Trending 2013: The “Social Franchise” - Franchisors are Opening the Door to Non-Profit Organizations as Franchisees

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Qvinci Software and FranchiseWell team up to help franchisors and non-profits with cloud software that enables smarter and faster business decisions and with consulting services from the national expert on social franchising.

”Non-profit organizations will increasingly understand the advantages of running for-profit businesses as subsidiaries. The clear choice for many non-profits, when it comes to running a business for bottom-line profits, is a franchise,” says Litalien.

Dr. Benjamin C. Litalien, the nation’s foremost authority on social franchising, and the founder and principal of FranchiseWell, LLC, is predicting that more franchisors will see the benefit this year of adding non-profit organizations as franchisees.

”Non-profit organizations will increasingly understand the advantages of running for-profit businesses as subsidiaries. The clear choice for many non-profits, when it comes to running a business for bottom-line profits, is a franchise,” says Litalien, who speaks to hundreds of non-profit executives annually about franchising.

His research on “social franchising” suggests that a franchise is often the quickest and easiest path to success. The non-profit organization is not “going it alone” or trying to reinvent the wheel. The franchise model provides operational guidelines and resources to shorten the non-profit’s learning curve. The franchisor, which has a proven business, is only a phone call away whenever needed.

A for-profit subsidiary can generate profits to support the non-profit’s primary charitable mission. A franchise business is also an ideal way to train and help at-risk youth, the disabled, and other “clientele” of the organization – by putting them to work and giving them a supervised, structured, real-world environment within which to learn job and life skills.

In short, franchisors and non-profits are ideally positioned to collaborate for mutual benefit. The non-profit universe opens up a huge market of prospective franchisees for the franchisor. According to Litalien, many non-profits are well-heeled, mature operations with significant assets at their disposal, strong management teams, strategic leadership, and community clout.

Franchisors are waking up to this fact, and Litalien thinks 2013 will be a pivotal year for many more of these strategic “marriages.”

Litalien was recently introduced to Qvinci Software and realized it addressed a missing link for many franchise companies in managing their data across their networks. “I rarely endorse any product, and then only if it’s best of breed. Qvinci qualifies. Too many franchisors, franchisees and non-profit networks do not fully understand the value of their data. Qvinci uncovers that value.”

He added, “Qvinci collects and syncs data from one location to thousands, in the cloud, automatically. Then it gives the user an interface to see the data unit-by-unit and consolidated, with numerous business-intelligence tools that make it easy to compare units, spot trouble spots, and see where the best results are happening so those can be duplicated and increased. Any franchisor that seeks to be best in class must have this capability, and any non-profit organization with multiple sites/operations must pursue better control over its data.”

Charles Nagel, the CEO of Qvinci Software, stated “[w]e are pleased to have formed a strategic alliance with FranchiseWell. Ben recognizes the value of data for franchises and non-profits, and he saw the same gaping hole that we did – most SMBs don’t access or use their data in ways that help them now. We give them a roadmap to make better decisions, proactively, instead of reacting at the end of the month, quarter, or year and wondering what went wrong or how it happened.”

Nagel added, “[w]e believe in Ben’s social-franchising message and recognize his stature in the industry. We look forward to working with him to help more SMBs – franchisors, franchisees, and non-profits – gain control and mastery of their data. Maximizing revenues, minimizing expenses, and avoiding killer mistakes are critical business practices in this fragile economic environment.”

Nagel concluded, “[w]hether or not any particular business chooses our solution, we hope our “evangelizing” on the importance of timely and digestible data spurs more companies to take action. If even one company turns a would-be loss into a profit and stays in business, employing workers, our drum beating will have made a difference. If a bunch of them do it, we’ll be really happy.”

About Qvinci Software:

Qvinci Software is the creator of Qvinci®, an industry-leading, cloud-based solution that automatically syncs and consolidates an unlimited number of QuickBooks® files and other data, wherever located, in seconds, in an enterprise-class interface that gives the user a vast array of tools to analyze and act on the data, for better decisions and competitive advantage. Intuit® has selected Qvinci® as the financial reporting/business intelligence application for its Franchise Solution Program.

More information:
2-minute explainer:
James Wallace at jamesw(at)qvinci(dot)com or 512-585-6019

About FranchiseWell:

Dr. Benjamin C. Litalien, CFE, is the founder and principal of FranchiseWell, LLC. FranchiseWell assists clients in understanding and using franchising as a strategy, from both the franchisee and franchisor perspectives. Ben is in the forefront of the “social franchise” concept – franchisors partnering with nonprofit organizations for mutual benefit. Ben designed and oversees the Franchise Management Certificate program at Georgetown University and teaches Entrepreneurship & Venture Planning at the University of Maryland University College. Ben is a frequent author and speaker on franchising and is a Certified Franchise Executive as designated by the International Franchise Association.

More information:
Ben Litalien at ben(at)franchiswewell(dot)com or 540-657-1427

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