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Showing posts from March, 2017

#SAFranchiseFriday featuring Supa Quick

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BACKGROUND
Established as an initiative of what was then Firestone South Africa, Supa Quick was started as a collective of small, family-owned tyre retailers who cooperatively would be able to compete against the corporate tyre giants that once dominated the market.

Supa Quick was eventually established as an independent company and today operates as a close-knit alliance comprising the franchisor, franchisees and strategically selected supply partners. By offering the benefits of a group structure, volume purchasing power and combined marketing funding and activities, Supa Quick stores are assured of the success of the franchise. As a member of the Bridgestone Group, Supa Quick franchisees benefit from their association with the largest tyre manufacturer in the world.

THE CONCEPT
Supa Quick stores are franchised in accordance with the business format franchise model that has been refined to become the outstanding business model it is today. The company recently launched their one-sto…

Are you pitching your business short?

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Securing finance lies in the detail, says SA SME financier

Access to funding is often cited as the greatest hurdle to starting a business. However, contrary to many entrepreneurs’ belief, there are various institutions with funding available in South Africa which too often isn’t tactically tapped into.

This is according to David Morobe, regional general manager at Business Partners Limited (BUSINESS/PARTNERS), who says that there are numerous investors and financiers in the country eager to invest in viable innovative business concepts, but that many entrepreneurs grapple to successfully find the right investor for their specific business model, or do not pitch their business to its best potential.

Morobe says that too often entrepreneurs approach a financier without reviewing its funding requirements and whether they are in fact the best fit for their business. “For instance, an entrepreneur requirement may be outside funding threshold, following which an entrepreneur often just adjus…

5 Top questions business owners should ask when reviewing liability insurance

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Liability insurance is vastly different from any other type of insurance available in the commercial market. This is mainly due to the fact that it is much easier to quantify the value of an asset for short term insurance purposes, as opposed to estimating the cost and or damages of possible litigation against the business.

This is according to Simon Colman, Executive Head at SHA Specialist Underwriters, who encourages business owners and executives to engage extensively with their insurance brokers when it comes to reviewing liability insurance requirements. “Many brokers have access to specialist underwriting teams who can share valuable insights on both the increase in claims frequency and changes in litigation patterns across a broad spectrum of industries.”

When it comes to reviewing a liability insurance policy, there are important considerations that a business owner needs to consider together with their broker.

Below Colman explains what some of these considerations are:

1.   …

The Franchise Association of South Africa urges members to support local procurement

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With the recent entry into the South African market of a large number of new franchises, particularly in the fast food sector – think queues around the block at the openings of Burger King and Starbucks, the arrival of Domino’s Pizza and Krispy Kreme and the proliferation of so many other franchises in just about all industry segments, it is no wonder that franchising contributes almost 12.5% to South Africa’s GDP.

The potential for these franchises to contribute even more lies not only in generating increased sales of their respective products and services, but in the business to business opportunities that exist between them.

“We have franchise operations in almost every industry sector,” commented John Baladakis, former Chairman of the Franchising Association of South Africa, proponent of ‘buying local’, “From FMCG, real estate, education, retail, and in automotive related activities. If each and every one of these businesses pledged to procure locally grown, produced and manufac…

The right time to become a full-time entrepreneur

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The Minister of Small Business Development, Lindiwe Zulu – who was speaking at the Global Entrepreneurship Congress which took place in Johannesburg last week – encouraged aspiring entrepreneurs to research opportunities that are available in the market before starting a business of their own.

The reality for most entrepreneurs is that this research period involves beginning their business journey whilst they are employed full-time. This is according to Jeremy Lang, regional general manager at Business Partners Limited (BUSINESS/PARTNERS), who says that in South Africa, most aspiring entrepreneurs cannot afford to quit their job and focus solely on their business until sufficient groundwork has been covered and a steady inflow of capital has been secured.

He adds that a turbulent economic climate does not make it easy for aspiring entrepreneurs to take the leap into full time business ownership, which results in many entrepreneurs being ‘born’ while still on another employer’s payroll.…

#SAFranchiseFriday featuring Crisp & Clean

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BACKGROUND
Crisp & Clean is a multi-revenue stream business operating in the laundry, dry-cleaning, carpet cleaning and general cleaning services sector. With 14 franchises in operation, Crisp & Clean offers a proven model with a secure and fully scalable business; starting small and growing a significant footprint over time with no additional franchise fees for additional stores or outlets.

With franchise territories available in all main metros and major towns, their primary objective, quite simply, is to become the most successful franchised laundry, dry-cleaning and carpet cleaning group in the country.

THE CONCEPT
As a door-to-door dry-cleaning and laundry operator, Crisp & Clean offers a cost-effective and time-saving service to the consumer. The company’s online order management system simplifies the overall process of ordering and tracking client interactions.

In addition to their start-up franchise option offering door-to-door dry-cleaning and laundry services, ca…

FASA's new chairman aims to put entrepreneurship and employment first

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The appointment of Tony Da Fonseca, Managing Director of the OBC Group as Chairman of the Franchise Association of South Africa for 2017/2018 comes at a crucial time in South Africa as it faces uncertainty on so many fronts - politically, socially and economically.

At FASA’s Annual General Meeting, outgoing Chairman Naas Du Preez, MD of Oasis Water, in handing over the baton to Tony Da Fonseca had this to say of the current business environment; “The past few years have not been easy to be in business – what with global political upheaval and an uncertain economic outlook.  Having said that... I would rather be in business within a franchise system than be facing all these challenges on my own.”

Tony Da Fonseca, FASA’s 2017/8 Chairman echoed those views, confirming the franchise sector’s ability to take tough economic times in its stride. “Joining a franchise does not guarantee success but common sense tells us that starting a business under the umbrella of a known brand, having acce…

#SAFranchiseFriday featuring Bianca Properties

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BACKGROUND
The Bianca Properties team has over two decades of combined experience in the selling, buying and renting of residential properties. Under the leadership of Vino Baum, the founder of Bianca Properties South Africa, every real estate stakeholder is able to testify to the quality service standards that ensure the reputation of Bianca Properties in the real estate industry.

Their sole purpose is to orchestrate an efficient process that makes the selling, buying or renting of a property a smooth and enjoyable experience. Their seamless, multi-integrated system uses the latest technology to help ensure that clients achieve their property investment goals.

THE CONCEPT
Bianca Properties secure and sell properties at market-related prices to ensure a fair deal to both the willing seller and buyer. The franchisor is affiliated with the Estate Agency Affairs Board (EAAB), is FICA registered and applies industry best practices in all their business dealings. Their competent property pr…

Entrepreneurial traits breed success, but it's not always easy

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One of the reasons why the life of an entrepreneur is so hard is that the character traits that make them successful can also be difficult to live with. An important part of Xolisile Nkosi's success as an entrepreneur is that her driven and contrarian impulses make her very quick to act, but they have also given her a whole archive full of quirky stories from her business career.

She remembers with a tinge of regret how, as a youngster, she blew the first R100 000 she made on a property deal. Today, as the 36-year-old mother of five boys and owner of Clear Path Projects, a Johannesburg-based architectural, interior design, project management and construction firm, she would have invested it much more wisely. But she acknowledges that it is that same drive, impulsiveness and love of wheeling and dealing that got her the property in the first place, at the tender age of 24.

Xolisile is not sure where her entrepreneurial spirit comes from. She was the only girl in a Soweto family of…

South African franchisees win big at the Domino’s Pizza World Wide Rally

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Running a business is hard work. It’s also very rewarding if you are willing to put in the work, be adaptable and strive for excellence.

For the first time, Domino’s Pizza South Africa was recognised for its sales and service excellence at the Domino’s World Wide Rally in Las Vegas earlier this year. Franchisees, Bhavna Nathoo and Vishnu Govender were both recipients of a Rolex Award for their drive, leadership and consistently achieving excellence in their Domino’s Pizza stores.

The Rolex Awards recognizes stores that achieve sales in excess of stiff weekly targets for four consecutive weeks. It all began in 1977 when the founder of Domino’s, Tom Monaghan, gave away his custom-made Rolex to an employee for turning a US$20 000 sales in a week. Since then, the Rolex Awards has become the Oscars of the franchising world.

“This is such a huge honour and a testament to the work that we do. The awards not only reward sales excellence but also speaks to how we run our business, how treat our…

How the PRIMI franchise remains at the top of its game after 18 years

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GAMING INNOVATION INTRODUCED AS THE LATEST RESTAURANT TREND AT PRIMI

According to Sean Holmes, Marketing Director at PRIMI, over and above the rising food inflation rate, other challenges the South African restaurant industry currently faces relates to rationalising the rapid increase in operational costs. Line items such as wages and utilities are putting significant pressure on the bottom line. Businesses are forced to think out of the box in order to become more efficient operationally and at the same time drive sales.

Yet, 18 years later, the PRIMI brand is as strong as ever. Says Holmes: “The success of PRIMI can be attributed to ongoing innovation, adaptability and passion – passion for food and for people.”

The latest use of innovation introduced by PRIMI – a first for the South African restaurant industry – is the introduction of an interactive mobile device game making use of an innovative one-click engagement platform. Partnering with Smirnoff, it is the first game of its kind…

Inspiring innovation in the workplace

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It was the famous 19th-century steel industrialist Andrew Carnegie who said, “Teamwork is the ability to work together towards a common vision, the ability to direct individual accomplishments toward organisational objectives. It is the fuel that allows common people to attain uncommon results.”

By Harry Welby-Cooke

There are literally thousands of pearls of wisdom gleaned from great thinkers throughout the ages that underscore the importance of innovation in the workplace. In fact, it is probably because of the sheer amount of advice out there that many managers and business owners simply accept innovation as a happy accident in business — something that can’t be planned and often can’t be explained.

One may be tempted to assume that bringing together a number of employees with complementary skills in a project-group will automatically result in a high-performing team capable of innovation. Experienced managers and business owners, however, understand that a group doesn’t automaticall…

#SAFranchiseFriday featuring HATTECH

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BACKGROUND
HATTECH has a fast-paced growth plan that makes it one of the most exciting businesses to watch this year. The company launched its first franchise in 2016 and is now looking at increasing their holdings to 20 franchises over the next two years.

It is interesting to think that this company has its roots in a close-knit family nucleus. The unlikely story of three brothers putting their minds and considerable talents together to start the company is one you rarely hear of. It is precisely because of these deep roots that HATTECH has managed the astronomical growth they’ve seen over the last couple of years, not to mention the diverse offerings they bring to their clients. HATTECH is a one-stop business for all your business needs.

THE CONCEPT
HATTECH fulfils a specific need: user-friendly business management software at affordable rates. HATTECH’s after-sales care is what differentiates it from competitors and they feel strongly about end-users getting what they pay for. This is…

Competitive advantage for franchises

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Many organisations, including franchises, strive to attain a competitive advantage, but few truly understand what it is, how to achieve it and, perhaps most importantly, how to keep it.

By Dr Gerhard van Wyk

A competitive advantage is a condition or circumstance that creates superior value for a company above its rivals. Such an advantage can be gained by, over a sustainable period, offering consumers greater value than your competitors, whether by offering lower prices for providing quality services or benefits that justify a higher price. The strongest competitive advantage, however, is a strategy that cannot be imitated by other companies.

American academic and economist, Michael Porte, defines three generic strategies that companies may use to gain competitive advantage:
Cost leadership strategy — to achieve the lowest cost of operation in the industry. Differentiation strategy — developing products or services that offer unique attributes that customers perceive as better than o…

#SAFranchiseFriday featuring Sparkling Auto Care Centres

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BACKGROUND
The Sparkling Auto concept was initially founded as a car wash and auto detailing services business. Founder Corné Gustafson and his team managed five high-volume company-owned outlets and identified service and speed as the key success factors of their business model.

In an era where most people are ‘time poor’, convenience is becoming increasingly important — even in the automotive appearance industry. After securing the license from the Ding King Institute in the USA, Corné created the Sparkling Auto Care Centres concept; a unique one-stop service centre offering full auto body repair, car wash, auto detailing, and minor interior repair at the same time — convenient, fast and economical.

THE CONCEPT
Sparkling Auto Care Centres is a unique and convenient ‘all-under-one-roof’ business opportunity that provides vehicle owners with the best professional car wash and auto body repair solutions in the market. Franchisees have a choice of two business models — a Sparkling Auto…