FAZ would be a trade association for franchisors, franchisees and professional organisations that service the needs of the franchise sector. According to a proposal circulated to the membership, ZNCC said with franchising now universally accepted as one of the most successful business formats, the role of FAZ would be to continually promote the advantages of franchising both to business entrepreneurs, to prospective franchisees and to the public at large.
This has been necessitated through the realisation that business format franchising, although the safest way for many to acquire a business of their own, is open to abuse by unprincipled or reckless operators, said ZNCC. The business body said a franchise association provided a forum for franchising companies to discuss emerging issues in a franchise system. Many Zimbabwean entrepreneurs are eager to open new businesses or expand by opening new outlets throughout the country. ZNCC said franchisees and franchisors could use an association to effectuate buying cooperatives, advertising co-ops, or other benefits of economies of scale.
Other reasons for establishing the FAZ have been noted as the need to protect franchisees and franchisors rights and investments and the issuing of guide-lines according to which sound franchise schemes should operate.
Post published in: Manufacturing