Franchise Development Programs

Franchise Development Programs

A. Franchise Readiness Review (FRR) 

Our Franchise Readiness Review (FRR) Service is WFA’s “franchise-ability” assessment designed to help a successful brand determine where it stands in terms of its readiness to expand via franchising and what steps it needs to take to develop a successful franchise development business and model with the capability to launch a franchise marketing and recruitment campaign and recruit and retain domestic and international franchisees. Upon completion of the FRR a brand will have sufficient information to determine a strategy for moving forward with their franchise development initiatives which could include proceeding with the comprehensive WFA Franchise Development Program (FDP) described herein.

  1. Pre-work – Data collection/preparation relating to business/brand based on FRR checklist
  2. Franchise Readiness Review Discussions
    a. First Things First
         i. Profitability
         ii. Competitiveness
         iii. Commitment
    b. Organisational Structure
    c. Organisational Capability
    d. Brand Positioning
    e. Operating Platform (Systems, Tools & Processes)
  3. The 8 Ps to Franchise Perfection
  4. Recap/Summary
  5. Submission of Readiness Review Report
  6. Review of Readiness Review Report

Project Timing – Two (2) days for the review followed by a full written assessment/report with recommendations within seven (7) days.

B. Development & Marketing (D&M) Service

Our Development & Marketing (D & M) service is a service that WFA offers to existing franchise businesses who have already developed foundational systems, tools and processes to support their domestic development but require the additional systems, tools and processes necessary to support their international franchising and expansion initiatives. This service has Three key phases with the first 2 phases focusing on the development of materials needed to manage the initial franchise recruitment process and long-term franchise relationship with international master franchisees or area developers respectively. The 3rd phase of this service is our standard omni-channel M&R Service detailed in Item 1. The following is a detailed outline of this service:

Phase 1
Franchise Recruitment Process (Development)

1. Development Model:

  • Type of Franchises offered
  • Commercial terms
  • Structure
  • Development Expectations
  • Support commitments

2. Development Plan:

  • Primary target markets
  • Secondary markets
  • Opportunistic approach

3. Development Process:

  • Preliminary Evaluation
  • Advanced Evaluation
  • Final Evaluation
  • Negotiations/Agreements
  • Market Entry Planning

 

Phase 2
Franchise Relationship Management (Operations)

Establishing & Systematizing the International Operations Process:

  • Territory Profiles
  • Organization Structures
  • Job Descriptions
  • Reporting Relationships
  • Business Plan Formats
  • Operations Checklists & Forms
  • Marketing Information
  • Trademark Information
  • R&D/QA Information
  • Non-Disclosure Agreements
  • New Product Test & Approval Process
  • Real Estate Acquisition Process
  • Restaurant Design Prototypes
  • Sign Specifications
  • Menu Board Guidelines
  • Equipment Specifications
  • Training Information
  • Finance & Financial Information, Reports & Forms
  • Royalty Reporting & Remittance

Phase 3
Franchise Marketing Activities
(Recruitment)

12 month recruitment exercise based on WFA’s Annual Marketing & Representation Program.

Project Timing – Typically four (4) months for Phase 1 & 2 with Phase 3 to kick-off at the completion of Phase 1 and run for 12 months as described in Item 1 above.

C. Franchise Development Program (FDP) Service

Our Franchise Development Program (FDP) Service is WFA’s comprehensive development program made up of all the key elements required for a successful brand to become, in addition to a successful operator, a successful franchisor capable of launching a franchise marketing and recruitment campaign and recruiting domestic and international franchisees. Upon completion of the FDP a brand will be able to effectively introduce and equip the franchisees with the their “system” and prepare them to open and operate your outlets Client including comprehensive pre-opening, opening and ongoing support. This services also includes our standard omni-channel M&R Service detailed in Item 1 above. The following is a detailed outline of this service:

Phase 1
Analysis; Planning & Structure (APS)

  • Phase 1 - Initial Consultation/Review
  • Franchise Readiness Review (FRR)
  • Franchise Structure

a. Business/Brand Profile
b. Franchise Offering
c. Development Target
d. Franchise Support System
e. Team Capability & Needs

  • Fees & Sources of Revenue

a. Initial Franchise Fees
b. Opening/Development Fees
c. Recurring Royalties
d. Advertising Contributions/Expenditures
e. Service-Related Fees
f. Supply/Product Related Fees
g. Other Fees/Revenue Sources

  • Phase 1 - Final Consultation/Review

 

Phase 2
Franchise Development Systems, Tools & Processes (STP)

  • Phase 2 - Initial Consultation/Review
  • Needs Analysis/Initial STP Outline
  • Phase 2 – Intermediate Consultation/Review 1
  • Finalize STP Outline
    • Draft STP Submission
    • Phase 2 – Intermediate Consultation/Review 2
    • Final submission of STP
    • Phase 2 – Final Consultation/Review

Phase 3
Franchise Document Suite (FDS)
(Recruitment)

  • Phase 3 - Initial Consultation/Review
  • Needs Analysis/Initial FDS Outline to include:

a. "Key Terms" summaries
b. Letter of Intent (LOI)/ Memorandum of Understanding (MOU) 
c. Franchise Agreement (FA)
d. Master Franchise Agreement (MFA)/ Area Development Agreement (ADA)

  • Phase 3 – Intermediate Consultation/Review 1
  • Finalize FDS Outline
  • Draft FDS Submission
  • Phase 3 – Intermediate Consultation/Review 2
  • Final submission of FDS
  • Phase 3 – Final Consultation/Review

Phase 4
Franchise Marketing & Representation
(Recruitment)

12 month recruitment exercise based on WFA’s Annual Marketing & Representation Program.

Project Timing - Typically five (5) to seven months (7) with exact timing to be determined after an Initial Consultation and review meeting at Client headquarters and outlets in country.

D. International Development Support (IDS) Service

Our International Development Support (IDS) Service is an optional service that WFA can offer to a Client in conjunction with any of the other services introduced above and involves WFA providing operational oversight and management support to the Client in connection with new market entry and opening preparations for a new country or territory which is opening as a result of Client entering into a Master Franchise Agreement (MFA) or Area Development Agreement (ADA). 

Project Scope & Outline
Includes executive oversight and guidance with Developing & Implementing a New Market Entry & Initial Outlet Opening Project Plan and Timeline and with coordinating implementation of the project plan between the Client and a newly appointed Master Franchisee or Area Developer. During the Project Term WFA will provide leadership, guidance and support with the objective of enhancing the Clients organizational capability/competence relating to the formative market entry and opening phase of the business in the new country/territory so that the by the end of the project Client’s team will have received sufficient mentoring and training to be able to managing the ongoing relationship with the Master Franchisee or Area Developer and also manage new market entry projects as additional Master Franchisees or Area Developers are recruited.

Project Term - Typically 6 months; extendable for an additional 6-month period at client’s option.