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FOPS Franchise Magazine | ||||||||||||||||||||||||
Solutions Franchising is the licensing of a business principle or practice which provides a rapid increase in operational capacity with strictly regulated investment and management. The originator of the business is known as the Franchisor. The person taking the Licence is known as a Franchisee and the development of the business becomes his responsibility. Franchising is THE answer to profitable expansion. Every ambitious enterprise seeks to expand but there are limited routes available to achieve this expansion. Traditionally, an increase in investment will expand the capacity with related increase in overheads. With this expansion of “material investment” comes an increase in the need for greater control and inherent management difficulties. lternatively, an improvement in productivity and efficiency from existing capacity will provide an expansion of profits and output. A dramatic improvement in profitability will result from a reduction in central resources and the creation of greater local success. Franchising may also release invested capital in this way. The information contained here will serve as a guide. It is aimed particularly at the potential or existing Franchisor who seeks to use the franchise method to improve his business. The requirements in constructing, launching and operating a franchise network are explained, the techniques and experience available from our franchise Consultancy are detailed. |
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