how much should one charge for FRANCHISING?

[bad driver]

Ano po ang typical rate pag may gustong magfranchise ng business nyo?

is it 1/5th or 1/4th of the initial investment needed, etc? eh yung name lang ang kukunin at hindi na kami magbibigay ng tech support?

I really have no idea. thanks.

[amboy]

i dunno if there's an industry wide standard for this, but franchise fee pricing is very subjective. if you're franchising a new product/name in the market, chances are low pa ang franchise fee niyan (P150k - 300k) as they have yet to establish a name for themselves. pero if you're franchising a known brand na, sigurado mahal na yan. at the end of the day, it's the perception of getting your money's worth that's the ultimate benchmark for franchise fee pricing.

[bad driver]

ayt thanks! anymore input would be appreciated. just to give you an idea, the business costs 800 k initially.

isa pa lang branch namen pero magande yung set up kaya cguro na-attract. the truth is, anyone could set it up on their own. cguro wala syang time to do the leg work.

[theveed]

may operations manual and all the legal bases covered ka na ba pre?

if not, i suggest you hire a franchising consultant instead, daming intricacies kasi sa deal that you need to address eh...

[1D4LV]

bad driver: ano yung business?

[kimpOy]

oo nga ano ba yan pinapa franchise mo?

PM mo naman sa akin oh

[boybi]

pwede mo ba ipost kung anong klaseng business yan? baka maraming maging interested dito. if not, pa PM nalang rin.

[111prez]

may operations manual and all the legal bases covered ka na ba pre?

if not, i suggest you hire a franchising consultant instead, daming intricacies kasi sa deal that you need to address eh...

yep, tama si theveed

you want to be sure that fully protected ka legally with respect to your rights, obligations, undertakings, guarantees, liabilities and most especially with your intellectual property

[theveed]

madami kasing factors eh, isa na yun, yung kailangan registered sa IPO yung trademark mo, mga 2 years hintayan nyan.

tapos syempre you must work out a deal na fair to both parties sa long term.

legalities will cover both of your a$$es when it comes to either party not living up to expectations whether sa operations, reporting of sales, supply of inventory, support etc.

bili ka entrepreneur magazine, may mga consultants dun naka ad sa likod.

[bad driver]

Wow, ok Theveed, thanks. dami palang technicalities. pwede kayang parang agreement between 2 parties muna since sobrang bago lang business namen?

yung fair to both parties in the long term, eh, since name lang and initial set-up ung gusto nila, it really depends on their location and how they run it na

right now, The only thing we can protect is the nice logo and design of the area. hehehe.

We will talk to a franchising consultant then now that I know that there is such a person. hehe.


Boybi, Kimpoy and Happy Gilmore, PM ko nalang. btw, it's nothing revolutionary, ok? just a simple business.

[odell]

ako rin ser pa pm.. im interested to venture into new things

[bad driver]

Ok, will pm you, Odell,

pero medyo kailangan ng micromanagement nito, hehe.

Pero kaya nga ako nagtatanong guys kasi wala talaga kaming balak ifranchise. hehe... may nagtanong lang and wants to hold a meeting.

[theveed]

bad driver: di kita dinidiscourage bro hehe... may mga businesses na sobrang simple ang operation, you may not need a full franchising scheme. But most kasi you really do, especially if you are calling it a franchise, may mga batas na dapat sundan. Kung parang branch out lang, tapos parang new partner yung kukuha ng biz mo, pwede siguro di mo na tawagan na franchise.

Ang typical coverage ng franchise deal kasi should include a fully documented operations manual, contracts, training program, guidelines, franchise terms etc.

As for logo protection, until you register that sa IPO di po yan protected. They can always get your logo (just change the name kunwari if they started their own) in the future. You are not protected since you're not a trademark.

Again, I'm not telling you that it's a must, but what I can honestly say is that, unless magiging partner sya ng company mo (existing), and hindi standalone business yung 2nd party using your company's name, then ikaw ang mahihirapan kung nagkaproblem.

Yun lang po.

Anong biz po?

[theveed]

www.franchise.ph

try mo.

[bad driver]

ahhh thanks. nagdugo ilong ko dun a. baka branch out nalang tawag ko. hehehe.

thanks for the link and pm'd you

also, a couple of close relatives may also partner with us on a future branch. cguro pwede na dun ang internal agreements. hehe.

[theveed]

mas madali ganun... kasi kung bibitawan mo as franchise, parang kanilang kanila yung biz, pero pangalan mo... so kung sablay ang services nila sabit ka din.

kung magiging partner sila sa company mo, makikinabang kayo lahat sa growth ng lahat ng branches.

[bad driver]

thanks theveed,

pwede bang partner lang sila sa particular branch na yun pero wala silang powers to expand and approve branch-outs? hehe. dba franchising na to? haha. is there such an arrangement that does not cross the line of franchising?

thanks!