While Franchisors are busy expanding their systems, focused on hitting growth targets and capturing market share, they are simultaneously leaving in the wake of this growth a swath of Franchisees which will become a Franchisor's most important referral source and the face of a Franchisor's brand for years to come. Clearly a satisfied Franchisee can be a great referral source for prospective franchisees, while a disgruntled Franchisee can be a deal killer. This is especially true in very early stage and emerging brands, where a few unhappy Franchisees can have a very loud voice. Moreover, as Franchisees are responsible for bringing a Franchisor's brand to the public, an unhappy Franchisee is unlikely to champion any brand successfully.

To continue reading, please click the link below.