17 August 2012
Mr Axel Le Rait
The President
Association of Motor Dealers and Repair Workshops in South Africa
Cape Town
8400
Dear Mr Le Rait
Report on whether small repair businesses should become Franchisee or not
Enclosed, is the report on the MR Franchising system highlighting the benefits and costs to small repair businesses and of being a part of such a system.
The main purpose of this report is to investigate the franchise system and to describe the support provided by MR to its franchisees. The report will highlight findings from the investigation, on the financial implications of joining and belonging to a franchise group, the benefits of the system and the characteristics of successful members.
Recommendations are given to members of the association on how the franchise system should be run in order for it to be beneficial to members after they join the system.
If you have any questions or comments regarding the interpretation of this report, please feel free to contact us on 021 650 4757.
We look forward to working with you again soon.
Yours Sincerely
Miss S. Stronach and Miss R. Shitholani
Terms of Reference
This report was requested by Mr. Axel Le Rait, the President of the Association of Motor Dealers and Repair Workshops in South Africa, on the 21 August 2012.
Mr. Axel Le Rait ordered this report to investigate if small enterprises across South Africa could be interested in becoming franchisees of Mzansi Radiators (MR).
The instructions given were to:
1. Investigate the franchise system and describe the support provided by MR to its franchisees.
2. Evaluate the financial implications
References: Le Rait. (2012, August 21). Personal Interview. Speed, H. I. (2012, August 21). Personal Interview. Unknown. (2012). Earnings Boil Over. Retrieved from Professional Communication Handbook. Appendix