International Franchise Association

how to market and sell it, and the legal requirements. And for prospective franchisees, IFA hosts events around the country, displays at expos, and offers a plethora of online education modules about how to qualify for a franchise purchase. Haller elaborates on the role that government has in public policy, “We think the appropriate role for government to play is by regulating the franchise business model in a way that creates healthy channels of commerce and supports a relationship that focuses on the appropriate amount of pre-sale disclosure.” IFA believes that franchises need to be allowed to evolve. Currently, there are levels of autonomy that franchisors offer franchisees with certain elements being left to the discretion of the franchisee, which includes who they hire, their pay rate, schedules, and real estate. In regards to the outward appearance of the brand to the customer, the licensing relationship is essential as the franchise needs to maintain a consistent look and feel. This being said this is a unique element of the business model. “By buying into a franchise, you can own and operate a business, or businesses, as opposed to how mega- corporations work, which is the business model’s biggest selling point. All the stakeholders in the franchise relationship benefit from the established brand,” says Haller. Also, by creating a franchise, you can expand and grow your business with other people’s capital, which in turn means an accelerated rate of market reach. It’s also worth noting that franchisees have local market knowledge and operate in a community. This also allows these individuals to feed their families and uplift communities. According to research conducted by IFA, franchisees tend to pay higher wages, offer better benefits for workers, make different programs available, and these owners give back to their local communities in more powerful ways compared to other business models. However, the simple fact is that not all franchise brands are created equal. As some will be more successful than others, IFA encourages potential franchisees to conduct their own due diligence. IFA knows this is the best method of avoiding issues that may emerge later in the process. IFA has an entire Academy of Learning Modules developed for both franchisor and franchisee members. For franchisors, IFA has developed material that educates them on how to create a franchise system, 4 BUSINESS VIEW MAGAZINE VOLUME 10, ISSUE 06