The Modern Accountant's Franchise
19. Is the business seasonal?
20. When is the best time to open?
21. What fees do you charge?
This information is provided in our prospectus.
22. Do you take any commission on supplies of goods or materials to a franchisee? Do I have to purchase all or just scheduled items from you? Does this apply to equipment?
No, we establish accredited suppliers to help ensure that franchisees get optimal support. You will have to purchase goods from our accredited suppliers and this will apply to some of the Start Up equipment.
23. Will I be obliged to maintain a minimum fee or minimum purchase of goods? What happens if I fail to meet this commitment?
You do not need stock. You will be paying to us, on a monthly basis, a Management Service Fee of 9% of your sales (ex VAT). The Franchise Agreement that you will sign will outline what would occur should you fail to pay the MSF, as you would be in breach of that Agreement. However, we would not wish you to fail and so we will be discussing your sales achievements on a regular basis.
24. What advertising and promotional expenditure do you incur?
There is a National Advertising and PR fund that we will be contributing into, as you will as well. Your contribution will be 2.5% of net sales with a minimum Fixed Fee of £3,000. This fund will be placed into a separate bank account and will be audited annually and the results submitted to you.
25. Do I have to contribute to it, if so how much?
As detailed above.
26. What initial services do you offer?
We will be assisting you to establish yourself in this business.
27. Do you train me? Who pays for my training? Where do I go for training?
Yes we do train you and this is covered within the training fee. You will be trained at our offices by our staff.
28. What continuing services do you provide after the business has commenced?
As said earlier, we will be monitoring your sales and stock levels. We will also be visiting you on a regular basis in order to discuss your business and any problems that you may be incurring as well as your future plans to develop the business within your territory.
29. May I have a copy of your franchise contracts?
Yes you can should we mutually agree that we wish to proceed.
30. Does this contract permit me to sell my business? What restrictions are there affecting my rights to sell the business?
Yes the contract does allow you to sell your business. However, we must approve the purchaser. We too will look for a suitable purchaser on your behalf.
31. For how long is the franchise granted?
Your agreement will be for five years at which time you may renew your contract with us should you wish to do so – providing that there have been no material breaches of the contract.
32. What happens at the end of that period?
Answer as per Question 31.