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The Future of Franchise and Small Business Success
PUBLICATIONS
Effective Development of a Franchise Support Organization written by Jack Pearce.
The International Franchise Association’s (IFA) Franchise Relations Committee is dedicated to developing information and programs that promote positive relations and encourage dialogue and cooperation between franchisees and franchisors. It is with this purpose in mind the following handbook was created to further promote these ideals of excellence and education and to provide IFA members with an on-going resource for the development of their own respective organizations.
The Franchisor Transition: The Road From Founder to Leader
This story happens all the time and is the definition of franchising. You start a small business that quickly catches on and gains attention from both customers and investors alike. You refine the business model and decide you want to share your opportunity with other like-minded entrepreneurs. You take the necessary steps to bundle your concept into a legitimate franchise opportunity and begin the process of selling individual units to prospective franchisees.
The Role of Franchise Relations in Mergers & Acquisitions, key contributor Jack Pearce
In collaboration with other members of the IFA's Franchise Relations Committee Jack Pearce provided a great deal of the content for this publication. As the Executive Director Franchise Integration at Annex Brands, Inc. he facilitated the acquisition of the Handle With Care Packaging Store brand, Navis Pack & Ship, AIM Mail Centers, Parcel Plus and Pak Mail Centers of America. During these multiple acquisitions his first-hand experience included the integration of corporate culture, products, services and brand identity while maintaining strong franchise relations.
Do Absentee-Owner Franchise Models Work?
In the world of franchising there is a concept known as an “absentee owner” business model. The idea is you invest in the ownership of a franchise unit but your personal, daily involvement in the business is not necessary in order to succeed. The ideal of a no-input-required investment may be OK for highly diversified mutual funds, but it is rarely a good idea when it’s your hard earned savings at risk in a single commercial business location. This is especially true in today’s very competitive retail market place.
FASB Revenue Recognition Update 11/5/18
In recent months the Financial Accounting Standards Board (FASB) has adopted new rules and regulations which directly impact the accounting methods (Generally Accepted Accounting Principles or GAAP) customarily used in the franchising industry. One of the single greatest impacts of these new standards is in the timing of recognized revenue from Initial Franchise Fees (IFF). Because recognition is now tied to "performance obligations" the franchisor is required to defer some revenue to latter periods thus causing lower profitability in early stage franchise development. Read the actual FASB memo attached below.