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Limerick Institute of Technology (LIT), supported by Limerick Chamber of Commerce, has announced a new milestone in education and business support training in the city with the establishment of Europe’s first third‐level centre of excellence for franchise development. The National Franchise Centre, which is modelled on the existing and highly successful LEAP (Limerick Enterprise Acceleration Programme) run at LIT’s Enterprise Acceleration Centre (EAC), will offer specifically tailored six‐month training programmes to persons interested in taking up on franchise opportunities in Ireland and abroad.

The Centre, which will be based in Limerick City and will initially support 10 jobs at the outset, has already secured €1million in funding from the European Globalisation Fund (EGF) to cater for up to 100 former Dell employees in the first programme, starting in January. The EGF funding will be ringfenced for training of people made redundant by Dell and associated companies who take up the programme and will not be part of the capital expenditure on the project. The programme, however, will not be exclusive to former Dell employees and expects to offer up to 100 places in two annual programmes, starting in January and July each year.

The Franchise Acceleration Start‐up Training (FAST) programme run at the Centre will provide comprehensive and inclusive business enterprise training, covering all aspects of running/owning or managing a successful business with a particular focus on franchises. It will also offer Retail Management support for persons interested in start‐ups in this sector.

In addition to providing the training, FAST will also validate the skill‐sets of trainees, through compatibility profiling for their desired franchise as well as provide access to seed capital and finance for the franchisee. It will also provide mentoring for the trainees from successfully established franchises throughout the programme and after, on securing a franchise.

Announcing the establishment of the National Franchise Centre, LIT President Dr. Maria Hinfelaarsaid: “This is a huge opportunity for hundreds of people across Ireland and beyond to get all theexperience and expertise they need ahead of taking on or managing a franchise. The National Franchise Centre will create franchise‐ready candidates trained in all aspects of running a successful franchise business and create a meaningful amount of employment in the services and related sectors by successful candidates setting up their own business. “We are extremely excited about the prospects for the National Franchise Centre. Like any project, it will take time to build but the very fact that we have been able to draw down funds for people made redundant by Dell and associated companies means that we can hit the ground running in January and would welcome as many applications as possible from them.

“Typically, a franchise will employ, on average, eight people so when you multiply that by the number of franchise opportunities available, there is real job creation potential here as well. There is a significant investment in time and money in franchises and many people are unprepared for this and the centre will reduce the risk significantly. We expect the programme to have a very high success rate and we see great potential for this to be a franchise learning hub not just for Ireland but for Europe.

“Finance is traditionally an area that frightens a lot of people looking at taking on a franchise and one of our strengths at the Centre will be that we will not alone check what franchise is right for the trainee but we will also be seeking to establish a seed capital fund in support of these projects. In addition, we have also already identified that banks are willing to provide up to 70% of funding to start‐up franchises.”

Limerick Chamber of Commerce President Kieran MacSweeney, who also provides support to LIT in a broad range of development activities, said that LIT is best placed to take on this exciting initiative given its established track record in developing enterprises through its Enterprise Acceleration Centre. “In establishing the Centre, LIT has identified a clear opening and need for a specialised third level centre to train people interested in getting involved in this successful sector.

“We were surprised to learn when we began researching the project that there was no specialised third level franchise education centre anywhere in Europe providing the type of expertise and knowledge to would‐be franchisees that will be delivered at the National Franchise Centre here in Limerick.

“Franchises represent real opportunity, not least in the current climate with many people recently made redundant looking for a fresh start. The reality is that 80% of franchise companies succeed in the first five years whereas 80% of start‐up companies fail in the first five years. The choice of franchise opportunities is endless and not just based on retail options. Franchise operate across accounting, internet‐based, entertainment, tax related and training franchises as well as the traditional retail and fast‐food franchises”.

The training programme will include an experienced franchise mentor panel, and will incorporate the following:

 All elements of Business Planning
 Administration training
 Marketing
 Customer and staff relations skills
 Feasibility studies
 Aligning of skill sets with suitable franchises
 Finance
 Product pricing and gross margin identification
 Classroom franchise simulation
 Outsourcing to achieve cost efficiencies
 Time management
 Presentation training

The National Franchise Centre FAST programme will open for applications for the programme in
November. Further detail will be made available over the coming weeks on the LIT website  www.lit.ie .

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