Why is transparency so important? Consumers and business owners today are less trusting of companies and corporations than ever before. Some recent, well-publicized financial scandals at major companies previously thought to be reputable and trustworthy have shaken not only private consumers’ faith in the companies with whom they do business, they’ve also made prospective investors much more careful and cynical when selecting companies for future partnerships.
How can a potential franchisee be assured the brand in which he or she is considering investing is honest, trustworthy, and transparent? How can he or she be certain an investment in a certain company will yield an honest, respectable, and profitable business opportunity – and not end in a misalignment of values and expectations – or worse, an embarrassing scandal or financial disaster?
In a word: transparency. Look for a franchise company which allows easy access to financial and other vital information. As a prospective franchisee, you should be able to discern data and financial information quickly and easily. Some stats you’ll want to research in your pre-investment planning are average location initial investment costs, average annual revenue per location, average profit per location, average length of time for a new location to become profitable, percentage royalties paid to home office and franchise renewal fees, timing, and parameters. You should also research the variety and quality of home office services available, such as human resources, training, marketing, accounting, information systems, and other functions. Also, make sure the franchise fee and royalties paid per location are appropriate for the level of home office support offered. Just as important as the financial health of the company, what characteristics define its culture? Are most current franchisees pleased with the company’s business model, executive management style, and the general direction in which the company is heading? Do the current franchisees feel valued, listened to, and supported by the franchisor? Are franchisees engaged with the system: Do they meet regularly, communicate with each other, and attend annual or semi-annual meetings to stay in touch and engaged? These are all important gauges of not only company performance but of a company’s overall values, culture, and management philosophy. It’s critically important to evaluate these attributes when deciding whether a franchise system will be a good fit for you.
TWO MEN AND A TRUCK® prides itself on honesty, integrity, and transparency. Our core values are based on the Grandma Rule®, the founding family’s belief that all customers should be treated the way you would treat your grandmother – with kindness, integrity, and honesty. Our business practices exemplify our core values, and these values are purposefully considered with each company policy decision. Prospective franchisees are encouraged to contact current franchisees for open, honest feedback about TWO MEN AND A TRUCK®.
All current franchisees can access real-time online reports recapping each location’s financial performance, customer service, community service, and key metrics. An overview of these metrics is available to prospective operators as well. The popular and well-attended Annual Meeting is held every spring which is attended by approximately 90 percent of franchisee, along with their key team members; this indicates a robust employee interest in company events and culture. At the Annual Meeting, franchisees are encouraged to network, share best practices, collaborate to identify solutions to their challenges, learn more about the evolving industry and specific business practices, and interact with the corporate office staff – all activities which characterize a true “system of one.” TWO MEN AND A TRUCK® has more than a handful of franchise owners who have “grown up” in the system, starting as franchise location movers, drivers, or CSRs and eventually becoming buyers of their very own franchise.
Transparency, simply stated, means a company has nothing to hide. They’re not afraid to share financial, cultural, or business policy information because they’re confident in its accuracy and how it fosters a culture built on trust. TWO MEN AND A TRUCK® is defined by a strong vision which is executed by honest, caring people who treat others as we’d want our grandmother to be treated. Grandma would be so proud!
For more information on starting your own TWO MEN AND A TRUCK® franchise location and the performance information available to prospective owners, click here.