Less a parent, more a partner - business relationships between franchisors and franchisees - Franchising Special Guide - includes related article on how to start a franchisee advisory council

Nation's Business, March, 1994 by Meg Whittemore

The International Franchise Association, in its publication How To Organize a Franchisee Advisory Council, offers some advice:

By-Laws

While there is no standard method of writing the by-laws for a franchisee advisory council, they should include at least four categories:

* Who can belong to the council and who can serve as officers;

* When meetings are to be held and who is to pay the expenses;

* Who conducts the meetings and who must be present for a quorum; and

* Who is responsible for the inevitable paperwork.

Membership

Membership on franchisee advisory councils is typically handled in one of two ways: Franchisee members are appointed by the franchisor, or, more often, franchisee members are elected by their peers.

Officers' Duties

The council leadership team needs guidelines like any other organized elected body. The International Franchise Association suggests detailing how many officers will be on the council, how they are elected, their terms of office, and their duties.

Council Agenda

Franchisee advisory council agendas typically include:

* Operations: Facilities, training, operating manuals, communications, and customer satisfaction.

* Marketing: Advertising, promotion, sales training, market forecasting, competition, and market position.

* Finance And Management: Financial operations, standard accounting systems, capitalization, equipment financing, and product liability.

* Products And Services: Product and service improvements and applications, and new-product and service development.

Be sure to take advantage of the experience of past council presidents, and don't neglect to invite your franchisor's top management personnel to your meetings. And create a follow-up mechanism to keep both members and nonmembers informed of the council's activities.

To Learn More

General information on franchising can be obtained from the following organizations:

The International Franchise Association offers a free publication list; write to IFA Publications, P.O. Box 1060, Evans City, Pa. 16033.

For information on franchisee advisory councils, the association offers a booklet titled How to Organize a Franchisee Advisory Council. The publication covers how to organize a council in your franchise system, setting goals and objectives for your franchisee advisory council, the function of officers and committees, and how to set the council's agenda.

The booklet also contains several samples of franchisee advisory council bylaws. It costs $7.50 for members of the association, $10 for nonmembers. To order, call 1-800-543-1038.

If you are interested in getting information on a cross section of franchises, consider attending one of the International Franchise Association's World of Franchising Expos. The Expos, produced by the Blenheim Group in Winter Park, Fla., offer those who attend an opportunity to talk with representatives from

Following are the Expos scheduled for 1994:

   March 26-27: St. Louis
   April 29-May 1: Washington, D.C.
   June 18-19: Long Beach, Calif.
   July 9-10: Dallas
   Aug. 13-14: San Francisco
   Sept. 10-11: Boston (tentative)
   Oct. 1-2: Chicago
   Oct. 29-30: Atlanta
   Nov. 12-13: Dearborn, Mich.