Tips To Franchise Your Business

Hi. Well, that was amazing, wasn't it? This morning? We're really proud to be involved with Dave in putting together the systems that we put together with our franchisors. Franchise Simply is a consultancy, really, that helps businesses franchise. Brian is the person who has 35 years of experience in the business, all levels of franchising. My involvement these days is simply to help with documentation and with the system side of it. We're a very modern business, so our programs are documented and systemized, but we also work with Dave and we have created this particular product for helping people with their operations manuals. Franchise simply System. You probably already know that a franchise group is basically two businesses. We take your business and split it up into a franchisee business which delivers the product or service to your client. But you as the business owner, move away from that and create a separate business which is closely intertwined, delivering the service, looking after your franchisees. It is the franchisee who brings all of the money into the system. Then they pay you for your IP and your systems. And as Tom Potter said, I moved from the pizza business to the people business. You no longer deal with widgets. The first part of any of the programs that we put together, the first module, the first units and so on that you go through, are to, first of all, learn about franchising because it involves a heck of a lot more than just an operation system and a legal agreement. You need to be able to work out all your fees and structures. You need to be able to work out your territories. It's really important that you get your brand and marketing right. The list of things goes on. So the first thing then that we also ask you to do is to look at your target market in the brand. It's absolutely essential that you get that focused for your franchisees, for your franchise business, and that it is niched and that you really know the people that you're going to be delivering that product to. And then we start to work on the franchise structure and the systems from there. This is an example of one of our clients, Shannon Daniels from Triumphant Property Services just did that first part of our system and what he found simply by focusing on his target market. When he first started, he was doing both property service cleaning and, and domestic cleaning. And when he started to focus in on where the money was coming from and the kind of people that he wanted to service, he found that the domestic market really didn't bring very much money in. So he got rid of that very quickly. Then he focused on just this property cleaning and what he found was that within six months just making that target market focus and by putting the systems in place that he increased the value of his business by 1.5 million. This is not an exception. We find that this happens more often than not. What we've done quite recently is in becoming involved with Dave is to put together what we call franchise simply system, which is both a process using systemology and putting the systems into the software in a cloud based system system hub. And quite frankly it's transformed the way that we are able to deliver this particular product to, to our clients. The first part of this is the process. So the first thing that we have to do is go through the critical client process to review or create your franchise system. And it's a bit different because you've got at least two businesses, franchisee business and franchisor business. So as you go down through traffic, I think Dave's changed the word there a bit over the last few months. But as you come in, in the first instance, that first traffic bit, this is another cleaning business that I'm looking at for the franchisee. The job is referred by a real estate agent. But and also the job will come in through the website from a tenant and it will be then sent from the franchisor to the franchisee and it becomes, it's really simple. This is a really simple business. And as far as the franchisee is concerned, this franchisor really didn't want the franchisees out there doing marketing or doing any of the business admin because that takes their focus off the day to day of running the business. So a lot of the financial control and so on, it moves from there to the franchisor business. So when you look at the franchisor business that's also divided into two bits. One part of it is franchisor's responsibilities for the franchisee and one of their major, the franchisor has two major responsibilities. The first one is looking after the brand. The second one is supporting the franchisee to make sure that they actually can do the job. Happy franchisees make profitable franchisees profitable franchisees make happy franchisees. And it's really important that they're given the support to be able to get the job done properly. The other side of the franchisor business is to look after the franchisor business itself, which is mostly tied around franchisee recruitment. That's got nothing to do with your existing franchisees. That's a franchisee franchisor business responsibility. There's also things like administration and so on that need to be taken into account there. So the next part of the process we've picked up a sign or allocation of departments and you can see here that it's also split into two. The franchisee business is really simple. All they do is doing the job, cleaning basically and a small amount of administration. In this particular instance the franchisee does very little local area marketing. Most of it comes from the franchisor side because they do it through the website, they do it through their JV relationships with real estate agents around the traps. So the franchisees administration is basically includes their local area marketing, organizing the team and how they get the work done. The other thing, the franchisee will have responsibility for reporting back to the franchisor there and for making payments and they'll have some responsibility for looking after their own business. The franchisor has four departments that sit across the board. Marketing, Franchisee support, Franchisee administration and franchise or business administration. The second part of this is the software system. And we love system hub, simple, easy to use, linked and held securely with elegant permissions and so on. And what we like about it more than anything else is that in a modern business you have more than one software system and it's really important for your franchisees sake that all of that software is pulled together. So. What you're creating is a franchisee operations. Your franchisee operations manual becomes a hub which is linked to all the other pieces of software that sit around it. And the franchisor operations manual is also a similar hub and that links back into the franchisee operations manual hub through induction, face to face training, through ongoing training and support. And the big thing about it is that the franchisee is trained to go to that franchise operations manual first with that first question. And it takes a huge amount of pressure off everybody. So systems champion, that's another part that's absolutely essential about this. Somebody needs to take control of the whole system. And as Dave said, it's not the business owner that allocation sheet that splits it up into the bits and pieces. And the third thing, kiss keep it simple. Sandra and Simon actually they're here today, came to us a while back to franchise and like the other example that I gave you, they found that before they even franchised, their business increased by about 200% in the first six months, basically by systemizing. The systems that they used at that stage were really simple and I'm delighted to see them here again today because what that's going to do is it's taking them up and making it, taking it to the next level and I think that's fabulous. So, as I said, we're really proud to be associated with Dave because I think that what it's done is it's made our business better. And the service that we can give our franchisors definitely improved as a result of that.