Thursday, 22 December 2016

Maurice Antoine Roussety, How to Turn Your Company into a Franchise

When it comes to franchising a business, no one is more adept at understanding the intricacies of this process than Dr. Maurice Roussety. As an Executive Consultant DST Advisory and Lecturer in Small Business, Franchising, Entrepreneurship, and Marketing at Griffith University in Queensland, Australia, Dr. Roussety is an expert in this field. Over the course of his career, he has worked with many of the top companies in Australia, including leading brands like Queensland Transport, IAG, Westpac, Australia Post, Coles Myer, and many more. As a professional consultant, Dr. Roussety wants fellow business owners to understand the benefits they can reap by choosing to franchise their companies. So, when Dr Roussety speaks how to turn your company into a franchise it is probably a good idea to pay heed to his comments.

“One major reason business owners should consider franchising is because it lowers costs. Unlike employees, franchisees make an initial payment in return for becoming a part of the business, and then continue to pay a percentage of their revenue to you, throughout the duration of their Franchise Agreement. Subsequently, the costs of setting up the franchise, training staff, and launching the business are all covered by the franchisee instead of the parent operation. Franchisees are also responsible for handling day-to-day business operations for their own unit, which makes management much simpler overall.

As the document ' Maurice Antoine Roussety, Moving Franchises and Brands Into The New Age' elaborates, Dr. Roussety is passionate about organizational best practice and has a proven track record as an analyst, strategist, change agent, and franchising expert. “In Australia, franchising is especially important to the economy, as it generates revenues in excess of $144 billion and directly employs more than 460,000 Australians through over a thousand franchise systems. I have developed a Franchise Risk Imputation Model (FRIM), which establishes a framework based on two cornerstones: risk-free rate and total risk as measured by the sum of market specific and company specific risks. He has also written a PhD thesis titled “An Integrated Economic Model for the Evaluation of Franchise Systems – A Synthesis of Agency and Finance Theories.”

“In addition to cost effectiveness and simpler management, franchise businesses also allow for fast expansion and better market penetration. Since they are generally self-financed, they can be expanded more quickly than company-run networks. All in all, franchising is about replicating an already successful business model, which means that expansion is mostly reliant on investment. Franchisees are also usually already established as part of the local community, either on a persona level or because of its past business activities. This kind of goodwill gives franchisees an advantage when it comes to gaining new business at the local level.”

Wednesday, 21 December 2016

Maurice Roussety, Adding Value To Franchises For Ambitious Leaders

For Maurice Roussety, franchises for ambitious leaders are one of the essential components for a successful and sustainable economy. Indeed, when it comes to making a franchising business truly profitable, financial and marketing expert Dr. Maurice Roussety knows exactly the methodologies and strategies that need to be implemented. Dr. Roussety studied Economics and Accounting at Monash University, and holds a Master of Business Administration and a Master of Leadership from the University of New England in New South Wales. Throughout his life, Dr. Roussety has proved himself one of the most renowned business analysts and strategists in Australia. Moreover, he has been consulted by some of Australia's premier brands, including Westpac, Optus, IAG, ACCC, Australia Post, and Coles Myer. And to each has significantly added to their net worth.

Antoine Maurice Roussety strongly believes that in terms of business success, many people look at the numbers and statistics that outline a company or organization’s revenues, assets, profits, and growth. While of course these numbers are important, assessing the true value of a business is actually far more complex, especially in cases when a business unit is sold or changes ownership. Why is it that two seemingly identical businesses sell for different amounts or are valued differently? The answer lies in evaluating the goodwill associated with each business.

Goodwill in business, specifically in franchise-operated companies, is something about which Dr. Roussety has extensive knowledge. Franchising is a highly refined business model in Australia, and many franchise models comprise a blend of innovative structures that inevitably create contractual and relational complexities. One of these complexities is the significance of goodwill in franchise-operated businesses. In general terms, goodwill is defined as the benefit and advantage of the good name and reputation of a business - the driving force behind attracting and retaining customers. Goodwill plays a key role in franchising business arrangements, since a well-recognized and reputable trademark can become a business asset of immense value.

In franchising, a franchisor can create goodwill by building a successful brand through marketing plans and good advertising practice and innovation. The successful brand can then be utilized by all franchisees to further enhance the goodwill and, hopefully, add value to the network of the business. In this sense, brand development is one of the most important strategies for gaining and promoting a high level of goodwill. Goodwill can also be protected by obtaining a trademark registration for the trading name or style and logos of the franchise, as well as the artistic work that goes along with the company’s brand. In a research paper, Dr. Roussety conducted extensive research that has greatly contributed to stimulating interest in the development of economic models for the valuation of goodwill  for franchisee-operated businesses.