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...Agreement is all

22nd August 1996, Page 18
22nd August 1996
Page 18
Page 18, 22nd August 1996 — ...Agreement is all
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Which of the following most accurately describes the problem?

Iwrite in response to the recent article by Karen Miles about franchising ((M 25-31 July). As she says, franchising is often seen as the proven route into selfemployment and business profits but, in reality, it all depends on the quality of the franchiser.

It was interesting that in the article, ANC managing director Andrew Callaghan was quoted in some detail about the principles behind franchising. As an ex-ANC franchisee, of particular interest is Mr Callaghan's statement: "There needs to be quite strong agreement between the parties so that if things don't work it can be sorted out."

In June last year my business suffered badly after I extended my franchised area. We were forced to cease trading in September 1995.

We are about to proceed with litigation to clarify the circumstances surrounding our closure, a "sorting out" process very different from that alluded to by Mr Callaghan.

My advice to any prospective franchisee would be to consider carefully the franchiser representations as well as the small print in the written agreement. Prospective franchisees should vet franchisers very thoroughly indeed, because ultimately it can be their management skills (or lack of them) that will make you or break you. Ian C Stewart Exmouth.

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