Why Corporate Executives Make Good Franchise Owners

Today's economy has caused fear and stress to become a part of our daily routine.  People are worried about finding jobs, keeping jobs, and pay cuts.  We worry about providing for ourselves and our families and watch our quality of life diminish.  It is even more difficult when we feel a lack of control over our financial future.

For some, taking control is a real option. How?  By becoming your own boss and making the decisions which directly affect your finances.  Purchasing a franchise allows you to take the risk of owning your business with the benefits of a built in support system and proven successful business model.

Corporate executives make especially good franchisees because of their business background.  Franchisors typically do not look for candidates that are skilled in their service, but rather look for candidates with good business acumen.   

So what traits make corporate executives good franchisees?

• Long term vision for the business.  

• Good leadership skills

• Quality decision making skills

• Reliable

• Good at delegating

• Hard working

• Financial savvy

 Kensington Company & Affiliates offers FREE consultations which can help you determine if franchise ownership is right for you.  Call us today to set your appointment!

Surprising Facts Learned at the Meet the Franchisor Workshop

Kensington Company & Affiliates would like to thank everyone who attended and/or contributed to last weeks "Meet the Franchisor Workshop."  We are pleased to announce that the feedback has been overwhelmingly positive. The franchisors reported meeting many viable candidates who expressed the intent to research and consider the franchise.  On the flip side, many people have scheduled their free consultation with Kensington Company & Affiliates to investigate which franchise may best suit their needs.

In speaking with the attendees, we found that the majority of them learned some surprising facts about franchise ownership.  Here are the ones mentioned most often:

• Franchises DO NOT have to be fast food restaurants! 
• 85% of franchises can be purchased for less than $250,000!
• Many franchises are available for less than the cost of a new car!
• Franchises can be service industries such as cleaning, painting, or staffing companies.
• Franchises can be educational companies such as day care, tutoring, or test preparation
• The franchise owner DOES NOT need to be experienced or skilled in the product of the franchise, in fact many franchisors look for people with business skills instead.
• Work from home franchises are available!
• No employees, few employees, or many employees are all options.
• Most franchisors help with financing!
• Displaced corporate executives tend to be very successful franchise owners.

Kensington Company & Affiliates offers a free consultation to help you determine if franchise ownership is right for you and if so, which franchise is right for you.  Not only is the consultation free, but there is no fee to the franchisee (you) throughout the entire process! There is no risk, only tremendous opportunity to create a life you will enjoy so call and schedule your appointment today!

 

Stress Management for Busy People

In honor of National Stress Awareness Day, which falls on April 16th, Kensington Company & Affiliates would like to share a relevant article written by Donna S. Stein, LCSW, RYT, Psychotherapist.

Stress Management for Busy People

Merely mention the topic of stress management and people grimace.  The word “stress” conjures up a variety of unpleasant images: workaholism, neck and back muscle pain, high blood pressure, irritability, agitation or restlessness, exhaustion, sleeplessness, a sense of dread, anxiety, depression and a suppressed immune system, to name a few.  There’s a sense that although most of us easily acknowledge carrying way too much of it in our daily lives, that there’s little that can be done to lessen it’s negative effects. Wrong! The question you may have to ask yourself is, “how bad does it have to get before you begin to put your health first?”. Fortunately for our bodies and psyches, relaxation practices, and coping skills can be learned and used to relieve chronic stress and lessen the dangerous cascade of stress hormones (adrenaline and cortisol) that keep us feeling on edge. Relaxing and shutting down an overactive stress response is one of the most important commitments we can make to our health and our sanity. We’ve all heard the professionals warn of the dangerous physical, emotional, and spiritual downside to a fast paced overloaded life.  The reasons to pay attention to the symptoms of stress are significant.  Simply put, your health and life may depend on it. 

Stress itself is not bad; in fact it’s normal. Life is full of positive and negative stressors (events that exert physical or emotional pressure), and the good news is that our bodies are well equipped to handle it.  In a perfect world, we deal with a short-term stressful event, it passes, and we return to business as usual.  Unfortunately, for most of us that is simply not the case.  Today’s stressors are often chronic rather than short term, direct and subtle, and subjective. Issues such as job insecurity, health, finances, childcare, eldercare, juggling the demands of work and family life, information overload and even our homeland security often have no clear conclusion or resolution. Concerns, worries, and fear lurk in people’s minds leaving people in a “wired and tired” state of overwhelmed bewilderment.  “Stress is not just something in your head,” advises Harold Bloomfield, M.D., Ph.D., noted author, psychotherapist, and psychiatrist. “It brings about profound physiological responses that lead to disease and disorder.” In other words, today’s tension headache or insomnia can contribute to tomorrow’s major illness.  It is an important preventive measure to heed our body’ signals early. We may not be able to change our world, however we can adjust or reaction to it, and potentially both lessen the harmful effects of stress and increase our sense of wellbeing now and down the road.

The following are simple lifestyle adjustments that may help your body-mind become more stress resilient, rebalance your overwhelmed nervous system allowing your battery to recharge and repair itself.  Taking charge of the things that make you stressed is not always easy, but it is always productive and will yield enormous physical and emotional payoffs.

1) Get enough deep sleep- One of the most common symptoms of too much stress is poor quality sleep.  Since sleep is a form of surrender, or letting go, it cannot be generated or forced.  The last thing a stressed hyper aroused mind wants to do is let go. Many of the suggestions below will assist this process. Learn what helps your mind and body let go of the day and slip into necessary, health promoting, deeply restorative sleep.

2) Basic R and R- This is nature’s way of recharging our energy reserves. Without proper relaxation the body and mind become overworked and inefficient, good health and peace of mind suffer. Take a break from high-stimulation, plugged-in environments to do something that you enjoy…garden, read, be outdoors in nature, sing, play with your pet, get a massage, tap your creative juices, listen to soothing music, take a power nap or a warm bath.

3) Establish a regular exercise routine- This is without question the best stress reduction tool available, loaded with physical and emotional side benefits. It will help facilitate easier restorative sleep, reduce the buildup of muscle tension and stress hormones, and help maintain good health.

4) Eat a wholesome nutrient rich diet- What, where, and how you eat will all have an important bearing on the state of your mind and body. Be mindful of the effects of caffeine and sugar on your particular physiology. Focus on health maintenance, weight loss can come later.

5) Certain vitamins help lessen stress’s effects by helping the brain produce more of the “feel good” hormones.  Nutrients and supplements also support a healthy lifestyle.  You really don’t want to add a nutrient deficiency on top of an already overloaded stress response.  Life is challenging enough.

6) Relaxation Techniques/Yoga Breathing/Meditation-These ancient mindfulness practices may seem esoteric, however they are simple, easy to learn, and can be incorporated into a modern and busy lifestyle with little effort or special equipment. Slow deep abdominal breathing interrupts the stress cycle and can help maintain a clear head that can more effectively problem solve and concentrate. These practices reliably increase the production of the calming hormones prolactin, melatonin, and serotonin, while decreasing stress hormone levels. Regular practice produces a wealth of positive results in mind, body, and spirit. Try taking a few long slow deep breaths followed by even longer, slower complete exhales next time you feel pressured.  It works!

7) Social Support- Supportive close relationships can offer emotional buoyancy and a place to let off steam while reigning in negative thinking.  If friends or family can’t offer the unconditional sounding board needed, consider seeing an empathic professional who can offer tremendous service if the burden feels too severe.

8)Cultivate A Positive Attitude/Spiritual Practice- Optimism and positive thinking are well worth cultivating even if you’re not the religious type.  The ability to find positive meaning in the inevitable adversity may be one of the reasons why actively spiritually oriented people cope better with challenge, and why they more often describe themselves as happier than those who do not engage in spiritual practices. When we cultivate an attitude that is not driven by approval or results we are better able to move with equanimity through frustration, fear and emotional pain. We become more skillful at dealing with stressful situations, rather than our own emotional reactions to them.

9) Goal Setting- Beyond acquisition and achievements, materialism and consumption, explore and strengthen qualities that bring enduring happiness: Loving-kindness, courage, composure, tenacity, generosity, insight and humor. When we operate from a place that embraces these qualities we experience liberation from the limited world of desiring “things”.

The above suggestions are most beneficial when practiced regularly. They quickly become self-reinforcing as we feel better when we apply them in our lives.  Their effects are cumulative and allow us to better cultivate the emotional resiliency necessary to more skillfully ride the waves of the inevitable stressful challenges we will face throughout life, allowing the possibility of experiencing more of the joy and happiness that is our birthright.

Qestions for the Francisors

Kensington Company & Affiliates will hold a "Meet the Franchisor" seminar on April 26th.  The seminar will provide a great opportunity to learn about a number of franchises and to speak directly with one of their representatives.  With this in mind, we are pleased to share the following helpful tips.

Strong and successful franchise systems don't sell franchises, they award them.  It is important to show the franchisor that you are a smart and capable prospect who is serious about their business opportunity and are motivated to be successful.  As much as you are evaluating the franchisor to see if they have a successful model and are a fit for your goals, they are evaluating you to make sure that you are somebody they want to work with and have in business using their name and system.

When speaking with franchisors it is very important to keep scheduled appointments and be interactive with the franchisor.  Remember that researching a business or franchise is a process.  You are not going to make your decision in one phone call, or one meeting.  You do not need to bombard the franchisor with all of your questions on one call.

It is a best practice to have specific goals and topics that you wish to cover with each scheduled contact with the franchisor.  Below is a list of suggested questions that should be discussed with the franchisor.  It is very important to take the information that you receive from the franchisor and discuss it with their franchisees to make sure there is no disconnect.

Here is a list of questions to bring with you when you meet with a Franchisor:

• How long have you been with the company and what is your background?
• Describe the industry you are in and the competition.
• Is this a growing industry?
• How sensitive is the industry to technological changes?
• Who are the competitors and what are the barriers to entry?
• How do you differentiate yourself from the competition?
• Make sure you understand the fees associated with the franchise.
• Is there a marketing fund and if so, how are the dollars collected and spent?
• How long have you been franchising?
• How many corporate units does the company own?
• Have any changes been made to the business model or system in the recent past?
• What are the costs to opening the business?
• What is your grand opening support? Have you had any failures in your system? WHY?
• How many units do you wish to award in the next year, three years, five years.
• Do I get a protected territory?
• What is the role of the owner in the business?
• Can you recommend some successful franchisees to speak with?
• Do you have an earnings claim? Please describe.
• What training and ongoing support do you offer?  Describe the experience of the management team.
• Does the franchisor have any plans to sell?  Go public?

Meet the Franchisor Workshop on 4/26/12

 

MEET WITH 7 TOP NATIONAL FRANCHISORS ON THE SPOT !

Don’t miss this popular workshop. Find out what it takes to purchase and operate your own franchise.. 

• Complimentary LUNCH.
• One-On-One time with TOP NATIONAL FRANCHISE REPRESENTATIVES.
• LEARN HOW TO FINANCE YOUR BUSINESS IN TODAY’S LENDING ENVIRONMENT.
• Learn how to find a business that is right for you.

Get up close and personal with the development teams of 7 Top-Rated Franchise Companies looking to grow on Long Island. These carefully pre-screened companies are searching for business professionals that are looking for the right opportunity to be their own boss.

Featured Franchise Resales
Kensington Company represents exclusive business resale opportunities. Whether you are looking for a Million Dollar facility or a home-based business visit us at our resale table.

If...

• You are in a career transition or considering one
• You want the freedom and control of owning your own business
• You have been or might be downsized or outplaced
• You are looking for financial security and independence
• You have always dreamed of owning your own business

Then this Workshop is for YOU!!!

You will...

• Learn how to find a business that is right for YOU
• Learn how to finance your business
• Have one on one time with Top National Franchise Executives

Thursday, April 26, 2012 from 5:30 PM to 8:30 PM (ET) FREE DINNER

 

Thursday, April 26, 2012 from 10:30 AM to 1:30 PM (ET) FREE LUNCH

Master Franchising, The Best Kept Secret

One of the BEST kept SECRETS in franchising is MASTER FRANCHISING, which is sometimes known as Regional Developers. Everyone understands that franchising is about duplication and consistency. Everyone is looking for the next McDonalds. But did you ever ask yourself if YOU own the next McDonalds, WHY would you franchise? Kensington Affiliates & Associates is happy to answer this for you.

Company’s franchise for two basic reasons, an excellent source of capital and the ability to help insure consistency by owners having a vested interest in the success of their operation. As John Paul Getty once said: “I would rather have 1% of 100 good men, then 100% of just myself.”

Master Franchising allows you to strategically partner with the Franchisor and share in the growth of the concept by managing and growing a region. The KEY word is “Managing.” The Master Franchisee owns the rights from the Franchisor to develop and manage a defined territory, which can be a large metropolitan area, an entire state, an entire region or even an entire country. As the owner of your territory you grow the concept by selling franchises within your region. The reward is sharing with the franchise company the royalty revenue and franchise fees that are generated from the operations within your defined region. LIKE the Franchisor you do not have to be involved with the daily operations of each franchise, but instead Support, Assist and Manage your franchisees.

If you are fortunate enough to own the Master Franchise rights to an exciting concept that is growing you will be able to generate consistent residual revenue from sharing in the royalties that the franchisees pay. The best kept secret of Master Franchising is that you are able to generate all these benefits without the upfront expense that the franchise company had to spend to develop the concept. Master Franchising is the ultimate EMPIRE BUILDING Business.

Master Franchising or Regional Developers usually have numerous revenue streams. Each company is unique, but usually the following are some basic parameters:

Company owned site: The Master Franchise or Regional Developer usually operates at least one unit within their defined region. There are tremendous economies of scale for the Master Franchisee is able to operate their corporate office from their operating unit. In addition, their franchise fees are usually half of what a franchisee pays, which results in more profits to the bottom line.

Franchise Fees: Usually the Master Franchise or Regional Developer share equally the up front franchise fees. Typical franchise fees range from $20,000 to $50,000, and therefore the portion of the fee that a Master Franchisee earns would be $10,000 to $25,000.

Monthly Royalties: This is the GOLD. This is why you purchase the rights to develop a territory. As the Master Franchise or Regional Developer you share in the on going royalties with the franchise company. Typically you will receive between 2.5% to 5% of your franchisee’s revenue every month. This is a tremendous wealth creation vehicle for you and your heirs.

Additional Sources of Revenue: Depending upon the concept and your personal situation, some franchise companies allow for you to share in the profits from the sale of products and services.

Benefits of Master Franchising

Own an Entire Territory for many times less than the price of building one Fast Food Restaurant

Own an Exclusive Territory which will produce Residual Income that YOU are able to control

Excellent Life Style Business

Tremendous Freedom to create an Empire Building Business

Work ON your business INSTEAD of just in the business

Ability to develop sites within your territory with the added bonus of being able to then sell them as an on going business, AND still keep your share of the monthly royalties.

Acquire under performing units and turn them around with the option of  either keeping them within your portfolio or selling them and receive your share of the monthly royalties, WITHOUT worrying about the daily operations of the unit.

Minimum Customers, for the franchisees are your customers. The primary job is to help support and guide them. Remember you also have the support and help of the franchise company. Basically a Master Franchisee is a coach to their franchisees.

Minimal Employees, the primary role is to develop the territory and provide assistance to the franchisees. Until market penetration is developed, very few employees are required; in fact many Master Franchises have at the most an administrative assistant and a trainer. Once the territory is developed a number of Master Franchisees or Area Developers are able to semi-retire and enjoy their monthly residual income which is created by the successful development of their franchise territory.

Equity is built in the business as your territory is developed. As new franchisees join the system the value of the Master Franchise business should be greatly affected in a positive manner. This is what most buyers of companies are looking for; GROWTH and RESIDUAL Income.

Industry specific experience is not usually required, it is more important to have excellent communication and people skills to be a successful Master Franchisee. Remember you are NOT running each unit, you are instead overseeing all of your franchisees.

If you believe that you have the necessary skill set to help grow a company, and desire to build a large empire with consistent residual income then Master Franchising might be just right for you. At Kensington Franchise Sales, we can help navigate the many choices that you have with our professional Master Franchise Experts.

Get the Word Out- Using Public Relations to Promote Your Business

Bill Corbett Jr., President of Corbett Public Relations, Inc. wrote the following article for Kensington Comapny & Affiliates.  We are happy to share the article with you.

Few business owners want their businesses’ to be known as “the best kept secret” in their industry.  If you own a business or manage one the goal is simple, grow and make a profit.  To grow businesses owners need to communicate regularly with their customers, prospects and referral sources who can impact the bottom line. 

Does your company have the best product in your sector?  Does your business offer industry leading services with innovative approaches?  Do clients benefit more when they choose to work with your firm versus engaging your competition?

If you answered “yes” to any of these questions or perhaps all of them your marketing program should contain a public relations component.  Marketing a business can be done in many ways, all have their benefits and drawbacks.  E-mail and direct mail campaigns bring customized messages directly to specific individuals.  The problem is that direct mail is expensive and yields low results.  Marketing via e-mail is less costly but must be personalized and reach many prospects to be effective.  While, advertising brings messages to millions, the cost is very high and consumers often mistrust advertising claims.  For professionals, speaking at seminars and networking both offer the chance to communicate directly with prospects.  The drawback is that audiences are often very small.  

This brings us to public relations, the process of working with the media to get your message out to key audiences.  Public relations program objectives are to build name recognition for a company, product or service, educate prospective customers and inform referral sources.  All of these efforts support a company’s overall marketing goal, which is to create more leads, support sales teams and drive sales.

What is public relations?  Public relations is a systematic approach of placing stories about companies, products or individuals in the media.  Examples include a review of a new electronics product in a magazine, an interview with a labor attorney in a newspaper about a sexual harassment case or a live television broadcast at a music festival.  In each case the media is used to attract attention to a specific business. Whether it is selling a product, promoting a service or seeking to bring consumers to an event, each of these vehicles will accomplish the objective.  Although being in the newspaper one time or doing a radio interview is helpful, a public relations program seeks to position a company in a mix of media outlets over time.  Programs will include different messages designed to reach key audiences.  Over time, prospective customers will become more familiar with products and services as well as the company’s name.  When prospects are comfortable with a company or brand name they are more likely to be receptive to choosing the company’s products or services when it comes down to making a decision for a purchase or entering into an agreement.
 

Media relations programs lead to publicity in newspapers, magazines, on television and on the web.  With the explosion of the internet, opportunities for publicity have become almost limitless.  The internet is where most people start looking for products and services.   Failure to have a web presence beyond your own website in today’s business world is a competitive disadvantage.  Media relations is one of the best and most cost effective ways to get your company name out on the web and spread it around the world.  The more websites, blogs or online communities where articles, interviews and information about your business can be found, the more likely potential customers will be able to find your business.

The value of media coverage should not be overlooked.  Because media coverage comes from independent third parties it is often regarded highly by customers and prospects.  When reporters offer their independent views on products or services, consumers perceive this as a tacit endorsement.  This type of coverage carries a significant value and strengthens corporate credibility.  When competing for a contract or a customer, having a sales package that includes articles that have appeared in the media can be a significant advantage.  

Today media coverage comes in many forms; regardless of the vehicle, having been covered by the media provides the recipient with tremendous value which will positively impact the bottom line. 

This article was provided by Bill Corbett, Jr. President of Corbett Public Relations, Inc., an award winning public relations and marketing firm based in New York.  Mr. Corbett has developed hundreds of publicity campaigns for clients over the past 20 years.  He can be reached at wjcorbett@corbettpr.com or visit his website www.corbettpr.com.