Emotion: Fear (3)
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Franchisor Franchisee Litigation: Perception versus Reality
Posted by Franchise Grade Team April 4, 2016
When considering a franchise opportunity, one of the most important items, a prospective franchisee should review is the disclosed litigation between a franchisor and its franchisees. Presented in Item 3 of the Franchise Disclosure Document, this component of the due diligence process has been recommended by franchise attorneys and franchise industry professionals for countless years. There is little doubt that the amount and type of litigation a franchisor disclosed in their FDD can provide insight into the state and quality of franchise relations in a franchise system. However, what it doesn’t reveal is the amount of litigation that’s avoided due to a franchisor and franchisee amicably resolving their differences.
Read moreProspective Franchisees Need to Know Why Some Franchisees Fail
Posted by Franchise Grade Team March 24, 2016
There can be a number of reasons why a franchisee can fail and before investing in a franchise opportunity, it’s important for franchise candidates to know the reasons why.
Read moreSome Franchisors Neglect the Importance of Market Research
Posted by Franchise Grade Team March 21, 2016
There are two primary objectives franchisors seek to achieve! First, the recruitment of qualified franchise candidates and second, growing their franchise network with successful franchisees. However, a number of franchisors neglect another important objective that’s related to the two. This requires having an effective franchise recruitment and development strategy that targets the right markets.
Read moreFranchisee Candidates Need to Evaluate the Franchisors Corporate Culture
Posted by Franchise Grade Team January 21, 2016
There are numerous activities that relate to the process of evaluating a franchise opportunity. These activities include; reviewing the FDD and especially the franchise agreement, gaining feedback from franchisees and analyzing the performance of the franchise system. However, one area that doesn't get the attention it deserves pertains to the culture of the franchisor. Corporate culture begins with franchise leadership and works its way throughout the organization. The importance of corporate culture applies to all companies, with the exception that franchisees rely upon the franchisor to provide the vision, guidance and support necessary to operate a healthy franchise system.
Read moreDoes Franchising Need Reform?
Posted by Franchise Grade Team May 30, 2015
Does the franchise system need to be reformed? Before answering that question how much do you know about franchising? Listen in as Josh Brown discusses very interesting statistics from FranchiseGrade.com.
Read more5 Lessons Every Franchise Owner Can Learn From Ryan Leaf
Posted by Franchise Grade Team January 16, 2015
Leading up to the 1998 NFL Draft, the world was a buzz as to whether the Indianapolis Colts would draft Peyton Manning or Ryan Leaf. The Colts ultimately decided on Manning, and as they say, the rest is history. The San Diego Chargers picked Leaf. He did not last very long in the league. And now he resides in prison.
Read moreIs Your Spouse Helping or Hindering Your Business Goals?
Posted by Franchise Grade Team December 23, 2014
So you want to start your own small business.
Read moreWhat Drives Your Desire?
Posted by Franchise Grade Team December 5, 2014
When was the last time you were obsessed with something?
Read moreThe Power of First Impressions
Posted by Franchise Grade Team December 3, 2014
First impressions are lasting. Frontline hourly employees are not. Before they’ve been on the job just six months, over 50 percent are gone. Some were probably not a good fit for the job in the first place, but some productive, dependable, hard-to-replace employees bolt too.
Read moreKnowing Your Break-even Point
Posted by Franchise Grade Team November 24, 2014
One of the biggest mistakes entrepreneurs make is not knowing the amount of sales required to break-even. This is especially true with start-up business. So very often start-ups and in a lot of cases, established businesses, take on too much overhead too soon in anticipation of future sales. Before taking on more overhead costs, you must determine your sales break-even point.
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