I am truly a teacher at heart. My first job out of college was working as an elementary school teacher. The traits that helped me be successful in that career have helped me run my company, Just Between Friends Franchise Systems, Inc.
– which is North America’s leading children’s and maternity consignment sales event. So when a friend from the Tulsa Regional Chamber asked me to speak to 3 rd
graders at a local elementary school –the SAME school my kids attended – I jumped at the chance! Let me begin by saying that my faith in our future generations was validated during my presentation. These kids were attentive, inquisitive and just downright smart. They caught on quickly. My topic is something I know well: Franchising. Full disclosure here: when I first ventured into the world of franchising with my company in 2003, I knew nothing – absolutely nothing –about franchising. So I set out to learn all I could beginning with the book Franchising for Dummies.
(yes, there is such a book) I have come a long way in the past 13 years and have learned a lot building my company, so again I was thrilled to share it with the students – and now with you. After reviewing my notes with a colleague, she suggested I share it in my blog. Here it is: Shannon Wilburn’s Franchising 101 (or perhaps I should call it Franchising for Dummies, part 2
). I began by reviewing the key roles and their responsibilities Franchisor: Sells a “business in a box” to people in a specific territory. They must provide the following:
Franchisee: Runs the business in his or her territory and pays the franchisor.
- Franchise fees
- Royalties or ongoing fees
- They pay for the ability to use the services the franchisor provides
- Makes its services/product available to customers by marketing to their “target customer”
I explained to the students how Just Between Friends has two target audiences or customers: shoppers and consignors. Target Customer One: Shoppers Our shoppers are the families that shop at our consignment events and pay money to the franchisee who owns and operates the sales event. Target Customer Two: Consignors Our consignors are the individuals that sign up to sell their items to Just Between Friends’ customers. Consignors prep and price their own items and bring them to our consignment sales. JBF franchisees and their staff handle the rest of the work. The consignors earn between 60% and 70% of the sale price. The rest goes to the franchisee. If there are unsold items, the consignors can pick them up at the end of the event or they can choose to donate them to the franchise’s charitable partner. Charitable Partners At Just Between Friends, giving back is a big part of what we do. Each franchise supports at least one local charity with cash and in-kind donatio n. At JBF, our consignors and their families have donated more than 15 million in cash and in-kind donations to charities in communities where we have franchises. If you are interested in learning more about franchising, feel free to reach out to me at Shannon@jbfsale.com or check out the International Franchising Association’s website at www.franchise.org. To find out more about the JBF franchise opportunity, please click here.