Franchise Canada January/February 2021

EXPLORE THE FUTURE OF FOOD FRANCHISING

MEET ESSENTIAL SERVICE FRANCHISES

FOCUS ON HOME IMPROVEMENT FRANCHISES FIND INSPIRING FRANCHISE OPPORTUNITIES WITH

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A Canadian Franchise Association Publication / FranchiseCanada.Online

THE

RESILIENCE OF FRANCHISING

JANUARY | FEBRUARY 2021 • $4.99

Strong franchise systems provide increased support to withstand the challenges of 2021

FranchiseCanada.Online

JOIN THE RECOGNIZED LEADERS IN SUPPLEMENTAL EDUCATION! MAKE A DIFFERENCE IN YOUR CAREER!

Helping Canadian Children & Families Since 1984 Unparalleled Training & Support System

MAKE A DIFFERENCE IN YOUR COMMUNITY!

Award-Winning Marketing Team

Award-winning Oxford Learning is proud to be Canada’s top-ranked educationbased franchise system!

Founded in 1984, Oxford Learning offers learning programs for students from preschool to university; students improve their academic skills, strengthen their cognition, and ultimately develop higher self-confidence and self-esteem.

An education background is not a prerequisite—our unique cognitive learning program, proprietary curriculum, and comprehensive training combined with your drive to succeed are the only requirements!

Join a team of recognized leaders making an impact in the supplemental education industry.

International Brand Recognition Proven Success Record Personal Fulfillment & Financial Security Providing sessions in-centres & online through Virtual Table™

CALL NOW TO BECOME PART OF CANADA’S LEADING SUPPLEMENTAL EDUCATION FRANCHISE. 1.888.559.2212 ext. 115 franchise@oxfordlearning.com Proudly Canadian

FRANCHISE SYSTEMS WITH 100+ LOCATIONS

franchise.oxfordlearning.com

REAL FOOD FOR REAL LIFE. A REAL OPPORTUNITY.

the future is frozen As more people turn to meals prepared at home, M&M Food Market has become the franchise to own.

Times are changing and our stores are changing right along with them.

Never standing still, innovating, and adapting to the challenges of today while

preparing for tomorrow has been a key to success in our 40 year history.

Learn more about a franchise opportunity built for today and tomorrow at mmfoodmarket.com.

CONTENTS FRANCHISE

JANUARY/FEBRUARY 2021

CANADA

18 COVER STORY

Looking for a franchise?

Discover

the best franchise business opportunities available now

Go in business for yourself with the support of a credible franchise system! With hundreds of franchise opportunities, LookforaFranchise. ca is the most comprehensive online directory of legitimate franchises available in Canada. We make searching for a franchise easy – you can find franchises by company name, location, investment, or industry. Begin your search now and realize the dream of running your own business.

Get Started Today!

• Information your can trust • Credible franchises opportunities • Narrow your search • Contact franchisors directly • Get the info you need

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4 Canadian Franchise Association

18 FRANCHISING REMAINS STRONG

Join Franchise Canada as we explore how resilient the franchise business model remains during the COVID-19 pandemic and into 2021

19 The Resilience

of Franchising Strong franchise systems provide increased support to withstand the challenges of 2021

22 Notes on a

Pandemic Consumer insights from Angus Reid Group

FEATURES

28

Leading Strong Franchise professionals offer advice and guidance on how to lead your staff during difficult times

32

Essential Services Provide Community Support Five essential service franchises share how they’ve adapted to changes and challenges during the COVID-19 pandemic

40

Food for Thought Exploring the future of food franchising in Canada amid the COVID-19 pandemic

24 Shopping for

44

26 Economic Recovery

SPECIAL FRANCHISE FOCUS

the Future Five pandemic shopping habits that are here to stay (plus tips for franchisees to develop their business!) in 2021 Looks Promising Thanks to COVID-19 Vaccine RBC Economics releases a Macroeconomic Outlook outlining what to expect for the economy this year

Educating the Future Franchise Canada explores education franchises that sharpen the minds of Canadians from coast to coast

www.cfa.ca | www.FranchiseCanada.Online

51

Home Improvement Why you should consider a franchise in this sector!

Franchise Canada is published by the Canadian Franchise Association www.cfa.ca | www.FranchiseCanada.Online

DEPARTMENTS

59

HOME-GROWN & LOCALLY-OWNED 100% Canadian Franchise Systems

62

MILLENNIALS IN FRANCHISING Building a Local Connection The GetintheLoop franchise team creates a strong sense of community in Prince George, B.C.

65

LEADERSHIP PROFILE Support for Seniors A desire to live with a higher purpose leads president and CEO Jeff Huber to a thriving career at Home Instead

68

A DAY IN THE LIFE The Art of Living Well Community and staff engagement spell success for Vancouver-based LIVE WELL franchisee Kent Howie

71

THE FIRST YEAR Transporting the Community Driverseat franchisee Adam McKeachnie finds first-year success by out-caring the competition

74

ICONIC BRAND Staying Ahead of the Curve Innovation, collaboration, and community connections continue to feed McDonald’s Canada’s success

78

SHOW ME THE MONEY 4 Franchises for $250K-$500K

80

FRANCHISE FUN Growing the Pack Dogtopia’s Kim Hamm is passionate about pups, and for the layers of support in Canadian franchising

SE ASON 3

84

FRANCHISE TUTORIAL Tutorials 19 & 20 This issue: • Intro to Leases & Subleasing from the Franchisor • Intro to Leasehold Improvements

Tune in to the Franchise Canada Chats Podcast!

COLUMNS

10 CFA CODE OF ETHICS 12 INDUSTRY NEWS 82 ASK THE EXPERTS 87 MARKETP­LACE 93 ADVERTISERS’ INDEX 94 GIVING BACK

Available on Google Play, iTunes, SoundCloud, Spotify, and Stitcher Radio

FranchiseCanadaChats.ca

Visit www.LookforaFranchise.ca to find further information about the franchises featured in this January/February issue.

Franchise Canada

January | February 2021 5

PUBLISHER’S MESSAGE

A

THE RESILIENT FRANCHISE INDUSTRY WILL REMAIN STRONG IN 2021

s a year comes to an end, it’s always exciting to look ahead to the next year and what it will bring. As we close out a very challenging 2020, Canadians will be especially happy to embrace 2021 in the hopes that it will provide more stability during this difficult time. While much uncertainty remains amid a second round of business closures caused by the COVID-19 pandemic, the future of franchising still looks bright for 2021 and beyond.

There’s no question that many Canadian businesses have struggled in the past year, but there are also many stories of franchises that have risen to the challenges and adapted to continue meeting the needs of their customers. While some businesses have faltered, some have come out even stronger, experiencing growth in this tumultuous time.

This resiliency and growth are a testament to the strength of the franchise business model. In our trends cover story report, we take a different approach to what lies ahead for franchising in 2021, highlighting the security franchising brings during these turbulent times. In the Resilience in Franchising article on page 19, we focus on the benefits of franchising, especially the additional support and resources it offers to franchisees. We share the general outlook for franchising in 2021, along with advice for those who are considering taking control of their employment futures through small business ownership.

This trends report will also showcase the consumer trends that have emerged throughout 2020 and will continue into 2021 (pages 22 and 24), along with the latest economic outlook from the Royal Bank of Canada (RBC) about what Canadians can expect as the economy looks to rebound in 2021 (page 26).

Certain industries have faced greater challenges than others, and those that were deemed essential services during the pandemic have been in the fortunate position of staying open for Canadians. On page 32, we spotlight five franchise brands that provide essential services to customers. They share how they have used this opportunity to improve the lives of Canadians, while adapting to meet high health and safety standards to keep their communities safe.

While businesses providing essential services have remained open, many food franchises have been closed for in-person dining for extended periods throughout the pandemic. This has taken a major toll on restaurant

6 Canadian Franchise Association

franchises throughout the country, but shifting to safer models, including takeout, delivery, online ordering, and drive-thru, has allowed many food service franchises to continue feeding their communities. On page 40, franchises in the quick service, casual dining, and full service dining categories share how they have worked together with their franchisees, customers, and communities to make it through this challenging time.

Franchisee success stories are a great way to learn about the challenges that are faced in franchising, along with the unique ways they can be overcome. This issue features inspiring stories from franchisees who have found ways to continue connecting with their customers. On page 71, Driverseat franchisee Adam McKeachnie shares how he’s putting his Owen Sound community first by helping the region’s most vulnerable members through the COVID-19 crisis. We also take you through a day in the life of LIVE WELL Exercise Clinic franchisee Kent Howie, who has increased his focus on member engagement, including through online platforms, during the recent months of the pandemic (page 68). And on page 62, we introduce you to millennial GeintheLoop franchisees Dustin and Marianne Woodbeck, who while juggling new franchise ownership, parenthood, and COVID-19, are still increasing community connections.

As you consider franchising as the path to business ownership, it’s important to consider how you will embrace the leadership role that comes with owning a franchise business. On page 28, we’ve compiled advice from franchise experts to help you lead your team through this challenging time.

There’s no question that 2020 brought many in the franchising industry their toughest challenges yet, but as the stories throughout this Franchising Trends issue have showcased, Canadian franchising is strong and resilient. While uncertainty will continue into 2021, with the right franchise behind you, the time is right to take control of your business future through franchising in the coming year. Happy New Year, and stay safe!

Sherry McNeil President & CEO, Canadian Franchise Association

www.cfa.ca | www.FranchiseCanada.Online

GET TO KNOW AMEX OFFERS

Optimized for your franchise, tailored for customers.

Reach the right customer, at the right time, with an offer that is most relevant to them.

With Amex Offers* franchises that welcome American Express® Cards can reach eligible Cardmembers with tailored and enticing offers. Through American Express digital channels, franchises can help increase brand awareness and potential revenue through targeted reach and hassle-free management.

The setup is simple, the results are powerful.

Interested in Learning More?

To find out more about how your franchise can benefit from Amex Offers, visit www.amex.ca/amexoffers or contact us at amexofferscanada@aexp.com *

Eligible cards will vary by offer and are subject to change. Select Canadian American Express Cards issued by Amex Bank of Canada and Cards issued by a licensed third-party issuer (as applicable) are eligible cards for the offer. The following Cards are not eligible: American Express Corporate Cards, American Express® Gift Cards and Prepaid Cards. Subject to offer terms and conditions and full Program Terms.

™,®: Used by Amex Bank of Canada under license from American Express.

CFA BOARD OF DIRECTORS BOARD CHAIR Gerry Docherty*, Good Earth Coffeehouse PRESIDENT & CEO Sherry McNeil*, Canadian Franchise Association 1ST VICE CHAIR David Druker*, The UPS Store TREASURER Lyn Little, BDO Canada LLP

PUBLISHER

Canadian Franchise Association (CFA)

SECRETARY & GENERAL COUNSEL

Larry Weinberg*, Cassels Brock & Blackwell LLP

VP, CONTENT & MARKETING Kenny Chan

PAST CHAIR John DeHart*, Hartify Franchise Consulting

EDITOR Lauren Huneault

CHAIR, LEGAL & LEGISLATIVE COMMITTEE

GRAPHIC DESIGNER Andrea Lee

Darrell Jarvis*, Fasken

CHAIR, FRANCHISE SUPPORT SERVICES

Kirk Allen, Reshift Media

EDITORIAL ASSISTANT Stefanie Ucci ADVERTISING SALES Nav Matharu AD COORDINATOR Andrea Lee

DIRECTORS

Steve Collette, 3rd Degree Training/Actual Nutrition John Gilson, COBS Bread Terry Hould, ServiceMaster of Canada Limited Andrew Hrywnak, Print Three Franchising Corporation Rimma S. Jaciw, CFE, WSI Digital Ken Otto, Redberry Restaurants Ryan Picklyk, A&W Food Services of Canada Inc. Gary Prenevost, FranNet Stephen Schober, Metal Supermarkets Family of Companies Frank Stanschus, Little Kickers *Executive Committee member

CONTRIBUTING WRITERS

Suzanne Bowness, Jessica Burgess, Lauren Huneault, Roma Ihnatowycz, Gina Makkar, David Chilton Saggers, Stefanie Ucci, Jordan Whitehouse, Kym Wolfe FRANCHISE FUN ILLUSTRATION Sam Gorrie FOR ADVERTISING INFORMATION:

Nav Matharu nmatharu@cfa.ca

TO SUBSCRIBE TO Franchise Canada

visit www.FranchiseCanada.Online or call 1-800-665-4232 ext. 238.

We invite your comments, questions and suggestions. Please contact us at editor@cfa.ca or 1-800-665-4232.

NATIONAL SPONSORS

The CFA wishes to acknowledge and thank these National Sponsors for their support throughout the year.

Find out more about these companies at www.cfa.ca/sponsorship

© 2021, Canadian Franchise Association.

All rights reserved. The contents of this publication may not be reproduced by any means, in whole or in part, without the prior written consent of the publisher.

Publications Mail Agreement No. 41043018 Legal Disclaimer The opinions or viewpoints expressed herein do not necessarily reflect those of the Canadian Franchise Association (CFA). Where materials and content were prepared by persons and/or entities other than the CFA, the said other persons and/or entities are solely responsible for their content. The information provided herein is intended only as general information that may or may not reflect the most current developments. The mention of particular companies or individuals does not represent an endorsement by the CFA. Information on legal matters should not be construed as legal advice. Although professionals may prepare these materials or be quoted in them, this information should not be used as a substitute for professional services. If legal or other professional advice is required, the services of a professional should be sought.

8 Canadian Franchise Association

www.cfa.ca | www.FranchiseCanada.Online

LOOKING FOR WAYS TO MAXIMIZE YOUR CASH FLOW? With an American Express® charge card you may be able to: • • • •

change your accounts payables optimize working capital minimize the need to borrow improve long term profitability

Ready to see why it pays to work with American Express?

Email us at franchisesolutions@aexp.com or visit us at www.americanexpress.ca/canadianfranchiseassociation to learn more.

CODE OF ETHICS

T

he Canadian Franchise Association (CFA) is dedicated to encouraging and promoting excellence in franchising in Canada. Each member of the Association agrees to abide by the CFA Code of Ethics and to further the Association’s goals of encouraging and promoting ethical franchising in Canada. Each member of the Association agrees to comply with the spirit of this Code of Ethics in its general course of conduct and in carrying out its general policies, standards and practices. The following are considered by the Association to be important elements of ethical franchising practices: 1.

Franchise system and franchise support services members should fully comply with Federal and Provincial laws, and with the policies of the Canadian Franchise Association.

2. A franchisor should provide prospective franchisees with full and accurate written disclosure of all material facts and information pertaining to the matters required to be disclosed in advance to prospective franchisees about the franchise system a reasonable time [at least fourteen (14) days] prior to the franchisee executing any binding agreement relating to the award of the franchise.

3.

A ll matters material to the franchise relationship should be contained in one or more written agreements, which should clearly set forth the terms of the relationship and the respective rights and obligations of the parties.

4. A franchisor should select and accept only those franchisees who, upon reasonable investigation, appear to possess the basic skills, education, personal qualities and financial resources adequate to perform and fulfil the needs and requirements of the franchise. Franchise systems and franchise support services members of the Association should not discriminate based on race, colour, religion, national origin, disability, age, gender or any other factors prohibited by law.

5. ­­­ A franchisor should provide reasonable guidance, training, support and supervision over the business activities of franchisees for the purposes of safeguarding the public interest and the ethical image of franchising, and of maintaining the integrity of the franchise system for the benefit of all parties having an interest in it.

6. Fairness should characterize all dealings between a franchisor and its franchisees. Where reasonably appropriate under the circumstances, a franchisor should give notice to its franchisees of any contrac-

10 Canadian Franchise Association

tual default and grant the franchisee reasonable opportunity to remedy the default.

7. A franchisor and its franchisees should make reasonable efforts to resolve complaints, grievances and disputes with each other through fair and reasonable direct communication, and where reasonably appropriate under the circumstances, mediation or other alternative dispute resolution mechanisms.

8. A franchisor and a franchise support services member should encourage prospective franchisees to seek legal, financial and business advice prior to signing the franchise agreement.

9. A franchisor should encourage prospective franchisees to contact existing franchisees to gain a better understanding of the requirements and benefits of the franchise.

10. A franchisor should encourage open dialogue with franchisees through franchise advisory councils and other communication mechanisms. A franchisor should not prohibit a franchisee from forming, joining or participating in any franchisee association, or penalize a franchisee who does so.

11. A franchise support services member in providing products or services to a franchisor or franchisee should encourage the franchises to comply with the spirit of this Code of Ethics. A franchise support services member should not offer or provide products or services if legislative or professional qualification is required to do so unless the franchise support services member has such qualification.

LOOK FOR EXCELLENCE As you investigate the many franchise opportunities available to you, you will see a special logo featured in franchise literature, on franchising websites and in franchise tradeshow booths. This logo identifies franchise systems and franchise support services/suppliers as members of the Canadian Franchise Association (CFA). You should be on the lookout for this symbol when researching franchise systems or assembling a team of franchise support professionals to assist in your search. CFA encourages and promotes excellence in franchising in Canada and members of the Association voluntarily agree to follow the CFA’s Code of Ethics in pursuit of these goals. Start your search for your franchise dream with a CFA member.

Visit FranchiseCanada.Online today.

www.cfa.ca | www.FranchiseCanada.Online

PEACE

OF MIND WITH A COBS BREAD BAKERY

Franchise with a business that provides a product that’s essential to every day life – with a trusted franchisor.

Learn more about owning a local bakery with COBS Bread at COBSBread.com/franchise

INDUSTRY NEWS

Your source for what’s happening in Canadian franchising FASTSIGNS® Recruiting Existing Business Owners Looking to Grow Through Its Co-brand and Conversion Program FASTSIGNS International, Inc., franchisor of FASTSIGNS ®, the sign, graphics, and visual communications franchise, is recruiting existing business owners looking to grow through its co-brand and conversion program. The franchise offering allows entrepreneurs to add a FASTSIGNS to their business or fully convert their store to a FASTSIGNS centre to take advantage of FASTSIGNS’ established brand recognition, state-of-the-art products, training and support, and status as the number one franchise opportunity in the sign and graphics industry.

Early last year, FASTSIGNS centres nationwide were deemed essential as COVID-19 forced thousands of businesses across the country to temporarily close, allowing FASTSIGNS franchisees to pivot their services to best serve their customers and local communities.

“Small business owners have been navigating through the unknown during the pandemic, with many businesses struggling and others shutting their doors forever.

But FASTSIGNS franchisees have fared extremely well with the backing of our strong support centre, allowing them to be in business for themselves, but not by themselves during these unprecedented times,” said Mark Jameson, EVP of franchise support and development for FASTSIGNS International, Inc. “At FASTSIGNS, we stay on the cutting edge of technology and trends, so our franchisees don’t have to and, throughout the COVID-19 outbreak, our constant stream of knowledge and resources amplified their abil-

12 Canadian Franchise Association

ity to focus on what matters most — their customers. With a recognized brand name, advanced technology, a global supply chain network, and an international system of franchisees, we’re proud to assist existing businesses as they look to diversify their product offerings and services to weather this storm.”

FASTSIGNS has helped countless owners of print shops, photography studios, camera stores, embroidery shops, and more add a FASTSIGNS to their existing business or fully convert their centre to a FASTSIGNS franchise. In 2019 alone, co-brand and conversion centres opened in markets including Brooklyn, New York; Windsor, California; and Findlay, Ohio, among others. FASTSIGNS franchisees receive ongoing training and support to stay ahead of the competition and exceed the needs of their local business community.

Both the co-brand franchise opportunity and conversion can be started with only $15,000 down on the initial franchise fee and lower royalties during the first 12 months.

FASTSIGNS is known in the industry for equipping its franchisees with tools vital to securing the ongoing success of each individual location. In addition to the brand’s online FASTSIGNS University, FASTSIGNS partners with 1HUDDLE, a workforce-training platform that converts unique training content into sciencebacked, quick-burst training games that are proven to accelerate workforce productivity.

FASTSIGNS also offers a special incentive for first responders, including paramedics, emergency medical technicians, police officers, sheriffs, and firefighters, which includes a 50 per cent reduction on the franchise fee — a savings of $24,875.

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Metal Supermarkets Opens Its 100th Store Metal Supermarkets, the world’s largest supplier of small-quantity metals, opened its 100th location on October 5, 2020 with a new store in San Diego, CA. The newest store is the ninth new Metal Supermarkets location to open in 2020, with more locations coming in Pico Rivera, CA, Washington, DC, San Jose, CA, Houston, TX, and Lewisville, TX by the end of the year.

With a total of 14 confirmed store openings in 2020, Metal Supermarkets more than tripled the number of store openings from 2019. The company is also finalizing seven more franchise units to open in early 2021.

The newest store in San Diego will mark the 69th Metal Supermarkets location in the United States.

The franchise has stores in 32 states, including multiple locations in 18 of those states. Additionally, there are 24 Metal Supermarkets stores in Canada and seven in the United Kingdom.

“We are extremely proud to be opening our 100th store. This opening marks a major milestone in the history of our franchise,” said Metal Supermarkets president and CEO Stephen Schober. “Along with the record number of store openings in 2020, reaching the 100-store mark is a testament to the Metal Supermarkets business system, our dedicated franchisees, and the demand for our products and services.”

Metal Supermarkets provides small-quantity metals to a wide variety of business customers across various industries, including tool and die shops, manufacturers, maintenance managers, fabricators, machine shops, contractors, construction companies, military,

Driverseat is a perfect franchise for couples... although many of our franchisees have a business partner or lead the business themselves.

At Driverseat, franchisees hire Chauffeurs, market to customers and are an important part of their community as they build their transportation business. Owning a Driverseat franchise is rewarding in more ways than just the great revenue.

This pandemic resilient business has experienced incredible success over the past year, with growth in new locations and in top line revenue.

The business model is simple. Each franchisee provides Chauffeurs and in some cases shuttle vehicles for pre-booked transportation services like weddings, medical appointments, tours and employee transportation for companies. There simply is no other business that has this much opportunity.

Be part of a growing dream with a business that enjoys high gross margin in a specialized field.

Contact us for more information! www.driverseatinc.com/franchise 855-374-8390

CFA Franchisees Choice Designation 4 Consecutive years

Winner of CFA Awards of Excellence

Extensive training and support programs

State of the art business technology solutions

Chamber of Commerce Innovation Award

INDUSTRY NEWS healthcare, education and other government departments, as well as hobbyists and homeowners.

The stores stock a diverse selection of metal types including hotrolled steel, cold-rolled steel, stainless steel, and aluminum in a wide variety of shapes including bar, tube, sheet, plate, and more. Metal Supermarkets offers customers instant access to any metal, cut to size and ready fast, with no minimum order quantity.

During the COVID-19 pandemic, Metal Supermarkets was deemed as an essential service and none of its stores were forced to close due to government regulations. Some stores increased sales as much as 15 per cent in early 2020 prior to the COVID-19 outbreak. Metal Supermarkets has a large B2B customer base with a high demand for metal products needed for infrastructure, manufacturing, maintenance, and

other services critical to combating COVID-19, including hospital infrastructure and manufacturing personal protective equipment.

many. In fact, we have a large format printer that enables us to produce things like signage and we also have been growing our custom-branded apparel offerings even prior to the Minuteman Press Printing pandemic,” says Wereley. “Between Franchise in Guelph, Ontario customized clothing and other prodAdapts and Thrives for Local ucts, print gives us the special abilBusinesses During COVID-19 ity to help us keep working during Jeff Wereley and Karen McArthur lockdowns and restrictions while own the Minuteman Press digital faithfully serving our clients and printing, design, and marketing community.” franchise in Guelph, Ontario, which The COVID-19 pandemic can be has remained open throughout the intimidating for small local busiCOVID-19 pandemic since print is nesses in Ontario. However, Minutean essential business. They have man Press in Guelph has shown that worked hard on behalf of their busi- it is not insurmountable. Wereley ness community and their expertise says, “We were on track for a great as printing and marketing services year in sales with March numbers providers continues to make a pow- well ahead of last year. We accepted erful impact for the better. there were going to be some limita“We are lucky in the sense that we tions because of COVID-19, but we have more outlets in our business talked as a team and carried on. We that allowed us to remain open than discovered our printing business fit the criteria for being an essential business. With that, the grinding halt that happened one Friday turned around and we could remain open. We were necessary to help other facilities with customized labels and hand sanitizer to start.”

As the months went on, things started picking up.

“We all came back full-time in the beginning of June as our customers went back to work; and we have such a wide range of industries within our client base. We also do screen printing of apparel and that has been great. It picked up in demand, and everything else that was in the pipeline before the shutdown FRANCHISES started to come back. LandAVAILABLE scapers were ordering face SUCCESS. masks and newly branded www.pizzapizza.ca/franchising T-shirts for their crews. We franchisinginfo@pizzapizza.ca had lots of envelope and booklet orders and were

YOUR BUSINESS. YOUR

YOUR PIZZA PIZZA. 21937_1/3_CFAAd_Franchising_4.75x4.625_R3.indd 1

14 Canadian Franchise Association

2019-02-26 11:01 AM

www.cfa.ca | www.FranchiseCanada.Online

INDUSTRY NEWS busy printing labels and social distancing printing for other businesses as they opened up again.”

“Since taking over the business just over four years ago, Jeff, Karen, and their staff have done an excellent job of building a loyal customer following through superior customer service and by supplying top-quality products. They are a fantastic addition to the Minuteman Press family, and I am confident they are going to build one of the largest of our centres in southwestern Ontario,” says Kevin Wittal, regional vice president of Minuteman Press International.

Wereley and McArthur say they feel grateful to make a living in the printing industry, one that turned out to have endurance through trials.

Wereley concludes, “At this time, we are being diligent and have every reason to be hopeful, and so do our clients.”

Massage Addict Adds Chiropractic Care to its Therapeutic Services Offering When Massage Addict opened its first clinic in 2008, the aim was to offer high-quality, affordable massage services. In the years since, the brand has expanded rapidly and now offers a compliment of wellness services in its 98 clinics coast to coast. The Massage Addict vision of being the premier provider of therapeutic treatments in Canada continues to be a guiding force in the brand’s increased clinic locations and breadth of therapeutic services offered.

In keeping with this vision, Massage Addict began offering reflexology in 2019 and followed with the launch of acupuncture in 2019.

As of September 2020, Chiropractic Care joined massage therapy, reflexology, and acupuncture as available therapeutic treatment

options at Massage Addict clinics across Canada.

By offering four complementary services - each provided by registered, licensed, and/or certified health care professionals – Massage Addict has become a destination for wellness, dedicated to helping Canadians manage pain, stress, anxiety, injury, and muscle tension, as well as increase their energy levels and enhance general health.

“We are pleased to be able to provide a place where Canadians can work with a compliment of healthcare professionals to help manage the symptoms and conditions for which they visit our clinics,” says Fraser Clarke, chief executive officer of Massage Addict.

Eighty-five per cent of Massage Addict’s clientele seek relief for pain management, stress, and anxiety.

Chiropractic Care is best known for

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Franchise Canada January | February 2021 15

INDUSTRY NEWS its ability to help with conditions such as chronic back and neck pain, migraine headaches, sciatica, and carpal tunnel syndrome.

“Our clients have long told us that they were interested in the ability to choose between multiple therapeutic services. Chiropractic Care was a natural fit especially considering the synergies between the reasons why people seek chiropractic services and the reasons our clientele visits Massage Addict,” says Clarke.

At its core, Massage Addict is committed to the wellbeing of its clientele, hiring only the highest calibre service providers, who are 100 per cent dedicated to delivering customized treatments, and treatment plans to help provide relief for their clients’ concerns.

Additionally, in mid-October, Massage Addict celebrated a milestone: the opening of its 100th clinic in St. John’s, Newfoundland. Since 2014, the Canadian owned and operated franchise has opened more than 60 new clinics coast to coast, with a further 50 territories identified for development over the next five years.

Tint World® Named to Franchise Business Review’s Culture100 List Tint World® Automotive Styling Centers™, a leading auto accessory and window tinting franchise, has been

named to the Franchise Business Review’s Culture100 list for 2020. The first-year award recognizes the top 100 franchise brands in a 2020 report on the Best Franchise Cultures.

“Being recognized as one of the top 100 franchises showcases how hard our team has worked,” says Charles J. Bonfiglio, president and CEO of Tint World®. “A strong company culture is the backbone of a successful franchise. It takes time and commitment to create, but it’s well worth it. Achieving this honour demonstrates how dedicated our team is to our franchisees and customers.”

The Culture100 awards list represents franchises who received the highest ratings for leadership, mission, community, and overall franchisee satisfaction. Three hundred franchise brands, representing 27,000 franchise owners, participated in Franchise Business Review’s research on the best franchise cultures.

Tint World’s® franchisees were surveyed on 33 benchmark questions about their experience and satisfaction regarding critical areas of their franchise systems including leadership, training and support, the franchisee community, and work/life balance.

“Our goal is to continue expanding and growing across the world,” says Bonfiglio. “This award further proves the advantages prospective franchise owners receive by investing in Tint World®.”

“The Coupons And Deals Club” Signs Agreement With The Canadian Franchise Association To Promote Locally Owned Franchised Businesses Transition Squad, a franchisor of online estate and downsizing auctions, has entered into a national agreement with the Canadian Franchise Association to promote their cross-promotion marketing network, The Coupons And Deals Club, to CFA members.

“There’s strength in numbers” says Viraf Baliwalla, president of Transition Squad. “One of the biggest challenges for any small business is to spread the word and get traffic in the door affordably. However, as the economy re-opens, it is more important now than ever for small businesses to unite and take advantage of economies of scale”.

Through CouponsAndDeals.CLUB (not .com), a branch of Transition Squad’s website, participating merchants can: 1. Post coupons and special offers that consumers can download and redeem directly, and 2. A uction gift cards online, powered by Transition Squad’s online auction engine, where bids start at five to 10 per cent of the face value.

For example, if a restaurant offers a $100 gift card for auction which starts at $5, and there is only one bidder, they get $100 worth of retail value for only $5 (plus 15 per cent buyer’s premium and sales tax). If multiple

16 Canadian Franchise Association

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INDUSTRY NEWS people bid, then the price goes up.

Transition Squad then promotes these offers to millions of potential customers through their database of online auction buyers, clients of all participating merchants, employees of some of the country’s largest employers, and other online buyer channels.

“Even if the bidding goes up to 50 per cent of the face value, that’s still a great incentive for consumers to shop with and support that local business,” says Baliwalla, who explains they have had bids on gift cards from jewelry retailers to car dealerships, and more.

Paris Baguette Registers Canadian Franchise Disclosure Document Paris Baguette, the global bakery-café chain known for its delightful assort-

ment of cakes, pastries, and breads, announced its cemented presence in Canada with its registered Franchise Disclosure Document (FDD). With a strong international presence and over 70 years in the baking business, Paris Baguette is well established in the neighbouring United States and poised for success in Canada, setting sites on expansion in Toronto, Montreal, Vancouver, and other booming provinces and cities.

“We look forward to building our footprint in Canada through franchising,” says Gregg Koffler, vice president of franchise sales and development.

“Consumers are continuing to choose quick service restaurants and, as such, we see a great deal of opportunity for business owners looking for a tried and true business model, that offers gourmet menu selections for dine-in, delivery, or takeout. We offer

multi-faceted store footprints, and our concept succeeds in a variety of environments, from city centres to suburban shopping complexes. Pairing that with our global identity and real estate team, we are confident that Paris Baguette is positioned to resonate with an array of communities in Canada.”

Paris Baguette looks to maintain progress even during the pandemic, continuing growth throughout North America in the past months, with recent franchise agreement deals signed across the U.S. Providing a wide variety of to-go and takeout options for customers, Paris Baguette offers a business model that allows longevity as the world adjusts to the new normal.

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COVER STORY

FRANCHISING REMAINS

STRONG

Join Franchise Canada as we explore how resilient the franchise business model remains during the COVID-19 pandemic and into 2021

I

n 2020, individuals all over the world were left feeling uncertain and uneasy as the pandemic completely changed the ways we live our lives each day. These changes happened inside the home and in people’s personal lives, but also extended into the business world, where thousands of businesses were temporarily shut down to help control the spread of the virus.

In this Trends cover story, we speak to experts who share how resilient the franchising industry is, even in the wake of an economic crisis. This resilience is rooted in the strength of the franchise business model, which provides increased support to franchisees to help them withstand even the toughest challenges. We also provide some notes on the pandemic, highlighting factors to consider as we navigate the uncertainty of our new world. As for shopping, it seems like Canadians enjoy shopping online while respecting social distancing, as many businesses are expanding their digital platforms to reach a wider audience. We also explore how the COVID-19 vaccine looks to start Canada on the path to economic recovery in 2021.

Read on to learn more about what to expect in 2021!

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COVER STORY

The Resilience of Franchising Strong franchise systems provide increased support to withstand the challenges of 2021

BY LAUREN HUNEAULT

I

n the wake of the COVID-19 pandemic, more Canadians are looking to battle job uncertainties by taking control of their own employment destinies. Starting your own business may ensure that you direct your own fate, but it still presents its own challenges as you look to navigate the world of small business ownership alone.

That’s where franchising comes in. As a franchisee, you’re in business for yourself, but not by yourself, with the support and established systems of the franchise brand behind you. And, while it may seem like the uncertainty of this time is a roadblock for franchising success, experts in the industry suggest that with the right franchise team behind you, 2021 can be the perfect time to make your business ownership dreams come true through franchising.

Blueprint for success John Prittie, president and CEO of TWO MEN AND A TRUCK Canada, says franchising offers entrepreneurial Canadians a blueprint for success. “When a prospective franchisee invests in a franchise system, whose product or service has proven to meet the needs or demands of the marketplace, they have positioned themselves for success,” Prittie explains. “It has been welldocumented that the rate of failure of a new franchisee inside a franchise system is significantly reduced versus starting a business as an entrepreneur from scratch.”

Franchises find this success through economies of scale, says Ian Walsh, senior vice president of marketing at FranConnect, a provider of franchise management software. “Franchising allows you to scale a business faster and more efficiently. Rather than having to build, open, and operate every location on your own, you bring on partners, called franchisees, who provide the capital, staffing, and day-to-day management and growth of the locally owned business.”

Another reason why franchisees find success is through the system that saves them from making time-consuming or costly mistakes. “With a franchise, you immediately deploy your talents and efforts with their systems and simply get down to business without delay,” says Grant Bullington, franchise specialist for Western Canada at FranNet Canada. “Building your own business is going to require extensive planning, prototyping, and a lot of trial and error (mistakes). These mistakes are costly, in terms of both time and money. The franchisor has already made 2.1 million mistakes. By joining their system, you don’t have to repeat any of them!”

“The major reason for the high success rate of the franchise business model is the collective knowledge and experience that moves everyone in that franchise concept in a positive and profitable business direction,” adds

“I would consider hitching my wagon to a franchise system that has been deemed an essential service or one whose product or service has catapulted into a must-have, highdemand position.”

John Prittie

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COVER STORY

Dan Hopkins, director of franchise development, Canada, at Paul Davis Restoration Canada. “Pooling purchasing power, marketing together to advertise a consistent message, and consistency in providing a quality customer experience are significant advantages that franchise business concepts have over independent businesses that offer the same product or service.”

“I expect the Canadian franchise industry to be stronger in 2021 than in the past three years.

Franchisors will have strengthened the financial awareness of their franchisees to understand how to better manage the financial performance of their business models.”

Dan Hopkins

The time for franchising is now The experts agree that franchising is a strong option for those considering starting a business, but is it really a good idea right now, in this time of economic uncertainty? The answer is a resounding, “yes!”

Prittie says franchise systems have the infrastructure in place to come up with solutions to any difficulties, such as those brought on by the unprecedented challenges of the COVID-19 pandemic.

“Franchisors have professional management teams to support franchisees during good and bad economic times. Management team members are subject matter experts in sales, marketing, promotion, administration, leasing, financing, HR, and technology. In the current economic climate, their advice and guidance are invaluable. These experts are very resourceful and help franchisees capitalize on new opportunities or solve critical issues. It’s nice to have someone watching your back!”

Hopkins agrees that franchising’s strength in numbers makes it an even better option in difficult times. “As each franchise brand adapts to operating their business concept in the COVID-19 environment and beyond, you as a franchisee will benefit from the collective knowledge that will come from that learning. Your franchise family wants to see you succeed because it strengthens the brand’s overall reputation and the value of each franchise location.”

Bullington notes that many franchisors have already faced economic crises and come out on the other side. “2020 has become quite the testing ground for a lot of businesses and unfortunately a lot of businesses won’t survive. For many franchisors, this is not their first crisis. Having survived previous ones – the Dot Com crash, 9/11, 2008 recession (and let’s not forget Y2K) – a franchise system grows stronger and more resilient. It doesn’t mean they get to sidestep the COVID economic crisis, but they are far better equipped to survive (and thrive).”

“As an independent business owner, you have to constantly find solutions to your problems like a perpetual game of Whack-A-Mole,” he adds. “Franchised businesses aren’t immune to problems and challenges. A big difference is the number of resources a franchisor can put behind the solutions on behalf of its franchisees.”

The outlook for 2021 Franchises are in a better position to weather economic storms like COVID19. With that in mind, the outlook for 2021, while still somewhat uncertain, is altogether positive.

“Throughout the pandemic, we have seen that most well-run franchises have been able to pivot and tune their operations to survive and, in some cases, thrive. In 2021, we’re likely to see expanded winter shutdowns, but this time businesses will be much better prepared to respond — unlike in spring 2020 when the sudden shutdowns came as a surprise, leaving many business owners scrambling to figure out how to continue to generate revenue,” says Walsh.

“Coming into spring 2021, likely with the tailwind of a vaccine rollout, we foresee the beginning of a very strong run for franchise businesses. We

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COVER STORY

anticipate they’ll simultaneously benefit from strong consumer spending and renewed interest in franchising, helping to accelerate franchise development and boost brand awareness.”

Bullington also expects that franchising will rebound in 2021, but notes that some franchises will fare better than others. “I predict that franchising will recover to pre-2020 numbers. But it won’t be flat across the board. Some categories will struggle while others are lifted. And within those categories, there will be some franchise systems that thrive while their direct [franchisor] competitors flounder,” he explains. “Franchisors will see lower overall volumes of inquiries, but some will have similar, or perhaps greater numbers of truly qualified prospects.”

Hopkins says key learnings from the past year, coupled with increased interest from prospective franchisees, will lead to growth in the coming year.

“I expect the Canadian franchise industry to be stronger in 2021 than in the past three years. Franchisors will have strengthened the financial awareness of their franchisees to understand how to better manage the financial performance of their business models.”

“And secondly, because of the adverse collateral effects of the COVID-19 pandemic, more people will look to control their own destinies by owning their own business rather than leaving their family’s financial fate up to their employers. Having no say in what happens to you when a specific industry or the overall marketplace faces challenging times will motivate people to start their own businesses and control their own fates,” adds Hopkins.

“I predict that franchising will recover to pre2020 numbers.

But it won’t be flat across the board.

Some categories will struggle while others are lifted.”

Grant Bullington

Advice for the future of franchising For those considering franchising, the biggest piece of advice from the experts is to not be afraid to get started in 2021, while the timing is right.

Bullington says the first step is to overcome your fear of the unknown by doing your proper research and due diligence. “Don’t let fear hold you back from looking. You can help calm your fears by committing to a grounded, fact-based, and data-driven approach. Prepare yourself in advance for the pending fear and anxiety and take solace in the idea that knowledge will eventually offset the fears. Use your fear to fuel research.”

“Now is a great time to get started with owning a franchise business,” explains Hopkins. “Interest rates are at an all-time low and will be for a couple of years, there will be a focus from government programs to help small businesses get started, and the general public is ready to support small businesses after a long shut-in period needed to combat the COVID-19 pandemic.”

Walsh echoes these sentiments but notes that it’s important to stay up to date on changes that are underway in the world of business. “This is a great time to look at becoming a franchisee. As in any other time, you’ll want to make sure you have enough working capital to get you through your ramp-up period. But, more than ever, do your homework on all fronts.

There are changes underfoot in commercial real estate, consumer spending habits, commuting patterns, and so on. If you understand the impacts of these changes, you can make well-informed decisions on industry and brand choice, site selection, launch timing, marketing strategies, and more.

Collectively, this sets up new franchisees in 2021 for greater success than at any time in recent history.”

“COVID 19 has taught us many lessons,” adds Prittie. “I would consider hitching my wagon to a franchise system that has been deemed an essential service or one whose product or service has catapulted into a must-have, high-demand position.”

“This is a great time to look at becoming a franchisee. As in any other time, you’ll want to make sure you have enough working capital to get you through your ramp-up period. But, more than ever, do your homework on all fronts.”

Ian Walsh

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COVER STORY

Notes on a Pandemic

BY DEMETRE ELIOPOULOS

I

’ve spent the better part of the last two decades in the market research/public opinion industry and on March 12, 2020, when the COVID-19 pandemic came to Canada, one thing quickly became clear: a lot of what we knew just went out the window.

Our job at Angus Reid Group is to help our clients truly understand their audience (and the market at large) so that they can create an offering and communicate in a way that truly connects them to others. To do that, we spend all our time engaging with Canadians on their behaviours, perceptions, values, and outlooks on broader society.

No other event in the last hundred years (with perhaps the exception of the great wars) has disrupted the lives of Canadians and those around the world so completely.

Canadians were no longer acting the same way, as their daily habits had altered, and the shadow of the pandemic encouraged everyone to re-evaluate their priorities.

Many of our clients came to us asking, “what do we do now?” Overnight, the information they obtained about their audience was out of date. Out of this question emerged the bi-weekly Angus Reid COVID-19 Monitor. The sole purpose of this monitor is to help Canadian businesses understand Canadians in this new environment and how they are changing as the situation evolves.

We are living in highly sensitive and unstable times.

At a time when businesses need to bring their ‘A’ game

22 Canadian Franchise Association

due to all this economic uncertainty, those that are tone deaf to the current climate will encounter setbacks.

Here are five things to think about as you navigate the pandemic in 2021: A life on hold On the whole, Canadians are handling the pandemic well. In the face of a volatile environment where cases fluctuate, we’ve been stable in our stress levels, as most of us are doing our part in embracing preventative measures, and we are generally supporting our scientists and government leaders. This is a stark contrast to our neighbours to the south, who are very stressed and everything from masks to science to heeding medical direction is highly politicized and controversial.

However, things are not entirely alright with us.

Beneath our stoic approach to this crisis is an emotional underbelly. Half of Canadians (52 per cent) classify their lives as “on hold” as opposed to “moving forward.” We know a lot of this is related to lockdowns and the life disruptions that occur because of precautionary measures. But there are a whole host of reasons behind this general malaise.

Three-in-five Canadians consider precautions to be fatiguing and believe that the confidence in our collective ability to bring cases down is on the decline. Adding

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to this, almost one-half of our working force has been negatively impacted over the course of the year (either through layoffs, company closures, pay cuts, or shortening hours). Almost one-in-three say their personal finances worsened as a result of the pandemic. Onein-five describe their mental health as “poor” or “very poor.” From mental well-being to financial well-being, there’s a wide variety of ways that Canadians have felt the effects of the pandemic.

productivity and their ability to maintain that coveted work/life balance). In fact, only one-in-five indicate that they want to go back to the office full time, and two-infive say they don’t want to go back to the office at all.

Aside from COVID-19 concerns, they are less eager to return so that they don’t have to commute, will have fewer expenses as a result of being at home, and have a better lifestyle. Employers may have a difficult time coaxing their employees back to the office.

Handle with care With the personal toll in mind, Canadian companies are asking themselves if they should be reaching out or whether they should stay silent for the time being. The short answer is: this isn’t business as usual, but you can still do business. Reach out to your customers and just be aware of the variety of situations they may find themselves in. Four-in-five Canadians say that “it’s reassuring to hear from Canadian companies at this time.” They also want engagement. A similar proportion say that “Canadian companies that take an active role during this crisis will have gained a loyal customer in me.” In fact, one-half say, “Canadian companies that do nothing during this crisis will lose a customer in me.”

The trick is to find the right way to do it. A great deal of research in the communications space this year yields a few answers. For starters, as long as you’ve addressed your efforts related to the crisis at some point, then you can continue to communicate about products and services. Secondly, context matters. A beer commercial showing a fun night at the club may have rated highly at some point, but now it comes across as being tone deaf, or even worse, irrelevant to our lives. Thirdly, now more than ever, we’re looking for content that moves us emotionally. We’re looking to break free of the monotonous day-to-day and feel something that’s real.

Online shopping is here to stay Retailers and grocers who think that online services are a pandemic-only situation better think again. Before March, curbside pick-up or online delivery was a niche offering among grocers and relatively non-existent among retailers. Now, almost half of Canadians have tried online grocery services and that proportion increases to three-quarters for retailer services. And while there were definitely some kinks in the process early on (and some companies that continue to have problems incorporating the new system), generally speaking, Canadians are quite happy with the services they receive. Naturally, online-only retailers like Amazon.ca get the highest ratings, but the rest are not too far behind.

What does this spell for the future? Many Canadians are yearning for more in-store experiences these days, but they still want the best of both worlds. About onequarter of Canadians say that they’ll continue to use online grocery services from time to time after the pandemic. This proportion increases to almost one-half among large retailers in Canada.

My home is my castle With nowhere to go and limited ability to have visitors, Canadians turned their attention to their homes. They cooked at home and tried more recipes than usual. Restaurant outings were replaced with take-out nights in the kitchen. Social outings were replaced with “Zoom dates.” As a result of all this time at home, Canadians began investing in their home environment. Home renovations and decorating projects became the norm across the country. So, while Canadians are itching to get out again, they’ve also spent the last year making a better nest.

Case in point – over the last year almost one-half of Canada’s workforce started working from home.

These individuals report high levels of satisfaction with the experience (specifically with their overall work

What does “back to normal” even mean?

Getting back to normal has been on our minds since the pandemic started. But when will it happen? We don’t yet know the exact timing, but according to most Canadians, we’ll be spending the bulk of 2021 getting there.

Few people think that back to normal means things will go back to the way it was before. In fact, half think that there will be some major permanent changes. But what will they be?

We’ve already described how working from home and online services are here to stay, but Canadians report a few more things as well: more urgency for having financial nest-eggs for occasions like these, fewer handshakes, more video calls for business reasons and less business travel, and fewer outings where there are large masses (like concerts and bars).

For now, Canadians are still fixated on “back to normal” and all companies have a role to play in getting us there.

Demetre Eliopoulos is a senior vice president and managing director of public affairs at the Angus Reid Group.

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COVER STORY

Shopping for the Future Five pandemic shopping habits that are here to stay (plus tips for franchisees to develop their business!)

CONTRIBUTED BY MONERIS

T

here’s no doubt the pandemic has changed our way of life. The way we shop, spend money, and interact with each other has drastically changed, but will these trends continue after the pandemic has ended? All signs point to yes, as a global survey from Ernst & Young found that 42 per cent of consumers believe the way they shop will fundamentally change due to COVID-19.

Here are five pandemic shopping habits that we think are here to stay after we’ve put COVID-19 behind us. Taking advantage of these insights will help you operate your franchise today and tomorrow.

1. Shopping online Not surprisingly, many consumers are flocking to the internet to do all of their shopping online, with consumer spending up 30.1 per cent from 2019. This trend was already starting to develop before the pandemic, with marketplace websites making it easy to purchase everything you need in one place.

The need for socially distanced shopping has accelerated this trend, and we don’t see it slowing down anytime soon. Online shopping for over-the-counter (OTC) medicine, groceries, household supplies, and personal-care products has grown by 35 per cent. Even

24 Canadian Franchise Association

discretionary categories such as skincare and makeup, apparel, jewelry, and accessories show expected growth of more than 15 per cent.

Key Tip: Make sure you build and maintain a website with the same passion you would with a brick-and-mortar location. It’s an extension of your franchise, after all!

2. Shopping small and local The pandemic has brought small communities together in a way that nobody saw coming, and the idea of “we’re all in this together” has permeated through our neighbourhoods. This has resulted in 76 per cent of shoppers saying they’re more determined to shop locally than ever before. In fact, 34 per cent of consumers indicate that they would pay more for local products.

The shop local trend will stick around beyond the pandemic as consumers seek out more unique and curated options.

Key Tip: If you’re a small, independent franchise owner, make sure your clientele knows it. Host community events/sales and try your best to build relationships with your customers. Make sure your location is also easy to find by displaying eye-catching signage and adding your franchise to local shopping directories.

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3. Curbside pickup Another trend that was accelerated by the pandemic is the availability of curbside pickup. By allowing customers to “click-and-collect,” small franchise owners can save on shipping costs, leverage in-store inventory, and increase overall sales by an average of 23 per cent. Providing curbside pickup also makes shopping easier by allowing customers to safely browse products whenever and wherever they want. Offering this sort of flexibility ensures your franchise doesn’t get left behind in a world where omnichannel retail is rapidly growing.

Key Tip: To ensure your curbside pickup experience is as smooth as possible, try to provide on-site signage and send personalized communications like confirmation emails or text messages to let your customer know their order is ready.

4. Contactless payment processing Many Canadians prefer contactless payment options during the pandemic, with 68 per cent claiming they plan on paying this way moving forward, which suggests a permanent shift in Canadian mindset and behaviours.

Coinciding with this shift, major credit card companies raised their tap payment limits from $100 to $250 in April. A recent study we conducted shows Canadians have gotten used to the change as roughly 62 per cent are using less cash, and 42 per cent say they avoid shopping where contactless payment options aren’t available.

Being able to pay with your phone’s mobile wallet – or even your watch – also means never having to worry about forgetting your physical wallet at home. With cash payments in decline and contactless payment technology advancing the way it is, you can expect this trend to continue.

Key Tip: Make sure you let your customers know that you offer contactless payment options by using signage at your checkout or franchise entrance.

5. Hygiene habits With a heightened focus on germs and sanitization, many businesses are implementing more thorough health and hygiene practices around their locations. Looking back, it’s hard to imagine that most businesses rarely sanitized their POS devices before the pandemic.

Moving forward, you can expect a greater level of focus on what businesses are doing to keep their locations clean and safe. Whenever the pandemic ends, you better believe we’ll all be more conscious of our personal space, our hand-washing tendencies, and what we feel comfortable touching (door handles, handrails, countertops, etc.)

Key Tip: Provide peace of mind by keeping a bottle of hand sanitizer by the front door or sanitizing your POS terminal to keep both your customers and your employees safe. Check out our article here for some guidance on how to sanitize your payment terminal correctly.

They say necessity is the mother of invention, and it’s never been truer than now. By creating workarounds and increasing customer convenience, we’ve created a variety of new trends that will make life easier for consumers and franchise owners everywhere. From easier ways to shop, to increasing support for local businesses, we think these trends are here to stay.

ABOUT MONERIS: Moneris is Canada’s largest provider of innovative solutions for mobile, online, and in-store payments, processing more than one in three transactions. Serving businesses of every size and industry, Moneris offers hardware, software, and solutions to help transform the way businesses grow and operate, in payments and beyond.

For more information, please visit www.moneris.com and follow @moneris on social media.

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Economic Recovery in 2021 Looks Promising Thanks to COVID-19 Vaccine RBC Economics releases Macroeconomic Outlook outlining what to expect for the economy this year

BY STEFANIE UCCI

A

s we enter 2021, many people may be looking forward to a brighter year as the world rolls out the COVID-19 vaccine and slowly starts recovering from the pandemic.

According to the Macroeconomic Outlook report released in December 2020 by RBC Economics, the exact timing of the economic recovery isn’t certain as there are logistical challenges from the manufacturer based on the distribution of the vaccine. “The surge in infections in recent months and re-imposition of containment measures sets up for a soft start to 2021 to be followed by a healthy rebound as the vaccine becomes widely available,” says RBC. “On net, we look for the U.S. and Canadian economies to post gains of 4.4 per cent and five per cent, respectively.”

RBC expects that Canada and the U.S. will finish off the year 2020 with gains, while the Euro-area and U.K. are “projected to contract” due to their stricter lockdowns.

“Substantial monetary and fiscal policy support will underpin modest growth in all four economies in early 2021 with the momentum building as more people are vaccinated, restrictions ease and confidence improves,” says the RBC Macroeconomic Outlook.

Due to a rapid increase in COVID-19 infections throughout late 2020, the labour market recovery slowed

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down following rapid gains that took place throughout the summer when infections were at their lowest point.

During this time, the unemployment rate also inched lower as workers became concerned about the long-term impact of the pandemic. The restrictions and non-essential service closures towards the end of 2020 are also expected to place the U.S. economy on a slower growth trajectory in early 2021.

The RBC Macroeconomics Outlook forecasts that the COVID-19 vaccine will substantially reduce restrictions in summer 2021. “Low interest rates, elevated savings, and job creation will support consumer spending and housing. Business spending is also forecasted to rise as companies restock inventories and invest to expand their capacity,” says RBC. “By year-end 2021, we expect the U.S. economy will be operating with little economic slack and expect inflation to be running around two per cent.”

Canadian economy expected to recover to pre-COVID-19 levels in 2021 According to the RBC Macroeconomic Outlook, the big increase in COVID-19 infections during the fall created restrictions and closures, however it “didn’t lead to a full retrenchment.” Areas of the economy that are still under pressure include hospitality, recreation, and

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COVER STORY MARKET OUTLOOK | DECEMBER 2020

rbc.com/economics

Outlook Growth outlook

% change, quarter-over-quarter in real GDP 20Q1 20Q2 20Q3 20Q4 21Q1 21Q2 21Q3 21Q4 22Q1 22Q2 22Q3 22Q4 2019 2020F 2021F 2022F Canada* United States* United Kingdom Euro Area Australia

-7.3 -5.0 -2.5 -3.7 -0.3

-38.1 -31.4 -19.8 -11.7 -7.0

40.5 33.1 15.5 12.5 3.3

1.0 5.0 -1.8 -2.3 1.9

3.5 2.5 2.0 1.0 1.0

6.5 4.0 3.1 3.0 0.6

8.5 5.5 2.7 1.2 1.0

7.5 3.0 1.5 0.6 0.7

4.0 1.9 0.5 0.5 0.7

3.0 1.9 0.4 0.4 0.8

2.5 1.8 0.4 0.3 0.6

1.8 1.8 0.4 0.3 0.6

1.9 2.2 1.3 1.3 1.9

-5.8 -3.5 -11.1 -7.3 -2.8

5.0 4.4 6.2 5.0 3.5

4.8 2.7 4.3 2.9 3.0

*Seasonally adjusted annualized rates

travel. Meanwhile, the manufacturing sector is near pre- tual property are projected to return to pre-crisis levels pandemic levels and the housing industry has more than by the end of 2021 as businesses increase capacity and Inflation outlook fully upgrade their processes to align with shifts in demand %recovered. change, year-over-year “Retail sales also bounced back quickly, although that evolved during the pandemic.”

20Q1 20Q2 20Q3 20Q4 21Q1 21Q2 21Q3 21Q4 22Q1 22Q2 22Q3 22Q4 2019 2020F 2021F 2022F the closure of non-essential retailers in some regions Additionally, government support programs that Canada* 1.8 0.0 0.3 0.8 0.7 1.6 1.3 1.3 1.5 1.8 1.9 1.9 1.9 0.7 1.2 1.8 late in the year likely tempered sales. While lockdowns were introduced to help households and businesses United States* 2.1 0.4 1.2 1.3 1.5 2.9 2.1 2.1 2.1 2.2 2.2 2.1 1.8 1.2 2.1 2.1 will restrain the economy’s growth in late 2020 and battle the economic impact of the pandemic will remain United Kingdom 1.7 0.7 0.6 0.7 0.7 1.4 1.4 1.6 1.7 1.8 1.8 1.9 1.8 0.9 1.3 1.8 early 2021, our forecast assumes a stronger and sus- in place for the first half of 2021. However, RBC says that Euro Area 1.1 0.2 0.0 -0.3 0.2 0.5 0.9 1.4 1.1 1.4 1.3 1.4 1.2 0.3 0.8 1.3 tained recovery in activity once the vaccine is more those supportive measures will likely not be enough to Australia 2.2 -0.3 0.7 0.9 1.1 3.5 2.4 2.1 2.1 2.1 2.1 2.0 1.6 0.9 2.1 2.0 widely distributed. By the end of 2021, we project the save every business, causing “the near-term economic GDP will be back to pre-shock levels,” says the RBC backdrop” to be “very challenging.”

Macroeconomic Outlook.

Businesses can benefit from extended wage subsidies, As for the Canadian Exchange rates dollar, it has recovered all losses rent relief, and loans to help them through the crisis.

End of related toperiod the pandemic against the U.S. dollar, due to “A variety of income supports are underwriting housean improvement in risk appetite. “The rebound in equity hold incomes. In sum, the federal government’s COVID Forecast Forecast and non-energy commodity prices supported the Cana- economic response plan is slated at $282 billion with an dian dollar’s rise,” says is expected billion for next 20Q1 RBC. 20Q2 “The 20Q3currency 20Q4 21Q1 21Q2 21Q3 additional 21Q4 22Q1 $50 22Q2 22Q3planned 22Q4 2019 2020F fiscal 2021F year,” 2022F says to hold onto its gains0.61 in the first0.72 half of 2021.” the RBC0.68 Macroeconomic Outlook. “The Bank of Canada’s AUD/USD 0.69 0.75 0.74 0.72 0.70 0.69 0.67 0.67 0.67 0.70 0.75 0.69 0.67 Due to a great amount of savings by Canadian house- substantial support also remains in place. We expect the USD/CAD 1.41 1.36 1.33 1.28 1.28 1.28 1.29 1.30 1.31 1.32 1.32 1.33 1.30 1.28 1.30 1.33 holds throughout the pandemic, this will be a key driver bank to maintain a policy rate of 0.25 per cent throughEUR/USD 1.12 to 1.17 1.20 1.18 levels 1.16 in 1.15 out 1.142021 1.13and1.12 1.13 to 1.14 1.12 1.20 1.14 1.14 to help the economy1.10 recover pre-COVID-19 continue purchase securities, albeit at 2021.

The RBC Macroeconomic Outlook gradually pace, to keep USD/JPY 107.5 107.9 105.5 103.0 estimates 100.0 98.0 that 97.0 a 98.0 99.0 reduced 100.0 101.0 102.0 108.6 longer-term 103.0 98.0 rates 102.00 low these savings surpassed since most borrowers.

These have already USD/CHF 0.96 $160 0.95 billion, 0.92 0.88 0.90 Canadi0.91 0.93 for 0.95 0.96 0.98 0.98 measures 0.98 0.97 0.88 0.95 supported 0.98 ans weren’t able to spend money on regular services and a historically rapid rebound in the housing market.”

GBP/USD 1.24 1.24 1.29 1.32 1.27 1.23 1.21 1.19 1.16 1.15 1.16 1.18 1.33 1.32 1.19 1.18 items, on top of their financial aid from government supThe overall takeaway from the RBC Macroeconomic port programs. “As the economy fully reopens, we look Outlook is that individuals and businesses can remain for consumer spending to remain strong as they pare hopeful for what comes following the COVID-19 vaccine down savings and return to work,” says RBC. rollout. This will lead to a promising recovery for Canada’s economy in 2021, but individuals andare businesses Note: Exchange rates are expressed in units per USD, with the exception of the euro, GBP, AUD, and NZD, which expressed should in USD per unit.caution Businesses golocal intocurrency 2021 with are advised to tread lightly and enter the new year with Source:the Reuters, RBC is Economics Research forecasts and caution and a realistic economic position.

Though economy expected to see increases improvements throughout 2021, there is still a need to be The material contained in this report is the property of Royal Bank of Canada and may not be reproduced in any way, in whole or in part, without express authorization of the cautious recovery.

AUTHORS copyrightabout holder in business writing. The statements and statistics contained herein have been prepared

by RBC Economics Research based on information from sources considered to be reliable. We make no representation or warranty, express or implied, as to its accuracy or completeness. This publication is for the information of investors and business The RBC Macroeconomic Outlook says that “InvestCraig Wrightto-buy SVP & Chief Economist persons and does not constitute an offer to sell or a solicitation securities. ment and inventory rebuilding are expected to begin Dawn Desjardins - VP & Deputy Chief Economist ®Registered trademark of Royal Bank of Canada. ©Royal Bank ofNathan Canada. in 2021 although given the uncertain global backdrop Janzen - Senior Economist and changes to consumer demand, the recovery may be Source: https://royal-bank-of-canada-2124.docs. slow. This is particularly true in the energy sector with contently.com/v/vaccine-clears-path-for-recovery-butoil prices likely to remain below pre-pandemic levels. not-out-of-the-woods-yet-pdf?utm_medium=email&utm_ Purchases of machinery and equipment and intellec- source=salesforce&utm_campaign=macro

Franchise Canada January | February 2021 27

LEADING STRONG Franchise professionals offer advice and guidance on how to lead your staff during difficult times

“RIGHT NOW THERE IS NO GREATER TIME TO STEP UP AS LEADERS THAN THROUGH THIS CHAOS. THIS IS THE TIME WHEN WE NEED TO RAISE OUR LEADERSHIP BAR. I THINK LEADERSHIP IS CHAL­LENGING ENOUGH DURING THE GOOD TIMES, BUT RIGHT NOW IT COULD FEEL CHAOTIC.” - Erik Therwanger

I

t’s often during challenging times that the strongest leaders emerge, showing their strengths for taking control and navigating through difficult circumstances. At any point in time, a leader in any industry big or small might have to step up and make changes to protect their business and their team.

As a franchisee, you may wonder what you can do to show your staff that you’re a strong and responsible leader. Prospective franchisees might wonder what traits will show your future team that you’re a reliable leader with the knowledge and tools to make your business succeed in any kind of choppy waters.

There are many things to consider when it comes to being a good leader: how to lead through any type of crisis, how to financially prepare and protect your business,

28 Canadian Franchise Association

how to provide consistent and efficient communication to your team, and why it’s important to celebrate the little things during uncertain times.

Strong leaders can shine both during the good times and the difficult times. Battling the uncertainty of the COVID-19 pandemic is certainly the latter. As brands continue to financially recover following the pandemic, it’s now as important as ever for you to focus on protecting your business and your team.

Leading through chaos As Think GREAT founder, Erik Therwanger, puts it, “Right now there is no greater time to step up as leaders than through this chaos.

This is the time when we need to raise our leadership bar. I think leadership is challenging enough during the good times, but right now it could feel chaotic.”

www.cfa.ca | www.FranchiseCanada.Online

LEADING STRONG Therwanger joined the Canadian Franchise Association (CFA) in the Navigating Towards Recovery webinar series which was later adapted into an episode of the Franchise Canada Chats podcast.

“I want you to think about this: do you have a group, or do you have a team? The best way to make it through this chaos is with a team,” says Therwanger. “When people perform as a group, they tend to act like individuals: they’re only thinking about themselves, focus on their personal objectives, and perform very much in the moment. A team acts as a cohesive unit who look out for each other and focus on common objectives.”

In order to get through any type of chaos, Therwanger identifies the two types of leadership blades that stand at either side of the management spectrum. The first, he calls the leadership butterknife. “Butterknives are good for one thing: they spread things around. There’s a lot of leaders right now just spreading things around. They may have a position of leadership, but they don’t understand the purpose, and they accomplish very little.”

Second, is the Katana sword, “Designed to get the job done right the first time,” says Therwanger. “In order to achieve the level of the Katana, that metal has to go into the fire, the heat, and then it comes out and gets pounded, forged, and transformed. Without the fire, you’re left with a butterknife.”

Ultimately, Therwanger says, you need to lead your way through chaos, you can’t try to manage your way through it.

Money, money, money As a great leader, you should also be financially responsible and prepared for any potential economic hit against your business.

David Druker, president and CEO of The UPS Store Canada, says that difficult economic times are “a wake-up lesson to people that they have to be fiscally responsible to manage their cash flows and their business. They can’t keep running their business on the premise that the next cheque that comes in will cover the last cheques that they wrote. This is unfortunately where cash flow dries up.”

Druker joined the CFA on the Franchisor Panel as part of the webinar, Leading Through Turbulent Times. He was joined by

Ken Otto, CEO of Redberry Restaurants and John Gilson, vice president of COBS Bread.

John DeHart, chief strategist of Hartify Consulting, moderated the panel. The speakers unanimously emphasize the importance of protecting yourself financially and being responsible for where you put your money and how you ask for help when you need it.

“We’ve got to be realistic as well, you need to plan for a rainy day, manage your cash flow, be responsible, and watch your numbers,” says Druker.

Gilson adds that one of the key phone calls you can make for your financial plan is actually to your bank, whether to ask for help with loan payments, discuss going interest only, or to secure a greater line of credit.

Fortunately, the franchise business model works to protect franchisees who have the support and guidance of their franchisor. “Independent businesses no doubt will fare much worse than franchisees and franchisors,” says Otto. But with the power of leveraging ideas, connections, and wisdom, you can prepare for any storm that comes your way.

No such thing as too much communication Beyond managing your finances, as a great leader you must also maintain frequent communication with your team. Whether that’s by phone, email, or other devices, you should reach out for a helping hand when needed while also remembering to let your team know that you’re there to support them.

“Phone the folks you need help with today, don’t wait for tomorrow,” says Otto. “A lot of people will come to your aid because they’re motivated to be there for you today as they were last week.”

Otto adds that if you show that you’ve looked at your business, and share with your partners what you’re doing to manage your cash and make various sacrifices, then they will work with you to provide support. “But if you come in empty handed and ask for help with no plan, that’s not helpful. Put the work into your plan, show your partners what you’re doing before you’ve asked them for support, and you’ll have a lot more open ear.”

At the end of the day, Otto says that in difficult times the worst thing to do is not talk about the important stuff. It’s okay to admit

“URGENCY IS THE KEY POINT, BUT ALSO WITH A LEVEL OF CALMNESS TO MAKE SURE EVERYONE UNDERSTANDS THAT WHAT’S HAPPENING TODAY IS CORRECT AND WHAT’S HAPPENING TOMORROW IS A LITTLE UNKNOWN.” - John Gilson

“WE’VE GOT TO BE REALISTIC AS WELL, YOU NEED TO PLAN FOR A RAINY DAY, MANAGE YOUR CASH FLOW, BE RESPONSIBLE, AND WATCH YOUR NUMBERS.” - David Druker

Franchise Canada January | February 2021 29

T

LEADING STRONG

“PHONE THE FOLKS YOU NEED HELP WITH TODAY, DON’T WAIT FOR TOMORROW. A LOT OF PEOPLE WILL NAMECOME : CEFA TO YOUR AID BECAUSE THEY’RE MOTIVATED TO BE THERE FOR YOU TODAY AS THEY WERE LAST WEEK.” - Ken Otto

to your team that you don’t know what’s going on at the moment, but when you do find out, you need to immediately let them know.

At the same time, you should be a reassuring and confident leader for your team.

In times of uncertainty, Gilson says that “Urgency is the key point, but also with a level of calmness to make sure everyone understands that what’s happening today is correct and what’s happening tomorrow is a little unknown.”

“Panic is contagious, so is leadership,” says DeHart. “This is crisis, and they need to hear from you. As a leader, you have the opportunity to get everybody engaged and to help.”

Therwanger adds a key point: if you’re going to lead people, then you have to understand them and know what they need from you as their leader. Most importantly, you can’t leave huge gaps in communication, because if you aren’t filling those gaps, then your team members are filling it themselves, and they may not have the correct facts to do so, says Otto.

“The confidence and clarity that you can gain through providing daily communication in whatever format is invaluable,” says Gilson. “We don’t know what tomorrow brings but we have to be ready for it and go 180 if we need to.”

While you’re practicing responsible communication, you can also teach your team how to develop their own leadership skills.

Using this technique, Therwanger points to two opposite sides on the leadership spectrum: training and development. As a franchisee, you can train your staff on how to do their jobs, but the development aspect will encourage and allow them to also think like leaders and excel at their jobs.

“There’s a difference between management and leading. And that difference for me in a nutshell is: we want to manage the work, budgets, shift schedules, projects, and jobs,” says Therwanger. “But we want to lead people: engage them, empower them, and communicate dynamically. The best part about leadership is it can go home with you,

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LEADING STRONG you can be a better leader in the workplace, home front, and in your communities.”

Celebrate the little things Your strong leadership skills should also include setting aside some time to share any accomplishments and achievements with your team. DeHart advises that you find opportunities to celebrate, since most of your day during turbulent times is focused on managing various crises. “The news isn’t so encouraging, but between our operators and people, be it a franchisee or franchisor, there’s acts of brilliance every single day. We need moments of optimism and we have to find times to recognize that.”

Echoing DeHart’s sentiment, Otto emphasizes that “We have to be focused on good times as well when they happen.” He points to a silver lining that comes even after difficult times, which shows that the normal curve indicates the franchise model is still strong. “I don’t think anyone is predicting that this is going to be a multi-year thing. It

is arguable that the tide has turned. In some ways I think this might actually be a silver lining in terms of the accessibility of financing for small business.”

Another celebratory item according to both DeHart and Therwanger is that in times of crisis, there are always new opportunities for leaders to grasp onto. As a good leader, you should set attainable goals and look into the future because you share a vision with your team and know where you’re going. “It doesn’t make the current chaos easier, but it allows you to get through it together,” says Therwanger.

After all, says DeHart, when you go through a crisis, you just need to get through it one day at a time.

SOURCES: CFA’s Navigating Towards Recovery Webinar Series, April 30, 2020, Erik Therwanger CFA’s Leading Through Turbulent Times Franchisor Panel, March 16, 2020, David Druker, Ken Otto, John Gilson & John DeHart

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Franchise Canada January | February 2021 31

ESSENTIAL SERVICES PROVIDE COMMUNITY SUPPORT Five essential service franchises share how they’ve adapted to changes and challenges during the COVID-19 pandemic

BY JESSICA BURGESS

You may not have heard the term “essential service” until the COVID-19 pandemic hit last year. Now, it has become an often-heard phrase that defines whether businesses can stay open during government mandated shutdowns to limit the spread and protect Canadians. Here, five franchises share what the designation has meant for their businesses and what they’ve learned along the way.

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ESSENTIAL SERVICES PROVIDE COMMUNITY SUPPORT

COBS Bread “To be deemed an essential service,” shares Brad Bissonnette, vice president of marketing and franchise recruitment for COBS Bread, “means that you have an opportunity to support your community and provide an important service. We looked at this as an opportunity to provide a sense of normalcy and comfort in a complex and uncertain environment.” Bissonnette also notes that franchisees responded with a sense of pride that they were still able to help contribute to the community.

In keeping with that, COBS Bread customers can also take heart knowing that in a time when many people are experiencing economic hardship, unsold products are donated to local charities at the end of the day. “Customers like buying bread they know was baked that day, they like that our recipes are simple and that our bread is made with no preservatives, and customers can feel good about supporting a company that supports their community,” says Bissonnette. That sense of community and support has been crucial in responding to the changes in everyday life brought by COVID-19.

“The level of uncertainty the brand faced was never higher than at the beginning of the pandemic,” shares Bissonnette. The company created a special task force who met daily and oversaw the synthesizing of developing information about the health crisis, as well as ways

the company could safely respond. “We learned that communication never goes out of fashion, and chose to err on the side of over-communication, with daily summaries being provided to the franchise network,” he adds. The task force continues to meet a few times a week and continues to communicate with the network.

Bissonnette is proud of how his company has been able to react and adapt while continuing to provide comfort around the country. “Our franchisees and staff rose to the occasion under tremendous uncertainty,” he says, sharing that the network the brand created was able to provide a sense of security in uncertain times that he is sure will have a lasting positive impact on the company.

COBS BREAD STATS Franchise units in Canada: 125, US: 2 Corporate units in Canada: 3 Franchise fee: $0 Start-up capital required: $125K-$300K Investment required: $200K-$1M Training: 16 weeks with $10K training fee Available territories: US, AB, BC, MB, SK, ON, NB, NS, NL In business since: 2003 Franchising since: 2006 CFA member since: 2008 To learn more, visit www.LookforaFranchise.ca

Franchise Canada January | February 2021 33

ESSENTIAL SERVICES PROVIDE COMMUNITY SUPPORT

Kim Hamm, president and CEO of Dogtopia Canada

Dogtopia Creating supportive relationships is certainly key to Dogtopia’s mission. “Happy, healthy pups are the heart of who we are and Dogtopia has a passion for caring for dogs,” shares Kim Hamm, president and CEO of Dogtopia Canada. “We’ve proudly created a dog daycare environment for anyone who thinks of their dog like family, with unparalleled safety standards and exceptional daycare, boarding, grooming, and spa services.”

As an essential service, Dogtopia views their ability to serve their communities as a responsibility. “Dogtopia was listed as an essential service throughout Canada, providing for the health and welfare of animals. We were able to provide daycare to our existing pet parents, but also to the dogs of many essential and frontline workers who were working hard to protect and service Canadians,” shares Hamm.

“We are all in uncharted territory and adjusting to new norms,” says Hamm, “but as ambassadors of our Dogtopia brand, we commit to executing the highest level of safety while proactively providing support, consistent communication, and a unified front to our pet parents during this time of uncertainty.” Not only is cooperation with the community key to a successful franchise, but

34 Canadian Franchise Association

also effective communication and collaboration with other franchisees and teams.

“At Dogtopia, we approach the franchise relationship with the spirit of partnership and respect. As an industry leader in the pet care sector and an innovator with the support of a strong brand and team in North America, our franchisees receive the utmost support and guidance each day,” Hamm says, referring to the vital ongoing conversations about best practices around the world. “We have continued to grow closer and more unified as a team, as we continue to weather the storm together.”

DOGTOPIA STATS Franchise units in Canada: 17, US: 150 Corporate units in Canada: 3, US: 10, International: 1 Franchise fee: $49.5K Investment required: $550K-$1.2M Training: 2 weeks at corporate headquarters and 3 weeks of on-site training and ongoing support Available territories: All of Canada, US, International In business since: 2002 Franchising since: 2005 CFA member since: 2013 To learn more, visit www.LookforaFranchise.ca

www.cfa.ca | www.FranchiseCanada.Online

ESSENTIAL SERVICES PROVIDE COMMUNITY SUPPORT

Gavin Bajin, Canada’s national director of ServiceMaster Clean

ServiceMaster Clean / ServiceMaster Restore Gavin Bajin, Canada’s national director of ServiceMaster Clean, a commercial cleaning service, reflects on the way that the designation of “essential” came with unexpected questions. “Customers were looking at us and thinking that we should have this all figured out. There was suddenly this expectation and we were being met with people saying, ‘We’re not sure exactly what to do and we’re really hoping you do.’”

While all companies were facing the uncertainty, Bajin is happy to say that his team was able to react quickly because they had many necessary systems and procedures already in place. “We talk about cold and flu season every year. We have been talking to our customers for a long time about how to improve the health of office spaces,” Bajin adds, noting that a new cleaning protocol called the Protect-3 Advance System has been introduced to provide their clients with cleaning, disinfection, and fortification services. Fortification includes the application of surface antimicrobials, Bajin says. “It’s basically your ‘leave-behind’ army to help reduce the growth of microbes on the surface.”

As part of the ServiceMaster family, ServiceMaster Restore has also been operating as an essential service since the beginning of the pandemic. Stephan Roy, national director in Canada, says that ServiceMaster Restore has been able to continue to provide clients with core services, from fire and flood damage, environmental cleanup, and mould to helping customers with their needs related to the pandemic. “Our people are used to providing services in PPE, and being in post-contamination environments,” Roy shares.

This has allowed ServiceMaster Restore to respond quickly and effectively to clients who often seek services during an emergency situation, in addition to the current pandemic conditions.

Roy’s team knows how important it is to serve people with care and understanding. “Our business is very different, we go to the customer and we’re very much in the field, responding to emergency needs every single day,” he says.

With the brand’s long history of valuable relationships with communities and families across the country, they are poised to continue supporting Canadians as they all look toward the future.

SERVICEMASTER CLEAN STATS Franchise units in Canada: 124, US: 3074, International: 1683 Franchise fee: $24K-$45K Start-up capital required: $50K-$100K Investment required: $50K-$100K+ Training: 1 to 2 weeks initial training for new owner Available territories: All of Canada In business since: 1947 Franchising since: 1952 CFA member since: 1992 To learn more, visit www.LookforaFranchise.ca SERVICEMASTER RESTORE STATS Franchise units in Canada: 80, US: 3074, International: 1683 Franchise fee: $62K-$70K Start-up capital required: $150K+ Investment required: $200K+ Training: 2 to 3 weeks new owner training – additional training ongoing Available territories: All of Canada In business since: 1947 Franchising since: 1952 CFA member since: 1992 To learn more, visit www.LookforaFranchise.ca

Franchise Canada January | February 2021 35

ESSENTIAL SERVICES PROVIDE COMMUNITY SUPPORT The UPS Store “The benefits and challenges can sometimes be one and the same,” says David Druker, president of the UPS Store, speaking to the complicated realities of the pandemic. “We have really seen how essential our services are during the pandemic. Business and traffic were up significantly as people moved more and more to online shopping,” he notes, adding that the challenge to this was ensuring that the safety of employees and consumers were top priority.

“The designation of essential service reinforced or validated the role that we knew we played in the lives of Canadians and small businesses specifically,” Druker notes. “We recognized that there was a responsibility to our customers that we had to uphold, and we had to do so in a way that was safe for our customers, franchisees, and their associates.”

Looking toward the future, Druker is optimistic that his company will continue to serve communities across the country. “We have been operating this franchise system for over 30 years in Canada. We have developed a very robust support system, and there’s not much we haven’t seen,” Druker says. “We train our franchisees to be a support system to their customers. On any given day they can be the printer, the shipper, and the packer for any one business.

If a franchisee is struggling to provide a solution to their

36 Canadian Franchise Association

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ESSENTIAL SERVICES PROVIDE COMMUNITY SUPPORT

customer, there are literally hundreds of peers they can turn to for ideas.”

For the dedicated UPS Store teams, providing support to customers means providing support to a community.

Druker’s advice to potential franchisees is to seek out a franchise that mirrors their values and supports franchisees. “Passion is necessary, as it’s a lot of work. It’s important to ensure that there are systems being put in place that are valid, strong, and can be supported and embraced by both sides of the relationship.”

THE UPS STORE STATS Franchise units in Canada: 350, US: 5000 Franchise fee: $40K Start-up capital required: $100K Investment required: $174K-$198.5K Training: Yes Available territories: All of Canada In business since: 1990 CFA member since: 1991 To learn more, visit www.LookforaFranchise.ca

Franchise Canada January | February 2021 37

ESSENTIAL SERVICES PROVIDE COMMUNITY SUPPORT Photo credit: TWO MEN AND A TRUCK Int.

38 Canadian Franchise Association

Photo credit: David Eisenstadt

TWO MEN AND A TRUCK John Prittie, president of TWO MEN AND A TRUCK Canada, emphasizes the importance of a strong community both inside the franchise network and with customers and clients. “Being deemed an essential service means that the service you are offering is a necessity to support the ongoing well-being of the community in which you do business,” he shares.

“During the pandemic,” Prittie adds, “it was very important that people and businesses could get relocated without creating further emotional and economic hardship.” Not only was it important for the company to serve the people and businesses moving locations, but Prittie notes that it was also important to try to do all they could to serve the country. “We reached out to the Prime Minister of Canada and all Premiers across the country and volunteered to pick up and deliver medical equipment and supplies, including ventilators, to hospitals and nursing homes.”

Perhaps it’s not surprising, then, that Prittie’s advice for those considering franchising is to find a franchise that aligns with your personal goals and beliefs and has a connection with skills and abilities: “Establishing a new business, of any kind, takes time, effort, energy, and capital. The most important factor is finding an opportunity that’s a good fit.”

The dedication to community service is something that continues to draw both Prittie and franchisees to TWO MEN AND A TRUCK, which has meant that the company has been able to respond and innovate in the face of the pandemic. Part of that innovation has been the increased use of technology, including proprietary software that allows for virtual estimates, tours, scheduling, payment, and ordering boxes and moving supplies online. “Our customers love the fact that we show up on time with the right people and equipment to get the job done as planned,” Prittie adds, which is now as important as ever.

Photo credit: TWO MEN AND A TRUCK Int.

John Prittie, president of TWO MEN AND A TRUCK Canada

TWO MEN AND A TRUCK STATS Franchise units in Canada: 26, US: 355, International: 4 Corporate units in Canada: 3, US: 3 Franchise fee: $50K-$85K Start-up capital required: $129K Investment required: $179K-$341K Training: 2 weeks Available territories: BC, NB, NL In business since: 2005 Franchising since: 2005 CFA member since: 2004 To learn more, visit www.LookforaFranchise.ca

www.cfa.ca | www.FranchiseCanada.Online

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FOOD

FOR THOUGHT

Exploring the future of food franchising in Canada amid the COVID-19 pandemic

BY JORDAN WHITEHOUSE

When the first wave of the pandemic hit last March, the impact on the food service industry was almost immediate. Sales were lower in April than they had been for over two decades in this country. More than 800,000 people — or about 68 per cent of the industry’s workforce — were laid off or not working within a week. Everyone was left wondering: what’s next?

We’re still asking that same question, but as the executives at three food franchises told us, the key to survival for franchisees isn’t just about adopting technological solutions or adapting quickly to what does come next. It’s also about keeping your people front and centre. As Boston Pizza’s Marian Raty, put it: “This is a people-centric industry, so focus on the people — your team, your guests, your relationships with your community, and suppliers.”

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FOOD FOR THOUGHT

Boston Pizza Given Boston Pizza director of communications Marian Raty’s people-centric advice, it’s not surprising to hear that one of the biggest takeaways from the pandemic for Boston Pizza has been the strength of its people. “We saw our communities coming together to find solutions; the Boston Pizza community, our supplier partners, and the greater restaurant community,” says Raty. “We’ve all worked together to support each other, stay safe, and move forward in an ever-changing landscape.”

Boston Pizza currently has more than 380 locations in Canada, and has had a strong takeout and delivery business model for years, so the brand was in a fortunate position compared to others who had to figure this out for the first time when restaurants were forced to close their doors to in-person dining. But, of course, Raty says COVID-19 still had a significant impact on all Boston Pizza locations, from implementing new safety processes, to operating in a takeout only environment, to adapting to changing mandates from public health and governments.

Boston Pizza has been taking those public health orders very seriously, adds Raty. In fact, the company chose to proactively close dining rooms and bars before the government mandated it in many regions. “As Canada’s largest casual dining restaurant chain, we knew we had a part to play in helping get through this global health crisis,” says Raty.

Moving forward, Raty says that as the company maintains its focus on safety, they continue to explore new technologies for touchless dining and takeout. And with the expanding emphasis on takeout and delivery, they’re also considering options to make the at-home experience as similar to the dine-in feeling as possible.

As for the industry as a whole, Raty remains hopeful.

“The food franchise industry has always adapted to consumer desires and needs and will continue to do so. As we hopefully move beyond the pandemic, the industry will likely continue to place an emphasis on touch-free or low-touch experiences, increased takeout and delivery, and, of course, finding new ways to serve our guests the way they want to be served.”

BOSTON PIZZA STATS Franchise units in Canada: 396, US: 21, International: 17 Corporate units in Canada: 4, US: 2 Franchise fee: $60K Start-up capital required: $400K minimum (unencumbered) Investment required: $1.5M-$2.6M Training: 6-8 weeks Available territories: All of Canada, US In business since: 1964 Franchising since: 1968 CFA member since: 1992 To learn more, visit www.LookforaFranchise.ca

Franchise Canada January | February 2021 41

FOOD FOR THOUGHT

Chuck’s Roadhouse Bar & Grill When restaurants and bars reopened in Ontario after the first wave of the pandemic, some customers were understandably itching to indulge. Especially when patios were allowed to expand. For Chuck’s Roadhouse, which now has over 60 locations in the province, that pentup demand, coupled with a beautiful summer across Ontario, turned out to be good for business.

“Our sales and revenues rebounded very nicely. We were actually pleasantly surprised,” says Chris Sideris, vice president of Obsidian Group, the management company that oversees Chuck’s Roadhouse, as well as Crabby Joes, Coffee Culture, and Union Burger.

It also helped that Chuck’s took the lockdown as a chance to prepare for when things could re-open. For one, they wrote a Resuming Operations Manual that touched on the health and safety measures staff would need to know, and then trained all of the stores via Zoom. The company was also one of the first food franchises in Ontario to place QR code stickers on tables so that customers could use their phones to browse menus.

Although Chuck’s was not too focused on takeout before the pandemic, they knew that would change, so they created an online ordering program and partnered with Uber Eats and Skip the Dishes during lockdown.

42 Canadian Franchise Association

When the lockdown lifted, Sideris says that not only were revenues strong, but so was the demand for Chuck’s franchises. Between July and November, the company opened and franchised 12 new locations in Ontario. Sideris believes the Chuck’s concept and brand will continue to grow at a steady pace as we enter into 2021.

“It would be unrealistic for us and anybody to say that sales and revenues are going to be the same in 2020 and 2021 as they were in past years,” says Sideris. “But overall, we’ve all got to go back down to the basics and work hard to offer our guests the best quality with the best possible value.”

CHUCK’S ROADHOUSE BAR & GRILL STATS Franchise units in Canada: 61 Franchise fee: $50K Start-up capital required: $250K-$500K Investment required: $375K-$700K Training: Yes, included Available territories: All of Canada In business since: 2015 Franchising since: 2015 CFA member since: 2016 To learn more, visit www.LookforaFranchise.ca

www.cfa.ca | www.FranchiseCanada.Online

FOOD FOR THOUGHT

Dairy Queen Canada Most large food franchises have crisis management playbooks to help them deal with unexpected events like natural disasters or technological crises. But few of those playbooks include tools for handling a pandemic (at least until recently). Such was the case for Dairy Queen Canada, and although the pandemic was a shock to the brand and forced some locations to close, executive vice president Peter White says he’s proud of how the company quickly came together to face this unprecedented challenge.

“The key was daily communication, listening to our franchisees,” he says. “Relationships are so important in normal business, but it was so key for us to work together collectively and be on the same page. And not only on our operational initiatives, but our marketing strategies were adjusted where appropriate, too.”

One of the biggest takeaways from this entire experience has been the importance of drive-thru for the company, says White. Not that they didn’t know how crucial drive-thru is, but when drive-thru volume increased from 55 per cent of the business pre-pandemic to 80 per cent during the pandemic, that obviously takes on a whole new focus. “It required some retooling,” says White. “But we’re extremely proud of our franchisees and how they made changes on the fly to be ready for the volume, to make sure our fans were served safely, and that speed of service was a true focus.”

Another big takeaway has been the importance of adopting delivery, which more Dairy Queen franchisees have done since the beginning of the pandemic, says White. Doing so has benefitted their businesses, he adds, which is why he advises not just Dairy Queen franchisees to embrace delivery technologies, but most food franchisees, too. “It’s not going anywhere, and it’s going to continue to be important. People have accepted mobile apps and delivery and curbside pickup, and that’s

a good thing, so you have to adapt quickly and embrace technology to be competitive.”

White expects more Dairy Queen franchisees to adopt those technologies as the pandemic continues, as well as to remain steadfastly focused on health and safety.

“That focus on safety has always been there in the restaurant business, but now it’s truly elevated. You must have the tools in place for the crew and management, but it has to be visible. You need to show that you care, and I don’t think that will change.”

DAIRY QUEEN CANADA STATS Franchise units in Canada: 669, US: 4353, International: 2029 Franchise fee: $40K-$45K Start-up capital required: $200K+ Investment required: $400K+ Training: Included in franchise fee In business since: 1940 CFA member since: 2000 To learn more, visit www.LookforaFranchise.ca

Franchise Canada January | February 2021 43

EDUCATING THE FUTURE

Franchise Canada explores education franchises that sharpen the minds of Canadians from coast to coast With young students spending most of last year cooped up at home and away from school, it’s likely that their learning abilities need a refresh. As we adjust to our new normal of life, it’s vital to protect the young brains of our future and help foster learning and growth so they’re well on their way to succeed.

Join Franchise Canada as we take you through a variety of education franchises from coast to coast that offer franchisees an opportunity to provide knowledge and grade level improvement within their community. We highlight what each franchise specializes in, how they can be the perfect fit for small business owners, and even include educational businesses catered towards adults with a lifelong love of learning.

44 Canadian Franchise Association

www.cfa.ca | www.FranchiseCanada.Online

EDUCATING THE FUTURE

ABOVE GRADE LEVEL Using the process of one-on-one tutoring support, Above Grade Level equips young students with the tools and confidence they need to succeed in subjects including math, English, chemistry, physics, and more. The world-class tutoring system uses a customized and proven curriculum that guarantees students a one-grade level improvement or up to 10 per cent increase.

Above Grade Level franchisees can work from home while being their own boss and generating a robust income.

They’ll get access to the unique turnkey curriculum that has been used for over 30 years, as well as proven systems including sales conversion, marketing, tutor recruitment, and teaching systems.

Franchise units in Canada: 8 Franchise fee: $19,990 Start-up capital required: $34,990 Training: Online training for 2 weeks Available territories: AB, BC, MB, SK, ON, NB, NS, YT, NU, NT In business since: 2013 Franchising since: 2013 CFA member since: 2013

ACADEMY FOR MATHEMATICS & ENGLISH

ALOHA MIND MATH CANADA

Widely recognized as “The Math Tutoring Specialist,” the Academy for Mathematics & English has perfected their teaching system for over 30 years. As over 10,000+ students can attest, the Academy’s custom-tailored programs in English, math, reading, chemistry, and physics reliably and reproducibly improve students’ grades on average between 1 & 2.5 full grade levels in just six months (i.e. 2X to 5X faster than in a typical school classroom).

Franchisees with Academy for Mathematics & English join 40 tutoring centres spread across Canada. They will reap rewards including a turnkey teaching, marketing, advertising, sales, and operating system, and easily accessible online and in-person support to help drive the success of their students and business.

Franchise units in Canada: 40 Franchise fee: $35K Investment required: $120K-$150K Training: 3 week training & 1 week on-site support Available territories: AB, BC, MB, SK, ON, NB, NS, YT, NU, NT, International In business since: 1993 Franchising since: 1993 CFA member since: 1999

Created in Malaysia and available in 33 countries, ALOHA MIND MATH caters to children aged five to 13 years old.

Using a Complete Brain Development program, students learn how to improve their memory, practice clear thinking, and focus on listening skills while using fun and exciting brain exercise activities and games.

Franchisees with ALOHA can use their entrepreneurial spirit and passion for education to join a low-cost investment while earning the opportunity to help empower young minds in their community. They will also benefit from having territorial exclusivity, ongoing operational support, technical and marketing training, and franchise management software, among much more.

Franchise units in Canada: 9, US: 157, International: 4,400 Corporate units in Canada: 3, US: 1, International: 4,400 Franchise fee: $15K Start-up capital required: $30K-$40K Investment required: $30K-$40K Training: Abacus Training Methodology provided Available territories: All of Canada In business since: 2011 Franchising since: 2013 CFA member since: 2014

Franchise Canada January | February 2021 45

EDUCATING THE FUTURE

ANGUS VALLEY MONTESSORI SCHOOLS At Angus Valley Montessori Schools, children aged six months to six years receive superior childcare, inspiring learning opportunities, and customized building environments. Their nutritional lunch menus are prepared daily and overseen by the executive chef.

Leaders use a balanced approach of social, emotional, language, and cognitive development training to nurture and prepare students for life.

Franchising with Angus Valley Montessori Schools offers rewarding and supportive business assistance from day one. The growing network of thriving franchisees has access to curriculum planning, operational and educational support, strategic supply arrangement with Longo’s and Grocery Gateway, extracurricular and summer camp programs, and a license in Child Care and Early Years, among many more exciting opportunities. Each school location will have a customdesigned building that enriches the child’s experience and supports Montessori teaching methods and materials.

BEYOND THE CLASSROOM

CEFA EARLY LEARNING

Highly trained tutors are the core to Beyond the Classroom, a tutoring organization that aims to boost the confidence of students in grades JK to 12. Teaching is administered using three core values: being child-centred while forming a strong relationship, respecting family life through flexible scheduling, and creating a connection between tutor and student.

With more than 20 years of knowledge, CEFA Early Learning is a private education franchise available to children aged one to five. Schools are spread all over Canada and teachers focus on developing children academically, physically, and socially using the CEFA Enriched Curriculum taught by CEFA Certified Teachers.

Franchisees can blend their teaching experience and strong passion for at-home learning by joining the Beyond the Classroom tutoring business. They’re offered customized training, support, and tools to grow the business, and the opportunity to join a team of successful business owners who thrive in their ability to provide exceptional customer service to students and parents.

Franchise units in Canada: 6 Corporate units in Canada: 3 Franchise fee: $24K Start-up capital required: $35K Investment required: $49K Training: In person and virtual Available territories: ON In business since: 1998 CFA member since: 2017

Franchise units in Canada: 2 Corporate units in Canada: 1 Franchise fee: $65K Start-up capital required: Minimum $250K Investment required: Minimum $650K Training: Provided Available territories: ON, US In business since: 2017 Franchising since: 2019 CFA member since: 2019

46 Canadian Franchise Association

www.cfa.ca | www.FranchiseCanada.Online

CEFA Early Learning franchisees will find that there are a variety of reasons to join the business, including revenue retention and predictability, franchise partner support and management, location scouting service, and the growth track assurance system.

There are several available markets in Canada, including Ontario, British Columbia, and Alberta, with room for immediate development and growth.

Franchise units in Canada: 25 Franchise fee: $70K Start-up capital required: $300K Investment required: $500K-$1.2M Training: Provided Available territories: All of Canada In business since: 1998 Franchising since: 2003 CFA member since: 2011

EDUCATING THE FUTURE

INSPIRATION LEARNING CENTER

KUMON MATH AND READING CENTRES

LEVEL UP LEARNING CENTER

Inspiration Learning Center was founded in 2003 and has expanded to 17 learning centres across Canada and internationally. It’s more than just a tutoring company, as a licensed private school that offers high school students the chance to earn credits towards their Secondary School Diploma. The centre uses a combination of Eastern and Western teaching methods to enrich the brains of young students.

Over the last 60 years, Kumon Math and Reading Centres has become one of the largest and best-established franchisors in the supplemental education industry. With locations in over 50 countries, educators have utilized the Kumon method of learning to help more than 16 million students improve their self-learning abilities regardless of age or ability.

Raising the bar on STEM education is at the forefront of Level Up Learning Center’s goals where students are taught real skills and motivation needed to succeed in the science, technology, engineering, and math fields. Level Up features international tech camps for kids where they’re taught technology and computer science in fun and engaging ways.

Kumon is the fourth-largest franchise worldwide and offers franchisees continuous training and support that begins from day one. With low startup costs, a $1,000 initial franchise fee, and various incentives, Kumon will provide you with the tools and resources to help the business grow and succeed.

At Level Up Learning Center, franchisees make up a community of passionate and engaging campus owners. They are offered the opportunity to make a significant and long-lasting impact on their communities by bringing education, confidence, and academic success to the students, families, and schools around them.

Franchisees with Inspiration Learning Center are offered four pillars of income potential: professional tutoring services by educated and experienced teachers, educational consultations covering educational and extracurricular planning, the opportunity to open a private high school, and retail programs selling books and work sheets to students.

Franchise units in Canada: 11 Corporate units in Canada: 4 Franchise fee: $25K Franchise Fee/$13K Private School fee Start-up capital required: $50K-$75K Investment required: $100K-$150K Training: 3 weeks Available territories: All of Canada, US, International In business since: 2003 Franchising since: 2008 CFA member since: 2015

Franchise units in Canada: 373, US: 1,563, International: 24,700 Corporate units in Canada: 1, US: 25 Franchise fee: $1K Start-up capital required: $70K Investment required: $64K-$160K Training: Yes Available territories: AB, BC, MB, SK, ON, QC, NB, NS, YT, NL In business since: 1958 Franchising since: 1958 CFA member since: 1998

Franchise units in Canada: 7, International: 6 Franchise fee: $49K Start-up capital required: $100K Training: One week Available territories: All of Canada, US, International In business since: 2015 Franchising since: 2018 CFA member since: 2018

Franchise Canada January | February 2021 47

EDUCATING THE FUTURE

MEGAMIND LEARNING CENTRE

OXFORD LEARNING CENTRES

SANDLER TRAINING CANADA

Megamind Learning Centre is a unique after-school education franchise that offers the Abacus Mental Math Program, individualized tutoring programs for students of all grades matched to provincial requirements, and private high school credit courses under one roof.

Whether in an Oxford Learning® centre or through its online program, Virtual Table™, Oxford Learning’s programs work toward changing the way students process, interpret, and organize information. It’s called cognitive learning.

Sandler Training Canada is an organization known globally for Sales and Management coaching that’s catered towards individuals with a passion for sales. The program is perfect for those looking for an opportunity to control their income and leave their corporate life behind while making a difference in people’s lives.

Franchisees with Megamind Learning Centre invest in a multi-billion-dollar industry that continues to boom.

Franchise owners build their business on a solid educational foundation with abundant training and support, and benefit from a variety of programs available for students. They are looking for forward-thinking entrepreneurs who are excited about having an impact on their community and the education of children by running a business which inspires kids and develops their self-esteem as learners to propel them further beyond their current capabilities.

Franchise units in Canada: 7 Corporate units in Canada: 1 Franchise fee: $25K (plus applicable taxes) Investment required: $60K-$125K (plus applicable taxes) Training: Provided by Head Office at a fee Available territories: All of Canada In business since: 2012 Franchising since: 2015 CFA member since: 2015

48 Canadian Franchise Association

Oxford Learning® is celebrating multiple 2020 awards from the Canadian Franchise Association (CFA), including Franchisees’ Choice Designation, Franchisee of the Year, Lifetime Achievement Award for its founder, and Hall of Fame Award.

Proudly Canadian, Oxford Learning® has been helping students for over 36 years and is looking for franchisees who want to make a living that makes a difference with a recognized leader in supplemental education.

Franchise units in Canada: 123, US: 25, International: 3 Franchise fee: $40K (plus applicable taxes) Start-up capital required: $103K-$267K (plus applicable taxes) Training: Two weeks at Head Office, with additional online training materials, webinars, manuals, and onsite training.

Additional Training: Regional workshops, All Franchise Meeting/ Convention Available territories: All of Canada, US, International In business since: 1984 Franchising since: 1991 CFA member since: 1993

www.cfa.ca | www.FranchiseCanada.Online

The more than 300 franchisees at Sandler Training Canada are part of an elite group of business leaders and a multi-award-winning global network.

Franchisees can look forward to perks including high margins, a successful business model that has produced millionaires, a recurring income stream, and training in leadership, management, and customer service.

Franchise units in Canada: 21, US: 162, International: 71 Corporate Units in US: 162, International: 71 Franchise fee: $80K Start-up capital required: Varies Investment required: $80K Training: Yes Available territories: AB, BC, SK, ON, QC, NL In business since: 1967 Franchising since: 1983 CFA member since: 2017

EDUCATING THE FUTURE

TM

SCHOLARS EDUCATION CENTRE

THE SEASONS ART CLASS

At Scholars Education Centre, students are offered tutoring and supplemental education from individualized tutoring programs that maximize their academic success and build confidence in their skills. Tutoring and mentoring is offered to students of all ages and grades, and in all subject areas to help them achieve ‘Results That Matter.’

The Seasons Art Class originated in the United Kingdom where it provides educational art lessons to adults from all walks of life. Instructors offer a relaxed and happy environment to complement their friendly and easy-tofollow lessons that create a community of budding artists. Modules covered during the lessons include drawing, oil pastels, watercolours, and acrylics.

Franchisees with Scholars Education Centre are offered support from head office every step of the way. This begins with a pre-opening training package, followed by exercises and workshops, and more on-site, followup, and ongoing training as business gets underway. Becoming a franchisee means joining a multi-billiondollar industry with no background experience in teaching required.

Franchising with The Seasons Art Class means joining a community of like-minded individuals with a passion for growing their artistic skills at a comfortable pace. The positive and rewarding environment keeps students eager to attend while sharing their talents with new friends and supportive instructors.

Franchise units in Canada: 55 Franchise fee: $40K (plus applicable taxes) Investment required: $85K-$150K (plus applicable taxes) Training: 1 week in-person training with additional online pre-training materials, webinars, manuals, and onsite observation and training.

Available territories: AB, BC, MB, SK, ON In business since: 1999 Franchising since: 2001 CFA member since: 2011

In business since: 2009 CFA member since: 2019

STEAMOJI Steamoji is a maker academy for kids that trains builders, makers, inventors, and entrepreneurs. A growing number of parents see STEAM subjects (science, technology, engineering, arts, and math) as being critically important to help prepare their children for the careers of their future, but schools remain more focused on traditional studies.

Some of the benefits of franchising with Steamoji include their 400Hour Build to Solve curriculum and gamification elements to keep kids engaged while parents see progress through backend IT systems, an optimized brand system, and a priority on brand development. Steamoji's 400-Hour Build to Solve curriculum is designed to fill the gap in STEAM subjects in a structured and reinforcing fashion across five subject pathways: fabrication, physical computing, engineering, digital arts and applied design.

Corporate units in Canada: 1, US: 1 Franchise fee: $40K CFA member since: 2020

Franchise Canada January | February 2021 49

EDUCATING THE FUTURE

TUTOR DOCTOR

UCMAS MENTAL MATH

Tutor Doctor makes learning a fun and rewarding experience for students by providing educational building blocks needed to succeed. Specializing in science, English, languages, math, and test prep, tutoring services are available to students of all ages, levels, and subjects. There are also a variety of tutoring programs for high school students, adults, university and college students, and homeschooling.

UCMAS Mental Math is a globally recognized and scientifically proven development program for children aged 4-13 years that’s based on Mental Math and Abacus learning techniques. Their innovative program was developed by specialists including development experts and child psychologists to leverage educational trends and maintain a world-class quality Abacus Math program for students across Canada.

Franchisees with Tutor Doctor earn a great income while making a difference in their community. Owners operate a white-collar, home-based business through managing a network of tutors and benefit greatly from a one-to-one tutoring model that eliminates the need for high overheard costs that come from traditional brick and mortar businesses.

Franchise units in Canada: 114, US: 346, International: 221 Franchise fee: $49.7K Start-up capital required: $65K-$107K Investment required: $75K Training: Pre and in-house training Available territories: All of Canada, US, International In business since: 2000 Franchising since: 2008 CFA member since: 2008

50 Canadian Franchise Association

Franchisees with UCMAS can benefit from perks including low initial investment and operating expenses, the ability to work full or part-time, an easy-to-operate system, a proven business model to maximize revenue, and an established and exclusive educational methodology. Previous educational industry experience is not required, and franchisees will join a recession-resistant sector.

Franchise units in Canada: 97, US: 6, International: 6,000 Corporate units in Canada: 1, US: 2 Franchise fee: $30K Start-up capital required: $25K Investment required: $60K-$99K Training: Provided by head office Available territories: All of Canada, US In business since: 1993 Franchising since: 1993 CFA member since: 2009

www.cfa.ca | www.FranchiseCanada.Online

UNDER THE GUI ACADEMY Under the GUI Academy is a private Canadian educational group specializing in STEM for students in grades 1-12. They adhere to the STEM philosophy by integrating subjects through app development, technology, digital media, and real-life skills.

Students are inspired to think critically and innovatively and can take full autonomy of their learning as they master their technology abilities.

Joining Under the GUI Academy as a franchisee is a great opportunity for educators looking to hone their passion for education while earning additional income. UTG centres are only open during after-school hours, making it the perfect fit for teachers looking for an exciting side gig.

Franchise units in Canada: 13 Corporate units in Canada: 3 Franchise fee: $41.5K Start-up capital required: $58.5K Investment required: $100K Training: $5K included in franchise fee Available territories: All of Canada, US, International In business since: 2015 Franchising since: 2018 CFA member since: 2019

is pleased to present

a Special Franchise Focus on

HOME IMPROVEMENT

Franchise Canada January | February 2021 51

SPECIAL FRANCHISE FOCUS: Home Improvement

RENOVATING YOUR HOME SWEET HOME

As more Canadians stay home, they turn to home improvement franchises to spice up their humble abodes

L

ast year, the COVID-19 pandemic urged many Canadians to spend more time at home to protect themselves and their families during a difficult and uncertain time. With so much time spent indoors, it’s inevitable that homeowners took a closer at their homes and came to identify specific areas they’d like to change.

In Canada, home improvement industry sales are valued at $50.2 billion, according to Statista.

The average amount of money that Canadian homeowners say they are willing to dish out on renovations is about $11,000.

Despite the economic uncertainties of COVID-19, HomeStars reports that 80 per cent of Canadian homeowners are still planning to do renovations, with 20 per cent completing larger projects around their home. Last year, 47 per cent of homeowners completed general repairs, with most people (39 per cent) spending between $500 and $5,000 to fix up their abode.

Additionally, 85 per cent of homeowners interested in making changes to their homes say they would hire a professional to complete the work for their next renovation project, according to HomeStars.

What are the most popular interior remodeling locations? HomeStars reports that a fresh coat of paint, bathrooms, and kitchens are the most common jobs homeowners are opting to complete. The average costs of these jobs range from about $500 to $1,000 for painting, just over $13,000 for a new bathroom, and nearly $31,000 for a kitchen upgrade.

Read on to learn more about why investing in the home improvement industry is a great choice for prospective franchisees!

52 Canadian Franchise Association

www.cfa.ca | www.FranchiseCanada.Online

The fire & water - cleanup & restoration specialists of SERVPROÂŽ are proud to call Canada home. So when the things that matter most are on the line, make sure we are too by calling 1-800-SERVPRO or visiting servpro.com.

FRANCHISE OPPORTUNITIES NOW AVAILABLE.

Please contact: franchisesales@servpronet.com or 1-800-826-9586 for more information on franchising in Canada.

Services in Canada provided by Independently Owned and Operated Franchises of Servpro Industries (Canada) ULC.

Home Improvement Statistics During COVID-19: (Reference: HomeStars - 2020 Reno Report)

80

%

20 % 50 %

of Canadian homeowners are still planning to complete home renovations despite the pandemic

AMOUNT OF MONEY THAT WAS SPENT ON LARGER PROJECTS:

of homeowners are completing larger projects around their home

$5,000 - $10,000 14% of homeowners

$20,000+ 20% of homeowners

of homeowners did outdoor jobs: • Landscaping • Fences • Decks • Pools • Hot tubs • Playgrounds

HOME RENOVATION JOBS COMPLETED FROM MARCH 15 – OCTOBER 15, 2020: 1. Installing a Wood Fence 2. Servicing/Repairing Appliances

25

%

3. Installing or Replacing Asphalt Roofing of homeowners say the reason for completing outdoor jobs is to create more functional spaces since their family is spending more time at home and in their backyards

4. Building or Replacing a Deck or Porch 5. Air Ducts/Vent Cleaning 6. Repairing or Installing Faucets, Fixture & Pipes 7. Bathroom Remodelling 8. Moving Services 9. Trimming or Removing Trees, Shrubs & Hedges 10. Installing or Repairing Electrical Switches, Outlets, or Fixtures

54 Canadian Franchise Association

www.cfa.ca | www.FranchiseCanada.Online

The Economic Impact Of Home Ownership (Canadian Home Builders’ Association, Residential Construction in Canada: Economic Performance Review 2019 with 2020 Insights)

RESIDENTIAL CONSTRUCTION IMPACTS:

ECONOMIC IMPACTS OF NEW HOME CONSTRUCTION:

1,328,661 516,810 $83.1 billion $32.5 billion $142.6 billion $57.7 billion jobs

on-site and off-site jobs

in wages

in wages

in investment value

in investment value

ECONOMIC IMPACTS OF HOME RENOVATION AND REPAIR:

811,851 $50.7 billion $84.9 billion jobs

in wages

in investment value

A franchise opportunity for home and life Pillar To Post offers the opportunity for you to create a business, a career, and the life you want for yourself and your family. With a low initial investment and excellent revenue potential, a Pillar To Post franchise could be one of the best decisions you’ll ever make. Our franchise owners enjoy a great work-life balance and the power of the most recognized brand in the home inspection industry.

franchise@pillartopost.com

877-963-3129 pillartopostfranchise.com

Each office is independently owned and operated.

Franchise Canada January | February 2021 55

General Home Improvement Statistics: (References: 1. HomeStars – 2019 Reno Report 2. Statista - DIY and home improvement market in Canada - statistics & facts)

Sales in the home improvement industry in Canada are worth:

$50.2 billion Average amount of money that homeowners in Ontario plan to spend on their renovations:

52

%

of homeowners say they always or almost always hire a professional to complete their home improvement jobs

88

%

of homeowners say they read reviews online before deciding what contracting company to hire

80

%

trust reviews they read online as much as recommendations they receive from friends and family

$13,603 AVERAGE COST OF THE MOST POPULAR PROJECTS COMPLETED INSIDE OR OUTSIDE THE HOME:

INTERIOR PAINTING

BATHROOM

$500 - $1,040

KITCHEN

NEW WOOD FLOORING

$30,944

$10,457 (FOR

($195/SQ. FT)

LANDSCAPING

$17,204 (FOR ENTIRE JOB)

56 Canadian Franchise Association

$13,393

www.cfa.ca | www.FranchiseCanada.Online

1,000 SQ. FT.)

ASPHALT ROOF

$4,750

TOP REASON THAT CANADIAN HOMEOWNERS GO OVER THE ORIGINAL BUDGET FOR THEIR HOME RENOVATIONS:

OPTING FOR MORE EXPENSIVE AND RELIABLE MATERIALS

SPENDING ON HOME RENOVATIONS BY PROVINCE:

British Columbia

$1,000 $5,000

Manitoba & Saskatchewan

Alberta

$50,000+

$5,000 $10,000

Atlantic Canada

$1,000 $5,000

Ontario

$10,000

With people spending more time at home, they are investing more in their outdoor living spaces.

PROFIT FROM A PROVEN SYSTEM • Work from home • Use industry leading technology and marketing • Receive ongoing training and support

1.800.263.4774 • decks.ca/franchising

Franchise Canada January | February 2021 57

Everything you need to create your franchise future!

Buying a franchise can be an overwhelming process.

The good news is you don’t have to do it alone. Franchise Canada is here to guide you through the franchise process, with everything you need in one spot: www.FranchiseCanada.Online

Franchising 101: Easy-to-read resource articles and tutorials can help kick-start your franchise success!

LookforaFranchise.ca: Explore the wide range of available franchise opportunities in our online directory Ask the Expert: Hear firsthand from franchise professionals as they answer common questions from prospective franchisees

Franchise Canada Chats: Listen to inspiring franchisees and franchisors who are building their businesses and connecting with their communities Franchise Canada TV: Find interviews, tutorials and guides, information about key franchising topics, and more!

Franchise Canada E-News: Get the latest Canadian franchise opportunities and updates delivered to your inbox through our FREE e-newsletter

Ready to Learn More? Subscribe to the digital edition of Franchise Canada Magazine today!

WWW.FRANCHISECANADA.ONLINE

HOME-GROWN & LOCALLY-OWNED

100% CANADIAN FRANCHISE SYSTEMS

To achieve success in the Canadian franchising industry, there isn’t a single or simple formula. But among the best ideas would be this: find a great concept, start small, work hard and smart, and plan, plan, plan. That’s how the systems profiled here got a good thing going. BY DAVID CHILTON SAGGERS The HandyForce

Corporate units in Canada: 1 Training: 4-6 weeks Available territories: ON In business since: 2010 Franchising since: 2020 CFA member since: 2020 To learn more, visit www.LookforaFranchise.ca

Ten years ago, Paul Switzeny started The HandyForce alongside a partner when they aspired to provide smallto-medium-sized residential repairs, odd jobs, and renovations. Today, the president of The HandyForce describes the company as, “a Swiss Army knife for your home.”

In other words, HandyForce can do just about anything. Interior tasks can be relatively simple, like hanging a curtain rod or installing new tiles, or something larger and more difficult such as renovating a kitchen or finishing a basement. Outside, HandyForce can replace a roof or add a new deck to a home, and much more. And everything comes with a one-year “no hassle” guarantee.

Switzeny, who’s based in Toronto’s Borough of East York, began designing his state-of-the-art franchise in 2020. He expects to start accepting franchise inquiries in his system in early 2021. The Greater Toronto Area is his first choice for initial franchises. The cost of a HandyForce franchise has yet to be finalized, but Switzeny has already worked out other details of his system. Training at head office and on-site will take four to six weeks, and a project manager will also be on hand full-time to help new franchisees with details including providing customer quotes and using the proprietary software application.

Switzeny believes individuals with strong leadership qualities, business acumen, and good communication skills are attractive characteristics in franchisee candidates. Tenacity, perseverance, and a positive outlook are key elements to success. “Somebody has the right attitude, or they don’t,” he says. A background in construction is also not all that important; Switzeny himself doesn’t have one.

As for how the COVID-19 pandemic has affected his business, Switzeny says, “[It] has had a very big impact.

People are not travelling, so they’re spending on their homes [instead.] We’ve been extra busy and new opportunities have grown out of COVID-19 [for HandyForce.]”

Switzeny is enthusiastic about the benefits of scaling his business by attracting the best and brightest through the franchise model. Franchisees won’t have to work evenings, weekends, or holidays, nor will they have to put in exceptionally long hours. This is the lifestyle that Switzeny has enjoyed, and still enjoys in his busiest year ever. He says he’s looking forward to sharing the secrets of his success with colleague franchisees right now.

Franchise Canada January | February 2021 59

Wise Cracks Concrete Technologies Franchise units: International: 22 Corporate units in Canada: 1 Franchise fee: $17.5K Start-up capital required: $39K Investment required: $39K-$55K Training: Yes Available territories: AB, BC, MB, ON, QC, SK, US, Int In business since: 1991 Franchising since: 1993 CFA member since: 2010 To learn more, visit www.LookforaFranchise.ca

Andrea Mackey, president of Wise Cracks Concrete Technologies, sums up her business in two sentences: “We repair leaking basements. It’s our number one job.”

Mackey and her husband Chris started Wise Cracks in 1991 after they spotted a gap in the market for a reliable home improvement and repair firm.

Mackey notes that her business isn’t glamorous, and that over the years, it has stayed small. However, after starting to franchise in 2000, Wise Cracks is now a 22-unit system – including one corporate location – with others as far apart as Newfoundland and Alberta. Mackey sold her first franchise in 2000 to a franchisee who bought the South Shore territory in Nova Scotia. Other franchisees followed in such places as Niagara Falls, Ontario, and just recently Wise Cracks sold a franchise in Edmonton, says Mackey from head office in Middle Sackville, a suburb of Halifax.

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The cost of a franchise territory is $35,000 and includes the tools necessary to start work, although all investors will also need a suitable vehicle. Most of Mackey’s franchisees operate from their own homes, and it’s predominately men who invest with Wise Cracks. Still, some women have bought into the system and they, and their male counterparts, have varied backgrounds – one franchisee she notes, is a master electrician and he’s been very successful. Training takes one week at head office and then there’s continued instruction online.

“Experience in restoration is always handy, with practical experience in restoration more than handy,” Mackey adds. As for expansion, she says she’s looking at a couple of key areas including Ottawa, and would like to open five or six more franchises in the next two years.

The COVID-19 pandemic hasn’t affected Wise Cracks too critically. Mackey says in the first two weeks of the outbreak, business dropped right off, but after being declared an essential service, her mostly residential customers returned. Now, the system is quoting a lot more by using phone calls, photographs instead of in-person visits, and billing by email. “This (the pandemic) was a bump in the road, but we’re almost back to normal,” says Mackey.

As for the benefits of investing in the Wise Cracks system, Mackey points to the owner-operator model, the low cost of entry, a good profit margin, and the brand’s promise of quality and service.

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MILLENNIALS IN FRANCHISING

Building a Local Connection

The GetintheLoop franchise team creates a strong sense of community in Prince George, B.C.

BY SUZANNE BOWNESS

H

ow often does a Facebook browse turn into a business? For Dustin Woodbeck, the journey towards franchise ownership with GetintheLoop began by seeing ads served up on the social platform, and asking a lingering question: “why isn’t there a local app for businesses to advertise directly to users?” When a co-worker pointed him towards GetintheLoop, Dustin knew had to share it with his wife, Marianne. “Right away, we said, we should get involved with this,” he recalls.

Founded in 2013, GetintheLoop has already grown to 4,000 communities in every province across Canada, acting as a platform that helps residents and visitors discover local businesses, restaurants, and events.

While they liked what they saw, the couple, married for

62 Canadian Franchise Association

only three months and both with full-time jobs (Dustin is an engineer and Marianne a kinesiologist), kept an eye on the app for a few weeks before making their decision. “We evaluated the market, talked to people we knew, and had some calls with the franchise,” says Marianne. Increasingly, they realized its potential for their own city of Prince George, B.C., and eventually signed in May 2019.

Training and startup Training started with a representative of GetintheLoop arriving in Prince George for two days of intensive work on the systems and processes, as well as another two days of pounding the local pavement to meet businesses and introduce the concept.

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MILLENNIALS IN FRANCHISING

Dustin and Marianne Woodbeck

Dustin says he was impressed from the start by the support from the Kelowna, B.C.-based franchisor. “They have been awesome. I didn’t expect that much support when we first bought the franchise,” he explains. Support includes weekly meetings with a marketing manager, and several channels to reach out for help, including phone, email, and Slack. They’re also connected with franchisees across Canada.

From the start, the Woodbecks had a good response from their community. But they also knew the importance of getting out there to raise brand awareness. The couple started with a variety of events, from setting up booths with giveaways at venues to farmers markets to orientation days at the local university and college.

They also started finding businesses to partner with.

“We wrote down a list of businesses that we knew were in the community, really targeted like food and drink and activities,” recalls Dustin, adding that it was a thrill to get some early wins. “A couple businesses were key for the community and I was super pumped because I wasn’t sure they were going to go for it, but I sat down with the manager, and she was like, ‘let’s do this, it’s awesome.’”

Early wins and big reactions Marianne agrees those early clients were a great confidence booster. “Finding the first few partners helped take the doubts from our minds.” Early deals included Trench Brewing and Distillery offering a growler fill discount on the app, and Black Diamond Bowl and Billiards

creating a “date night” promo that offered two hours of pool and a meal at a fixed price. The Woodbecks also partnered with the local Western Hockey League team, the Prince George Cougars, by getting involved with their home opener and offering flash sales for tickets.

The Woodbecks say the initial reaction from new clients was very positive. “I think a lot were excited because we didn’t have anything like this in Prince George. They were really excited to get more into the digital side. They also like that all the data is trackable, so they know how well it’s doing, how their offers are performing, and can switch things up.”

Users also liked the app, especially the weekly contests and gift card giveaways. Today, the app has around 6,000 users, and reach has grown to towns outside of Prince George, including Quesnel and Vanderhoof.

“Because we’re a central hub to the north of B.C., there’s people from these little towns that come to Prince George to shop and eat,” says Dustin, who grew up in nearby Houston.

The Woodbecks’ next efforts focused on a balance of growing users on their platform and adding businesses to partner with. “We needed to grow our member base, but we also need to provide good offers and great businesses, so our members keep using the app,” says Dustin.

In November 2019, businesses started approaching them.

“We were doing less drop-ins, and getting more inbound calls and emails. We probably signed like eight or 10 partners in a row. They just wanted to be on it,” says Marianne.

Franchise Canada January | February 2021 63

MILLENNIALS IN FRANCHISING The GetintheLoop team at the 2019 Wolfpack Summit in Kelowna, B.C.

Challenges and COVID-19 Thinking about the initial challenges, the Woodbecks point to the learning curve of social media and the anxiety of in-person events. “It was a little shocking to get used to obviously, because I’m not from a marketing background,” says Marianne of the platform learning curve, although she admits that her experience in customer service helped.

Of course, the biggest challenge recently was the COVID-19 pandemic. “When it first happened, and you couldn’t really go anywhere, that was a huge challenge.

Seeing people face to face is what we do best. With COVID, there’s lots of financial struggles on both sides, for our partners and for us, too,” says Marianne. The couple had just had their first child in early April, so that was another balancing act, as well.

When the pandemic hit, the Woodbecks made a point of reaching out to clients to check in, adjusting some offers to be more COVID-19 friendly, such as focusing on takeout. They also reassured many partners that they could put them on pause to keep them attached to the app as everyone watched things evolve. “It was definitely a really challenging time for us,” says Marianne.

While COVID-19 was an unexpected challenge, being young franchisees turned out not to be. Marianne, 29, and Dustin, 33, say they haven’t noticed too much age bias, possibly because many of their business partners also have younger owners. “I think people are more supportive of us because we’re younger entrepreneurs who are really wanting to put a footprint out in the community,” says Dustin.

Advice for new franchisees In terms of advice for potential franchises, the Woodbecks say it helps to be a sociable person. “If you’re able to just meet a stranger and spark up a conversation with them about whatever, that’s a really good trait,” says Dustin, adding that it’s helped to be local and know the Prince George community.

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“I JUST LIKE MEETING PEOPLE, AND BEING INVOLVED WITH THE COMMUNITY. THAT’S REALLY REWARDING, BECAUSE I FEEL LIKE I’M ACTUALLY MAKING AN IMPACT, AND WE’RE OFFERING A PLATFORM THAT MAKES EVERYTHING FEEL A LITTLE BIT MORE CONNECTED.” - Dustin Woodbeck

Marianne says she gets excited about the social media aspect, seeing new followers and downloads, making new relationships with people in the community. Both agree that it fits well with their lifestyle, with the flexibility that they need to work from anywhere (both were working their full-time jobs through the startup, and Marianne is currently on maternity leave).

Overall, the Woodbecks say that being a part of GetintheLoop has been a good experience for them both.

“I just like meeting people, and being involved with the community,” says Dustin. “That’s really rewarding, because I feel like I’m actually making an impact, and we’re offering a platform that makes everything feel a little bit more connected.”

GETINTHELOOP LOCAL MARKETING STATS Franchise units in Canada: 92 Corporate units in Canada: 1 Franchise fee: $15K-$35K Training: Personalized training program, including video and web-based learning modules and in-person training Available territories: All of Canada, US, Int In business since: 2013 Franchising since: 2018 CFA member since: 2018 To learn more, visit www.LookforaFranchise.ca

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LEADERSHIP PROFILE

Support for Seniors

A desire to live with a higher purpose leads president and CEO Jeff Huber to a thriving career at Home Instead

BY ROMA IHNATOWYCZ

J

eff Huber, CEO of Home Instead Inc., hadn’t planned on a career in business, let alone one as a C-suite executive for a global franchising firm.

In fact, as a young man he had been schooled in both a Jesuit high school and university, and considered joining the priesthood. He settled on law instead – at least to start.

It was a solid career choice, but Huber felt that the Jesuit teachings of living a life with mission were missing in his early work as a lawyer. While he may not have followed a religious calling, his desire to live a life with higher purpose still coursed deeply through his veins, and he wasn’t experiencing it in his legal career. He decided to switch gears.

“I was working for a great law firm with a fantastic group of attorneys and high-quality work, but some-

thing was missing,” says Huber. “Through my Jesuit education, I really internalized the ideals of living a life of service for others, and that opened up my heart to a radical career change.”

As luck would have it, the brother of an old childhood friend had founded Home Instead, an Omaha-based company providing a range of support services to seniors in their homes. Huber called him up inquiring about buying a franchise. While that didn’t pan out, he was eventually offered a position as a franchise development manager, which he readily accepted.

“It was a leap of faith for me – I had just started my family,” says Huber. “But I sensed a very bright future – the service they were providing was going to positively impact lives. It very much seemed to fit with the idea of ‘service to others’ I was looking to fulfill.”

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LEADERSHIP PROFILE

At its core, the company was started out of a desire to help. Founder Paul Hogan saw firsthand the difference homecare made in the life of his ailing grandmother when all 12 of her children rallied to help care for her in Hogan’s childhood home, with further help from dozens of grandchildren. They put together a schedule, taking turns, and the outcome was nothing short of miraculous.

The family matriarch’s failing health did a U-turn and she went on to live another 11 years, reaching the age of 101.

“Paul recognized that the things you need to support somebody to live at home are mainly socialization and having a meal, connecting them with people and activities that give them meaning and purpose,” says Huber.

Hogan was also left wondering what people do when they don’t have “50 cousins” they can call upon.

The start of something great That was the seed that led to the launch of Home Instead, which Hogan started alongside his wife Lori in 1994. By the time Huber joined four years later, it had grown to about 100 franchises. It now has over 1,200 franchises spread across 14 countries in North America, Europe, Asia, Australia, and the Pacific Rim that provide more than 80 million hours of care annually.

When Huber came on board, the company was still in the early stages of its impressive growth trajectory, staffed by just a handful of people. He calls it a “magical time” when everyone shared an energy and common desire to push boundaries. “It was really dynamic, fun, and ‘hands-on-deck’ all of the time. Whatever needed to be done, we just did it,” says Huber today. “It was extraordinary getting in on the ground floor of something that had this great sense of mission.”

It also represented the start of Huber’s steady career climb. In his 22 years with the company, he has held increasingly senior positions, including chief development officer, chief operating officer, president, and, for the past five years, CEO. “My goal wasn’t to climb the

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“It’s the first time in the history of the world that there are more old people than young, and the home will become the primary site for healthcare to be delivered. As we like to say, the home is the most scalable place to care for the massive demographic shift.” ladder, I just loved everything about the company and would throw myself into every opportunity that came along,” he says.

Not long after his arrival, Home Instead expanded into global markets, starting with Japan when a franchisor in the region approached them about launching their brand there. Then in 2000, a Canadian involved in the Japanese operation expressed interest in opening a franchise in Canada. There are now 48 Home Instead operations across the country, with plans for further expansion.

While it varies by region, franchisees tend to oversee an administrative staff of about 10 to 12 people, as well as 150 to 200 caregivers they train in the basics of home care. Services range from companionship care – meal preparation, conversation, outdoor activities – to more specialized services like transportation, dementia care or hospice care support. There is also 24-hour supervision and live-in care.

The COVID-19 pandemic slowed down business last spring, but things have since picked up – October marked the company’s highest sales month ever. In many ways, the Home Instead service offering dovetails well with the need to keep seniors safe, and the company is skilled in the health and safety practices the pandemic has mandated. “For 26 years now, we’ve

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LEADERSHIP PROFILE

provided care and safety has always been top of mind,” says Huber. “We’re used to assisting people who have infectious diseases and we’ve always followed safety protocols on things like hand hygiene.”

Thanks to their established supplier network, the company has had a steady supply of personal protective equipment (PPE) since the early stages of the pandemic. They also arranged for their caregivers to redo their basic safety training to cement their knowledge of protocols and PPE use. As well, they partnered with a third-party group to provide a 24/7 confidential toll-free line for any caregivers in need of counselling and mental health support.

Champions for senior care For Home Instead, providing quality care to older adults is more than just a business – it’s something the company champions. Along these lines, it started a leadership development program called Champions of Aging to give young people the opportunity to learn more about senior care and apply their knowledge to future careers.

The year-long program combines extensive onsite experience with an educational component.

Home Instead has also made inroads in integrated remote care technology, investing in the tech firm GrandPad. The company offers a tablet for seniors that comes with a user-friendly, limited browser, games that allow for distanced monitoring of cognitive behaviour, and a touchscreen adapted for the skin properties of the elderly. The device has already been rolled out in the U.S. and will be entering the Canadian market soon.

With baby boomers aging and healthcare systems increasingly under stress, the services provided by

Home Instead are filling an important niche that Huber says will only grow with time. “The world is at the frontedge of a 30-year massive surge in the oldest segment of our population,” he says. “There are 500 million baby boomers around the world that are now in their mid-70s, and over the next 20 to 30 years will be entering the highest healthcare usage years of their lives.”

For Huber, providing quality home care is handsdown the best approach to caring for this large elderly demographic moving forward. As he explains, “It’s the first time in the history of the world that there are more old people than young, and the home will become the primary site for healthcare to be delivered. As we like to say, the home is the most scalable place to care for the massive demographic shift.”

The home is also where the heart is. For someone who once yearned for a career that would give a deeper purpose to his life, Huber certainly chose well. In Home Instead, he has found not only professional success, but more importantly, personal fulfillment.

HOME INSTEAD STATS Franchise units in Canada: 48, US: 628, International: 453 Franchise fee: $55K Investment required: $125K Training: Initial training, on-site field visits, regional field training, ongoing face-to-face training, 24/7 support and online learning Available territories: Across Canada, US, International In business since: 1994 Franchising since: 1995 CFA member since: 2002 To learn more, visit www.LookforaFranchise.ca

Franchise Canada January | February 2021 67

A DAY IN THE LIFE

THE ART OF LIVING WELL COMMUNITY AND STAFF ENGAGEMENT SPELL SUCCESS FOR VANCOUVER-BASED LIVE WELL FRANCHISEE KENT HOWIE

BY GINA MAKKAR

I

f exercise is the best medicine, LIVE WELL Exercise Clinic has just the right prescription.

Dubbed the “ultra-private gym for people with health concerns,” LIVE WELL was started by founders Sara Hodson and Tasha McRae. A team of highly trained exercise physiologists help members take control of their health by forming lasting exercise, lifestyle, and nutritional habits. They tackle chronic diseases by providing a fun, inclusive, and clinically supervised environment where members can work out and obtain positive health results. They’ve got everything it takes to live well.

and encouraged by the environment and signed up. “I can tell you now, testosterone is not the smart hormone.

The way I’ve been trained is wrong. LIVE WELL really opened my eyes,” says Howie. “To actually make the change was powerful, and to see people come in, work at their level, and make small and consistent steps.”

At the time, Howie worked in labour relations for the provincial government. When he heard the brand was franchising, he jumped at the opportunity. He opened the North Vancouver clinic on April 1, 2019, and was working toward breaking even within six months when the COVID-19 pandemic hit.

From patron to partner Vancouver-based franchisee Kent Howie is no stranger to health and wellness. He’s been active all his life, from working in tactical corrections to training in judo and rugby. When his diabetes specialist suggested LIVE WELL to optimize his fitness, he was immediately impressed

The times, they are a-changin’ When Howie and his wife Cindy first opened their LIVE WELL clinic, Howie dove right in and got involved in all aspects of the business. He quickly realized that hiring, marketing, sales, and operations took up a large portion of each day. “Even when I did high-level stuff before, I

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www.cfa.ca | www.FranchiseCanada.Online

A DAY IN THE LIFE After reopening their doors in June, LIVE WELL adapted their clinic sessions to address social distancing guidelines during the COVID-19 pandemic. Changes include: individual stations with equipment for each member, adding sessions as needed, serving smaller groups, and disinfecting of all equipment.

partnered with someone that liked all the things I wasn’t good at. I love details in the moment. If there’s an emergency, I’m your guy. I get in there and just do it. But that doesn’t build a business.” To strike a better balance, Cindy took on more of the day-to-day operations, allowing Howie to focus on networking, sales, and marketing.

“For me, that’s really my day every day.”

With the onset of COVID-19, Howie has also turned his focus to increasing member engagement by strengthening community partnerships and hosting events like Salsa for Seniors. “What’s important is to get members in the clinic, and not get caught up in the daily grind.” He’s also collaborating with professionals on initiatives like Q&A sessions and cross-blogging for additional exposure.

Howie also spends a portion of each day ensuring that employees remain engaged, an important aspect of staff retention. “Due to the nature of the part-time work they do, we want them to stay engaged. You never know which one will be a good candidate to become a clinic director when we’re ready to build a second location in Edgemont. You can’t just pull them out of the air, you grow them, so that’s another big part of what we do.”

Living in a COVID-19 world The pandemic quickly changed how many companies do business. Within a week of shutting down, the LIVE WELL corporate team revamped their member portal to provide an experience that mimicked a session in clinic, complete with customized home workouts; warm-up, cardio, and cool-down videos; and the daily education and inspiration members were used to receiving each session.

Despite the online platform, members eagerly waited for in-person services to resume. “Not everyone likes online,” says Howie. “People like the sense of community and coming in to work with like-minded people.”

When their doors reopened in June, the company added a third level of programing on Zoom, called LIVE WELL LIVEstreaming, so that members who were too scared to return to the clinic due to the virus could still partici-

pate. Post-pandemic, it will be an asset for people who have the sniffles or are vacationing.

In addressing social distancing requirements, the facility was already set up to provide each member with 100 sq ft of space per person. “We were already prepared, we just upped our game a bit.” To keep members safe and on track, the brand turned its focus to maintaining unparalleled clinical support while ensuring all equipment is disinfected at the end of each session. As sessions got bigger, staff set up individual stations with equipment for each member, and began serving smaller groups, adding sessions as needed.

Turning lemons into lemonade Howie says the pandemic has unlocked new opportunities, and the franchise is working hard to gain visibility in the marketplace by elevating marketing efforts and making strong connections.

With the technology in place to allow members to participate in distanced programming, Howie also feels a smaller footprint of the clinic can be built to service areas like Squamish. “The opportunity right now is huge.

Cardiac rehab units are shut down. There are things people might have done to manage their arthritis in a gym.

Where do they go now? It’s a great time to take advantage of that opening in the marketplace. People need to be in a structured, supportive place to change habits, and that’s what we are about, changing behaviours.”

Building on the benefits Howie was attracted to the concept and the brand for two main reasons: the support and the passion.

“When I did my research, I liked that they started the franchise, and then made adjustments based on what worked and what didn’t. That clicked for me.” He adds that the investment in resources and technology further reinforce the commitment of the franchise system.

In meeting with founder Sara Hodson and the rest of the team, the passion for the brand was an immediate

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A DAY IN THE LIFE

draw. “When I looked Sara in the eyes, I knew it was a life’s work for her, and now it’s a life’s work for me.”

The pandemic hasn’t quelled Howie’s long-term goal of opening another clinic in North Vancouver. “The bluesky plan is to have a smaller clinic in Squamish or North Island. I personally need to be able to plan that far ahead and have that excitement of a goal. What I can do right now is focus on the short-term by hitting my membership goals and taking the at-home program to Squamish, which is the next target.”

The muscle behind the success Howie advises prospective franchisees to make sure they have their finances in place. “Know what you are getting into and be prepared to put money into it as a startup.”

He says franchisees should be willing to put in the time to be successful. “To me, it’s full time. Cindy and I probably put in 90 hours a week, and Cindy still works part-time as a sign language interpreter.” He also leverages volunteers, people who will champion the brand and help propel it forward. In navigating a new business, Howie says he’s learned to focus on what’s important - fostering existing relationships and bringing in new members.

Franchisees can come from a variety of backgrounds, like finance, coaching, and training. Though the logistics of running a business are important, Howie also notes

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that understanding the people within a community is paramount. “You need to live in that community somehow or some way,” he says.

Though making connections with establishments like local care homes won’t yield a larger membership, it does allow LIVE WELL to gain exposure and build a positive reputation and connection to the community. “The ability to find champions in the medical community is critical. One member of the team has to be able to go out and cultivate relationships.”

LIVE WELL offers something new and exciting, while challenging the status quo by bringing feel-good fitness to communities, and helping to change peoples lives.

There’s something to be said about living well.

LIVE WELL EXERCISE CLINIC STATS Franchise units in Canada: 18 Corporate units in Canada: 1 Franchise fee: $49K Training: 8-12 weeks of online pre-training and one week of in-house training and ongoing training post-launch Available territories: All of Canada In business since: 2011 Franchising since: 2016 CFA member since: 2017 To learn more, visit www.LookforaFranchise.ca

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THE FIRST YEAR

TRANSPORTING THE COMMUNITY Driverseat franchisee Adam McKeachnie finds first-year success by out-caring the competition

BY STEFANIE UCCI

S

tarting your own business can be a daunting but exciting experience, and there are several things prospective franchisees should keep in mind before diving into their new adventure.

With hundreds of franchise brands across the country to choose from, it ultimately comes down to what feels like the perfect fit.

For franchisee Adam McKeachnie, the decision to open his own Driverseat franchise in Owen Sound, Ontario felt right, and his experience as a new business owner has lived up to that expectation.

Driverseat is the fastest-growing transportation franchise in Canada, catering towards the need for transportation in communities from coast to coast. Backed by their slogan “a socially responsible franchise,” the company places high importance on valuing and caring for their franchisees.

“Driverseat is definitely a step ahead of everybody as far as franchise models go,” says McKeachnie. “They actually care and that’s the big difference I find. They

want to see you succeed and it’s that teamwork atmosphere that really helps us become successful.”

The transportation company became a franchise in 2013 after opening their doors to the public in 2012.

Brothers and co-founders, Brian and Luke Bazely, joined forces with a deep passion to make a difference in their communities.

At the time of writing, Driverseat is operating in more than 400 communities, with locations in Alberta, Manitoba, Ontario, and two in the United States. Using two unique services comprised of chauffeurs and shuttles, Driverseat services events such as weddings, airport runs, wine tours, team parties, and corporate contracts for employee shuttles. Customers can also hire a chauffeur by the hour to take them wherever they need to go while enjoying the convenience and comfort of their own car.

Getting the wheels turning McKeachnie’s Owen Sound location acts as a shuttle provider offering employee transportation, airport shut-

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THE FIRST YEAR

tles, and transportation to non-urgent medical appointments. They also offer micro transit services which act as demand-responsive transport offering flexible routing and scheduling of minibus vehicles.

Before purchasing his first Driverseat franchise, McKeachnie had a background in nursing, with some business experience working with non-profit organizations. On the side, he was also the president of the Owen Sound North Stars Senior Box Lacrosse team. “It was pretty much running a business, obviously not for profit, but just for the longevity of the team.”

A background in business, McKeachnie explains, would be an asset to join the Driverseat team, but not entirely necessary.

He says he was drawn towards Driverseat for their high level of support and versatility. “I liked the franchise model just because of the support you get from head office and other franchisees. The Driverseat brand really appealed to me because it offers so many different elements to transportation. Just having more than one service level available makes us more versatile,” says McKeachnie.

That initial support comes in the form of four intensive online training weeks with live video sessions, that teach franchisees how to create sales and marketing formulas, how to penetrate the transportation market in their area, general education about the brand and how it’s represented, and what each franchise team can do to develop the brand together.

After that, franchisees have continuous access to the Driverseat University online portal, regular webinars, live coaching in a chat group with head office, and an

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annual four-day conference.

Benefits of joining the Driverseat community include a low cost of entry, easy-to-manage system, automated billing, and a high gross margin percentage controlled by each franchisee.

Driverseat was also named a Gold and Grand Prize Canadian Franchise Association (CFA) Awards of Excellence Winner in 2019.

A rewarding ride McKeachnie bought a Driverseat franchise in June 2019 and by that September, his location was up and running.

He currently has a team of about 20 employees who consist of chauffeurs and office staff that work as a well-oiled machine. “Everybody being on the same page shows that you’re an employer that cares about them personally, as well as the business.”

But the first year didn’t come without challenges.

Just six months into running his business, McKeachnie was hit by the COVID-19 pandemic that shifted the way employees and customers worked together.

“It’s definitely created challenges and hurdles when it comes to different suppliers, and getting vehicles and insurances secured. It’s also created quite a backlog for us here in Owen Sound. We’ve had to get innovative and be flexible and versatile in our approach to things,” explains McKeachnie. However, he adds, “It’s created a lot of new opportunities as far as different contracts that we were able to get, that probably wouldn’t have existed if COVID-19 hadn’t happened.”

On top of that, McKeachnie says that he returned to nursing during the pandemic, operating his franchise on

www.cfa.ca | www.FranchiseCanada.Online

THE FIRST YEAR

Driverseat uses an easy-to-navigate mobile app that customers can use to book a ride. First, choose from one of the two services (chauffer or shuttle), then identify your pickup location and destination, as well as a pickup time. McKeachnie’s Owen Sound franchise offers services including: employee transportation, airport shuttles, transportation to non-urgent medical appointments, and micro transit services.

a limited basis while helping with COVID-19 recovery. “I wanted to do my part to help my community flatten the curve. As a result, I made the tough but personal decision to return to nursing full time while operating my business part time, allowing my team to manage the dayto-day operations.”

He adds that during that time, “We also offered ‘by donation’ rides for seniors and other vulnerable people to get to essential services such as appointments, grocery shopping, and other activities. We partnered with a few different food banks including the Good Food Box and OSHARE (Owen Sound Hunger and Relief Effort) to get much-needed local fruits and vegetables to our most vulnerable.”

The COVID-19 crisis joined the regular challenges of opening a business for the first time. Though McKeachnie says it didn’t take long to get his bearings, he did have the task of “Drumming up business, trying to get contracts, things of that nature.” But he adds, “That was probably about it.” He points to growing up in Owen Sound as an access point that helped him build connections within his community and get into the market.

As he overcomes the hurdle of this uncertain time, McKeachnie says that overall, his first year has been an incredible journey that he has worked hard to achieve.

“We’re providing services on a $2.5 million, three-year contract with the County of Grey, which we landed in our first year.” Driverseat partnered with Grey Transit Route to provide shuttles in the region available five days a week, Monday to Friday. “On top of that, we project to do in excess of $1 million annually by our second year.”

As for advice McKeachnie has for prospective Driv-

erseat franchisees: “You have to love what you do and have a passion for the community. You have to surround yourself with a good team of people and lean on the Driverseat franchise to guide you through some of the challenges, which of course they’re happy to do.”

McKeachnie describes the ideal franchisee candidate as somebody who cares deeply and gets invested in the business, adding that they should be innovative, think outside of the box, and shouldn’t show any hesitation when it comes to tracking down new sales. He says that millennials with a strong work ethic would also find success with the franchise due to their experience with technology and social media, giving them an upper hand when it comes to marketing and advertising.

“I’ve worked hard, and developed a great team up here,” says McKeachnie. “The support that you get from the Driverseat franchise is incredible because they want to see you succeed, and you can definitely feel that caring aspect to them. Of course, that’s one of our philosophies: to out-care the competition.”

DRIVERSEAT STATS Franchise units in Canada: 54, US: 1, International: 1 Franchise fee: $19K Start-up capital required: $43K-$48K Investment required: $43K-$48K Training: 4 weeks/60 hours of online training Available territories: All of Canada, International In business since: 2012 Franchising since: 2013 CFA member since: 2013 To learn more, visit www.LookforaFranchise.ca

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ICONIC BRAND

Staying Ahead of the Curve

Innovation, collaboration, and community connections continue to feed McDonald’s Canada’s success

BY KYM WOLFE

74 Canadian Franchise Association www.cfa.ca | www.FranchiseCanada.Online 74 Canadian Franchise Association www.cfa.ca | www.FranchiseCanada.Online

Penny McDonald, multi-unit McDonald’s Canada franchisee in Newfoundland & Labrador

ICONIC BRAND

I

f you live anywhere in Canada, chances are you’ve seen the Golden Arches and know that they mark the location of a McDonald’s restaurant. Although the chain was established in the United States in 1955, it has been an iconic part of the Canadian landscape since 1967, when the first McDonald’s north of the border opened in Richmond, British Columbia.

McDonald’s has always stayed ahead of the curve with its branding, menu, and use of technology, says Jonathan Greenway, senior director of franchising for McDonald’s Restaurants of Canada. “We have a robust system, and we can innovate, adopting tried and tested products and systems from around the world. We also truly believe in our philosophy of the three-legged stool – corporate staff, franchisees, and our suppliers, working collaboratively.”

All of these factors have helped fuel McDonald’s Canada’s constant growth for more than 50 years, and last year, they helped minimize disruption to business in the face of COVID-19 restrictions.

“We are constantly reinventing ourselves – that’s one of our strengths -- and were able to adapt throughout the pandemic” says Greenway. “We launched ‘experience of the future’ in 2016, which included significant digital adoption, including kiosks, so a substantial portion of our restaurants had digital, drive-thru, and McDelivery in place, all of which have been essential.”

“During the lockdown peak, we benefited from the resiliency of our people and system, and this meant working closely with franchisees every step of the way, to ensure every move of our transition was made at the right time. We see the crisis as an opportunity to build market share and partnered with our franchisees to accelerate the recovery to come out ahead,” he adds.

Opportunities for growth Across Canada, there are more than 1,400 McDonald’s locations, with new ones built each year. “We own or lease the land that every McDonald’s sits on. One of our specialties is finding great real estate,” says Greenway.

Since this is a mature system, new franchisees are most likely to acquire one or more established locations, which may require them to relocate, given the limited number of opportunities available. “There are opportunities to grow and reinvest once you get in the door.

Once they have established themselves, many franchise owners acquire or build additional restaurants over time.”

That’s the route that Penny McDonald took, starting with two locations in Grand Falls-Windsor, Newfoundland & Labrador, purchasing from a retiring owner.

McDonald was later offered the opportunity to purchase another location in Lewisporte, a smaller community about 65 km away.

Although she had experience working at McDonald’s when she was in high school, the one she now owns, becoming a franchise owner meant going through the same training as any new franchisee. “A lot of things have changed, especially the menu. I had to learn every aspect of the business, starting from the grassroots as a crew member, working hands-on at all the stations in the restaurant,” says McDonald. That included stints at the cash register, drive-thru window, in food prep, and cleaning tables in the dining room. She also completed comprehensive management training courses and attended Hamburger University in Chicago.

“Yes, it does exist!” she says. “In the beginning, it was a huge learning curve. And the training with McDonald’s never stops, from conferences and seminars to one-on-one coaching. You feel like a valued member of a larger McFamily who are always there to support you. The franchising system is built on the premise that McDonald’s can be successful only if their owner/operators are successful.”

The McDonald’s training program for new franchisees is best in class, says Greenway. “The applicant will train at an established location in the market they live in. It is long and extensive training – nine months full-time or 18 months part-time – enough time to equip them with all of the skills and knowledge they will need to be successful.”

The franchise system is also unique in that new franchisees aren’t required to invest any money until they’re ready to operate their location. “By the time they complete their training, they will know if McDonald’s is the

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ICONIC BRAND

“Success does not come easily, especially in the beginning. It requires long days and hours. No one can run your business like you. You have to be present and visible, setting the tone from the top and leading by example.”

- Penny McDonald

right fit, and they will be fully ready, capable, and comfortable running the business,” says Greenway.

Setting the tone “Being a franchisee has many rewards, but it also has challenges,” says McDonald. “Success does not come easily, especially in the beginning. It requires long days and hours. No one can run your business like you. You have to be present and visible, setting the tone from the top and leading by example. McDonald’s philosophy of offering quality, service, cleanliness, and value to our guests is critical to the success of our business. It’s important to set your expectations and standards and cascade it through communication and role modelling on the floor with your managers and staff.”

McDonald says that her background in social work has been quite beneficial. “I quickly realized that people are my biggest asset and the backbone to my business.

Listening, relationship building, trusting my people and supporting their learning, growth, and career development are always at the core of what I do each day. You start by hiring the right people, and once you find them, it’s important to take care of them. I only had to lay off a few of my staff during COVID, but within a month, I was able to call them back.”

McDonald’s looks for franchisees committed to being hands-on owner/operators, who have a passion for the brand, a growth mindset, a strong work ethic, and the ability to manage and lead people. Previous experience in the food industry or management is not required, says Greenway. “This is a 24/7 business – it requires energy, commitment, and stamina. We move quickly!”

That speediness was evident when the pandemic hit, says McDonald. “McDonald’s, like all other franchise systems, had no playbook to deal with this unprecedented event. We were in uncharted waters. It was remarkable to see how quickly the system, along with its partners,

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including owner/operators and suppliers, came together as one team to navigate through this crisis while ensuring the health, safety, and well-being of our people and our guests.”

“At the same time, we stood strong with our communities and continued to help during this difficult time by giving back through many initiatives such as Fries For Good, a national initiative where a portion of proceeds from all fries sold in Canada went to the Canadian Red Cross, supporting Canadian Emergencies and COVID-19 Response Fund. And for three months, we thanked all frontline healthcare workers by offering them free coffee or tea,” she adds.

That commitment to “give back to the community that supports you and your business every day” is something that both McDonald and the company value. “It’s woven in the fabric of our brand,” she says. “Ronald McDonald House is just another example of this. It is near and dear to all our hearts as it gives families with a sick child what they need most: a home away from home while being nearby to take care of their child.”

McDonald is also involved in her local communities, supporting different organizations and activities like local minor hockey, and this past year sponsoring the printing of Healthy Teens magazine, a publication focused on youth addictions and mental health issues for Lewisporte Collegiate high school.

MCDONALD’S RESTAURANTS OF CANADA STATS Franchise units in Canada: 1400+ Franchise fee: $45K Investment required: $700K unencumbered funds Training: 9-18 months Available territories: All of Canada In business since: 1967 Franchising since: 1968 CFA member since: 1976 To learn more, visit www.LookforaFranchise.ca

www.cfa.ca | www.FranchiseCanada.Online

IT ALL STARTS WITH A SPARK.

FEBRUARY 9-25, 2021

The biggest dreams and the most innovative ideas all begin with a spark of inspiration. The International Franchise Association’s Virtual Annual Convention is the place to be to find this spark that will ignite your explosive growth and fuel your motivation. You’ll leave IFA 2021 Ignite feeling empowered to control the destiny of your brand — making this one virtual event you won’t want to miss.

F IN D O U T M O R E A ND R EG I S T ER AT F RANCHI SE.ORG /CONVE NTI ON

SHOW ME THE MONEY

4 FRANCHISES FOR $250K-$500K Franchising is about diversity. Franchise opportunities may be found in nearly every industry and business sector. It’s a great way for Canadians from all walks of life to go into business for themselves but with the support of a franchise system behind them.

One of the most important considerations for a prospective franchisee is investment level. Figuring out a budget that fits with your financial situation and goals will help you to zero in on the franchise opportunities that might be the best match.

With so many opportunities, there is a franchise for everyone at a variety of investment levels.

Here, Franchise Canada showcases franchise systems in which you can invest for $250K-$500K.

Big Frog Custom T-Shirts & More!

Metal Supermarkets

Big Frog Custom T-Shirts & More® is a franchise concept specializing in custom decorated apparel with more than 88 locations opened or in development in the U.S. Big Frog’s goal is to become the world leader in the $20 billion garment decorating industry. Using high-tech direct-to-garment printing, it is the only chain or franchise of its kind. Big Frog has a strong history of success and wonderful validation from its franchise owners. This exciting opportunity is now available to Canadian franchisees.

Franchise units in US: 88 Franchise fee: $49.5K Start-up capital required: $60K Investment required: $190K+ Training: $1.5K-$3K (Training is provided at no cost, these costs would occur if travel is permitted to attend Big Frog University in Dunedin, FL) Available territories: AB, BC, MB, NB, NL, NS, NT, NU, ON, SK, YT, US In business since: 2006 Franchising since: 2008 CFA member since: 2020 To learn more, visit www.LookforaFranchise.ca

Metal Supermarkets is a Mississauga, Ontario based franchisor of specialized metal distributors focusing on small quantities of virtually all types and forms of metals, custom cut to size, and featuring same day service. Franchisees carry most standard shapes and grades of hot and cold rolled, aluminum, steel, stainless, brass, and copper and will source material on demand. Value added services such as hole punching, shearing, and bending are available at certain stores.

Franchise units in Canada: 24, US: 76, International: 7 Franchise fee: $39.5K Start-up capital required: $200K-$350K Training: 4 weeks Available territories: NB, NS, ON, SK, US, Int In business since: 1985 Franchising since: 1987 CFA member since: 2011 To learn more, visit www.LookforaFranchise.ca

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SHOW ME THE MONEY

Once Upon A Child

Twisted Indian Wraps

It’s no secret - kids grow and keeping up with their changing sizes and styles can be expensive! Once Upon A Child fills this need and is the solution for parents looking for high-quality, gently used children’s apparel, toys, shoes, and equipment at affordable, family-friendly prices. It is the largest North American chain that specializes in reselling clothing and other items for children from infants through tweens.

The business model is well established and proven Love their stores? Own One! Franchise units in Canada: 50, US: 344 Franchise fee: $32.5K Start-up capital required: $75K-$105K Investment required: $311K-$426K Training: 2 weeks with 65 hrs classroom and in-store training Available territories: AB, BC, MB, NB, NS, ON, SK, US In business since: 1985 Franchising since: 1993 CFA member since: 2007 To learn more, visit www.LookforaFranchise.ca

Twisted Indian Wraps is a fast casual concept in the Indian segment. The recipes are curated in a manner so the franchisee does not require a chef/cook in the kitchen. The food is assembled in front of the guest as they choose their protein, toppings, etc. All items are made to order. Menu includes roti-wraps, naanwraps, salads, poutine, burgers, Indian meals (veg & non-veg). Vegan options are also available. All stores serve beers and coolers.

Franchise units in Canada: 8 Corporate units in Canada: 2 Franchise fee: $25K Start-up capital required: $25K unencumbered cash Investment required: $275K-$300K Training: 3 weeks in Barrie, ON Available territories: All of Canada, US, Int In business since: 2015 Franchising since: 2017 CFA member since: 2017 To learn more, visit www.LookforaFranchise.ca

Find franchises by investment level on LookforaFranchise.ca

Want to find franchises at a particular price point? Searching by investment level is just one of the search options available on Franchise Canada’s online franchise directory at LookforaFranchise.ca.

This website is powered by the Canadian Franchise Association and part of Franchise Canada’s suite of products for aspiring franchise owners. Build your profile on LookforaFranchise.ca and browse available franchises, request more information directly from the companies you’re interested in, and access exclusive Franchise Canada content online.

Franchise Canada January | February 2021 79

FRANCHISE FUN

Growing the Pack Dogtopia’s Kim Hamm is passionate about pups, and for the layers of support in Canadian franchising

“D

ogs are now members of our families and Dogtopia takes the responsibility of caring for every dog like it’s our own very seriously. Our doggie daycare provides a home away from home for your dog to meet their BFF and play in a safe, open play environment,” says Dogtopia president and CEO Kim Hamm in explaining the Dogtopia concept. “Dogs fill our lives with joy, so it’s time we repay the favour. We’ve introduced daycare 2.0 with a clean and fully transparent environment built around socialization, education, and exercise for pups that enables pet parents to feel comfortable leaving their furry family friends in our care. Dogtopia offers everything your dog requires, and wants, with award-winning dog daycare, boarding, and spa services.”

Dogtopia operates in more than 150 locations across Canada and the United States, and Hamm helped scale the brand and grow the business as vice president of U.S. operations in 2015, being appointed to her current position in July 2019. She says the doggie daycare recently celebrated opening their 17th location in Canada, and were listed as an essential service throughout the COVID-19 pandemic “to provide daycare to the dogs of many essential and frontline workers who were working hard to protect and serve Canadians.”

Here, Hamm shares about her bucket list trip experience before the pandemic hit, and dishes about her love for her own pup, daily exercise, and her favourite healthy(ish) drink of choice. She also reveals who her most positive influence is, the businessperson who changed her life, and her adoration for Canadians, among much more!

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FRANCHISE FUN The most interesting thing I’ve done recently is…

Travel to Africa in early 2020 – amazing bucket list trip!

In its best form, work is…

Fulfilling. It’s almost impossible to shut work off entirely in today’s digital economy, but finding the right balance of work/life integration, and doing work that is meaningful and rewarding sustains you through the long hours and the many ups and downs.

A good franchisee… Is an intrapreneur who wants to go into business for themselves not by themselves, follows the operational playbook, and works hard to grow their business while building relationships in their local communities.

A good franchisor… Approaches the relationship of franchisor/ franchisee with a spirit of partnership and respect. The franchising model has a lot of unique dynamics that require the leadership team to have emotional intelligence that allows them to engage and collaborate with franchisees, while collecting their buy-in and adoption of the strategic direction of the brand and new initiatives. Both entities do well when this synergy is achieved.

My top advice for prospective franchisees is… Conduct a thorough due diligence process of the brand and its culture before you sign a franchise agreement. Franchising is a like a marriage: we sign a 10-year commitment to one another and are inevitably going to experience some disagreements along the way. If you know and trust your partner, the franchisor, who you’re marrying, then you can overcome many obstacles with direct communication, and maintaining an interdependent relationship.

My top advice for new franchisors is… Sustainable growth comes from attaining a balance of growth initiatives and support to your existing franchisees for future validation. If your resources are disproportionately allocated, the fly wheel will stop spinning and can stunt your momentum.

One of the most enjoyable things to do is… Hang with my pup, Sophie!

The hardest thing for me to do is… Roll my rrrrrrr’s! Second to shutting my brain off. As a first-time CEO, the wheels are spinning at all times of day and night about ways to enhance the brand and my team’s performance.

My favourite drink is… Kettle One cucumber mint vodka and water.

Delish and nutritious…ish.

The person who has had the most positive influence on me as a businessperson is…

Peter Thomas. I interviewed him for a school assignment while completing my commerce degree from Royal Roads University and walked out with a job offer 60 minutes later. That interview changed the entire trajectory of my life and Peter has been there for me as a mentor through every stage of my career since. I’m very grateful for the opportunity and positive influence he has on my personal and professional life as a values-based leader.

Canadian franchising is…

Being a part of a community.

After scaling Dogtopia in the U.S. for the past three-and-ahalf years, one of the first things I noticed when transitioning back to Canada was the support and comradery of the Canadian franchise network that doesn’t exist in the U.S. Not only do franchisees have the support of the franchisor, but there is an

additional layer of support and resources they gain access to through the Canadian Franchise Association. I love Canadians!

My franchise system began because… As the humanization factor of the dog started to emerge in Canada, we recognized a need for trusted support to pet parents that was being under-served at the time. Dogtopia treats each pup like it’s our own and provides unparalleled levels of support and transparency to our valued pet parents and their pups.

The most positive influence on my life as a person is…

My parents. Growing up on a farm in small town Manitoba, a strong work ethic was instilled in me from a young age that has transferred into my professional career. My parents provided me with a strong moral compass that shapes all of my decisions and has influenced my EQ (emotional intelligence) and the style of leader I am today.

The key to success is…

Showing initiative to learn and grow, while taking responsibility for your destiny instead of being a passive bystander. Nothing in life is ever handed to us on a silver platter, but recognizing an opportunity, optimizing the platform I’ve been given, and thinking “I am responsible,” have served me well in all aspects of my career.

My personal motto is…

Work hard, play hard.

One necessary item on my life’s “to do” list is… Exercise. It’s my favourite way to clear my head and start my day, getting those positive endorphins flowing! Not only that, but it’s a great way to exercise and bond with my dog, Sophie, who always pushes my pace and doesn’t let me take walking breaks.

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Q A

ASK A LEGAL EXPERT What do franchisees need to know about selling a franchised business?

MANY FRANCHISEES ACQUIRE A FRANCHISE in the hope that they will ultimately be able to realize a profit on the sale of the franchised business. In fact, franchise agreements contemplate this reality since they allow the franchisee, on the prior written consent of the franchisor, to transfer the franchised business, including the benefits of the franchise agreement, to a third party. Like everything else in a franchise agreement, the provisions dealing with a transfer are quite detailed – for simplicity I will refer to these provisions as Transfer Provisions.

The definition of a transfer in most franchise agreements is quite expansive and includes the sale, transfer, assignment, encumbrance, pledge or other conveyance (the latter language is an attempt to cover not only the grant of security to a bank or other lender but also the realization by that bank or lender against the assets of the franchised business) of any interest in the franchise agreement, or the assets, or shares of the franchisee corporation. As such, franchisees should be careful that they do not inadvertently trigger the Transfer Provisions when, for instance, they issue more shares of the franchisee corporation or bring in a new shareholder or partner. Usually, Transfer Provisions are somewhat less restrictive in respect of a transfer to a family member upon the death of disability of the franchisee principal.

Transfer Provisions contain a variety of requirements.

The franchisor will rightfully wish to assert its authority to determine whether it approves the person(s) who is to operate the franchised business – for simplicity I will refer to this person as the Purchaser. This means the Purchaser must prove, to the franchisor’s satisfaction, that they meet the franchisor’s standards for new prospective franchisees which include business, ethical, reputational, and financial standards.

Franchisees should be aware of the process involved in the transfer of their franchise agreement. Ideally, most lawyers acting for the Purchaser will draft the agreement of purchase and sale so that it is conditional upon the consent of the franchisor, and if the lease is held by the franchisee, the consent of the landlord. Once the purchase agreement has been finalized, it is sent to the franchisor for its consideration and approval.

Most transfers of franchises require somewhere between 45 to 90 days to complete. The amount of time will depend on a variety factors including: a) whether the franchisor wishes to exercise its right of first refusal i.e. to itself buy the franchised business; b) whether the franchisor wishes to have the Purchaser execute its current form of franchise agreement or just consent to an assignment of the franchise agreement; c) whether the franchisor is compelled to, or if not 1

prefers to, issue a disclosure document; and d) if the franchisor is compelled, or prefers, to issue a disclosure document, the amount of time it will take the franchisor to assemble the required information.

Other requirements include that: there be no existing default; the franchisee settles all accounts both with the franchisor and third parties; the Purchaser enters into a written agreement with the franchisor agreeing to assume all of the franchisee’s obligations or alternatively, the execution of the franchisor’s then current form of franchise agreement, which may contain, among other things, different royalty rates and advertising contributions; the Purchaser and its key employees successfully complete the franchisor’s training program; the franchisee pays certain fees to the franchisor, which can be a flat fee or a percentage of the amount paid to the franchisee by the Purchaser; the franchisee pays all of the franchisor’s out-of-pocket costs of administering the assignment; and that the franchisee delivers a complete release in favour of the franchisor.

In respect of the fees payable, franchisees should carefully review their franchise agreement to ensure that the fees the franchisor proposes to charge them for the transfer are actually set forth in the existing franchise agreement. Sometimes franchisors try to charge fees beyond the amount that they have contractually agreed to collect.

Further, in respect of the release in favour of the franchisor, following the decision of the Ontario Court of Appeal in 405341 Ontario Limited v. Midas Canada Inc.1 (Midas), it is no longer appropriate for a franchisor to insist on the execution of a release as a condition to the transfer of a franchise agreement. In Midas, the Court of Appeal states that the requirement that a franchise execute a release as a pre-condition to a renewal of a franchise is prima facie unenforceable and contrary to franchise legislation (in Midas this was pursuant to the Arthur Wishart Act (Franchise Disclosure) 2000). As such, franchisees should push back against this requirement if it is being imposed by the franchisor.

Like everything else in the world of franchising, a franchisee’s best protection for a smooth transition of their franchised business is an experienced franchise lawyer.

2010 ONCA 478, 2010 Carswell Ont. 4714, 70 B.L.R. (4th) 1 (Ont. C.A.)

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David Kornhauser (MBA, LLB) Corporate Counsel Macdonald Sager Manis LLP DKornhauser@msmlaw.net

Q A

ASK AN ACCOUNTING EXPERT

As a franchisee, what can I expect when it comes to tax and financial reporting requirements?

WHEN BUYING A FRANCHISE, you might focus on selecting the right franchise system, developing a sound business plan, and securing the necessary financing.

However, once you own your franchise, your focus will be on day-to-day matters like tax and financial reporting requirements.

As a franchisee, you will also have various people request financial information from you, such as a lender or investor, your franchisor, and the Canada Revenue Agency (CRA).

What tax reporting is required?

Canada has a multi-layered tax system, which can sometimes make reporting complicated for corporate taxes, GST and HST, and payroll taxes. As a franchisee, you will need to become comfortable with the different systems and tax reporting types.

Corporate tax Every corporation in Canada must file an annual Canadian corporate tax return, wherein the federal and provincial tax is calculated. Corporate tax is charged on your corporation’s taxable income, and any related salaries or dividends to the owners will result in tax charged to the owners personally.

A franchise accountant can guide you on appropriate tax structuring and remuneration planning to effectively manage the overall tax payable by your business and yourself personally.

GST/HST GST/HST is a federally imposed value-added tax that applies to many services and property (including real, tangible, and intangible property). Franchisees that are GST/HST registrants are typically required to collect GST/ HST on supplies that are made in Canada and the tax the franchisee collects must be remitted to the CRA. Registrants that incur GST/HST on purchases may be eligible to claim input tax credits, i.e., refunds of the tax paid. Therefore, where some other taxes are an expense, GST/HST is generally cash neutral at the commercial level.

Registration for GST/HST is typically required for businesses engaged in commercial activities that are not small suppliers. Many of the most significant costs and fees for a franchisee are at the very beginning of the business, so it is crucial to be registered as early as possible to prevent lost GST/HST refunds.

Franchisees viewed as carrying on business in Quebec may be required to register for Quebec Sales Tax (QST), and those that sell to British Columbia, Saskatchewan, and Manitoba may be required to register for provincial sales tax (PST). QST applies similarly to GST/HST on supplies made in Quebec and may also be eligible for

recovery when incurred on purchases related to a franchisee’s commercial activities. PST paid on purchases is typically not recoverable unless paid in error.

Payroll taxes When a company hires employees, it becomes responsible for employer payroll taxes. The company is also responsible for remitting the portions of the payroll taxes withheld from employees to the CRA. To remit payroll taxes, a company must register for payroll with CRA, and make regular periodic payments for any amounts owing. After the calendar year is complete, total income and deductions must be reported for each employee, on T4s.

What financial reporting is required?

When different financial users, such as lenders, banks, and franchisors, ask for financial statements, there might be additional reporting requirements. Some common types of reporting requested include the following: Notice to Reader (NTR) In an NTR engagement, an accountant will compile the financial statements from your bookkeeping records.

The accountant is responsible for ensuring that the financial information is mathematically correct but gives no assurance that the information provided is accurate.

However, accountants may not knowingly associate themselves with misleading financial information.

When a bank or lender does not perceive significant risk related to lending, they are often comfortable with receiving NTR financial statements.

Review engagement A review engagement is a report where the accountant will perform procedures including inquiry and analytical procedures, to provide limited assurance that the financial statements are prepared according to a financial reporting framework. A review engagement provides financial statement users more assurance than an NTR, though not as much as an audit.

Audit engagement The highest level of assurance is an audit engagement.

The auditor will provide an opinion as to whether the financial information in the financial statement is pre(Continued on page 93) Lyn Little, CPA, CA Partner BDO Canada LLP llittle@bdo.ca

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FRANCHISE TUTORIAL

TUTORIAL 19: THE FUNDAMENTALS OF FRANCHISING

INTRO TO LEASES & SUBLEASING FROM THE FRANCHISOR MANY FRANCHISES WILL REQUIRE that their franchisees operate out of a retail, office, or commercial location. In these circumstances, you, as a franchisee, would enter into a head lease or sublease agreement. It’s important that you understand the agreement and contractual relationship that you’re entering into.

A head lease is where you’re in a direct contractual relationship with the landlord. The franchisor will typically require in the franchise agreement that such lease documents and the location are approved by the franchisor before signing. The franchisor wants to ensure that it’s a viable location and that the terms are reasonable.

However, the franchise agreement will typically state that the franchisor’s approval of the site doesn’t represent or warrant the success of the location. The franchisor cannot predict success, as there are many variables that will affect your business.

In many circumstances, the franchisee will sublease their space from the franchisor, with the franchisor on the head lease with the landlord. This is done when the franchise’s success is very location-driven or where the landlord requires a strong covenant. A sublease arrangement allows the franchisee to have access to locations that they wouldn’t have access to otherwise. The franchisor will retain control over the site by entering into a lease directly with the landlord and then subleasing the location to the franchisee on principally the same terms and conditions. In the event that the franchisee is not successful or abandons the business, it’s far easier for the franchisor to take over the location when they’re on the lease directly.

A third situation is where the franchisor and franchisee go on the head lease with the landlord, making it a three-party, or “tripartite” agreement. In the event that the franchisee is in default of the lease, the franchisor would have the right to cure the defaults or take over the location. The agreement may also allow the franchisor to assume the lease in the event that the franchisee decides not to renew at the end of the lease term or the franchise agreement is terminated. From a franchisor’s perspective, this gives them the ability to control the location without the obligation and liability. However, from the landlord’s perspective, it limits their options and thus landlords are reluctant to sign three-party agreements.

They often want to have flexibility to rent the space to someone else in the event of default.

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These three different leasing options are a function of balance between control and risk. If a franchisor wishes to have control of a great location, it will assume liability and go on the lease and then sublease to franchisees. For a startup franchisor, this could be a substantial risk and the third-party agreement would provide a viable solution. For a well-established franchisor, risk is less of an issue and they will often want the ability to step in and take over the location in the event of the default, so as to preserve the great location and the established customer base.

A franchisor will typically have a “cross default” clause in the franchise agreement stating that a default on the sublease or lease agreement is a default of the franchise agreement.

Regardless of whether you’re on the head lease or in a sublease or a tripartite agreement, be sure that you fully understand your legal and financial obligations under the lease. Typically, the total occupancy costs are different from the base rent that is quoted. Be sure you budget for the total occupancy costs for the space and not just the base rent.

Total occupancy costs will often include the following: • Base Rent – Usually quoted as an annual cost per square foot.

• Common Area Maintenance (CAM) – Your business’ share of such costs as security, snow removal in the parking lot, or cleaning of the common areas.

• Percentage Rent – Some landlords in high traffic retail locations will request a percentage of your gross sales.

• Property Tax – Typically, you will pay your portion of the property tax, based on your square footage.

• Merchants’ association or marketing fund – Large shopping malls or complexes will have tenants share costs for mall promotions and events; again, the amount is allocated based on your square footage over the total amount of leased square footage.

Your rent payments are usually paid monthly directly to the landlord, with certain items, such as property tax, paid annually. The merchants’ association or marketing fees are often paid quarterly. In sublease arrangements, the franchisor may require that you pay them directly and then the franchisor pays the landlord. In these cases, get clarity as to whether or not the franchisor

www.cfa.ca | www.FranchiseCanada.Online

FRANCHISE TUTORIAL is charging a fee or ‘up-charging’ for being on the head lease. This can sometimes be justified, for the franchisor is taking on added liability for you to access a great location, but it should be disclosed.

It’s important that you fully understand your obligations under the lease or sublease agreement. Have a lawyer review and explain the documents before signing.

Once you’re open for business, work at maintaining the relationship with your landlord and franchisor so as to avoid difficulties down the road. If you foresee problems in making lease payments, don’t hide this fact. Instead, communicate the issue to both your landlord and franchisor so that there are no surprises and work with them to find solutions for payment.

TUTORIAL 20: THE FUNDAMENTALS OF FRANCHISING

INTRO TO LEASEHOLD IMPROVEMENTS LEASEHOLD IMPROVEMENTS are fixtures or improvements that are attached to the retail or commercial space and installed by the franchisee when setting up a new location. Upon expiration of the lease, these improvements remain with the space and become the property of the landlord. Examples of such improvements include: • walls • doors • cabinets • light fixtures • floor coverings • machinery and equipment if bolted down to the floor These improvements are required to make the space work for the needs of the business.

As a franchisee, you’re typically responsible for all the costs associated with constructing the space and leasehold improvements, as well as ensuring that this is done according to the franchisor’s specifications and standards. The franchisor is responsible for the integrity of the brand and will usually provide standard prototype plans and drawings. An architect would then be required to create new plans that are specific to your space and that comply with local bylaws and city requirements, while still meeting the franchisor’s standards. Some franchisors have design services as part of the franchise support or as an added fee. The franchisor will require that plans be approved by them before construction starts.

Depending upon condition of the space and the business model, the required leasehold improvements can be extensive. If you’re dealing with a brand new building with a “shell” space (bare cement walls and floor) and are constructing a restaurant, you will require plumbing, HVAC, heating, and electrical, in addition to the typical improvements. Costs can range from $100,000 to well in excess of $700,000, depending upon the type of business, size, and condition of the space. These costs can sometimes be reduced by the landlord through a leasehold

improvement allowance or a lump-sum payment upon completion of the space.

In some cases, you may acquire a space that has pre-existing leasehold improvements. This could reduce the costs, but not necessarily. In some cases, few improvements can be salvaged for your use. This means you’re paying for demolition of the old, as well as new construction to bring the space to the franchisor’s specifications. Many times there are costs associated with bringing the old improvements up to standard building codes, such as having extra washrooms and proper kitchen electrical, gas, plumbing, and ventilation. Don’t assume there are savings by dealing with existing improvements. Work with the franchisor to have a thorough site assessment done.

Depending upon the franchise, you may be required to build out the location through the hiring of a general contractor. Ask the franchisor to recommend a general contractor who has built out stores for the franchise in the past. You want to select someone who is reputable and can get the job done on time, on budget, and within the franchisor’s specifications. Check references and visit locations that this contractor has built in the past.

Whether it’s through a general contractor or the franchisor, be sure to get specific quotes as to what the build out of the location will cost and get it in writing. There will often be unforeseen costs and delays. Address beforehand what happens if costs exceed, say, a 10 per cent variance. You may be able to negotiate that such overruns are the general contractor’s responsibility or that there is some compensation to you for delays.

In reviewing the costs for a store build out, a franchisee will often comment that the costs seem high. Avoid the desire to negotiate the improvements and reduce costs.

Quality construction is expensive, but typically necessary.

Franchise Canada January | February 2021 85

FRANCHISE TUTORIAL You will always be able to find a cheaper piece of equipment or specification of carpet, but usually at the expense of quality or warranty service. The cheaper kitchen equipment may have a tendency to break down. How much will this cost you in lost revenues when your restaurant is closed for equipment repairs? How does it affect your business when the carpet is frayed and worn in high-traffic areas after only a year, and in need of replacement?

Throughout the entire process, the franchisor will be overseeing the plans and construction to ensure the finished location conforms to franchise concept specifications. The franchisor will typically make regular site inspections during construction to ensure that the brand is consistent and that the location has the same look and feel as all the locations of the brand. You may be able to provide input, but it will be the franchisor that will make the final decisions. Recognize that they have

the experience and that often there is a strategy behind the design. You may feel that the kitchen is too small and want to make it bigger, yet the franchisor recognizes, through experience, that a smaller, well-designed kitchen creates greater work efficiencies and permits more front of house space, thus allowing more tables and greater revenues. If you object and fail to comply with the standards, you may risk being in breach of your franchise agreement and incur costs to redo certain parts of the build out in order to conform to franchise standards.

Leasehold improvements and store build outs can be overwhelming. There are a lot of details and it’s a large investment. Make sure that you select the right contractor and have the build out monitored closely by the franchisor. Ask questions so that you understand the decisions being made, but rely on the experience of the franchisor. That’s part of the value of a franchise.

STUDY QUESTIONS TUTORIAL 19

TUTORIAL 20

1. In a sublease arrangement, the franchisee: a) L eases their space from another franchisee b) Leases their space from their franchisor, who is leasing it from the landlord c) Purchases their space outright

1. Leasehold improvements: a) a re fixtures that are attached to a retail or commercial space. b) are installed by the franchisee or tenant when setting up their business. c) can include machinery and equipment that is bolted to the floor. d) All of the above

2. Total occupancy costs for a leased space can include: a) B ase rent b) Property tax c) Merchants’ association fees d) All of the above 3. No matter which type of leasing arrangement is chosen, the franchisee should fully understand his or her legal and financial obligations as outlined in the lease agreement. True or False? a) True b) False 4. In a head lease, the franchisee is in a direct contractual agreement with the landlord.

True or False? a) True b) False

2. When building out a new franchise location, a franchisee should: a) p ick the first contractor they speak with so construction can begin immediately. b) consult closely with their franchisor to ensure the location is built to the system’s specifications. c) always go for the cheapest construction materials and equipment. d) assume that all unforeseen costs and delays will be absorbed by either the contractor or the franchisor.

3. It always ends up being cheaper for a franchisee to lease a space with pre-existing leasehold improvements. True or False? a) True b) False 4. During build out of a new location, the franchisor will usually have the final decision on all aspects of the build, especially those relating to brand consistency. True or False? a) True b) False

Answer Key: 1) b 2) d 3) a 4) a www.cfa.ca | www.FranchiseCanada.Online

Answer Key: 1) d 2) b 3) b 4) a

86 Canadian Franchise Association

MARKETPLACE

Conveniently Smart, Conveniently Simple.

Automation and self-service are reshaping the grocery shopping experience. Aisle 24 franchises offer you the opportunity to harness these powerful trends to deliver an innovative twist on the corner store. Aisle 24 stores – cashier-less, small footprint grocery markets catering to last-minute shopping – serve the booming Canadian residential property market. We provide condos, apartments, townhouse complexes, campus residences, and other shared living communities with a high-value amenity for tenants.

Franchise units in Canada: 11 Corporate units in Canada: 5 In business since: 2016 Franchising since: 2019 Franchise fee: $25K Start-up capital required: $60K-$80K Investment required: $120K-$160K Training: Yes Available territories: BC, AB, SK, MB, ON, NB, PE, NS, NL, QC CFA member since: 2019

Helping you do more business is our business. When you accept American Express® Cards, you gain access to higher spending customers and a greater number of business clients. We also help franchisees grow through business solutions that include cash flow management, providing working capital opportunities and lucrative rewards. Contact us to find out more about how we can help your Franchise grow.

CFA Member Since: 2017 Web: www.amex.ca/canadianfranchiseassociation Email: franchisesolutions@aexp.com

Phone: (647) 932-1037 Web: www.aisle24.ca Email: franchising@aisle24.ca Contact: John Douang, Co-Founder & CEO

Big Frog is more than a business; it’s a lifestyle!

Big Frog Custom T-Shirts & More® is a franchise concept specializing in custom decorated apparel with more than 88 locations opened or in development in the U.S. Big Frog’s goal is to become the world leader in the $20 billion garment decorating industry. Using high tech direct-to-garment printing, it is the only chain or franchise of its kind. Big Frog has a strong history of success and wonderful validation from its franchise owners. This exciting opportunity is now available in Canada!

Franchise Units in the US: 88 Business Since: 2006 Franchising Since: 2008 Franchise Fee: $49.5K Investment: $190K+ Training: Training manuals, online courses, 1 week in Florida, 1 week onsite at your store Available territories: AB, BC, MB, NB, NL, NS, NT, NU, ON, SK, YT, US

CEFA Early Learning is looking for franchise partners to open early learning private schools for children under 5 across Canada. If you love being around children and families, have high standards, and believe in the value of education, you could own a CEFA School that uses the CEFA Enriched Curriculum and CEFA Certified Teachers. We have over 20 years of experience that we can use to help you get started today.

Franchise Fee: $70K Startup Capital Required: $300K Investment Required: $650K-$2M Available Territories: United States, All of Canada Training: Provided Franchise Units Canada: 22 In Business Since: 1998 Franchising Since: 2003 CFA Member Since: 2011 Learn the Top 10 Reasons for Owning a CEFA Franchise at www.cefafranchise.com or email franchising@cefa.ca for more information.

Address: 13083 – 156 Street NW, Edmonton, AB T5V 0A2 Phone: (587) 525-8000 Web: bigfrog.ca Email: tom@suggitt.com Contact: Tom Suggitt, CEO

Franchise Canada January | February 2021 87

MARKETPLACE

WORLD’S MOST SUCCESSFUL BAKERY FRANCHISE • A trusted brand – Nearly 700 locations worldwide and 35+ years’ experience franchising • A robust model – COBS Bread is built on providing exceptional product, friendly service and a welcoming environment for all customers • Community focused – All bakeries donate to hundreds of local schools, groups and charities across Canada • Authenticity – COBS Bread operates with honesty and transparency • No initial franchising fee for new bakeries • Flexible financing options Awards 2015 Recipient CFA Award of Excellence in Franchising, Silver Award Winner 2010 & 2012 Recipient CFA Award of Excellence in Franchising, Bronze Award Winner

We are a world-class franchisor with a commitment to quality, having more than 7,100 stores in more than 29 countries. DQ Grill & Chill® offers a variety of soft-serve treats along with a full line of hamburgers, hotdogs, chicken and salads. As an ongoing expansion program, we are presently accepting applications for DQ® franchises across Canada. Candidates must have business acumen, superior people skills and desire to work with a proven franchise system. A DQ Grill & Chill® has a total investment of approximately $800,000 - $1,200,000 or more. The candidate must have a minimum of $400,000 cash available. A DQ® Treat location can be in major shopping malls or as a free-standing unit. The total investment for a retail store is between $300,000 $500,000 and up to $800,000 for a free-standing unit. Applicants must have a minimum of 40% project cost in cash to invest. www.dq.ca Contact: Tammie Verna at tammie.verna@idq.com or 905.637.4741

2011–2020 Recipient CFA Franchisees’ Choice Designation Contact the COBS Bread Franchising Team E franchise@cobsbread.com P 1 866 838 COBS (2627) W www.cobsbread.com/franchising

Are You Looking For:

Driverseat Driverseat Chauff eur Services Chauffeur Services Driverseat system, in franchise Driverseat isis an theaward latest winning emerging trend inspecializing home based transportation solutions.

Our franchise partners build theirOur systems, blazing a new industry in personal transportation. team of Chauffeurs and growinthe brand through marketing and franchise partners specialize marketing, strategizing and growing networking in their Franchises their business, whilecommunities. their Coachmen (drivers) offer focusconsumer on transporting transportation the vehicles, tourism and hospitality industries, and customers andintheir through 4 unique services. Protected develop business partnerships generate revenue territories available throughout that Canada and the U.S. as they transport clients in their own vehicle or in fleet shuttles.

Totalcapital capitalrequired required-- $20k • Total $43Ktoto$35k $48K InnovativeTechnology Technology Platform Platform • Innovative $21,000franchise franchisefee fee • $19,000 Homebased based • Home Noneed needfor forinventory inventory • No Significant industry size size • Signifi cant industry Nocapital capitalreal realestate estate leases leases • No tierextensive extensivetraining training program program • 4 4tier

• Airport

Assisted Transport

• Wedding Designated Driver

Contact Contact 1-855-DRIVE-90 1-855-DRIVE-90 info@driverseatinc.com info@driverseatinc.com www.driverseatinc.com www.driverseatinc.com

• Corporate Shuttles

Airport Chauffeur

• Tours Vehicle Chauffeur

88 Canadian Franchise Association

• An opportunity to be your own boss?

• The ability to work from home and create your own schedule?

• A healthy and creative work environment?

A Hickory Dickory Decks Franchise Offers: • Entry into a multi-billion dollar home renovation and improvement industry • A strong reputation and buying power • A proven training and support system Contact Hickory Dickory Decks for more information today.

www.decks.ca/franchise 115 Dundas St. West, Hwy 5 Hamilton, Ontario. L9H 7L6 1-800-263-4774

www.cfa.ca | www.FranchiseCanada.Online

MARKETPLACE

KUMON MATH AND READING CENTRES With 60 years of success, helping over 16 million students in 57 countries, Kumon is the largest after-school math and reading academic enrichment program and one of the most established franchise businesses in the world.

Whether you’re an educator, a corporate professional, or simply interested in starting your own business, a Kumon Learning Centre could be your own success story just waiting to happen.

• 375 franchise units across Canada • Over 80 franchise opportunities available For more information, visit www.kumonfranchise.ca/franchise-opportunities.

Email: franchisecanada@kumon.com Toll-free: 1.800.266.6681

2020 will be a year to remember for us all! For M&M, it marks 40 years of helping Canadians put delicious meals on the table which has never been more relevant than during the recent crisis. We are extremely proud of our front line Franchise Partners, Managers and Meal Advisors who have stepped up to the table to support their customers and communities showing that while much has changed with M&M, our commitment to our customers has not! New name, new award winning design/concept offering our customers the confidence they can shop in a clean, convenient, welcoming environment. We’ve proudly met our food promise with all of our products free of artificial colours, artificial flavours, and artificial sweeteners. No other national grocery retailer can currently say that! We offer easy-to-prepare, top quality, innovative options for those looking for something different for dinner, be it our individual Premium Single Serves in their revolutionary packaging or quick to prepare skillets to feed the entire family.

Our new M&M APP makes shopping online and redeeming M&M Rewards convenient as well offering delivery in most regions and now in response to the COVID crisis we have curbside pick up available! Reach out today to find out about the opportunities we have nationally where you can be your community’s M&M brand ambassador!

For more information, visit our website at www.mmfoodmarket.com/en/franchising or call us at 1-800-461-0171.

Little Kids Daycare began in 2002 and has grown into an awardwinning childcare center with multiple locations. Founder, Debbie, has a diverse background in working with children & families, which has allowed her to implement an enriching curriculum & foster a nurturing environment. Debbie has become a mentor within her community, facilitating & speaking at conferences. She has found it rewarding to help others launch their own childcare centers and wants to continue to share this with others.

In business since: 2002 Franchising since: 2020 Franchise fee: $70K Start-up capital required: $250K-$350K Investment required: $750K-$1M Training: 2 weeks Available territories: ON CFA member since: 2021 Phone: (888) 992-0595 Web: www.littlekidsdaycare.com Email: christina@littlekidsdaycare.com Contact: Christina Payne, Franchise Consultant

MAKE A LIVING THAT MAKES A DIFFERENCE Join Oxford Learning, a leader in tutoring excellence, helping students worldwide from preschool to university.

Oxford Learning celebrates multiple awards from the Canadian Franchise Association, including Franchisees’ Choice Designation in 2018, 2019, and 2020, Top Franchisee 2020 Award, and 2020 Lifetime Achievement Award for Oxford Learning’s founder.

Proudly Canadian with 36 years as a proven franchise system, we have more than 125 locations across Canada. Whether in an Oxford Learning centre or through our online program, Virtual TableTM, we are changing the way students process, interpret, and organize information for more reliable, long-term outcomes. It’s called cognitive learning!

Become an Oxford Learning franchisee. An education background is not a prerequisite - our unique cognitive learning program, proprietary curriculum, and comprehensive training combined with your drive to succeed is the only requirement! Looking for an opportunity to make a difference in your life and in your community? Discover the rewards of helping children succeed.

1-888-559-2212 (ext. 115) or franchise@oxfordlearning.com.

Franchise Canada January | February 2021 89

MARKETPLACE

Pillar To Post Home Inspectors offers franchisees the opportunity to take control of their lives and lifestyles. With a home-based, low overhead model, franchisees can reach positive cash flow quickly in a self-controlled environment. Your schedule is flexible and your outgoing personality allows you to develop community relationships with realtors and home buyers. Pillar To Post Home Inspectors offer home buyers and owners peace of mind regarding their most important investment, their home.

Franchise Fee: $24,500 Startup Capital Required: $20K Investment Required: $33,150-$42,550 Available Territories: British Columbia, Alberta, Saskatchewan, Manitoba, Ontario, New Brunswick, Nova Scotia, Prince Edward Island, Newfoundland and Labrador, Yukon Territory, Northwest Territories, Nunavut, United States, Single Units Franchise Opportunities Available: Single Units Training : In house training and instruction program Franchise Units Canada: 88 USA: 446 In Business Since : 1994 Franchising Since: 1994 CFA Member Since: 2013

The Pizza Nova story began in 1963 when a young Italian family opened the very first Pizza Nova restaurant. Today Pizza Nova is still family owned, represents 140+ locations across Ontario and specializes in hand-tossed Italian style pizzas that are complemented by an extensive menu of proven favourites.

We provide comprehensive training, easy ordering from our HAACP approved commissary, location identification & design, operations support and innovative marketing initiatives that bring customers through your door.

Pizza Nova is the Official Pizza of the Toronto Blue Jays™, Toronto International Film Festival, and the CNE. Our 57+ years of success continues as a direct result of our uncompromising commitment to providing the highest quality product made from only the finest quality ingredients. In 2015 we became the first Canadian pizza company to introduce pepperoni sourced from beef and pork raised without the use of antibiotics or added hormones. We have since expanded our ‘Raised Without Antibiotics’ profile to include bacon, chicken wings, chicken pollini, grilled chicken, and smoked ham.

For more information on Franchise Opportunities please contact Meraj Jamal, Franchise Development Manager Phone: 416-439-0051 ext. 1016 Email: meraj@pizzanova.com

For further information, please visit www.pillartopostfranchise.com

Grab Your Slice of Life!

Pizza Pizza began in December 1967 in a 300 square foot store in Toronto at the corner of Wellesley and Parliament Street. Since then we became the biggest pizza chain in the country.

Our success stems from our customer focus. Our commitments to freshness, quality, and innovation have led us to the top of the pile in the pizza industry. Pizza Pizza delivers on its goals time and time again as we strive to make the best pizzas around at reasonable prices. Moving forward, we will continue to hold our leading position through community involvement and environmental stewardship.

Consider what Canada’s most successful pizza chain has to offer you: • A commitment to quality, • Comprehensive training freshness, customer • Site selection, lease satisfaction and innovation negotiation and professional • Superior marketing and architectural design promotional support • Knowledgeable support staff • State-of-the-art technology • Administrative systems • Ongoing professional • We supply the ingredients development • Be your own boss!

Franchising information: franchisinginfo@pizzapizza.ca www.pizzapizza.ca/franchising

90 Canadian Franchise Association

Be a trailblazer in Canada. The SERVPRO® Franchise System, a leader in the USA in fire, water, mould and other cleanup and restoration services, is now in Canada. SERVPRO Franchise professionals respond to property damage emergencies ranging from small individual disasters to multi-million dollar large-loss events. SERVPRO’s brand, customer service, training, support, and proven business model can serve as your pathway to achievement. Canadian services through Servpro Industries (Canada) ULC. Franchise Units Canada: 15, US: 1895 In Business Since: 1967 Franchising Since: 2011 Franchise Fee: $35.5K CAD Start-Up Capital Required: $105K CAD Investment Required: $145,450K-$202,650K CAD Training: Initial & Ongoing Available Territories: BC, AB, SK, MB, ON, NB, NS, YT, NT, NU, US CFA Member Since: 2012 Please contact Laura Williams, Director of Franchise Expansion at lwilliams@servpronet.com or (615) 451-0200 ext. 1414 for more information on franchising in Canada. www.servpro.com.

www.cfa.ca | www.FranchiseCanada.Online

MARKETPLACE

Cannabis has been illegal in Canada since 1923. That all changed on October 17, 2018. This is your chance to be part of the best recreational cannabis brand network in Canada and part of the multi-billion dollar Canadian cannabis industry. Get in on the ground floor of this “budding” industry!

We have created a modern retail model that offers legitimacy, reputability, professionalism and a feeling of confidence, with plans of opening one hundred locations across Canada.

If you are a passionate entrepreneur that is dedicated to helping our customers find a higher sense of love, joy, peace and harmony then we invite you to apply for this once in a lifetime opportunity.

We are now accepting applications for Franchise Partners to open LEGAL recreational cannabis stores in cities across Canada.

VISIT SPIRITLEAF.CA TO LEARN MORE

Join The UPS Store franchise network and count on the support from our experienced Home Office and in-field teams to get you to your grand opening and beyond. Many offer printing or shipping services, but our dedication to innovation and convenience are what keep The UPS Store at the top of our industry. With over 345 franchise locations across Canada (and continuing to grow), we have a proven track record of success!

As a franchisee you will enjoy an established system to get your business started off on the right track; in-depth training programs and ongoing support to make sure you continue to succeed; and an internationally recognized and award-winning brand to help you build instant credibility in your community. The UPS Store is there at every stage of your franchising journey.

Visit us at theupsstore.ca. We Print, Ship & More!

Locations, North America: Over 5000 Locations in Canada: Over 345 Minimum cash investment: $100,000 Total cash investment: $174,000 to $198,500 plus working capital.

For more information on The UPS Store opportunity, call 1-800-661-6232 or visit www.theupsstore.ca.

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Get the latest franchise opportunities delivered right to your inbox! Published twice a month, Franchise Canada E-News is packed with news, how-to articles, and inspiring success stories from real franchisees.

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Franchise Canada January | February 2021 91

WHAT’S NEXT

DON’T MISS OUR MARCH/APRIL 2021 ISSUE! The Diversity Issue The March/April 2021 issue of Franchise Canada highlights the diversity in franchising across Canada.

Throughout this issue, we share franchisee stories that showcase how people from all backgrounds, genders, and age groups have found success through franchising. This Diversity Issue also coincides with International Women’s Day in March, as we explore the dynamic role that women play in the franchising industry.

Despite the many difficulties of the COVID-19 pandemic, the March/April 2021 issue will shine a spotlight on brands who have reached 100 locations while the world faced an international economic crisis. We will also take readers on a trip through burrito, pita, and wrap franchises across the country, offer tips and tricks for best hiring practices, and shine a special focus on franchise support services/suppliers including lawyers, consultants, bankers, and accountants, who are available to help prospective franchisees conduct the proper due diligence and get their small business dreams underway.

WATCH FOR THESE INSPIRING FEATURES IN OUR MARCH/APRIL 2021 ISSUE:* DIVERSITY IN FRANCHISING: In our cover story feature, we showcase a diverse range of Canadian franchisees across different genders, age groups, and backgrounds, all who have made their entrepreneurial dreams come true through franchising. Prospective franchisees from all backgrounds can look forward to joining the diverse and inclusive franchising community.

BURRITO, PITA, AND WRAP FRANCHISES ACROSS CANADA: Prepare your appetite for a focus on the diverse franchises that serve up burritos, pitas, and wraps across the country. We’ll explore how these franchises that feature favourites from

regions such as Greece, Mexico, and the Middle East have expanded from coast to coast while serving up tasty, wrapped meals for hungry and health conscious Canadians on the go.

PLUS, A SPECIAL FRANCHISE FOCUS ON THE FRANCHISE SUPPORT SERVICES/ SUPPLIERS INDUSTRY!

HIRING BEST PRACTICES: Gain tips and advice for how to attract and retain employees to best represent your brand. We highlight how important it is to find and the hire the right people to become part of your staffing team that will help you get well on your way to franchising success.

IN EVERY ISSUE: • Industry News • Show Me the Money • Franchise Tutorials • Leadership Profile • Giving Back • Home-Grown & Locally-Owned • Ask the Experts • Day in the Life • The First Year • Franchise Fun *Editorial subject to change

FRANCHISE SUBSCRIBE NOW Subscribe to Franchise Canada E-News, CANADA our FREE e-newsletter, to receive a free digital subscription to Franchise Canada Magazine!

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92 Canadian Franchise Association

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www.cfa.ca | www.FranchiseCanada.Online

ADVERTISERS’ INDEX Aisle24............................................................................ 15 www.aisle24.ca

Driverseat................................................................... 13 www.driverseatinc.com/franchise

Pillar to Post............................................................55 pillartopostfranchise.com

American Express.. ......................................... 7, 9 www.americanexpress.ca/ canadianfranchiseassociation

Hickory Dickory Decks................................. 57 www.decks.ca/franchising

Pizza Nova..................................................................31 www.pizzanova.com

Big Frog Canada.. ............................................... 16 www.bigfrog.ca

International Franchise Association ............................................................................................... 77 www.franchise.org

Pizza Pizza................................................................. 14 www.pizzapizza.ca/franchising

CEFA................................................................................ 30 franchise.cefa.ca

Little Kids Daycare Center.. ................... 39 www.littlekidsdaycare.com

COBS Bread.............................................................. 11 COBSBread.com/franchise

M&M Food Market.. .............................................. 3 www.mmfoodmarket.com/en/ new-shopping-experience

Dairy Queen Canada.. .................................. 36 www.dq.ca

Oxford Learning....................................................... .................................................. Inside Front Cover franchise.oxfordlearning.com

ServPro.. ........................................................................ 53 www.servpro.com/ready Spiritleaf..................................................................... 37 innerspiritholdings.com/franchise/ The UPS Store.......................................................... 17 www.theupsstore.ca

ASK AN ACCOUNTING EXPERT (continued from page 83) pared, in all material respects, in accordance with a specific accounting framework. The auditor obtains evidence to support this opinion by testing detailed financial information, through corroborated analytical procedures, or control tests.

Understanding reports for your business When finalizing agreements with your bank or franchisor, it is important to understand the distinctions above.

There may be opportunities to negotiate a lower level of assurance, resulting in significant cost savings.

With the help of a trusted business advisor, tax compliance and financial reporting can be one less thing to worry about, allowing you to focus your attention on operating a successful franchise.

Franchise Canada January | February 2021 93

August 20th

BUY A BURGER

GIVING BACK

Beat MS Grab a burge r for takeout and call it your deed for the day. $2 from good food every Teen August 20th Burger® sold goes to Cana on dians living with MS.

Trade Marks © 2020 A&W

A&W supports Canadians living with multiple sclerosis through the Burgers to Beat MS Day Campaign

Limited Partnership

A Tasty Way to Give Back

BY STEFANIE UCCI SOME GUESTS MIGHT ENJOY their burgers with a side of fries, onion rings, or a milkshake, but at A&W you can get all those fixings while also donating to an important cause. During the past challenging year, brands like A&W have kept charitable donations at the forefront of their values, highlighting the importance of giving back during difficult times.

A&W first started serving up burger patties in 1956 with a drive-in restaurant located in Winnipeg, Manitoba. Since then, the Canadian-born franchise became one of the biggest and fastest-growing companies in the quick service restaurant (QSR) industry with nearly 1,000 locations operating across the country.

In 2008, the QSR franchise formed a national partnership with the MS Society of Canada to support Canadians living with multiple sclerosis (MS). The partnership includes A&W’s annual Burgers to Beat MS campaign that took place last year on August 20.

“We continue to partner with the MS Society because it touches so many Canadians. Canada has one of the highest rates of MS in the world, so it feels very relevant for us being a Canadian business,” says Julia Cutt, director of brand communications and digital marketing at A&W. “It’s important to help raise funds, whether that’s for research or for one day finding a cure.”

According to the MS Society, the autoimmune disease affects the central nervous system and causes symptoms including impaired vision, weakness, extreme tiredness, lack of coordination, and mood changes. MS is often diagnosed in adults aged 20 to 49 and

94 Canadian Franchise Association

there are an estimated 77,000 Canadians living with the disease.

On Burgers to Beat MS Day, A&W donates $2 from every Teen Burger ® sold to support Canadians living with MS. In their 12 years of fundraising, A&W has raised a total of $16 million, with 2020’s campaign contributing $1.3 million.

The partnership was started by a group of A&W franchisees who got in touch with their local MS Society reps. “They decided this is an important charity we want to raise funds for and then it grew from there,” says Cutt. “So it was a few restaurants in Saskatchewan, then the whole province, and then we as an organization said, ‘this is actually really important and we could have quite a big impact if we did this as a national program.’”

With the COVID-19 pandemic introducing unexpected challenges, Cutt says the A&W team had to make some slight changes to their regular campaign. “The big difference was that we encouraged our guests to take out as much as possible. Usually our restaurants will have big events and groups that come and dine in but this time a lot of that turned into, ‘come to the drive thru, use the mobile app to order, order delivery so you can eat your burger at home.’”

www.cfa.ca | www.FranchiseCanada.Online

For customers with an extra appetite for giving back, A&W offers a variety of other ways to donate.

They run a four-week campaign leading up to the day where guests can donate while they’re in the restaurant placing their order or can round up their bills for an easy way to contribute. Last year, A&W introduced a matching fund where any E-gift card purchased online during the four weeks was matched and donated to the MS Society.

In 2017, A&W partnered with Christine Sinclair, Olympic gold medalist and team captain of Canada’s women’s soccer team. She has a personal connection with MS since her mother, Sandi, has lived with the disease for over 30 years. “She decided it was time in her career that she wanted to bring some more awareness to MS and help with that cause, so she became one of our spokespersons for it,” explains Cutt. “She has such an inspiring story, and she does a really nice job of educating Canadians about the disease and why it’s important to raise funds, so it’s been really great getting to work with her.”

The MS Society isn’t the only way that A&W and their franchisees support their communities. While Cutt says that there are “too many organizations to name,” she points to local hospitals, homeless shelters, food banks, and COVID-19 healthcare workers as just some of the many causes that franchisees give back to.

“One of our phrases or mantras at A&W is this idea of ‘change is good.’

We all share this innovative mindset of how we can do things better and what changes we can make to not only improve our business, but the world around us,” says Cutt. “I think you see that in a lot of the work we do.”