Inside Knowledge

Clyth MacLeod has a business broker with recent experience as a franchisor to help you recruit the right franchisees

There’s no doubt that the success of a franchise depends to a large extent on the quality of its franchisees. As a franchisor, you can provide all the ingredients – the system, the brand, the training and support – but it’s what your franchisees do with those ingredients that makes the difference.

Joanne Bush knows that only too well. As a former franchisor herself, she knows that when a franchisee decides it’s time to sell, it means a partnership is coming to an end. Finding and developing a new franchisee to the same level adds another task to an already busy workload.

Now she is in a position to give franchisors the help they need as a consultant franchise sales specialist with Clyth MacLeod Business Sales – New Zealand’s longest established business brokerage.

Joanne Bush

The secret ingredient

After several years working with businesses through the NZTE’s Regional Business Partner Network, Joanne purchased a national franchise and spent 5 years growing it to a base of 24 franchisees. Having sold the business last year, she took on her new role at Clyth MacLeod armed with a wealth of inside knowledge.

‘Good franchisees make your job as franchisor easier, whilst actively contributing to the success of your brand. The challenge is finding the right people: they must have the right skills and qualifications but also need a “secret ingredient” for success – a proactive attitude towards growing their own business and an understanding of what the franchisor/franchisee relationship is all about.

‘There is a critical difference between selling a standard business and selling a franchise. Whether you’re selling a greenfields opportunity, an existing franchisee’s business, a master franchise or even the whole system, it’s all about long-term business relationships so it’s important to get it right.’

Over and above the necessary skills and qualifications, ideal franchisee prospects should:

• Understand that performing the service well is essential, but it’s only part of running a successful franchise business;

• Be keen to promote themselves and the brand; •

Understand they must market and sell the product or service with franchisor support;

• Be personally accountable;

• Understand that the franchisor/franchisee relationship is a partnership.

Working as a team

‘Unless a franchise operation is very substantial, a dedicated salesperson is not usually feasible,’ says Joanne. ‘The franchise sales function often sits with a very busy franchisor who may not have the time to do it justice. Or it may be included as part of a support role where it’s a compromise that can conflict with franchisee relationship building.

‘There is also the risk of missing vital steps in the sales process that may come back to haunt you later. It should be no surprise, therefore, that many franchises choose to use the services of a specialised business broker.’

With 50 years in the industry and a team approach that sets it apart, Clyth MacLeod gives franchisors and franchise re-sellers the benefit of collective expertise with a single point of contact – in this case, a broker with franchisor experience and the time to develop an understanding of what is really needed in your particular operation.

‘I’ll enable you to hand over the task of filtering responses, selecting and interviewing strong candidates with confidence,’ says Joanne. ‘Advertising should attract those capable of delivering the service, but franchisee prospects don’t all have “the right stuff” to make them – and you, the franchisor – successful. Our help can save franchisors a lot of time and effort and, even better, no payment is required until a result is achieved.’

Making life easier

Joanne sums up, ‘A dedicated business broker with franchisor experience can make life easier. We will:

• Understand what you really need in your franchisees – the must-haves and the nice-to-haves;

• Respond to all enquiries in a timely manner;

• Screen prospects according to our agreed criteria;

• Negotiate and close the sale.

‘I’m happy to work with franchisors and candidates throughout the country – contact me to find out how I can help you recruit and replace franchisees and grow your network without the hassles. I’m also happy to advise anyone considering becoming a franchisee and help them work out whether a particular franchise would be appropriate for them.’

Advertiser Info

Clyth MacLeod

Contact Joanne Bush, Licensed Salesperson REAA 2008

M 021 177 6009

joanne@cmbusiness.co.nz

www.cmbusiness.co.nz