[GB Window Cleaning]

So i was thinking about the franchise thing. Id just like to learn more about it... Who is the guy "ian" on here who sells them? 

Cheers

[windiewasher]

why?you have built a business up mate.
You will pay franchise fees plus tax and you will be left with half of your earnings.

[groundhog]

why?you have built a business up mate.
You will pay franchise fees plus tax and you will be left with half of your earnings.

Exactly!!

[formb]

I think you mean 'selling a franchise' surely?

[supernova77]

I think he means buying the franchise "package" from Ian Lancaster...

[GB Window Cleaning]

I think he means buying the franchise "package" from Ian Lancaster...

yeah ian lancaster

im not selling my business im just interested as to the benifits really!

cheers

[Dani J]

I think he means buying the franchise "package" from Ian Lancaster...

yeah ian lancaster

im not selling my business im just interested as to the benifits really!

cheers

Why don't you just contact him ?

[groundhog]

I think he means buying the franchise "package" from Ian Lancaster...

yeah ian lancaster

im not selling my business im just interested as to the benifits really!

cheers

There aren't any, unless you are brand new to this business, have no customers or equipment, and haven't got a clue how to go about it!! Then if you are lazy and have plenty of money, then you get everything done for you, only snag is.. you still have to go out and clean windows!!!

[Ian Lancaster]

im just interested as to the benifits really!

cheers

Some of the benefits to Franchisors (the ones selling the franchises) are:

Usually don't need to take out any finance no matter how large the business grows because:

No vehicles or equipment to buy or maintain

No employers liability insurance

No wages to pay/tax or NI to deduct

Don't have to pay for sickness or holidays

Won't be liable when workplace pensions are extended to every employer

Can't be taken to employment tribunals

Don't have to keep detailed daily records of work due/done etc (Using the Aworka system, the Franchisee maintains these records)

No payments to collect/no chasing overdues (unless requested by the Franchisee)

Each Franchise is a separate business, so they don't need to register for VAT until their own turnover exceeds the limit - same for the Franchisor, only the income received from the Franchisees plus any actual window cleaning the Franchisor does himself counts towards the VAT limit.

These are just a few - think of all the headaches of employing, the probability is that a Franchisor won't have them

[Perfect Windows]

im not selling my business im just interested as to the benifits really!

There aren't any, unless you are brand new to this business, have no customers or equipment, and haven't got a clue how to go about it!! Then if you are lazy and have plenty of money, then you get everything done for you, only snag is.. you still have to go out and clean windows!!!

That's one take on it.

Another might be the example of our first franchisee who started last Tuesday.  Nine working days later his round is over 1/3 full (with a bundle of work to be added tonight and tomorrow as I get time on Aworka).  Additionally, both in order to keep him busy and to catch up the backlog I've built up while working with him, he's doing some of the cleans on my round.  He's anything but lazy (he's cleaning more than I ever did in my first six months) and he's financially way ahead of where he would be otherwise.  No working out what goes on leaflets, how to get them out, what equipment to buy, where to get uniforms, etc, etc, etc, no knocking on doors, no finding the right insurer, pole supplier, signwriter or embroiderer.  No driving the van to get kit fitted.  All he's had to do is clean.

Vin

[DG Cleaning]

I can see why someone in low paid work who doesn't want the stress and hassle of building a business would buy a franchise.
 It wouldn't be for me it would drive me mad having to pay a percentage to someone.
Do the franchisor's on here have problems with franchisees a couple of years down the line when they have learnt more about the businesses and feel more confident of going it alone or start to resent paying franchise fees?

[Ian Lancaster]

Do the franchisor's on here have problems with franchisees a couple of years down the line when they have learnt more about the businesses and feel more confident of going it alone or start to resent paying franchise fees?

We've got franchisees who have been with us since 2006.  We had one who decided to break his contract and try to carry on cleaning our customers without paying any royalties.  We took him to court and after about 18 months got a CCJ against him for damages and outstanding royalties due.  He has now disappeared off  the face of the earth and we are in the process of recouping our lost customers.  We make it very clear from the start to all applicants that they can never own their businesses outright.  We tell them if they want to 'go it alone', they can either sell or resign their contracts and then go and start from scratch somewhere at least 10 miles from our area.  They are forbidden under the terms of the contract they signed to contact anyone they know to be customers of ours regardless of how far away they are.

None of our other franchisees have taken the option to sell and go it alone, even though they could get a very good price and they now know how to run the business.  The prospect of starting again with nothing, and having to acquire customers themselves with no help is very daunting.

[DG Cleaning]

Do the franchisor's on here have problems with franchisees a couple of years down the line when they have learnt more about the businesses and feel more confident of going it alone or start to resent paying franchise fees?

We've got franchisees who have been with us since 2006.  We had one who decided to break his contract and try to carry on cleaning our customers without paying any royalties.  We took him to court and after about 18 months got a CCJ against him for damages and outstanding royalties due.  He has now disappeared off  the face of the earth and we are in the process of recouping our lost customers.  We make it very clear from the start to all applicants that they can never own their businesses outright.  We tell them if they want to 'go it alone', they can either sell or resign their contracts and then go and start from scratch somewhere at least 10 miles from our area.  They are forbidden under the terms of the contract they signed to contact anyone they know to be customers of ours regardless of how far away they are.

None of our other franchisees have taken the option to sell and go it alone, even though they could get a very good price and they now know how to run the business.  The prospect of starting again with nothing, and having to acquire customers themselves with no help is very daunting.

Thanks Ian

[Dani J]

Do the franchisor's on here have problems with franchisees a couple of years down the line when they have learnt more about the businesses and feel more confident of going it alone or start to resent paying franchise fees?

We've got franchisees who have been with us since 2006.  We had one who decided to break his contract and try to carry on cleaning our customers without paying any royalties.  We took him to court and after about 18 months got a CCJ against him for damages and outstanding royalties due.  He has now disappeared off  the face of the earth and we are in the process of recouping our lost customers.  We make it very clear from the start to all applicants that they can never own their businesses outright.  We tell them if they want to 'go it alone', they can either sell or resign their contracts and then go and start from scratch somewhere at least 10 miles from our area.  They are forbidden under the terms of the contract they signed to contact anyone they know to be customers of ours regardless of how far away they are.

None of our other franchisees have taken the option to sell and go it alone, even though they could get a very good price and they now know how to run the business.  The prospect of starting again with nothing, and having to acquire customers themselves with no help is very daunting.

What water tight system :-) thanks for the input Ian.

[GB Window Cleaning]

THankyou everyone fo rall your great advice! its most appreiciated!

Regards

George