Franchising: why the support of the franchisor is important

The role of the franchisor in mentoring new franchisees – what to expect

Becoming part of a franchise business model is an excellent opportunity that offers anyone who wants to start their own business the chance to be part of a system based on proven methods, with the support of an established brand. But how important is the support of the franchisor and what services should you expect when deciding to open a franchise?

One of the main difficulties faced by anyone who wants to start a new business is the immediate availability of funds. But they will also need the right tools to help them in the early stages, because they will be building their own brand and customer base from scratch. Working with an established franchise network takes away some of this pressure.

By affiliating with a franchise network, you can save on some start-up costs because you’ll be working to an established business model. But what else should you expect from the franchisor?

·       Being part of a franchise network offers the opportunity to take advantage of proven methods to start a new business.

·       One of the most important benefits of a franchise business model is the ongoing support and endorsement of an established brand.

The most important types of franchisor support

The amount of support offered to new franchisees can vary according to the type of contract and the sector. There are, however, some services that characterise the start-up phase of a business where being part of a franchise is a distinct advantage. Here are the key areas to look for:

Support in identifying financing options. To enable you to build an effective business plan, it’s particularly important in the start-up phase that you have an overview of the expenditure you’ll be incurring. This is why, as well as getting help from your own consultants, support from the franchisor is crucial. They should help you evaluate any available financing options, including own funds, loans, subsidies and grants, analysing the benefits and helping you choose the right option for your business.

Location selection. Your franchisor is best placed to help you find the right physical location for your business. As well as evaluating locations, they can often provide you with an indication of an exclusive geographical area, within which the franchisor will not authorise the opening of other centres (subject to any specific exceptions in the franchise agreement).

They should then help you acquire the premises and carry out the works required to develop the space according to brand requirements. This will include a detailed plan for the design of the fittings, layout and furniture, with particular attention to containing costs.

Training and operating methods. Training is undoubtedly one of the most important support services that the franchisor can provide for their franchisees. It’s essential to help start-ups learn how to manage their business effectively. Comprehensive training will include:

·       Operating methods

·       Management processes and protocols

·       Quality standards

·       Business development skills

·       Professional sales skills

Continuous training should also be offered to ensure the maintenance of quality standards, compliance, learning about product or service innovations and understanding new systems or software. Administrative and technical support may also be provided in the initial phase to help improve performance and ensure compliance with brand standards.

Framework agreements. Franchisees should also be able to benefit from framework agreements signed by the franchisor with specific suppliers of products or services. If franchisees buy from approved suppliers, they can benefit from economies of scale and ensure that a consistent level of quality is achieved throughout the network.

Advertising and marketing. These two key components are fundamental when going to market to promote a new business and should be central to the franchisor’s support activities for franchisees. As well as giving them practical guidance and assistance during the opening phase, franchisees should be helped to launch campaigns organised by the franchisor to promote brand awareness and tailored solutions so that they can reach customers both online and offline.

An internationally established network like MBE can offer various business tools to new franchisees, as well as a range of services that help local businesses and residents solve everyday challenges.

Mail Boxes Etc. franchising offers a format that allows you to be part of a network of 1,800 service centres worldwide: a system that provides continuous support and coaching that helps you optimise your time.

MBE promotes entrepreneurship and provides all the tools needed to start a new business in a dynamic sector, offering support services to businesses and individuals. It’s an ideal solution for anyone who wants to start a new business based on the solidity of an established brand, or for those who are already entrepreneurs and want to invest in the services sector. MBE’s training is not limited to the start-up phase – it’s an integral part of a system that aims to enhance and increase the talent of its affiliates and their teams.

MBE provides updates on new solutions in development, meetings and workshops with a focus on business growth and new technologies and digital innovations to be offered to customers. Training takes place in the classroom, online and in the field, where expert franchisees are often invited to become certified centres that specialise in supporting new affiliates.

In this way, a relationship is established between experienced senior franchisees and new affiliates: one of the key factors that distinguishes the MBE world. As well as training, MBE also provides constant support from the network, thanks to a team of local experts who are always on call. Training and support are elements of significant value for those who choose to join the MBE network.

 Find out more about MBE Franchising here