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Austin, TX - How to Build a Strong Franchisee-Franchisor Relationship

SYNOPSIS: Many aspects of life rely on good interpersonal relationships. Social skills are just as important as academic ability, if not more so, in many workforces. The franchise business model relies heavily on the relationship between franchisee and fra
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Many aspects of life rely on good interpersonal relationships. Social skills are just as important as academic ability, if not more so, in many workforces. The franchise business model relies heavily on the relationship between franchisee and franchisor, especially when opening a new branch. Here are a few ways to build a strong relationship between franchisee and franchisor.
  • Defining the relationship.
Some articles site that the relationship is similar to that which exists in a marriage, or between parent and child. We don’t think that these are the best examples of this type of affiliation, however, as such family relationships are often fraught with complexities. A better comparison might be simply that which exists between mentor and trainee. This relationship will change over time as the franchisee gains confidence and experience in the new role. Then the relationship will be closer to business partner, although still not on completely even terms. It is never a standard boss/employee relationship because the franchisee is in charge of their own business. The franchisor supports the new franchisee, but it is up to the franchisee to find their path to success.
  • Trust. Any quality relationship must include trust in each other’s abilities. In the case of a franchisee and franchisor, this is trust in upholding each of their respective duties. The franchisee agrees to follow the terms of the agreement to their best ability. The franchisor will support them with the tools and experience they have readily available.
  • Communication. Good communication is critical to business success. The franchisor must explain clearly what is expected of the franchisee in their new role. Some franchisors offer conferences, meetings, training, and an advisory board so that franchisees feel they have a say in business matters. When problems arise, the best advice is to go directly to the franchisor rather than complaining with others first. Candid feedback is productive and necessary to the business relationship.
  • Ongoing support. Ask current franchisees about their support system with the franchisor. In an effective franchisor/franchisee relationship there will be help and support to get through challenging periods. Don’t hesitate to ask for advice when a problem arises.
With trust, communication, and ongoing support, the franchisor and franchisee can develop a healthy, long term relationship. Take your time to find the franchisor that will help bring you business success and be prepared to do your part.

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Austin, TX

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