One of the largest independent recruitment groups Pertemps fired the starting pistol on a new arm of the family business, Network Brand Partnerships.
Midlands based Network Brand Partnerships is a fully owned subsidiary of Pertemps Investments and has been formed to improve the standards of local recruitment across the main sectors within the UK and Europe.
Debbie Smith Managing Director of Network Brand Partnership said: “We are offering three very diverse recruitment business models covering Executive Search, Health Care and the High Street. We want to attract partners to run their own business in the sector that suits them. It is an exciting move forwards in a growing industry.”
Network Brand Partnerships completed the acquisition of C N A International in December 2008, adding the established 20 strong Executive Search franchise network to their Health Care and High Street focused partner networks.
“C N A International has an enviable reputation within the recruitment industry and an experienced and highly motivated team of executive search consultants,” said C N A’s founder and former chairman Albert Wilde.
“Since forming the company in 1995, we have expanded our operations into Europe and I’m confident that the resources and expertise that Network Brand Partnerships is able to offer will take C N A to the next stage, enabling robust expansion both in the UK and on the international scene,” continues Wilde.
C N A Executive Search form one of the three arms of the unique offering Network Brand Partnerships has formed to create the leading recruitment industry franchise opportunity. High quality search is a multi million pound industry. Continued growth is forecast due to continue to the acute worldwide shortage of proven top management talent.
The Health Care arm is an evolution of the established and successful Pertemps Healthcare, named ‘Network Health and Social Care’. The UK market is currently worth over £12 billion per annum and this can only increase as the Government encourage more and more people to receive care in their own homes. This coupled with an increasingly ageing population will result in a quick return on investment.
Tim Watts, Chairman of Pertemps Investments said: “I am delighted to welcome Network Brand Partnerships to the Pertemps Group, this new venture will ensure we continue to strengthen operations within the recruitment industry.
“With so many different sectors in the recruitment industry attracting such varied business owners the aim of Network Brand Partnerships three franchise offerings are simply to provide choice. Partners will benefit from one of the most technologically advanced back office teams in the UK as well as a support team led by some of the recruitment industry’s most respected and experienced Individuals.”
For further information the 3 recruitment franchise opportunities visit www.networkbrandpartnerships.co.uk
Tuesday, 13 January 2009
Friday, 9 January 2009
Legal issues in franchising
Choosing to buy a FRANCHISE rather than starting your own business can have a lot of advantages, and the franchisor running certain things can certainly simplify your operation. On the other hand, it can also be considerably more complicated in some ways, one of which is the tangle of legal issues that is particular to buying a franchise. Many sources strongly recommend that you acquire a franchise lawyer when you are thinking about buying a franchise to help you mine through these legal issues.
One of the most important documents you will have to figure out is the UFOC which the franchisor is required to create by the Federal Trade Commission. This UFOC discloses a number of things about the franchisor and the business they are selling you, including what they do, their business experience, the fees you can expect to pay, what kind of investment you will have to make, and whether or not they have been involved in any lawsuits. Reading this document can tell you a great deal about a franchisor, and understanding it will help you decide whether buying their franchise is right for you.
Another document that you need to pay close attention to and may need a lawyer to help you understand is the franchise/legal agreement, which will spell out your and the franchisor’s rights and obligations. This will tell you things like how long the franchise agreement is for, how you can use their trademark, and what can cause the agreement to be terminated.
As you are reviewing these documents, make sure to pay close attention to how much control the franchisor has over the operation of your business, which can certainly vary based on the industry and company. If you are unwilling to cede a lot of control, make sure to select a franchisor that fits that need, and make sure you understand what the franchisor is offering in their documents in terms of how much control they will have in managing your business, because if you run into conflicts with them about the operation of the business later, you want to be sure you knew what you were getting into.
You should be suspicious of any franchisor who does not want you to understand these legal documents. If they try to dissuade you from getting a franchise attorney or from reading them thoroughly, you might reconsider whether or not you want to do business with them. A good franchisor will have nothing to hide in these documents, and will want you to read and understand them completely.
Understanding the UFOC and franchise agreement of a franchisor is not enough, however. You will need to do a lot more research and homework before deciding to buy a franchise. Some other things you might do to help you figure out if you are getting a good franchise are to talk to current franchisees and to avoid anything that seems too good to be true. Being smart about buying your franchise can help you avoid big pitfalls, legal and otherwise.
One of the most important documents you will have to figure out is the UFOC which the franchisor is required to create by the Federal Trade Commission. This UFOC discloses a number of things about the franchisor and the business they are selling you, including what they do, their business experience, the fees you can expect to pay, what kind of investment you will have to make, and whether or not they have been involved in any lawsuits. Reading this document can tell you a great deal about a franchisor, and understanding it will help you decide whether buying their franchise is right for you.
Another document that you need to pay close attention to and may need a lawyer to help you understand is the franchise/legal agreement, which will spell out your and the franchisor’s rights and obligations. This will tell you things like how long the franchise agreement is for, how you can use their trademark, and what can cause the agreement to be terminated.
As you are reviewing these documents, make sure to pay close attention to how much control the franchisor has over the operation of your business, which can certainly vary based on the industry and company. If you are unwilling to cede a lot of control, make sure to select a franchisor that fits that need, and make sure you understand what the franchisor is offering in their documents in terms of how much control they will have in managing your business, because if you run into conflicts with them about the operation of the business later, you want to be sure you knew what you were getting into.
You should be suspicious of any franchisor who does not want you to understand these legal documents. If they try to dissuade you from getting a franchise attorney or from reading them thoroughly, you might reconsider whether or not you want to do business with them. A good franchisor will have nothing to hide in these documents, and will want you to read and understand them completely.
Understanding the UFOC and franchise agreement of a franchisor is not enough, however. You will need to do a lot more research and homework before deciding to buy a franchise. Some other things you might do to help you figure out if you are getting a good franchise are to talk to current franchisees and to avoid anything that seems too good to be true. Being smart about buying your franchise can help you avoid big pitfalls, legal and otherwise.
Franchise Evaluation
When buying a franchise, one of the greatest tools you have at your disposal is the ability to contact current franchisees. Not contacting them and investigating their opinion of the franchisor thoroughly would be a big mistake. When you contact a current franchisee, you get the opinion and outlook of someone who is in the same position that you will be in, should you decide to accept the franchise agreement. For this reason, their advice and input is more valuable than any other you might get. If you have concerns about what the franchisor is like, whether or not their claims are true, how many hours you might work, or how the business is run, a current franchisee may be able to help you make a more informed decision about buying a franchise.
Often, the franchisor will introduce you to a few franchisees, and even take you on a tour to see their locations and to talk with them. These meetings can be helpful, but you have to do extra work to really get the most out of learning from current franchisees. It is a good idea to go back to those franchisees after the tour to ask them any questions you did not feel comfortable asking in front of the franchisor, or to get any answers they might not have wanted to disclose in front of the franchisor. However, keep in mind that even if you are alone with these franchisees, they may not give you a full picture of the franchise as a whole. Some franchisees are paid to solicit new ones, and if the franchisees you speak to were given money, they may not be entirely truthful.
Given this, you must search deeper into the network of current franchisees to get a true impression of the franchise as a whole. In the fdd, franchisors provides contact information for past, current, and future franchisees that you can interview on your own, who are less likely to have a biased opinion of the franchise. The more franchisees you interview, the better, to get the most complete picture. You can ask them things like whether or not they think the franchisor is honest, and what they think of the current FDD. You should also try to interview franchisees from a wide variety of locations, years of experience, and success levels so that you are not getting a biased sample of people either praising the franchisor or complaining about it.
When you interview current franchisees, keep in mind that some of the franchisees are going to be more successful than others. This can impact what they say to you about their opinion of the franchise as a whole. When you interview the less successful ones, try to ascertain whether or not the franchisor is to blame for their lack of success, for instance, if they are not flexible enough or are not offering enough support. Understanding why those franchisees are not successful can help you determine whether or not this franchise is the right one for you, and how to be successful if you do decide to buy it.
Often, the franchisor will introduce you to a few franchisees, and even take you on a tour to see their locations and to talk with them. These meetings can be helpful, but you have to do extra work to really get the most out of learning from current franchisees. It is a good idea to go back to those franchisees after the tour to ask them any questions you did not feel comfortable asking in front of the franchisor, or to get any answers they might not have wanted to disclose in front of the franchisor. However, keep in mind that even if you are alone with these franchisees, they may not give you a full picture of the franchise as a whole. Some franchisees are paid to solicit new ones, and if the franchisees you speak to were given money, they may not be entirely truthful.
Given this, you must search deeper into the network of current franchisees to get a true impression of the franchise as a whole. In the fdd, franchisors provides contact information for past, current, and future franchisees that you can interview on your own, who are less likely to have a biased opinion of the franchise. The more franchisees you interview, the better, to get the most complete picture. You can ask them things like whether or not they think the franchisor is honest, and what they think of the current FDD. You should also try to interview franchisees from a wide variety of locations, years of experience, and success levels so that you are not getting a biased sample of people either praising the franchisor or complaining about it.
When you interview current franchisees, keep in mind that some of the franchisees are going to be more successful than others. This can impact what they say to you about their opinion of the franchise as a whole. When you interview the less successful ones, try to ascertain whether or not the franchisor is to blame for their lack of success, for instance, if they are not flexible enough or are not offering enough support. Understanding why those franchisees are not successful can help you determine whether or not this franchise is the right one for you, and how to be successful if you do decide to buy it.
Steps to picking a franchise
If you’re thinking about going into business as a franchise, here are 6 steps to picking the right one for you!
1. Assessing your personality: Before you pick a franchise to go after, think carefully about the kind of business you want to run and how your personality fits into that. Make a list of your strengths and weaknesses as a business manager. Think about everything from your experience to your attitude about work. Then plan out what you want in a franchise based on your personality, from the hours of work to the possibility of relocation.
2. Researching the company: Spend a lot of time on this step, because it is very important. Find out about the profitability of companies you are interested in buying a franchise from. Research their financial details, and find out if they plan on and are able to expand more. Finally, think about what kind of demand is available for their products.
3. Questioning the franchisor: Once you have narrowed down which franchises you are most interested in pursuing, it’s time to get tough with them. Question the companies about how they run their franchises and what kind of policies they have. Find out about franchisees that have gone out of business or quit, and see if you can contact them to get a better picture of whether or not this is a company you will want to work with. Then, ask about current franchisees and call them up or visit them. Find out what they think of the company and how supportive the company is to its franchisees. They should also be able to tell you something about why they picked this company and if its image and quality is up to par.
4. Investigating profits: Find out what the profits are going to be like for the franchisors that you are most interested in. Some franchises are profitable right away. Others require more patience. Refer to your earlier assessment of your personality and attitude towards this aspect of the business before selecting a franchise.
5. Considering the market: Even if a franchise seems perfect for you, don’t jump on it without getting a good idea of what the market is like where you plan to set up shop. Many products are more or less successful depending on geographic location and demographics. You want to make sure there is a big base of customers where you start your franchise for your product, so conduct some market research. Find out if the culture and region you plan to start your business is interested in the products your franchise will sell.
Similar businesses in the area may tell you that you are in the right place for your customers. On the other hand, the market may be saturated and there may be too much competition in your location, or even overall. Find out if the industry the franchise you have selected is growing.
6. Understanding the contract: Before signing anything, make absolutely sure that you understand the franchise agreement contract. It is a very good idea to hire a franchise lawyer to help you make sure that you are getting everything you want from the franchisor, especially profits and your rights. The franchisor should also most likely be offering lots of training and support for you and your employees
1. Assessing your personality: Before you pick a franchise to go after, think carefully about the kind of business you want to run and how your personality fits into that. Make a list of your strengths and weaknesses as a business manager. Think about everything from your experience to your attitude about work. Then plan out what you want in a franchise based on your personality, from the hours of work to the possibility of relocation.
2. Researching the company: Spend a lot of time on this step, because it is very important. Find out about the profitability of companies you are interested in buying a franchise from. Research their financial details, and find out if they plan on and are able to expand more. Finally, think about what kind of demand is available for their products.
3. Questioning the franchisor: Once you have narrowed down which franchises you are most interested in pursuing, it’s time to get tough with them. Question the companies about how they run their franchises and what kind of policies they have. Find out about franchisees that have gone out of business or quit, and see if you can contact them to get a better picture of whether or not this is a company you will want to work with. Then, ask about current franchisees and call them up or visit them. Find out what they think of the company and how supportive the company is to its franchisees. They should also be able to tell you something about why they picked this company and if its image and quality is up to par.
4. Investigating profits: Find out what the profits are going to be like for the franchisors that you are most interested in. Some franchises are profitable right away. Others require more patience. Refer to your earlier assessment of your personality and attitude towards this aspect of the business before selecting a franchise.
5. Considering the market: Even if a franchise seems perfect for you, don’t jump on it without getting a good idea of what the market is like where you plan to set up shop. Many products are more or less successful depending on geographic location and demographics. You want to make sure there is a big base of customers where you start your franchise for your product, so conduct some market research. Find out if the culture and region you plan to start your business is interested in the products your franchise will sell.
Similar businesses in the area may tell you that you are in the right place for your customers. On the other hand, the market may be saturated and there may be too much competition in your location, or even overall. Find out if the industry the franchise you have selected is growing.
6. Understanding the contract: Before signing anything, make absolutely sure that you understand the franchise agreement contract. It is a very good idea to hire a franchise lawyer to help you make sure that you are getting everything you want from the franchisor, especially profits and your rights. The franchisor should also most likely be offering lots of training and support for you and your employees
How to motivate franchise employees
When you buy a franchise, if you haven’t already owned your own business before, you probably have to make the difficult transition from working for someone to having people working for you. Being an employee is very different from being the boss. You have to be a good and effective manager in order to gain the respect of the people working for you. It is not as difficult as it sounds, as long as you are willing to put in the effort to motivate your employees. Motivating your employees will be vital to your success. If the people who work for you want to be there, they will work harder and make your franchise even better. Here are some ways to motivate your franchise employees:
1. Praise them if they are doing a good job. This is the simplest thing and is very easy to implement. You should be able to tell who is working hard. If you recognize them for doing a good job, it will show them that you notice and care how hard they work. This will make them want to work harder. By contrast, if your employees are working hard and doing a great job and you never recognize their efforts, they are likely to stop trying so hard, and may even begin to dislike you.
2. Train your employees well, and keep them up-to-date with training. If you slack off on training your employees, they may feel like they are thrown out into the world without the ability to do their jobs effectively. If they feel poorly about how they are doing, are being yelled at by customers, or worst of all, if you blame them for doing a poor job because they aren’t trained well, they are going to feel resentful and upset that you aren’t giving them all the knowledge they need to do a good job. Keeping your employees trained will make them feel good about their job knowledge and will make your business better.
3. Let your employees know that they can advance. If your employees see working at your franchise as a dead-end job where they have no opportunities for promotions, they are not going to work as hard as you need them to. If they know that good employees are rewarded with advancement, they are more likely to be good employees.
4. Keep your work environment positive. If your work environment is clean, safe, and honest, your employees will feel better about working there. You do not want them to feel uncomfortable.
5. Be nice to your employees, if they are doing well, or even just because. You may want to organize a lunch or party for your employees, so they experience camaraderie with you and their fellow franchise employees. Happier employees work harder.
These are just a few possibilities. There are many effective ways to motivate your employees beyond this list. In fact, if you are a new franchise owner and were previously an employee yourself, you can probably think of several ways that you felt motivated at a previous job, and use those ideas as a manager.
1. Praise them if they are doing a good job. This is the simplest thing and is very easy to implement. You should be able to tell who is working hard. If you recognize them for doing a good job, it will show them that you notice and care how hard they work. This will make them want to work harder. By contrast, if your employees are working hard and doing a great job and you never recognize their efforts, they are likely to stop trying so hard, and may even begin to dislike you.
2. Train your employees well, and keep them up-to-date with training. If you slack off on training your employees, they may feel like they are thrown out into the world without the ability to do their jobs effectively. If they feel poorly about how they are doing, are being yelled at by customers, or worst of all, if you blame them for doing a poor job because they aren’t trained well, they are going to feel resentful and upset that you aren’t giving them all the knowledge they need to do a good job. Keeping your employees trained will make them feel good about their job knowledge and will make your business better.
3. Let your employees know that they can advance. If your employees see working at your franchise as a dead-end job where they have no opportunities for promotions, they are not going to work as hard as you need them to. If they know that good employees are rewarded with advancement, they are more likely to be good employees.
4. Keep your work environment positive. If your work environment is clean, safe, and honest, your employees will feel better about working there. You do not want them to feel uncomfortable.
5. Be nice to your employees, if they are doing well, or even just because. You may want to organize a lunch or party for your employees, so they experience camaraderie with you and their fellow franchise employees. Happier employees work harder.
These are just a few possibilities. There are many effective ways to motivate your employees beyond this list. In fact, if you are a new franchise owner and were previously an employee yourself, you can probably think of several ways that you felt motivated at a previous job, and use those ideas as a manager.
How to be successful
franchise can be a good option if you are thinking about starting your own business. Franchises are considerably less likely to fail than independent businesses because they benefit from name recognition and a proven business model. But if you are thinking about buying a franchise, remember that it is not foolproof. There are things you will have to do to be a successful franchisee.
The most important step to being successful in buying a franchise happens before you even purchase the franchise. This stage involves a great deal of self-assessment. First, you need to figure out if buying any franchise is right for you at all. Franchises are less risky than independent businesses, but they also require you to follow rules and run your business within certain parameters. You will be your own boss, but you also have to answer to the franchisor, and follow their rules. Furthermore, do some self-assessment to figure out what kind of franchise you want. You need to pick a franchise concept that you can believe in. If you cannot commit to the product or service your franchise offers, you will not be as successful.
Once you have bought the franchise, there is more work to be done. Stay organized, keep within the parameters of the franchisor, and communicate with them if there are any problems. Remember, if you become a franchisee, you may have to deal with things like hiring and training employees, buying supplies, and working long hours. If you are not committed to doing these things when you purchase your franchise, you are unlikely to be as successful.
Even if you pick a franchise you really believe in, follow all the rules, and work hard, there are still some things that can cause a franchise to fail that would be completely out of your control. Even if your franchise is successful, if your franchisor runs into trouble, you could be in trouble too. Franchisors can have financial difficulty for a variety of reasons.
If the franchisor is relatively new to franchising their company and doesn’t have a track record of franchised businesses, they might have a flawed franchise structure. To avoid this affecting you, as a franchisee, look for franchisors that have been franchising for a long time or at least make sure that they have done sufficient testing so that you can be sure that their model is sound.
Another thing that could cause problems for your franchisor is poor performance on the part of other franchisees. Even if you are working hard and are successful at your franchise, your fellow franchisees may not be so lucky, or may not be doing a good job, which can put the franchisor in financial difficulty. A franchisor should have a rigorous selection process to avoid acquiring franchisees who are not very competent. If it seems too easy to sign up for a franchise with a company, consider avoiding that company – their other franchisees could be a big problem for them and for you.
The most important step to being successful in buying a franchise happens before you even purchase the franchise. This stage involves a great deal of self-assessment. First, you need to figure out if buying any franchise is right for you at all. Franchises are less risky than independent businesses, but they also require you to follow rules and run your business within certain parameters. You will be your own boss, but you also have to answer to the franchisor, and follow their rules. Furthermore, do some self-assessment to figure out what kind of franchise you want. You need to pick a franchise concept that you can believe in. If you cannot commit to the product or service your franchise offers, you will not be as successful.
Once you have bought the franchise, there is more work to be done. Stay organized, keep within the parameters of the franchisor, and communicate with them if there are any problems. Remember, if you become a franchisee, you may have to deal with things like hiring and training employees, buying supplies, and working long hours. If you are not committed to doing these things when you purchase your franchise, you are unlikely to be as successful.
Even if you pick a franchise you really believe in, follow all the rules, and work hard, there are still some things that can cause a franchise to fail that would be completely out of your control. Even if your franchise is successful, if your franchisor runs into trouble, you could be in trouble too. Franchisors can have financial difficulty for a variety of reasons.
If the franchisor is relatively new to franchising their company and doesn’t have a track record of franchised businesses, they might have a flawed franchise structure. To avoid this affecting you, as a franchisee, look for franchisors that have been franchising for a long time or at least make sure that they have done sufficient testing so that you can be sure that their model is sound.
Another thing that could cause problems for your franchisor is poor performance on the part of other franchisees. Even if you are working hard and are successful at your franchise, your fellow franchisees may not be so lucky, or may not be doing a good job, which can put the franchisor in financial difficulty. A franchisor should have a rigorous selection process to avoid acquiring franchisees who are not very competent. If it seems too easy to sign up for a franchise with a company, consider avoiding that company – their other franchisees could be a big problem for them and for you.
Understanding Franchising
There are many benefits to starting a franchise as opposed to your own independent business. Some of those benefits include the proven business model, name recognition, and training and support that you will get from the franchisor. Another big benefit is that the franchisor will likely handle most of the marketing efforts on your behalf, though they usually require their franchisees to pay a fee for those marketing campaigns.
Since a good, well-funded marketing campaign is a benefit you should enjoy when choosing a franchise over an independent small business, you should consider what kind of marketing plan the franchisor has if you are thinking about buying a franchise, in addition to all of the other important costs and benefits specific to the individual franchise, like training, profits, and management. If you are strongly considering a specific franchise, and they either do not have a marketing plan or you don’t like or agree with their marketing plan, you may want to look elsewhere – lack of good marketing could be a deal breaker, since it can be vital to your success as a franchisee.
When you are examining the franchisor’s marketing plan, pay attention to what it offers and how much it will cost you in fees to the franchisor. A good marketing plan should cover things like print advertisements, TV advertisements, and direct mail to current and possible customers. Look for marketing in areas that you think will reach your target customers, and as many of them as possible, not just a few people. Make sure that you feel comfortable that the marketing plan the franchisor offers will be effective in helping you draw in customers, because it can strongly affect your chances of success as a franchisee, and, if you are paying fees to support this marketing plan, you want to make sure that it is better than you could do if you were paying for and managing your own marketing outreach.
Finally, you should find out if the franchisor is proactive and open to new ideas from franchisees in terms of marketing efforts. If you are completely happy with the plan the franchisor has set forth for marketing, this may not seem necessary, but a good franchisor should always be open to new ideas for future marketing, when things may change and there may be better ways to reach customers in the future, rather than recycling stale marketing plans 10 years from now.
The marketing plan of a franchisor is not always the most obvious place to look for problems when you are picking a franchise. However, you should place as much importance on examining a franchisor’s marketing plan, and attitude towards marketing in general, as on things like profits and costs. Good or bad marketing can make or break you as a franchisee, and a franchisor who is responsive to your needs and suggestions with regards to marketing will be much more pleasant to work with and will be more likely to create more success for both of you.
Since a good, well-funded marketing campaign is a benefit you should enjoy when choosing a franchise over an independent small business, you should consider what kind of marketing plan the franchisor has if you are thinking about buying a franchise, in addition to all of the other important costs and benefits specific to the individual franchise, like training, profits, and management. If you are strongly considering a specific franchise, and they either do not have a marketing plan or you don’t like or agree with their marketing plan, you may want to look elsewhere – lack of good marketing could be a deal breaker, since it can be vital to your success as a franchisee.
When you are examining the franchisor’s marketing plan, pay attention to what it offers and how much it will cost you in fees to the franchisor. A good marketing plan should cover things like print advertisements, TV advertisements, and direct mail to current and possible customers. Look for marketing in areas that you think will reach your target customers, and as many of them as possible, not just a few people. Make sure that you feel comfortable that the marketing plan the franchisor offers will be effective in helping you draw in customers, because it can strongly affect your chances of success as a franchisee, and, if you are paying fees to support this marketing plan, you want to make sure that it is better than you could do if you were paying for and managing your own marketing outreach.
Finally, you should find out if the franchisor is proactive and open to new ideas from franchisees in terms of marketing efforts. If you are completely happy with the plan the franchisor has set forth for marketing, this may not seem necessary, but a good franchisor should always be open to new ideas for future marketing, when things may change and there may be better ways to reach customers in the future, rather than recycling stale marketing plans 10 years from now.
The marketing plan of a franchisor is not always the most obvious place to look for problems when you are picking a franchise. However, you should place as much importance on examining a franchisor’s marketing plan, and attitude towards marketing in general, as on things like profits and costs. Good or bad marketing can make or break you as a franchisee, and a franchisor who is responsive to your needs and suggestions with regards to marketing will be much more pleasant to work with and will be more likely to create more success for both of you.
Subscribe to:
Comments (Atom)