Business Thinking 2010
Cathryn Hayes - HSBC Head of Franchising
HSBC has recently launched a new campaign ‘Business Thinking 2010’ to help UK companies turn their great business ideas into reality.
The Business Thinking initiative, in partnership with Telegraph Media Group, will give selected companies the chance to achieve their potential by learning best practice from commercial leaders worldwide.
Eighteen companies will benefit from up to £90m of loans, which come with cash grants of up to £100,000 each. Those companies short-listed will take part in networking events in the Americas, Europe and Asia where they will meet some of the foremost management thinkers in their business fields. There will also be opportunities to meet potential business partners, buyers and suppliers.
Noel Quinn, Head of CMB UK, said: “What we are trying to do is help UK businesses realise the potential that exists in the broad market, the world, rather than just the UK market.”
The businesses could have existing international operations and are looking to expand into new markets, they could be first-time exporters or even UK-focused businesses keen to take creative business thinking and apply it to their own ventures.
Businesses looking to take part in Business Thinking 2010 will have sales of at least £2m and be planning to take advantage of the economic recovery to expand in the UK or build their international footprint either organically or through acquisitions.
This could be an ideal opportunity for franchisors looking to further develop their franchise business either in the UK or internationally. If you would like to take part, simply complete the Business Thinking 2010 online application form by 25 June.
The regional finals will take place during October and early November followed by the national final at the end of November.
For further information, take a look at the Business Thinking 2010 website.
Tags: business loans, business thinking, Franchise Finance, franchise loan, hsbc, hsbc business, hsbc franchise unit
Making Bank Finance easier for the Franchise Sector
Mark Scott - Director, Franchise Development, NatWest
Making bank finance could be easier for the franchise sector if franchisors and franchisees provide information in a timely manner.
Franchisors, particularly new ones, can make bank finance easier for their franchisees by providing information on their business at an early stage. The banks require the prospectus, legal agreement, latest accounts for the business and trading information on the locations they operate.
Once in receipt of this information the bank assesses the franchise offer and agrees what level of finance can be available for franchisees. If the franchise structure changes let the bank know.
Finance for franchisees can then be made easier by providing information about them in a timely manner.
Franchisees need to provide a business plan, ideally with 3 years cash flow and profit and loss projections and a balance sheet for year 1. They also need to complete an asset and liability statement, consent to undertake credit search and some further bank forms.
Provided the franchisee’s plan is in line with what other franchisee’s are actually achieving and they have a good credit history finance for them should be easier to obtain.
Franchise Business: Going Strong!
Joel Caws - Technical Director, Select Your Franchise
As the election approaches, I have watched along with many others the political debates on TV and seen the effect on the opinion polls. There will no doubt be a turbulent few weeks ahead for the political parties and, by all reports, a hung parliament is now something they are all having to consider as a real possibility.
It’s easy to feel uncertain when you just don’t know whats around the corner. There are, however, some things that stand the test of time. If you have been considering starting up in business, either for a change of scenery from your current job, or maybe through redundancy, there’s no time like the present if you choose wisely. Irrespective of politics or the economy, franchising has an amazingly resilient track record. Each year, the annual British Franchise Association/NatWest Franchise Survey consistently reports that 90% of franchisees trading in that year were trading profitably. That’s an amazing statistic considering almost the reverse is true for conventional business start-ups. In fact 4 out of 5 independent start ups don’t make it past their 3rd year of trading.
The heart of a franchise business is its proven system and, combined with good backup and support, this makes it a very good option for anyone considering starting out in business. The main advantage is that you are starting with a business model that has been proven to work, so you only need to replicate the process to see the same or at least similar results.
Even so, as with any investment, you will still need to invest wisely. Be sure who you are dealing with and make sure you are confident in their operation. Also take advice from industry professionals and you can also contact the British Franchise Association for advice.
Carefully considered, a franchise business can represent one of the best routes to a successful business in the marketplace.
