Business View Magazine June 2023

156 BUSINESS VIEW MAGAZINE VOLUME 10, ISSUE 6 at the IFA made the strategic decision to include franchisees in its membership. This has radically changed the organization’s path to becoming a real player representing the business model and educating the public. A significant component that the IFA endeavors to convey to the public is that these businesses are operated by individuals, just like any other small business. The only difference is they have a licensing deal with a more prominent brand. This public image always needs a complete picture of the business model and the uniqueness of the franchise business model. It’s this core insight that the IFA is working to protect via constantly creating educational content for the general public. However, the simple fact is that not all franchise brands are created equal. As some will be more successful than others, the IFA encourages potential franchisees to conduct their own due diligence. The IFA knows this is the best method of avoiding issues that may emerge later in the process. The IFA has an entire Academy of Learning Modules developed for both franchisor and franchisee members. For franchisors, the IFA has developed material that educates them on how to create a franchise system, how to market and sell it, and the legal requirements. And for prospective franchisees, the 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. By creating healthy channels of commerce and creating a relationship that focuses on the appropriate amount of pre-sale disclosure.” The IFA believes that franchises need to be allowed to evolve. Currently, there are levels of autonomy that franchisors offer franchisees. But certain elements are 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 limited 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