May/June 2017 – Franchise Canada https://cfa.ca/franchisecanada Produced by the Canadian Franchise Association Wed, 15 Mar 2017 20:25:20 +0000 en-US hourly 1 https://wordpress.org/?v=6.4.3 https://cfa.ca/franchisecanada/wp-content/uploads/sites/16/2020/03/cropped-cropped-favicon-32x32.png May/June 2017 – Franchise Canada https://cfa.ca/franchisecanada 32 32 How to Find the Right Franchise Fit https://cfa.ca/franchisecanada/how-to-find-the-right-franchise-fit/ Wed, 15 Mar 2017 20:25:20 +0000 https://cfa-ca.flywheelsites.com/franchisecanada-2/?p=268 /* */ [pro_ad_display_adzone id=”3539″] Franchising is a great way to achieve the freedom of business ownership, while also being able to rely on the support and guidance provided by the franchisor. This means franchising is the right route for entrepreneurs who want to secure a steady income with relatively low...

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Franchising is a great way to achieve the freedom of business ownership, while also being able to rely on the support and guidance provided by the franchisor. This means franchising is the right route for entrepreneurs who want to secure a steady income with relatively low risk, while still having the freedom and satisfaction of independent business ownership. This is possible when you invest in a business that’s part of a solid franchise concept, with a proven brand and history of success.

The first, and arguably most critical, step in making a franchise purchase is determining which franchise system will be the right fit for you. With hundreds of different available franchise opportunities, you’ll have your work cut out for you in narrowing the options down to those that will be best suited to your specific skill set and aspirations.

Gary Prenevost, President of FranNet, Southern Ontario, suggests starting this search process by determining what you can bring to the franchising table. “It’s really important that people start by building their own ‘ideal business model,’ which will identify their core skills, interests, and abilities; the resources they can bring to the business, including time and money; and the short-term and long-term financial and lifestyle goals they want to achieve through business ownership.”

Narrowing your search

Breaking it down, to build your ideal business model, you will need to:

  1. Assess your abilities and interests. Before you even start looking into specific franchise opportunities, you should carry out a self-assessment to identify your strengths and weaknesses. This will help you decide whether a franchise system will be best suited to your particular needs and abilities. Take stock of the qualities, education, experience, and skills (organizational, leadership, etc.) you can bring to a franchise business.

Take the time to strongly consider your passions, so you can translate this passion into business success. For example, if you love animals, you may want to consider a pet grooming franchise. You should also rule out franchises based on these passions; if there’s something you don’t have any interest in doing, you can remove it from your list right away. It’s important for you to be passionate about the franchise and the sector it inhabits, as you’ll be investing a great deal of time, work, and money into this business, especially during the initial six months.

  1. Come up with a short list. With your self-evaluation in mind, you’ll want to create a short list of franchise systems that you want to investigate further. When coming up with this list, remember to be open to different types of opportunities, considering a variety of industries and investment levels before narrowing down your selection.

To help these franchises get to know you, you should fill out an application form that will help them learn what assets you can bring to their system. The form will likely ask for your name and contact details, along with background information such as past experience, skills, and financial details.

All franchises should be judged based on how well they line up with your goals, preferences, wants, and needs.

  1. Evaluate your finances, and set goals. Before you plunge too deeply into your franchise search, you should also be sure to draft a business plan, outlining your career path and short-term and long-term financial goals. You’ll also need to take a hard look at your current financial situation – you’ll need to determine your net worth and assess whether your assets are readily available (unencumbered) or tied up in other assets. An accountant who specializes in franchising can help you evaluate your finances to determine whether you have the resources you need to finance the opportunities on your list. (Additional information about franchise accountants and other support services can be found throughout this Guide.)
  2. Conduct thorough research.Once you’ve completed this self-assessment, it’s time to move on to the research stage. “You should begin by looking at two to four franchise options that fit your model, as this will enable you to gain a deeper understanding of which business would be the best fit (versus only looking at one at a time),” explains Prenevost.

When researching the few franchises that meet your goals, ambitions, and ideal business model, you should follow a number of steps. During the first two to three weeks, you should learn as much as possible about the franchise. You should be in frequent communication with the franchisor, and should receive information such as marketing material, the franchise agreement, and disclosure documents. By the end of these first weeks, you should completely understand your duties and responsibilities as a franchisee, along with the standards you’ll be expected to meet.

Once you’ve completed the initial research phase and have narrowed down your franchise options, you can move on to the next steps of the research process, where you will review the franchisor material and become fully immersed in the due diligence process, which includes meeting with the franchisor, current franchisees in the system, and franchise professionals.

  1. Remember to take your time.Before you move on, remember that when you’ve found the franchise options that speak to you, it can be easy to get caught up in the process. You may want to get through the steps as quickly as possible so you can get down to operating your franchise business, but Prenevost advises that no matter what, you should take your time to do it right.

“Do not rush this process! You should allow yourself eight to 12 weeks of active research (10 to 15 hours per week) in order to reach the level of understanding you need. You should also involve your spouse or partner in the research process as much as possible, even if they are not going to be involved in operating the business.”

Advice from a Franchisor

Michael Gazer, President of Heart to Home Meals, shares his top three tips to help you make the right franchise decision.

  1. Take a chance. Traditional job trends are presently in a state of upheaval. A study out of Oxford University is predicting that all developed nations will experience job loss rates of up to 47 per cent within the next 25 years. Experts are warning that the whole concept of employment is about to change, and that the trend is irreversible.

This means that all of us have a responsibility to take a fresh approach towards work and how we evaluate opportunities. Those seeking a change midway through their working lives may see buying a franchise as a chance to have more freedom and work with the people they want.

  1. Do your research. You need to take the time to fully explore all of the opportunities that match your strengths and interests. While it is true that being a franchisee is hard work, the effort you put into selecting your business is the most important part of the whole process. You need to find something that speaks to you.
  2. Be methodical. You need to think through your decision to purchase a franchise – this is not an impulse buy. You can’t launch your career after a quick chat over coffee with a close friend; this decision needs to be measured.

If you have a family, the impact on them is important to consider, so you need to challenge yourself and urge others to challenge you. Ask yourself earnest questions about what you want from this position and what you have to offer.

For anyone starting their own business, it’s great to do something in which you are skilled and you are passionate about. But, it’s also nice to know that your business is going to survive in five to 10 years because the market is there to support your service or product.

CFA Resources Can Help You Find the Right Franchise Opportunity

CFA has a variety of valuable resources to help you learn more about franchising and to help you find the ideal franchise opportunity, from FranchiseCanada magazine and Directory to The Franchise Show and other seminars and events.

LookForaFranchise.ca, the online directory of hundreds of CFA member franchise brands in more than 50 categories, is another major asset for prospective franchisees, with the ability to contact franchisors directly via an online form, and each listing outlining important information about franchisee fees, investment requirements, and expansion areas.

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Support Services for Franchise Investors https://cfa.ca/franchisecanada/support-services-for-franchise-investors/ Wed, 15 Mar 2017 20:19:39 +0000 https://cfa-ca.flywheelsites.com/franchisecanada-2/?p=274 /* */ [pro_ad_display_adzone id=”889″] While the ultimate franchise decision is yours alone, it’s important to enlist the help of franchise professionals throughout the purchase process, as they can provide you with the information and context you need to make the right decisions. As Gary Prenevost, President of FranNet, Southern Ontario,...

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While the ultimate franchise decision is yours alone, it’s important to enlist the help of franchise professionals throughout the purchase process, as they can provide you with the information and context you need to make the right decisions. As Gary Prenevost, President of FranNet, Southern Ontario, says, when you make other major purchases, you trust the experience and input of those who have relevant experience in the field, and a franchise investment should be no exception.

“There is so much to learn about what it takes to become successful through franchise ownership; each franchise concept has different paths to success. Most people have never bought a business before, and thus ‘don’t know what they don’t know’ about how to make sure the business is right for them – this is where franchise professionals come in,” says Prenevost. “Think about it this way: if you are a first-time homebuyer, would you go to a real estate agent who specializes in working with first-time homebuyers, or would you try to do it on your own?”

Here’s a list of franchise professionals you should consult before making any final decisions about your franchise purchase, and whom you can continue to work with as you get your location up and running.

Franchise Consultant

Franchise consultants can help you in identifying your unique mix of skills, talents, and experience, and can help you figure out how to channel these assets into the right franchise opportunity. They may also be able to provide insight into the perceived strength of the brand, and help you determine what information to look out for when speaking with the franchisor and current franchisees.

Prenevost notes that a franchise consultant can also play a very important role in ensuring that a prospective franchisee proceeds through the due diligence process at the right pace, with the right information at hand. “A good franchise consultant will help prospective franchise buyers at every step of the way, making sure that they don’t ‘jump steps’ and rush into things prematurely.”

Franchise Accountant

“It is important for a prospective franchisee to work with a franchise accountant, as a franchise accountant has the knowledge and expertise in the industry to help identify potential concerns in a franchisor or potential franchise target before the purchase takes place, through review of KPIs [key performance indicators], disclosure documents, and other measures,” explains Lyn Little, Senior Manager, Assurance and Accounting with BDO. “Additionally, a franchise accountant can identify ways to structure a deal to minimize the tax impact on the purchase of a franchise.”

An accountant who is well-versed in franchising can also help you determine your net worth, assets, and obligations, and can provide advice and guidance when it comes to creating a business plan, which summarizes your current and projected finances for this investment, along with how you plan to set up and operate your business.

Little says a franchise accountant can also remain an asset once your franchise is up and running. “Once the franchisee starts operations, a franchise accountant could provide financial services that are outside of the knowledge base of the potential franchisee, such as bookkeeping, tax compliance, and payroll processing, along with financial statement preparation and reporting.”

Franchise Lawyer

A franchise lawyer will ensure all legally required information has been disclosed to you by the franchisor, and will assist you in fully understanding all of the documentation involved in the franchise investment process, including the disclosure document and franchise agreement.

For example, a franchise lawyer will play a critical role in helping you decipher the disclosure document that you receive from the franchisor during the due diligence process. This disclosure document contains a summary of information about the franchise system and its officers, and outlines the rights, responsibilities, and obligations of the franchisor and franchisee. An experienced franchise lawyer will be able to guide you through the document, helping you to understand the material it contains. They will also be able to advise as to any franchise-specific legislation that exists in the province in which you’ll be operating.

In addition to the disclosure documents and franchise agreement, your franchise lawyer should review all contracts or other agreements, like a real estate lease, before you sign. He or she will look out for any irregularities within the paperwork, along with any areas in which there is room for negotiation. Your lawyer will be able to lead this negotiation process, if necessary.

Franchise Banker

Once you know your net worth and have calculated how much money you have available to invest in your franchise, you may need additional funds to finance your new business. Many franchisees require financing from a business lender on top of the personal funds they will be investing in the venture. A banker with a background in franchise financing can help you determine the best banking products and services to support your business as it’s launched and continues to grow, including business loans, lines of credit, and business accounts. He or she will review your business plan, finances, and assets before making any recommendations.

Franchise Insurance Specialist

As a franchisee, you need to be prepared for the worst, with a plan in place to help protect you from unexpected events or situations that could damage your business. You can help mitigate the risks of business ownership by having a risk management plan in place, which will include a business insurance package. With so many policies available to business owners, from general policies adopted by most businesses to more specific policies catering to particular regions or industries, it’s always a good idea to work with an insurance broker with franchise experience. This broker can help you put together the best, most comprehensive package to meet the needs of your unique business.

With the help of the right franchise experts, you should be well on your way to opening your new franchise business. Turn to page XX to find the top tips you should keep in mind as you launch and grow your franchise venture!

How Do I Find the Right Franchise Professionals?

When you’re looking to solicit the input and experience of a consulting, accounting, banking, legal, and/or insurance expert to help you make an informed decision and establish your franchise location, it’s important to enlist the help of a professional who’s fully versed in Canadian franchising.

CFA’s online Member Directory features support services and suppliers in 18 business sectors and disciplines. As CFA members, these professionals and organizations have expertise in franchising, providing their services specifically to franchisees and franchisors.

To access the full list of CFA support services and suppliers, visit www.cfa.ca/support-services

 

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Franchising 101 https://cfa.ca/franchisecanada/franchising-101/ Wed, 15 Mar 2017 19:56:49 +0000 https://cfa-ca.flywheelsites.com/franchisecanada-2/?p=265 /* */ [pro_ad_display_adzone id=”897″]Franchising is an attractive and powerful way for Canadians to achieve success as small business owners. Through the proven business concept and support provided by the franchisor, franchisees are able to be in business for themselves, but with the support and assistance of the franchisor, the advantage...

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[pro_ad_display_adzone id=”897″]Franchising is an attractive and powerful way for Canadians to achieve success as small business owners.

Through the proven business concept and support provided by the franchisor, franchisees are able to be in business for themselves, but with the support and assistance of the franchisor, the advantage of the franchise system’s past success, and access to the knowledge and experience of a network of franchisee peers.

Franchising is about sharing success. The success of a franchisee leads to the further success of the franchisor and the franchise system as a whole. When you invest in a franchise, you align yourself with a brand that may already enjoy established consumer awareness and loyalty in the Canadian marketplace. This instant brand recognition can bring many advantages, including a stronger position when applying for a business loan. As a franchisee, you will benefit from the license to use the franchise system’s proven branding, trademarks, and proprietary products and/or services.

A franchise also provides you with the advantage of a tried-and-true system and an operations manual that fully explains how you are to replicate the franchise’s system at your location. While it’s impossible to eliminate all risk, if you work and follow that system, you can reduce the risk of business failure and increase your likelihood of success.

As a franchisee, you are considered a small business owner, and it’s important for you to assume a leadership role in your business. By joining an already established system, you don’t have to invent the business from the ground up like you would as an independent business.

The franchise system can save you time and money by keeping you up to date on your market. Through the franchisor, you can stay on top of business trends, research and development, new marketing initiatives, and changes in consumer tastes or behaviours.

Being a franchisee also means there is strength in numbers. Many franchise systems have an established supply chain and strong relationships with suppliers. By ordering your stock, supplies, and equipment through approved suppliers as a member of your franchise system, you may receive the benefit of preferential pricing or special delivery.

Joining a franchise system gives you a network of peers upon whose knowledge and experience you can draw. If you encounter an issue or have a question, your franchise system colleagues are just a phone call or email away.

What are the key responsibilities of the franchisee?

While system-specific responsibilities required of the franchisee will be outlined in the franchise agreement, there are a few key responsibilities that are generally required of the majority of franchisees.

The franchisee should:

  • follow the franchisor’s standards, methods, procedures, techniques, and specifications to ensure consistency;
  • pay a fee (typically an initial franchisee fee and ongoing royalties) to the franchisor for the right to use the franchisor’s trademarks (brand) and business system;
  • take care of accounting, local marketing, staffing, and the other administrative aspects of operating a business;
  • invest their time, particularly during the start-up phase, by working hands-on in their business to fully understand the operational side of the franchise; and
  • work in partnership with the franchisor, allowing for effective two-way communication between the two parties and a mutually-beneficial relationship.

What are the key responsibilities of the franchisor?

While the franchise agreement will outline the specific responsibilities and obligations of the franchisor, there are a few key responsibilities of the franchisor that generally apply in most scenarios.

The franchisor should:

  • undertake to provide franchisees with operating systems and support services to help their businesses grow in ways that are effective, efficient, and profitable;
  • continue to evolve the franchise system through research and development of new products and services;
  • handle all brand advertising and (usually) provide franchisees with assistance for their local marketing activities;
  • protect and manage the brand and its trademarks, while ensuring consistency and quality standards are maintained by all franchisees in the system; and
  • provide initial and ongoing training and support.

If you’re interested in embarking on a career in franchising, we’ve assembled the resources you need to make an informed investment decision. This Ultimate Guide to Buying a Franchise takes you on a tour of the whole path to making a franchise purchase, hitting the highlights of finding your franchise fit, navigating due diligence and disclosure, and working with a support team of franchise professionals, and also offers some top tips to help you as you launch your franchise business.

 

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Franchise Legal Counsel Matters https://cfa.ca/franchisecanada/franchise-legal-counsel-matters/ Fri, 10 Mar 2017 16:00:45 +0000 https://cfa-ca.flywheelsites.com/franchisecanada-2/?p=293 Franchising is often referred to as a mutually rewarding relationship between franchisors and their franchisees. While this is true, the franchise business model is also built upon contracts and other documentation, which makes the relationship that much more complex. Luckily, there is help for prospective franchisees in wading through the...

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Franchising is often referred to as a mutually rewarding relationship between franchisors and their franchisees. While this is true, the franchise business model is also built upon contracts and other documentation, which makes the relationship that much more complex. Luckily, there is help for prospective franchisees in wading through the paperwork and fully understanding the rights and obligations of the franchise relationship that are outlined within.

Franchise lawyers are well versed in the ins and outs of the franchise business model. It is vital for prospective franchisees to fully understand all documentation involved in their franchise investment, particularly the disclosure document (a comprehensive summary of pertinent information about the franchise system, its officers, finances, etc.) and the franchise agreement. As a potential franchisee about to invest your time, effort and money, you’ll want a complete understanding of the relationship you’re about to enter into. This is where an experienced franchise lawyer comes in.

“Fundamentally, it’s a legal relationship. Franchisees are signing a contract that lasts for years and are investing significant amounts of money. It’s absolutely fundamental for them to know what they’re getting into so they can make an informed decision,” says Ned Levitt, a franchise lawyer and partner at Dickinson Wright LLP.

“Franchise agreements are complicated documents. Prospective franchisees may be able to understand the basics, but it’s harder to pick up on the nuances,” says Michael Melvin, a franchise lawyer and associate at McInnes Cooper. “It’s very much in their interest to sit down with a lawyer and go through it together.”

Though there are some common features found in franchise agreements, these can vary from franchise system to franchise system, and from franchisee to franchisee. Today, some provinces have franchise legislation that prescribes the information that franchisees must receive prior to signing on the dotted line. This is just one of the reasons why retaining a lawyer who has experience with the franchise business model is a wise choice.

“The whole area of franchising has grown to a highly specialized area of law, with its own complexity, history of case law and new decisions and interpretations coming every day,” Levitt says. “You can’t play with it lightly.”

So, where can you find a franchise lawyer? “The CFA website is an ideal starting point, as it has information on a lot of law firms from different parts of the country that all specialize in franchising,” Melvin points out. Prospective franchisees can find a lot of the information they need online, through sites like the CFA’s online directory of franchise support services members (https://www.cfa.ca/SupportCategories). Although the internet is a great source for some initial inquiries, prospective franchisees should speak and meet with lawyers first before retaining one.

“Shopping around is quite appropriate in this instance,” says Levitt. He’s also a firm believer in meeting with prospective clients face to face. “Over the phone just doesn’t work as well as in person.”

When selecting a lawyer, there are a few things potential franchisees should consider. Look at the lawyer’s experience – have they dealt with the franchise you’re interested in before? How often have they acted for franchisors and franchisees? “Someone with experience is going to have a mental list in their head to tick off as they review the documentation,” says Melvin, “and then they can highlight anything out of the ordinary or potentially dangerous.”

Fees are another area that should be examined, though Levitt offers a word of caution on this point. “People sometimes get too focused on the fees instead of looking for quality,” he explains. “The more being invested, the more quality they should look for. Franchisees should be comfortable with the budget and the timelines involved.”

As the lawyer and client are going to be working closely together, “Personality fit is important but even more so is going to a lawyer who understands you, your goals and your financial situation,” Melvin says. A balanced working relationship is the goal.  “Don’t get ‘the best lawyer;’ get the best lawyer for you,” advises Levitt.

Once everyone is comfortable, the next step is taking a close look at the franchise. “One thing I look at is its growth. How many franchises have they sold over the last few years and how are they supporting them?” says Levitt. “I also want to know if clients have spoken with other franchisees in the system and what was said. It’s these ‘tracks’ that you have to follow to find out if it’s a good opportunity.”

A large part of examining the franchise system is reviewing its disclosure documents and agreements. Clients are advised when meeting with their franchise lawyer to bring in everything that they are being asked to sign, from the franchise agreement itself to any leases or other contracts. Usually these are standard documents, but each should still be looked at. It’s also important for some documents, such as the franchise agreement and real estate lease, to be examined together. “These documents often interrelate so I need to see both to get the whole picture,” says Melvin. For instance, if the length of term for one does not match the other, he notes, that might be something that needs to be amended.

Melvin explains that the lawyer is looking for two main things. “The root questions are: what are the franchisee’s obligations, and what is the potential risk?” he says. “Franchisors want franchise agreements to have flexibility and that makes it murkier for franchisees. Lawyers can nail things down to more objective standards.”

If, upon review, everything is in order, the franchisee signs on the dotted line and moves forward with establishing their franchise location. Does this mean it’s the end for their relationship with their franchise lawyer? Yes and no, say the experts. “By and large, once the agreement’s signed, it’s the end in that respect,” Levitt explains. “But once we’ve established a good relationship, clients often later come back if they have more legal work, like if they want to incorporate their business.”

Melvin agrees that when incorporating your business in a franchise environment, it’s again a good idea to work with a franchise lawyer. “You need to comply with the franchise agreement when you incorporate or you could inadvertently breach it.”

Having an experienced franchise lawyer on your team is an asset both during and after your franchise investigations.

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Climbing the Franchise Ladder https://cfa.ca/franchisecanada/climbing-the-franchise-ladder/ Thu, 09 Mar 2017 20:16:57 +0000 https://cfa-ca.flywheelsites.com/franchisecanada-2/?p=231 Ernie Whitrow really believes in the franchise business model. Though, that’s what you would expect from a man who first started working with franchises at the age of 16 as an employee at a large franchise corporation. “I have always been involved in franchising. I just believe it’s tried, tested,...

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Ernie Whitrow really believes in the franchise business model. Though, that’s what you would expect from a man who first started working with franchises at the age of 16 as an employee at a large franchise corporation. “I have always been involved in franchising. I just believe it’s tried, tested, and true.”

 His personal experiences with franchises, combined with the model’s proven formula for success, encouraged Whitrow to look for new opportunities in the early ‘90s to expand his involvement in the industry, specifically by becoming a franchisee.

 In 1994, as Whitrow was looking at prospective franchisors, he came across Speedpro Signs. A visual marketing company, Speedpro Signs offers Canadian businesses a variety of products and services designed to enhance their advertising solutions. By utilizing the sales, marketing, and brand management expertise of their employees, Speedpro Signs provides clients with effective and visually compelling advertisements from indoor and outdoor signage, to window graphics, to tradeshow displays.

 The potential partnership with Speedpro was intriguing for Whitrow, who, having been a draftsman in school, was eager to apply his creative side to the sign industry. For Speedpro, the feeling was mutual, with Whitrow describing the partnership as the perfect fit. “It was just meant to be,” he says. “Everything fell into place. Within four months of hearing about Speedpro, we had trained and opened for business.”

 A typical day

As a new franchisee, Whitrow worked hard to ensure his Medicine Hat, Alberta franchise location was a success, and to prove his commitment to the Speedpro business model. “When I first opened, I did sales, design, installation, and bookkeeping. Today, I’m an organizer; I do sales and I motivate my staff.”

Being an organizer and motivator means Whitrow’s days and weeks are non-stop. Typically, he starts the week off Monday morning at a staff meeting with his location’s department heads, making sure they are prepared to tackle the week’s projects. “We will discuss the projects of the week, timelines, and any complications – whatever needs to be done to fulfill a job for that week.”

Once Whitrow has an idea of what jobs his employees have lined up, he divides his week between conducting his own sales and ensuring everything is on track and running smoothly for his Speedpro clients. “Throughout the course of the week, every day I will go to each department head again and ask, ‘Are we on schedule for the ETA established on Monday?’”

The support Whitrow provides to his staff comes from a passion for teaching and an acknowledgement, on his part, of the importance of learning. “I love helping people. I take great pride in teaching people and answering their questions so they don’t have to make the same mistakes I made coming up the ranks.”

Mentoring new franchisees

When the opportunity arises, Whitrow also mentors franchisees when they join the Speedpro family.

Short and simple, he believes in the value of teamwork and guides franchisees and his own employees with the mentality that success comes with strength in numbers.

His management style aligns well with the Speedpro franchise system, and the atmosphere of collaboration the organization has created for franchise partners, which he describes as a great system to work in.  “Head office does a great job with communication and directing if we need it. If somebody has a problem, they can call head office or another franchisee anytime. We help each other. We’re a big family.”

This open communication is especially appreciated when Whitrow or any of his three full-time employees come across technical challenges while on the job, or when attempting to maintain sales as new competitors enter the market. He says the Speedpro head office does a superb job of connecting franchisees with vendors and providing information on the latest technology, software equipment, and product knowledge.

Though this product knowledge and training is essential for Speedpro’s success, Whitrow praises head office for providing direction and support for a skill not everyone has a knack for – customer relations.  “They train you to be confident to be able to talk to the consumer, and give you direction on how to approach different projects.”

This guidance is significant for Whitrow and the entire Speedpro franchise system that is committed to providing the best quality products and service for all customers. Speedpro clients are considered friends, and franchisees will go above and beyond their responsibilities to ensure they are happy with their product. In the past, Whitrow has even donated signs to clients who couldn’t afford Speedpro’s services.

Joining the Speedpro team

Whitrow’s time working with Speedpro has equipped him with valuable knowledge as to what it means to be a successful franchisee, and the realities of working in the industry. He asserts that it’s a difficult business with lots of hard work, and that anyone interested in becoming a franchisee has to be diligent and realistic in their aspirations.

For prospective Speedpro franchisees, Whitrow offers advice on how best to succeed, saying a marketing background with proficiency in social media is key, as well as some knowledge of design programs and bookkeeping. However, the best advice Whitrow can give to new franchisees is something that can’t be taught. “The most important thing I tell people who are looking is that it’s all about the attitude. You need to have a positive attitude.”

He also stresses the importance of keeping your work in perspective, especially when it comes to enjoying life away from the office. “Don’t get hung up on day-to-day things. Still take time for your family and for yourself.”

As a family man, Whitrow appreciates that franchising allows him to set his own hours so he can spend quality time with his family and not let the stresses of work overwhelm him. In fact, Whitrow credits his career in franchising for enabling him to have a job he loves, while still maintaining a good work-life balance. “The franchise business model is important because it gives you structure, it gives you proven success, and it gives you the flexibility you need to be able to raise your family.”

But Whitrow can’t thank anyone for this lifestyle more than the team at Speedpro and their overwhelming encouragement and loyalty. “They’re there if I need direction, but they also give me flexibility. We’re one big happy family!”

Learn more about Speedpro Signs Franchise Opportunities

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TWO MEN AND A TRUCK Canada franchisee Paul Bolté is focused on making a difference https://cfa.ca/franchisecanada/two-men-and-a-truck-canada-franchisee-paul-bolte-is-focused-on-making-a-difference/ Thu, 09 Mar 2017 20:14:03 +0000 https://cfa-ca.flywheelsites.com/franchisecanada-2/?p=229 One fateful day in 2015, Paul Bolté was enjoying breakfast with a friend and talking business when the idea of franchising came up. “I remember my friend John said, ‘Have you ever thought about franchising? This company just did a move for my father, and they did a great job.’...

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One fateful day in 2015, Paul Bolté was enjoying breakfast with a friend and talking business when the idea of franchising came up. “I remember my friend John said, ‘Have you ever thought about franchising? This company just did a move for my father, and they did a great job.’ I thought, ‘I’m going to investigate that,’” recalls Bolté.

Over the next few weeks, Bolté did just that, looking into opportunities with TWO MEN AND A TRUCK® Canada, the moving franchise his friend had recommended, and setting up meetings with its head office staff. He liked what he saw and heard, but wanted to be sure, so he checked out a few other options, just in case. But he kept coming back to TWO MEN AND A TRUCK. “It intrigued me because it fit parts of my business background, because I’ve always positioned myself as a corporate entrepreneur, taking existing businesses and helping them grow through marketing and media channels,” says Bolté.

Bolté spent the majority of his career in advertising and media, including 11 years in growing the cinema advertising division at Cineplex. Though he liked it, a lack of work-life balance meant there was little time to spend with his family. “As I worked extensive hours in the corporate world, my kids were growing up. There was a five-year period in there where I pretty much never saw them. So, I removed myself from the media industry and set up shop on my own at home, developing businesses for other people,” says Bolté. “Then, two years ago, I wanted something different again.”

Enter TWO MEN AND A TRUCK Canada. After a few months of more meetings, research, and due diligence, Bolté signed on as a franchisee. He opened his location in Scarborough, a large, diverse community in Toronto’s east end, in October of 2015. He says that the things that attracted him to the concept as a franchisee are also what make the company a popular choice for consumers. “What makes us unique, it comes down to the way we treat people – customers, employees, owners. The philosophy is people before profits, that people are treated fairly and with respect.”

Strong support from the start

Bolté says that he was immediately welcomed into the franchise family, and that those relationships set him up for the success he’s experienced thus far. “I went to the corporate office, I met with franchisees, I went to the headquarters in Lansing, Michigan, for training,” he says. “I had a line-up of things to accomplish before opening, and a lot of it was stuff I had no experience with, like finding office space that also allowed us to park our trucks there overnight. They helped with all that. They provided really good initial support, and it has continued all the way through.”

Having that built-in system to lean on has made facing the challenges of a new business and an unfamiliar industry infinitely easier. “Franchising already has a foundation, and it’s up to you to make the reality of the existing business successful for you. I’ve run businesses in my previous industry, but this was totally new. I learn all the time because of the experts around me,” says Bolté, adding that staffing has been an important factor.

“I needed to find people who had experience in this industry, and to surround myself with that. You have to have a bit of luck to find people who believe in the business and believe in me, too. We always say that we look at résumés, but what it truly comes down to is attitude. Our team is like a sports team: to do the physical work that they do, loading and unloading all day, they need to be conditioned for it, and they also need to value teamwork. They have to be confident in the person on the other end of the sofa when they’re going down the stairs with it.”

Bolté is also striving to alter public perception of his new industry. “Another challenge is that, as an industry, moving doesn’t have the best reputation. We all hear the horror stories about unpleasant surprises, and that’s tough. We – my team and TWO MEN AND A TRUCK – Canada as a whole – are trying to change that, and we are,” Bolté says. “I do the in-home estimates for customers. It’s the best when I ask how they heard about us, and people say that we came recommended by their neighbour or friend or realtor. We have one of the highest customer referral and satisfaction ratings in the industry. I’m very proud of our team.”

Putting the community first

Bolté says that the inclination to make people happy doesn’t end when a move is done. “Moving is a stressful time for people, and you want to help them. You also want to help the community, and that’s what differentiates us – helping people is part of our core values. We have a passion for it.” Bolté points to his team’s partnership with the Scarborough Centre for Healthy Communities Furniture Bank. “We take unwanted furniture items that are in good shape from our clients and, free of charge, take the items on our trucks to them, which then supplies them to refugees, to people leaving shelters, and to those who are trying to get a start.”

In addition to the more than a dozen truckloads of items donated to SCHC since early 2016, Bolté and nine of his team members also volunteered their time and three trucks in December to help deliver supplies and food to more than 400 families in need during the holidays. “It’s the grassroots kind of caring that makes for good word-of-mouth, but it also shows what we’re all about,” explains Bolté.

This is why, he says, he advises prospective franchisees to investigate all aspects of a franchise system before they sign on, paying particular attention to the brand’s culture. “You need to believe in the core values of the company. You need to feel good about the company you’re going to associate yourself with, and be passionate about the product,” says Bolté. They should also take the realities of the business into consideration. For example, he points out, while other businesses might see a bit of a slowdown over the summer months, that’s when moving companies like TWO MEN AND A TRUCK Canada experience a high demand for their services. “Be prepared for the fact that there will be challenging days when you’ll need to use all your resources to find solutions quickly and keep going.”

Bolté is already thinking about his next objectives, including increasing community involvement and, of course, doing more moves. “It’s all about moving forward. We’re always striving for a new goal and competing with ourselves. We’ve doubled our business, and we’re still striving for more,” he says. “But when I look back on what we’ve done in a year, I’m very proud of our accomplishments. We’ve got a great team of drivers, movers, and customer sales representatives, and we have a lot of respect for each other.”

He credits his whole team, both at his location and at head office, with getting him to this point. “It’s not about just me, it’s about our whole TWO MEN AND A TRUCK team. We try to make a difference, one move at a time.”

Learn more about TWO MEN AND A TRUCK Canada Franchise Opportunities


By Lauren d’Entremont

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Gorilla Property Services isn’t monkeying around when it comes to franchise expansion https://cfa.ca/franchisecanada/gorilla-property-services-isnt-monkeying-around-when-it-comes-to-franchise-expansion/ Thu, 09 Mar 2017 20:10:36 +0000 https://cfa-ca.flywheelsites.com/franchisecanada-2/?p=227 If you live in Vancouver, Burnaby, Surrey, the Okanagan Valley, Edmonton or Sudbury, you may have noticed a growing number of gorillas on your streets over the past year. Okay, not actual gorillas. But after seeing Gorilla Property Services’ staff decked out in their trademark monkey-chest shirts, you’d be forgiven...

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If you live in Vancouver, Burnaby, Surrey, the Okanagan Valley, Edmonton or Sudbury, you may have noticed a growing number of gorillas on your streets over the past year. Okay, not actual gorillas. But after seeing Gorilla Property Services’ staff decked out in their trademark monkey-chest shirts, you’d be forgiven for looking twice.

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And really, those second looks are exactly what CEO Mark Amery wants when people come across the commercial and residential property maintenance company he started in Vancouver more than four years ago. “We want people to remember us,” he says. “When we show up to a job site, it’s not some guy in an unmarked truck, with a cigarette hanging out of his mouth. We have the gorilla vehicles, the shirts, the lawn signs. Kids love it, and people wave and laugh. So it creates a fun atmosphere, and that’s a big thing that sets us apart from our competitors.”

Another big thing that sets the company apart is its rate of growth. Gorilla Property Services just started franchising in May 2016 with the opening of its second location in Vancouver, and already it has added four more franchises. By the end of 2017, Amery hopes to triple that number.

The concept: all-in-one gorillas

Some property maintenance companies claim to be the fastest pressure washers out there, or experts at graffiti removal, but Gorilla Property Services is all about providing a full range of options to its customers, whether that be a one-time service or recurring ones throughout the year. Its seven specialty services include gutter cleaning, graffiti removal and prevention, pressure washing, roof cleaning and moss removal, snow clearing and salting, window cleaning, and property maintenance.

Though the company is relatively new, those services are anything but for Amery. Since graduating from high school more than 20 years ago, he’s worked in the pest control and property maintenance industries, and he even launched his own pest control and property maintenance company in the mid-2000s. That company was so successful that he sold it when he was 36 years old. He thought he’d retire, but he was wrong. “I have five little girls under 13, so staying at home was kind of driving me insane,” he says with a laugh.

Amery launched Gorilla Property Services in November 2012 in Vancouver, always with the intention to franchise it. “I was always fascinated by franchises and how growth comes that way,” he says. “So from day one, we started tailoring it towards that, and then after three years, the growth was there. We were doubling and tripling in revenue each year, and we had worked out all the tweaks.”

The franchisees: hands-on, looking to grow

One of the tweaks they had to work out when they started franchising was how to go about marketing the opportunity to potential franchisees. After trying a few different options, Amery and his start-up team found that using the Canadian Franchise Association’s resources – particularly its trade shows – works the best. One reason being that that those resources allow them to focus their search on the right type of franchisees. “It’s not designed to sell to an investor who’s going to buy 20 units,” says Amery. “That’s not what we’re about.”

Instead, they’re about finding individuals who may have some property maintenance or hands-on experience, and who aren’t afraid to throw on a monkey hat and get their hands dirty. In other words, not necessarily the suit-and-tie type. Amery says they’re also looking for franchisees who want to start with one franchise, but are interested in others, too.

One franchisee they didn’t have to look hard for was Andres Morin, who had worked with Amery in Vancouver for two years before starting the Sudbury/North Bay franchise in September 2016. The benefits of being a franchisee within this system have been many, he says. “For one, it’s fairly easy to manage a small business like this, and it gives you the opportunity to make a good living. Also, business has been really good, and this is a company that’s growing really, really fast.”

Other benefits are the profit margins, which Amery says are 70 to 80 per cent, and the start-up fee, which is $40,000 and includes the franchise fee, equipment, training, clerical and marketing services, and even vehicle wrapping. That fee also includes the Gorilla Call Centre service, which takes calls, inquiries, emails, and leads for all territories and sends them to franchisees. Plus, because the company is just hitting its stride, new franchisees practically have their pick of territories across the country.

The support: all-inclusive, 24/7

Once Amery and his team find the right franchisee, they send them to the Gorilla headquarters in Vancouver for a 10-day training session that can be extended if the new gorilla needs further training. There they learn everything from the sales process and safety procedures to customer service and accounting, and even how to strategically park the vehicles.

Then it’s off to another two-day training session, this time with the “online Gorilla,” to learn everything about the online app that franchisees use to virtually run the business and do everything from order clothing to price a job.

That app also plays a role in the ongoing support that Amery’s team provides once gorillas are out in the wilds of their own territory. “Say they have a question about a window or gutter,” says Amery. “They can just hit the Skype button and it goes right to the office or another technician, and they can get an answer. And it’s instant. It’s not ask a question, get an answer a week later. It’s ask a question, get an answer right then.”

Franchisee Andres Morin has found that support – particularly Amery’s – to be a godsend during his first year. “Mark is just awesome. He calls or emails every week to see how things are going. If I need supplies, for example, I will send him a few pictures and he will suggest some price ranges. And if I call him and he is in a meeting or something, he will call me right after.”

That support is available 24/7, with franchisees able to call 1-844-GORILLA any time for anything they need.

The future: 100 units in Canada and beyond

If five franchises in a year wasn’t a good indication of Gorilla Property Services’ bright future, how about the plan for 2017, which is to launch 12 additional franchises by the end of the year? Based on the rate of growth so far, Amery thinks they’ll easily hit that number by mid-summer. Then, their eyes will look to expansion throughout Canada in 2018 and, in 2019, to that great ape of a market south of the border.

Within 10 years, Amery hopes to have at least 100 franchises in the system. Perhaps some of Gorilla’s franchisees will also become franchisees of Amery’s next venture – a pest control company – which may have launched by the time you read this. “I want to offer that to the franchisees who are here right now. It’ll almost be like an add-on, and because everything is pretty much the mirror image of Gorilla — the layout, the app — it’ll be a good piggybacking.”

So what does Amery think will be key to realizing his bold hopes for the company? “Just keeping doing what we’re doing: supporting the franchisees, making sure they’re happy, and servicing our customers the best ways we know how. Because if you don’t service your customers right, somebody else will.”

Learn more about Gorilla Property Services Franchise Opportunities


By Jordan Whitehouse

 

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Breakfast of Champions https://cfa.ca/franchisecanada/breakfast-of-champions/ Thu, 09 Mar 2017 19:51:05 +0000 https://cfa-ca.flywheelsites.com/franchisecanada-2/?p=223 Breakfast is often touted as the most important meal of the day, and the following five Canadian franchise systems have certainly taken that to heart. Whether they solely focus on this first meal of the day, or offer a strong breakfast menu in conjunction with lunch and/or dinner, these brands...

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Breakfast is often touted as the most important meal of the day, and the following five Canadian franchise systems have certainly taken that to heart. Whether they solely focus on this first meal of the day, or offer a strong breakfast menu in conjunction with lunch and/or dinner, these brands offer opportunities for franchisees to get off to a good start in franchising, while their customers get off to a good start with a balanced breakfast.

Sunset Grill

Torontonians who drove along Queen Street East in the Beaches area of Toronto in the 1980s and saw long lineups snaked outside the Sunset Grill aren’t surprised that the restaurant is a successful franchise today. Started by Angelo Christou in 1985, the idea for Sunset Grill came from an all-day breakfast restaurant Christou encountered in the U.S. way back then. Its name comes from a Don Henley song.

Stelios Lazos, Chief Operating Officer of Sunset Grill, says that the operation started off pretty small. “He (Christou) did the cooking himself. It would come out steaming hot, go onto the table, and all you would hear is ‘wow!’ Imagine this food in 1985 – he was ahead of the curve.”

Lazos says the ideal qualities of a Sunset Grill franchisee are passion, patience, and personality: “Passionate about being there and running the show, personality to create a web of goodwill, and patience if you have a quiet day or week.”

The biggest benefits of running a Sunset Grill franchise, says Lazos, are the lifestyle it provides, thanks to the lack of late hours, and a good income, thanks to a high profit margin. The challenges facing franchisees, on the other hand, are rising labour and food costs.

The franchise offers two weeks of full-time training at the training store, with managers on-site for the first week after opening to ensure things run smoothly. Right now, there are 71 Sunset Grill franchises, with another 20 expected to open this year. The franchise can be found in Ontario and Alberta, with plans to branch out to the East Coast and California.

Learn more about Sunset Grill Franchise Opportunities

Humpty’s Restaurants International Inc.

When Humpty’s Restaurants International Inc. started out back in 1977, the restaurant was known as Humpty’s Egg Place, after the famous Humpty Dumpty himself, and served primarily breakfast. “We researched the breakfast market in Calgary, and found that it was very boring and usually ended at 11. Our idea was to be more creative. By 1982, we were serving breakfast 24 hours a day,” explains Don Koenig, President of Humpty’s Restaurants International Inc.

The restaurant became so successful that it started franchising in 1986 in Red Deer, Alberta. Koenig says the menu helps set Humpty’s apart. “We spend four months every year preparing for our next season, always trying to get as creative as possible.” In fact, there likely aren’t many places where you’ll find S’mores Pancakes or Banana Bread French Toast.

The franchise has evolved since then, and is now open from early in the morning until late at night. While Humpty’s serves all three meals, breakfast makes up 56 per cent of its sales.

The benefit of running a Humpty’s franchise location is the great return on investment it offers, while staffing is the biggest challenge. Koenig says personality, motivation, and passion are all key qualities for a franchisee to possess, and that while franchisees don’t need to have any restaurant experience, they should have some financial understanding, along with strong interpersonal and communication skills.

Seven weeks of training is provided, with four weeks in office and three weeks in the store, and area managers are always on call. Humpty’s is located mainly in Western Canada, with plans to expand to the Maritimes and smaller Ontario communities.

Learn more about Humpty’s Restaurants International Inc. Franchise Opportunities

Eggsmart

In 2008, Chairman Brands got that breakfast feeling. “We recognized a void in the market for a full service breakfast concept. We opened in Bowmanville [Ontario] with 60 seats, operated it corporately for a while, and then started franchising in 2011. We are a 7 a.m. to 3 p.m. (4 p.m. on weekends) full breakfast and lunch sit-down restaurant that offers great service and healthy breakfast and lunch options for an entire family,” says Steve Michalopoulos, VP of Brand Development.

Since then, business has boomed for Eggsmart, now with 45 locations in Ontario, the majority of which can be found in the Greater Toronto Area. The franchise is now moving into Alberta, with four franchised locations scheduled to open this year – three in Calgary, and one in Banff.

“What makes Eggsmart unique is that we use fresh ingredients and every plate is customized to the customer using high-quality ingredients,” says Michalopoulos.

Larry Santolini, VP of Franchising and Real Estate, says the biggest draw for an owner-operator is a single shift operation model which provides for a great work/life balance. “A lot of our franchisees are young people with families and children who don’t have to give up their existing life to own a business. As in any service-driven business, running an Eggsmart presents its own challenges. You have to work very hard to maintain the service provided at a high standard and please your guests.”

“You also get to be your own boss within a well-established system that provides support every step of the way and provides multi-unit growth opportunities,” adds Michalopoulos.

Ideal franchisees have a positive attitude and outlook, along with strong communication skills and work ethic, and restaurant experience is preferable, but not necessary, Training consists of a four-week training program in one of the established training stores, including two weeks in the kitchen, one week serving guests, and one week learning management functions. Corporate operational support is further available for several weeks before and after opening.

Learn more about Eggsmart Franchise Opportunities

Ricky’s All Day Grill

It all started in North Vancouver in 1962 with the opening of a pancake and chicken house called Ricky’s, famous for its buttermilk pancakes and breakfast specials. The company started franchising in 1987, and in 1997, Frank Di Benedetto acquired Ricky’s as the majority owner, CEO, and President. The company soon became Ricky’s All Day Grill, with the menu expanding to include full lunch and dinner, and the breakfast menu also growing to include favourite items such as Eggs Benedict and Brekkie Bowls.

There are now 87 Ricky’s All Day Grill franchise locations across Canada, mainly in Western Canada, with two in Ontario.

“Our number one focus has always been on our menu – we change it often, always introducing new flavours,” says Stacey Hansson, Senior Vice President, FDF Restaurant Brandz, the parent company of Ricky’s, noting that Ricky’s also serves raised without antibiotics (RWA) breakfast pork products.

The benefit of operating a Ricky’s franchise is that it offers breakfast, lunch, and dinner, with a wide variety of foods available to help appeal to everyone. “We have customers who came to us as children, visited us as teenagers, and now are bringing in their children and grandchildren,” says Hansson. “Our franchisees like having a Ricky’s, because they get to know their customers.”

Hansson says the franchise also offers a good work/life balance. “It’s for a high-energy person who is actively involved. You really have to like people.”

While franchisees don’t need cooking or serving experience, leadership is probably the most important skill to have on their résumé. “We can teach people to do a lot of things, but people with great leadership skills do really well,” says Hansson, noting that they also need to be involved in the community, and to follow the system.

The company offers a minimum of 12 weeks of training, and a training team comes in to train staff, as well. “When you’re learning, you don’t have to worry about training your staff,” says Hansson.

Learn more about Ricky’s All Day Grill Franchise Opportunities

Smitty’s Canada Limited

When you get involved with Smitty’s, “You’re joining the Smitty’s family,” says Chris Chan, President of Smitty’s Canada Ltd. “We’re not in the business of bringing in franchisees just to get franchisees. We look for people who have the same values as us. Like many of our existing franchisees, our families will be working with each other for hopefully 30 years and beyond.”

Smitty’s, which started out as a restaurant and a franchise in 1960 in Calgary’s Chinook Centre, now has 86 locations from Port Alberni, British Columbia to St. John’s, Newfoundland. Breakfast is served all day, and the restaurant also offers everything from pastas to steaks. The restaurant chain is anticipating the opening of four units in the Prairies and in the Maritimes in the near term, and plans to increase its presence in the interior of British Columbia and in Ontario.

Chan says there are many benefits to owning a Smitty’s franchise. “We’re a family-owned restaurant company with 57 years of experience operating successfully. Our brand and concept are very strong.” Challenges to running a Smitty’s location are heavy competition, government regulations, and labour costs, “But these challenges are offset by our established operating system, product mix, and terrific buying power,” says Chan.

“Restaurant experience isn’t necessary, but a positive outlook is paramount,” he adds. “If they come in with the right attitude, it will definitely work; we can train the necessary operational skills.”

Corporate training is offered at Smitty’s for two to three weeks, as well as at the franchisee’s location for the same amount of time during their initial opening. Franchisees can also choose to run turnkey or leased operations.

Chan says that for a Smitty’s franchisee to be successful, “We encourage our prospective franchisee partners to do their homework, ask lots of questions, and feel comfortable with the leadership of the company and the concept they’re buying into.”

Learn more about Smitty’s Canada Limited Franchise Opportunities


By Georgie Binks

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Q. How do I know if I’m using music properly? https://cfa.ca/franchisecanada/q-how-do-i-know-if-im-using-music-properly/ Thu, 09 Mar 2017 19:46:16 +0000 https://cfa-ca.flywheelsites.com/franchisecanada-2/?p=221 Music connects people, and many Canadian businesses big and small use the power of music every day to help build relationships with their customers. But many business owners don’t know whether they’re using music legally, and this can be a problem. In today’s transparent business world, it has become more...

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Music connects people, and many Canadian businesses big and small use the power of music every day to help build relationships with their customers.

But many business owners don’t know whether they’re using music legally, and this can be a problem. In today’s transparent business world, it has become more important than ever to ensure that your organization is on the right side of what has become an important issue to Canadian consumers.

Then there’s the matter of doing music properly. Even once all the legal bases are covered, there are a host of other considerations, including technical difficulties, getting agreement on what type of music is best, and keeping a “sound” for the brand that will complement, but not overpower core brand messaging.

Here are a few statistics on the importance of music and its use in businesses across Canada:

  • Three-quarters of Canadians feel that the music businesses play impacts their brand, and
  • 84 per cent agree that playing the right music can be beneficial to a business (Leger 2015).
  • 87 per cent of Canadians agree that they would prefer to patronize businesses that support musicians by using music legally and ethically (Re:Sound 2015).
  • More than two thirds of Canadians (68 per cent) agree the atmosphere created by music impacts their decision to return to or recommend a restaurant (2015 SOCAN/Leger).

 Now, here are some tips to help you use music in a business setting:

Using the radio, Sirius XM, or a streaming service like Spotify, Apple Music or YouTube.

Regular AM/FM radio is fine, but that’s it. You are not permitted to use other services for your business unless you are specifically paying that company for a “music service for businesses.” With AM/FM radio, remember that each station is geared toward a very broad demographic, which is unlikely to closely match the one in your place of business.

Adding music as a business expense, when customers won’t know whether you’re paying for music.

Think of the small fees of a music service the same way you think of insurance – the cost certainty of a nominal fee that precludes the likelihood of an event much costlier to your business.

Playing your own commercials or existing creative.

This is something you can do, as long as you have a system and a music supply service that facilitates this. With some of the great audio recording technologies available today, in-store radio can be a much richer experience for your customers than it was in the past.

Music’s contribution to the bottom line.

Canada’s two main organizations for licensing music in businesses (SOCAN & Re:Sound) publish regular reports on the value and use of music. The best thing to do is test. With the right tools, it can be quite simple to run some simple A/B testing with different music environments to achieve a mix that delivers demonstrable bottom-line results.

Deciding between hardware-based and internet streaming solutions.

Hardware-based solutions are more traditional, and tend to be considered more reliable than streaming solutions. The downside is that an element of control is given up, and updating content can be more challenging. Internet-based solutions usually have a much broader range of options in terms of both control and measurement/analytics, but require a reliable internet connection. Many solutions are a hybrid of the two systems, using web-based technologies to affect greater control and measurement, but with a “back-up” physical component.

The importance of sound quality in a busy environment.

Broadly speaking, two factors affect the quality of the sound: the sound source (e.g. quality of receiver or stream, bitrate of song files) and the hardware delivering the sound. If you’re considering an upgrade, make sure that you take both into account.

Carrying music over into the existing marketing and/or digital brand initiatives.

There are many creative ways to incorporate music more into your brand, including bringing in live music to your location(s), partnering with artists on brand promotions, and using your social media channels to talk about what’s playing in-store. Because of the powerful emotional connection created by music, the engagement rate with promotional activities can be higher, making the associated campaign that much more effective.

The next time you hear a song you love, think about how it makes you feel. Then, think about the value of each and every one of your customers sharing that feeling while experiencing your brand. It’s worth putting in the time and effort to do it properly.

Greg Nisbet

Founder & CEO

Mediazoic

 

 

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Q. Why do I need a franchise lawyer? https://cfa.ca/franchisecanada/q-why-do-i-need-a-franchise-lawyer/ Thu, 09 Mar 2017 19:41:56 +0000 https://cfa-ca.flywheelsites.com/franchisecanada-2/?p=219 In some provinces in Canada, there are specific laws that govern franchising, both in the relationship between franchisor and franchisee, and in the way in which franchises are sold. Non-compliance with these franchise laws can have drastic and costly consequences, and a franchise lawyer will assist you in compliance with...

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In some provinces in Canada, there are specific laws that govern franchising, both in the relationship between franchisor and franchisee, and in the way in which franchises are sold. Non-compliance with these franchise laws can have drastic and costly consequences, and a franchise lawyer will assist you in compliance with the relevant franchise laws.

Currently, six provinces (Alberta, British Columbia, Manitoba, New Brunswick, Ontario, and Prince Edward Island) have legislation that govern over franchised businesses.

There are four common features to these province’s laws:

  1. requiring that franchisors provide pre-sale franchise disclosure to prospective franchisees, through a “franchise disclosure document”;
  2. imposing on all parties to a franchise agreement a duty to act in good faith;
  3. providing to franchisees a right to associate; and
  4. mandating that a small number of legal requirements will apply to all franchise agreements.

The franchise disclosure document, or FDD, is a comprehensive document that contains every material fact a prospective franchisee might want to know prior to investing in a franchise. This is one of the areas wherein a franchise lawyer traditionally provides assistance to its franchise clients; both in drafting the FDDs for franchisors and in interpreting them and providing independent legal advice for franchisees. The purpose of the FDD is to help a prospective franchisee make an informed decision prior to their investment. The law in all of the provinces with franchise legislation mandates a 14-day cooling off period after delivery of the FDD to provide franchisees with ample time to review the FDD. During this time, a franchisor cannot accept any payment of any kind from the prospective franchisee, nor can they sign any franchise or related agreement.

How do I know if these laws apply to my business?

If your business fits within the definition of a “franchise” under the legislation, and operates partly or wholly in a province with franchise legislation, then the franchise laws will apply to your business. According to Ontario’s franchise legislation, one type of franchise involves the right to engage in a business where the franchisee is required by contract or otherwise to make a payment or continuing payments to the franchisor in the course of operating the business. Further, the franchisor grants the franchisee the right to sell or distribute goods or services that are substantially associated with the franchisor’s trademark, service mark, trade name, or other commercial symbol, and the franchisor exercises significant control over, or offers significant assistance in, the franchisee’s method of operation. If some or all of these elements are present in your business, franchise laws may apply.

What happens if I don’t abide by the franchise laws?

If a franchisor sells a franchise and does not provide a FDD, the franchisee may rescind the franchise agreement without cause, obligation or penalty within two years after entering into the franchise agreement. If the franchisor disputes the fact that the franchisee has an entitlement to rescind, costly litigation often ensues. If a rescission claim is successful, the franchisor must:

  • Refund to the franchisee any money received from the franchisee, aside from money for inventory, supplies, and equipment
  • Purchase remaining inventory, supplies, and equipment that the franchisee was obligated to purchase
  • Compensate the franchisee for any losses incurred in acquiring, setting up, and operating the franchise

What if a franchisor delivers a FDD, but it does not comply with the legislation?

The legal requirement is that the FDD must include all prescribed materials and any and all material facts about the franchise being offered. Further, the FDD must be delivered within certain prescribed time periods and in certain prescribed methods. If any of these obligations are not followed, but the FDD is delivered nonetheless, a franchisee may potentially rescind the franchise agreement no later than 60 days after receiving the FDD. The same consequences as mentioned above for rescission would apply.

It should be noted that courts to date have not hesitated in finding a materially deficient FDD to amount to no disclosure at all; that is, the error or omission was so important that it was as if no FDD was provided at all. This would have drastic results, as it would engage the two-year statutory right of rescission, as opposed to the 60-day statutory right of rescission. Clearly, compliance with disclosure obligations is crucial.

As you can see, there can be serious consequences for not complying with franchise laws, and the importance of a franchise lawyer for your business should not be understated.

While this article should provide you with certain important information, it cannot be considered a complete substitute for a more thorough evaluation and discussion of your situation. The information contained herein is not legal advice.

Noah Leszcz
Associate, Business Law and Franchise Law Groups
Cassels Brock & Blackwell LLP

The post Q. Why do I need a franchise lawyer? appeared first on Franchise Canada.

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