The franchise community, media, politicians, regulators and others are starting to understand the importance of measuring outcomes in franchising as a basis with which to understand a brand’s performance. Outcomes measures have been led by lenders who assumed that a franchise system’s credit risk could, in large part, be predicted by measuring specific outcomes. Terms […]
Franchisee or Prospective Franchisee Financing: There are ONLY 2 Questions! Can my prospect get financing? This is the only question that you as a franchisor have when it comes to financing. While this sounds very self-serving, it is true. How often do you feel disheartened with dampened hopes after hearing a bank speak about their […]
Adopting NASAA Standard of Franchise Names and Definitions Last September the North American Securities Administrators Association’s (NASAA) released their multi-unit commentary whose goal is “to provide practical guidance for disclosing certain multi-unit franchising arrangements that have become common in franchising but that are not specifically addressed under NASAA’s 2008 Franchise Registration and Disclosure Guidelines or […]
The banking industry is increasing its conventional business lending activity. Since the recession they have focused on lower risk businesses, which translated into larger businesses with good track records. More recently they have been expanding their focus to smaller businesses with less experience. Concurrently, we have seen the rapid expansion of alternative lenders, led by […]
Throughout my career, I have observed that a strong alignment of interests between two business parties usually leads to good outcomes for both. All franchisors with any marketing savvy will say they are aligned with their franchisees. What is the evidence that a brand walks the talk? There are many indicators. To start, there is […]