Obligations as a Franchisee
The following list covers many of the likely obligations relevant to a franchise owner to ensure you are complying with the franchise system and franchise agreement. These obligations may vary from system to system, ensure that you confirm your obligations under the Franchising Code of Conduct and your specific franchise agreement.
Setting Up Your Business
- Business structure confirmed and partnership agreement entered into (if required)
- Manager appointed and approved in writing by the franchisor
- Setting up Your Store Checklist completed
In order for franchises to be effective the franchisor’s systems, standards and procedures – as outlined in the Operations Manuals – are to be applied.
- Operating hours adhered to
- Operations checklists used daily, weekly and monthly
- National promotions completed to the required standard
- Attend mandatory training sessions arranged by the franchisor or approved suppliers
Communication and Meetings
Maintain excellent relationships with the franchisor and suppliers, both of which are vital to the success of your business.
- Store management meetings conducted monthly
- Attendance at state/territory meetings
- Attendance at national conference
Business Plans and Reports
Planning and reporting is a critical element for business success.
- Develop a plan illustrating how you intend to develop the business in the short term and the long term
- Profit & Loss Statement completed and reviewed monthly, submitted to the franchisor quarterly
- Balance Sheet completed and reviewed monthly
- Competitor checks completed monthly
- Purchase budget created and reviewed weekly
- Business plan completed and reviewed quarterly, submitted to the franchisor annually
Providing customers with consistent excellence in customer service is the key to success, and to growing your business.
- Customer service (over the counter) standards delivered every day
- Customer service (on the retail floor) standards delivered every day
- Customer service (over the telephone) standards delivered every day
- Customer complaints standards delivered, when applicable
- Refund policy displayed prominently and visible to the customer
- Refund policy adhered to
- Price match policy displayed as per the standard
- Price match policy adhered to
- Store discounting policy developed, implemented and monitored
- Gift card processing to the required standard
- Lay-bys processed as per the standard
Occupational Health and Safety and Store Security
Maintaining a clean, safe and secure environment for both customers and team members is good business practice and required by law.
- Health, safety and security policies and procedures, compliant with local OHS legislation implemented, monitored and reviewed annually
- Bag check policy implemented and monitored
- Cleaning and sanitising procedures adhered to
Site Presentation Standards
- Site presentation standards adhered to
- Corporate Style Guide standards adhered to
Having effective people management practices can increase sales, margins and profits.
- Employment legislation and guidelines provide in the franchisor operations manual is adhered to
- Program in place to develop and educate team members (regular training provided)
- Team member turnover is kept to a minimum level