How to franchise your business

September 4, 2018

Permitting third parties to trade under your brand is increasing in popularity as a growth strategy, according to research by the British Franchise Association (BFA). If the idea of becoming a franchisor sounds appealing to you, consider the following recommendations from the IoD’s Information and Advisory Service (IAS).

Ask yourself: ‘Is my business model truly franchisable?’

If your enterprise is proven, profitable and easily replicable in a number of regions, franchising could be a cost-effective expansion route.

You’ll first need to write a business plan that includes the reasons for franchising and a market analysis to show that your offering is distinctive enough to be franchised and the demand for it is sufficiently widespread. Then you can start ensuring that your intellectual property is protected by means of trademarks and/or patents.

Run a pilot operation

This is a company-owned outlet that’s run as if it were a franchise. This crucial viability test will identify weaknesses and enable you to optimise key operational aspects, including recruitment and training policies, reward structures and quality-control processes.

For the best preparation, you should run a number of pilot operations in a range of locations for two years.

Draft a franchise agreement

This will set out your rights and obligations alongside those of your future franchisees. According to the BFA, the final contract will run to at least 40 pages. Since it is a bespoke document, you’d be well advised to engage a specialist franchise lawyer to help you write it. The BFA (thebfa.org) also offers useful guidance and resources on this subject.

Write an operations manual

This is a guide for franchisees to setting up, running and growing a franchise, including comprehensive instructions on its daily processes. The manual should be accompanied by a training programme that will enable any franchisee to develop all the skills required.

Find your franchisees

Only one in 10 serious enquiries by potential franchisees will result in an appointment, according to the BFA, so recruiting the right candidates is a significant task. Writing a prospectus that sets out the benefits of being a  franchisee and your selection criteria can help in this respect. It’s important to be candid about your expectations. McDonald’s, for instance, requires its franchisees to make a 20-year commitment and a “significant upfront financial investment, which means having at least £110,000 in unencumbered funds”.

Set up a support system

As a franchisor, you’ll typically retain overall responsibility for functions including finance, administration, product and/or service development, marketing, training, performance management and network communications. The level of support you offer franchisees will depend on your business model, but the BFA recommends setting up a central management function and even hiring field support staff to help your franchisees strengthen your brand.

Source: Director

Inaugural BFA affiliates and supplier awards

August 20, 2018

The BFA for the first time at their annual conference recognised its affiliate category of professional advisers and suppliers by introducing the BFA Professional Affiliate and Supplier Awards.

The new awards with four categories of entry are in recognition of the excellent work of its professional members who were first welcomed into membership in 1985, as critical partners for the association in its central mission to ensure the high standards demanded by ethical business-format franchising model.

This specific group of members has been significant in the ongoing development of the association’s standards, collaborating on industry intelligence, evolving legislation and real-world changes in franchising practice.

Pip Wilkins said: “We are really proud that this year and going forward we will be recognising some of the amazing achievements and contributions of both professional affiliates and suppliers. Year-on-year we will evolve these awards in line with the evolution of our sector, just as we have for our industry leading franchisor and franchisee awards.”

Award winners

The 2018 award winners for the BFA Professional Affiliate and Supplier Awards with comments from Wilkins on members’ achievements.

Innovation and Development
d&t (Accountants and business advisers)
‘d&t have revolutionised their industry and made the services they offer integral to monitoring effective business performance and enabling cost saving, network wide decisions to be made by franchisors to the benefit of their franchisees.’

Industry Contribution
HSBC (Banking)
‘With economic commentaries that are second to none, a leading edge and bespoke franchise website, major development of their UK team and replication of their UK model internationally, we wish them the best for the future.’

Team of the Year
The Franchising Centre (Franchise consultants, training centre, recruitment and career development)
‘This team clearly articulated a strong vision, mission and values, evidenced during a crucial period of strategic transition with a focus on developing their team members. As they say, train them and they will stay. This is a team that has ample of experience, more than 300 years combined in fact.’

Customer Service
Platinum Wave (Franchise consultants)
‘Not only have they sought to offer first class service, but they have also recognised the need to participate in industry events which has given them both greater brand recognition and built their credibility in our sector. I’m pleased to see their hard work recognised.’

Source: Franchise World

Revive wins at BFA HSBC Franchise Awards 2018

July 18, 2018

Revive Auto Innovations UK won HSBC Franchise Awards 2018 organised by the British Franchise Association (BFA).

The recognises franchisors who have provided a framework that includes continual training, coaching and mentoring, encouraging optimum performance and excellent engagement with franchisees.

The judges were particularly impressed by Revive’s accelerated business plan programme, which is available to high achieving group members that offer a supportive mentoring to plan for further growth.

Mark Llewellyn, managing director of Revive, said, “We are thrilled to win this award for the second time. We have never rested on our laurels, always striving to deliver the highest quality of support to our franchisees and continually investing in people and technology to keep Revive at the forefront of the SMART repair industry.

“We couldn’t have won this award without the dedication and commitment of our brilliant head office team who work tirelessly to mentor and support the network and I’d like to say a huge thank you to them.”

Pip Wilkins, CEO of the BFA, said, “Revive Auto Innovations UK has done extremely well to win the Franchise Support Award in what was a very competitive field.

“They have an impressive support programme for both new and longer-term franchisees, showing their sustained commitment to their network.

“Their Accelerated Business Plan Programme is open to their high performer group, offering a guided ‘planning for growth’, and it’s fantastic to see the focus on developing even the highest of achievers. Congratulations on winning this award and all the best for the future.”

Source: Fleet News

You can leverage £7.2bn growth potential of the North West with a franchise

June 22, 2018

If you’re an ambitious entrepreneur then new research and industry trends highlight that you could find success starting a franchise in the North West, while the upcoming Northern Franchise Exhibition can provide you with a kick start.

A major new report examining business growth in the UK reveals that the North West generated £165bn GVA (Gross Value Added) in 2016, a figure exceeded only by London and the South East.

The research shows further potential for growth in the area with an estimated £7.2bn of economic output still to be realised by aspiring and existing business owners.

Franchising provides entrepreneurs with a proven blueprint for launching and operating their own successful business, at a range of investment levels and to suit all lifestyles and ambitions. It also offers the platform to expand existing businesses.

Set against the backdrop of the burgeoning region, The Northern Franchise Exhibition – which takes place on June 22 and June 23 – presents a great opportunity for you to examine the many advantages offered by the franchising business model.

Well-known brands and industry experts will come together to help provide advice and insights; whether you’re looking to take the first steps into business ownership, expand an existing business portfolio, or increase the reach of your own business via franchising.

The Northern Franchise Exhibition, which has been accredited by the British Franchise Association (bfa), will enable you to meet a showcase of brands looking for new franchise partners including ActionCOACH, Merry Maids, Esquires Coffee, Sherpa Kids, and event sponsor Fitness Space.

You’ll also be able to attend 40 free seminars providing education on every stage of the franchise lifecycle from selection and financing to business expansion, and there will be a Growing Your Own Business Conference where experts will deliver a series of workshops on sales, marketing, and effective business planning.

Pip Wilkins, CEO of the bfa commented: “As recent reports indicate, the North West provides an environment in which businesses can flourish.

“In conjunction with The Franchise Exhibitions, the bfa is proud to deliver an event in Manchester which allows budding entrepreneurs to explore the potential of ethical, business format franchising as a route to business ownership or expansion.”

Helen Wood, portfolio sales manager at Venture Marketing Group, organisers of The Franchise Exhibitions, added: “Whether seeking a low-cost business to fit around family life, or a high-investment opportunity with a global name, The Northern Franchise Exhibition is an essential event for anyone seeking to leverage the advantages of franchising.”

Those wishing to attend the exhibition at EventCity on 22 & 23 June can obtain free tickets by registering online here and entering the promotional code STR1.

Source: Start-Ups

Keynote trio for BFA annual conference

June 15, 2018

The BFA has announced a trio of keynote speakers for its annual conference at the International Conference Centre (ICC), Birmingham on June 28 and 29, 2018.

Mary Portas, the retail consultant and television broadcaster who set-up Mary’s Living & Giving shops with the Save the Children charity, will present to conference on day one.

Jan Spaticchia, the chairman and co-founder of the fitness franchise energie Group and the former highest ranked woman in the British Army, Nicky Moffat CBE will be addressing the audience on day two.

At the event the BFA and ITN Productions will be launching its news and current affairs-style TV programme to – The Future is Franchising. Natasha Kaplinsky, the well-known TV presenter anchors the show that aims to explain the sector and the opportunities it can bring to individuals and businesses alike.

The conference offers attendees a comprehensive seminar programme, networking opportunities to share best practice and will celebrate success, with the newly qualified BFA members presented with their Qualified Franchise Professional certificates.

The event will also reveal the winners of the annual BFA/HSBC Franchise Awards at a gala dinner on the Thursday evening.

This year the association has introduced a Franchisee Track conference package with the aim of welcoming more franchisees to the event. The one-day package includes the franchise awards and overnight accommodation.

* New and prior to the conference on June 27 at the ICC, the BFA is launching a new event – BFA Super Brand. The focus on the day will be the development of the expanding franchise sector of multi-unit operators and multi-brand franchisors, both in the UK and internationally. The keynote speaker will be Josephine Fairley, the co-founder of Green and Black’s.

For further information and registration details for the events visit www.thebfa.org/events

Source: Franchise World

Law firm encourages businesses to consider franchising for growth

June 13, 2018
Neath law firm Hutchinson Thomas held a special seminar on Friday June 8 to showcase the benefits of franchising for business – as well as the potential pitfalls. 
Hutchinson Thomas is the only law firm in South West Wales accredited by the British Franchise Association to act on legal matters for franchises or franchisees. This is a specialist area of law with only a handful of firms in the UK recognised in this way.
Hosted by Hutchinson Thomas and chaired by Darren Davies, head of the Franchise Law team within the firm, the event featured presentations from Suzie McCafferty, an international franchise consultant; David Kaye, a specialist lawyer in this field with Scottish law firm Harper Macleod; and Sukhdeep Dehal, a franchise development manager with Lloyds Bank.
Attendees learned the types of businesses best suited to this business model, what the legal requirements are and some of the dangers and pitfalls.
It is estimated that the UK franchise industry now contributes a remarkable £15 billion to the UK economy annually. It is estimated that some 45,000 franchises are operating in the UK, employing more than 600,000 people.
The industry, which can offer a less risk alternative to launching a business from scratch, has enjoyed phenomenal growth in the past 10 years with the number of people employed by the sector increasing by 70 per cent in the ten years between 2006 and 2016.
Darren Davies, head of the Franchise Law team at Hutchinson Thomas, said:
“We were delighted to be able to bring so many experts in this field to South Wales and the presentations were well attended by companies interested in exploring the potential for growth that franchising a business can offer.
“This sector has enjoyed incredible growth in the past decade and we are very proud to be one of only a very small number of firms in the UK accredited by the British Franchise Association to act in this field.”

Source: Wales247

Meet the 19 UK franchisees competing for 2018 bfa Franchisee of the Year Awards

April 27, 2018

Take inspiration from the UK franchisees who have just been shortlisted by the British Franchise Association (bfa) in recognition of their outstanding business success.

Named as finalists for the 2018 bfa HSBC Franchisee of the Year Award, entrepreneurs feature from a cross-sector of industries and franchises up and down the country such as Right at Home, Little Kickers, ActionCOACH, Razzamataz, and Sandler Training.

Running for almost 30 years and established by industry body the bfa, the Awards seek to “highlight the outstanding business acumen, passion and achievement of individuals and businesses” operating in the £15bn+ UK franchise sector.

Three of the 17 finalists are in the running to win the Young Franchisee of the Year title; an accolade awarded to franchisees aged 30 and under who have established a profitable franchise and achieved success beyond their years.

One of these finalists is Almas Adam of Right at Home. Adam, 27, has run his Loughton homecare business for three years, employing 40 people who provide quality care for 60 clients.

Within his first year, Right at Home Loughton was awarded the Right at Home ‘Right Start’ Award for having the best start among Right at Home franchisees who began in the same year. And in 2017, Almas was a finalist in the innovation category at the national British Care Awards.

Right at Home has commented that Adam being shortlisted by the bfa shows he “has come a long way from the nervous teenager who was crippled by shyness; and his success to date has opened the door to far greater business ambition – a fantastic example of franchising empowering young people to reach their true potential.”

Meet the 19 UK franchisees shortlisted for the Awards:

Customer Focus Franchisee of the Year

  • Molly Maid – Julie Ward & Allison Bayes (Braintree)
  • Right at Home – Andrew Davis (Bournemouth & Poole)
  • Minster Cleaning Services – James Lofthouse (North & South Sheffield)
  • Dyno – RJ, NP, DJ Illingworth – Machmade Ltd (Greater Merseyside)

Young Franchisee of the Year

  • Right at Home – Almas Adam (Loughton)
  • Little Kickers – Emma Ogden (South East Leicester & Northants)
  • Razzamataz Theatre Schools – Helen Bell (Sheffield)

Lifestyle Franchisee of the Year

  • Razzamataz Theatre Schools – Hayley Limpkin (Medway)
  • ActionCOACH – Lucy Cameron (South East)
  • The Christmas Decorators – Louise Walsh (Birmingham)

Multi-unit Award

  • Costa – Diljit Brar (Goldex Investments Group Ltd)
  • Pirtek – Jason Woods (Worcester, Gloucester, Kidderminster, Swansea & Cardiff)
  • Autosmart – Lee Atkins (Coventry, Rugby & Solihull)

Network Contribution Award

  • InXpress – Neil Hatt (South Birmingham)
  • Sandler Training – Andy McCreadie (South West)
  • Electric – Jeff Longley (North Birmingham)

The franchisees will now go on to be judged by a panel which includes Pip Wilkins QFP, chief executive of the bfa, among others, with the winners announced at an awards ceremony at the ICC Birmingham on June 28.

Wikins said:

“Our annual awards are growing more popular than ever. I would like to thank everyone who entered as the commitment, passion and effort is apparent in every application.

“Congratulations to all our finalists, as we know that a lot of hard work goes in to the applications and presentations, and they have done an incredible job to achieve the shortlist. ”

Source: Start-Ups

These are the 18 best franchises to join in the UK, according to the bfa

April 25, 2018

The finalists for the annual bfa Franchisor of the Year Awards have been announced with some familiar names among those listed…

The UK’s top franchise brands include McDonald’s, Driver Hire, Tax Assist, and Tutor Doctor – according to the finalist list announced for the esteemed British Franchise Association (bfa) HSBC Franchisor of the Year Awards 2018.

A celebration of excellence in franchising, highlighting success across areas such as franchise support and brand awareness, the Franchisor the Year Awards are industry-renowned for recognising franchises who go the extra mile.

The awards shortlist was decided by franchise experts including Pip Wilkins QFP, CEO of the bfa.

The finalists will now present their cases to a judging panel – which includes Alan Wilkinson QFP, head of UK franchise development at The Franchising Centre, among others – on March 20 and March 22, with winners announced at the bfa Annual Conference on June 28 at the ICC in Birmingham.

The franchisor award category finalists are as follows:

  1. Angela’s Swim School
  2. Agency Express
  3. Autosmart
  4. Barking Mad
  5. Bright & Beautiful UK
  6. Costa Coffee
  7. Driver Hire Nationwide
  8. Expense Reduction Analysts
  9. Fitness Space
  10. Home Instead
  11. Mac Tools
  12. McDonald’s Restaurants Ltd
  13. Revive! Auto Innovations (UK) Ltd
  14. Riverford Organic Farmers
  15. Stage Coach Performing Arts
  16. TaxAssist Accountants
  17. Tutor Doctor
  18. We Love Pets

Wilkins commented;

“Our annual awards are proving more popular than ever, with a 32% increase in entries this year over 2017, so it’s been a tough task to narrow it down to our 18 finalists. I’d like to thank everyone who entered and congratulate our finalists, you have already earned the right to proudly display our new bfa HSBC Franchise Award Finalist logo.

“It’s wonderful to see so many great entries, the effort and commitment that goes into every one is undeniable. Good luck to all on the shortlist and I look forward to seeing your presentations next month!”

On being shortlisted for the awards, Tutor Doctor’s director of global franchisee support, Tim Morris, added:

“We’re immensely proud to be able to showcase our efforts and exciting results to our esteemed colleagues at the bfa and our peers throughout the franchise industry and beyond.”

Source: Start-Ups