http://www.franchise-update.com/?ref=rss Franchise Update provides franchisors with news and informational guides. en-us benjaminf@franchiseupdatemedia.com (Franchise Update) Fri, 30 Jul 2010 20:25:18 PDT Copyright 2010 Franchise Update Media Group. All rights reserved. http://www.franchise-update.com/images/at_rsslogo.gif http://www.franchise-update.com/?ref=rss 150 60 http://www.franchise-update.com/article/1138/ Franchise Update Media Group (FUMG) the leading industry resource for franchise development, today announced that it is seeking an additional Business Development Executive, who will report to Steve Olson, publisher and chief development officer for FUMG. http://www.franchise-update.com/article/1138/ Wed, 28 Jul 2010 09:07:00 PDT http://www.franchise-update.com/article/1133/ Franchise Update Media Group (FUMG) the leading industry resource for franchise development, today announced that registration for the 12th Annual 2010 Franchise Leadership and Development Conference is on track to setting new attendance records. More than 200 franchisor executives representing more than 150 brands will meet at the premier industry sales and development event, which will be held September 22 - 24, 2010 at the Ritz Carlton Buckhead, Atlanta. http://www.franchise-update.com/article/1133/ Mon, 26 Jul 2010 09:15:00 PDT http://www.franchise-update.com/article/1130/ As savvy franchise companies continue to flourish in this challenging economy, FUSR will continue to bring you good news each month, highlighting brands that are adding units, increasing comp store sales, striking deals with investors, and continuing to grow despite the economy - maybe even because of it. And, as the U.S. struggles through its "jobless recovery," growth-oriented franchisors continue to look overseas for expansion opportunities. http://www.franchise-update.com/article/1130/ Fri, 09 Jul 2010 12:00:00 PDT http://www.franchise-update.com/article/1129/ Franchisors that provide a strong support program to help struggling franchisees should seriously consider using this as a selling point to help make new franchise sales in uncertain times. http://www.franchise-update.com/article/1129/ Fri, 09 Jul 2010 10:00:00 PDT http://www.franchise-update.com/article/1128/ So what do you do with franchisees that "aren't making it happen?" The ones who don't fit your formula and, realistically, will never turn things around? How do you make the best of a bad situation? The solution is logical. http://www.franchise-update.com/article/1128/ Fri, 09 Jul 2010 08:00:00 PDT http://www.franchise-update.com/article/1127/ Franchise Update Media Group recently conducted a survey of social media usage by franchisors who are actively recruiting franchisees. The questions dealt not only with social media in consumer-oriented marketing, but more important for franchise development teams, its use in franchise recruitment. http://www.franchise-update.com/article/1127/ Fri, 09 Jul 2010 06:00:00 PDT http://www.franchise-update.com/article/1083/ There was a sports theme in the air as legendary NFL player and Super Bowl-winning coach Mike Ditka addressed the crowd at the recent Multi-Unit Franchising Conference in Las Vegas. Coach Ditka talked about the importance of having great players. And finding and developing great franchise players was on the minds of the numerous franchise sales and development executives attending the event. All agree that finding great franchisees is critical to building a successful franchise system. http://www.franchise-update.com/article/1083/ Tue, 06 Jul 2010 08:00:00 PDT http://www.franchise-update.com/article/1082/ Franchisee satisfaction is a key performance benchmark for forecasting the rate of your system development. If your "troops" aren't promoting you, it doesn't matter how compelling and profitable your program is. I'll never forget the children's franchise with a great financial success story. Even though their business model and ROI were terrific, their recruiting efforts were flopping. Lack of corporate support sparked huge issues, and owner validation was near nonexistent. http://www.franchise-update.com/article/1082/ Mon, 28 Jun 2010 08:00:00 PDT http://www.franchise-update.com/article/1081/ One of the significant consequences of the Internet's development is that we can gather opinions from a diverse group with minimal effort. I did so recently through a posting on the American Bar Association Forum on Franchising listserv. http://www.franchise-update.com/article/1081/ Mon, 21 Jun 2010 08:00:00 PDT http://www.franchise-update.com/article/1105/ Franchise Update Media Group (FUMG) the leading industry resource for franchise development, today announced that the 2010 Franchise Leadership and Development Conference theme of "Driving Performance" will reveal strategies to increase leads, boost sales and grow your brand. The conference will be held September 22 - 24, 2010 at the Ritz Carlton Buckhead, Atlanta. http://www.franchise-update.com/article/1105/ Tue, 15 Jun 2010 10:30:00 PDT http://www.franchise-update.com/article/1080/ Market dominance is the measure of the strength of a brand, product, or service relative to the competition. Emerging franchise companies that are the first movers in their market niche need to be agile to establish their market presence before more aggressive or better capitalized companies move into their niche and overtake their first mover advantage. http://www.franchise-update.com/article/1080/ Mon, 14 Jun 2010 08:00:00 PDT http://www.franchise-update.com/article/1078/ Each year franchising needs debt capital in excess of $10 billion to fund more than 30,000 new units and transfers of existing units. That's a lot of money, and the lending community doesn't seem that likely to meet the demand--even though collectively there's ample lending capital available. It's clear that access to capital will be an issue for the franchise community for the next few years at the very least. http://www.franchise-update.com/article/1078/ Mon, 07 Jun 2010 08:00:00 PDT http://www.franchise-update.com/article/1077/ Despite the surging growth in franchisors using multi-unit development strategies over the past 20 years--especially the past decade--this approach is not always a sure bet for successful franchise growth, and certainly not for every franchisor. For example, the multi-unit model may make a great development tool for an established retail-oriented brand seeking heavy market penetration in a given territory, but it may not be right for a newer service-based brand testing a smaller market http://www.franchise-update.com/article/1077/ Tue, 01 Jun 2010 08:00:00 PDT http://www.franchise-update.com/article/1089/ As savvy franchise companies continue to flourish in this challenging economy, FUSR will continue to bring you good news each month, highlighting brands that are adding units, increasing comp store sales, striking deals with investors, and continuing to grow despite the economy - maybe even because of it. And, as the U.S. struggles through its "jobless recovery," growth-oriented franchisors continue to look overseas for expansion opportunities. To be considered for next month's Winner's Column, please send your Good News to editorial@franchiseupdatemedia.com http://www.franchise-update.com/article/1089/ Wed, 26 May 2010 14:00:00 PDT http://www.franchise-update.com/article/1088/ Referrals are vital to franchise system growth. As noted in the May FUSR, studies validate the power of referral sales. Close rates for direct referrals are typically three times higher than for other leads. According to Franchise Update Media Group's Annual Franchise Development Report, referrals continue to be a top franchise sales producer every year. http://www.franchise-update.com/article/1088/ Wed, 26 May 2010 12:00:00 PDT http://www.franchise-update.com/article/1087/ Most prospective franchisees want financial performance information as part of their due diligence process when deciding whether or not to purchase a particular franchise. Prospective franchisees are understandably hesitant to invest thousands of dollars if they have no idea what kind of financial performance exists at the outlet or unit level. Financial performance information can be a powerful selling tool for franchisors because this information responds to a prospective franchisee's compelling need for information concerning the possible financial results of their investment. http://www.franchise-update.com/article/1087/ Wed, 26 May 2010 10:00:00 PDT http://www.franchise-update.com/article/1086/ Franchisors seeking to grow in a tight credit environment and slow economy are turning to private equity to counter a slowdown in financing and cash flow. For struggling systems, capital "infusions" or outright acquisition by private equity firms can replace diminished royalties and franchise fees; for successful brands, this source of additional capital can be used to accelerate growth and provide a competitive advantage. http://www.franchise-update.com/article/1086/ Wed, 26 May 2010 08:00:00 PDT http://www.franchise-update.com/article/1076/ As we all hope for the best in 2010 and realize we have weathered the biggest part of the economic storm, we need to look at the franchise development world differently--in this case, under partly cloudy skies. http://www.franchise-update.com/article/1076/ Mon, 24 May 2010 08:00:00 PDT http://www.franchise-update.com/article/1084/ Franchise Update Media Group (FUMG) the leading industry resource for franchise development, today announced that 300 CEOs, presidents and franchisor executives representing more than 200 brands are expected to attend the 12th annual Franchise Leadership and Development Conference, which will be held at the Ritz Carlton Buckhead in Atlanta, Sept. 22-24, 2010. http://www.franchise-update.com/article/1084/ Thu, 20 May 2010 09:00:00 PDT http://www.franchise-update.com/article/1074/ 1. Should I make a financial performance representation (FPR)? Yes! Any type of representation, oral, written, or visual, that suggests or implies a specific level or range of actual or potential sales, income, gross or net profits qualifies as an FPR. You can't make an FPR unless it is in your franchise disclosure document (FDD). Between 20 and 30 percent of all franchisors make an FPR, which means some of your competitors share their numbers with your prospects. What impression do you leave if you don't share yours? If you have solid numbers, consider making an historical-based FPR. If you do, the law allows you to make specific written representations outside the FDD about a particular location or highlighting specific variables (e.g., a kiosk variation to a traditional retail format). Without an FPR, you may not make financial representations on your website (the first place prospects check in investigating a concept) or anywhere else. http://www.franchise-update.com/article/1074/ Mon, 17 May 2010 08:00:00 PDT http://www.franchise-update.com/article/1073/ "Explain your development strategy as it relates to recruiting single-unit versus multi-unit franchisees. Do you look for both? Why or why not?" During the past five years, most franchisors have changed their concept of the ideal franchise candidate. Today larger franchisors are focused more exclusively on recruiting multi-unit/multi-brand players, rather than the single-unit operators most systems were built on. As an established, nearly 40-year-old brand, Popeyes Louisiana Kitchen markets franchising opportunities toward the top-tier multi-unit/multi-brand category franchisees, while simultaneously considering single-unit candidates. We currently have more than 1,900 locations in 44 states, the District of Columbia, Puerto Rico, Guam, and 27 foreign countries. http://www.franchise-update.com/article/1073/ Mon, 10 May 2010 12:00:00 PDT http://www.franchise-update.com/article/1061/ By now everyone knows what social media marketing is. In fact, many of us are sick to death of hearing about how great Twitter, Facebook, and iPhones are. What smart franchise brand managers want to know is how to make social media and mobile marketing convert to business, driving bodies through doors and positively adding to the bottom line--and if that's even possible. http://www.franchise-update.com/article/1061/ Mon, 10 May 2010 10:00:00 PDT http://www.franchise-update.com/article/1060/ About two years ago, at the behest of a friend, Nick Vojnovic, president of Beef 'O' Brady's, made his first foray into a nontraditional franchise location, opening a restaurant at the TradeWinds, a resort in St. Petersburg, Fla., with 1 million annual visitors. It wasn't exactly on his radar, but Vojnovic decided to give it a go. http://www.franchise-update.com/article/1060/ Mon, 10 May 2010 08:00:00 PDT http://www.franchise-update.com/article/1066/ As savvy franchise companies continue to flourish in this challenging economy, FUSR will continue to bring you good news each month, highlighting brands that are adding units, increasing comp store sales, striking deals with investors, and continuing to grow despite the economy - maybe even because of it. And, as the U.S. struggles through its "jobless recovery," growth-oriented franchisors continue to look overseas for expansion opportunities. http://www.franchise-update.com/article/1066/ Wed, 28 Apr 2010 12:00:00 PDT http://www.franchise-update.com/article/1065/ Despite the surging growth in franchisors using multi-unit development strategies over the past 20 years -- especially the past decade -- this approach is not always a sure bet for successful franchise growth, and certainly not for every franchisor. For example, the multi-unit model may make a great development tool for an established retail-oriented brand seeking heavy market penetration in a given territory, but it may not be right for a newer service-based brand testing a smaller market. http://www.franchise-update.com/article/1065/ Wed, 28 Apr 2010 10:00:00 PDT