Over time, franchisors have to successfully transform their franchised divisions to accommodate black franchisees in larger numbers. Future growth lies in building a successful brand where perhaps the majority or a large number of the franchise owners are black South Africans.
The old traditional approach to business has died out and unless franchisors also embrace social media marketing and retain their track record of reliable decision-making they too will die out. The industry quickly needs to move to an international standard of reporting on their successful franchisees irrespective of colour, but reflective of the country’s population.
Funding remains of critical importance. The days where funders granted funds willy-nilly to inexperienced young business owners buying an expensive franchised outlet are over. Funders not only put the potential franchisee under scrutiny but also the franchisor as well as the outlet to be sold/franchised.