Multi-Unit Franchisee Magazine Issue I, 2015 | Page 55
FUND-AMENTAL CHANGE?
Franchisees also should take note of the
power of collaboration. This endeavor is
essentially an exercise in demonstrating
the power of collaboration. When franchisees get together and pool our resources,
it allows us to do far more than any one
of us could have done individually—because we have a resource which, in franchising, is more powerful than funding:
we are operators.
There are just so many tracks this
endeavor tries to address: the sophistication of franchisees, the recognition
of their financial power, how franchisees
can rise to the next level, the inequities
in franchising between risk-adjusted
franchisor and franchisee returns, the
growing inequities in franchising in
terms of the relationship, the franchise
agreement, it goes on and on. It sounds
like we’re trying to take a stab at all of
these issues through just one structure.
We’ll see how far we get, but I’m very
optimistic, and most of the people I talk
with feel this is a really important first
“This fund is owned
by franchisees,
and we’re
buying brands we
believe in.”
step and will lead to, hopefully, many
other steps by many other people that
will continue this work.
How do you think this will affect
the future of franchising? People
who are familiar with what I’m doing say
this represents a significant innovation
in franchising and a turning point in the
growth of franchisees. When people come
up to me and say, “This is going to change
the face of franchising,” I don’t take that
stuff lightly. This is going to change the
future of franchising because it’s going to
be the equalizer, rebalancing the scales
between franchisors and franchisees. It’s
going to make franchisees stakeholders
in the franchisor in real terms, not in lip
service. This represents major innovation
in that it allows sophisticated franchisees
access to “the other side of the trade,” that
is, being able to participate in franchisor
ownership, in the royalty collection part
of the business.
Number two, we have a fund now
that, potentially, will provide that Good
Housekeeping Seal of Approval. It will
not guarantee anything, but will say
that, for at least the brands we buy, they
have been vetted by other franchisees.
We didn’t buy a brand because it was a
way to make money at the expense of
the franchisees. This fund is owned by
franchisees, and we’re buying brands we
believe in. And as I mentioned, a lot of
our limited partners will be developers
of many of the brands we buy. So that’s
a huge innovation as well. This is really
a big game-changer—and should have
been done a long time ago.
WE DID
fresh & tasty
LONG BEFORE IT WAS TRENDY.
Franchises Available
in Key Markets.
Contact Perkins® today:
[email protected]
1-800-877-7375
www.perkinsrestaurants.com/
franchise-opportunity
This advertisement is not an offer to sell a franchise.
© 2015 Perkins & Marie Callender’s, LLC
MULTI-UNIT FRANCHISEE IS S U E I, 2015
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