1. WELCOME…
Today’s webinar will begin at 11am
Sydney time
WHAT WE’LL COVER…
Presenter
Kate
Presenter
Peter
• What are the ‘7 Things’?
• How to identify risks
• Practical business tips
This material may not be
reproduced without permission
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2. GETTING TO
KNOWYOU
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3. Poll #1
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4. THE ‘7 THINGS’ SURVEY
Why we did it
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5. There are significant costs when a business has
financial difficulties



Financial
Time
Human
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6. THE ‘7 THINGS’ SURVEY
How we did it
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7. 


1,100 people invited
Written responses
Varied backgrounds
• Accountants, Insolvency Practitioners
• CEO’s, Senior Managers, Field staff
• Franchisees
• Lawyers, Bankers
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8. INSIGHTS
• Identified 7 key themes
• Produced a report
APPLICATION
• Workshops
• Business Tools
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9. HERE THEY ARE ..
The 7 Things that can
send a franchise broke
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10. #7
NOT RESPONDING
TO CHANGE
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11. “They still do the same things that worked
for them prior to the GFC...
…the market has changed significantly
since then.”
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12. • Consumer behaviour
• Competitors
• Costs
• Regulations
• Demographics
• Business finance (availabilty, cost)
• Your personal situation
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13. #6
DIFFICULT
CHILDHOOD
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14. No matter how much due diligence
you do…
Reality turns out different from what
you expected.
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15. 
Financial results different
• Cashflow
• Costs
• Profit

It’s not easy to run a business!
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16. #5
LACK OF
BUSINESS RIGOUR
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17. Poll #2
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18. People don’t usefinancial
information the way we think they
do.
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19. “I really don’t understand what the
accountant is saying to me.”
“…It’s expected they know this
stuff, but no one shows them or
explains it.”
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20. 


Hold regular business meetings
Have up to date financial info
Use financial & non-financial information
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21. #4
PEOPLE DO
‘CRAZY THINGS’
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22. “They’re mad..!
They spend all their money on toys!”
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23. 



Improve daily lifestyle
Take a holiday
Buy a new house, car, bike, boat
Invest in shares, property, 2nd business
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24. “Extra commitments taken out against the
business in good times…
…cause financial stress in a downturn.”
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25. 


Financial commitments increase
Additional financial burden makes business
harder
There’s an impact on:
• Marketing & sales
• Service
• Costs
• Morale
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26. #3
NOT ENOUGH
SALES
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27. Poll #3
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28. “Any person in business is selling
something.
…Most people have little or no
training - or experience - in this area.”
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29. 




Over reliance on marketing
Don’t know how to sell
Don’t know how to teach people to sell
Staff not trained
Staff turnover
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30. #2
PRIDE &EGO
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31. “I can sum it up in one word…Pride”
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32. 


Business owner wants to be successful
Things don’t always go as planned
Don’t know who to talk to, or how
• Might feel embarrassed
• Not sure what to do

So they put off the conversation
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33. 
Pride can
• Blind us to weaknesses or threats
• Stop us from listening
• Stop us from taking advice

But we all need help sometimes!
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34. #1
CAN’T PAY
THE BILLS
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35. 


Income too low
Costs & expenses too high
Didn’t see upcoming commitments
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36. That’s why it’s so
important to
LOOK AHEAD!
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37. Activity
Current
Financial
Position
$
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38. Tomorrow’s
Actions
Future
Financial
Position
$
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39. WHERE ARE THE
RISKSIN YOUR BUSINESS?
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40. Poll #4
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41. 






Not responding to change
Difficult childhood
Lack of business rigour
Doing ‘crazy things’
Not enough sales
Pride & ego
Can’t pay the bills
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42. SMART FRANCHISE
TIPS
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43. 1.
2.
3.
4.
Know where you want to go
Set sales targets
Hold regular business meetings
Monitor financial results monthly
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44. QUESTION TIME
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45. www.smartfranchise.com.au
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