franchise industry before the model can be slightly confusing. Read Winkworth’s mini-guide to franchising below for a crash course on what to expect." />
child mortarboard gbp briefcase bath coffeecup tree twitter search crosshair fax house papers sort house-pound brochure list-items notes printer video-camera video virtual-video bath bed camera floorplan heart-empty heart-filled heart-empty-thin heart-filled-thin sofa calculator compass share clock list map-pen map-pin pencil save business-card letter phone heard people pointer cross linkedin google-plus facebook arrow-right close triangle-down my-wink my-wink-thick house-circle loading-spinner bell close-circle dog link pinterest school transport wardrobe arrow-up one two three four five six seven tick

Winkworth’s mini-guide to franchising

Franchised businesses have been prominent in the UK since the late 1970’s, however if you haven’t worked in the franchise industry before the model can be slightly confusing. Read Winkworth’s mini-guide to franchising below for a crash course on what to expect.

What is franchising?

Franchising is a contractual partnership between two entities; the Franchisor (a company) and the Franchisee (an individual). The franchisee pays the franchisor an ongoing fee through a percentage of income, and in return the franchisor will provide infrastructure. In Winkworth’s case this means:

  • The trademark
  • Full back office support services
    • Marketing/PR
    • Accounts
    • Recruitment
    • IT and SEO
    • Client and Corporate Services
    • International
  • Ongoing training for all staff
  • Robust software systems
  • Brand awareness and positive reputation

Franchising and the economy

In the latest report published by the British Franchise Association, there has been no better time than the present to join a franchised network. The UK franchise sector is booming, contributing approximately £15.1 billion to the economy and employing over 621,000 people.

Research shows consistent statistics that approximately 90% of franchisees report profitability, with over 97% reporting a turnover of more than £250,000.

Funding your franchise

Potential Winkworth franchisees will need working capital of between £180,000 and £250,000 to invest in their office, and not everyone has that level of funding available.

Most large well-known banks now have dedicated franchising departments who offer financial support to franchisees. Winkworth works closely with HSBC’s franchising team who provide several different ways to help with funding and have the expertise to guide and advise franchisees every step of the way.

Advantages of franchising

Franchising has quickly become such a popular business model due to several advantages.

  • Brand Awareness – Winkworth has been operating as an estate agent in London since 1835 and has been working under a franchised model for the last 40 years throughout the UK, creating a solid reputation and building high levels of brand awareness.
  • Robust business model – Having franchised for four decades Winkworth has had time to learn what works and what doesn’t, refining the offering to franchisees to ensure the majority enjoy long-term success.
  • Support – The staff at Winkworth franchising have over 100 years of experience between them and are there to assist the franchisees through providing all aspects of back-office support. Other franchisees within the Winkworth network are also highly knowledgeable and are happy to guide any new franchisee when they join.

Summary

A franchise is a legally binding agreement between a franchisor and a franchisee. The franchisee pays a small percentage of income to the franchisor in return for services, support and brand awareness. The franchise model is a robust one and with the sector in the UK thriving, now is the time to invest.

Interested in knowing more about owning a Winkworth office?
Contact our New Franchising team

James Campbell | Gina Piper
newbusiness@winkworth.com | 020 7355 0200

Related posts

5 steps to starting a franchise

Are you thinking of joining a successful and established property franchise business such as Winkworth but are unsure of the steps and processes involved? Read on to see Winkworth’s basic five-step guide to starting a franchise.

Read post

October 21, 2019

The Winkworth network

Although each Winkworth office is independently owned and operated, together they form part of a larger, joined up network of 100 offices, united by the same name above the door.

Read post

October 18, 2019

The future is franchising

Since the Brexit vote the property market has remained uncertain and this has been evident in many estate agencies’ declining results over the years. If you look at franchised estate agency businesses like Winkworth however, growth is still happening, mainly due to the model being sustainable even in an economic downturn.

Read post

October 08, 2019

Find your Local Office

Find your Local Office

Speak to people who, quite simply, love their patch and love what they do.

Get a Free Valuation

Get a Free Valuation

Thinking of selling or letting your property, or just interested to know what it is worth nowadays?