Development of franchising in Russia. (examples of companies operating in Russia under a franchising scheme)

In Russia, franchising began to actively develop in the mid-90s. According to experts, there are more than 200 successfully operating franchise companies in Russia. A number of well-known Western franchise systems have entered the Russian market and are developing: Alphagraphics, Baskin Robbins, Kodak, Subway, Xerox, etc. Along with international franchising, purely Russian franchising is also successfully developing. Such domestic concepts as “Rostix”, “1C”, “Teremok - Russian pancakes”, “Perekrestok”, etc. have appeared and are rapidly developing.

In 2003, with an interval of less than a month, the III conference and exhibition “Franchising in Russia 2003” and I international exhibition for franchising Buy Brand - “Buy Brand”. These are encouraging signs that this fastest growing method of business organization in the world is finally coming to Russia. In the USA, for example, it has already been called a business revolution and, through 1,500 franchise systems, provides almost 40% of all retail sales goods and services totaling about 1 trillion. dollars per year.

Our European neighbors have a smaller number of franchise systems - about 800 in Germany and about 600 in England. Russia today is already ahead of Denmark, which has 98 systems and 2 thousand franchise points - operators (or “franchisees”). According to various estimates, we have about 120 systems and approximately 5 thousand operators, the main share of which are such developed systems as Lavka Life stores (about 2000), points of sale of 1C software (about 1.5 thousand) and photo services Kodak (1000).

Why is the development of franchising so important for Russia? Today we are looking for ways to accelerate economic growth, with a view to doubling GDP by 2010. World markets are growing at a rate not exceeding 2% per year - this is not the kind of growth that will allow us to achieve this goal. To a certain extent, franchising can also become an economic accelerator, since it is a vertical marketing system that allows you to integrate the interests of large, medium and small businesses, promote domestic manufacturers and their goods, create systems for quality control of goods and services, standards of behavior, and create new jobs. Taking into account the system of long-term franchising agreements, business development planning is achieved, and therefore the achievement of a certain level of protection for small and medium-sized businesses, on which, in principle, further economic growth will depend.

But the particular importance of franchising is that, according to American experts, during the first 5 years of activity, 85% of small businesses go bankrupt, and among franchisees only 14-15%. This is a very good guideline for Russian entrepreneurs.

In the period from 1995 to 1999, the first 22 franchise enterprises appeared on the Russian market. In particular, a number of well-known Western franchise systems arose and developed - "Baskin & Robbins", "Kodak", "Subway", "Xerox", etc. After the default of 1998, some foreign and Russian franchise companies closed. However, other enterprises appeared that actively developed the franchising business. Along with international franchising, Russian franchising is also developing successfully. New concepts such as Rostix, 1C, Perekrestok, etc. have appeared and are rapidly developing. More than 30 new franchise systems appeared on the Russian market during 2002 alone. The growing popularity of franchising in Russia is explained by the understanding of its advantages for entrepreneurs.

When a person opens his own business, he has to face many problems - promoting a brand from scratch, developing technologies. In such conditions, it takes years to achieve a decent result. But at this time, competitors do not stand still, as the heroine said Carroll, « to stay in one place, you have to run" That is why everyone who knows what a franchise is and how it works tries to compare the possibilities of a franchise before investing a lot of money in their business.

• What is a franchise and how does it work? How to buy a franchise and which ones typical mistakes does an entrepreneur do? We will try to provide as complete information as possible.

What is Franchise in simple words

Franchise- this is when enterprises with proven technology and famous brand allow other companies to use their name. In addition to the name, they also transfer other knowledge, such as production technologies, corporate standards, patent rights and inventions. This is the definition of a franchise. in simple words.

The first company that comes to mind when we hear the word “franchise” is McDonald's, but franchising has much older roots. Isaac Singer, inventor of the famous sewing machine Zinger, in 1858, pioneered the concept of franchising. He began selling licenses to distributors in different parts countries, providing them with their own goods and training personnel.

According to the formal definition, a franchise is permission to a legal entity or individual to use the benefits franchisor. In this case, the one who acquires this right is called franchisee, and the whole business model is called franchising.

Sometimes this right is transferred free of charge, but more often franchisee obligated to pay for the benefit received. The fee is divided into two parts:

1. Lump sum payment. A one-time amount that is transferred upon concluding a franchise agreement.
2. . Monthly or annual payment.

Each franchisor company develops its own conditions, which may differ significantly.

• In Russian legislation there is no concept of a franchise. Chapter 54 of the Civil Code of the Russian Federation introduces the definition commercial concession, according to which the transfer of a set of benefits by the copyright holder takes place.

The aforementioned fast food restaurant chain owns less than half of 36,000 restaurants; most are open under franchising conditions. grants the right to use its famous brand, logo, menu, and so on. Businessmen who own restaurants, in turn, pay fees (royalties), which are calculated as a percentage of sales.

This is the basic trade-off in a franchising relationship. Franchisor ( in this example McDonald's) allows other people (franchisees) to use the business model and brand recognition, and in return receives a percentage of the turnover.

What is royalty and lump sum in a franchise?

One of the most frequently asked questions is how much does it cost to open a franchise business? You can estimate costs at the stage of choosing a franchise.

A down payment in the form of a fixed amount is called lump sum, periodic payments for continued cooperation – royalties.

In exchange for the right to use the franchisor's name, product or technology, some or all of the following fees are usually required:

• Lump sum payment– an initial non-refundable franchise fee. The size of the amount varies greatly, but the tendency is this: the higher the degree of brand recognition, the more expensive it is to enter “under the wing” of a strong company.
• are paid on a regular basis ( monthly or quarterly) during the term of the contract. A kind of membership fee, essentially. Fixed amounts or percentages of gross sales - options vary.
• Tuition fee– some franchisors include training in the lump sum price, some include it as a separate line item.
• Advertising fees contributed to the advertising or marketing fund of the parent company. This money is spent on TV and radio advertising, development and printing of POS materials (booklets, posters, leaflets).
• Franchise renewal (renewal) – fee for renewing the franchising agreement.

Large franchisors often develop several schemes for entering a brand. Taken into account preliminary calculations payback and profitability for a specific region.

For example, the franchise 220 volt» is transferred free of charge, but the partner undertakes to purchase goods only from the franchisor.

Types of franchises

The word franchise translated from French means " benefit" As you know, there are different benefits. Depending on how different franchisors allow you to use their name and what they offer in return, there are three main types:

• business franchise;
• commodity;
• production.

Business franchise

What is a franchise in business format? This is the most common type of relationship in which the franchisor offers an established business, including a name and trademark, independent entrepreneurs. A good example restaurants of this type fast food. The franchise catalog presents long-established brands - Papa Johns, Coffeeshop Company, and new ones – “ Food from the Champion", bar " Honey, I'll call you back».

The franchisee receives assistance from the parent company in the selection, layout and design of premises, recruitment and training of personnel, and development of the marketing component. Lump-sum fees and royalties vary greatly, sothat it is necessary to carefully look at the conditions of each specific company. This type of franchise is often called a “turnkey business”, since the franchisee receives almost everything necessary to open their own business.

Product franchise

The franchisee receives the right to distribute the product manufactured by the franchisor. Well-known product franchises are, for example, any other car manufacturer, some brands of clothing and shoes: Incanto, BAON, ALBA.

This type of franchising often involves no licensing fees. The franchisee is required to purchase a certain volume of the franchisor's product or range of products. And he provides national advertising campaigns, provides a logo and a trademark.

Manufacturing franchise

The manufacturer grants the right to produce and sell goods using its brand and trademark. This type is widely used in the food and beverage industry, for example -.

Another technical point, which is important to understand when looking for suitable idea for investing money. The rights that a franchise agreement provides vary greatly in one case or another.

What are the franchises?

• Direct franchise– the franchisor grants the right to open one enterprise in a specified location. The oldest and most simple form relationships. The disadvantage is this: if the franchisee has the desire and ability to open additional points, each time a new agreement and new cash contributions are required. That is, using the example of a clothing store: it is impossible to open another store without coordinating the issue with the parent company and without paying a lump sum fee.
• Multi-franchise– the buyer receives the right and obligation to launch a certain number of production/sales locations in a certain territory for a fixed period of time.
• Master franchise is similar to the previous paragraph, but has one significant difference: the franchisee receives the right and obligation on his own behalf to sell the franchise in the territory approved by the agreement. The master franchisee becomes the franchisor in his region.

Let us emphasize once again: in the last two versions of the franchising agreement, rights and obligations are provided.

If the franchisee does not maintain the contractual pace of development and expansion, this is punishable by: termination of the contract, penalties, transfer of exclusive rights to another businessman, etc.

In addition, there are the following types of franchises:

• Free. The franchisee receives the right to use the brand, but his actions are not controlled by the owner of the rights.
• Silver. In this case, the company opens a branch, organizes its activities and only after that sells the right of temporary use.
• Golden. Transfer of monopoly rights to conduct business under the brand of the copyright holder in a certain region. The buyer of a gold franchise decides for himself how he will use the name and develop the business.
• Import-substituting. This scheme is somewhat reminiscent of plagiarism. A businessman works in the country under the name of a well-known company, but does not pay royalties to it. How is that " Adidas" And " Abibas", the names are similar and there is nothing to complain about. However, such a business has nothing to do with the original brand.

The Civil Code requires that every commercial concession agreement be registered with Rospatent. In this case, the franchisor must first register its trademark and technology there. It is theoretically possible that McDonald's will miss the re-registration deadline, then any entrepreneur will be able to register it.

Almost every industry has successful, established business practices. Franchises of retail stores, beauty salons, fast food restaurants, manufacturing facilities and many others are for sale. For convenience, we have compiled some popular brands into a table - a mini-catalogue of franchises.

In the pursuit of profit, it is important to strive not only for immediate benefits. Ray Kroc, the founder of the more than once mentioned McDonald’s chain said:

"If I had a brick for every time I said 'quality, service, cleanliness,' I think I could cross the Atlantic Ocean."

What should be in the contract

A typical franchise agreement consists of several hundred pages. About, what is a franchise in simple words It’s hard to explain, and it’s even harder to do it on paper. Therefore, without legal support, a businessman will not be able to understand the intricacies. For example, the Civil Code contains the following norms:

• The duration of the contract does not have to be specified. But if there is one, we need to agree on the terms of the extension.
• Only legal entities and individual entrepreneurs have the right to be parties to the contract, individuals this is not available.
• The agreement cannot be concluded in any form other than written.
• The franchisor is obliged to teach its own technologies not only to the franchisee, but also to his employees.
• The franchise buyer must comply with all requirements of the seller to ensure product or service quality.

The contract specifies control technologies, whether secret shoppers, passing exams or visits from inspectors.

How not to fall for the bait

Upon entering the franchisor’s website, the visitor blossoms with delight. And the investments are minimal, and the support is comprehensive, they promise bonuses and entice with gifts. This is all located on a one-page website.

When it comes to signing a contract, a businessman finds a document in front of him on a hundred pages. This is not an exaggeration; this is exactly the size of a standard contract. Moreover, it was compiled taking into account the interests of the franchisor. The franchisee must take care of how the franchise works and how it protects him on his own. Even if at first glance the offer seems tempting, you should only believe the agreement written on paper.

When concluding a contract, it is worth engaging a lawyer; his fees will be repaid many times over in subsequent savings. If you make your additions to standard contract It will be difficult with McDonald's, then you can insist on canceling or changing several points in the agreement with a lesser-known company without any problems.

What questions should you ask the franchisor?:

• When did the franchisor start selling the franchise? If the franchise is young, and the results of the franchisee’s activities are not yet clear, this is another reason to think about it.
• Is the business financially successful? Having seen the results of activity over the past three years, you can roughly navigate the prospects of your own business.
• How many franchisees have closed? The percentage of successes and failures is not a theory of probability, but specific numbers that give an idea of ​​​​the chances.
• What support is provided? Assessing premises, training staff, calculating payback, advertising and promotion in a new region? What does the franchisee get besides the brand?

The short list of questions can and should be supplemented by questions that arise during the study of the proposal. And most importantly: business is not a statue carved in stone, everything flows and changes.

Pros and cons of a franchise

A business system that has been time-tested and tested more than once in different regions is the undeniable and main advantage of buying a franchise. Do you want to score big on your own or copy the experience of a successfully developing and competing company?

Arthur Bartlett, founder Century 21 Real Estate: “Franchise became the savior of free enterprise, it gave small businesses a chance to survive...”

Yes, franchising a business does reduce the risk of failure. Not as significant as the advertising brochures of interested companies promise, but still. US statistics confirm that 90% of independent business projects fail within the first three years.

Compete with big business individual entrepreneur- difficult task. A recognizable brand and special terms of cooperation are an obvious advantage that a franchise gives.

“The world does not stand still. We don't deserve to be where we are if we don't get ahead of the curve and take action. necessary measures to remain competitive," Fred DeLuca, founder Subway.

The franchisor provides proven business technologies that are constantly being improved: advertising, marketing, administrative support. Lack of knowledge and experience is not a problem - the franchisor provides training for the franchisee.

In many cases, the franchisee receives exclusive territorial rights, a monopoly on the allocated area. Of course, under the franchisor's trademark. If the brand is successful and recognizable, it will “crush” competitors in the niche.

• The sad fact is that some franchises achieve 80% failure rates, while others experience almost no failures.

Before signing an agreement, you need to carefully read the statistics: how many projects are successful, how many were closed. Communicating with the franchise owners is not the last thing; you don’t need to waste money and time on this point. Openingfranchise may seem in a simple way launch your own business. But some factors are not striking, and the idea is so tempting that the potential franchisee steps on the rake of unsuccessful predecessors.

Franchising is not a flexible method of doing business. The features of a particular location, which the franchisee clearly sees and understands, are often not obvious to the franchisor. Make changes to the business format, offer additional discounts to customers, select products in accordance with customer tastes ( V retail store, For example) – not always possible.

If an agreement is signed obliging the franchisee to expand the network, the business is obliged to work well and bring profit to the franchisor. Failure to comply with agreements is a reason for the franchisor to refuse cooperation without compensating any damage to the franchisee.

Instead of output

You can already understand what a franchise is in simple words - it is an agreement that allows one of the parties (the franchisee) to sell a product or service using a trademark, marketing strategies and technologies to the second party - the franchisor.

• Franchising is a progressive method of doing business that benefits both parties.

During " catch the stream" And " collect the cream"on a new trend - the dream of any entrepreneur. However, here it is better to do the opposite. You need to look for a franchise that has already proven itself. Sustainable growth and a low percentage of failed franchisees are the only indicators you need to focus on.

Marriott, founder of the hotel chain: “My life experience shows that success is never final. We make decisions on the way to the final result.”

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Franchising is the most the best tool business development around the world. With its help, numerous networks of enterprises are spread across the planet, which, with their own development, would not have such a chance of success. You don’t even think about how many franchised businesses there are around you. Come on, let's walk down the city street and look at examples of franchising, and at the same time evaluate the successes of these corporations working according to this system.

The most striking example of franchising is the Subway fast food restaurant chain, which has more than forty thousand outlets in more than one hundred countries around the world. The network, which opened in 1965, today has a turnover of more than ten billion dollars a year.

But the largest franchise is not the best; according to the Franchise 500 rating, the first place went to Anytime Fitness, which is a large chain of fitness gyms growing at a wild speed. Having existed since 2002, the number of open gyms at Anytime Fitness has surpassed the two thousand mark. However, if we take into account the boom that has broken out all over the world to lead a healthy lifestyle and have a beautiful body, then there is nothing surprising in such a rapid pace of development and success. This network doesn’t exist in Russia yet; our entrepreneurs don’t want to bet on a foreign fitness franchise yet; we have enough of our own. In India, businessmen, by the way, think differently - there are already three healthy lifestyle points working there.

In Russia, one of the most famous franchises is again a fast food establishment, and this time we are talking about McDonald's, which is in 72 cities. In cities where it is not there, everyone knows about it, thanks to the large number of advertising on television.

Well, we’ll leave the junk food and walk further down the street and we can easily find the Pyaterochka retail store, where many people buy food for the home. You can buy a franchise from this network, but from almost four thousand stores, three and a half thousand of which belong directly to the company itself, and not to the franchisee.

The most successful franchisees are connected to everyday human needs. One of these needs is ordinary communication. And in the era modern technologies communication often occurs through cell phone, which for more than ten years has been for every person not a luxury, but a necessity. And you can build on this good business by purchasing a franchise of the mobile operator MTS, which is located in every corner of vast Russia. More than a thousand franchisee stores are already selling mobile phones, provide services for payment of communications and conclusion of contracts.

Lukoil

Car owners have probably seen Lukoil gas stations. You can easily purchase their franchise and open a gas station as a franchisee, the organization of which in a successful location will bring you a solid profit due to the promotion of the brand. Is it true, prerequisite is having experience commercial activities. There is no way for a novice entrepreneur to go there.

The number of cars in large and small cities is simply growing geometric progression. And they all need to be fueled. Car owners simply sleep and see that all gas stations sell high-quality gasoline. It is not this dream that Lukoil is building its business. Related services and goods also bring significant income. In big cities it can reach up to 50 percent. Drivers are willing to pay extra for the brand. Maybe, big role plays and is good advertising company Lukoil. That's why franchises are especially popular. It is easier to pay a small percentage of income than to promote a new brand in a market where almost all niches are already occupied. Thus, Lukoil already has about 200 franchise gas stations and only two dangerous competitors. These are TNK and Rosneft.

Planet Fitness

A healthy lifestyle is sweeping the planet. Fashion for sports captures the minds of humanity with no less force. Therefore, fitness clubs appear that offer their services at very reasonable prices. Consequently, their clients include both housewives and young mothers who have a minimum of available funds at their disposal.

Pyaterochka

As you know, everyone wants to eat. A lot of money has always been made on food products. But competition in the food market is enormous. And Pyaterochka is a chain of well-advertised medium-sized stores. Almost every city can afford these. Moreover, supermarkets are extremely attractive to consumers. Many people are happy with the opportunity to buy everything necessary products In one place.

Rostix

Essentially, this is a fast food chain. Such establishments are especially popular in megacities due to the high employment rate of the population. Rostix - fast and inexpensive. Just a dream for any representative of the office plankton (no offense intended), which makes up the majority of the planet’s population. But, despite such a prevalence of franchise companies, it is believed that in our country franchising is in its infancy. And it “exits” only due to the above-mentioned popular franchises. By the way, McDonald's never decided to sell its franchises to the regions. But this is so, a reason for reflection. Let's hope for a bright future for franchising in Russia.

These are just a few examples of franchises that have achieved success. In fact, there are many more of them. If you have already chosen a franchise, then you should also think about how things are going with opening a business with the help of a franchisor. You should also know about all the features of franchising in Russia, otherwise you may end up in trouble.

Franchising in Russia, examples

The concept of franchising, which has already become firmly established in everyday life, has become practically synonymous with successful entrepreneurial activity. In various literature and media you can find detailed descriptions and options for reliable strategies, as well as real stories about successful franchising in Russia.

For every inexperienced businessman, such a development seems like a bright fairy tale, capable of illuminating a mortal existence and lifting it to heaven and independence. Established business with famous name, as well as a professional assistant in your own market - this is a great opportunity, according to many. They are also not embarrassed by the sometimes significant lump-sum and initial fees, since it is believed that this is a completely normal price for a steadily developing business. Since the twentieth century, franchising has become a reliable investment for entrepreneurs, capable of giving them unimaginable heights. The idea of ​​growing a business and increasing capital is becoming dominant in the minds of young entrepreneurs.

However, when it comes to franchising in Russia, examples of ideas become more down-to-earth. At first sight significant differences There is no difference between the Russian version and the global management of franchise networks: the same business scheme and development history are still the same. But at the same time, Russian franchising is not as ready for open communication as in the American economy. In addition, the growing wave of fraud related to franchising transactions has given Americans the opportunity to use a more stringent instrument for regulating these relations.

Russia, on the other hand, does not have uniform standards and clear structured laws governing franchising as a business sector. This is what allows each manager of an enterprise that sells its own franchise to enter into the contract everything that he considers necessary, with additions and corrections from consultants. Thus it turns out individual development for every company that is flourishing more and more brightly, thanks to the imperfections of Russian legislation.

However, between the franchise of a successful company or own business difficult to do universal choice. This rather difficult question is asked every day by many companies and aspiring businessmen who try by all means to achieve desired result. Unfortunately, it often happens that the disadvantages of franchising in Russia, which are dismissed at first, in the near future become more significant than the advantages. But this absolutely does not apply to the BetonBaza company, which offers its partners favorable franchise conditions. If you consult with the company’s specialists and also study the contract, you will see that such a proposal is really worth taking into account. Great Opportunities will open to everyone after purchasing a franchise of one of the best construction companies in Russia.