Franchising FAQs

Driving Miss Daisy is a long standing member of the Canadian Franchise Association which is the national voice of franchising in Canada.

More information on franchising can be found at www.cfa.ca.

What is a franchise?

Franchising is a method of doing business in which one person, the franchisor, grants another, the franchisee, certain rights contained in the franchise agreement.

These rights govern the way in which the franchisee will conduct their business. The franchisee gains access to the franchisor’s proven business system, including the Training and Operations manuals which will outline the systems and processes used to operate the franchise.

As the success of a franchised business depends on all franchisees delivering the same positive customer experience, the operations manuals are one of the key ways a franchise system can ensure consistent delivery of its product or service. Deviating from this uniformity and consistency of experience can be confusing to customers and can undermine the entire system.

The relationship between the franchisor and the franchisees is symbiotic with the franchisor depending on the franchisees for revenue and the franchisees depending on the franchisor to grow the brand and create greater demand for the product/service which, in turn, leads to more customers. Driving Miss Daisy, in addition to providing the standard operating system, offers its franchisees initial and ongoing training and support and assistance with marketing.

What are the benefits of being a franchisee?

Franchising is an attractive and powerful way for Canadians to achieve success as small business owners.

Through the proven business concept and support provided by the franchisor, franchisees are able to be in business for themselves but with the support and assistance of the franchisor, the advantage of the franchise system’s past success, and access to the knowledge and experience of a network of franchisee peers.

Franchising is about sharing success. The success of a franchisee leads to further success of the franchisor and the franchise system as a whole. When you invest in a franchise, you align yourself with a brand that may already enjoy established consumer awareness and loyalty in the Canadian marketplace, be it nationally, regionally or locally. This instant brand recognition can bring many advantages, including a stronger position when applying for a business loan. As a franchisee, you will benefit by being licensed to use the franchise system’s proven branding, trademarks, and proprietary products, services, recipes, etc.

A franchise also provides you with the advantage of a tried-and-true system and an operations manual that fully explains how you are to replicate the franchise’s system at your location. While it is impossible to eliminate all risk, if you work and follow that system, you can reduce the risk of business failure and increase your likelihood of success.

As a franchisee, you are considered a small business owner and it is important for you to assume a leadership role in your business. By joining an already established system, you do not have to invent the business from the ground up like you would as an independent business.

The franchise system can save you time and money by keeping you up-to-date on your market. Through the franchisor, you can stay on top of things such as business trends, research and development, new marketing initiatives, and changes in consumer tastes or behaviours. This allows you (and the other franchisees in the system) to focus on the day-to-day operation of your location knowing that you have this shared knowledge available when you need it.

Being a franchisee also means there is strength in numbers. Many franchise systems have an established supply chain and strong relationships already established with service providers. Joining a franchise system gives you a network of peers upon whose knowledge and experience you can draw. If you encounter an issue or have a question, your franchise system colleagues are just a phone call or e-mail away. It’s highly possible that they may have encountered the same concerns you have and will be able to provide information or advice to help you. In many systems, there are opportunities for franchisees to come together and share ideas and experiences as part of a franchisee advisory group or at a franchisee convention.