Who the franchisor is and what he does

One of the main difficulties that those who want to start a new business must face is the immediate availability of economic resources and tools, but above all the need to build their own brand and a customer base from scratch. Relying on a franchisor allows you to enter a commercial network already consolidated on the market and to be able to count on a low-risk and low-cost commercial operation.

Affiliation with a franchisor allows you to save on organizational costs that weigh on those who start a business from scratch and often includes a design plan for the layout of the store and furniture.But who is the franchisor? How important is his support? And what services can you expect when you decide to open a franchise?

Who the franchisor is and what his obligations are

Among the franchisor's main obligations is the creation and constant updating of the management model, integrating innovations and market strategies to keep the entire commercial network competitive. Furthermore, it must monitor and support its affiliates, not only in the start-up phase, but also throughout the duration of the contract, with training tools, updates and personalized promotional plans.However, its role is not limited to operational support: the franchisor acts as a strategic guide, facilitating market entry and promoting the expansion of affiliated businesses through industry analysis and solutions that respond to market challenges. This balance between the managerial autonomy of franchisees and the duties of the franchisor is one of the key elements of this business model.In addition to these aspects, one of the main obligations of the franchisor is to ensure transparency and fairness towards its affiliates. This includes providing clear and detailed information on the business model, the costs of affiliation and the performance guaranteed by the commercial network. Furthermore, the parent company is required to respect contractual agreements, for example by providing the agreed support and ensuring that the affiliates can operate in a competitive environment free of internal conflicts, such as unauthorized territorial overlaps.

A further obligation of the franchisor concerns the supply of goods or tools necessary for the activity, an element particularly relevant in distribution franchising, but also present in service franchising. Finally, it is the franchisor's obligation to transmit to its affiliates the distinctive signs of the brand, guaranteeing them the right to use trademarks, signs and other elements of industrial or intellectual property that identify the brand.

• Support in identifying possible financing options. Having an overview of the expenses to be incurred is important especially in the start-up phase of the business, also in order to determine an effective operational plan.In this context, in addition to the assistance provided by their own consultants, it is clear how important it is for affiliates to be supported by the parent company in order to evaluate any available financing options necessary to be able to meet the expected costs.Equity, loans, grants or subsidies: the franchisor's support will be useful to analyze the different options and help you choose the one best suited for your business.
• Location selection. The brand’s support in selecting the physical location is important. In addition to the evaluation and choice of location for the new business, franchisees are sometimes provided with an indication of an exclusive geographic area within which no other centers will be authorized to open (except for any specific exceptions provided for in the franchising contract). Only then will the works compliant with local building regulations have to be carried out in to develop the space according to the brand requirements: thanks to the franchisor's support, it is possible to prepare a detailed design plan for the furnishings, layout, and furniture with particular attention to cost optimization and expense containment.
• Training and operating methods. Training is certainly one of the most important support services provided by the franchisor to the benefit of affiliates, essential for learning how to effectively manage the new business. In addition to informing affiliates about operating methods and providing instructions for completing all processes and management protocols correctly, continuous training is a fundamental tool for ensuring the achievement and maintenance of quality standards, learning about any product or service innovations, from new equipment to software.In-store or in the field, the focus should therefore be on the basics of how the system works, in particular on acquiring skills for business development. Initial training courses are often supplemented by additional training sessions to constantly support know-how and develop professional sales skills. In addition to training, administrative and technical support can be provided in the initial phase in order to improve performance and ensure better adherence to brand standards.
• Framework agreements. Among the support services that a franchisor can provide to affiliates is also the possibility for affiliates to benefit from framework agreements signed by the parent company with certain suppliers of products or services. Franchisees are advised to purchase from approved suppliers, with the aim of promoting economies of scale and working with suppliers capable of offering a consistent level of quality across the network.
• Advertising and Marketing. Advertising and marketing are two essential components for the introduction and promotion of a new business. This is why they cannot be missing from the franchisor's support activities for affiliates: in addition to obtaining practical guidance and assistance for the inauguration, affiliates can receive assistance in starting campaigns to promote brand awareness and take advantage of marketing solutions designed specifically for the business in question, to reach customers online and offline.

Why choose MBE as your franchisor?

MBE training is not limited to the start-up phase of the business. However, it is an integral part of a system that aims to enhance and increase the talent of the affiliates and their team. MBE includes updates on the new solutions proposed, meetings and workshops with a focus on business development and on new technologies and digital innovations to offer to customers.

The training takes place in the classroom, online and in the field, where expert Entrepreneurs are often involved who act as Certified Centers, specialized in supporting new entrepreneurs. In this way, a relationship is established between experienced senior entrepreneurs and new affiliates, where the interaction with expert and competent figures is one of the elements of great value that distinguishes the MBE world.In addition to training, MBE also provides constant support from the Network thanks to teams of experts working in the area. Figures in close contact with the affiliates, who support the franchisees from the start of the business. Training and support in MBE are one of the elements of great value for those who choose to become part of the MBE Network.

Contact us and discover our business model