https://jims.net/wp-content/uploads/2020/06/jims-1.jpg 1371 2016 admin https://jims.net/wp-content/uploads/2020/01/YourLocalExpert.png admin2021-04-21 10:34:352021-04-21 10:34:35How do you become a master franchise?
Behind the iconic Jim’s beard are thousands of everyday Australians who have been building up the brand over the last several decades. But have you ever wondered how it all works? What’s the difference between a franchisee and a franchisor? Are regional franchises the same as master franchises? And how do you become one? If you’ve ever found yourself curious about the structure of the company and how it operates, we’re here to help out. Read on below to learn more about how our master franchises work and how you can buy into one.
What is a regional franchise?
Usually, you’ll see these agreements referred to as ‘master franchises’, but at Jim’s Group, we opt to call them ‘regional franchises’. Since the terms can be used interchangeably, some people can find themselves confused as to what it all means. Essentially, regional franchises (i.e. master franchises), are agreements that designate specific responsibilities and activities within a given territory or region to another person. For example, an Inner Sydney Jim’s Mowing regional franchisor would be responsible for managing and supporting the individual Jim’s Mowing franchisees working in Sydney’s inner suburbs. Our regional franchisors are responsible for providing support to their region, whilst also helping the region to grow and expand.
A regional franchisor at Jim’s Group has to have excellent communication and support skills, since a large part of their job is to provide genuine support to their franchisees. Sales skills are also helpful, since another large component of their work is centred around recruiting new franchisees and assisting in the growth and development of their region. Our regional franchisors wear many hats and seamlessly transition between the roles of mentor, salesperson, and manager. It’s an extremely rewarding position, one in which you’ll be constantly developing as a leader and a businessperson.
How do master franchisors make money?
As would be expected, master franchisors, or regional franchisors, make money from their region. Every month, our franchisees pay franchise fees. These fees aren’t taken as a percentage of what they earn, but are calculated instead as a flat rate. Regional franchisors get a cut of these fees. Oftentimes, master franchisors also choose to grant themselves a franchise. This is another way in which they can bring in additional income for themselves.
In addition to this, if the region gets sold, the regional franchisor gets the majority of the share. When you think about it, this makes sense and is very fair, since the regional franchisor is the one who was responsible for growing and developing their region.
How well a regional franchisor does from a financial perspective depends on how well their region performs. If there are more franchisees on board, then the regional franchisor will see more revenue. The financial potential is huge – all it takes is a committed and ambitious person to take a region to the next level.
What is the most profitable franchise to open?
Jim’s Group has over 50 divisions available, with the list growing with each passing year. One of our most commonly asked questions is: ‘which division will make me the most money?’. Unfortunately, the answer to this isn’t straight-cut. We certainly have our ‘high earner’ divisions like Test & Tag, Mowing, and Cleaning. However, you might be surprised to know that the earning potential of franchises rests largely on the people running it. There have been some divisions that have failed in the past that could have easily succeeded, while there have been some other divisions that didn’t seem like they were working with a huge market, but ended up performing exceptionally well in the end. Our advice for new franchisees and franchisors is to look for the divisions that best align with their skills and interests, rather than looking for the money. The reality is, if you have a will to learn and a drive to succeed, you can make your business a huge success.
So, how do you become a master franchise?
At Jim’s, the first step to becoming a regional franchisor is to reach out and express your interest. We take our selection process seriously, as we want to make sure that our franchisees are left in the best hands. Our regional franchisors come from all walks of life, so we don’t necessarily ask for industry experience or other previous experience. What we do ask for are excellent communication and leadership skills and a genuine desire to help others succeed.
Once we’re sure that a prospective regional franchisor is serious about the opportunity, we’ll invite them to attend a training session. During these initial training sessions, we’ll assess their suitability for the job and will make the decision as to whether we’d like to accept the prospective franchisor or not. If we do decide to accept them, the next steps are simple. We wait for them to sign all their documents and to get their finances in order, we wait for the cooling period to end, and off we go!
What master franchises are there for sale in Australia?
Jim’s Group master franchises are great investments, and this is proven by the fact that they don’t appear on the market all that often. With that being said, there are currently regions from a range of divisions available for purchase. We’re always on the lookout for motivated and ambitious people to help us transform regions and transform lives. So, if you have a penchant for supporting and encouraging others as well as a desire to drive your own business, please reach out to us today and our team will promptly contact you to discuss how we can put your plans into action. Call us on 13 15 46 or enquire online today!
We have regional franchisor opportunities and some pre-loved franchises available Australia-wide.
Select from the drop-down box what division you are interested, and one of our team will call you to discuss the options available for you.
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