Advantages of Franchising with Non-Canadian QSR Franchise Systems

Launching a new Quick-Service Restaurant (QSR) franchise can be extremely challenging, making the professional advice of a franchise lawyer invaluable.

Contact Neufeld Legal PC for QSR franchising legal matters at 403-400-4092 / 905-616-8864 or Chris@NeufeldLegal.com

Non-Canadian QSR franchise systems, especially those that have not established a strong presence in Canada, represent an opportunity for propective Canadian franchisees to become a leader with this particular Quick-Service Restaurant (QSR), while gaining the established back-end support of a developed franchise system that has a proven track record outside of Canada.

Franchising with a non-Canadian QSR franchise system, including those that have yet to establish a strong Canadian presence, presents some  significant benefits to the franchisee that is prepared to undertake that particular QSR business in Canada.

A. Established Brand Recognition and Customer Base/Reputation

• Instant Credibility: You benefit from a brand that is already recognized, trusted, and often has a loyal customer base in other international markets. This significantly lowers the hurdle of attracting initial customers compared to starting a new, independent brand.

• Proven Concept: The foreign QSR has a successful, tested business model, menu, and operating procedures, reducing the risk of business failure.

• Social Media Draw: The ability to draw from social media the foreign reputation of the QSR brand can be exceedingly powerful, which can be particularly significant in the initial domestic launch of the QSR brand.

B. Comprehensive Support and Training

• Operational Blueprint: You receive a complete system, including operational manuals, standardized procedures, and technology, eliminating the need to design processes from scratch.

• Expert Guidance: The franchisor provides initial and ongoing training in areas like food preparation, customer service, marketing, and management, which can be invaluable, especially if you are new to the QSR industry.

• Supply Chain & Purchasing Power: You gain access to the franchisor's established supply chain, vendor relationships, and bulk purchasing power, which can lead to lower costs for ingredients and equipment.

C. Reduced Risk and Faster Market Entry

• Lower Failure Rate: Franchises, in general, tend to have a lower failure rate than independent businesses due to the proven system and continuous support.

• Accelerated Growth: The established model allows for a faster setup and launch process, enabling you to start generating revenue sooner.

D. Marketing and Advertising Leverage

• National/Global Campaigns: You benefit from the foreign franchisor's global marketing and branding efforts, which boost overall brand awareness and resonance.

• Ready-to-Use Materials: You receive pre-designed marketing materials, strategies, and promotional toolkits, saving you time and resources on developing your own campaigns.

E. Local Adaptation with Global Best Practices

• Access to Innovation: You can leverage the franchisor's continuous research and development in menu items, technology, and operations, staying ahead of trends.

• Local Expertise: While the core concept is foreign, the franchisee's local market expertise is often leveraged to adapt the menu, marketing, and service approach to suit local customer preferences and cultural norms, enhancing market fit.

[See also Advantages of Up-and-Coming QSR Franchise Systems]

Christopher Neufeld is a business lawyer knowledgeable in the rigors and challenges of the franchise business (with a particular emphasis on the restaurant sector, given my prior background in the hospitality industry), together with the legal constructs that are critical to their effective operation. For experienced legal representation in starting, acquiring / selling, operating and managing a franchise, contact franchisee lawyer Christopher Neufeld at 403-400-4092 [Alberta], 905-616-8864 [Ontario] or Chris@NeufeldLegal.com.