OVERVIEW OF
FRANCHISING
Is it an appropriate growth strategy
for your business?
Powered by F Vision accelerated business success training
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What is Franchising?
Three Primary Elements define a Franchise
Relationship:
1. The use of a common trademark
2. The provision of assistance to the
franchisee
3. The collection of fees, royalties, markups or other monies from the franchisee
If you have all three of the above elements
you are a franchise regardless of what you
call it.
Franchiselink
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Why do companies Franchise?
The ability to expand using franchisees
capital
 Franchisees are typically more motivated to
succeed than managers
 Franchising promotes increased quality at
the unit level
 Franchising enables a company to grow
faster than it otherwise would through
corporate expansion
 Reduced risk and liability for the franchisor
 Fewer concerns over day-to-day operations
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Franchiselink
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In order to franchise
your business should be:
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Established and Profitable
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Unique in the marketplace
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Easily teachable to others
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Attractive in terms of a proven return
on investment
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Marketable as a franchise opportunity
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Transferable to other markets
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How do I franchise?
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Develop a business implementation plan using
Franchiselink’s unique F Vision approach
Draft legal agreements required by Provincial
Laws
Establish quality control mechanisms that
franchisees will be required to follow
Develop a web page dedicated to your
franchising effort
Develop marketing materials to help sell
franchises
Design a franchise sales strategy
Advertise your franchise opportunity to
generate sales
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The Business Plan
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The business plan is your key to success;
we recommend using the F Vision
Business Plan formula
It should be developed by experts
Make sure the person doing the work
has extensive franchise experience
Must focus on the implementation as
well as the development of your
franchise program
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The Business Plan
(Cont’d)
As recommended by the F Vision
training system, it must include:
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Organizational chart(s)
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Staffing analysis
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Primary and secondary market
research
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Detailed cash flows and sensitivity
analysis
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The Business Plan
(Cont’d)
Don’t rely on guesswork – a thorough
strategic plan is critical to the long
term success of any franchise
program.
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Legal Documents: The Foundation
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Franchising legal documents should be
drafted by a qualified franchise lawyer.
Make sure that the lawyer is a franchise
expert and has at least 10 years of
franchise experience.
Consultants with expertise in developing
and managing franchise systems can
assist you and your lawyer in developing
the business relationship between the
franchisee and franchisor to be detailed
in the legal documents.
www.franchiselink.ca
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Quality Control:
The Assurance of Longevity
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Motivate and train your corporate staff
to understand and support the franchise
system
Develop a comprehensive Operations
Manual specifically for franchisees
Prepare a detailed training program
(including training manuals) for
franchisees
Consider online training tools
www.franchiselink.ca
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Marketing Planning
If you are planning for aggressive expansion:
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Create a formal written plan outlining your
strategies and budget.
Maximize quality control and brand
awareness by expanding regionally first
before you consider national growth.
Don’t expand faster than your support
capability.
Use a specialist in helping you plan for
growth – remember, one incremental
franchise sale can create hundreds of
thousands of dollars gained or lost.
www.franchiselink.ca
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Marketing Materials:
Essential for Speed
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Your marketing materials create a critical
first impression that differentiates your
franchise opportunity
Your web page should be a HUGE priority
Develop a mini-brochure for the sake of
economy
A full sized, colour brochure is essential for
credibility
Only work with professionals who
understand the unique nature of a
franchising concept
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The Sales Process:
The Ultimate Test
Your franchise program will NOT succeed
unless you select QUALITY franchisees.
 Develop a comprehensive and detailed
strategy for evaluating and approving
franchise candidates.
 Prepare your staff for supporting your
franchise sales effort.
 Obtain ongoing coaching from experts with
experience in franchise sales.
 The franchise sales process cannot be
taught in a day.
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Who is the FranchiseLink Group?
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Franchiselink specializes in highly customized
relationships with start-up and established
Canadian franchisors.
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Founded in 2002, Ted van Samang has been in
the franchising business since 1980.
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We have worked with many successful
Canadian and American franchising companies.
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We have sold over 500 franchises for our
clients throughout Canada and the US.
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We are experts in creating regional franchising
opportunities for fast growth
www.franchiselink.ca
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Who is the FranchiseLink Group?
(Cont’d)
We provide extensive experience in five
functional areas of expertise:
1.
Strategic Planning
2.
Operations and Training
3.
Franchise Marketing
4.
Franchise Sales Implementation
5.
Access to investment capital through the
Thomas Franchise Solutions group (TFS)
www.franchiselink.ca
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Who is the FranchiseLink Group?
(Cont’d)
We specialize in our exclusive F Vision
accelerated business success training based
upon our extensive experience with EMyth Mastery, F.A.S.T. (IFA approved),
Life Pilot, TFS University, as well as
our experience with hundreds of
established franchising companies.
www.franchiselink.ca
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What can we do to help you succeed?
The relationship is based upon the unique
needs of each client:
Develop business and implementation plans
 Develop required legal documents
 Create Operations Manuals & Training Tools
 Develop Marketing Plans
 Design Web-Based Marketing Strategies
 Develop Marketing Tools
 Develop Franchise Sales Strategies
 Long Term Implementation Assistance
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www.franchiselink.ca
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Costs
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Varies depending scope of the project.
Our pricing is designed to meet the needs of
each client we work with.
DO NOT get into franchising undercapitalized.
Expect to pay up to $50,000 and up for a
Canadian franchising roll out.
In addition to consulting, plan on spending
$8,000-$10,000 on advertising per each
franchise sale at start-up.
Be wary of anyone who tells you that you can
franchise without a significant commitment of
resource.
www.franchiselink.ca
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Next Steps
If your business is qualified, we will
schedule a no cost consultation to
determine if:
 Franchising is the right strategy for you
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If your business is franchiseable
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What steps you need to take
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What specific costs you should expect
www.franchiselink.ca
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