SA Franchise Warehouse

A well thought out franchise

Establishing your franchise in a fast changing economy

The rapid pace of urbanisation has created a greater concentration of economic activity in South Africa and has in turn affected the franchise industry holistically.

“The franchise landscape has been shaken up with the proliferation of local franchises competing with the more established local and international franchise brands. From sit down to fast food restaurants, the industry has seen an increase in the number of local and new franchise concepts that have permeated the market,” says Morne Cronje, FNB Head of Franchising.

Amina Bassa, owner of RJ’s on Florida Road in Durban agrees. She believes that “the restaurant franchise business is a fast paced industry. I looked for a franchise that would cater for everyone’s needs, including the halaal community. However, with its warm street vibe, and local and international visitors opening a franchise on popular Florida road was no easy feat.”

Bassa says that “RJ’s assisted with finding the right location, negotiating the price and rental as well. I was shown two prime locations on Florida Road and I selected the one that offered me ambience, convenience and sufficient parking space.” Establishing your franchise requires that you work closely with the franchisor to gain an understanding of what is expected from you as the owner. You may find it a bit daunting at first, but this relationship is vital in any franchisee – franchisor agreement.”

Ensuring that there is a need for your franchise concept is important. She adds that “It needs to be easily accessible for customers throughout the week; weekends and you need to ensure that you have sufficient weekday and daytime trade in your selected location in order to sustain your business.” 

Running a franchise is a great challenge but requires long hours, hard work and a good support structure. “Word of mouth, social media, great food, service culture and location are just some of the factors that have ensured that our customers keep coming back for more. The RJ’s brand is definitely growing. Within a six month period I have opened a RJ’s Grill Express at the Pavillion Shopping Centre showing my commitment and love for the brand and the industry,” says Bassa.

Owning a franchise requires dedication, commitment and passion. “The restaurant industry has grown quite substantially and while establishing a particular franchise concept may be appealing it requires careful thought, consideration and research. Competition is rife and businesses need to be more innovative in there thinking,” concludes Cronje. 

Established in 1980, the RJ’s Famous Rib Steakhouse Group is a family orientated, sit-down restaurant that has been successful in both the KZN and Eastern Cape. RJ’s caters for both young and old, surrounding communities, families as well as kiddies.