Competitive chain brands due to the development of a better future, join the requirements are naturally high. But understand that the more stringent conditions to join the brand tends to have a more complete system of franchising as well as more powerful financial strength and strength, but more capable of ensuring that the franchisee is profitable. Because of this, the more reputable chain companies, the selection of franchisees when the gate is more rigorous. So what should I pay attention to when I open a franchise? Choose to start a business is to ensure profits, so like to successfully open a franchise should pay attention to the following aspects:
First recognize the franchise to be able to join the first, choose to join the way to start a business friends, you must join the significance of the spirit of to have an understanding of the spirit of the spirit of the spirit of the spirit of the spirit of the spirit of the spirit of the spirit of the spirit of the spirit of the spirit and significance of the significance of doing as a guideline for the screening out of the final project agent partners, and the franchisee brand to agents have which Constraints it. Take a look at how to choose a good franchise brand it! How to correctly examine the franchise headquarters!
First, should be required to join the headquarters to show the service mark registration certificate
Because the so-called franchise, is the headquarters of the brand will be authorized to the franchise to use, in other words, the headquarters must first have the brand, in order to authorize the franchise. In other words, the headquarters must first obtain the Central Bureau of Standards, issued by the service mark registration certificate before. A while ago that a Chinese restaurant chain system of disputes, the old and new two systems into the Fair Trade Commission, and then the losing party was forced to change the brand name, and even make has joined the system of franchises were forced to change the name, it is so innocent ah! So the franchisee before joining, be sure to confirm that the headquarters does have this brand, in order to rest assured to join.
Second, the royalty payment
Generally speaking, the headquarters will charge the franchisee three kinds of fees, respectively, is the franchisee, royalties and deposits. The so-called franchise gold, refers to the headquarters in the store before helping the franchisee to do the overall store planning, and education and training fees charged. The rights of the franchise refers to the use of the headquarters of the trademark, as well as the enjoyment of goodwill required to pay the fee, which is a continuing charge, as long as the franchise continued to use the headquarters of the trademark, it must be paid regularly. The payment period may be once a year, quarterly or monthly. As for the security deposit, it is a fee charged by the headquarters to ensure that the franchisee will actually fulfill the contract and pay for the goods on time.
Which, due to the royalties are ongoing charges, some franchise headquarters will be in the signing of the contract, the franchisee is required to open a contract period of the full amount of the royalties of the check, such as the contract period of five years, the royalties to take the yearly payment method, some headquarters will require the franchisee will be five years of the royalties, a time to open all the five cheques to the headquarters. Later there has been such a case, a system of franchisees opened two years, because of poor business and closed down, but as early as the contract, has been opened five years of royalties checks to the headquarters.
Theoretically, the latter three years since the store has been closed no longer use the headquarters of the trademark, goodwill, no longer need to pay royalties, however, the headquarters will still have collected the checks rolled into the bank to withdraw funds, the franchisee, not only lost two years of business, but also have to pay the amount of these checks that have been issued! Therefore, if the franchisee meets the headquarters requirements of the contract period, all the rights of the cheque face value, must remember to add a note on the contract, when the franchise no longer open store, the headquarters must return the unexpired rights of the money in order to protect their own rights and interests.
Third, the headquarters of the price of supply
General franchise contract, the headquarters will require the franchisee must be to the headquarters of the goods, shall not be privately stocked. This point is often the headquarters of the most contentious link with the franchise. Because the franchise often think that the headquarters of the supply price is high, so they have their own procurement outside. But the headquarters based on the consistency of the quality of the chain system, had to ask the franchise must be unified to the headquarters procurement, so the dispute arose. A more reasonable way is to join the franchisee in the signing of the contract, that is, should be required in advance the headquarters of the supply price shall not be higher than the market price, or how much higher than the market price is acceptable, so as to avoid the two sides in order to avoid the price of the problem of endless disputes.
Fourth, the protection of the business circle
Often join the headquarters to ensure that the franchise's operational interests, there will be a business circle protection, that is, within a business circle will no longer open a second branch. Therefore, the franchisee to protect the scope of the business circle how big, must be very clear. However, a common situation, is the headquarters in the protection of the business circle outside the distance, and then opened a second store, affecting the original franchise business and triggered protests. In fact, if the headquarters is opened in the protection of the business circle outside the place, the franchise does not have the right to protest.
But it is worth mentioning that some chain systems because of the increase in the number of franchises or has reached saturation, in the protection of the business circle, it has been very difficult to open new franchises, so they take the trick to develop a second brand. Meaning that the use of another new brand name, and business content and the original brand is exactly the same, so you can not be limited by the original brand of the business circle protection restrictions. For example, there has been a housing agency chain system is so, and finally, of course, will attract the franchisee's group resistance. Therefore, the franchisee in order to protect their own rights and interests, in the contract, it is best to set out the headquarters shall not develop business content is identical to the second brand.
Fifth, the non-compete clause
The so-called non-compete, is the headquarters for the protection of business technology and intellectual property, not because of the opening up of the franchise and outflow, the franchisee is required to the survival of the contract period, or the end of a certain period of time, may not be engaged in the same industry with the original franchise provisions. This specification aims to protect the intellectual property rights of the headquarters, and there is nothing wrong with it, and the Fair Trade Commission also considered that this move is not illegal. But how long should the non-compete period be reasonable? If it is too long, it may affect the franchisee's rights and interests in the future. In this regard, there was a chain system's non-compete clause stipulated for three years, was sued by the franchisee to the Fair Trade Commission, the Fair Trade Commission believes that the non-compete clause is reasonable, but that three years is not too long? Later, the headquarters of the chain also had the good sense to change the three years to one year. Therefore, the franchisee must consider clearly when signing the contract, so as not to affect the future livelihood.
Sixth, the problem of management regulations
General franchise contract content is less than a dozen or twenty, more than seventy, eighty hundreds of articles, but usually there is such a provision, "the contract is not yet complete, all according to the headquarters of the management regulations to deal with. If the franchisee encountered such a situation, it is best to ask the headquarters will be attached to the management rules and regulations attached to the back of the contract, become an annex to the contract. Because the management regulations are formulated by the headquarters, the headquarters can not be contained in the contract, all the matters into its management regulations, at any time to modify, do whatever you want, then the franchisee will have to be at the mercy of the headquarters.
Seventh, on the breach of contract penalties
Because the franchisee contract is drawn up by the headquarters, so the headquarters will be more favorable, in violation of the contract penalties, usually only listed on the part of the franchisee, and the headquarters of the violation of the contract part is not mentioned. Franchisees should be able to put forward relative requirements, clearly defined headquarters in the event of violation of the penalty provisions, especially the provisions of the headquarters should provide services and logistical support, the headquarters should be required to really achieve.
Eighth, on the handling of disputes
General franchise contract will be clearly listed on the jurisdiction of the court, and is usually the headquarters of the district court as the court of jurisdiction. In case there is a need in the future, it is more convenient for the headquarter staff to come and go to the nearby court. It is worth mentioning that there has been a franchise headquarters in the contract, the franchisee wants to file a lawsuit to the court before the need to go through the headquarters of the mediation committee mediation. In this case, should first understand the composition of the mediation committee for those people? If all the headquarters of the personnel, then the results of mediation, of course, will be biased in favor of the headquarters, and is not conducive to the franchisee. Due to the contract, the franchisee can not ignore the mediation committee, and directly to the court. Therefore, the author suggests that the franchisee should ask for the deletion of similar clauses when encountered.
On the eight major problems of franchised clothing stores, I'll start with so much today, it's not easy to make money and walk and cherish, be sure to put the money on the knife edge to use, don't let unscrupulous brand owners pit your hard-earned money.
Clothing business is a headache, many do more than ten years of bosses, in this need to keep pace with the times in the times, do not change their business strategy, may still be eliminated. Not to mention the clothing entrepreneurial novice, it is quite difficult to open a store.
If someone teaches the store dry knowledge, open store is naturally twice the effort. I suggest that regardless of clothing novice veteran, can look at the "clothing business circle microclass" this microblogging public number, which has a lot of clothing friends exchange experience, and some authoritative teacher to speak of dry microclasses, we are the circle of exchanges, there is no charge to listen to the class, and they are sincere exchanges, talking about the content is very real, the business is a great help to the worthy of learning.