Showing posts from April, 2015
Zebro’s Chicken heats things up as temperatures start to drop 
There is no denying that South Africans love a braai. Something about the sights and smells, mixed with the bubbling conversation definitely draws people in to want to braai every chance they get.

As any excuse to have a braai will do, more and more South Africans are bypassing the home fires and going to Zebro’s Chicken for that incomparable taste experience, which is healthier and tastier than other fast food chicken offerings. Although fast food choices have expanded dramatically in the past few decades, Zebro’s Chicken maintains its appeal for customers through its distinctive braai’ed taste, achieved by preparing its meals over an open fire. The franchise is arguably the only chain of its size to use this preparation method and flavour profile.

Owned by Taste Holdings, Zebro’s Chicken has become well known for dishing up premium quality chicken and other dishes at an affordable price that represents real value for money.…
Nedbank appointed as Nando’s borrowing banking partner
Nedbank has deepened its relationship as primary banker to Nando's through its appointment as borrowing banking partner to the restaurant chain, providing a one-stop banking solution for the company. 

Terence Sibiya, Nedbank Corporate and Investment Bank Executive Head of Relationship Management and Coverage, says 'In addition to the services we have offered Nando's over the past decade, we have recently granted a R320 million borrowing facility to the company, enabling it to capitalise further on its already successful strategy and achieve its ambitious growth plans.'

One of South Africa's biggest home-grown success stories, Nando's was established in 1987 and now operates from more than 1 000 outlets in 30 countries worldwide. It has recently recorded huge growth in the North American market, with sales there having increased by nearly 40% in 2013. 

Geoff Whyte, Southern Africa CEO at Nando's, says the co…
What to consider when investing in a new franchise brand Many entrepreneurs entering the world of franchising often find it challenging to decide whether to go with an established brand or throw their hard-earned savings into a totally new venture. 

“The dilemma of staying with the tried and trusted or going with something new that seems to offer great opportunities is something many potential franchisees face”, says Ethel Nyembe, Head of Small Enterprise at Standard Bank. 

“However, if you are considering a start-up franchise operation, it is best to spend some time doing research and also asking a few probing questions,” advises Ms Nyembe. 

The points to consider before signing a franchise agreement with a newly launched franchise are:

It is an opportunity to invest in a new concept and fresh products

The concept and products may excite you, but you need to look at both with a critical eye. For example, you need to know who you are targeting with your product, the size of the market (espe…
The Benefits of Gender Equality South Africa’s ability to embrace transformation is known worldwide, its muscle is flexed once again as it deals with gender diversity in the workplace.

The MasterCard Index results seem to show that gender equality in South Africa still needs major improvement. It highlights that there are still more men in leadership positions than women. The index suggests that for every 100 men, there are 57.5 women in business leadership roles in organisations; and that for every 100 males, there are 25.5 women that own their own businesses. 

As alarming as this is, are there benefits that businesses can enjoy by embracing more women participation in senior management? According to an ACCA report titled Increasing gender diversity to boost performance there are many benefits for organisations that choose to embrace this. The report says that organisations that lack a gender balance are unrepresentative of the society in which they operate because women make up roughly…
Maxi’s Mokopane honours their employees Happy employees tend to be more productive, which at the end of the day, has a robust effect on the bottom line of any business. Research has shown that there is a significantly strong relationship between employee satisfaction and company success. Adri and Johan Potgieter, the proud owners of Maxi’s Mokopane, prove year in and year out that acknowledging your employees' hard work can go a long way for your business. 

For the past few years, the Maxi’s Mokopane store has won numerous awards at the franchisor's annual awards. Not only have they walked away as regional winners, but they have for the last three years been awarded with the prestigious prize of being the overall winners of the best Maxi’s in the country. 

According to the Potgieter family, their success not only comes from the way in which they handle their business but rather in the way in which they treat their employees. Their plan from the get go has always been to keep thei…
Spouse’s support key when taking the entrepreneurial leap When your partner decides to leave a secure job to start a business, there is often a lot of uncertainly on whether it is a good choice and how it will affect the relationship. One thing is for sure, though: to make it work, to reach entrepreneurial success, you will need to work together, trust each other and most importantly, set financial boundaries.

Ethel Nyembe, Head of Small Enterprise at Standard Bank says, “When you are used to a steady income, the unpredictability in your finances can be really stressful and careful money management is vital in this situation. While your partner may be excited about the future, you are perfectly within your rights to get involved with the financial decision-making. For example, if he/she wants to cash in your savings or increase the mortgage on your home to fund the business, you can and should draw a line in the sand.”

In most cases, starting a business from nothing can place quite a bur…
Survey reaffirms the success of franchising ahead of FASA's Franchise Expo16 – 18th April 2015
Sandton Convention Centre 
A recent franchisee survey conducted by the Franchise Association of South Africa (FASA) has revealed some interesting results showing quite clearly why the failure rate of franchising is less than 10% compared to the over 90% failure rate of independent businesses. This comes ahead of FASA’s 20th International Franchise Expo (IFE 2015) which takes place from the 16 – 18th April at the Sandton Convention Centre. The fully sold-out expo proves that franchising remains one of the safest and lucrative ways to be in business and continues to stimulate small business development and contributes almost 10% to the GDP of the country.

According to Vera Valasis, Executive Director of FASA, the aim of the survey was to serve as a benchmark on not only performance of the sector but more importantly on the attitude and satisfaction levels of the over 30 000 franchisees that m…
How to achieve employee engagement Wouldn't it be great if employers could generate the same level of dedication in their staff that we see in the loyalty of sports fans to their team? How do you create the same passion and emotional buy-in for your employer brand?

Employee engagement is the emotional, cognitive and physical investment of an employee to perform. A common challenge employer’s face, is to get employees to buy into the brand’s philosophy, energy and culture. How we communicate within a company and how we engage with employees is critical to brand success. How can companies achieve a high level of connection with their employees? How do we inspire our team? 

1) Align individual values to the organisation’s ethos
Employees can no longer be manipulated by a ‘better the devil you know’ ethos that downplays the competition. Employers must identify and harness the attributes that will inspire employees’ loyalty to ensure that their values and motivation are aligned to the orga…
Free-rides in business don’t secure successWhile many believe that franchising is the golden ticket to success, it is important to always bear in mind that everything comes at a price. Even in the case of Scott Mitchley, who won a Sandwich Baron franchise in March 2014, success never came for free. He shares more below on how hands-on management and constant involvement has attributed to the establishment of a successful business.

Believing that a franchised business will guarantee you instant victory is a serious misconception. While a great deal of support is given in exchange for an investment, with the credibility of an established brand being the most beneficial, it is by no means a free ride.

After winning Sandwich Baron’s ‘Win a Franchise’ competition and opening the doors to our new store in Beyerspark in Boksburg, the hard work commenced immediately. With great support from the franchisor, Sally J’Arlette-Joy and the rest of the head office team, training and preparations were …
Maxi’s popularity spills over South Africa’s borders The popularity of Maxi’s restaurants is extending beyond South Africa’s borders into neighbouring countries. The first cross-border stores recently opened in Mahalapye, Botswana, under the ownership of franchisee Tiro Seloma, and in Maputo, Mozambique, by franchisee, Cladio Langa.

Yolandi Ferreira, Maxi’s marketing manager, says the opening of these two stores is a direct response to increasing demand for the “Maxi’s magic formula” in other southern African countries and that several more stores are likely to open in the region before the end of this year. As a family restaurant offering a wide range of tasty meals in a relaxed and welcoming atmosphere, Maxi’s has made its mark with outstanding, freshly prepared food of the best quality in an environment that is accommodating to children and provides families with a relaxed, casual dining experience with quick, attentive service.

“Since our Botswana store opened its doors, we’ve alread…
Annual Franchise Conference The Jimmy’s Group of Companies has held their 2015 Annual Franchise Conference on the 14 March 2015. The Conference was well attended by franchisees from all over the country.

It can be said that the Conference was a constructive one in which various aspects of the brands were discussed, as well as the challenges faced by the brand and our country.

This year’s conference focused on the management of the individual franchises and the process that need to be implemented to run a successful business.

Standard Bank played a pivotal role at the conference. Employees from Standard Bank spent the day at the conference to discuss franchisees’ banking needs.

Standard Bank also presented their new Credit Card Switch System to the franchisees. The franchisees accepted this new system really well and will be implemented in stores in the next couple of months.

Business Coach, Greg Mason from BIZ HQ was our guest speaker. Greg is a certified business coach who undertakes coac…
Reviving the spirit of BEEOn the eve of the application of the revised Broad-Based Black Economic Empowerment legislation on 1 May and its far reaching changes expected to speed up transformation, industry players look at whether BEE achieves what it set out to, and what needs to shift to facilitate true growth and participation in the SA economy.  

It has been criticised for benefitting the rich and well connected, and for excluding the previously advantaged from employment opportunities, this ultimately led to the 2007 Broad-Based Black Economic Empowerment legislation, and the revised legislation scheduled to come into effect next month. But is Black Economic Empowerment working?

“The challenge with BEE in general is that it was designed as a compliance instrument rather than an enforcement of economic transformation, and as a result there have been many unintended consequences,” says Xolani Qubeka, secretary general of the Black Business Council.

Speaking ahead of the annual Oliver E…
Moving your franchise into Africa How to take your franchise across borders

Africa holds enormous potential for the growth for franchise operations and has succeeded in driving global franchise brands into the continent.
Many brands have made aggressive plans to further grow their African operations. “There is still much scope for growth if you’re thinking about moving into Africa.  We can expect to see similar announcements from listed franchisors as well as their unlisted counterparts who are continuing to capitalise on rising consumer spending and development across our borders,” explains Morne Cronje, FNB Head of Franchise.

Cronje explains that a few factors need to be considered before taking that first continental plunge.

1.Know that you may not be welcome 
“There is a lot of intercontinental rivalry. As a South African you are competing with many global brands and as a result may not be the preferred supplier in the market. In many instances a US or UK investor is much preferred,” sa…
Leadership Lessons in Franchising Things to start doing in 2015

“Employees perform at their best when they are set up to succeed,” explains Morne Cronje, Head of FNB Franchise. Today, we find that more and more successful leaders are surrounding themselves with people who are better than themselves.

Success in business means looking further than just your basic business model and strategy. Successful leaders are those who have invested in the right talent, built and developed meaningful relationships over time, lived the company culture, vision and mission. “Leaders today need to look at opportunities that were previously unseen or unheard off. It is this mindset that encourages employees to think differently, innovate and disrupt the current status quo,” explains Cronje. 
Leadership lessons can be seen with the success of  Sorbet the chain of beauty salons which has seen the business grow to over 117 outlets. Ian Fuhr, CEO Sorbet explains that, “Leadership style determines the performan…
Poor economic conditions impact confidence levels of SA SMEs  Local small and medium enterprise (SME) owners continue to be apprehensive about the regulatory and economic challenges facing the sector and country as a whole. This is according to the fourth quarter 2014 Business Partners Limited SME Index (BPLSI), which measures attitudes and confidence levels among local SME owners.

SMEs conveyed an average confidence level of 53% that the South African economy will be conducive for business growth in 2015 – a 2 percentage point quarter-on-quarter (q/q) and year-on-year (y/y) decrease.

Ben Bierman, the CFO of Business Partners Limited (BUSINESS/PARTNERS), says that the current issues facing the economy, such as the slow economic growth, rand volatility and load shedding, are impacting business owners’ confidence levels. “Business owners continue to operate in a tough environment, and while they are resilient by nature, recent developments continue to erode their confidence. When surveyed …
TomTom’s Traffic Index reveals tough times for commuters and businessesTomTom’s analysis of traffic patterns showcase South African cities in a unique light

TomTom (TOM2) released its annual Traffic Index highlighting the impact of traffic congestion in over 200 cities around the world.

According to TomTom Traffic data, the global trend reveals evening rush hour is the most congested time of day with bottlenecks nearly doubling journey times. In 2014, the average commuter spent an extra 100 hours a year travelling during rush hour.

However, South Africa is unique in its position, all major cities statistics showcase the morning commute as the most congested for our big cities, Monday morning being the worst. Globally ranked at 55, Cape Town remains the most congested city with morning commutes adding up to 72% to commuting time. Johannesburg listed at 77 is not much better with a morning travel adding up to 59% to commuting time. The evening Cape Town has the worst congestion level addi…