Setting Franchisees up for Success
“What do you mean, I have to deduct tax from payroll? I didn’t know that!”
Many years ago, I visited my first franchisee to help set them up their accounting software, train them on it and show them how to do bookkeeping. When we got to the payroll, and I started showing the client how to do payroll, that was the question that she asked. She got an even bigger shock when I explained that not only do we need to withhold PAYG we also had to calculate and pay superannuation. My poor client had been running the business for around 6 months, with staff, without knowing these basics.
That visit was eye-opening. I realised there and then that small businesses needed good financial training, and particularly franchisees, since many elected to buy a franchise because they had little knowledge of the business world.
Fortunately times have changed and franchisors recognise the importance of providing solid training to the new franchisees coming on board. At 2 Peas, we have set up a department to work with franchisors, helping them in all things financial and bookkeeping for their franchisees.
Some examples of what we have done:
• Run full day financial training at franchise conferences
• Work with the franchise to recommend the best software combinations for their business requirements – eg accounting, budgeting, cash flow forecasting, Point of Sale, Debtor management, rostering and award interpretation etc
• Provide the hardware for the group
• Streamline the integration between add on and accounting software
• Set up a template accounting file that can be rolled out to all new franchisees and gives consistency of reporting for the franchisor
• Provide classroom and remote training on use of software and on bookkeeping, focussing on compliance and efficiency
• Actually doing the bookkeeping for the franchisees when they are too busy to do it themselves
• Provide ongoing software and bookkeeping assistance
• Written specific bookkeeping guides for the franchise group
At 2 Peas, we work closely with Boost Juice, Cibo, Salsa, Caltex, Spudbar, Back in Motion and other franchise groups.
By setting the franchisee up with the best tools and the best knowledge, they are much more likely to be successful as businesses for both the short and long term. They are also much more likely to be compliant with their taxation and employment obligations.
Visit our Franchise page for more information.