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The Franchise Development Centre
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FRANCHISEE TERMINATION SERVICE



DESCRIPTION

There are times when a franchisee should – for any number of possible reasons – leave your network. This is a time when, if handled correctly, an example can be made to existing franchisees proving that you care about the whole network and will not allow the brand to be damaged by non-compliant franchisees. Handled incorrectly this can be at best a PR-nightmare and at worst a legal minefield. Working within the constraints of the legal obligations falling upon both parties we will show you the way to do this whilst using the opportunity to strengthen the relationships with the remaining franchisees.

OUTCOMES

  • Disruptive or damaging franchisees painlessly removed
  • Your brand protected and negative PR minimised
  • Improved compliance among remaining franchisees
  • Less time spent on disputes and disagreements
  • Enhanced support team morale and motivation
  • Improved performance of all franchisees
  • Stronger more compliant network
  • Increased capital asset value of franchisor’s business

PROCESS

Audit
A review of the individual franchisee’s history, management and support is carried out including:

  • The reasons for dispute and termination
  • The steps taken so far
  • Previous correspondence and discussions with franchisee
  • Due diligence and representations made during recruitment
  • The restrictions and obligations within the Operations Manual
  • The restrictions and obligations within the Franchise Agreement
  • The desired outcome for all parties
  • Examination of whether termination is allowable and the only option available

Report
The final output of this process will be a clear guide to removing the franchisee from your network painlessly and with minimum disruption (assuming you are legally and ethically able to do so). A clear step-by-step guide to the process and documentation required will be explained in detail, and presented together with suggested action plans and timescales.

Implementation
Whilst the report provides clear guidance on implementing recommendations, we will provide additional support and access to highly qualified legal expert support where required to ensure a successful outcome.

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