Spanish Doughnuts unveils money-back franchise guarantee
Melbourne-based dessert and churro business, Spanish Doughnuts has unveiled an Aussie-first franchise guarantee. In an innovative move for the sector, the brand is offering a 100 per cent money back guarantee on any greenfield site.
Under the terms of the new deal, Spanish Doughnuts franchisees are granted an extended grace period. If, after 12 months, the franchisee is unhappy with the way things are going, Spanish Doughnuts head office will absorb the operation and return the money, no questions asked.
Michael Aldemir, Spanish Doughnuts director said the new franchise guarantee demonstrated just how confident the brand is in its model.
“Because our franchise model is based on providing unique point of difference with our product, in that we make it ourselves and sell it ourselves, which no one else does, we wanted to implement a point of difference in the franchise model as well,” he said.
“If you’re not happy with the way things are going, after 12 months we’ll give you a refund, the only condition is that you do not break the franchise agreement. We want to stand out not only with our product, but how we deal with our franchisees.”
Breaking down the franchise guarantee
Offering a franchise guarantee can be a risk, but Aldemir, a former Hungry Jack’s and 7-Eleven franchisee himself knows how critical that safety net can be.
“Being a former franchisee myself, I understand the importance of having confidence in your product, model and the franchisee/franchisor relationship. There’s nothing worse than an unhappy franchisee,” he said.
It isn’t the franchisee-focused update Spanish Doughnuts has introduced in recent times. In addition to the franchise guarantee, the brand has also implemented a company-directed four-week break initiative.
For two fortnightly periods per year, Spanish Doughnuts will step in and assume control of a franchised outlet, allowing franchisees to briefly step back from their small-business obligations.
“That way you can have a break, go on a holiday and enjoy all the lifestyle elements that small business owners usually miss out on,” Aldemir said. “There’s nothing like this on offer anywhere else.”
When asked about the motivations behind the new model implementations, Aldemir’s answer was simple.
“Ultimately, it’s all about making the franchisee happy. It’s an easy equation; a happier franchisee means more sales, stronger results and a better working environment,” he said.
“I want our franchisees to come to work smiling. Most small business owners end up buying themselves a job and for many of them, it feels like a prison sentence. It shouldn’t be like that.”
The new franchise guarantee comes a great time for Spanish Doughnuts. The brand is gearing up for further interstate expansion, outlining a serious of key areas across New South Wales, Queensland, WA and Victoria, but the options aren’t limited.
Aldemir revealed discussions were already in process to take the Aussie success story overseas.
“We’re looking at the moment at an outlet in South Korea, along with two or three US states,” he said.
“We really want to take this model overseas, we know it has the foundations be extremely successful internationally. We want to be in this business for the long term. As a person who has been on both sides of the retail equation, I know how rare this is.”
If you want to take advantage of the Aussie-first money-back franchise guarantee, check out Spanish Doughnuts at franchisebusiness.com.au/brands/spanish-doughnuts/ today!