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Avoid The Eight Secret Of Franchise Risk.

2010/9/23 10:41:00 33

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Franchise Chain

according to

Ministry of Commerce

Statistics show that there are more than 2000 franchise systems in China, nearly 82 thousand.

Clothing franchise

There are about 2 million practitioners, covering more than 50 industries and formats.

However, behind the rapid development of franchising, the cases of franchisees being cheated are endless.

Like Nanjing's "sea" incident and Suzhou Maoming incident, it not only failed to enable franchisees to successfully start their own business, but made many people lose their blood.

So as tens of thousands of dollars.

Investor

How to choose a franchise project? How to inspect the legal qualifications and procedures of the allies? How can we guard against all kinds of pitfalls? As an assistant counselor of Nanjing, Liu Yi, assistant general manager of the entrepreneur training center, puts forward 8 suggestions to avoid risks.

First, choose the right industry.

The so-called "women are afraid of marrying the wrong man, and men are afraid of going wrong". Investors should first choose an industry that has a promising future.

Two, identify brand investors.

It is necessary to find out whether the "brand" of the chosen brand is high, and whether the brand credit is reliable.

Three, understand the performance of Direct stores

According to the regulations, investors have the right to know the number and business performance of the "principal".

Four, perfect affiliate mechanism.

The real "leader" will have a complete franchise mechanism for clothing franchisees, such as return mechanism, exit mechanism, profit guarantee mechanism, compensation mechanism and so on.

Five, a sound training system.

As a "leader", we should provide professional training such as sound management, clothing marketing and so on. At the same time, we should provide follow-up technical guidance to the franchisees, so that the franchisees can better operate in a uniform quality standard.

Six, visit headquarters and franchisees.

This must be done. In addition to inspecting the "main owner" of its own outlets, it is necessary to inspect more than a few franchisees' franchisees, and see whether franchisees can really benefit from joining the alliance. At the same time, they can also judge the credibility of the "alliance leader".

Seven, check the contract text.

Many lawless "alliance leaders" do not take a serious look at all terms of the contract for the franchisee, and use the contract to set traps so that many franchisees are deceived and finally fail to win the lawsuit through legal channels.

Eight, enhance their entrepreneurial ability

Many entrepreneurs are very rich, but the "leader" does not allow him to join, because as a business project, in addition to a perfect operation mode, the quality and resources of the franchisee directly determine the success or failure of the project.