Archive for October, 2014

So how do you choose our accountant?

October 14, 2014

All Things Financial

Cost? Reliability? Accuracy? Compliance? Speed of delivery?

The temptation of course is to go for reliability and accuracy as your determining factors, with obviously cost as a significant factor and compliance equally important, but a given. Speed of delivery is important, but not the determining factor. Reliability and Accuracy usually sway most towards the high street accountant, the local chartered accountancy firm, whose staff and employees will generate your accounts reliably, accurately and compliantly. What they will do, is follow both the rule of law, ( the companies acts and taxation laws) in strict compliance, and their own governing bodies accounting conventions. There is absolutely nothing wrong with that. In fact, this is the right way (but not the only right way!), the correct way to get your year-end accounting statements prepared for Companies House and HMRC. But is it really what you need?

We are a very important and growing part of UK PLC. We are a very important and…

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Franchise audit – 6 good reasons to start auditing today.

October 14, 2014

An older post, but still just as relevant…

All Things Financial

Why should you outsource your franchise auditing?

1) Improved Revenue and Profitability. Auditing encourages your franchises to declare their revenues correctly; where previously you may have missed out on fees and profit.

 2) Outsourcing to a trusted and professional business partner, takes away the contradiction between you and your franchisees. We carry out the audit, as per the franchise agreement, allowing you to carry on supporting your franchise network, without the ‘we don’t trust you contradiction.’

3) The temptation to generate additional undeclared income for a franchisee is enormous, especially in these troubled times. It they know you are watching them; they are far less likely to try to defraud you.

4) The benefit of a partnership between the auditor and the franchisor creates a greater understanding of the requirements of both the franchisee and the franchisor. The auditing process frequently highlights areas where improvements can be made to the…

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How can we make Franchise/Royalty auditing more attractive to franchisees?

October 10, 2014

Let’s face it. If you have come to the decision to either audit in-house or appoint external auditors to visit your franchisee or franchisee network, it is usually for a reason. Unless of course, an annual, or periodic or end of term audit is programmed into the franchisees agreement and explained in clear, concise terms during the franchise recruitment process. But how can it be a benefit to the franchisee? Most will see it as an intrusion to their business and a 1984 approach to ‘watching’ how you are doing.

auditThe benefit to the franchisor is clear; quite apart from identifying undeclared or missing sales from which royalty revenue can be derived, but also to seek out trends where the franchisee or network as a whole are going wrong plus of course making the network feel as if you are watching them. For the franchisee it needs to be seen to be ‘support’ rather than ‘watching’. Will there be a material benefit to them for actively and voluntarily participating?

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