Franchising a stable sector in uncertain economic times
While other sectors are struggling, franchising has proven to be a successful and resilient business model in recent turbulent times. Franchisors that focus on quality service, not just price, and work with the franchise group to develop systems that boost competitiveness are sure to thrive when the economic cycle is difficult.
Often, successful franchises work with a centralised business advisor to develop and streamline these business systems and frameworks which are rolled out across the franchise group.
This approach creates a uniformed financial and business management structure and a detailed support network for each franchise to work with.
A major challenge for franchise businesses is ensuring that all franchisees have access to the right business advice and comprehensive support from specialists. This support should focus on:
- Providing advice on developing and maintaining adequate financial reporting and measurement frameworks
- Complying with franchisor and Government reporting obligations
- Management accounting, benchmarking and franchisee education
- Developing uniformed, consistent systems that add value and are relevant to the group
If these systems are developed centrally then rolled out to franchisees, franchisors can be confident that the network of businesses will be on the same page and focussing on the same targets.
This approach can help to eliminate problems with meeting compliance obligations. It also streamlines business systems, allowing franchisees to focus on running a successful business.
For more information on how our Franchise specialists can work with your franchise group contact one of our Franchise specialists.