Franchise Talk

India Franchise Rankings 2010: Methodology

February 19th, 2010 | Author: Jack

Dhawal Shah

via Mr. Dhawal Shah – Co-Founder, FranchiseExpo.in and Way2Franchise.com:

At the moment, in India, there are a couple of organisations that conduct awards, but not to the level of accuracy or authenticity that we would like, so we decided since, we are connected with over 3000 franchisees in India, through our sites, Way2Franchise.com and FranchiseExpo.in, why not publish the rankings of India’s Top 100 Franchise Opportunities.

This was in principle with our objective of setting up Way2Franchise.com Corp., which is to essentially assist franchisees, make an informed wise decision.

Since, November 2009, the Way2Franchise.com Team has been constantly examining franchisors and confidentially surveying franchisees. Participation in the franchisee’s surveys is anonymous; franchisees receive codes for confidentiality. Some of them, that prefer to speak over the telephone are not asked for their identity or location.

Here is how we compile this mega-list–the first, best and most comprehensive franchise ranking in India.

The process began in November 2009, when we asked franchisors to participate in this year’s survey.

Each submission was vetted before being entered for data analysis, with 238 companies making the first cut. Of those, the top 100 companies made the Franchise 100 ranking, based on franchisee satisfaction and profitability.

All companies, regardless of size, are judged by the same criteria: objective, quantifiable measures of a franchise operation. The most important factors include financial strength and stability, growth rate and size of the system. We also consider the number of years a company has been in business and the length of time it’s been franchising, start-up costs, percentage of terminations, and whether the company provides financing.

All the factors are plugged into our proprietary methodology, with each eligible company receiving a cumulative score. The 100 franchises with the highest cumulative scores become the Franchise 100.

Remember that the Franchise 100 is not intended to endorse, advertise or recommend any particular franchise. It is solely a research tool you can use to compare franchise operations. Way2Franchise stresses that you should always conduct your own independent investigation before investing money in a franchise.

Feel free to send in your feedback at info@way2franchise.com