Franchisor and Franchisee relationship building!

First, recall that franchising can be said to be a balancing act between entrepreneurship, where one makes one’s own decisions, and following procedures set by another, being the franchisor. For me, the term in French “l’entrepreneurship encadré” (or, entrepreneurship within a set framework) often used to describe franchising is self-explanatory. But it will be good to elaborate, just the same. Both franchisors and franchisees are entrepreneurs who choose to come together and operate within a set of guidelines in order to provide a standardized service to a client. From a client’s perspective, franchising is attractive because familiarity with a banner leads to the comfort that goes with the expectation of receiving consistent quality, irrespective of location.

From the franchisee’s standpoint, instead of starting a business with a new concept, the franchisee-entrepreneur starts a business with a well-known, established concept. The idea is that the chances for success in business would be greater given that half the proverbial battle is won: the franchisor’s concept has already been accepted by the marketplace. There are existing consumers for it. Now for the next part of the hard work: execution of the concept and delivering the service. The franchisee is responsible for running the business by applying the franchisor’s formula to achieve the consistent results. However, the franchisee is not alone for, among other services, the franchisor would provide advisory services to the franchisee.

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