“Franchising is the fastest way to start your own business,” said Famous Brands CEO Kevin Hedderwick at the Standard Bank Franchise Business Breakfast on Tuesday (20 October 2015).
“Franchising is going into business for yourself but not by yourself,” he said.
Hedderwick and the rest of the panel of franchising experts discussed the pros and cons of franchising at Cape Town’s Table Bay Hotel in the V&A Waterfront.
Useful advice to keep in mind
Famous Brands’ famous CEO had a number of tips for would-be franchisees to keep in mind:
South Africans are used to “table service”.
Famous Brands looks for entrepreneurs who dream.
They look for people “who have done the hard yards”.
Do you – as potential franchisee – fit the personality of the brand?
As a franchisee you must “get in the kitchen and do your homework”.
You must have a business plan.
- Pizza is the best category to be in (Debonairs is “exploding”).
Getting finance (and alternatives if you struggle)
Franchise fees depend on business models and the maturity of the brand.
Standard Bank’s Ethel Nyembe said that they are, despite the tepid economy, still funding appropriately.
“We’ll also consider co-funding with, for example, the DTI,” she said.
If you have your heart set on becoming a franchisee, but you can’t secure funding, consider training as a franchise manager first.
“We have a number of franchise managers who now own their own franchises,” said Hedderwick.
Learn more (and download the FREE EBook)
Click here to learn more about franchising, the trends shaping the market and how these may affect your business.
By following the link above you’ll get access to a FREE download of Standard Bank’s Franchising EBook.
The Franchising EBook contains the following (and more):
How to buy your first franchise.
What to consider when franchising your business.
Advice from franchising experts.
Advice from franchising entrepreneurs.
- The latest trends in franchising.
(CapeTalk filmed this informative event. We're busy editing - we'll have the video embedded in this article soon.)
Check out the tweets and photos from the event:#SBBreakfast Tweets