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Marc Whitbread

  • Posts: 159
For people that have franchised their business
« on: February 10, 2017, 01:29:12 pm »
To anyone that has franchised their business and now has franchisees on board could you share your experiences?

I currently employ but am looking at the possibility of setting them up as franchisees.

Thanks in advance

Smurf

  • Posts: 8538
Re: For people that have franchised their business
« Reply #1 on: February 10, 2017, 02:09:57 pm »
I would imagine you will get very little response especially on an open forum like this. Reason being franchisors don't like to share as they had to pay out quite a bit themselves upfront for the info you seek.

Marc Whitbread

  • Posts: 159
Re: For people that have franchised their business
« Reply #2 on: February 10, 2017, 02:29:27 pm »
Thanks Smurf, I know where I can buy all the info and contracts etc I am more after just experiences as in how they have found it, how hard it has been to recruit them and and tips for things to avoid more than a how to guide

Smurf

  • Posts: 8538
Re: For people that have franchised their business
« Reply #3 on: February 10, 2017, 02:48:41 pm »
Oh I see...I know at least one on here that may respond to this post but don't count on it.

MNWC

  • Posts: 1549
Re: For people that have franchised their business
« Reply #4 on: February 10, 2017, 04:52:29 pm »
Ive done two franchises one was and is still a dream the other however was a complete nightmare and we parted company after probably three weeks...

I employ as well and for the bad experience in the franchisee i would never do it again. In my opinion you can make far more money from an employee than franchisee.

Marc Stock

Re: For people that have franchised their business
« Reply #5 on: February 10, 2017, 05:16:03 pm »
I agree too many franchises out there. Personally I would want an employee as I don't want someone who wants to own a business, I want someone to make me money.

MNWC do you pay per hour on paye payroll, and how are you finding it

OutlaneWC

  • Posts: 28
Re: For people that have franchised their business
« Reply #6 on: February 10, 2017, 06:20:52 pm »
I just bought a tucker brush!

NWH

  • Posts: 16952
Re: For people that have franchised their business
« Reply #7 on: February 10, 2017, 06:57:56 pm »
I spoke to a bloke Wednesday he pays £280 a week rain or shine for his franchise he's in with someone else but even if he wasn't he still would have to find the 280 a week regardless,they've given him a piddly amount of work and he's expected to build the business by leafleting doorknocking.hes a nice somewhat clueless bloke just the sort they are after lol 😂

MNWC

  • Posts: 1549
Re: For people that have franchised their business
« Reply #8 on: February 10, 2017, 07:04:24 pm »

[quoteMNWC do you pay per hour on paye payroll, and how are you finding it/quote]


Pay per hour 37.5 hours a week using sage payroll.

Delta

Re: For people that have franchised their business
« Reply #9 on: February 10, 2017, 08:33:02 pm »
No franchise owner in their right and would answer this question on here. If you want to know anything about franchising just ask Ian Lancaster.

NWH

  • Posts: 16952
Re: For people that have franchised their business
« Reply #10 on: February 10, 2017, 08:43:14 pm »
I've met a few that rent a round in this game or franchise,the only positive thing they've said is it's me into it and I'm building my own bits on the side. I'm not saying it's not possible to franchise it's been talked about before,the point is long term it never normally lasts they realise that handing over 20% each week after a few years is pointless after they've got enough work of there own to get going and start building on.

Marc Stock

Re: For people that have franchised their business
« Reply #11 on: February 12, 2017, 07:57:10 am »
This is something i have always said, so many business owners franchise out thier business when thier business isnt really ready for franchising. Brand awareness is really what your buying, and a business model that is profitable for both the franchisor and franchisee. Jo blogs window cleaning whos brand has only infiltrated a few hundred people, or even a couple of thousand isnt going to stand out amongst the hundreds of other window cleaning brands that also have only infiltrated a few hundred or thousand people. You might get one or two franchises but due to your brand limitation thats all your only ever going to get.

What you need to do is grow the business first, by employing. If you can get to 20,000 customers  and 20 vans your starting to make a small dent in your brand awareness, and  increasing the value of your franshise proposal. You can then sell reigional franshises that are much larger, higher value that wont attract the cottage industry investors, but the sorts of companies that actually invest in francshises as thier business. Macdonalds, dominos and subway for example, most are bought by Ltd companies and they may own 3 or 4 with millions invested. Thats the sort of franshises you want really, but many run before they can walk and will only get cottage industry imvestors...not thats a bad thing, if your happy with that of course. From a business point of view though in order to make the franchise pay for itself as a franchising businss in its own right, instead of a simple means of expansion , then you need to grow the businesx into something worth investing in, and just being ready to do that can be years and years.

TomCrowther

  • Posts: 1965
Re: For people that have franchised their business
« Reply #12 on: February 12, 2017, 08:35:54 pm »
Hi Marc.
I have two Franchisees. One full time and one doing three days a week. I decided to franchise after a bad employee and while another business was taking up a lot if my time.
I used Ian Lancaster' s  help and its been a good choice for me. Both guys are happy. They bought their own vans and I provided the kit and all their customers. Both worked with me for a period so knew what they were doing and could understand the good and bad points of the business.
My advice would be to get the right first one. If you don't already know them, derisk by working with him for a month. Good for you and him.

Marc Stock

Re: For people that have franchised their business
« Reply #13 on: February 12, 2017, 09:39:57 pm »
Hi Marc.
I have two Franchisees. One full time and one doing three days a week. I decided to franchise after a bad employee and while another business was taking up a lot if my time.
I used Ian Lancaster' s  help and its been a good choice for me. Both guys are happy. They bought their own vans and I provided the kit and all their customers. Both worked with me for a period so knew what they were doing and could understand the good and bad points of the business.
My advice would be to get the right first one. If you don't already know them, derisk by working with him for a month. Good for you and him.

Good advice tom. Ian Lancaster is very switched on with this kind of thing.

sunshine windows

  • Posts: 2361
Re: For people that have franchised their business
« Reply #14 on: February 13, 2017, 07:20:00 am »
I've been franchising now for just over 2 years since the first one (well, 2 signed at the same time).

Just signed my 4h franchisee yesterday, to replace one that didn't work out. 6 months wasted but lesson learned by me.

Never been happier in my working life as I am right now. Very little stress and much easier than employment in my opinion. 100% you'll make more money by employing, but I'm building this up to be a regular income for my retirement,  with very little input needed on my behalf.

I would definitely speak to Ian. If you're in the position to do it, just go for it. I wasted 2 years dithering about the decision before taking the plunge and have not regretted it one bit.
To climb mount fuji you must first find a path
(Swindon, Wiltshire)

www.sunshinewindowcleaning.co.uk
www.sunshinesoftwashing.co.uk

Marc Stock

Re: For people that have franchised their business
« Reply #15 on: February 13, 2017, 12:20:51 pm »
Fantastic website. Sunshine windows.

sunshine windows

  • Posts: 2361
Re: For people that have franchised their business
« Reply #16 on: February 13, 2017, 04:54:03 pm »
Fantastic website. Sunshine windows.

Thanks Marc
To climb mount fuji you must first find a path
(Swindon, Wiltshire)

www.sunshinewindowcleaning.co.uk
www.sunshinesoftwashing.co.uk

David Kent @ KentKleen

  • Posts: 1712
Re: For people that have franchised their business
« Reply #17 on: February 13, 2017, 05:06:41 pm »
Hi, I franchise my work out and it works very well indeed.
I am 7 years into my 10 year plan (started franchising 4year ago) and I am currently around 1 franchisee up on where I had planned to be at this point.
You do a great deal of work in the start that you earn very little money off.  Finding good people is the key, then looking after them anyway you can. I have been very lucky and have only ever had my sister find that it was not her cup of tea and pack in. That said, I have a waiting list of people wanting to start, so when she did pack in her work simply got passed to a new franchisee who started during her 'notice' period.
I am continually building rounds and re investing most of the business profits into this.
IMO and I have for the last 4 years, if you are wanting to build a successful franchise business you can forget about holidays, fancy cars, etc etc in the early years. You need to be committed to your franchisees and the building up of there rounds. (I supply all there regular window cleaning work but any add on's they keep for themselves)
This is how my operation is ran, others WILL be different.
I could stop building now, shut my office and unit down (expenses) and live quite comfortably but will be sticking to my plan.
I will be retiring in 3 years time aged 45.

Employing WILL give you better profits and lifestyle NOW. I am in this for residual income for doing very little in the future.

Hope this helps.


 

David Kent @ KentKleen

  • Posts: 1712
Re: For people that have franchised their business
« Reply #18 on: February 13, 2017, 05:08:12 pm »

KS Cleaning

  • Posts: 4111
Re: For people that have franchised their business
« Reply #19 on: February 13, 2017, 06:08:04 pm »
Sunshine and David Kent have explained perfectly why the franchise route works for them ( it's not for me ) I don't understand why people try to knock their business plan, it clearly works for them and gives them a lifestyle that they are happy with, surely that's what matters most.