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eddie d

franchise confused????
« on: April 04, 2007, 10:07:54 am »
mmm m im confused .
if someone sets up a franchise in my name ,they trade on my name and open a bank acount in my name .and i invoice them for my % of  turnover  .
what about if i have some payments made to me (comercial work ) .then the franchise will need to invoice me .but are they not then becoming a subby .

eg i have  a lot of contracts with one company ,i wish to franchise some of these out ,but invoice them in one invoice .also franchise out some work in which the franchisee will collect the money or invoice .

how does a franchise work ??

Londoner

Re: franchise confused????
« Reply #1 on: April 04, 2007, 12:41:36 pm »
You need to talk to an accountant. You are getting into murky waters. Why not just a straightforward subcontract arrangement?

eddie d

Re: franchise confused????
« Reply #2 on: April 04, 2007, 12:52:57 pm »
the reason i was going for the franchise route was to  tie the  guy to me .so its ongoing and i get a % of all work done  as they are using my name to trade .and i keep more control of the buisness .
but as you pointed out straight subbing is easier .
i already sub to one guy and it works ok .
im also thinking of putting another van out and employing as well .ill be subbing ,franchiseing and employing then .(nightmare  ,one or the other i supose .)

Trevor Knight

  • Posts: 1825
Re: franchise confused????
« Reply #3 on: April 04, 2007, 03:07:38 pm »
Don't forget if you sub them "all of their work" and they do not do any work for anyone else this is considered as employment and you will be expected to put them on PAYE!
Covering Hampshire, Dorset, Surrey, Berkshire

colley614

  • Posts: 1557
Re: franchise confused????
« Reply #4 on: April 04, 2007, 05:18:46 pm »
Was just thinking that. Why don't you just employ guys to do the work and pay them a rate?

johnm

  • Posts: 200
Re: franchise confused????
« Reply #5 on: April 04, 2007, 10:34:25 pm »
what should you pay for 40 hours a week i was thinking of geting someone from the job center all wfp work

NWH

  • Posts: 16952
Re: franchise confused????
« Reply #6 on: April 04, 2007, 10:49:17 pm »
I`ve done that i and i`ll tell you for nothing mate your wasting your time,if you get someone like that all there do is lose you work.I would get a good experienced wc pay him a good rate and your still gonna be making out of him and at least your gonna know the work is being done right.I used to have a good lad work for me full time and when he went for various reasons i thought oh well i`ll get another 1 like him next week,i couldn`t have been more wrong all i`ve had is lads not turning up or turning up late ringing in sick the list goes on,they all seem so keen in the start untill they realise that this old jobs not as easy as it looks.Get someone that knows the score from the start.

johnm

  • Posts: 200
Re: franchise confused????
« Reply #7 on: April 04, 2007, 11:11:56 pm »
how do i go about employing someone  i havent done this before any advice welcomed

NWH

  • Posts: 16952
Re: franchise confused????
« Reply #8 on: April 04, 2007, 11:41:51 pm »
Speak to your accountant he will setup an account with the inland revenue and you will get a yellow booklet to pay his or her tax and nat ins every 3 mths.If the employee leaves or you sack them the account stays open with the revenue for as long as you like incase you choose to employ in the future,theres no charge for that service.

EasyClean

  • Posts: 558
Re: franchise confused????
« Reply #9 on: April 05, 2007, 12:58:02 am »
If you are thinking of possibly employing someone just because you are getting too busy then my advice is take a good long time to think it over and find out all you need to know before you decide to actually go ahead and employ someone because there is a lot more to it than you first realise. There is definitely a lot more hassle and grief and everything else but if you're ambitious then good luck but go into it with your eyes wide open!
Losing a customer is like waiting for the next bus, another one will come along shortly!

Trevor Knight

  • Posts: 1825
Re: franchise confused????
« Reply #10 on: April 05, 2007, 06:58:53 am »
I`ve done that i and i`ll tell you for nothing mate your wasting your time,if you get someone like that all there do is lose you work.I would get a good experienced wc pay him a good rate and your still gonna be making out of him and at least your gonna know the work is being done right.I used to have a good lad work for me full time and when he went for various reasons i thought oh well i`ll get another 1 like him next week,i couldn`t have been more wrong all i`ve had is lads not turning up or turning up late ringing in sick the list goes on,they all seem so keen in the start untill they realise that this old jobs not as easy as it looks.Get someone that knows the score from the start.

So, so true!! been there and got the T Shirt, my local job centre was like a production line for people who didn't want a job but had to come to interview to retain their benefits, didn't like heights!, could only work between school hours!!

Pay for experience and it is so much easier in the long run.
Covering Hampshire, Dorset, Surrey, Berkshire