6 KEY CONSIDERATIONS TO GET FRANCHISE BUSINESS OVERCOME COVID-19 EFFECT
With the very inception of pandemic COVID-19, all the franchise business organisations (including medium and smaller ones) have been facing a topsy-turvy situation worldwide. During this difficult time, all the accounting franchisors have an important role to support their tax and accounting franchisees, who will be managing the immediate concerns including staff contaminations, minimising the spread of the virus and elevating the standards of hygiene in every office.
From the business point of view, the key thing for accounting franchisors has to provide proper guidance that helps franchisees keep their business up and running and simultaneously, protecting the health of their employees and customers as well.
Brand reputation is one of the major considerations for the franchisors. However, being prepared for the worst is the best way to manage and minimise any negative publicity and the resulting financial burden this could bring to the business.
So, franchisors can lead on this. Ensure that your franchisees are planning for possible impact to their business and people and implementing ways to prepare for the spread of coronavirus. Hope for the best, but plan for the worst.
Every business is different but some common principles and questions will apply:
Consider any requirements to ensure business continuity, assess key business risks and what mitigations can be implemented. This includes assessment of potential economic impact from the combination of bushfire, reduced tourism and potential shortages of labour in the event of illness or need to isolate as a result of coronavirus or a severe winter flu epidemic.
Develop strategies and contingency plans in the event that critical employees are required to isolate or become ill, including planning to manage workload?
Review or develop a crisis management plan
Consider how will the outbreak affect franchisees’ travel requirements and supply chains?
Would rationing popular items help prevent customer stockpiling of groceries and health products?
Do franchisees have set processes in place for managing hygiene? For example, we would recommend regular cleaning of hard surfaces and door handles, and ensuring supplies are in place to support personal hand hygiene.
As ever, communication is key across the piece. We would recommend preparing policies which cover all aspects of crisis management. These can be given to franchisees then adapted if necessary, to suit particular requirements, so that the franchisees and their staff all understand their rights and responsibilities.
Above all, think positive. Every crisis brings an opportunity to retrospect. This is a chance for franchisors to demonstrate support for their franchisees, strengthening the relationship for the future.
For any enquiry over COVID-19 you can call ‘Coronavirus Health Information Line’ on 1800 020 080
