Because Puebla authorities don’t act quickly in the event of robberies in businesses, especially restaurants and cafes, franchise owners have been allocating 10% of their annual profits to strengthening security.
The president of the Mexican Franchise Network, Francisco Lobato Galindo, indicated that those who have been victims of robberies on more than one occasion prefer to take precautions, which entails spending on security, “but it is necessary to do so for the peace of mind of customers.”
He indicated that franchise owners who invest have the peace of mind that they will not fall prey to crime again, not only in the capital of Puebla but also in other gastronomic areas of surrounding municipalities.
He emphasized that partners in his sector have taken measures, as having video surveillance systems is not enough; they also hire officers from the state Auxiliary Police or a private company.
He indicated that the safety conditions attract more chains to open a branch, especially in the food industry, since there is a saying that “if it works in Puebla, it can work in any city.”
Self-protection, suggested to franchise owners
He commented that franchisees heeded the self-protection recommendations to ensure the safety of their customers.
In light of this, he defended the franchise scheme for those who want to start their own business, as long as they ensure that the franchise they purchase has more than 10 branches in the city or abroad.
However, Lobato Galindo said that success will depend on the location and type of franchise, with those in the food and beverage sector being the most in-demand.
He acknowledged that there are companies that sell franchises, but “their scheme is dubious, since they offer returns of 10% for an investment of 100,000 pesos to acquire one; Furthermore, they are responsible for operating it in the owner’s name, which is suspicious because they don’t say how they make their profits.”
He explained that no recognized chain offers such returns, since the buyer assumes the full risk of operating the business, as it’s their money, and in any case, all they do is provide support and supply the raw materials to operate.
He noted that in Mexico, only 5% of franchises are in the mature stage, with more than 10 years of experience, while in the United States, the figure is more than 50%.
Source: eleconomista
