How Should Decision-Making Authority Be Divided Before You Start Franchising?
Separate brand standards from independent franchisee decisions, and clarify authority over staffing, spending and representation before granting your first franchise.
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You may be used to every decision in your own business coming to you. But continuing that habit once you start franchising blurs the line between an independent franchisee’s responsibilities and head office’s authority. A healthy franchise relationship depends not only on shared standards, but also on clarity about who makes which decisions in their own right. Drawing up an authority and responsibility matrix before signing your first franchise agreement makes day-to-day operations easier and helps both parties set realistic expectations of each other.
