Traditional bricks-and-mortar franchising is generally
associated with businesses operating inside of malls, strip plazas,
power centres or storefronts. Most of the opportunities that
a franchisor makes available to a franchisee are located within
these conventional venues. However, franchised businesses do
exist beyond the confines of those sites, as franchisors are
regularly seeking new ways to appeal to a captive audience.
The potential for the success of these locations is hard to ignore
given the reality of a large prospective customer base isolated in
one specific area with a limited number of choices for purchasing
products and services.
Airports, movie theatres, amusement parks, zoos, campuses,
hospitals, casinos, sports arenas, highway service centres –
these are just a handful of examples of locations for
non-traditional franchising. Subway made headlines a few
years ago when it announced the opening of a restaurant atop a
crane being used for construction at the Freedom Tower in New York
It should be noted, of course, that many of these
non-traditional sites may not be available as opportunities for
just any franchisee. In fact, many of them are operated by
large foodservice companies which are awarded contracts to develop
businesses (generally restaurants) within these larger
facilities. Companies like Aramark, Compass Group and HMS
Host operate most or all of the restaurants located within many
such facilities across Canada.
But that doesn't mean that non-traditional locations are
inaccessible to less institutionalized franchisees. Some
non-traditional development can be offered to successful single- or
multi-unit operators already working with the franchise
system. And those opportunities existing within less
commercial spaces (such as a local community centre) may be easily
made available to entrepreneurial prospective franchisees who can
identify the potential for a location.
Non-traditional franchising does not come without its challenges
– as to be expected, there are likely to be unique leasing
issues with a non-traditional landlord, and the concept itself will
require some modifications in order to be adapted to the venue
– customized (some might say 'limited') menus and
unique (some might say 'higher') prices are to be
expected. And, as with any franchise opportunity, a new
disclosure document reflecting the terms of the particular venture
must be provided by the franchisor in advance.
If you are already a successful franchisee, consider approaching
your franchisor to inquire about future possibilities in
non-traditional locations. You may be exactly the type of
franchisee they are looking for to serve a specific niche
The content of this article is intended to provide a general
guide to the subject matter. Specialist advice should be sought
about your specific circumstances.
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Under the Income Tax Act, the Employment Insurance Act, and the Excise Tax Act, a director of a corporation is jointly and severally liable for a corporation's failure to deduct and remit source deductions or GST.
Under the Income Tax Act, the Employment Insurance Act, the Canada Pension Plan Act and the Excise Tax Act, a director of a corporation is jointly and severally liable for a corporation's failure to deduct and remit source deductions.
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