How do Franchise networks earn a World-Class Franchise® Certification?
- World Class Franchise® Certifications are awarded strictly based on data supported 100% by franchisees; therefore, a franchise network must begin by implementing a Franchise Research Institute Survey.
- A minimum of 70% of the franchisees must complete the Franchise Research Institute confidential survey. This ensures a large enough sample to have confidence in the data.
- The franchisor must receive a positive rating by two-thirds (66%) or more of their franchisees in seven specific categories, including: overall quality, commitment, perceptions about success, training, and franchisee’s willingness to reinvestment & recommend to others.
Some limitations include franchise companies who have been franchising for too short a period of time or have too few franchisees (or both), which makes it difficult to acquire enough useful data. These issues will be reviewed on an individual basis; however, it is extremely rare to certify a World-Class Franchise that contains fewer than 20 franchisees, or that had not each been open for two years or more.
The Franchise Research Institute reserves the right to make minor exceptions to the above criteria for franchise companies which have been certified as World-Class for at least three years. This serves to reduce (or eliminate) the potential for bias brought about by temporary circumstances (i.e. technology conversions, rebranding, leadership changes, etc.)
World-Class Franchise® Certification is based on annualized data and therefore awarded on a year by year basis. This ensures franchise networks maintain quality standards every year.