New Division Checklist (Fixed Fee)

Owned by Leah (Unlicensed)
12, Apr, 2017
4 min read

This form is designed to assist the prospect by providing a checklist to ensure that they have provided & prepared everything required to commence operations as a regional franchisor and comply with the recommended processes set out in our agreements & manuals.

 

Please work through the below with your Business Development Manager and tick of each field listed below as you complete them.

 

INITIAL CONTACT

 

              ACCC Information Statement - under the Franchising Code of Conduct all enquiries are required to receive a copy of the Information Statement.

 

              Business Forecast - please discuss with the business development manager how your current business operates and how Jim’s Group will benefit you.

 

              Drafts - you will be provided with franchisor draft documents and franchisee draft documents. Please read the draft document suites provided to ensure you are satisfied with the contents.

 

INTERVIEW (all final decisions need to be approved by Jim prior to preparation by the documents team)

 

              Research - there are a large number of aspects which need to be researched and negotiated such as:

 

      • Trading names/Logos - you will need to look into the name & logo of the new division will need to be checked and approved by Jim (design & website to be carried out by Jim’s Group).

 

      • Services - you will be required to provide a list of the services which franchisees will be offering so we can ensure there are no overlaps with other divisions.

 

      • Licenses/Regulations/Laws/Permits - you will need to research & identify if any licenses or permits are required to carry out the services being offered or if there are any regulations/laws which need to be followed (such as OH & S requirements).

 

      • Insurance - our agreements only enforce public liability insurance, you will need to research whether any other additional insurances will be required (such as professional indemnity etc).

 

      • Region - determine the number of households/business for franchisee territories (including maps) and the prices they will be sold for.

 

      • Costs - determine all startup costs (for yourself & franchisees) including vehicles, equipment etc as well as ongoing costs (such as monthly fees, insurances etc). 

 

              Document review - after reviewing the draft document suites provided, if any changes are desired contact the documents team.

 

              Instruction Sheet - Please complete the regional franchisor agreement instruction sheet with the Business Development Manager and submit to the documents team for preparation.

 

              Schedule - negotiate and determine a franchisee schedule then provide the documents team with completed instructions to create a schedule.  This will become the default for all franchisee document suites.  The documents team will supply you with a draft schedule once finalised.

 

              Induction Training - book, attend and complete the Jim’s Induction Training.

 

              Style Guide - you are required to create a style guide to be provided to franchisees for them to follow which will include the below:

 

      • Trailer / Vehicle signage requirements

 

      • Uniforms

 

      • Stationary (business cards, letterheads, etc)

 

This should include specific colour specifications and correct location of signage on vehicle.  Franchisees will be obligated to follow this and will be required to change if they are not.

 

If franchisees are permitted to have more than 1 type of vehicle all the variants must be incorporated (please refer to the Mowing style guide provided for guidance).

 

The Compliance team will need to be provided with a copy.

 

              Divisional specific manuals (if applicable) - if there are any division specific requirements which the franchisees are obligated to follow, these need to be incorporated into a division specific manual (such as permits, service guidelines, insurances etc).  Once completed you are required to supply the documents team with a copy.

 

              Financials - depending on your entity structure there will be different financials which you will be requirement to disclose under the Franchising Code of Conduct. It is recommended to have these arranged prior to commencing as it is one of our largest hold ups when requesting documents and can potentially delay franchisees commencing or turn a sale cold.  Attached is an information leaflet which lays out the different financial requirements for different entities (the documents team can assist if you are unsure).

 

              Advertising Bank Account - under the Franchising Code of Conduct a Franchisor must maintain a separate bank account for advertising fees contributed by Franchisees.

 

              Police Check - all our franchisors and franchisees are required to provide a police check.  These must be conducted within the last 12 months to meet our requirements.  Please refer to the preferred suppliers list on assistance with obtaining one.

 

              Insurance - arrange any required insurance policies required to operate your regional franchise business.

 

              Website/Domain Name - all websites and domain names registrations will be carried out by Jim’s Group.  Please liaise with Infotech to have a division specific website created.

 

SIGN-UP

 

              Contact the documents team to arrange a sign-up of your franchisor documents.  These can be conducted at the national office or signed in counter parts.

 

 

UPON COMMENCEMENT

 

              Disclosure Document - each franchisor is required to complete their regional disclosure document information under the Franchising Code of Conduct (attached are instructions on how to update this information in FMS).

 

              Instructions to Grant Franchise (operating Franchisor) - if you wish to operate as a franchisee as well, you are required to have a franchise agreement & must follow the same obligations as the franchisees. Attached are instructions to request these documents. You are required under the Franchising Code of Conduct to hold documents for 14 days prior to execution.  However if you wish to commence taking leads prior to the 14 days we will need to completed documents listed below:

 

-          Customer Contact Centre Setup Form (DOC004)

-          Authority to register business name (DOC005)

-          Certificate of Currency (for operating franchise business)

 

After the 14 days has lapsed the remaining documents are required to be completed & returned.  If not received within 21 days from the issue date your franchise code will automatically be switched off until received.