Franchises thrive in economic slowdown

by Catherine Woods - Monday, 10th March 2008 -

Franchise entrepreneur Joseph Yussuf, founder of Mr Clutch, says the business franchise model is best suited to recession and economic slowdown.

“An economic downturn has a knock-on effect on every business. We’re finding that we’re attracting more clients from garages that are a lot dearer. We did very well during the last recession and I’m sure we will do well if we go into recession this year,” he says.

“I think a lot of it is having good people who are aggressive and prepared to work hard. All the business franchise owners will stay open an extra hour if the work’s there. They also have the flexibility to let people go if there isn’t enough work.”

Yussuf is proud of his franchise owners, describing them as hard working and committed. “Commitment is the key. Franchise owners are people who have invested in the business, they want to survive and will work hard to do so. They’re unlike a lot of people who are working for a salary and have got set work hours and tend to go with the rest of the herd.

“Sometimes commitment is a bit like having bacon and eggs for breakfast: the chicken contributed but the pig committed.”

He pays tribute to one of his recent franchisees. “He’s Bulgarian and his service is impeccable,” Yussuf says. “He’ll work late, he’s great to his staff, he loves his customers and they love him. We get so many letters about how wonderful he is. He goes that extra mile.”

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