How a Franchise Agreement and a Franchise Disclosure Document differ
There are two documents that are of vital importance...
This last year has been a major challenge for businesses all across Canada, including franchises. Whether you have a franchise right now or are currently searching for one, you can learn the business lessons that became apparent to everyone over these last 12 months.
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Put a focus on relationships
No matter how big or small your business is, the relationships you have with your suppliers, vendors, employees and customers matter. Without valued relationships, your business will not have much of a foundation for the future.
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Foster strong trust
Having good relationships with all those who are connected to your business isn't enough on its own--you need trust, too. When you have the trust of your employees, suppliers, vendors and customers, you'll be able to operate more effectively.
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Create an agile business culture
Instead of just focusing on whatever has worked on in the past, have a more flexible mindset (within the limits of your brand's rules) so you are better able to handle a crisis or unusual circumstances. The more nimble organizations that could turn on a dime while keeping their core values intact were better able to weather the storm of the pandemic than more inflexible businesses.
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Welcome and include innovation
The amount of innovation you may be able to implement in your franchise without the franchisor's approval is likely limited, but that doesn't mean you can't innovate. As we learned during the pandemic, being able to adopt new ways of doing things is sometimes necessary for survival. Many companies who failed to innovate during the pandemic suffered greatly for it, and in some cases, those businesses failed entirely.
If you find yourself thinking of new ways to improve your operations, product, service or some other aspect of your business, take it to your franchisor for discussion right away. A franchisor who values their franchisees will welcome their input. If, for some reason, your idea won't work, your franchisor should be willing to explain what the issue with your idea is to you. If there is a way around that problem, you will be able to work together with your franchisor to potentially solve it.
You never know when a sudden world or even local event will impact your business. As a business owner, it pays to keep the business lessons above in mind so you're not caught completely unprepared should the unexpected happen.
