UNPROFITABLE UNITS

“Obsesses over the franchisee’s bottom line.”
One of William Killion’s Five Habits of the Highly Successful Franchisor

If your franchisees are not profitable, they will fail and so will your franchise company. The most important job of the franchisor is to make sure its dealers are profitable. Even if only a few franchisees are unprofitable, you must have systems in place to deal with the problem and take decisive action.

As a franchisor, you must:

• Analyze and Understand Profitability Problems.
• Intervene Early to Contain and Manage Profitability Problems.
• Understand the Costs and Benefits of Financial Assistance to Unprofitable Franchisees.
• Only Implement Programs that Benefit Both Franchisor and Franchisee.

At the Franchise Law Source, we help clients understand and fix profitability problems with systems, systems, systems.

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