canadian franchising magazine 2#1

52
LATEST NEWS FINANCIAL ADVICE FROM THE BANKS TOP LAWYERS’ ADVICE Franchising www.canadianfranchisemagazine.com CANADIAN SUPPLIER FORUM $5.95 ISSUE 2#1 - 2015 THE MAGAZINE FOR FRANCHISEES FOOD GLORIOUS FOOD MAIN FEATURE VERA’S BURGER SHACK AIMS TO GO FROM BEACHSIDE TO COUNTRYWIDE FINANCIAL MANAGEMENT KEEPING IN TOUCH

Category:

Documents


5 download

DESCRIPTION

Canadian Franchising Magazine is a Quarterly consumer and trade publication bringing you all the latest News, Expert Advice, and Franchise Opportunities in Canada.

TRANSCRIPT

Page 1: Canadian Franchising Magazine  2#1

Canadian Franchising

Page 1LATEST NEWS FINANCIAL ADVICE FROM THE BANKS TOP LAWYERS’ ADVICE

Franchisingw w w. c a n a d i a n f r a n c h i s e m a g a z i n e . c o m

c a n a d i a n

SUPPLIERFORUM

$5.95

is

su

e 2#

1 -

2015

T H E M A g A z I N E F O R F R A N C H I S E E S

Food glorious Food m a i n f e at u r e

Vera’s Burger shack a i m s t o g o f r o m

B e a c h s i d e t o c o u n t r y w i d e

Financial ManageMent K e e p i n g i n t o u c h

Page 2: Canadian Franchising Magazine  2#1

Page 2

COOL BRAND,HOT FRANCHISEOPPORTUNITIESBaskin-Robbins has existing shops available for franchising in Toronto and throughout Canada,

• Delicious and innovative products that create a loyal customer following

• Convenient operating hours

• Store design flexibility from traditional shops to kiosks

New franchise territories are also available - just ask!

ICE CREAM & FROZEN TREATS CATEGORYEntrepreneur Magazine 2015 Franchise 500

#1

LEARN MORE ABOUT OPPORTUNITIES THROUGHOUT CANADAContact Brian Savage, CFE, Business Development Manager, at

847-341-7619 or [email protected]

© 2015 BP IP Holder LLC

Page 3: Canadian Franchising Magazine  2#1

Page 3

Canadian Franchising

CANADiAN FRANCHisiNG VOLuMe 2, issue 1 MARCH 2015

president: Colin Bradbury. [email protected]

publisher: Vikki Bradbury. [email protected]

editorial department: [email protected]

national accounts Manager advertising Kimberly Kutnick. [email protected]

production: Candice Larson. [email protected]

design: Jejak Graphics. [email protected]

cover iMage: vera’s burger shack

cgb publishing

676 Wain rd.

sidney, bc

v8L 5M5 caNaDa

www.canadianfranchisemagazine.com

Proud member of the IFa:

International Franchise association

1501 k street, N.W., suite 350

Washington, D.c. 20005

Phone: (202) 628-8000

Fax: (202) 628-0812

www.franchise.org

The information and contents in this publication are believed by the publisher to be true, correct and accurate but no independent investigation has been undertaken. Accordingly the publisher does not represent or warrant that the information and contents are true, correct or accurate and recommends that each reader seek appropriate professional advice, guidance and direction before acting or relying on all information contained herein. Opinions expressed in the articles contained in this publication are not necessarily those of the publisher. The publication is sold subject to the terms and conditions that it shall not be copied in whole or part, resold, hired out, without the express permission of the publisher.

Welcome to the latest issue of Canadian Franchising. In this issue we cover a wide range of topics to help you the Potential Franchisee on your journey to Entreprenurship.“Food Glorious Food “ is the theme of this issue with our regular Main Feature in which we look at some of the many options available to you, Food Trucks, Cafés, Restuaruants, Bakeries, or even Retail the list is endless if you chose this type of Franchise system.

Lori Karpman takes us a little deeper into the Food industry with her Expert advice on buying a Restaurant Franchise.

On the Cover we have Vera’s Burger Shack, who has come a long way since it started as a seasonal concession stand on the beach in West Vancouver. You can read more on them by going to page 10.

Another Franchise that started from small beginnings is Fired- Up Pizza who you can see focused in this issue,

F R O M T H E

Publisher

SUPPLIERFORUM

we also Focus on the well known brand Baskin Robbins along with Z-teca a Canadian Success Story.

We have some great Expert advice from some of the top names in the industry such as Joseph Pasini from the Bank of Montreal, Edward (Ned) Levitt from Dickinson Wright, David Banfield from Interface Financial, Wayne Mallit from Franchise Specialists and last but by no means least Mike Cordoba from Mr Mikes offers Branding tips for Franchisees.

I hope you enjoy reading this issue and I look forward to hearing your comments.

Happy Reading

Vikki Bradbury Publisher

Franchisingw w w. c a n a d i a n f r a n c h i s e m a g a z i n e . c o m

c a n a d i a n

T H E M A g A z I N E F O R F R A N C H I S E E S

“Whatever you can do, or dream you can do, begin it. Boldness has genius, power and magic in it!” - Goethe.

Page 4: Canadian Franchising Magazine  2#1

Page 4

On the Cover10 Cover Story Vera’s Burger Shack

26 Food glorious Food

14 Financial Management – Keeping in Touch Joseph Pisani, Bank of Montreal

40

In Every Issue06 Canadian Franchising News Industry news from across the country

26 Feature Article Food and Franchising

42 Book Review Wayne Maillet, Franchising Demystified

50 Franchising and Services Directory

contentsmarCh - may 2015

Profile

18 Lice Squad

Spotlight on Service

46 Franchise gator

24

14

fran

ch

sin

g u

sa

ca

na

dia

n fra

nc

his

ing

Page 5: Canadian Franchising Magazine  2#1

Canadian Franchising

Page 5

On the Cover10 Cover Story Vera’s Burger Shack

26 Food glorious Food

14 Financial Management – Keeping in Touch Joseph Pisani, Bank of Montreal

Focus

16 Baskin Robbins

22 z-techa

32 Fired Up Pizza

Profile

18 Lice Squad

Spotlight on Service

46 Franchise gator

Expert Advice

12 Why Franchise Your Business Edward (Ned) Levitt, Dickinson Wright

14 Financial Management – Keeping in Touch Joseph Pisani, Bank of Montreal

20 What to Look for When Buying a Restaurant Franchise Lori Karpman, Lori Karpman & Company

24 Top Ten Mistakes to Avoid as a Franchisee Wayne Maillet, Canadian Franchise Management Consultant

30 Work, Learn, Save, Plan Mohamad Fakih, Paramount Fine Foods

34 Who Says You Can’t Teach Old Dog New Tricks Bill Redfern – A Buyers Choice Home Inspections & iCare.

40 You Made it, You Sold it – Now Fund it David Banfield, The Interface Financial group

44 How To Rebrand Your Franchise Mike Cordoba, Empresario Capital

48 Importance of Location Jeff grandfield & Dale Willerton, The Lease Coach

22

20

16

Franchisor in Depth

36 Sherpa Kids

Page 6: Canadian Franchising Magazine  2#1

Page 6

what’s new!extreme pita “FrEsh” and ComPEtItIvEThe sandwich category has become a commodity among QSRs in Canada.

In order to stay “fresh” and competitive, brands need to regularly refresh themselves. Extreme Pita began with a new logo, new uniforms and new store design. It is now time for a fresh new menu experience. The menu isn’t completely new, many of our guests’ favourites remain. There are some improved recipes, items have been removed, and some new items have been added, like our BBQ Chicken and Bacon flatbaked pita, or the tasty Grilled Chicken and Goat Cheese signature pita.

The design of the menu has also changed to improve the guest experience making it easier for them to understand our product in the “blink of an eye,” increase beverage and combo sales and improve speed of service. Extreme Pita is looking forward to successful results following the launch of the new menu March 30th 2015.

For more information contact 905.762.4711 | [email protected]

ca

na

dia

n fra

nc

his

ing

Miracle Method, the worlds largest kitchen & bath surface refinishing company, recently congratulated franchise owner Ryan Gladhill for being the first to receive their Platinum Level Award, achieved by surpassing $2 million in annual sales.

Gladhill is a multi-unit owner with franchises in Maryland, Pennsylvania, and South Carolina. Ryan also set a record for the largest single job by refinishing over $700,000 in tubs, tile, and vanities for a housing project in New Jersey.

2014 was another record year for the Miracle Method franchise network, partly due to the explosive demand from commercial customers. “Hotels,

universities, military, and senior living centers are discovering the benefits of repairing and refinishing bath and kitchen fixtures instead of ripping out and replacing,” said Chuck Pistor, President of Miracle Method. “When we can save our customers up to 75% over replacement costs, and complete most jobs in just a few days, refinishing simply makes the most sense!”

Miracle Method opened 17 franchises in 2014 and already has several slated to open in early 2015. Pistor is enthusiastic about the upcoming year, saying, “With the increasing demand, we plan on opening 20-25 franchises in 2015. This is still a ground floor opportunity with many major markets available. Now is the perfect time to join the team.”

miracle method FranChIsEEs ContInuE to sEt salEs rECords

Visit www.miraclemethod.com for information or call John Tubiolo, VP of Franchise Development, at 1-877-434-5096

Page 7: Canadian Franchising Magazine  2#1

Canadian Franchising

Page 7

Realstar Hospitality, franchisor of the Days Inn, Motel 6 and Studio 6 brands in Canada, has expanded its portfolio with the opening of its latest newly constructed franchised property in northwestern Ontario, Days Inn - Sioux Lookout.

A first for the brand in Canada, the

hotel rooms are constructed using prefabricated modular units based on steel shipping containers. The completed design uses 120 containers that were retrofitted into bedrooms, shipped by truck and simply interconnected on site. Once assembled, this 60 room shipping container based modular hotel is virtually

realstar hospitality has ExPandEd Its PortFolIo

indistinguishable from a conventional site constructed building.

“The method used to construct this hotel demonstrates the commitment our franchisees have to productivity and innovation. Without this technique, it would not have been possible to cost effectively build a hotel on the site,” said Irwin Prince, president & coo, Realstar Hospitality. “With great opportunities for continued development in a multitude of markets across the country, Days Inn - Sioux Lookout is a highly anticipated addition to our portfolio of hotels.

Liquid Capital has set itself above the crowd in the franchising space. Liquid Capital is a Canadian company that offers a unique opportunity for Entrepreneurs at heart. In fact, they are the only franchise in the factoring and trade financing industry.

Factoring, at its essence, is the purchase of corporate accounts receivable which allows small business owners who don’t yet qualify for traditional funding to have access to their capital immediately, while still being able to extend terms to their customers.

Liquid Capital began franchising in Canada in 2000. The company expanded into the U.S. in 2005, and is now a global

brand with almost 100 franchisees throughout Canada, the U.S., Mexico, and Hong Kong. They attribute their success to a unique business model that allows its franchisees to work from a home-based office, and earn a substantial income while helping small businesses flourish.

“We are selective to who we award franchises to,” says Brian Birnbaum, Liquid Capital’s President and co-founder. “By continuing to select the right franchisees whose business values are aligned with ours, we believe the successes we have enjoyed so far will continue, and Liquid Capital will continue to be a leader in trade financing solutions.”

hElPInG busInEss GroW

Liquid Capital Canada Corp. is a global brand in premier B2B franchises. It is the first franchise to receive the Franchise Research Institute “World Class Franchise Award” for 11 consecutive years. Bond has confirmed Liquid Capital as one of the 100 top franchises in the world and the Canadian Franchise Association has presented Liquid Capital with the “Franchise Choice Award” three consecutive years.

For more information, please contact Michael Peterson at 1-844-547-8434 [email protected]

Page 8: Canadian Franchising Magazine  2#1

Page 8

what’s new!

ca

na

dia

n fra

nc

his

ing

UCMAS is a child development program based on Mental Math and the Abacus that boosts brainpower in children aged 4-13.

Along with strengthening math skills, the UCMAS approach promotes whole brain development and establishes foundational building blocks like memory, concentration, creativity and problem solving – core skills that inspire greater confidence and success in all subject areas and in life. The program equips children with the skills they need to improve overall academic achievement and to confidently meet life’s challenges and achieve greatness.

Pioneered in 1993 in Asia, the program which is based on the ancient abacus tool, combines the integrated thinking and motoring functions from both the left hemisphere (logical side) of the brain and the right hemisphere (abstract side). In Canada, the program was established in 2004 and is delivered through 55 UCMAS centres, spread across 4 provinces. Over one million children from about 5,500 UCMAS Centres worldwide have benefited from the program to discover the Genius within.

Typically parents enrolling their kids in the UCMAS Program are looking to address one or more of the following:

• Challenge their child • Develop focus and attention • Improve math grades • Stimulate brain development• Boost academic capabilities

www.ucmas.ca

buIldInG lIFElonG

skIlls For suCCEss

Canadians love hockey, but being on the ice for 250 hours could be a little much for even the most diehard Canuck. For the team at RAMMP Hospitality Brands, the owner of the MR MIKES SteakhouseCasual franchise, however, it was worth it.

The 10 person team volunteered their time as referees and supplied a breakfast of mikeburgers to participants at the World’s Longest Hockey Game, held in Edmonton from Feb 6-16. The Guinness World Record breaking event raised $1.1 million dollars for the Alberta Cancer Foundation.

With a total of 40 players at the 250

hour event, plus support staff on around the clock, there was no shortage of hungry mouths to feed. “We were blown away by how the community rallied,” said Robin Chakrabarti, Co-Owner of RAMMP, who spearheaded MR MIKES’ support alongside RAMMP staff volunteers. “One of our local franchisees volunteered as a referee and even got to give former NHL player Janne Ninimaa a penalty.”

RAMMP sponsored the game and served up free Mikeburgers for players, and nearby MR MIKES locations in Slave Lake, Bonnyville and Edmonton donated $1 from the sale of every Mikeburger to the charity throughout the event.

ovErtImE For a Good CausE

Page 9: Canadian Franchising Magazine  2#1

Canadian Franchising

Page 9

We recently added several new products to our Pop Up displays product line. Our reseller network is now able to purchase several new, larger Pop Ups, in three product lines which feature higher-quality improvements.

Pop Up Straight Fabric products utilize easy-to-snap aluminum criss-cross frames, and are available as table displays and floor-standing models in six sizes from 2.5’ x 2.5’ to 12.2’ x 7.4’. All models are available with or without sides, and printed on Multisol® X FR, a wrinkle-free, opaque-knitted polyester with a slight stretch.

The Pop Up Curved Fabric line utilizes curved aluminum criss-cross frames to create an inviting feeling at trade shows. Featuring four floor-standing displays in sizes from 5’ x 7.4’ to 12.2’ x 7.4’, and a 7.4’ x 5’ table display model, these displays are available with or without sides, and printed on Multisol® X FR.

The newest Pop Up displays addition, Pop Up Magnet displays use magnets to connect the frame, and hooks on top of prints to make it easier to line up panels. The print also connects magnetically, and is printed on PVC Opaque 20ml; a high-impact strength PVC that’s lightweight and tear resistant.

Find these and other advertising displays at www.texvisions.com.

thE WaIt Is ovEr

Pinot’s Palette, the fastest-growing franchisor of paint and sip studios in the United States, is now expanding internationally with the signing of a master license agreement for as many as eight studios in Toronto and the Niagara Region over the next six years.

Chad M. Smith and Canadian native Joanne Christena Smith are the master franchisees and they are no strangers to Pinot’s Palette, with two Pinot’s Palette studios in Connecticut and New York. The husband and wife team plans to expand the international business quickly, opening their own Canadian locations as

pinot’s palette sIGns FIrst IntErnatIonal FranChIsE aGrEEmEnt

well as awarding franchise opportunities to qualified investors.

“This is an exciting day for Pinot’s Palette,” said President Charles Willis, who, with Co-founders Beth Willis and Craig Ceccanti, launched the first Pinot’s Palette studio in 2009. “When we opened our first studio we never imagined that barely five years later we would be expanding internationally.”

Willis said additional international expansion is planned through future master license agreements. Specifically, Pinot’s Palette is targeting the Canadian provinces of Ontario, Quebec, Manitoba, Alberta and British Columbia, as well as Mexico, Australia and the United Kingdom for international growth.

The company is currently targeting qualified master license candidates with a net worth of at least $750,000.

More information about international

franchising opportunities with Pinot’s

Palette can be requested at

www.pinotspalette.com/international.

Page 10: Canadian Franchising Magazine  2#1

Page 10

bottle caps, roasted garlic , and smoked white cheddar ,among others. They feature Limited Time Offer Specialty Burgers, fresh cut double-fried french fries made from Kennebec potatoes, plus several sizing options to satisfied all hungers – from slightly peckish to ravenous, and all points in between.

One of the main driving forces behind Tritt’s decision to buy the business was his love of the freshly made burgers he first sampled at Vera’s stand-alone beachside shack back in the 80’s.

“I just loved the burgers,” Tritt said during a recent interview from the Vera’s headquarters in Vancouver. “ They tasted so freshly home-made, and better than any other burgers I had eaten. I really believed, and still do, that there is an opportunity to share this awesome food with more and more burger lovers across North America.”

Tritt’s plans for expansion coincided with the high-end burger craze in Vancouver in the early 2000s. This trend saw the entry into the market of a lot of competition in the form of both large American chains and small, independent shops all trying to cash in on people’s new-found love of gourmet quality burgers. As Tritt points out, despite the heavy competition, Vera’s did a lot more than hold its ground; Vera’s established itself as the quintessential BC burger experience, consecutively winning awards for Vancouver’s Best Burger for over a decade in various polls throughout the Lower Mainland.

co

ver stro

y Vera’s Burger shack A I M S T O g O F R O M

B E A C H S I D E T O C O U N T R Y W I D Evera’s burger shack has come a long way since it started as a seasonal concession stand on the beach in West vancouver in 1977.After being purchased by Gerald Tritt and Noah Cantor in 2000, the humble burger shack now boasts 16 year-round outlets, fourteen of which are franchised.

After purchasing Vera’s from the original owner, Vera Hochfelder, the pair began franchising in 2005. Fifteen of the outlets are in the Lower Mainland of British Columbia and one is in Ontario, in the

nation’s capital.

Tritt describes Vera’s as a ‘fast casual’, high-end burger chain that has a broad menu including burgers, hot dogs, fries, onion rings, sweet potato fries, jalapeno bottle caps and a bevy of other mouthwatering menu items.

The pair are equally passionate about continuing the original Vera’s commitment to quality. This is why they only use the best ingredients, making their own burger patties fresh daily on site, seasoned with their own proprietary spice mix.

The chain offers over 1,000 burger combinations given their extensive “flavour shot” options including pico-guacamole, fried mushrooms, jalapeno

“We’re prepared to go right across the country, we’ve got master franchise territories available in

all provinces except for british Columbia.”

Page 11: Canadian Franchising Magazine  2#1

Canadian Franchising

Page 11

Ideal FranchiseeTritt describes Vera’s ideal franchisee as someone who has some experience, preferably in food service, and who understands that when you open a franchise, you have to work the system while engaging and reaching out to your community. The ideal franchisee will have a passion for people, delivering a service experience that makes price irrelevant. They must also love the Vera’s concept and brand, as well as wanting to be their own boss and be rewarded for the effort they put in.

“We’re prepared to go right across the country. We have master franchise territories available in all provinces except British Columbia.”

After a potential franchisee fills out an application, they go through a quick phone interview to determine initial fit. If a good fit on both sides, the applicant will receive a package of documents to complete. This includes a questionnaire they can fill out to see if the potential franchisee shares the same expectations as the company. Once that’s done, timelines, costs and commitments are all established and then the task of securing a location begins. If the franchisee has a location in mind, Vera’s management will engage a real estate agent to see what opportunities exist in that location or to identify alternate locations.

This process is never rushed. Tritt maintains that it is worth waiting to get the right location with the right operator, rather than doing things too quickly just for the sake of opening early.

Initial training for new franchisees is delivered at the corporate store in Kitsilano. Once the new location is getting ready to open, training staff moves into the franchisee’s store for the in-store training phase. Management supports and oversees the store opening to make sure the franchisee is prepared for success. Vera’s will help execute a ‘soft opening’ with the franchisee followed by an official grand opening party. Once the new franchisee is prepared to go it on their own, the training team does a slow withdrawal from the store.

Management support continues post-opening with ongoing training, monthly newsletters with tools and tips, local and

general marketing ideas, teleconferences and regular franchisee meetings. To ensure all locations are following procedures and working optimally, the company also employs the services of ‘secret shopper’ services, which carry out undercover inspections and report back to management and the franchisees.

Notwithstanding all of these resources devoted to supporting franchisees, the most important aspect of support offered by Vera’s management is its availability and responsiveness. With little bureaucracy, franchisees can easily talk to someone in charge who can assist them.

“When you need help and call us, you get us,” Tritt stated. “We’re here for you in a way that larger chains often can’t deliver.”

location, location, locationWhile Vera’s is currently well established in the Lower Mainland with one outlying location in Ottawa, the chain plans to bring their delicious fare into all the

provinces (except for Quebec).

“We’re prepared to go right across the country,” Tritt said. “We’ve got master franchise territories available in Alberta, Saskatchewan, Manitoba, Ontario and the Maritimes.”

There are also single store locations available on Vancouver Island, the Interior of BC and in Northern BC, though Vera’s is also prepared to do multi-store deals in any of those territories in BC.

All of Tritt and Cantor’s hard work in expanding the Vera’s name has paid off, the pair having been named to the Top 40 Under 40 in Business in Vancouver Magazine several years ago.

Going forward, says Tritt, the company is focused on finding the right franchisees to help them spread Vera’s world-class burger experience across Canada. Vera’s Burger Shack has come a long way since its early days as a stand-alone shack on the beach, and the future is looking sunny indeed.

www.verasburgershack.com

Page 12: Canadian Franchising Magazine  2#1

Page 12

Expanding your business through franchising is neither as hard or as easy as most people think. Myths and misunderstandings about franchising are plentiful and potentially very, very dangerous. It is not a “license to print money” rather it is one of several distribution methods that businesses can employ to grow and prosper. It is not rocket science, but requires good planning, patience and careful execution.

Franchising is a distribution method which requires, in the final analysis, less capital, because the franchisees finance their own outlets. However, new franchisors will need to invest substantially in the early years to develop an effective franchise structure and the critical mass necessary to make it profitable. Often, a franchisor will not realize a profit until as many as ten franchise outlets are up and running.

A franchisor can leverage a much greater volume of business on a much smaller head office than in other business models. While this is true after the franchise system has grown to a sufficient size, at the beginning, the head office costs will be much higher in relation to the over volume of business in the system than with other distribution methods. A new franchisor must plan well and provide enough capital and resources to get through these early stages to realize this leveraging benefit.

A business can grow more quickly through franchising than through almost any other distribution method. Again, while true, it is another benefit that comes later in the growth cycle of a franchise system. Growing too rapidly and not being able to service the franchises that are sold, is a recipe for disaster. Often, franchisors miss the fact that they must also take a break from rapid growth to consolidate, take stock of the situation and plan to accelerate growth even more rapidly thereafter.

In business, it is generally recognized that an owner will be more attentive than a manager. This is a central point which makes franchising so attractive. A franchisor can rest assured that the person operating his store will be “attending to business” much as he would. However, this requires much more than luck in selecting the right franchisees. Learning about franchisee recruitment from others is helpful, but the franchisor must ultimately become the expert about who is best suited to be a franchisee in the particular system. The right franchisees can be nirvana for the franchisor; the wrong franchisees can be nightmares.

And, there is strength in numbers. The successful franchisor can command incredible deals with suppliers of all sorts. The sometimes difficult to obtain mall locations will be in easy reach of a business that can assure a landlord of profitable and predictable tenants in all of its developments. Advertising budgets can be generous, and there are often greater resources for research and development. In many systems, franchisees provide the greatest contribution to improving the business.

Today there is a wide variety of businesses that employ franchising as the distribution method of choice. However, all too often, the decision to franchise is made based upon the fact that the business is franchisable, without

exp

ert a

dvic

e Why Franchise Your Business?

Edward (ned) levitt dickinson Wright llP

Edward (Ned) Levitt

Page 13: Canadian Franchising Magazine  2#1

Canadian Franchising

Page 13

any consideration being given to the following questions:

1. What will the impact be on my existing business?

2. How will it change my activities and responsibilities?

3. What financing do I require?

4. Where will I obtain the various skills necessary in planning, implementing and administering a franchise program?

5. What alternatives exist to expansion through franchising and are these alternatives more attractive to me?

The early stages of your franchise system will require a considerable amount of your valuable time. Even if you decide to work with franchise professionals, you will be required to be part of the planning process because, after all, you are the original success story everyone is attempting to clone. You then must come to terms with the fact that you will

Why Franchise Your Business?

not always be able to tend to the original business and others will have to take your place. If you cannot find and train the right people, you could seriously reduce your earnings and cash flow. As mentioned earlier, most franchise systems do not become profitable for the franchisor until a number of units, sometimes as many as ten or more, are up and running smoothly. Consequently, you may have to rely on the original business for some time to support you and provide the working capital necessary for the franchise expansion. The flagship business may also be jeopardized by the fact that your franchisees are using your trademarks, style of doing business and appearance. Disgruntled customers will direct their wrath at the system as a whole and you may not have a business

to go back to, if the franchise expansion fails.

Edward (Ned) Levitt is a partner

of Dickinson Wright LLP, Toronto,

Canada, and chair of its franchise

law practice group. He served as

General Counsel to the Canadian

Franchise Association from 2000 to

2007 and, as a member of the Ontario

Franchise Sector Working Team,

was instrumental in the creation of

Ontario’s franchise legislation. Among

his many publications is Canadian

Franchise Legislation published by

Butterworths/LexisNexis.

Mr. Levitt can be reached at:

416-646-3842 or

[email protected].

“It is not a ‘license to print money’ rather it is one of several distribution methods that

businesses can employ to grow and prosper.”

Page 14: Canadian Franchising Magazine  2#1

Page 14

With each new year, Banks continue to make great strides in developing and customizing products and services to meet their customers’ ever increasing financial needs and requests. However, with so many financial products and services offered by the Banks, it is not unusual for a business owner to be overwhelmed or confused by it all. The challenge for a business owner is how best to stay in touch without experiencing information overload.

so what should a business owner do?First, they must recognize and accept the fact that they cannot afford to stand still and do nothing. We are no longer in a “one size (one service) fits all” business environment. Each individual business, while having its generic or common banking needs, probably has some specific needs and/or preferences with regard to its banking and financial management. Business owners must take the time to identify them.

Secondly, accept the fact that the only person who is ultimately responsible for ensuring that the business’s financial management needs are being met, in the best and most cost effective manner, is

the business owner themselves. This is not the role of the banker. In an ideal world the banker would always have the time and resources to stay familiar with all his/her client’s banking/financial management needs. So, whenever a new product or service was introduced that matched a client’s needs, the banker would let them know. However, as we all recognize, this is not always possible or practical. Most certainly, a business banker should be there for advice and answers, but it is still incumbent on the business owner to know the facts and ask the right questions.

Third, when it concerns the flow and use of money - accounts receivable, accounts payable, investments, cash, operating expenses, etc.- a business owner must be committed to periodically reviewing the company’s ongoing needs and processes. The financial management strategy that worked for the business last year may not be the most effective solution today.

For some business owners, their periodic review of banking arrangements almost exclusively focuses on loan interest rates and service charges - the presumption being that if one gets a “really good” rate or manages to reduce their fees, then they must have a good banking arrangement.

time and money are two of the most precious commodities for any business. however, in today’s demanding environment, as business owners find themselves having to work harder and smarter to keep up with the pace, some tend to overlook the fact that their local financial institution (“the bank”) is more than just a provider or safe keeper of money.

Today’s banker has access to a wide range of information and resources and can help businesses manage their overall financial affairs more effectively.

exp

ert a

dvic

e Financial Management

“there just may be a better way…but if you don’t look for it…you won’t find it.”

Joseph Pisani, director of national Franchising services, bank of montreal

Joseph Pisani

Keeping in touch

Page 15: Canadian Franchising Magazine  2#1

Canadian Franchising

Page 15

We would suggest that there is far more to be gained in the long term if a business owner or manager were to place more emphasis on the overall role that their bank can play in helping the business achieve its goals rather than just focussing on one item or product.

It is important to explore as many options and opportunities as possible in order to improve operating efficiencies (for both the business and the bank) and to look for ways to effectively manage the operation’s cash flow. There just may be a better way…but if you don’t look for it…you won’t find it.

Where does one start in the financial review process? Quite simply, anywhere you want. We would suggest you initially focus on what aspects of your current financial management practices or needs concern you the most or what aspects present the most headaches. Is it bank line-ups or service charges, collecting receivables, banking hours or convenience? If something is of concern, identify the specific issue so that, in turn, the bank can provide the specific solution.

For example, bank service charges are always an interesting subject for discussion. Some customers prefer to pay on a per item/per transaction basis while others prefer an all-inclusive fixed fee. There are pros and cons to both but many business owners have not taken the time to investigate which is best suited for them. They readily identify with the cost but lack information to substantiate the value. As previously mentioned, Banks recognize that not all products suit all customers all the time. For most businesses, flexibility is important. Most Banks provide a number of Everyday Business Accounts that address this very subject. Each represents a package of specific services, user conditions and fee structure. The objective, of these plans, is to provide the business owner with options and flexibility more in line with their specific needs and price points.

Finally, it should be emphasized that bank product lines are always being enhanced and extend well beyond routine deposit services. Whether it is the electronic collection of accounts receivable or helping businesses provide

its customers with purchase options through POS Debit/Credit Card etc. (cash is no longer king) or payroll services and banking electronically – these services provide the business owner with opportunities to save money, save time and improve their financial management efficiencies. At the very least, business owners should review their banking arrangements annually.

Effective financial management is one aspect of every business that deserves the owner’s personal attention. There is much to be gained by staying in touch with the bank on this subject but it does take some time and effort and may possibly even cost a few dollars, in either the form of cash or manpower. Nevertheless, it will be time and money well spent and a far better alternative to doing nothing at all.

® Registered trade-marks of Bank of Montreal.

Joseph Pisani is Director of National Franchising Services for BMO Bank of Montreal. He can be reached at (416) 927-6025 or via e-mail at [email protected].

Page 16: Canadian Franchising Magazine  2#1

Page 16

bask in robbins

foc

us

Page 16

Baskin-roBBins seeks Franchisees

in canada Who Want to SeLL Fun, not

JuSt ice cReaM

the world’s largest

chain of ice

cream specialty

shops, baskin-

robbins, is seeking

entrepreneurs in

Canada who want to

serve up fun, not just

ice cream.

This global ice cream franchise

has more than 7,500 locations

and serves 300 million customers

a year their favorite ice cream

flavours from a library of more

than 1,200 flavour creations. The

brand is looking to recruit ice

cream lovers who are interested

in owning and operating a new or

existing Baskin-Robbins ice cream

shop in Canada, where the brand

has more than 40 years of heritage

and nearly 100 ice cream shops

open throughout the country.

“We have tremendous opportunity

for growth in the Canadian

provinces and with more than six

decades of experience refining

our business system, Baskin-

Robbins offers a fun, rewarding

new business opportunity

to franchisees,” said Grant

Benson, CFE, vice president of

global franchising and business

development, Dunkin’ Brands. “As

our brand continues to develop,

we are looking for entrepreneurs

in Canada with strong financial

backgrounds and a passion for

their local communities to own

their very own ice cream shop in

the Toronto area, as well as other

territories throughout the country.”

Baskin-Robbins was founded in

1945 by two ice cream enthusiasts

who shared a dream to create

an innovative ice cream store

that would be a neighborhood

gathering place for families.

Today, it is a globally franchised

organization and one of the

leading brands for hard serve

ice cream in the Quick Service

Restaurant (QSR) category in the

United States. Baskin-Robbins

started with 31 flavours – one for

each day of the month – but has

broadened its offerings over the

years to reflect its current slogan,

Page 17: Canadian Franchising Magazine  2#1

Canadian Franchising

Page 17

“More Flavors. More Fun.” In addition to its expansive ice cream library, many of its ice cream shops offer a full array of frozen treats including ice cream cakes, frozen beverages and sundaes.

a network of Passionate ownersAs a franchise, Baskin-Robbins relies heavily on its individual store owners to expand the brand around the world. A lot of care goes into selecting the right franchisee for the business. So, it’s not surprising that part of the criteria for ownership is passion for the Baskin-Robbins brand.

“Canadian franchisee, Laury Hollend, is an example of someone who exemplifies passion for Baskin-Robbins,” added Benson. “He has grown up in the Baskin-Robbins family and has been an innovative, committed owner, since the day he joined the shop in Toronto, purchased by his parents Phil and Anna Hollend and his uncle Norman Hollend.”

Hollend has been a franchisee with Baskin-Robbins since 1983. He was recruited straight out of university to become a general manager of the store. Then, he became a business partner, and eventually bought out his parents and his uncle to own the store outright. Laury Hollend now has four locations

in Toronto, Thornhill and Peterborough, Ontario. One of those locations was an existing shop he purchased with his business partner of other Kernels Popcorn locations, Sako Ghazarian, and the other three were new stores. For the resale location, he liked the challenge of taking an existing store and turning it around.

“One of my locations was an underperforming shop that I decided to purchase. It was a great opportunity to expand in my territory and take a store that was struggling and grow the business exponentially,” said Hollend.

Hollend is a natural problem-solver. His Baskin-Robbins mall location, at the Promenade Mall in Thornhill, was positioned adjacent to a Kernels Popcorn. One day, he noticed that families would stand in front of his Baskin-Robbins and Kernels Popcorn and decide who wanted popcorn and who wanted ice cream. He instantly thought, “What a great concept to sell both brands under the same roof.” So, 11 years ago, he pursued special permission to own both brands and co-brand at his street-front location. And, now, he’s not the only franchisee in Canada to co-brand with Kernels Popcorn. Others have teamed up with the popular popcorn shop to bring salty and sweet treats to customers.

Canadian Franchising

Page 17

“With more than six decades of experience...baskin-robbins offers a fun, rewarding new

business opportunity to franchisees.” As a long-time franchisee, Hollend says that running his own business and not being tied to a desk job is the best part of being an owner. “This was right up my alley,” he added. “In addition, you really get out what you put into the business. An active, positive franchisee can earn endless opportunities.”

To become a Baskin-Robbins franchisee, the company requires liquid assets totaling at least $100,000 per restaurant and a minimum net worth of $250,000 per restaurant. The Baskin-Robbins business model allows franchisees to enjoy convenient hours of operation, requires minimal equipment, and benefits from the fact that its inventory has a long shelf life with proper storage. Franchisees also benefit from award-winning training programs and comprehensive operating systems designed to help franchisees run their business.

To learn more about franchise opportunities in Canada, please contact Brian Savage at [email protected] or (847) 341-7619 or visit www.baskinrobbinsfranchising.com.

For existing Baskin-Robbins locations for sale, visit: http://restaurantsforsale.dunkinbrands.com/.

*This material is not an offer of a franchise, which is subject to the receipt of a Franchise Disclosure Document.

Page 18: Canadian Franchising Magazine  2#1

Page 18

l ice squad

lice squad Canada’s flagship clinic in Cookstown, on, reopened on march 12th 2015 after a re-design and interior overhaul. In attendance to help celebrate the grand re-opening were members of the Innisfil Chamber of commerce, Mayor of Innisfil Gord Wauchope, Ward 7 councillor Rob Nicol and a representative of Dr. Kellie Leitch, minister of labour together with staff, family and friends.

“We worked with Tag Design Build out of Mississauga to develop a standard clinic design for LS Clinics in our franchise system,” said Martha Lawrence, General Manager of Lice Squad Canada. “A primary colour

scheme and areas for children to play were top priorities for a family-friendly environment.”

Lice Squad also announced a brand new initiative to offer free head lice screening for school teachers at participating LS Clinics. For those that cannot access an LS Clinic, Lice Squad developed a head lice identification APP for head lice diagnosis available at www.licesquad.com

“The Lice Squad Canada staff, consultants and I are all very grateful for the support shown to us by the community, our clients, suppliers, press and supporters over the past fourteen years. We appreciate the opportunity to be of service,” said Dawn Mucci, President and Founder of Lice Squad Canada, adding that “Teachers work hard looking after children in the community and with lice a common visitor to schools, we thought this was a terrific

way to give back.”

Lice Squad Canada has been the go-to source for non-toxic head lice removal, screening and education for over fourteen years. The company offers clinic and mobile services in major Canadian communities, as well as a full line of pesticide-free products available nationwide at its LS Clinics and mobile locations and in pharmacies and health food stores. The organization also offers on-site head lice screening in schools, daycares and camps and educational seminars. Lice Squad now services over 20 communities across Canada with its Franchise Division positioned for growth with expansion plans for more than 50 locations over the next five years.

For more information, contact:

Dawn Mucci, President and Founder, Lice Squad Canada, (705) 458 4448 ext. 201 [email protected]

pro

file

F R E E H E A D L I C E C H E C K S F O R T E A C H E R S C O I N C I D E S W I T H

Franchise gator crew at the International Franchise Association Show this past February in Las Vegas

ls clinic grand re-opening

Page 19: Canadian Franchising Magazine  2#1

Canadian Franchising

Page 19

Business Franchise Australia and New Zealand 37

Sherpa Kids Entry Levels

About Sherpa Kids A Management Franchise operating in the childcare industry is seeking partners at all levels of entry.

As an international company we are operating in over 150 schoolssupported by over 100 franchisees servicing over 5400 primary school aged children every day.

Sherpa Kids is an out of school hours care business. Income streamscan include aftercare, holiday care and before school care.

The services are managed by franchisees who employ staff to directly operate on school properties. Services are staffed by qualified personnel who meet as a minimum standards as prescribed by the brand as well as national regulatory authorities.

Each franchisee has potential to operate multiple, closely located schools.

Visit sherpa-kids.com.au to find out more

Franchise Opportunity Management Low Cost Join Us

Be Your Own Boss New Franchise* State or Country Master

Investment ranges from $25,000 to $250,000.

Enquire today phone Vicki Prout (AU) +61 439803078 or (UK) +44 7760436405

[email protected] | www.sherpa-kids.com

Business Franchise Australia and New Zealand 37

Sherpa Kids Entry Levels

About Sherpa Kids A Management Franchise operating in the childcare industry is seeking partners at all levels of entry.

As an international company we are operating in over 150 schoolssupported by over 100 franchisees servicing over 5400 primary school aged children every day.

Sherpa Kids is an out of school hours care business. Income streamscan include aftercare, holiday care and before school care.

The services are managed by franchisees who employ staff to directly operate on school properties. Services are staffed by qualified personnel who meet as a minimum standards as prescribed by the brand as well as national regulatory authorities.

Each franchisee has potential to operate multiple, closely located schools.

Visit sherpa-kids.com.au to find out more

Franchise Opportunity Management Low Cost Join Us

Page 20: Canadian Franchising Magazine  2#1

Page 20

w h a t t o l o o K f o r w h e n

BuYing a restaurant Franchise

exp

ert a

dvic

e

I have over 30 years of experience in the franchise industry, 20 of which come from foodservice. I have been a franchisor twice as well as a master franchisee of a national brand for the Province of Quebec. With this article I hope to share some insight that will assist those looking to purchase a restaurant franchise.

Food franchises make up the lion’s share franchise opportunities in any country. The logic seems to go; “I like to cook, I like to eat, why not buy a food franchise,

it will be the easiest to run?” Allow me to correct this assumption immediately; foodservice is the most difficult of all industries franchised or not. Being a restaurant owner is hard, often grueling work with long hours of managing mostly minimum wage staff and completing administrative duties. The opening hours of the business are only part of the time commitment, the other hours being spent after business hours, to do the back office administration work.

The beauty of the franchise model is that a prospect is not required to have any previous experience in the restaurant industry. This does not negate the need to bring a skill set to the table; it means that they have to be either

by lori karpman, CEo, lori karpman & Company

innate or learned and honed in previous employment. These skills are what will make the difference between a good and a great franchisee and are considered heavily in the franchise qualification process. These skills include, but are not limited to: supervisory and management expertise, as well as communication, organizational, selling and prioritization skills. The Training Program is very thorough but only covers the operations and administrative aspects of running the franchise. The cost of the franchisor’s training program is covered in the Initial Fee, but travel, meals and accommodations are not. Depending on the complexity of the operation training will be anywhere from 1 week to 3 months at a location to be decided upon by the franchisor. Once that is completed a training team goes to the new franchise location to assist in preparing the franchise for opening day. It is in the franchisor’s best interest to ensure proper training and support during the opening phase so that the brand’s systems and procedures are followed correctly from the outset and do not need to be corrected later.

There are a variety of restaurant formats available and each one comes with different time commitments, staffing requirements and amount of administrative involved. The choices can include: full service sit down, counter service, delivery, a food court model, a catering business or the new and upcoming kid on the block, a food

Page 21: Canadian Franchising Magazine  2#1

Canadian Franchising

Page 21

nicholas kilpatrick, Partner,

mackenzie, George and Company.

truck, just to name a few. A full service sit down restaurant is obviously the most expensive, intensive and time consuming however it is generally the most lucrative. Full service is big business (even in a small resto) and the requires full time attention of the owner. This often necessitates the hiring of a Manager which reduces the cash available to pay the owner a salary at the beginning. Mall rents for food courts are traditionally very high and often the business can’t generate sufficient income to support an entire family, unless the family works in, and gets paid by, the business. It is ideal however for a single person, semi-retired or as a second income or second location of a full service franchisee. Even within categories there are choices to make and it should be made based on the quality of life desired first, then within the budget available. For example, someone who hates mornings should not be buying a breakfast franchise where the preparation begins at 5:00 am! By making the choice based on quality of life first, the franchisee has the greatest chance of success.

Financially, the Turn-Key or Total Cost is the number that is the most important at the buying stage. This is the total amount of money that it will cost to open the location from the date of signature of the Agreement to opening day. I always tell clients to include 2 numbers that are typically not included but are necessary to truly understand the entire investment. The first is 3 month’s working capital, which includes rent and all other operational expenses, is necessary because the business will not likely be able to pay all of its expenses from cash flow for at least that. Second, 6 months of living expenses. If the business cannot support itself it certainly cannot support personal living expenses. To fund the Initial Investment most franchisees use the Canadian Small Business Loan Program where the borrower is only required to personally guarantee 25% of the amount borrowed. This Program

is offered by all chartered banks and the borrower must have at least 50% of the Initial Investment in cash or unencumbered investments that can be easily liquidated to qualify. The loan only finances hard costs (equipment, construction, inventory) so items such as franchise fees and legal fees cannot be financed.

The biggest challenge of the foodservice industry as compared to other retail is that other than food cost and labour cost, all other costs are fixed and waste is a significant factor in the determination of profit or loss. So an owner really has to concentrate on controlling 2 expense categories and the result of improper management can be losses in the hundreds of thousands per year, and millions over time. On average food cost for a full service resto is about 30% (and labour is 25%), any deviation results in direct loss of profits as this is an expense category. For example, a 1% reduction on food cost on Gross Monthly Sales of $50,000 is $500/month, $6000 per year, or $6000 of pure profit that could have gone into the owners hands, used to reduce debt, or to buy marketing. However franchisees are not generally off by 1% but more like by 4%-8%. At 5% on $50,000 per month, the loss is $30,000 per year of pure profit, not to mention the interest on that money! In 10 years that’s $300,000 lost! Additionally waste is a critical factor in food cost and this is can be the most difficult to control. Most owners do not even think to track the amount of waste or the portioning of the serving sizes easily increasing food costs. Owners are never in line with their labour cost either and once again, tens of thousands are being lost yearly. When you add the discrepancies in margins for food cost and labour, the reduction of gross profits is staggering. Rest assured, there is software, online tools, point of sales systems and other ways to control these costs properly.

When interviewing potential restaurant franchisors it is essential to get answers

“there are a variety of restaurant formats available and each one comes with different time commitments, staffing requirements and amount

of administrative involved.”

Lori Karpman

to these important questions. A prospect must act the same as when deciding how to invest their money but this is not the stock market it is a business. When meeting a franchisor be sure to ask:

• How many multiple unit holders are there? The more there are the better.

• What is the turnover rate? How often are existing units being sold? A normal rate for an established franchisor is about 20%. But this is still a high number, find out why.

• What is the franchisor’s long term plan and are they well capitalized to fulfill it? All the great plans in the world do not come to fruition without the proper funding.

The foodservice industry is extremely competitive but a good operator who can control costs will reap the financial benefits, thoroughly enjoy the industry and have a lot of fun with the interesting cast of characters that the industry attracts!

Lori Karpman, considered one of Canada’s leading experts on franchising and multi-unit business development models, is also the President/CEO of the multi-award winning consulting and legal services firm, Lori Karpman & Company (www.lorikarpman.com). During her esteemed Lori has been a franchisor twice and the Master Franchisee of the Pizza Hut brand for the Province of Quebec. The firm’s clients range from the Fortune 500 brands to the local start ups. Lori is a prolific writer and sought after guest speaker and has been featured on television, YouTube and radio. Lori can be reached at [email protected], (514) 481-2722.

Page 22: Canadian Franchising Magazine  2#1

in 2007, frustrated with a lack of healthy options and nutritious food that could be had for a reasonable price in a quick environment, a couple of canadian entrepreneurs with years of Foodservice experience behind them had a great idea for a fast-casual gourmet burrito concept.

z-teca Gourmet bur r i tos

Theirs was a quest to turn traditional fast food on its ear by doing things differently. They decided to go back to basics, creating recipes from scratch, with ingredients they could recognize. Essentially, creating food that they would happily feed to their families.

Canadians in general are seeking healthier alternatives, owing to an aging population, greater knowledge of nutrition and an increase in healthier lifestyles. Tired of the same old, same old, z-teca was born to answer the call for better quality and fresher, healthier food.

Why Mexican? Simple--it was their passion, and nobody seemed to be doing it right. Thus ‘new age’ California style Mexican was born in Toronto. The focus? To do a few things, and to do them really well. There are no gimmicky fast food style fried specialties, just REAL, WHOLESOME food inspired by Mexico.

The result, a clean design with a simple, focused menu, using only quality hand-processed ingredients, with simple cooking techniques and employing great people who shared in the vision. This simple approach and passion for the

foc

us

Page 22

Born in canada, insPired BY Mexico

z-teca gouRMet BuRRitoS iS a canadian SucceSS StoRy FocuSing on FReSh, quaLity hand-Made

Mexican FaRe With a heaLthy tWiSt

Page 23: Canadian Franchising Magazine  2#1

business has allowed z-teca to build a strong and successful brand.

it’s what’s under the Foil that counts!A simple and focused menu built around the philosophy of “do a few things but do them really well”, z-teca hand crafts all of its menu items, right in front of their customers, so there’s plenty of options. With emphasis squarely on the food, they only use fresh, quality ingredients, prepared daily in their own kitchens, using simple cooking techniques. In fact their kitchens are an “open concept” because they are proud of what they do and want their customers to see their food being freshly prepared. There are no microwaves, no add MSG, no fillers, no shortcuts and no fast food tricks - just great ingredients that make great tasting food.

z-teca serves primarily burritos, rice bowls, salads, quesadillas and tacos, using ingredients such as whole wheat

tortillas, brown rice, low-fat locally sourced real dairy sour cream and Monterrey jack cheese, grain fed Canadian beef and pork, all-white meat hormone-free chicken breast and scratch made salsas using fresh produce.

z-teca has cultivated a very loyal customer following, and with a solid foundation in place, is poised for growth. They are seeking the right Franchise partners who share in their passion and vision of the brand.

Big plans for growthNow 7 years old and with 9 locations in its home base of Toronto, z-teca is starting to grow outward. The chain will be opening its 10th location—and first outside of Toronto—in Guelph, Ontario this year, and is in discussions to open its first units outside of province. They are seeking qualified, enthusiastic franchisees that share in their vision to get on board and share in the success.

Though there are many other Burrito

chains in the marketplace, what sets z-teca apart is their corporate culture and operating philosophy that they have worked so hard to achieve. They are obsessed with quality, customer focus and imparting a memorable brand experience each day at all of its locations.

z-teca restaurants can vary significantly in size from 500 to 2,000 Sq. feet, depending on the type of venue (street front, university, shopping mall, office tower, etc.) However, the ideal z-teca is 1,500 Sq. ft., with the kitchen area occupying approximately 40% and the balance being the customer/dining area which will contain approximately 30 to 40 seats.

They look for real estate opportunities that have excellent visibility, good accessibility, high pedestrian traffic/vehicular traffic and which are anchored by other strong retail concepts.

For more information, please visit www.z-teca.com, or email [email protected]

Canadian Franchising

Page 23

“there are no microwaves, no add msG, no fillers, no shortcuts and no fast food tricks.”

Page 24: Canadian Franchising Magazine  2#1

Page 24

With most franchise systems, you will discover that there is often a big variance in success between franchise owners and locations. In many systems there are franchisees that are substantially more successful than others. other franchisees may be struggling. Why?

What are the successful franchisees doing different? It may be that they simply have a great location. Often, it is something more. They are doing a lot of little things right and avoiding the common mistakes that tend to happen in business ownership.

To assist you, below are the top 10 common mistakes for franchisees to avoid during the life of your franchised business venture.

1 not following the franchise system

Often you will find some franchisees that will use most of the franchise business model, but they will modify

Mistakes e

xpe

rt ad

vice

T O A V O I D A S A F R A N C H I S E E

Wayne maillet, Canadian Franchise management Consultant and Published author

it. The rationalization is that their management style is different or their market is different. If you buy a franchise, use the proven system. It has been developed based on years of experience in several different markets. Trust that the model works, or why else would you have bought a franchise? If you insist on doing it your way, be aware you may be violating your agreement and it may be terminated.

2 underestimating the time commitment

Buying a franchise is a full-time job, especially when you are first starting. You do have a head-start in that you have an established business model with a franchise, but you are still running a business that requires a

Page 25: Canadian Franchising Magazine  2#1

Canadian Franchising

Page 25

lot of your time. Absentee ownership typically does not work. Most franchise agreements now require that the owner be committed to the business full-time. Make sure you are prepared to dedicate the time necessary to make your franchise business succeed.

3 not marketing

The misconception is that you acquired a franchise with an established brand so that you don’t have to advertise. Customers will just come to you. This is typically not the case. There is a reason why most franchise agreements require a franchisee to spend money on marketing and advertising. Advertising and marketing works. Products and services don’t sell themselves. And remember, your competitors are spending time and money on marketing and advertising. You don’t want to be losing your sales to them.

4 not embracing change

Rapid social and technology changes are continuing to impact customer buying patterns. To stay relevant franchise networks are innovating like never before. These ongoing changes can create stress and uncertainty, not only for franchisees, but also for your employees. The good news is that you have the support of the franchisor and fellow franchisees to assist and support you through the changes. You don’t have to deal with change alone.

5 not setting aside funds for change

The franchise system you purchase is going to change. You will be expected to remodel, to upgrade software, hardware and equipment, and to possibly rebrand the business –all at your own expense. The original McDonalds were a drive up window

with a limited menu of burgers, fries and a shake. Compare that to today’s McDonalds. Plan for the future by saving for long-term capital needs and allowing the business to evolve.

6 Failing to increase operational resources to

deal with growth If you don’t bring on additional

resources to support the growth you will plateau and stagnate. You will need to bring on more people, more trucks, or more inventories. Growth often means larger resources. Without this investment in additional resources the business will not achieve its full potential.

7 trying to do everything

Focus on your strengths and passions and hire your weakness. One person cannot do everything, or if you do, you will possibly burn yourself out.

8 Forgetting about life balance

Don’t forget your family. Work is not everything. Numerous entrepreneurs forget about the wife and kids and end up in divorce. Don’t let this be a regret later in life. Bring on the employees that will allow you to maintain balance between family and work. Take the time to take care of yourself. Join a local gym and exercise.

9 not participating

Don’t sit on the sidelines. Get involved through the franchisor and network through community events. Go to the franchisor conference. Build relationships with the franchisor and other franchisees. Outside the franchise network, build relationships with your landlord, accountant, banker

T O A V O I D A S A F R A N C H I S E E

“learning from the mistakes of others will allow you to avoid the potential landmines

and maximize your success and returns on investment.”

and employees. All are a part of the team and will be valuable resources to you.

10 Failing to take the time to learn

You are your most valuable resource. Take the time to attend additional training, whether through the franchisor or local colleges. Never stop learning. Provide the same opportunity to learn to your staff so that they may evolve and grow as well.

Being in business for yourself can be one of the most rewarding things you can do. It is a big commitment and comes with high rewards. Learning from the mistakes of others will allow you to avoid the potential landmines and maximize your success and returns on investment.

Wayne Maillet is a leading Canadian franchise management consultant and published author with over 25 years of practical experience in all aspects of franchise operations. He mixes practical experience with an academic understanding, having earned his Bachelor of Business Management Degree from Ryerson University and was recognized for outstanding academic achievement in management and enterprise development. His recently published book, Franchising Demystified, provides guidance to prospective or existing franchisees on how to acquire, operate and be successful with a franchise.

Visit: www.franchisespecialists.com

Wayne Maillet

Page 26: Canadian Franchising Magazine  2#1

Page 26

Food Franchis ing

fea

ture

simply because everyone has to eat.

It’s such a regular concept that has turned into a form of business, strictly developed from a human necessity. The food industry is resilient and has managed to develop in a wide variety of fields and adjusts to the varied tastes of consumers.

Through technology, a better understanding of cultures and food practices have been accessible, but consumers have been enjoying the global food market for many years.

According to Statistics Canada, in 2007 $92 billion was spent on food and beverages in stores for household use and another $50 billion in restaurants and bars. Clearly, it’s a business that offers a lot of fields and a means to generate a substantial income.

However, comparable to other markets, Canadian food and beverage industries have had some of the lowest levels of profitability.

Food service IndustryIn 2013, Canadian Food Industry sales represented 3.7 per cent of national gross domestic product. In fact there were more than 81,000 restaurants, bars and caterers across Canada in 2013.

Commercial food service includes quick service restaurants, full-service restaurants and drinking restaurants.

Quick service restaurants One of the fastest growing and most recognizable businesses is the fast-food industry.

From a made to order burger ready in minutes to a personalized selected sub, the fast food industry is imbedded in our culture. Up North, we like our food and we like it quick.

For decades fast-food industries have been ever growing and well-established throughout the country. From the first McDonald’s burger

Food is the first type of

business considered

when the word

franchise is mentioned.

It’s inevitably the

first type of industry

that comes to mind

because food and

franchise exist dually

in almost all people’s

minds, whether or not

it’s a conscious effort.

Food and Franchise are codependent,

making food a consistent service in the

franchise industry.

It has never wavered or been much

affected by economic turbulence,

but rather continues to persevere and

Food Franchises

Page 26

Page 27: Canadian Franchising Magazine  2#1

Canadian Franchising

Page 27

to all of the different restaurants lining the many streets of Canada- this type of restaurant has become a staple in North America and is an established part of Canada’s economy. One of the benefits of this food industry is the brand. A lot of fast-food restaurants are well known and have a lot of loyalty established with a variety of customers.

Accounting for $24 billion in sales in 2013, the fast-food industry made the most revenue that year and had 3.8 per cent increase from the pervious year. While restaurants may focus in on families or parties, fast-food restaurants appease to a lot of different people: the young, the old, the family or the single student, for example.

Starting a business with a solid brand allows new owners to be backed by a strong marketing strategy, as well as global awareness. Without any effort, your franchise is being advertised across the country and giving everyone a sense of familiarity. The only downfall with quick service restaurants is the possible high start-up fees because they are high revenue industries. However, the investment usually involves a lower risk.

A franchisee would have to invest a lot of work and time into a more expensive business, but the outcome is usually guaranteed. This type of restaurant adheres to the fast paced environment of Canadians and allows quick access through drive through or pick up.

A lot of fast-food restaurants easily adapt to the needs and changes of the consumer- the drive through, the healthier portions, the kid’s meal, the breakfast menu. Without having to comprehend what the public needs, you have experts establishing and converting your menu to help support sales. Most fast-food restaurants are well recognized and have a giant loyal fan base, with a huge support system and great potential for profit.

Purchasing a fast-food restaurant, means a franchisee is playing in the big leagues of franchises and they have a team of experts to help them establish and reach their goals.

Full-service restaurantsThere is nothing like a night on the town which can be with a group of friends for a plate of fries and a pint of beer or with a loved one over two expensive glasses of champagne. Both scenarios are available in the full-service restaurant industry.

This field of business has a huge range of atmospheres, menus, costumers and locations that can be varied dependent on owner and chef.

In the first half of 2012, the restaurant industry was the second largest job creator in Canada.

There are a lot of branded restaurants that have an established marketing technique and a loyal customer base that should be considered when investing in a restaurant. Whether it be fine dining or wings and a pint, the history and the brand of the restaurants are extremely important to consider in this field.

A personal perk to owning a restaurant is choosing your business based on your individual preferences. It is an opportunity to work and be a part of something you truly enjoy and love.

health Food Franchises and Food supplements Between gluten free and vegan, then allergies and supplements, there is an ever evolving market in the food industry.

Consumers are learning more about themselves and their preferences with the easy access to information. They are taking control as consumers and being particular to their wants and needs.

The most prevalent concern amongst all ages is healthy food choices. While the fast-food industry is booming, the

Page 27

Canadian Franchising

Page 28: Canadian Franchising Magazine  2#1

Page 28

health food and supplement stores are an up and coming field that has a significant foothold in the economy. People are too busy to prepare huge meals filled with greens and seven servings of vegetables, but they practice ‘you are what you eat’ and they want to eat clean.

Health food stores provide this opportunity to consumers, an easily accessible quick fix to their needs that allows them to remain healthy, have the power of choice and it requires very little effort on their end. This type of franchise is constantly growing and finding new venues that people are wanting to consume. In fact the customer’s research is providing business owners with information, rather than franchisees having to do their work alone.

This health craze has lasted longer than usual in North America and there are a few franchises in the food supplement industry that are well branded and recognizable.

Food retailWhenever one thinks of retail, they tend to imagine clothing stores and customer service but food is actually accountable for a large portion of the retail industry.

By food retail, for the most part, it refers to grocery stores, convenience stores, specialty food stores and liquor stores. Big names like Loblaws have an enormous monopoly in the food retail industry and again, grocery stores have well established branding that a franchisee can directly benefit. Food retail is branching outside of the classic milk and cheese aisles and including organic foods, wholesome foods, bulk products, toiletries and even clothing.

Grocery markets are now more

comparable to Wal-Mart and

other big name superstores

allowing customers to indulge

in other needs and having a one

stop shopping experience.

There are many varieties of each

food establishment to consider

in the franchising industry, but

one thing is for certain, most

sectors have a well established

reputation and have guaranteed

customers and processes.

Everyone already knows the

jingle, eats the food, buys the

brand so it’s a win win. Though

the investment fees may be on

the higher end, if you’re ready to

play fast and hard, you’re ready

for the food market.

“Food and Franchise are codependent, making food a consistent service in the

franchise industry.”

Food Franchis ing

fea

ture

Page 28

don’t miss an issueget the aPP

www.canadianfranchisemagazine.com

Page 29: Canadian Franchising Magazine  2#1

don’t miss an issueget the aPP

www.canadianfranchisemagazine.com

Page 30: Canadian Franchising Magazine  2#1

Page 30

I immigrated to Canada from lebanon fifteen years ago in search of a better life and opportunities. throughout my journey I worked harder than ever before. I learned first-hand that there are no shortcuts to success. do yourself a favour and politely ignore anyone who tells you otherwise. I worked, learned, saved, planned, and one day took the risk of my life: buying a bankrupt indebted Lebanese restaurant.

In the first year I transformed that risk into an opportunity, by turning a loss into a profit and creating the flagship location for the future franchise. Today, Paramount Fine Foods is the fastest growing Middle Eastern halal restaurant chain in North America with 15 locations across Ontario, including catering and takeout, a new spin-off sandwich and shawarma QSR franchise called Fresh East, Paramount Butcher Shop and food factory, and the Yalla Foodtruck.

I am thrilled to announce that we are

set to open over 20 new locations this year including operations in Alberta, the USA and Middle East (yes, we are taking the Paramount shawarma back to its birthplace!) We are especially excited to be the first halal restaurant to open in the Toronto Pearson Airport (terminal 1 and 3) and Niagara Fallsview Casino!

This all started with our award-winning shawarma. It was a personal goal of mine to change attitudes about the shawarma and make Lebanese food more accessible to the masses. Shawarma was once just a traditional Middle Eastern street food, but is now a mainstream staple meal, and one of our best sellers. Today we serve Canadians of all cultures traditional dishes like our ‘shish tawouk’ combo to fusion items like the ‘Philly steak Shawarma Pizza’.

The Paramount team is working triple-time to meet expansion demands, which was instigated by Franchisees tapping into the Foodie movement’s desire for authentic international cuisine and healthier food options. Paramount has succeeded in serving both needs while simultaneously catering to the rapidly-growing Muslim community with halal diets.

We are eternally grateful that Paramount has become the leader in the Middle Eastern and halal categories across North America. The response from people who want to join our team as Franchisees has been overwhelmingly humbling. We are currently wait-listing and vigorously

growing our team to meet Franchisee demands.

I am often asked of the “secret to Paramount’s success” and I usually say “hard work and quality control”, and it never seems to be the answer people are looking for. So I thought about it, and here are the ingredients to my secret sauce to running and growing “my baby” into the successful franchise it is today.

1. ConsistenCy. From recipes to service, always ensure that it is to the highest quality standard, and can be repeated. The elements of your business that matter the most must be perfected then replicated in every interaction and in every location. Consistency is key in keeping customers coming back.

2. Do the math. We can get overly enthusiastic when we see success. Sometimes we get lucky, so before jumping to expansion, it is pivotal to make sure that the numbers make sense. To ensure that Franchisees will be successful, understand the numbers so that you can replicate the success in every location.

3. the right people. Your team can make or break you, and that includes Franchisees and employees. Protect your Franchise and Investors by carefully selecting the right candidates rather than taking the aggressive growth route. Not everyone is the right fit to operate a franchise or work in the food business, even though they want the opportunity or can afford it. Maintain a rigorous

exp

ert a

dvic

e Work, learn, save, Plan.

mohamad Fakih President & CEo, Paramount Fine Foods

Page 31: Canadian Franchising Magazine  2#1

Canadian Franchising

Page 31

selection process and stick to it to ensure all parties are protected.

4. hire the expert. You don’t know everything, and there is no place for ego where you lack knowledge. It is important to surround yourself with people who bring the right talent to fill your weaknesses. Hiring my Franchise Mentor was one of the best decisions I ever made. His experience and skillset ensured pitfalls and mistakes were minimized.

5. train the trainer. Not everyone shares the same enthusiasm and skillset to lead or train employees. And a training program is only effective if it is taught and administered correctly. Make sure Franchisees are up to par and have the skillset before they train their employees. Teach them how to drive before they get on the road. This is so important because you need to lay the foundation correctly.

6. last, but most important, everyboDy must win. Everybody wants to make money and realize a life’s

Work, learn, save, Plan.

goal. It is important that Franchisees don’t feel gouged. By making less as a Franchisor in the short-term, you will make more in the long term. When a Franchisee is happy and making money, they will want to open additional locations, and uphold the highest quality standards, and that translates into a win-win-win – for the customer, Franchisee and Franchisor. And word of mouth is best form of advertising!

A community leader, Mohamad regularily participates in fundraisers and community events supporting causes and organizations including the Canadian Cancer Society and the Make a Wish Foundation. He is also an outspoken citizen, having expressed his opinion in debates, interviews and articles across major Canadian media.

Paramount Fine Foods is Canada’s fastest growing halal Middle Eastern

restaurant chain. The company

sources only the freshest products for

its authentic recipes. All restaurants

have been certified halal by the ISNA

Halal Certification Agency and HMA.

Paramount employs over 800 staff

members within 15 restaurant locations

in Southern Ontario, a gourmet butcher

shop, a food factory, a food truck and

the new Fresh East franchise.

For more info including franchising

please visit paramountfinefoods.com

and fresheast.ca

Paramount Fine Foods has locations

in: Toronto, Thornhill, Scarborough,

Mississauga, Brampton, Milton,

Niagara Falls, London, Hamilton

Opening soon: Yorkville, Brampton,

Heartland, Erin Mills, Woodbridge,

Ottawa, Edmonton, Orlando, Dubai.

“I worked, learned, saved, planned, and one day took the risk of my life.”

Page 32: Canadian Franchising Magazine  2#1

Page 32

that was certainly the case for Fired up Pizza co-owner rob Chaput. he was supplying wood burning pizza ovens to Costco and during a sales presentation to the buyers at head office he and his son brennen made some wood fire pizzas to demonstrate the oven’s capabilities. Turns out, people really love wood fire cooked pizza and a new business was born.

In one hour, they fed 30 or 40 buyers at Costco while demonstrating the ovens. After doing a similar event the next day, Chaput told his then 14 year old son Brennen that if he wanted a lu crative summer job in the future, he should do the wood fire pizza thing.

Brennen did take him up on that offer the following year and brought his friend Aiden Lavoie along with him to form a 3 way partnership. The plan was for Chaput to drop the boys off at a location with a tent and a couple of ovens set up on a trailer and come back later to pick them up. But, things didn’t quite work out that way.

“Within the first week, we were basically selling out every second day,” Chaput recalled during a recent interview from his headquarters in Sudbury, ON. “I was just supposed to drop them off, but

I ended up spending just about all day every day with them just to keep up with the demand.”

After their first week, they were selling 100+ pizzas & calzones per day and the team had to adjust rapidly. They started July 1, 2014 and by August 1, they had to bring in a specially made trailer to keep up with the demand and deal with weather issues like rain and wind. Eventually, Chaput replaced the two small wood ovens he had with a big, Italian style one.

They continuously adjusted inventory to predict how many pizzas they’d need, but no matter how many they prepared for, they kept selling out over and over again.

Part of the reason the team kept selling out was their decision to use only the best ingredients available. They bought the most expensive & flavorful mozzarella

F i red up Piz za

SoMetiMeS the oppoRtunity you aRe LooKing FoR iS

right under Your nose

foc

us

Page 32

Page 33: Canadian Franchising Magazine  2#1

Canadian Franchising

Page 33

SoMetiMeS the oppoRtunity you aRe LooKing FoR iS

right under Your nose

“turns out, people really love wood fire cooked pizza and a new business was born.”

cheese they could find and followed that process through each and every ingredient.

The product is made so well, in fact, that Chaput says they’ve had people who have travelled to Italy tell them it’s the best pizza and calzones they’ve had since they’ve been to Italy.

Franchise modelNow that Chaput has recognized the demand and understands more about what someone needs to run the business, he has applied his business development skills to the Fired Up Pizza franchise model and is very confident that he has developed a very successful “turnkey” operation. It includes a self-contained food concession trailer with full kitchen, all the refrigeration required on board, state of the art pizza making equipment, POS system and so much more right down to the uniforms. All the preparation work, dish washing and storage is done 100% within the completely self-sufficient trailer.

“Everything is actually ready to pull the trigger now,” he said.

The new Fired Up Pizza franchisor has already signed up 2 new franchisees that will be opening in April, 2015 and is in discussions with 3 other potential franchisees.

Chaput said he’s looking for energetic people who have entrepreneurial spirit and want to run their own business but who don’t really know how to start. Ultimately, he wants people with some experience or background in customer service or food preparation so they’re already familiar with the fast pace of the business.

While most franchises tend to be expensive, he noted, the package he’s assembled is affordable and franchisees should be able to recoup their investment within a season or two and make more than enough to be able to take half the year off, based on the numbers that he

and the boys saw during their one short season of operation.

Chaput, who has been operating his own businesses for about 30 years now, said he wants to take Fired Up Pizza national which is something he has done successfully in one of his past ventures. He is very aware of the logistical challenges associated with growing to a National level and is well equipped to provide support to franchisees from coast to coast. The package does include comprehensive training both in Sudbury and at franchisee’s home turf, plus Chaput and his young partners are always willing to help out if a franchisee has any questions or concerns.

The franchise is essentially a turnkey one and he noted that he would not leave a franchisee on their own until he’s 100% sure they know the ins and outs of the business.

As they’ve done exactly zero advertising

thus far, most of the franchisee candidates he has are from within a 200 km range. Chaput said he believes it would be a good idea to stay within Ontario to start so he’s closer to new franchisees and can help them more readily if necessary. However, he’s also not opposed to flying out to other places around the country if a viable franchisee expresses interest.

And, once Fired Up Pizza has been established in an area, that makes it easier to expand further into adjacent areas, Chaput noted.

From its serendipitous beginnings as a business to its quick jump to becoming a franchise, Fired Up Pizza has done everything quickly and efficiently, thanks to an owner who seems to have a nose for business.

www.firedup-pizza.com

Canadian Franchising

Page 33

Page 34: Canadian Franchising Magazine  2#1

Page 34

It is critical to propel your franchise ahead of the curve technologically. I’ve always believed that if we don’t adapt at a pace faster than our consumers, we’re moving backward. our customers and our franchise partners deserve the most efficient systems we can provide.

Who saYs You can’t teach old dogs neW tricks?

exp

ert a

dvic

e

I M P L E M E N T I N g T E C H N O L O g I C A L A D V A N C E S I N E x I S T I N g F R A N C H I S E E S

bill redfern, CEo & Founder, a buyer’s Choice home Inspections & iCare – Intelligent home Care solutions

Page 34

Page 35: Canadian Franchising Magazine  2#1

Canadian Franchising

Page 35

in the new CRM system’s ability to positively influence business that we are guaranteeing all first-year franchisees an income of $52,500.

With a balance of outstanding internal and external support, we were able to onboard our system of more than 150 North American franchise partners and began seeing results nearly immediately. Proper planning and quantitative analysis have helped us keep the momentum going, and has increased franchisor/franchisee trust levels and brand identity.

Bill Redfern is the CEO and founder of A Buyer’s Choice Home Inspections and iCare – Intelligent Home Care Solutions. Based in Halifax, Nova Scotia, Bill and his team are passionate about making the entrepreneurial journey accessible to qualified candidates all over the world. ABCHI is North America’s fastest-growing home inspection business meeting the huge demand for home inspections. Focused on developing and maintaining local, trust-based relationships with its customers, ABCHI is creating a home inspection business unlike any other. Currently, there are more than 150 ABCHI offices in North America with dozens more internationally.

For more information, visit www.abuyerschoice.com.

Who saYs You can’t teach old dogs neW tricks?

“our franchise partners have greater profit margins and increased efficiency resulting in a

better work/life balance than any of our industry partners.”

Bill Redfern

Recently, my franchise concept A Buyer’s Choice Home Inspections (ABCHI) launched a Customer Relationship Management (CRM) system to automate our databases across the franchise system. Here are four lessons our executive team learned through the process.

Find room for ImprovementIt behooves every franchisor to look objectively at his or her concept and find where improvements can be made. When the ABCHI executive team was considering a CRM system, we had two objectives: to cut down on the amount of time franchise partners spend on each inspection, and to provide more efficient communications with our customers.

With these goals in mind, we were able to find the system that worked best for us.

Plan ahead…Before implementing a technology change across your franchise system, take inventory of your franchise partners. There’s a possibility that many of them have been working successfully for years and will be resistant to change. Be prepared to quantify the value of the new technology – in time and in dollars.

When switching to a CRM system, we did thorough studies and research, and were able to provide the service at minimal cost and interruption to the franchise partner. This is the benefit of planning ahead.

…but be Flexible and offer ongoing support It’s important to remember that, no matter how well you plan, there will always be questions about even the

most minor technological changes. Set up exceptional internal and/or external support – this strengthens your brand and increases its value.

Depending on the size of your system, you might want to hold an in-person seminar where you can show your franchise partners the new tech hands-on, or, if you’re working with a larger audience across different time zones, consider a series of webinars.

Plan for bumps in the road. It’s unfortunate, but it’s going to happen. Our franchise partners possess varying levels of computer skills, so onboarding people less familiar with efficient computer use was challenging. However, we have very smart and capable franchise partners who have all stepped up to make this a tremendous success.

Evaluate and adjust based on resultsThe bottom line for every franchise partner is, “how will this help my business?” With proper planning, your franchisees could begin seeing results immediately. But think realistically about your results. Evaluate the successes and failures of this new adaptation. Make adjustments where they are necessary, and leave the door open for future improvements.

Our franchise partners have greater profit margins and increased efficiency resulting in a better work/life balance than any of our industry partners. Once we realized how well the system worked, we started sharing the news with our franchise prospects. Intrigued by the evident success of the streamlined system and rave reviews from customers, we have seen a definite uptick in leads. Additionally, we are so confident

Page 36: Canadian Franchising Magazine  2#1

Page 36

sherpa k ids

dee dogar and Julia davis dawson didn’t fall into their company, sherpa kids, but rather it was built out of necessity. Back in 2010, the two women recognized a completely overlooked venue in the childcare industry and it was something they needed as parents as well.

When Dee moved to Canada in 2009

from Spain, she had difficulty finding a decent job even though she had a childcare background. So rather than work a minimum wage job and struggle to keep her kids in daycare, she opened a daycare in Calgary.

“I decided to open a daycare and demand was immense in my neighbourhood. I met Julia and we came together and had this idea to create after school care for children ages 5 to 12,” recalled Dee. “The community I was living had a beautiful community centre but was always shut down and locked. There was never any activity there. We used

to stand in the playground, neighbours, grandmas, daycare operators and thought this would be a great building for a childcare service, its only 50 metres from the school, so Julia and I decided we would ask the community if we could implement a program there.”

It took about a year to establish a relationship with the volunteer board which included attending board meetings and community events to show everyone our commitment to the local community, and to show them there was a demand for this type of service, care for children before and after school.

fran

ch

iso

r in d

ep

th

successful entreprenurs

E x P A N D W I T H S h e r p a K i d S

Page 37: Canadian Franchising Magazine  2#1

Page 37

Canadian Franchising

From there was born the first institute called Calgary’s Child Play.

“That was our first home and it is the largest. We went from 12 children in January 2012 and we now offer care to approximately 95 children,” said Dee, the mother of two. “We have created good relationships with the school board and communities. We are very good at networking.”

Since then they have had immense growth, they now have 18 sites in Calgary and 1 in the UK. They now consider themselves the engines behind the operation, with 80 employees and

“you can’t teach someone to run it unless you know how to do it yourself.”

successful entreprenurs

600 children per day, their program was bigger than they had ever expected, so soon. Though business was going well, it became challenging for two people to run so many people and so many aspects of the business.

“We will be at events and we will be asked by parents how they can do what we can do,” said Julia. “Either they are immigrants or teachers from another country or they are wanting to run the service because they are a parent, but they do not want to run the service from scratch. So we almost started franchising before we owned our first one. We asked, how do we find it affordable, repeatable, expectable to more people?”

Julia and Dee had a demand for more businesses and an interest from buyers before they had even established themselves as franchisors.

“We had an epiphany after a payroll nightmare. We were tired and done in. It was really draining and we thought how can we make it better? There has to be a smarter way. So we approached Sherpa Kids International, a childcare franchise that adheres to school age children, in Australia,” recalled Dee. “In the meantime we give work to lots of people but the franchise model is a way of getting the message out there that people can run their own business, provide their own services in their own

neighbourhoods but have a world class administrative system.”

Sherpa Kids was the most appealing to the mothers because the vision aligned with their own. After much research and consideration, they realized they could partner Sherpa Kids as franchisors and roll it out across Canada.

Sherpa Kids Canada provides before and after school care and vacation care. Once parents come to pick up their children, they have had an afternoon filled with activities and possibly have their homework completed, depending on the parent’s individual desires. It starts with an afternoon tea, a healthy meal, followed by an engaging activities that have been tried and tested in Australia that provides a structured but fun after school environment.

Sherpa Kids Canada is compliant with all of Calgary and the province’s child care regulations, which relieves franchisees from that responsibility.

Those interested do not necessarily need any childcare experience, unless they are interested in working directly with the children. Both Dee and Julia recommend a new franchisee experience working on the floor to have a feel for the business.

“You can’t teach someone to run it unless you know how to do it yourself,” said Dee. “Franchisees can come from any background. Really it’s very varied.”

E x P A N D W I T H S h e r p a K i d S

Page 38: Canadian Franchising Magazine  2#1

Page 38

Sherpa K ids

However, since both women had experience as new immigrants to Canada, they are looking at aiming this franchise to people who are new to the country. From their experience, there are people who have high end educations but hit brick walls when they move to Canada and end up taking lower paying jobs.

“I think supporting immigrant women is a good thing,” said Julia. “There is another career element we see for our franchisees, childcare is not a highly paid sector. That way people can have some autonomy and income growth in the things they love to do.”

Sherpa Kids Canada is an answer to that low wage gap and allows experienced workers to be their own operator for the price of a small family car. Though they may not be administrators by experience, the franchise package adjusts everything for the owner.

Locations and territories are available across the countries. Though the franchisors have been focusing on British Columbia, they are taking inquiries from every province immediately because they intend to make it available coast to coast.

There is a substantial demand for childcare, especially children who are

fran

ch

iso

r in d

ep

th

“There is a lot of hands on help from both franchisors and area managers, as well as visits

for the site set up.”

already enrolled in school.

“School age childcare has not been on any government agenda, that means children five and over do not necessarily have structured licensed daycare. There are services out there but it’s a huge unmet need. The places simply don’t exist,” explained Julia. “We are bridging the gap between school and home.”

The service can be run out of community centres to keep fee bases as low as possible or ideally out of the school, so children can join them directly before and after class and to keep fee bases as low as possible by keeping rents affordable.

With Sherpa’s support behind them, the women are able to offer a structured centre for children before and after school, which is a significant time that working parents are not available, making it a very unique but necessary concept.

Franchisees are offered initial training and continuous ongoing support including the software to run a childcare service is provided. Being a part

of a franchise network means they immediately have direct peers and area managers who are able to help support new owners as well. Both Dee and Julia are supported from an international standpoint from the owners in Australia.

There is a lot of hands on help from both franchisors and area managers, as well as visits for the site set up.

“There are also daily check ins with the organization, so most days there is a form of communication,” assured Dee. “Because this a human service sector, there is a need to reach out and hear about any challenges people are facing.”

Sherpa Kids is a solution to a recognized problem, helping make parents lives easier and give an opportunity to those who were unsure of their potential. It’s a bridge to a huge gap that needed to be filled and Dee and Julia have provided that chance for Canadian parents and interested franchisees.

For more information contact: www.sherpa-kids.com or [email protected]

Page 39: Canadian Franchising Magazine  2#1

With 30 years experience in providing high quality business information, with a particularly strong focus on franchising, our global presence allows opportunity for international

franchise marketing solutions.

canadian FRancHiSinG is part of the global network of cGB Publishing

T H E M A G A Z I N E F O R F R A N C H I S E E S

T H E M A G A Z I N E F O R F R A N C H I S E E S

LATEST NEWS FINANCIAL ADVICE FROM THE BANKS TOP LAWYERS’ ADVICE

SUCCESS WITHIN THE SERVICE SECTOR

10 QUESTIONS

TO ASK BEFORE BUYING

A FRANCHISE

SUCCESSION PLANS THAT WORK

DELIVERING FRANCHISE SUCCESS WITH

INXPRESS

VOL 09 ISSUE 03 MAR/APR 2015

AUSTRALIA and NEW ZEALAND

$4.95 (AUD), $6.95 (NZ) inc. GST.

Canadian Franchising

Page 1

LATEST NEWS FINANCIAL ADVICE FROM THE BANKS TOP LAWYERS’ ADVICE

Franchisingw w w. c a n a d i a n f r a n c h i s e m a g a z i n e . c o m

C A N A D I A N

SUPPLIERFORUM

$5.95

IS

SU

E 2#

1 -

2015

T H E M A G A Z I N E F O R F R A N C H I S E E S

FOOD GLORIOUS FOOD M A I N F E AT U R E

VERA’S BURGER SHACK A I M S T O G O F R O M B E A C H S I D E T O C O U N T R Y W I D E

FINANCIAL MANAGEMENT K E E P I N G I N T O U C H

LATEST NEWS FINANCIAL ADVICE FROM THE BANKS TOP LAWYERS’ ADVICE

T H E M A G A Z I N E F O R F R A N C H I S E E SFranchising USAVOL 03, ISSUE 5, MAR 2015

$5.95 www.franchisingusamagazine.com

HOW TO BUY A FRANCHISE

STRATUS BUILDING

SOLUTIONS ON TRACK

MAIN FEATURE

HEALTH & BEAUTY FRANCHISING

Visit www.canadianfranchisemagazine.com to find out more

Page 40: Canadian Franchising Magazine  2#1

Page 40

For many small business owners the world of finance still remains a mystery. It used to be that you went to your bank and whatever the issue was, the bank would solve it.Unfortunately those days are gone and probably gone forever. Banks continue to retreat from the front line when it comes to funding the small business marketplace. This is not necessarily all bad news. For those that know their way around the financial marketplace they

can always find an opportunity in the secondary market. With the government initiative requiring banks to help their ‘rejected’ customers to access that marketplace, then perhaps there is no bad news at all.

The secondary marketplace is made up of a variety of lenders offering funding collateralized by a variety of assets. These lenders all tend to be asset based lenders as opposed to equity lenders, which is still the domain of the high street banks. There are, however, times when asset based borrowing can fit an entrepreneur’s requirements very well. In some cases this can even be ‘off-balance sheet’ funding, making it an attractive proposition for smaller growing companies.

exp

ert a

dvic

e You made it, you sold it - now fund it…

david banfield, President, the Interface Financial Group

David Banfield

Page 41: Canadian Franchising Magazine  2#1

Canadian Franchising

Page 41

One of the most flexible facilities in this market area is surely spot factoring or single invoice discounting. The flexibility that this service offers is readily embraced by SME’s that do not wish to, or cannot, enter into long-term factoring type agreements, or don’t have the volume requirements to meet the stipulations of conventional invoice discounters.

In an ideal world most small business owners would seek out a facility that was available as and when needed; there was no cost when the facility was not in use; and there were no restrictions on size of transaction, and naturally is was

cost effective. Is this just a pipe dream or reality? Such facilities do exist, so it becomes a reality situation.

In a typical spot factoring situation, the manufacturer or service provider has completed their service or delivered their product, they have invoiced their customer, and then the waiting game starts. Spot factoring removes the waiting by accelerating the cash flow to create an immediate payment against the invoice in question.

This type of facility can be engineered very quickly, initially a few business days, and then almost on demand for repeat business. So why wouldn’t everyone use this type of arrangement? The fact is that more and more expanding companies are seeking this type of quick and easy finance.

What causes a company to seek to accelerate their cash flow? Typically a faster cash flow creates a more healthy business, and one that has the capital it needs to expand. Growth is therefore a driving force in this area. As a company expands it will need more working

You made it, you sold it - now fund it…

“as a company expands it will need more working capital, and as it acquires that capital, it will grow again and thus will need more capital,

and so on.”

capital, and as it acquires that capital, it will grow again and thus will need more capital, and so on. It is a growth cycle that can consume cash as fast as it becomes available.

For many SME’s growth comes in the form of new customers that bring in orders, which push up sales at a dramatic and sometime exponential velocity. Dramatic rather than steady growth can severely hamper cash flow. New customers that are able to provide substantial orders often become in charge of the transaction. They have the buying power to dictate when they will pay, and the supplier - if they wish to retain the

business - has little option but to accept what often turns out to be extended payment terms.

This in itself should not be a problem as we have already discussed there are options in the marketplace to deal with a growth in receivables. Therefore the problem is readily solved - spot factoring turns those new sales into instant cash, and the growth cycle starts over again. On the face of it - a sound solution, but what happens when the customer says that they will not allow the invoices to be sold or discounted -now the problem becomes exasperated.

First, can a customer dictate what happens to their invoice? They certainly can and in many instances this restriction on assignability creates ongoing problems for the supplier. While there is no immediate solution to this issue, other than not dealing with such customers, there may be a glimmer of light at the end of the tunnel in that the Government is starting a consulting exercise with the industry group that represents asset based lenders to see if there is some ‘legal fix ‘to the problem.

There is no doubt that if this hurdle were removed we would see even greater growth in the small business sector. As a business owner you need to be savvy about what you can do with your company assets in terms of using them for a finance facility as it surely represents a great alternative to conventional lending.

David Banfield is President of The Interface Financial Group, a position that he has held for over 20 years. He has been instrumental in starting Interface as a franchise opportunity and building it to its current international status. Prior to his involvement with Interface, he worked extensively in the banking, credit and factoring financial service areas.

For more information visit: www.interfacefinancial.com

Page 42: Canadian Franchising Magazine  2#1

Page 42

bo

ok re

view

the stat is known to the franchising industry as “the notion that franchises have a success rate of 90 to 95 percent.” This belief has lead novice entrepreneurs to jump on board and start their own franchise businesses – usually finding that success is not that easy. In his new handbook Franchising Demystified, author and leading franchise management consultant Wayne Maillet lays out the pro’s and con’s of franchising and gives a realistic look at what it takes to succeed and thrive with your own franchise business.

Franchising Demystified, published through FriesenPress, is designed to help the reader effectively assess the right franchise opportunity for them and then maximize their return on investment. Using real life examples, Franchising Demystified breaks down the franchising process and gives readers a comprehensive understanding of the franchisee-franchisor relationship. Written for both experienced and novice franchisees, this book applies mistakes made by others to practical models of success.

Franchising Demystified is available for order from FriesenPress Bookstore, Amazon, and most other major online book retailers. The eBook edition is available for order for GooglePlay, Amazon Kindle, Kobo and Nook as well as other .pdf enabled devices.

about the authorWayne Maillet is the founder of Franchise Specialists, a full-service franchise development and management company. As an active member of the Canadian Franchise Association and the CFA Research Committee, Wayne brings 25 years of practical experience in all aspects of franchising operations. Respected within franchise circles, he has a realistic and practical understanding of business and franchising. Maillet’s experience in franchising has extended across North America and includes involvement in operations, strategic planning, franchise sales and brand development.

Contact Information Wayne Maillet 604-941-4361 [email protected] www.franchisingdemystified.com

Finding the right Franchise For You

“Written for both experienced and novice franchisees, this book applies mistakes made

by others to practical models of success.”

E x p e r t W a y n e M a i l l e t ’ s N e w H a n d b o o k H e l p s R e a d e r s R e a c h T h e i r F r a n c h i s i n g g o a l s

Page 44: Canadian Franchising Magazine  2#1

Page 44

When mr mIkEs opened its first restaurant in 1960 in vancouver, they set themselves apart from the competition with their cafeteria-style steakhouses. mr mIkEs was built on the idea that steak should be an attainable luxury.

hoW to reBrand Your Franchise

Established brands have the benefit of a tried-and-tested formula, but as market needs and consumer demands change, brands, no matter how beloved, need to respond with flexibility. In 2010, RAMMP Hospitality Brands Inc acquired MR MIKES and re-branded as MR MIKES SteakhouseCasual. With a 50-year-plus history, MR MIKES was confronted with the challenge of revamping a heritage brand to appeal to new customers without neglecting its roots of being a casual and affordable steakhouse – core values they built their business upon.

“We were speaking to a new generation, but we still wanted to retain MR MIKES’s come-as-you-are quality,” said Mike Cordoba, CEO of RAMMP. “When we rebranded, we stayed true to our roots, and our rebrand reflects both a sense of belonging and unpretentiousness.”

While defining your business’s brand identity is important, a rebrand isn’t necessarily the right strategy for everyone. Franchises need to access both the risks and rewards involved, but most importantly they need to define the why. For some it’s to attract new clients or they’ve outgrown their original brand identity, while for others they may be breaking into new markets. By first knowing your branding goals, it’s easier to take strategic steps to achieve them. Here are MR MIKES

SteakhouseCasual’s top four branding tips to consider.

External change must match your internal strategy When you’ve acquired a new brand it may be tempting to make sweeping cosmetic changes. While a new coat of paint, updated logo and new menu offerings are great in theory, the changes need to reflect your company’s internal brand strategy. It’s not enough to change for change’s sake.

When RAMMP acquired MR MIKES, they rebranded as MR MIKES SteakhouseCasual. “We were excited to establish MR MIKES in a new dining category that we like to call ‘SteakhouseCasual’”, said Cordoba. “For existing customers they could be assured it was still the MR MIKES they knew, while the ‘SteakhouseCasual’ reflected the idea that going out for a steak didn’t have to be reserved for special occasions only, it could still be accessible and affordable for anyone.”

tailor your messageMake sure you don’t diffuse your brand identity by trying to be all things to everyone. Trying to attract both kids and the happy hour crowd are vastly different segments. By knowing who your target audience is, it’ll be easier to tailor all

Mike Cordoba

mike Cordoba, Partner, Empresario Capital

exp

ert a

dvic

e

Page 44

Page 45: Canadian Franchising Magazine  2#1

“learning from the mistakes of others will allow you to avoid the potential landmines

and maximize your success and returns on investment.”

your touch points to speak to them.

MR MIKES SteakhouseCasual has chosen to grow their business in small booming towns and select cities across Western Canada, where the demographics match the core and loyal MR MIKES customers. By targeting men and women between ages 25 and 50 in growing areas, they are presenting new options to people looking for a place to relax and enjoy a social dining experience.

make it local While franchises share a brand identity, they don’t have to be cookie cutter. There are still opportunities to make the brand local to your market. MR MIKES SteakhouseCasual has a feature wall at the entrance of each restaurant that welcomes customers to their location. Be it adding a local beer to the menu or fundraising for a local charity, there are ways to bring a regional kick to what is a general business model.

“When we look for potential partners,

we are looking for local ownership,” says Cordoba. “The business is much stronger when you can bring aboard someone who has established connections in the community. It also aligns well with our value of giving back to the community that we work and live in.”

stay social Staying social is more than being active on different social platforms. It’s important to remember that connecting to your customers on Facebook, Twitter, Instagram or LinkedIn is about having a conversation. No one wants to only hear about the Wednesday night wings promotions every week. Social media is a handy tool to also monitor what’s being said about you and your brand persona.

“Be it a compliment or a complaint, we engage so we can jump in on the conversation to share a laugh or to ensure any issues are immediately addressed,” says Cordoba.

Not everyone is savvy on social media. Give your franchisees clear social media

guidelines and ensure they are familiar with the dos and don’ts of representing your brand in the social media space.

Mike Cordoba is one of four founding partners at Empresario Capital, with investments in the restaurant industry including the MR MIKES SteakhouseCasual franchise. He is a chartered accountant and graduate of Business from Simon Fraser University and is one of Canada’s top 40 Under 40 award winners.

Cordoba has more than 20 years of hands-on operational experience in restaurants and retail, including 15 years in various senior roles including Executive Vice President of Finance, President and Chief Executive Officer.

For more information on MR MIKES Steakhouse Casual Franchise Opportunities please contact: Rick Villalpando, Vice President Business Development 604.535.5002 www.Mrmikes.ca.

Canadian Franchising

Page 45

Page 46: Canadian Franchising Magazine  2#1

Page 46Page 46

Franchise Gator

Franchise Gator introduces potential franchisees to their future success by being what General manager Eric bell calls “the leading destination for those looking to invest in a business or franchise opportunity.”With a directory of over 2000 franchise and business opportunities to browse through, the website is a one-stop destination for those interested in getting free information about franchise opportunities so they can begin their exploratory process.

In business since 2002, Franchise Gator is a place where franchisors can advertise their opportunity to those interested in buying a franchise. Franchisors can contact Franchise Gator to be featured on the website and in turn benefit from the traffic that comes to start down the path of business ownership.

But, of even bigger benefit for franchisors, Bell pointed out, is the amount of traffic Franchise Gator sends to the various franchisors’ franchise development websites. Franchise Gator has recently started tracking this traffic, and is therefore specifically able to illustrate to its customers the additional value a campaign brings along with the leads generated from the site itself.

“That’s where a lot of the higher quality leads are generated,” Bell said during a recent interview from Franchise Gator’s headquarters in Roswell, GA.

sp

otlig

ht o

n s

ervic

e

Franchise gator H E L P S F R A N C H I S E E S S N A P U P F R A N C H I S E O P P O R T U N I T I E S

What makes Franchise Gator different from its competition, Bell said, is that it drives more traffic to its own site than any of its direct competitors. And not just more traffic, but more relevant traffic.

The company’s customers are having great success with the leads Franchise Gator generates for them, the General Manager said. And, he can say that with confidence because according to the Franchise Benchmark Report, a quarterly report ranking the top franchise portals, Franchise Gator routinely ranks No. 1. In fact, Franchise Gator was ranked No. 1 throughout all of 2014.

There is a need for a site like Franchise Gator, Bell said, because prospective franchisees want one destination to browse franchise opportunities. It can be problematic to rely on Google to search for franchise opportunities, he said, because only five or 10 opportunities come up at a time. Additionally, those opportunities don’t come up because they are the best fit for that candidate. They come up only because their website is optimized better than the others. The

end result is that there are just too many franchise opportunities that remain unseen.

For this same reason, Franchise Gator is equally valuable to franchisors. With Franchise Gator, they have an opportunity to be seen by thousands of potential franchisees that they otherwise would have a hard time getting in front of.

“It’s very hard to compete with all the other franchises out there for Google real estate,” Bell said.

The Franchise Gator directory is searchable by industry type, location, and investment amount. In addition to its directory, the Franchise Gator site also features numerous resources to help franchisees get started with searching for and purchasing a franchise. It also releases its own Top 100 rankings of franchise opportunities each year.

Franchise Gator can often be someone’s first stop to business ownership. A fact that, Bell says, “makes the Franchise Gator team very proud.”

Franchise gator crew at the International Franchise Association Show this past February in Las Vegas

Page 47: Canadian Franchising Magazine  2#1

www.franchisegator.com/advertise

H E L P S F R A N C H I S E E S S N A P U P F R A N C H I S E O P P O R T U N I T I E S

ranKed #1 FranchiSe directory on the FranchiSe BenchmarK report

FRANCHISE gATOR IS A TOP RESOURCE FOR FRANCHISORS

here are just some of the benefits your Franchise will receive when you work with Franchise Gator: • Franchise gator charges on a per lead

basis. You only pay for what you get.

• gator Tracks – link directly to your franchise development website

• gator Dashboard – an online tool for prospective franchisees which creates a higher quality, more engaged candidate

• Canadian traffic growing by leaps and bounds

CONTACT US TODAY TO SEE HOW FRANCHISE gATOR WILL HELP YOUR FRANCHISE

[email protected] | www.franchisegator.com/growWithgator

877-73-gATOR

Page 48: Canadian Franchising Magazine  2#1

Page 48

readers of our new book, negotiating Commercial leases & renewals For dummies, will learn (in part) that virtually every franchise system has franchisees that are doing well or struggling.

exp

ert a

dvic

e

importance of location

Jeff Grandfield and dale Willerton, the lease Coach

T H E L O C A T I O N Y O U L E A S E I S M O R E I M P O R T A N T T H A N W H I C H F R A N C H I S E Y O U B U Y, A N D H E R E ’ S W H Y

Page 49: Canadian Franchising Magazine  2#1

Page 49

Canadian Franchising

Franchises operate on a “cookie cutter” system where each franchise store should more-or-less look and operate the same. The one main variable is the location occupied. Over 95% of all franchises lease their location. Therefore, the site you lease (and the lease terms) largely determines your success.

It is critically important that you establish and manage your expectations of the Franchisor regarding your business location and your lease terms. Here are some tips:

1 headlease or subleaseWill the Franchisee lease his/

her space directly from the landlord or sublease it from the Franchisor? We have written entire articles on this subject in which we explain that one route is not necessarily better than the other; it’s understanding the pros and cons as they apply to you, and getting a fair shake.

Should you sublease, you would want to make sure you receive all inducements. Such inducements are benefits offered by a landlord to a prospective Franchisee tenant in order to encourage that prospective tenant to sign a lease commitment. If your Franchisor enters into a headlease agreement with the landlord and receives monetary inducements and free rent following those negotiations, don’t assume those inducements are all being passed on to you.

2 site selection A disgruntled entrepreneur who

recently contacted The Lease Coach had signed a franchise agreement and then began the site selection process independently. The Franchisor was not actively helping the Franchisee look for a site and rejected every selected site. After several months, the frustrated Franchisee broke away from the Franchisor and opened an independent store. Discuss the Franchisor’s site selection and approval process in advance.

3 real Estate training and support

Many Franchisors do not offer substantial training or support to the Franchisee regarding site selection or commercial lease negotiating. However, almost all Franchisors claim they will handle the real estate aspect of the deal. If all the Franchisor does is turn you over to a local real estate agent (who is being paid a commission by the landlord) then who is really representing you, the franchise tenant? This scenario happens allot. Remember, your name is going on the lease agreement and you are the one paying the rent. You must take charge of the leasing process.

4 territory rights A Franchisee will normally receive

rights to operate from a specific territory or for a site specific location (meaning a particular plaza or mall). Either way, you must try to establish your area and exclusive rights therein as part of the franchise agreement. Frequently, Franchisees will complain to us that their Franchisor put another store too close to their store or territory, thereby dividing the business the Franchisee thought he/she would get from a local trading area. Your competition may not only be from a competing franchise system but right from within the franchise system you joined.

5 lack of suitable sites for lease

A well known Franchisor was directed by the court to refund over a million dollars in franchise fees it had collected from new prospective Franchisees because the Franchisor had essentially oversold the territory and could not produce suitable sites in a timely manner. Meanwhile, many of those Franchisees had quit their jobs and wasted up to a year trying to get into business.

Furthermore, one Franchisee who we

were consulting to specifically picked a certain franchise concept to join because there were none of those stores in his immediate trading area, near the Franchisee’s home. After signing the franchise agreement, the Franchisee started to look into leasing some of the plazas in his area. Unfortunately, all of these great locations for lease were more expensive than the rent proforma allowed for by the Franchisor. You must remember that what you see is not always what you can afford when it comes to leasing space.

As a potential Franchisee, you must remember that whether you thrive or fail is largely dependent on the commercial or retail site you occupy and the lease terms you agree to.

For a free CD, Leasing Do’s & Don’ts for Franchise Tenants, please e-mail [email protected]. Speaking and training enquiries welcomed.

Dale Willerton and Jeff Grandfield - The Lease Coach are Commercial Lease Consultants who work exclusively for tenants. Dale and Jeff are professional speakers and co-authors of Negotiating Commercial Leases & Renewals For Dummies (Wiley, 2013). Got a leasing question? Need help with your new lease or renewal? Call 1-800-738-9202, e-mail [email protected] or visit www.TheLeaseCoach.com.

importance of location

“Will the Franchisee lease his/her space directly from the landlord or sublease it from

the Franchisor?”

Page 50: Canadian Franchising Magazine  2#1

fr

an

ch

ise

& s

er

vic

es

dir

ec

to

ry

baskin robbins

named the top ice cream and frozen dessert franchise in the United states by entrepreneur magazine’s 36th annual franchise 500® ranking in 2014, Baskin-robbins is the world’s largest chain of ice cream specialty shops. Baskin-robbins creates and markets innovative, premium hard scoop ice cream and soft serve, custom ice cream cakes and a full range of beverages, providing quality and value to consumers at more than 7,500 retail shops in nearly 50 countries.

Baskin-robbins was founded in 1945 by two ice cream enthusiasts whose passion led to the creation of more than 1,200 ice cream flavors and a wide variety of delicious treats. in 2013, more than 13 million ice cream cakes were sold in Baskin-robbins shops worldwide. headquartered in canton, Mass., Baskin-robbins is part of the dunkin’ Brands Group, inc. (nasdaq: dnKn) family of companies. for further information, visit www.Baskinrobbins.com.

to learn more about franchising opportunities, visit www.baskinrobbinsfranchising.com

Dickinson Wrightour franchise and distribution law lawyers are some of the most widely published and most respected practitioners in the world and have decades of experience representing a broad spectrum of businesses, from start-ups to multi-national and multi-brand enterprises, in a vast range of industries. With access to dickinson Wright’s full scope of capabilities, we support our clients in their every need, including:

• Creatingdomesticandinternationalfranchiseanddistribution networks

• Preparationofdisclosuredocumentsandmaterials• Draftingandnegotiatingfranchiseanddistribution

agreements, including unit, area, development, master and international agreements

• Draftingandnegotiatinglicenceanddealeragreements

• Litigationandalternativedisputeresolution

• Marketing,advertising,promotionsandcontests

• E-commerce

• Regulatorycompliance,withparticularemphasison franchise disclosure laws, product licensing and competition law

• Protectingtrademarkandotherintellectualpropertyrights

• Purchaseandsaleofindividualunitsorcompletesystems

• Leasingandrealestateacquisition

• Corporateandpersonaltaxplanning

• Corporateandbusinesslaw

• Employmentandlabourlaw

Phone:416-646-3842

Dogtopiadogtopia, the award winning north american dog daycare franchiseandrecipientofInc.500/5000ListofAmerica’sfastest Growing companies and entrepreneur’s franchise 500, continues to follow its aggressive growth strategy to open 40 morelocationsacrossCanadainthenext7-8years.

dogtopia recently opened the doors to their first canadian franchise location in coquitlam, B.c. http://www.dogdaycare.com/coquitlam and has quickly followed up by opening in both calgary http://dogdaycaremccall.com/ and Mississauga http://www.dogdaycare.com/erindale/ markets in March 2015.

LeadingDogtopia’smovetoCanadaisfranchiseindustryexpertandDogtopiaChairman,PeterThomas,whopreviouslybuilttheCentury21franchisesysteminCanada.Peterquicklyrecognized that canadians are spending more than ever

on their pets, yet there was a lack of daycare options with a standardized set of quality and safety regulations put in place.

dogtopia is now positioned to become the leading dog daycare franchise in north america. the brand launched a very aggressive growth initiative to rapidly grow its footprint to more than 400 locations in the U.s. and canada over the next seven years.

dogtopia’s expansion into canada comes as a response to strong year-over-year growth of the non-medical pet services industry.AccordingtotheCanadianPetMarketOutlook2014

report, 57 percent of canadian households currently own a

pet, equating to roughly 7.5 million households. canadian pet

spending in 2013 reached up to $6.6 billion, a figure that has

beenrisingsteadilyandisexpectedtoreachasmuchas$8.3

billionperyearby2018.

FireD – Up pizza

Fired–UpPizzaisamobilefiredpizzieriathatoffers fresh made thin crust wood fired pizzas, calzones, fired pies and fired dogs that will guarantee to satisfy appetites for something different.

FiredupPizzInchasdevelopedandownsaunique propriety franchise system relating to the establishment, development and operations of a mobile restaurant trailer, specializing in the sale of wood fire pizza, calzones, fired dog and fired pies that are prepared using the best ingredients

available and cooked using a wood fired oven. the franchisor will train new franchisees uniformily to its high standards of quality and service. seasonal business 7-12 months depending on area – easy to learn system - Turn-keyoperationwithin48hoursofconcessiontrailerdelivery–StrongGPM–EstimatedROI 1.5 -2 years.

for more information Tel:8667466999or email [email protected] www.firedup-pizza.com

Franchise gator

franchise Gator is the leading destination for those seeking to invest in a franchise or business opportunity.

serving the franchise community since 2002, franchise Gator has consistently ranked as the #1franchisePortal.

With a directory of over 300 franchise opportunities to browse through, the website is a one-stop destination for those interested in getting free information about franchise

opportunities so they can begin their exploratory process.

the franchise Gator directory is searchable by industry type, location, investment amount and by top franchises. in addition to its directory, the franchise Gator site also features numerous resources to help franchisees get started with searching for and purchasing a franchise. it also releases its own top 100 rankings of franchise opportunities.

Formoreinformationphone:6787483000or email [email protected]

Page50

Page 51: Canadian Franchising Magazine  2#1

Page 51

the interface financial group – ifg 50/50 the Interface Financial Group – IFG 50/50 is an affordable home-based franchise that provides short-term working capital to small and medium-sized businesses by purchasing current, quality invoices at a discount, thus accelerating the client’s cash flow and growth.

all transactions are syndicated 50/50 with the franchisee and the franchisor, and that means less working capital required to fund transaction: IFG does the bulk of the due diligence and the ‘paperwork’ for the transactions, and IFG 50/50 franchisees will concentrate their efforts on building the referral relationships – they do the ‘people work’.

key advantages of being an IFG 50/50 franchisee include:

• Nostafftohire,fire,ormanage• Nostorefronttoown,lease,ormaintain• NoInventoryorstocktopurchase• NoextensivetravelbecauseIFGfranchiseesdobusiness

locally• Business-to-Business,professionalenvironmentwith

regular business hours of operation• Flexibilitytorelocateforpartoftheyearorpermanentlyand

continue doing business

our franchisees are excellent communicators, relationship builders with decision-making and problem-solving skills, and much more sales & marketing oriented.IFG has been in the ‘invoice discounting’ business since 1972, and employs its franchise network around the world.

www.interfacefinancial.com

c m y k0 80 90 5

c m y k0 80 90 40

c m y k0 18 43 0

Rich Blacksc m y k63 52 51 100

Vera's Burger Shack® Logo CMYK (RICH BLACKS & ART AND TEXT CONVERTED TO OUTLINES

Vera’s Burger shacK the consecutive winner of “best burger” awards in vancouver’s largest readership polls for more than a decade, vera’s burger shack is a preferred supplier of the bC lions and thE place to watch the game and enjoy a fresh, tasty burger.

vera’s burger shack started as a beach concession in 1977 under the watchful eye of vera and her husband Frank. vera prided herself on serving the freshest, tastiest burgers, fries and milkshakes around and had a passion for looking after the people who came down to the beach, sometimes daily, for lunch or dinner. In 2000, Gerald tritt, a

family friend, took over the concession and, under his watchful eye, continued the traditions that have made “vera’s” an institution among locals and tourists alike; namely quality and freshness.

since 2001, Gerald and his business partner, former bC lions defensive tackle, and four-time Grey Cup Champion, noah Cantor, have grown vera’s burger shack into a thriving, award-winning burger chain with 15 locations across the lower mainland, one in ottawa, and with plans for expansion into alberta. tel: 604.683.8372

Website: www.verasburgershack.com or Email: [email protected]

z-teca

Z-teca (pronounced “zee-tek-ah”) is a Canadian fast-casual Gourmet burrito concept operating since 2007.

ten (10) locations are currently operating and many more under development. We serve premium quality mexican foods, such as two-handed burritos, burrito bowls, salads, tacos and Quesadillas, all made fresh daily in our kitchens and prepared to order.

the burrito category is experiencing significant

growth and we are looking for burrito aficionados

– quality franchise partners who share in

our vision and are hungry for success. area

developers and master Franchises are also

available for the provinces of Quebec, alberta

and british Columbia.

If you have what it takes and want to get on board

with a quality burrito concept, give us as call:

416 636 3181 ext 222 or email [email protected]

canadian franchising

intRoducing ouR neW a-z LiSting Section!

making an appearance every issue in Canadian Franchising magazine, each detailed, 4 color a-Z listing comes with a 150 word write up and your logo.

Excellent for branding and recognition.

Choose a 12 or 6 month package or simply add the a-Z directory onto your FoCus, ProFIlE or ad!

to learn about the a-Z directory or any other products, please contact kimberly kutnick: [email protected] or 847-607-8407.

www.franchisingusamagazine.com

sherpa Kids sherpa kids will work and engage with all stakeholders to ensure continuous learning that meets children’s needs. We pride ourselves on creating a nurturing and caring environment for the care of your school-aged children. We do this through a structured and well-balanced program in before, after school and vacation care services.

become a sherpa kids Country master Franchisee and make an investment on two levels.

your new life will be rewarding financially and personally as you help school communities and franchisees achieve their business and lifestyle goals.

Each member of the sherpa kids Franchise system has an important role to play.

the success of every individual Franchise strengthens the sherpa kids brand. a growing Franchise system means greater marketing and advertising power, more brand awareness, higher market penetration, new and improved systems, and more team members to share knowledge, ideas and strategies.

already operating in 6 countries – australia, new Zealand, south africa, England , Canada and Ireland.

Contact: vicki Prout Email: [email protected] Phone: +61 8 8354 4886; mobile: +61 4 3980 3078 Website: www.sherpa-kids.com

Fr

an

Ch

IsE

& s

Er

vIC

Es

dIr

EC

to

ry

Franchisingc a n a d i a n

T H E M A g A z I N E F O R F R A N C H I S E E S

Page 51

Page 52: Canadian Franchising Magazine  2#1

Page 52