Download presentation
Presentation is loading. Please wait.
Published byCrystal Preston Modified over 9 years ago
2
The transfer of Intellectual Property Rights (IPR ) including but not limited to Trademarks and Technical know-how Provides added value to the business operation between two parties Franchisee and Franchisor
3
As market entry barriers break down globally … Love Marks (Brand) + Technical Know-how + Economies of Scale =
5
What Type of Business Sectors? Health and Beauty Leisure and Travel Motoring Logistics Real Estate Food and Beverage Home Improvements TV and Media services Management Services Fashion and Lifestyle …and more
6
OPERATIONAL BENEFITS TO THE FRANCHISOR FINANCIAL BENEFITS TO THE FRANCHISOR Expand without the risk of high capital expenditure and debt accrual Capital injections from franchise fees Cash flow benefits from management service fees– MSF Less risk of Management Fraud Lower Human Resource liabilities Marketing Power Brand managers achieve 'first-in-mind' levels of recognition = more bang for the buck in MARCOMS activity Market Share Extended geographical penetration = customers accessibility = brand loyalty Group Purchasing Strength Increased volumes + centralized buying = competitive pricing structures Fast, Effective, Geographical Expansion Use of the local expertise = better results in a shorter time-frame Rationalized Central Management Operating and managing = less demands on core organisation infrastructure
7
FINANCIAL BENEFITS TO FRANCHISEES OPERATIONAL BENEFITS TO FRANCHISEES Lower development costs Reduced capital expenditure Quicker ‘payback’ period Centralised development costs Power purchasing Improved NP A tried and tested business formula A brand identity A shortened learning curve Education and know– how Network support
8
Business management reputation Financial feasibility Differentiation Transfer of know-how Flexibility Market trends and conditions Proven business system Capital resource Competent and experienced executive team
9
Develop a “System of Critical Assets” required to support and sustain a successful franchise The “Critical Assets System” covers over 150 aspects of your business The result will be a fully- pledged franchise operating system
10
1 Evaluation 2 Assignment 3 Operations
14
Specialist support The business plan The marketing tools and strategies The legal framework The operating manuals The management control system
15
EVALUATION 1-12 weeks ASSIGNMENT 9-18 weeks OPERATIONS 1-32 weeks
Similar presentations
© 2024 SlidePlayer.com. Inc.
All rights reserved.