The importance of finding the right franchise fit

Even though franchising remains one of the safest ways of becoming a business owner due to tried and tested recipes for success, there are still some crucial elements to consider when getting involved in this business model. With hundreds of different franchising options available in South Africa, finding the right business fit is of great importance to ensure that the business will be fruitful.

Parties interested in franchising as a viable business option are essentially buying into an established brand that was made successful by a company specialising in the franchising industry. These entities put in time, money and effort to create a legacy for the business and it is therefore important to ensure that you will be able to forge a meaningful relationship to ensure longevity in the partnership.

CEO of Taste Holdings Food Division, Christo Calitz, adds some wisdom to ensure that prospective franchisees understand the importance of this relationship, “Choosing a franchise can be equated to selecting a life partner. For a truly well-matched relationship the couple should at least have some common interests, preserve individuality yet share common goals and ambitions, be matched intellectually, share the same principals and finally, agree to sometimes disagree.”

According to Calitz the franchisee / franchisor relationship can be broken down as follows:

1. Mutual Interests

When searching for the right fit franchising relationship, it is vitally important to ensure that both parties have common interests i.e. love for quality food that’s more than just a meal, a homely yet modern and upmarket atmosphere, a design style that stimulates relaxation and vibrant conversations, and accommodating to the entire family.

2.         Goals and Ambitions

It is imperative to share common objectives, ambitions and aspirations to ensure that both partners are comfortable with the direction the relationship is taking. Some of the drivers could include a fresh approach to business, a hunger to succeed, offering a great product and value for money at the same time. Other questions to consider include: how much growth have you seen over the past year, how has the economic slowdown affected your brand, and money may not buy happiness but how much are you in for?  At the same time, enquire about the degree of individuality you are allowed to express without cramping your partner’s style.

3.         Intellectual stimulation

Considering your partner’s communication abilities and style is fundamentally significant. If your partner’s manner is dull, monotonous and beats around the bush while you prefer a fast paced cadence, tackling the bull by the horns and saying it as it is, the relationship will not last. Also think about the answers to your questions, the response times and see if the company is on the same level as you i.e. how many years have they been in existence, what support systems do they have in place, how do they promote the brand, how do we create a mutually beneficial partnership?

4.         Share the same principles

If you are an individual who goes by principles and strictly follows them and your partner has no set values and is neither here nor there, you are bound for problems.  Before you plunge into a franchise “marriage”, take a step back and see if the relationship matches your ideals of the lifestyle you imagined, that it provides a recession-resistant product, has a happy family of franchisees, and enthusiastic head office support team that will back you through hard times and will help you to achieve your dreams of business ownership success.

5.         Agree to disagree

It always comes down to preparation and knowing what to expect when an issue arises. Generally speaking, regardless of the franchise selected, one or two issues will always arise i.e. need for a new marketing campaign, or a store revamp, or increasing menu prices. However, it is important to remember that a partnership is a long term commitment and if strong enough, the relationship is able to weather any storm.  Prepare yourself for pre-marriage counselling and ask all the potential questions beforehand to avoid any nasty surprises later and do research to avoid any potential pitfalls.

Calitz concludes, “Like any good franchisee does its homework on selecting the right fit franchise as a potential business opportunity, it is as important for Maxi’s as the franchisor to populate our system with great people. People that share Maxi’s passion for growth, and serving a wide range of tasty and wholesome meals, combined with a friendly and welcoming atmosphere. We deliver outstanding, freshly prepared foods of the best quality at the best value for money.”