Category: Franchising & Business Advice

“According to operating data from various retail organisations, a multi-store manager can influence performance by up to +/- 20%” – DMS Retail “Despite this significant influence, the role of the area manager is often undervalued and inadequately addressed by franchisors.” This is according to FASA’s new service provider member, The Results Coach. “The responsibilities of area managers have evolved significantly over the past two to three decades,” says Larry Hodes, consultant and facilitator at The Results Coach. “The modern-day area manager is no longer merely a watchdog for compliance but is expected to be a strategic contributor, actively involved in …

The 2023 Franchise Manual, the official annual directory for the Franchise Association of South Africa (FASA) is now on sale – either as a glossy 176-page print version or as a downloadable attachment – and serves as both an information and buying guide to owning your own business. FASA Franchise Association South AfricaTo protect, lobby, promote and develop ethical franchising across all sectors in South Africa with specific focus on transformation. www.fasa.co.za …

“What often causes businesses to fail is not their profitability but their cash flow.” Financing a business goes beyond just having some capital to start – you need to factor in everything from start-up capital to ongoing financing, from hidden costs to expansion funds. If there is one lesson that has been learnt, it’s that cash flow and the strict management of finances is at the core of every successful business. FASA Franchise Association South AfricaTo protect, lobby, promote and develop ethical franchising across all sectors in South Africa with specific focus on transformation. www.fasa.co.za …

Man’s trusting and often gullible nature is at the core of why prospective business people are often scammed by fly-by-night franchises. Judging by reports in the media of numerous scams offering get-rich-quick schemes and the many reports of unscrupulous operators, there are a whole lot of people out there who are corrupt enough to take advantage of others and enough gullible people who will unwittingly fall for these schemes. The bottom line; rarely does a get-rich-quick-scheme work and franchising, perhaps because of its high profile and strong reputation and the relative ease with which it can be duplicated, is one …

The transition from being an independent, family or corporate business to a franchise business or just venturing into franchising needs some thorough planning and preparation. When it comes to the ‘people’ aspect of the business, we take a deeper dive into the right way to identify, select and recruit them. Roz SandhamRoz has worked in Franchising for over 18 years. She held the positions of HR Director, Field Service Manager, Operations Manager and ultimately Operations and Training Director for McDonald’s South Africa. She held the position of COO for Kauai South Africa, for 3 years, where she was primarily responsible …

Women across the world have borne the brunt of the COVID-19 pandemic and in many cases have been disproportionately impacted. A staggering 87% of women business owners said that they had been adversely affected, according to the Mastercard Index of Women Entrepreneurs (MIWE). James NobleJames Noble is a head of wholesale,retail and franchising. www.absa.africa/absaafrica/ …

Franchise leaders around the world have been sharing their experiences in trying to confront and manage the challenges they face with Covid-19. All agree that the very nature of franchising as a business format calls for not only continual innovation but relies on the combined efforts of both franchisor and franchisee. This, it seems, could be franchising’s saving grace, according to Tony da Fonseca, MD of the OBC Group and immediate past chairman of FASA. FASA Franchise Association South AfricaTo protect, lobby, promote and develop ethical franchising across all sectors in South Africa with specific focus on transformation. www.fasa.co.za …

With seemingly no end to the ravages of the corona virus, franchising and businesses across the globe are fighting for their survival and are shifting operations to accommodate an unknown landscape.  Reflecting our own scenario, the Franchise Association in the USA reports that virtually, in every industry, the businesses that survive will have to change the way they operate and interact with consumers. They say necessity is the mother of invention, and Corona virus has undoubtedly forced many businesses around the world to rethink operations. For franchise brands in particular, success will require franchisors to support franchisees and customers by …

The festive season around the corner is a business’ only hope to end off the year on a high note, giving business owners an opportunity to see all the pistons of their business firing and the harvest rolling in. Or, it can turn into a nightmare rather easily if not enough preparation has been done in the run-up to the season. Arnold February, regional investment manager at Business Partners Limited gives us the following tips on getting ready for the peak season. Arnold Februaryventure finance, entrepreneurs, property finance, commercial funding and mentorship www.businesspartners.co.za …

Can a franchise company invoice its own marketing fund for funds loaned to address a financial shortfall that could hamper marketing activities? This interesting query came through FASA’s online help-desk and we asked Ian Jacobsberg, Director, Corporate & Commercial, Tabacks for his expert opinion. In general, the marketing fund is simply a sum of money accumulated by the franchisor from marketing contributions paid by franchisees in terms of their franchise agreements, often augmented by contributions by the franchisor itself. FASA Franchise Association South AfricaTo protect, lobby, promote and develop ethical franchising across all sectors in South Africa with specific focus …

Financial management naturally tends to slip down the list of priorities for business owners when the economy is booming, finance is cheap and clients are plentiful. But when the tide turns, your ability to control your finances, especially your cash flow, becomes probably the most important survival tool available to the entrepreneur. Veroshen Naidoo, area manager at Business Partners Limited, one of FASA’s members, suggests ten ways for business owners to improve their finances during a downturn: Veroshen NaidooBusiness Partners Limited is a specialist financier for franchises and other small and medium enterprises, the company prides itself as being the …

Brands and businesses shouldn’t fear the Consumer Protection Act. Instead, they should welcome its drive to promote fairness, openness and good business practices among suppliers of goods and services. Should your brand or business be faced with a consumer complaint, the Consumer Goods and Services Ombud (CGSO) can assist by providing an alternative dispute resolution service. The Consumer Goods and Services Ombud (CGSO) is established and accredited in terms of section 82(6) of the Consumer Protection Act. This Act empowers the Minister of Trade and Industry to approve and promulgate an Industry Code of Conduct, which allows industry to manage …

Franchising is a universally accepted and successful business format that has revolutionized the way small business is run and has contributed extensively to entrepreneurship, skills transfer and job creation. The two most universally accepted forms of franchising are: Business format franchising This is defined as a distribution network operating under a shared trademark or trade name with franchisees paying the franchisor for the right to do business under that name for a specified period of time. In exchange, the franchisee is able to use the franchisor’s entire business system or format, including the name, goodwill, product and services, operating manuals …

Once a business is better established from its start-up days and starts producing profits, the business owner is faced with a not-altogether unpleasant dilemma – is it better to reinvest the surplus back into the business, or take it out and save it elsewhere? FASA member Business Partners’ Jeremy Lang gives his advice. “Just because it is a nice problem to have, does not make it unimportant”, says Jeremy Lang, regional general manager of Business Partners Limited. The answer to the question can make a huge difference to the wealth and future security that a business owner manages to achieve.   …

One thing the Franchise Association of South Africa fails to understand is why some franchisees approach the Association to complain against a franchisor after they’ve lost all their money? The Association was established in 1979 to promote ethical franchising and to arm potential franchisees with all the relevant information and issues for careful consideration BEFORE they invest in a franchise – yet it seems the advice is not being heeded by some. It seems some franchisees blindly buy a franchised outlet without ensuring that the company is an accredited member of the Association. Unfortunately, frequently things go wrong and the …

In recognition of this MiWay Business Insurance introduced MiBusinessAssist to help their clients free themselves from admin and focus on growing their business. Here are five of those services that MiWay Business Insurance clients can access today: 1. Financial advice Few small businesses can afford to keep a financial advisor on their payroll to help with the more complex aspects of staying profitable. With MiBusinessAssist, clients have access to highly skilled financial advisors who are able to provide guidance on a host of business-critical financial matters. Christiaan SteynMiWay is a licensed Short-term Insurer and Financial Services Provider (FSP. 33970) www.myway.co.za …