Accountancy adapts
they were concerned about what was going on. As it was a family business they felt a little let down.”
The business was then purchased by a group of stakeholders who’d been in business since 2011.
Stanton moved up from her franchise support role to take on the general manager position.
Admitting the changes have rocked the boat in the past, she points out now the set-up is reliant on a team with brand longevity.
“The culture of the national office is very strong. Everybody gets a little bit nervous but we’ve treated the office as a business in itself. And franchisees never missed a beat.
“The previous owners lost direction a little … but we rescued the franchisees, we’re here and listening.”
The new management team focused on transparency and won back that trust.
“You have a sense of obligation to their future. They’ve entrusted you with everything to be successful. You take a lot of that on board.”
Inevitably, new management meant a new way of working, and embracing change. The pace of change proved too much for some franchisees, who left the business. However, Stanton insists those who did leave are still great advocates for the brand and joined in recent 20-year celebrations for the accounting network.
LOOKING AHEAD TO CHALLENGES
The franchise has looked beyond traditional bookkeeping services to help franchisees stay competitive in a crowded accounting marketplace. First Class Accounts franchisees are now able to offer business consulting.
Upskilled franchisees will always have more opportunities to be an asset in a b usiness.
The pace of technological change has ensured First Class Accounts is cloud-based and automated, and that puts the brand in a s trong position to provide relevant support for clients who are themselves battling with constantly changing rules and requirements.
From bookkeeping through to cash flow management, massive changes in payroll, HR issues related to certain industries … all these can be handled by
franchisees, easing up the pressure on their clients.
Of course, when sudden and unexpected changes such as the coronavirus crisis impact the business community, the ability for franchisees to respond swiftly and guide clients through constantly changing situations is invaluable.
Franchisees were once predominantly mums with previous bookkeeping experience; today a typical First Class franchisee can be a bookkeeper but they are increasingly certified practising accountants.
“We train best practice in bookkeeping but we get bookkeepers who want to join the brand for the support and the up-to-date information. CPAs come in too, and they are a bit more advanced with debtors and creditors.”
The key to success is for franchisees to focus on the clients rather than on themselves and their business.
“Software partners are getting more advanced, all going into other spaces, they talk about being tech partners, they are changing. So our bookkeepers keep up to date so they can tell what’s right for their client. There is always something that can improve efficiencies.
“We align ourselves with the leaders in these industries. We can get our franchisees involved in beta testing of products. That
encourages business owners to think ‘First Class Accounts franchisees are experienced so let’s use them’.”
Franchisees can start, and remain, single operators, or build up to an officebased business with employees, turning over about $3 million.
They are backed by the support of an experienced national team with the brand’s major partners delivering relevant system training.
First Class Accounts also helps franchisees with office set-up
While franchisees are encouraged to build their business slowly to ensure everything is in place before they take on employees, increasingly the network is seeing more franchisees hiring staff, perhaps just to manage the BAS.
Franchisees can also outsource work to other franchisees in the network.
ATTRACTING FRANCHISEES
First Class Accounts takes on about 20 to 25 new franchisees a year, a cautious number that Stanton believes keeps the momentum of the brand without overloading the marketplace.
Training and support is crucial.
“We just want to have great bookkeepers, great branding. Every franchise relies on sales to help business growth, we want to put all our energies into keeping franchisees profitable, keep retention going.”
Stanton points to an “extremely good retention rate” with three five-year terms on offer. She believes franchisees stay longer in the business because fees are reduced over time.
“Because the draw on head office is in the early years, service fees are reduced. It's user pays and we just have an admin fee on renewal.”
So could you be the next First Class Accounts franchisee?
Stanton is looking for a potential franchisee to have a passion to run their own business, and a desire to help others. It’s helpful to understand the qualifications of business from working in a bank, for instance.
“The team here is really dedicated to see franchisees succeed. We’ve all stayed because we have the same ethos. They are our focus.
“Hand on heart, we want franchisees to be successful. If they can get end results, everyone is happy.”