteed payments and indemnities. Finally, lawyer up. Be sure to obtain legal representation as early on in the negotiation process as possible to ensure your interests are adequately protected and that your contemplated business arrangements are onside the rules. Both your lawyer and their law firm should have experience in franchising and in the cannabis retail space. Helen Fotinos Partner Dentons Canada LLP helen.fotinos@dentons.com Stuart Ruffolo Articling Student Dentons Canada LLP
ASK A FRANCHISE EXPERT
What are the benefits of Debt, and what are the key considerations when evaluating my options? WHEN FRANCHISEES ARE LOOKING to start, grow, or expand a franchise business, one of the first questions they need to consider is: “Where will the capital come from to open this location?” At the heart of the question is whether raising capital to purchase the franchise, build, and grow it is the right option for you and your business objective. In order to effectively answer this question, let’s take a quick look at some of the financing options that are available to prospective franchisees. Raising capital through financing falls into two main buckets: debt and equity, which can both be used to grow a business. Debt is borrowing money with the obligation to repay. This most commonly takes the forms of term debt (either long-term committed facilities – between
one to five years or short-term facilities – demand facilities less than 12 months) and overdraft or line of credit facilities. Typically, debt is repaid with interest over a specified period of time, and has implications on your business’ cash flow, which need to be taken into consideration when evaluating a specific growth opportunity. Financial institutions such as banks readily provide various forms of debt. Equity, on the other hand, is usually provided in exchange for ownership in the business and a share of the profits. Equity can be provided by you, the franchisee, or from other investors and/or partners. Equity typically does not have scheduled repayments during the term of the investment, though specifics can vary. While some portion of franchisee equity capital on
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ASK A FRANCHISE EXPERT a new project is necessary, this article will focus on the debt considerations for your franchise investment. Taking on debt to grow your business should only be considered if there is a tangible benefit provided from the use of that capital, either in the short or long-term. Simply put: How will you benefit from taking on debt? A net benefit in cash flow (new cash inflow less debt repayments) should be the first consideration when considering taking on debt. You must asked yourself if you can grow your revenues through either a renovation, expansion, or building a new facility. If taking on debt allows you to satisfy any of these questions, then it is time to evaluate the second main consideration: How much additional cash flow will I generate? And is that amount of net cash flow enough to make the effort worthwhile. Additionally, it is also important to understand the long-term implications of your growth. What will be the benefits of this project when the debt is fully repaid? How much additional cash flow will I generate that I otherwise would not be generating? How much is the business worth if I look to sell it? Debt often allows franchisees to achieve higher levels of free cash flow and greater overall business values in less time than if expansion were delayed. The ability to achieve these states faster through use of debt is the largest benefit that it provides. Once the decision to take on debt is made, there are several key factors to consider. Total debt amount, price, amortization, and Security are the first primary factors that come to mind for most franchisees as they have the greatest impact on annual repayments and yearly cash flow. They provide the basics to make an informed decision. It is important to understand the impact that these factors may have on your proposed facility. For example, an amortization of 10 years versus five years will lower your annual debt repayments by 43 per cent (all else being equal). While this example may be drastic, such changes can mean the difference between a project that is viable, and one that is not. But while any of these factors may provide a differentiation between various financial institutions, they
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should not be the only factors used to evaluate the benefit of a financial lender. As mentioned earlier, total debt amount, price, amortization, and security are important factors, and are most easily used to compare financial institutions. But there are several other considerations that are just as important which should be discussed and explored, including: •F ees: What is the initial application fee? What are the ongoing annual fees? What is the annual review fees? What are the fees for banking services? Often these can offset any perceived rate benefits offered by one financial institution versus another. •F inancial Covenants: Will my cash flow allow me to meet my covenants easily? How much room do I have if revenues slow down? Is my pro forma realistic, or will there be cash flow issues? How frequently are covenants being tested? •A ppetite for Growth: Does your financial institution have a desire to continue financing your future development? Can you get a pre-approval for future growth? Are they evaluating your business holistically, or on a unit by unit basis? These are just a few of the additional items that should be discussed with your financial institution when evaluating your debt options. A financial lender should be able to walk you through various lending options and scenarios, present the implications (both favourable and adverse) on your business, and be there to answer any of your questions. A financial lender should be a partner to your business, so never hesitate to ask them about any of the above.
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Tom de Larzac Head of Franchise Banking HSBC Bank Canada
FRANCHISE TUTORIAL
TUTORIAL 23: THE FUNDAMENTALS OF FRANCHISING
INTRODUCTION TO DISPUTE RESOLUTION DESPITE BEST EFFORTS, there may come a time during a franchise partnership where franchisee and franchisor disagree. This is a reality in any relationship. Maybe you disagree with how national advertising dollars are being spent, or think new menu items being introduced will not sell well in your market. Many franchisors have a franchisee advisory council where issues can be dealt with as a group. Another approach is to simply talk to the franchisor. Many issues can be resolved by open communication between the parties with mutual respect for each other’s viewpoint. Set up a face-to-face meeting and present your case, but at the same time keep an open mind and listen. You may not have heard the research and logic behind the decision. Similarly, the franchisor may not have fully taken into account franchisees’ firsthand experience. If agreement still cannot be reached, there are options. The Canadian Franchise Association (CFA) has an Ombudsman program, a free program available to all franchisees and franchisors in Canada. The Ombudsman will listen to one or both sides and try to facilitate communication. All discussions are completely confidential and done informally by phone. Contact the CFA Ombudsman at 866-443-8255. A franchise agreement will typically address dispute resolution. The agreement may make reference to both parties being required to go to mediation to resolve differences. Mediation is an effective way to resolve disputes that is quicker and often less costly than going to court. The costs of mediation are shared by both the franchisee and franchisor and will vary depending upon the complexity of the disagreement. The process is formal and involves both parties meeting face-to-face with a neutral third party facilitating discussions to reach an acceptable agreement. Mediation is voluntary and nonbinding. Find a neutral mediator that both the franchisee and franchisor agree upon. If an agreement cannot be reached through mediation then arbitration becomes the next step to resolving the differences. Whereas mediation is non-binding, arbitration is binding and may result in a decision that is not acceptable to one party. It is a quicker and more efficient process than going through the courts and often less costly. By going to arbitration, the parties agree to give
up their rights to pursue the dispute in court. The arbitration must be agreed to by both parties. The arbitrator is ideally someone who understands law and franchising, often a lawyer or judge. The franchisee and franchisor typically must agree on an arbitrator. If an agreement can’t be reached then often the franchisee and franchisor will each pick an arbitrator and the two arbitrators then pick a third. The arbitration process is then conducted before a panel of three arbitrators. This will result in the costs, shared equally by the franchisee and franchisor, being as much as three times more as that of a single arbitrator. The arbitrator(s) listen to both sides and review all evidence. This may take several days or several weeks. Once all material is reviewed, the arbitrator(s) deliberate before making a final decision. The entire process may take several months. The last method of dispute resolution is going to court. In some cases this may be the only way to find a solution, although it is the most costly and can take years to resolve. This method is one both franchisees and franchisors should look to as a last resort. Disputes are often a part of any long-term relationship. Good franchisors are sensitive to individual circumstances but make decisions for the system as a whole. Communication and discussions often resolve many issues. If not, it is prudent to understand the resolution alternatives.
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FRANCHISE TUTORIAL
TUTORIAL 24: THE FUNDAMENTALS OF FRANCHISING
INTRODUCTION TO TERMINATION, TRANSFERS AND ASSIGNMENTS AT SOME POINT DURING THE FRANCHISE relationship there may come a time where a decision is made to bring the franchise partnership to an end. The franchise licence term may simply come to an end and you may decide not to renew, or there could be other reasons why an end of the franchise agreement would take place. All franchise agreements make reference to defaults. This is where you are in breach of the franchise agreement. The franchise agreement has obligations that you must meet, and to fail to meet these obligations will cause financial loss to the franchisor or cause damage to the franchise brand. Some defaults can be corrected or “cured.” Examples would be non-payment of royalties or fees, noncompliance with standards, or failing to submit reports and financial statements. In these cases, the franchisor will give you a reasonable amount of time to cure these defaults, usually 14 days. If you need more time due to unusual circumstances, let the franchisor know and they will often grant extensions. If you still fail to cure the default, then the franchisor has the right to terminate the agreement. Through your actions, you will decide whether or not the agreement comes to an end. There will be some instances where the franchisor has the right to terminate the franchise agreement without notice due to your actions. It may be that you have charged a security interest or sold the business without the franchisor’s permission, intentionally provided false or misrepresented financial statements, or you have given away confidential information. It may be that your company has gone bankrupt, into receivership, or simply been abandoned. These circumstances all reflect a failing business. It is important to remember that a good franchise system will usually minimize your risk, but does not make you immune. The nature of business is that there will always be a chance that the business will fail for a variety of reasons. Ideally, you and the franchisor have been communicating and dealing with the shortfalls of the business long before it gets to this stage. Know that, in the event that the business is failing, you have choices. One is to sell the business and transfer or assign the franchise licence agreement to a new franchisee. This is a far better choice than letting the business fail, as it allows you to recoup some, if not all, of your investment. You may also choose to transfer the
franchise agreement because the business is doing well and you wish to recoup a return on your investment. You may want to retire, there may be a partnership breakup, or you have simply decided you want to do something else. Understand that a franchise is not a life sentence. Although the term of the franchise agreement may say 10 years, you may choose to sell your business and get out sooner. When selling your business and assigning the franchise licence, be sure to check with the franchisor to see if they have a resale program. They may be working with qualified buyers who have an interest in your location. A transfer involves several requirements. The franchisor will want to approve any advertising that you do for the business sale. The franchisor must approve the new franchisee, all royalties and fees must be paid, and the franchise must be in good standing. There will typically be a transfer fee to pay to the franchisor, often a percentage of the current franchise agreement and, in some cases, a percentage of the total business sale price. The transfer fee will typically be used to cover the franchisor’s administration and training costs to facilitate the transfer to the new franchisee. Note, in many franchise agreements there will be a clause where the franchisor has the right of first refusal and may choose to match the purchase price and buy the business themselves. There are several unique circumstances where a change in ownership takes place. In some cases, you may decide to assign shares to potential investors or even key employees. The franchisor will typically want to approve the new shareholders if it is a substantial share transfer and will definitely need to approve the assignment of shares if it changes controlling interest in the company. There may be circumstances where you transfer shares to family members. Often franchisors will allow this to take place without a transfer fee. There may be the harsh reality of death or permanent disability. The franchise agreement will often contemplate these situations with terms allowing the estate a reasonable amount of time to transfer the franchise to a new franchisee and recoup the investment. During this time the business must continue to operate and the franchisor will often step in and manage or arrange the management of the business for a fee. When the franchise is terminated, you will be required to immediately cease doing business under the brand.
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FRANCHISE TUTORIAL You will be required to return the confidential operation manuals and pay all outstanding fees and payments to the franchisor. In some cases, this may include future royalties that the franchisor would have earned if the franchised location had continued. Typically, you will not be able to operate a competing business within a defined geographical area for a specified period of time. Franchise relationships will come to an end for a variety of reasons. In many cases, it is you and your actions
that will dictate if it will happen and how. In other circumstances, it will be events outside of your control. When it is time to bring the franchise relationship to an end, review your franchise agreement to have a full understanding of what the terms and conditions are for your agreement in these various scenarios. This will allow you to maximize your return on investment, or alternatively minimize your loss.
STUDY QUESTIONS TUTORIAL 23
TUTORIAL 24
1. The first method of dispute resolution a franchisee or franchisor should explore is: a) Mediation b) An open discussion c) Legal proceedings
1. A default is: a) When a franchisee is in breach of a franchise agreement b) Something that all franchise agreements make reference to c) Both a) and b)
3. Mediation is a non-binding process, while the results of arbitration are binding. True or False? a) True b) False 4. Going to court is the fastest and cheapest way to resolve franchisee-franchisor disputes. a) True b) False
2. When selling your business and transferring the licence to a new franchisee: a) You should advertise and conduct the sale without notifying the franchisor b) You must allow the franchisor to approve the new franchisee c) You will never pay a transfer fee 3. If your franchise agreement is terminated, you can open a competing business next door right away. True or False? a) True b) False 4. ranchise relationships can come to an end for a variety of reasons. True or False? a) True b) False
Answer Key: 1) b 2) c 3) a 4) b
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Answer Key: 1) c 2) b 3) b 4) a
2. The costs involved in mediation, arbitration or a court case are paid for by: a) The franchisee b) The franchisor c) Splitting the cost equally between the franchisee and franchisor
MARKETPLACE
Make a meaningful impact on people’s lives in the booming healthcare market as an Amramp franchise owner. We sell and rent ramps and other accessibility solutions to people wishing to remain in their homes rather than go to a nursing home. Franchise owners enjoy a rewarding career helping others and making a meaningful impact on people’s lives, serving the aging population in their home health-care setting. We are now expanding our product line with a full line of accessibility solutions, including stair lifts, vertical platform lifts, pool and spa lifts, grab bars and safety railings and more to keep people safe at home. Please consider joining our family of franchisee partnerships. You will be part of our organization to exclusively serve the people who use wheelchairs or have mobility concerns in your marketing area. • Home Based • Established Brand with Patented Product • Low Investment, Low Overhead • Canadian territories now available to join our Toronto and Edmonton operations Call today for more information - 888-887-1186 or visit our website - http://franchise.amramp.ca
“19 years, over 380 stores & still growing!” 205, 8915-51 Ave. Edmonton, Alberta , Canada T6E 5J3 Phone: (780) 440-6770 Web: www.boosterjuice.com E-mail: franchising@boosterjuice.com Booster Juice is Canada’s premium smoothie and juice chain! As a leader of nutritious alternatives in the quick-serve industry, Booster Juice’s proprietary recipes are an instant hit among today’s active, health conscious consumers. Today, Booster Juice has expanded to bring smoothies, fresh-squeezed juices and delicious hot food items to active customers on the go. With over 19 years in business, Booster Juice continues to grow with locations across Canada, USA, Mexico and UAE, and is on track to open 44 new stores in 2019! Units Canada: 380 USA: 3 International: 4 In Business Since: 1999 Franchising Since: 1999 Franchise Fee: $30K Initial Investment Required: $110K Turnkey costs: $295K - $330K Training: Two Weeks + Ongoing Support Available Territories: Canada, International CFA Member Since: 2002
BMO Bank of Montreal Established 1817. CFA-MSS member since 1980. Major Canadian chartered bank, providing a full range of domestic and international financial services. The Bank’s National Franchising Services Group focuses exclusively on the franchise marketplace. We provide assistance by way of Financial Services Programs and banking arrangements to both the established and emerging franchise systems operating in Canada. We understand franchising. We have the expertise necessary to fully understand your business and to respond with a comprehensive package of loans, cash management and electronic banking services suited to your network’s distinctive circumstances. The Bank of Montreal recognizes that franchising is a significant contributor to the Canadian economy and we are committed to its continuing success. For more information, contact us at BMO Bank of Montreal, National Franchising Services, 55 Bloor St. W., 17th Floor, Toronto, Ontario M4W 3N5 Contact: Joseph Pisani at 1-877-629-6262, E-mail: franchising@bmo.com Or visit bmo.com/franchise
Browns Socialhouse is more than a restaurant or a bar. And it’s better than either – combined. Browns Socialhouse is a fresh, hybrid concept that successfully bridges the gap between upscale casual dining and neighbourhood pub. Blending “local ingredients” such as Owner-Operators that live in the markets they serve with great sites that many of our competitors simply can’t fit into, Browns Socialhouse delivers: • Great experiences to its guests…in their own communities • Industry-leading innovations that create operational efficiencies for franchise owners Our Mission at Browns Socialhouse is to grow a world-class restaurant brand that creates wealth and opportunity for our partners. And we’re looking to partner with top-notch restaurant industry veterans that have paid their dues in the Casual Dining arena but want more than just a paycheque to show for it… Let’s chat, if you’re “Feeling Social” about the idea of owning your own Browns. 207A-3540 West 41st Ave. Vancouver, BC V6N 3E6, Canada Phone: (604) 630-0885 Fax: (604) 630-0887 Web: http://www.brownssocialhouse.com Email: franchising@brownsrestaurantgroup.com
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MARKETPLACE
WORLD’S MOST SUCCESSFUL BAKERY FRANCHISE • A trusted brand – Nearly 700 locations worldwide and 35+ years’ experience franchising • A robust model – COBS Bread is built on providing exceptional product, friendly service and a welcoming environment for all customers • Community focused – All bakeries donate to hundreds of local schools, groups and charities across Canada • Authenticity – COBS Bread operates with honesty and transparency Awards 2015 Recipient CFA Award of Excellence in Franchising, Silver Award Winner
Brighten up your business life A specialized breakfast restaurant, Cora serves home-style gourmet breakfasts and unique lunch meals the whole family will enjoy. Open typically from 6 a.m. to 3 p.m., Monday through Saturday, and from 7 a.m. to 3 p.m. on Sundays, the Cora concept offers a balance between your business and personal life. The chain is operated across Canada under the Cora Déjeuners et dîners and Cora Breakfast and Lunch trademarks. If you’re an enthusiastic entrepreneur with passion and drive, and you are interested in exploring the countless advantages of becoming part of the Cora family, please contact Jim Jenkins, Senior Franchise Recruiter, at 905 673-2672, ext. 264, or jjenkins@chezcora.com.
2010 & 2012 Recipient CFA Award of Excellence in Franchising, Bronze Award Winner 2011, 2012, 2013, 2014, 2015, 2016, 2017 & 2018 Recipient CFA Franchisees’ Choice Designation Contact the COBS Bread Franchising Team E franchise@cobsbread.com P 1 866 838 COBS (2627) W www.cobsbread.com/franchising
Crepe Delicious is Canada’s largest and fastest growing mallbased creperie and gelateria. Specializing in the creation of world-class sweet and savoury crepes and handcrafted gelato, we take pride in being a leader in the trend towards healthier eating. Serving breakfast, lunch, dinner and dessert, Crepe Delicious offers fresh, nutritious and tasty food for people on-the-go. All of our crepes are made-to-order by our Crepe Chefs allowing customers to watch as their crepes are being prepared. Our signature crepe batter is only 130 calories and 4 grams of fat and then filled with the finest and freshest ingredients. Fresh veggies and protein create our popular savoury crepes, and we offer a selection of irresistable sweet crepes filled with fresh fruit combinations. Our premium gelato is a perfect complement to the specialty crepe business. All our gelato and sorbet flavours are handcrafted on-site daily with natural ingredients. We proudly serve sugar-free and dairy-free options to meet market demand.
We are a world-class franchisor with a commitment to quality, having more than 6,800 stores in more than 29 countries. DQ Grill & Chill® offers a variety of soft-serve treats along with a full line of hamburgers, hotdogs, chicken and salads. As an ongoing expansion program, we are presently accepting applications for DQ® franchises across Canada. Candidates must have business acumen, superior people skills and desire to work with a proven franchise system. A DQ Grill & Chill® has a total investment of approximately $800,000 - $1,200,000 or more. The candidate must have a minimum of $400,000 cash available. A DQ® Treat location can be in major shopping malls or as a free-standing unit. The total investment for a retail store is between $300,000 $500,000 and up to $800,000 for a free-standing unit. Applicants must have a minimum of 40% project cost in cash to invest. www.dq.ca Contact: Tammie Verna at tammie.verna@idq.com or 905.637.4741
Our unique concept combines comparatively low food costs with excellent site selection to provide our franchisees with the recipe for success. Single-unit, area development and master franchises available for this innovative specialty food concept. www.crepedelicious.com • info@crepedelicious.com Phone (905) 326-2969 Toll Free (877) 582-7373
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Driverseat Chauffeur Services Driverseat is the latest emerging trend in home based franchise systems, blazing a new industry in personal transportation. Our franchise partners specialize in marketing, strategizing and growing their business, while their Coachmen (drivers) focus on transporting customers and their vehicles, through 4 unique services. Protected terrritories available throughout Canada and the U.S. Total capital required - $20k to $35k Innovative Technology Platform $21,000 franchise fee Home based No need for inventory Significant industry size No capital real estate leases 4 tier extensive training program Designated Driver
Airport Chauffeur
Assisted Transport
Vehicle Chauffeur
Decathlon Olympic Gold Medalist and Co-Founder Bryan Clay has developed Eat The Frog Fitness group studio exercise environment to eliminate gym-intimidation, encourage social interaction and integrate adaptive technologies that aid performance. Franchise opportunities exist in Canada. Offerings include: IMAX style workouts, customized fitness programs, re-evaluation every 8-weeks, 24/7 access, live coached & virtual classes. More information at frogfranchise.com. Franchise Units: Canada: 1, USA: 2 Corporate Units: USA: 3 Franchise Fee: $40K Investment Required: $430K-$638K USD Training: 4 days at corporate office and online webinars Available Territories: US, BC, ON In Business Since: 2017 Franchise Since: 2017 CFA Member Since: 2018
1-855-DRIVE-90 | info@driverseatinc.com www.driverseatinc.com
Grab the Day by the Eggs® Eggspectation is an innovative upscale-casual dining restaurant concept. Founded in 1993, Eggspectation restaurants are known for their brunches. With an extensive all-day menu choices, Eggspectation offers a unique experience. From breakfast to brunch, lunch to coffee & dessert time to happy hour and dinner, Eggspectation is the place to kick back in style with friends, family and business associates and enjoy good times in this unparalleled environment. Franchise Units: Canada 13, USA 6, International 7 Corporate Units: Canada 3, USA 1 In Business Since: 1993 Franchise Since: 1998 Franchise Fee: $50K Investment Required: $500K-$1M Training: 10 weeks Available Territories: All of Canada, USA, International CFA Member Since: 2011 7960 rue Saint-Denis, 2nd. Flr., Montreal, QC, H2R 2G1 Phone: (514) 282-0677 / (855) 331-EGGS (3447) Fax: (514) 282-8115 Web: www.eggspectation.com Email: info@eggspectation.com Contact: Enzo Renda, CEO
Elite Trade Painting is built on 30+ years of experience in the painting contracting business. Providing high quality residential and commercial painting services in markets across Canada. Our support, training and custom mobile software establishes a competitive advantage for all of our franchisees. Franchises have an opportunity for business success with a lifestyle to enjoy that success. We are looking for entrepreneurs to join us today in the highly rewarding home services industry. Franchise Units: Canada: 10 Investment Required: $85K - $110K Franchise Fee: $48K In Business Since: 1991 Franchise Since: 2012 Available Territories: All of Canada CFA Member Since: 2016 For further information: 1.877.663.5483 info@elitetradepainting.com elitetradepainting.com/franchise
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Fatburger has been serving up the freshest, biggest, juiciest burgers for over 65 years. With restaurants in 37 countries, prospective franchisees benefit from investing in a concept with a proven track record. Prime ownership opportunities are available across Canada. We provide: • A highly recognized trademarked brand • Extensive initial training • Ongoing operation & training support • Marketing/advertising support • Excellent return on investment capital An upper tier quick-casual restaurant serving fresh, never frozen custom made Alberta Angus beef burgers and Buffalo’s™ World Famous Wings and Tenders, Fatburger is a recognized leader in the premium burger category. We are passionate about quality, food and service - and it shows! We offer an extensive menu and dynamic décor that brings food, fun and style together. Each meal is cooked to order using fresh ingredients and traditional cooking methods. The taste and quality of Fatburger has been inspiring fierce customer loyalty since its inception in 1952. 54 locations across Canada and growing! For more franchise information, call us at 1-888-597-7272 or email franchise@fatburgercanada.com. For locations and more visit www.fatburgercanada.com.
Heart To Home Meals Targeted to serve Canada’s fastest growing demographic, Heart To Home Meals delivers delicious, nutritious, high quality frozen meals to seniors in their own homes. The company is committed to food excellence, great customer service & the power of the entrepreneur as a franchisee. The model is based on our highly successful sister franchise Wiltshire Farm Foods in the UK, which is also owned by apetito. Heart To Home Meals has a limited number of territories available in Manitoba, Ontario and Nova Scotia - don’t miss your chance to be part of a company servicing Canada’s fastest growing consumer segment. Visit www.HeartToHomeMealsFranchise.ca
Join Firehouse Subs Today Across Ontario! Firehouse Subs is a fast casual restaurant chain with a passion for Hearty and Flavorful Food, Heartfelt Service and Public Safety. Founded in Jacksonville, Florida by former firefighters and brothers Chris and Robin Sorensen, Firehouse Subs is a brand built on steaming hot subs with the highest quality meats and cheeses piled high. The founders are the real deal and the company is built upon a family of franchise operators who share their same passion for serving others. Firehouse Subs consistently ranks number one in among fast casual brands in the categories of food quality, taste, flavor, and friendly service. In 2005, Firehouse Subs created Firehouse Subs Public Safety Foundation with the mission of providing funding, life-saving equipment and educational opportunities to first responders. In fact, Firehouse Subs has granted more than $40 million to hometown heroes across Canada and the United States. Our growth is carefully calculated to optimize restaurant potential, profitability and the success of our franchisees. For more information about franchising with Firehouse Subs, contact Brent Greenwood at franchising@firehousesubs.com or 877-887-8330. www.firehousesubs.ca
A full-service family restaurant with an award-winning breakfast, lunch and dinner menu. Available during all hours of operation, the menu features a wide selection of choices from omelettes and grillcakes to wraps, gourmet burgers and delicious dinner selections. Special consideration is given to seniors and children under 10 with our Emerald Plus program and Kid’s Eat Free Fridays. • Achieve great success in communities with populations under 100,000. • Flexible square footage (1800-3200 sq ft.). • We will do conversions. • Development Agreements available.
Heart To Home Meals Highlights • Business Type: Franchise – Delivering frozen meals directly to the customer’s home. The meals are prepared by the franchisor, then sold and delivered by the franchisee. • Total Franchise Fee: $40K • Training & Start up Materials provided: YES • Home-Based: YES • Royalty and Ad fund: Both 0%
Franchise Fee: $30K Investment Required: $550K-$750K Available Territories: All of Canada Training : 7 weeks Franchise Units Canada: 40 Corporate Units Canada: 2 In Business Since : 1977 Franchising Since: 1986 CFA Member Since: 1995
Contact: Pedro Santos • Tel: 1(647) 761 4465 Pedro.santos@apetito.ca
For more information, to take a virtual tour or to check out our success stories, visit www.humptys.com or CONTACT: Sergio Terrazas at s.terrazas@humptys.com or by phone at 800.661.7589 or 403.608.7329.
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Dine Brands Global 450 N Brand Blvd Glendale, CA 91203 USA Phone: (415) 715-4966 / (818) 637-3069 Web: www.ihop.com Email: dan.lecocq@dinebrands.com Contact: Dan Lecocq, Executive Director - International Development Since 1958 the IHOP family restaurant chain has served our world famous pancakes and a wide variety of breakfast, lunch and dinner items that are loved by people of all ages - offering an affordable, everyday dining experience with warm and friendly service. Franchise Units Canada: 28 U.S.: 1661 Other: 74 In Business Since: 1958 Franchising Since: 1960 Franchise Fee: $40K USD Investment Required: $1.5M-$3M; varies by asset type/size Training: 6 weeks Available Territories: ON, YT, NT, NU, QC CFA Member Since: 2006
The Just like Family brand stands for caring and loving caregivers who work closely with our clients and with the client’s family. We strive to be a helpful member of the family network by easing responsibilities as needed, opening lines of communications and offering methods of coping in times of struggle. We understand the endurance it takes to care for a loved one and continued duties outside of the home. Our caring staff offers 100% peace of mind. Franchise units in Canada: 6 Corporate Units: 1 Franchise fee: $26K Investment required: $43K Training: Yes Available territories: All of Canada In business since: 2010 Franchising since: 2016 CFA member since: 2016 Visit www.justlikefamily.ca for details or call 604.440.3331
Jani-King is the world’s largest commercial cleaning franchise with over 9,000 franchisees in 10 countries and over 40 years of experience! The unique Jani-King Franchisee Concept, available for as low as $11,900, provides our franchisees with an edge over the competition. By offering unparalleled support and training, Jani-King works to ensure that every franchisee has an opportunity to be successful. Initial and on-going training, 24-hour operational support and administration assistance are all provided by Jani-King. Ready to be your own boss? Contact us today and join the more than 9,000 other Jani-King franchise owners worldwide. 1-800-565-1873 or visit our website at www.janiking.ca or e-mail info@janiking.ca Special Note: Master Franchisor opportunities available in Saskatchewan, Newfoundland and Thunder Bay.
For almost 40 years, M&M has helped Canadians put delicious meals on the table by offering consumers easy-to-prepare, top quality foods and personalized customer service, all within a uniquely convenient shopping environment. We’ve taken this task to heart and have grown to become Canada’s leading retailer of frozen foods, a truly iconic Canadian brand and a trusted guest at dinner tables across the country. We are very proud of our major achievement -the removal of all artificial colours, flavours, and sweeteners from our food portfolio. Our Food Promise is a game changer and key differentiator from our competition and we are proud that 100% of the products in our stores coast-to-coast meet this Food Promise. Following a significant rebranding effort in 2016 - including the name change from M&M Meat Shops, a new store design, new products and packaging, a new website, a revamped loyalty program and new training platform for Meal Advisors - M&M Food Market is poised for franchise growth. Now is the time to rediscover this trusted, iconic Canadian brand. For more information, visit our website at www.mmfoodmarket.com/en/franchising or call us at 1-800-461-0171.
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CHICKEN
TATERS
Mary Brown’s Chicken & Taters continues to expand across Canada with about 160 stores now open. We expect to have 200 stores by 2020. It’s a growth plan we’d love you to be part of!
Massage Addict is Canada’s first and largest membershipbased massage therapy company, with over 90 locations across Canada! Healthcare is the fastest growing industry in Canada and massage therapy is the leading non-traditional form of therapy in healthcare.
Our food is exceptional and our numbers are impressive. We’ve enjoyed 15 consecutive years of same store sales growth and are destined to continue this trend.
Massage Addict is a proven business concept serving a gap in the market.
Welcome to the largest Canadian-owned quick serve chicken restaurant and one of the fastest-growing franchises in the country.
Our genuine hospitality, 100% Canadian heritage and Made Fresh from Scratch menu keep our Guests coming back again and again. Our Chicken is fresh Canada Grade A, hand cut and hand breaded in-store. Our Taters are also handcrafted in-store from farm fresh Canadian potatoes. Even our Coleslaw is made fresh in-store! Our approach is time-proven, with a 50-year record of success dating back to 1969. Add to that our comprehensive Franchisee support including Training, Financing and Marketing and you’ll see that Mary Brown’s is an exciting opportunity that you don’t want to miss. Call 1-866-640-3339 or email franchising@marybrowns.com and get started today.
• • • •
Low investment and start-up costs Recurring revenue and quick ROI Opportunity for multi-clinic ownership 80% of clients have treatments paid directly from insurance companies • Online booking and direct billing technology • 100% Canadian owned and operated To learn more about franchise opportunities with Massage Addict contact: Michael Mutsaerts, VP Franchise Development FranchiseMA@massageaddict.ca or by visiting MassageAddict.ca.
marybrownsfranchising.com
McDonald’s® has always been a franchising company and has relied on its franchisees, our Owner/Operators, to play a major role in the System’s success. McDonald’s remains committed to franchising as a predominant way of doing business. We are actively seeking highly qualified business people to join our System as Owner/Operators. Owning a McDonald’s restaurant is a tremendous opportunity. We are seeking individuals with significant business experience who have successfully owned or managed multiple business units or have led multiple departments and who have significant financial resources. We are a family of more than 275 Owner/Operators passionate about satisfying our guests, growing our business, making money and having fun. McDonald’s continues to be recognized as a premier franchising company around the world. To learn more about franchising opportunities with McDonald’s Canada, please visit us at www.mcdonalds.ca Franchise opportunities are now available across Canada! ©2019 McDonald’s
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Midas is a globally respected automotive products and services provider with franchised, licensed, and company-owned locations throughout Canada, the United States and the world. Here are just a few of the ways we help you build success as a Midas franchisee: • Outstanding brand recognition • Growth-focused business model geared toward expanding customer base • Exclusive product warranties and lifetime guarantees • Exceptional advertising, utilizing today’s most powerful media • Knowledgeable and experienced senior management team with diverse backgrounds in retail, wholesale, operations and development • Unparalleled support and resources, strategically positioned for long-term franchise growth • Complete training and marketing support No business or retail management experience necessary. Build your future with a leader ... Trust the Midas touch! Contact us to learn more: www.midasfranchise.com or call 800.365.0007 This advertisement does not constitute an offer of a franchise. A franchise offering can be made by us only after we provide you with an appropriate Canadian disclosure document (as applicable in each province). Franchises may not be available in all provinces.
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“Hey Mister You’re A Friend Of Mine” If you are a leader and a motivator, with a business aptitude for high success, and you would like be part of the most recognized brand in the transmission, technology and related driveline repairs, we may have just the opportunity for you. Automotive experience is an asset but not required. With over 55 years experience, we know that the right fit is the key. When you become a Mister, you are supported through: • Iconic brand recognition • 55 year proven success record • Collaborative business model to continually grow your business • Industry leading training and store support programs • Growth focused management and support teams We’re seeking qualified franchisees across Canada. When you become a Mister you become “a friend of mine”. Request more information: 1-800-373-8432 Franchiseinfo@mistertransmission.com www.mistertransmissionfranchise.com
Orangetheory Fitness combines motivational group interval training with a revolutionary exercise system that quickly and efficiently delivers high caliber fitness results. Orangetheory Fitness is the first and only heart-rate monitored, high-intensity interval training system based on science that will build strength, increase energy and tone and shape your body like nothing else. This is a business opportunity that will transform your life. Now seeking franchisees. Franchise Fee: $59.5K Available Territories: All of Canada, United States, International Training : Provided Franchise Units Canada: 88, International: 1150 Franchising Since: 2011 CFA Member Since: 2012 Contact 780.932.6556 franchising@orangetheoryfitness.ca
For over 55 years Mr Mikes SteakhouseCasual Restaurants have been about feeling like you belong, where everyone feels comfortable in his or her own way. It’s your place - a place where you don’t have to be something you’re not, you can just be yourself. It means tasty and affordable creations from our signature steak and Mikeburgers to our home-branded wines and beers. Our plans are to open 30 new restaurants in Western and Eastern Canada over the next 5-year period and we invite you to call us for more information about franchise opportunities. Canadian Franchise Association Members Food - Restaurants / Dining Rooms Mr Mikes SteakhouseCasual Restaurant Unit 100, 3700 North Fraser Way, Burnaby, BC, V5J 5H4 Phone: 604-536-4111 Fax: 604-439-7367 Web: www.rammp.net E-mail: rvillalpando@RAMMP.net Contact: Rick Villalpando, Vice President, Business Development Franchise Locations Canada: 40 Corporate Locations Canada: 4 In Business Since: 1960, Franchising Since: 2003 Franchise Fee: $50K, Capital Required: Min. $900K - 1.8M Training: min. 8 weeks Available Territories: AB, MB, SK, BC, ON CFA Member Since: 1997
The Pizza Nova story began in 1963 when a young Italian family opened the very first Pizza Nova restaurant. Today Pizza Nova is still family owned, represents over 140 locations across Ontario and specializes in hand-tossed Italian style pizzas that are complemented by an extensive menu of proven favourites. We provide comprehensive training, easy ordering from our HAACP approved commissary, location identification & design, operations support and innovative marketing initiatives that bring customers through your door. Pizza Nova is the Official Pizza of the Toronto Blue Jays, Toronto International Film Festival, and the CNE. Our 56+ years of success continues as a direct result of our uncompromising commitment to providing the highest quality product made from only the finest quality ingredients. In 2015 we became the first Canadian pizza company to introduce pepperoni sourced from beef and pork raised without the use of antibiotics or added hormones. We have since expanded our ‘Raised Without Antibiotics’ profile to include bacon, chicken wings , chicken pollini, grilled chicken, and smoked ham. For more information contact our Director of Franchise Development, Vince Morano at 416.439.0051 ext 216 or vince@pizzanova.com
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Grab Your Slice of Life! Pizza Pizza began in December 1967 in a 300 square foot store in Toronto at the corner of Wellesley and Parliament Street. Since then we became the biggest pizza chain in the country. Our success stems from our customer focus. Our commitments to freshness, quality, and innovation have led us to the top of the pile in the pizza industry. Pizza Pizza delivers on its goals time and time again as we strive to make the best pizzas around at reasonable prices. Moving forward, we will continue to hold our leading position through community involvement and environmental stewardship. Consider what Canada’s most successful pizza chain has to offer you: • A commitment to quality, • Comprehensive training freshness, customer • Site selection, lease satisfaction and innovation negotiation and professional • Superior marketing and architectural design promotional support • Knowledgeable support staff • State-of-the-art technology • Administrative systems • Ongoing professional • We supply the ingredients development • Be your own boss! Franchising information: franchisinginfo@pizzapizza.ca www.pizzapizza.ca/franchising
A Print Three Smart Business Centre is a turn-key operation designed to get you up and running and doing business quickly and successfully.
Join The Future of Real Estate
Are you a caring individual with a fundamental desire to work within the health care industry? If so, then Right at Home could be right for you.
The Internet has transformed everything we do. It allows visionary companies to move faster and make things happen for less money. That’s why you don’t see many ads for video store or travel agent franchises in this magazine like you once did. If you’ve often thought that the real estate industry is also ripe for major transformation, then it’s time to join the club. At PropertyGuys.com we leverage people and technology in a way that makes real estate better. Our national network of over 100 franchise owners enjoy being on the cutting edge of innovation, have exclusive territories and represent a real estate platform that creates raving fans. While we’re already in over 600+ communities coast-to-coast, we’re not done growing. This could be your chance to be part of something amazing. If you want to learn more about how you can own a piece of the Future of Real Estate please let us know by email to opportunities@propertyguys.com, phone 1-844-333-7017 or by visiting www.PropertyGuysFranchise.com.
With 48 locations across Canada, Print Three is one of Canada’s largest owner-operated print networks. Print Three provides all franchise owners with in-depth training and ongoing support in the areas of marketing, promotions, advertising, web-based communications, décor, finance, inventory and supplies. We provide franchisees with current research on industry trends and new services, as well as on relevant technology and equipment. Business owners across Canada choose Print Three for our superior marketing approach and sales program, which effectively combine print, web and marketing. In the business for over 45 years, Print Three brings a wealth of industry expertise and innovation to the table. When you join Print Three you join a network that enjoys an excellent reputation and brand recognition across the country. For more information contact us at franchiseopportunities@printthree.com or call: 1-800-335-5918 ext. 330. www.printthree.com
Right at Home is an in-home health care company that offers a full range of support and care services for those with physical, health, or memory challenges. What makes Right at Home Canada different? • Global brand, Personal Feel: With over 550 Care Offices in 8 countries around the world, Right at Home is a powerhouse in the homecare industry while being committed to caring to the unique needs of each individual family, one family at a time. • A Proven Franchise System: We have over 20 years of international experience with proven systems and processes to help you build your business. • Progressive, Forward-Thinking Programs: Dementia specialty programs, cluster care, wheelchair-accessible transportation, relief staffing, and much more, attract attention in a competitive landscape. • Unparalleled Training and Support: Our training is weeks of learning, and our ongoing field coaching allows owners to learn every aspect of their Right at Home business. If you are interested in pursuing success with significance please contact Canada’s COO, Dani DePetrillo at 905-331-3223 ext: 705 or email ddepetrillo@rightathomecanada.com
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All Your Favourites, All Day Long A Canadian Tradition for Canadian Entrepreneurs We opened our first location in Calgary, AB back in 1960. Today, in communities both big and small, our restaurant family spans the country from St. John’s, NFLD to Vancouver Island, BC. Our successes have come from our solid operating principles, dedicated Franchisees and our proudly Canadian menu featuring traditional favourites along side great new tastes for breakfast, lunch, and dinner. We have opportunities available to grow and are ready to provide you what you need in: Site Selection & Design, Lease Negotiations, Construction Administration, Training & Operations Support , Menu Development, and Marketing. Investment range for conversions: $100,000 - $300,000 Investment range for new locations: $500,000 - $800,000 Minimum $150,000 unencumbered capital required For more information on a Smitty’s opportunity, please contact one of our franchise specialists at: 1-800-927-0366, info@smittys.ca or visit smittys.ca/franchise.
Snap-on® is a world leader in the design, manufacture and marketing of innovative, top-quality, value-added tools, software and services to the automotive, aviation, marine, RV, ATV, and related industries. Our unique network of more than 396 stores in Canada is a crucial link to our customers. As a Snap-on Franchisee you’ll take your well-merchandised “Mobile Store” to your customer’s place of business and provide personalized service and solutions associated with the world-renowned Snap-on brand. Custom business software, franchise financing and customer credit financing is offered. No royalty or advertising fees apply. If you are ready to be your own boss and drive your own future, contact Snap-on today. To learn more about Snap-on franchise opportunities, visit www.snaponfranchise.ca QUEBEC: MICHAEL COBURN 1-800-665-8665 x244 | michael.l.coburn@snapon.com ONTARIO/ATLANTIC CANADA: LEEMAN REID 1-800-665-8665 x223 | Leeman.A.Reid@snapon.com WESTERN CANADA: LEEMAN REID 1-800-665-8665 x223 | Leeman.A.Reid@snapon.com
Proudly serving breakfast, lunch and dinner to Canadians coast to coast since 1960!
Snap-on Tools of Canada Ltd. 6500 Millcreek Drive, Mississauga, ON L5N 2W6
Cannabis has been illegal in Canada since 1923. That all changed on October 17, 2018. This is your chance to be part of the best recreational cannabis brand network in Canada and part of the multi-billion dollar Canadian cannabis industry. Get in on the ground floor of this “budding” industry!
Designed for Peace of Mind™
We have created a modern retail model that offers legitimacy, reputability, professionalism and a feeling of confidence, with plans of opening one hundred locations across Canada.
Our business is making people’s lives organized through innovative storage solutions with a unique stress free buying experience.
Closet Organizers have become as common as kitchen appliances as home owners increasingly expect their home to be organized. Whether it is the closet, pantry or garage, an organizing system creates peace of mind.
A STOR-X® Franchise is about improving lifestyles.
If you are a passionate entrepreneur that is dedicated to helping our customers find a higher sense of love, joy, peace and harmony then we invite you to apply for this once in a lifetime opportunity.
No showroom, no inventory, low operating costs. Custom product manufactured LEAN and GREEN.
We are now accepting applications for Franchise Partners to open LEGAL recreational cannabis stores in cities across Canada.
STOR-X® offers over 25 years experience in Custom Closet Manufacturing.
VISIT SPIRITLEAF.CA TO LEARN MORE
If you believe you can benefit from: • An experienced team • Focused staff • Effective manuals • Extensive training programs • A strong plan • A passion for organization Join the STOR-X® team! Toll free: 1-877-598-9188 email: franchise@stor-x.com website: franchise.stor-x.com
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Ontario’s favourite destination for fresh-made breakfast and lunch Sunset Grill is a Canadian all-day breakfast restaurant franchise founded in Toronto, Ontario by Angelo Christou in 1985. With 80 franchised locations across Canada and growing, we are now positioned to expand across Canada and select markets in the United States, including California and Pennsylvania.
TACO TIME CANADA
Fresh is Tastiest™ is our philosophy here at Sunset Grill – our guests are loyal to our brand and love our food because we use fresh ingredients, healthy cooking methods, source local wherever possible, deliver generous portions, and provide fast and friendly service.
We have unit types to fit different investment and operational criteria. From drive thrus, in-line and food courts, TacoTime delivers real mexican food with flare. We provide training, site selection and ongoing operations and marketing support for all stores. Total investment ranges between $225,000 and $400,000, depending on unit type. Cash requirements are $75,000 to $125,000, again depending on unit type.
Consider what Ontario’s best breakfast chain has to offer you: • One-shift operation & short hours (our stores are open 7 a.m. to 4 p.m.) • High margins leading to excellent returns and building of a saleable asset • Comprehensive training & ongoing professional guidance • Exclusive territory • Low staff turnover • Great work-life balance; time at the end of the day to spend doing what you love with who you love
Canada’s leading Mexican fast food restaurant chain. We prepare great food in our stores, in a fast and friendly environment. Join our growing list of successful franchisees and participate in the continued expansion of the Mexican segment.
Web site: www.tacotimecanada.com Call Toll Free Steve Nickerson 1-800-471-5722 A4, 416 Meridian Road SE, Calgary, Alberta T2A 1X2 Phone: 403-543-3490 Fax: 403-543-3499
Visit us: www.sunsetgrill.ca Email us: info@sunsetgrill.ca Call us: 905-286-5833
You know The UPS Store for shipping, but did you also know that The UPS Store is Canada’s largest franchised network of business resource centres? Did you also know that The UPS Store is also Canada’s largest chain of copy & print centres? Servicing the growing small/home office market, The UPS Store offers the convenience of a one-stop shop for business services such as photocopying and digital printing, offset printing, worldwide courier services, packaging supplies and services, mailbox and fax services, document finishing, and more. This dynamic chain leverages on one of the world’s most well-known brands, UPS. This is your opportunity to join a North Amercian market of over 5000 locations (and growing!) Visit us at theupsstore.ca. We Print, Ship & More! Locations, North America: Over 5000 Locations in Canada: Over 350 Minimum cash investment: $100,000 Total cash investment: $174,000 to $198,500 plus working capital.
Home-Based Franchise • Location Independence Wellnessnews Canada, Inc. is in the business of franchising Wellnessnews Choices for Healthy Living®, a multi-media publishing platform that includes print, online, and social media. This proven neighbourhood collective offers an informative resource that showcases professional local health practitioners and businesses, exclusively into your local community. Master Franchisees, Area Developers, Multi and Single Unit Franchises are now available for entrepreneurs who are looking to start a home-based business that provides them with location independence and the flexibility to suit their lifestyle. Other benefits include an in-house creative, editorial, print and marketing team; a great reputation, initial training and ongoing support, minimal start-up costs, a growing niche market, and a business that provides long term residual revenues. Franchise Fee: 14.5K Investment Required: 25K Available Territories: Canada
For more information on The UPS Store opportunity, call 1-800-661-6232 or visit www.theupsstore.ca.
WELLNESSNEWS CANADA, INC. Website: WellnessnewsFranchise.com E-mail: opportunity@wellnessnews.ca Phone: 1-800-840-4309
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Wild Wing is the largest Chicken Wing Chain in Canada, operating since 1999. Wild Wing specializes in Chicken Wings in 101 unique flavours, in addition to other quality offerings like burgers, ribs, flatbreads, salads and poutines. Wild Wing is a restaurant and bar with a western theme and a focus on sports. Wild Wing has a growth strategy to expand from 94 locations to 130 by 2020 and have a reach from Coast to Coast. Come on board and get Wild! Franchise Fee: $35,000 Startup Capital Required: $150,000 Investment Required: $200,000-$600,000 Available Territories: All of Canada Training: Yes – 2 weeks Franchised Units- Canada: 82 Corporate Units- Canada:1 Licensed Units- Canada: 11 In Business Since: 1999 Franchising Since: 2003 CFA Member Since: 2015 Franchise Opportunities Available Across Canada franchising@wildwingrestaurants.com
Welcome to Wing’n it restaurants, the Great Taste of Adventure. Wing’n it is a family-friendly restaurant known for our made fresh daily wings, and over 100 flavours that you can taste on our wings, ribs, fries, wedges and onion rings. Our menu has a wide variety of options for all ages to enjoy. Wing’n it was established in 2011 in St. John’s, Newfoundland. We started our first store in downtown St. John’s, and then opened our first franchise in December 2011 in Gander, Newfoundland. Since then, Wing’n it has spread our wings to a total of 16 stores, eleven of which are in Newfoundland, along with two in Nova Scotia and three in Alberta. Franchise units in Canada: 16 Franchise fee: $35K Investment required: Min $375K+ Training: Yes Available territories: All of Canada, International In business since: 2011 Franchising since: 2011 CFA member since: 2016 Looking for more information? Email info@wingnit.ca, call 709-237-9465, or visit www.wingnit.ca
Associate your brand with the quality and credibility that only the Canadian Franchise Association (CFA) can offer by advertising in FranchiseCanada.
Benefit from your CFA membership and reach sophisticated prospective franchisees Advertising in Franchise Canada gives you access to our readers – your target audience – in a trusted editorial environment.
Put your brand in the hands of discerning and educated Canadians who are looking for exceptional franchise opportunities. Your advertisement will reach readers across the country through a comprehensive distribution plan and a loyal subscriber base. Be seen across Canada and beyond In addition to being on newsstands and in bookstores across Canada, Franchise Canada is distributed in Air Canada Maple Leaf Lounges, reaching 350,000 affluent passengers in major cities around the globe. Align your brand with a winner. Franchise Canada is the only franchise magazine to be recognized for best newsstand sales by the Canadian Newsstand Awards and excellence in business journalism as the recipient of a Kenneth R. Wilson Award.
FOR ADVERTISING CONTACT: Gwen Dunant TEL: 877-254-0097 | FAX: 416-695-1950 | EMAIL: gdunant@cfa.ca WEB: cfa.ca | FranchiseCanada.Online
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WHAT’S NEXT
DON’T MISS OUR JULY/AUGUST 2019 ISSUE! THE HOME IMPROVEMENT AND MAINTENANCE ISSUE For many Canadians, their home is their most valuable asset. It’s no surprise that homeowners from coast to coast place a heavy value on keeping their investment - whether it’s a bungalow, condo, cottage, or duplex - in tip-top shape. According to the Canadian Home Builders’ Association, 69 per cent of Canadians own a home, while four in five millennials want to buy one. There’s a reason why franchise concepts within the home improvement and maintenance sector are a big hit with Canadians across the country. In 2015, Canadians spent more than $17 billion on home improvement, or an average of $5,000 per household (Statistics Canada). Investing in a home improvement franchise allows you to capitalize on this trend, without having to build your business from the ground up. Featuring a wide range of franchise concepts in construction management, emergency restoration services, concrete repair, wood renewal, window cleaning, and more, the July/August issue of Franchise Canada provides the tricks of the trade you need to uncover the right opportunity, and to build your franchising future in this burgeoning industry. The franchising adventure doesn’t stop in the home, however. This issue will also include an engaging lineup of exciting opportunities in other thriving sectors, including travel and hospitality, food service, and more. And as always, we’ll share inspiring success stories, expert advice, and helpful tips and tricks to help everyday Canadians of all stripes achieve their dreams of business ownership.
WATCH FOR THESE INFORMATIVE FEATURES IN OUR JULY/AUGUST 2019 ISSUE:* HOME-BASED FRANCHISE CONCEPTS: Touting exceptional flexibility and work-life balance, home-based franchises are businesses you can run right in your very own home. All you need is a desk, a phone, a computer with a reliable internet connection, and an entrepreneurial spirit! In this feature, Franchise Canada takes a look at three unique home-based concepts.
FOOD DELIVERY APPS: The emergence of food delivery apps such as UberEats, Foodora, and SkipTheDishes have made having the delicious food from the franchise concepts we love sent straight to our doors as easy as a click of a button. Franchise Canada profiles a group of food service franchises that are taking full advantage of this booming trend.
TRAVEL AND HOSPITALITY FRANCHISES: While the July/ August issue of Franchise Canada is the Home Improvement and Maintenance issue, it’s not just for homebodies! We’ll take a look at the franchise systems that help Canadian jetsetters make their travel arrangements a breeze and keep them cozy abroad with top-notch accommodations.
RESTORATION SERVICES ACROSS CANADA: Unfortunately, the threat of disasters such as floods, mould, and fires are a reality of home ownership. Don’t fret! These proven franchise concepts are providing restoration services to put Canadians across the country at ease when disaster strikes!
FRANCHISE CANADA MAGAZINE Published by the Canadian Franchise Association
104 Canadian Franchise Association
PLUS A SPECIAL FRANCHISE FOCUS ON THE WINNERS OF THE 2019 CFA AWARDS OF EXCELLENCE! IN EVERY ISSUE: • Industry News • Show Me the Money • Franchise Tutorials • Leadership Profile • Giving Back • Home-Grown & Locally-Owned • Ask the Experts • Day in the Life • The First Year • Franchise Fun *Editorial subject to change
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ADVERTISERS’ INDEX Amramp......................................................13 franchise.amramp.ca BMO Bank of Montreal............................... 34 www.bmo.com/franchise Booster Juice...................................... 4 & 5 www.boosterjuice.com COBS Bread............................................................. 73 www.cobsbread.com/franchising Cora............................................................. 32 jjenkins@chezcora.com Dairy Queen Canada...........................45 www.dq.ca
Humpty’s Restaurants International Inc.................................................................46 www.humptys.com IHOP Corp..................................................30 Dan.Lecocq@dinebrands.com International Franchise Association ...................................................................... 90 www.franchise.org Jani-King...................................................43 www.janiking.ca Just Like Family Home Care.............24 www.justlikefamily.ca
Orangetheory Fitness......................... 37 www.orangetheoryfitness.com Pizza Pizza.................................................67 www.pizzapizza.ca/franchising PropertyGuys.com................................ 33 www.propertyguysfranchise.com Right At Home.......................................... 11 www.rightathomecanada.com Smitty’s Canada.....Inside Front Cover www.smittys.ca/franchise Snap-on..................................................... 16 www.snaponfranchise.ca
Driverseat...................... Inside Back Cover www.driverseatinc.com/franchise
M&M Food Market................................... 3 www.mmfoodmarket.com/en/ new-shopping-experience
Spiritleaf............... Outside Back Cover www.spiritleaf.ca
Eat the Frog Fitness..............................35 www.frogfranchise.com
Mary Brown’s Chicken & Taters..........7 www.marybrownsfranchising.com
STOR-X........................................................69 franchise.stor-x.com
Elite Trade Contracting................ 14-15 elitetradepainting.com/franchise
Massage Addict........................................ 9 www.MassageAddict.ca
Sunset Grill................................................23 www.sunsetgrill.ca/franchising
Fatburger................................................................... 75 www.fatburgercanada.com
McDonald’s Restaurants Canada....42 www.mcdonalds.ca/franchising
The UPS Store..........................................59 www.theupsstore.ca
Firehouse Subs..................................................... 36 www.firehousesubs.ca
Midas International.............................. 72 www.midasfranchise.com
Wild Wing........................................... 52-53 www.wildwingrestaurants.com
Heart to Home Meals........................... 79 www.HeartToHomeMeals.ca
Mister Transmission.............................. 61 www.mistertransmission.com
Wing’n it..................................................... 57 www.wingnit.ca
Mr Mikes SteakhouseCasual......54-55 www.rammp.net
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OUR MAGAZINE IS IN DEMAND AND AWARD WORTHY.
Franchise Canada is an award winner in the Canadian Newsstand Awards, which takes into account a magazine’s newsstand sales performance. We are also proud to be the only franchise publication to win a Kenneth R. Wilson award for excellence in business journalism.
For advertising information contact: Gwen Dunant Tel: 877-254-0097 | E-mail: gwen@cfa.ca
Franchise Canada May | June 2019 105
GIVING BACK
Gaming for a Cause
Ctrl V hosts gaming marathon for Children’s Miracle Network Hospitals BY TRISHA UTOMI THE THREE FOUNDERS of Canada’s first virtual reality arcade, Ctrl V, couldn’t be more different. Ryan Brooks is a former elementary school teacher, James Elligson practiced geology, and Robert Bruskiis an investment specialist. But what drew them together, aside from their love of realistic virtual (VR) reality technology, is a shared desire to give back to the communities they serve. Since opening the first Ctrl V in Waterloo, Ontario in 2016, the trio has hosted a number of charitable initiatives, including the 24-Hour Virtual Reality Charity Event. Every year, for at least six months, they work closely with Extra Life – an initiative in which thousands of video game players around the world host fundraising and gaming marathons in support of local Children’s Miracle Network Hospitals - to fine-tune the logistics and put the event together. Then in November, over a two-day period, peoplefrom across North America united at Ctrl V’s event to play VR games in support of sick and injured children at their local Children’s Miracle Network Hospital. “This year, as a company, we were the 13th largest contributor to the events,” says Brooks, who privately supported Children’s Miracle Network years prior to starting his company. “It totally exceeded our expectations because we had goals, but every location doubled those goals. We raised nearly $50,000 this year.” (They only aimed to raise $25,000 this year).”In our first year we raised $7,000 and in our second year we raised $12,000.” Regardless of how much funds they raise, 100 per cent of the revenue made during the event is donated to Children’s Miracle Network.
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“It’s a pretty easy sell,” says Brooks, explaining why the virtual reality arcade’s franchisees are more than happy to run this event for the weekend. “For about 10 locations, it was the first time doing it this year so at first we thought this might be scary for them, especially as new business owners. But everyone was looking forward to it.” In addition to digital and radio advertisements, press releases, a countdown clock on the Ctrl V webpage, and newsletters, local owners told all customers coming into their location about the upcoming fundraiser months in advance. “You couldn’t not know about it,” says Brooks. “Everyone who works for the company has shared values and one of those values is giving back to the community. It’s about building a better a community, that why our prices are the way they are. We’ve made it affordable to access VR,
www.cfa.ca | www.FranchiseCanada.Online
an expensive technology, and have made multiple impacts as a result.” Through their partnership with Children’s Miracle Network, three SickKids patients played VR - shooting archery and defending castles - alongside Brooks’ brother, Josh (a former SickKids patient.) Ctrl V live streamed the event and people made online donations that directly impacted the game. “We spoke to a developer to ask him if there was any opportunity to do something custom that would trigger something positive or negative in the game depending on the donation,” says Brooks. “It resonated sowell with participants across North America that Ctrl V is considering doing something similar in the future.” With 15 locations across Canada, Ctrl V is getting more and more people into VR with out-of-this-world gaming experiences. At Ctrl V franchises, people of all ages have the opportunity to simply slip on a VR mask and be transported to another world. “One of the reasons why we obviously started doing this is to give people access to premium VR technology,” says the former schoolteacher. Their biggest priority remains giving people a sense of community. Whether it’s winning an intergalactic battle with a friend or slaying firebreathing dragons with a team, VR provides the opportunity to take a child out of a hospital bed and into another galaxy. It has the opportunity to bring people closer together. “People think that putting something on your head would be isolating, but it’s actually quite the opposite. 95 per cent of customers come with other people to share the experience together.”
Ca na d i an F ran c h i se
C h o o s e t he b u si n ess mod el t ha t moves you ! S h u t t l e Franchise
C hauf f e ur F ranch i s e
B u i l d y o u r f le e t
No fleet required
$ 2 0 b illio n in d u s tr y
Care based approach
Cor p or ate c o n t r ac t s
Work from home
Cust o m s o lu t io n s
Highly sc alable
P u r p os e b u ilt f le e t
Low c ost of ent ry
CFA Franchisees Choice Designation 2 consecutive years
Chamber of Commerce Innovation Award
Over 100 hours of intensive training
Winner of CFA Awards of Excellence
w w w . d ri v e rse at in c . c o m / f r an c h is e 8 55 - 3 7 4 - 8 3 9 0
State of the art business technology solutions
CSE:ISH
Open your own cannabis dispensary.
VISIT SPIRITLEAF.CA TO LEARN MORE
#SPIRITLEAFCA
Acquiring a retail cannabis store franchise is speculative. There is no assurance that you will be granted a licence, registration or authorization to sell cannabis products or operate a retail cannabis store in your province or municipality. We will not permit our franchisees to open a Spiritleaf franchise until such time as the operation of that business within the province and municipality where your business will be operated is legal and you have received all valid authorizations from all applicable governmental agencies to do so.