The success of the franchising route for business growth is familiar to all. The ubiquitous MacDonald’s or Subway or a Burger King at every corner is now a highly visible part of urban business activity.
These and other huge national and multinational franchises, with High Street frontage for a variety of products and services, dominate commerce in our towns and cities.
What is a franchise?
A franchise is best described as the permission given by the person/organisation who has developed a successful product, brand and management systems (the franchisor) for another person (franchisee) to replicate the product, brand and management systems in other locations, locally, nationally or internationally.
Several well-known Swansea companies includ-ing Goose Island, Pisys.net and La Baguette du Jour, have successfully set up such franchises, but it is important to have expert advice and super-vision when venturing into the complex commercial and legal procedures that franchising demands.
Multiples and chain operations
Franchises should not be confused with chain operations like M&S or Tesco which have wides-pread national/ international branches and out-lets but are centrally controlled both in manage-ment, product, and financial terms.
There are also relatively unknown small business-to-business franchises which satisfy the more adventurous entrepreneur to venture into business by harnessing the marketing and management expertise of a franchisor.
Franchising to grow your business
The true franchise is a successful operation that sells its brand name, products, marketing and management systems, and trading expertise as a package for the franchisee to operate as an independent business.
This lucrative business growth method has been revitalised by accredited franchising expert Darren Davies of Swansea legal firm Hutchinson Thomas. Based in Langdon House in SA1’s Langdon Road, Darren sees that there is a gap in the specialist area of franchise law, and feels that well-established small and medium sized busi-nesses should investigate the potential of expand-ing their operations using the franchise route.
Says Darren, “At Hutchinson Thomas we have recognised that many successful local businesses would find franchising to be a logical method for business expansion and growth and we are happy to help them in developing this possibility—-particularly as we have received recognition in this field from the British Franchising Association after a rigorous accreditation process. We also offer the property and employment law expertise required for a franchise operation.
“Hutchinson Thomas invites interested businesses to an initial eligibility consultation at no cost or commitment.”
Hutchinson Thomas Solicitors & Notaries Public Suite 9B Langdon Road, Swansea SA1 8QY
Tel: 01792 439000 www.hutchinsonthomas.com