Awards for Excellence in Franchising winners announced

According to Vera Valasis, FASA’s executive director, the Awards are the industry’s way of acknowledging the franchisors and franchisees that are still climbing the ladder of franchise success and aspire to reach the heights of the icons in the industry. They serve as examples to those that are still growing their brands.

“This year’s franchise entrants reflect the pockets of excellence that we find in a range of business categories – even in tough economic times,” says Valasis. “There are always businesses that do well in tough times or are able to find a ‘niche’ that sets them apart and those who, by default, thrive on the back of challenging conditions.”

Winners list

• Franchisor of the Year - Car Service City is proof that the automotive services industry has benefited from motorists repairing rather than replacing cars. The growth of its brand is reflected in its reputation and accountability to customers, franchisees and employees. Runners up were Kauai and Sorbet.

• Franchisee of the Year - Madelein Van Staden of Placecol Skin Care Clinic in Pretoria. Runners up were Jaco Uys of Roman’s Pizza, Groblersdal and Kalai Moodley of Perfect 10, Ballito.

• Newcomer Franchisor of the Year - Body20 helps time-strapped people get the equivalent of five conventional weight-training sessions in just 20 minutes with its EMS fitness system. Runners up were Sherpa Kids and Rocomamas.

• Franchisor: Leading Developer of Emerging Entrepreneurs - Hot Dog Cafe, a pioneer in developing government funding programmes that nurture entrepreneurial ownership, skills transfer and job creation. Runners up were Choprop and Sherpa Kids.

• Job Creator of the Year Award - Sorbet, the beauty salon group that employs 2,400 people in its 177 outlets – many of whom are trained through the Sorbet Empowerment Foundation, an upliftment programme committed to building skills and job creation. Runners up were Car Service City and Hot Dog Cafe.

• Brand Builder Of The Year - Kauai hit the target with stores in 93 Virgin Active Health Clubs and partnering with Discovery Vitality and Discovery Insure through rewards programmes, apps and newsletters. Runners up were Perfect 10 and Placecol.

• Best Field Service Consultant - Nanou N’sa of Hot Dog Cafe wins this award and a trip to the US International Franchise Association’s Convention and Exhibition in 2018. Runners up were Navin Sawnarain of John Dory’s and Eric McDermott of Rocomamas.

Entrepreneurial, flexible business model

Commenting on the finalists and winners in the categories, Tony Da Fonseca, FASA’s chairman for 2017/8 and MD of the OBC Group, believes that the industry’s saving grace is that franchising is entrepreneurial, flexible and forward-thinking. “Despite the on-going recession that is impacting heavily on small businesses, the franchise sector continues to be resilient and offers its franchisees a better chance of surviving the ups and downs – largely due to the strong business format and support system inherent in franchising.”

According to FASA, franchising has proved to be a much lower risk investment than starting a new business, with the company's survey, sponsored by Sanlam, showing that whereas 93% of new small businesses fail within two years of start-up, only between 5 and 7% of franchised businesses fail.

"The business model of franchising is globally one of the soundest business methods and in South Africa has grown to 757 franchise systems with a network of 31,111 franchisees, employing close to 400,000 people and contributing 11.6% to South Africa’s GDP," said the company.