Winnipeg Free Press

Winnipeg Free Press (Newspaper) - June 26, 1973, Winnipeg, Manitoba Winnipeg free press tuesday june 26, 1973 Manitoba govt. Keeps Check on Pyramid Selling schemes continued from Page 1 whether supplies normally bought by the franchisee from the Parent firm arc otherwise available. Penalties for infringe ment can include fines of up for individuals and directors and up for the companies As Well As jail terms of up one year for Hose convicted. Or. Mason says Mani Toba is watching the experience of other provinces with franchising operations carefully. Legislation could be passed later in Mani Toba but so far the prov Ince apparently feels the problem is taken care of sufficiently under Ordinary civil or criminal Law provi Sions or under the com Bines act. Manitoba s securities Airo Spring Watt water coolers for Home and use Saie or rent everything tastes Kotb with Aero Spring water Crystal Clear Aero Iotti wat ii. Manrid distilled water Spring water c j Watt Manitoba limited 90s William ave. 774.1739 Montreal Trust moving another City Call us new selections in Vancouver appealing 2 year old 3 bedroom base Lent Home in Choice residential area. 56 x 132 lot. 30 minutes Vancouver. Ull Price for details Oil or rite d. Kerluke 604-291-8920 r off area 604-526-8581. Montreal rust 5121 Canada Way Burnaby 2, Toronto Aurora bedroom Brick Bungalow on quiet Greet bounded by open ields schools and shopping. Direct transportation Oronto. Fenced Yard Ideal for Young Hildron. Iran erred owner asking Call Cail Stainton res area 16-939-2697 or Oft area 416-487 201. Montreal Trust 88 Eglinton venue East Toronto. Ontario. Ottawa Island Park drive Litu Ted on a Well landscaped lot. Spacious 4-Bcdroom, 2 Storey bathrooms. Nice living room with Ilace. Extra . Attached Arage. Paved drive. For de vils Call Fred Rombeek res area 313-741-1274 or off area 613-725 171. Montreal Trust 1419 Carling we fisc Ottawa Ontario. Calgary Tward winning one of tiie Ien Best be Signet buildings in Canada Lecade construction and materials including original ceramics by internationally known artist Are most Xci Linh in combination Lidden in the Foothills of Alberta. 5600 i fire Leet of living or private club Pace 30 from Calgary internal ional Airport. List Price Atli Nisi Gage available. Please phone Merlr Harrison res area403-233-1546 r off Atea 403-265-8990. Montrea ust 411-Slh Avenue . Calgary Albertd. Edmonton St. Albert owner Transl erred and Musl i tins new Home. 3 bedrooms 114c it. Bungalow with Large Altache rent drive Carport. Open Lite place shag i Hinr room. I Baths Eaily posses Ion. Pit. Call Doug Baines Ros area 403-475-4335 or Oft 403 43p-1595. Monalim. Trust 10246-124 .t., Edmonton. Allreita. Montreal Chateauguay his Well maintained 8 room 4 Bod Oom split level Home is situated 01 quiet Street extra Large lot. The m 13 master bedroom is suitable bedroom suite. Charming beamed ceiling living room with fireplace. Dining will planned Kitchen Many extras. Mortgage. Ash no . For further information please contactw.a. Richard son area 514-735-2281. Montrea Trust 6600 Cote Des Neiges rd., Mon Eal 249, Quebec. Over 30 offices in 20 other major cities for More information on these and other tint Stec Tom of or any of the above offices or Contact our local office. Montreal Trust commissioner Murray Peden believes any fran Chising company taken court by disgruntled franchisees or others could Quality As Selling an invest ment contract under uie securities act basically the Way the Alberta Law has been framed. Under invest men con tract regulations the firm would have be registered with the commission which a care Ful scrutiny of Back ground reputation and financial status before being allowed do business. How franchises were distributed and full disclosure provisions As Well As a mandatory rescission per Iod for franchisees who change their minds or in the Case of misrepresentation by the franchise firm would also be included. 6 Uor. Peden says there have been no fran c h i s e firms brought up under the securities act so far. Franchising and Pyramid Selling firms apparently run in cycles rather like the old Chain letters. They seem be Active in an area for two or three years then Wane before a new Cycle com ments or. Mason. Franchising settling Down after the big shake out changes nature of business suite 200-213 Nourt diet a Inui Winnie of 942-826 continued from Page 13 c h i s e offerings available now the person who would like become a franchisee is increasingly difficult find Good people. To h e franchisees Are Able shop around now and the Best systems get the Best prof. Buckman said. Franchi sees can pick and choose now. The better the franchisee the More quickly he is picked there Are advantages developing a franchise sys tems. However prof. Beckman could Only give two a business can sex p a n d theoretically a great degree and As the franchise system develops so will the franchisor and his remuneration. Prof. Beckman suggests that a person who wants become a part of a Large National organization could become a franchisee rather than a franchisor. If a person likes Han dle food he could become a franchisee and tie in with a proven thing. There Are Broad advantages in adopt ing a proven formula and already successful methods of becoming a franchisee rather than a franchisor involves considerably fewer no Charity business Barrett Vancouver up Premier Dave Barrett dined with 40 institutional investors Here and told them you be got make on your own we re not interested in giving out once the ground rules for Industry Are established in British Columbia he said they questions from investors Many from Eastern Canada and some from Japan dealt with unforeseen changes in the ground rules Laid Down for Busi Ness. We have not expropriated one company we have not nationalized one com Pany and any business dealings we have been involved in occurred in the open the Premier said. Or. Barrett urged East Ern investors make More direct Contact Wiki h i s government and read Vancouver news papers rather than Eastern papers for . S financial news. Financial pages of both newspapers Here have done a pretty fair Job of he said. He listed a number of european countries with social democratic govern ments and observed that Many businessmen in can Ada hear the word social ism and run. As a social worker i can offer you love and Comfort but i Canwash away your he said . Tel. Would be the Only company be taken Over by his govern ment but he gave no time table for the move. Vital move seen for Canada Vancouver up the president of the Cana d i a n Export association said Here that Canada is the Crossroads in respect taxation and foreign ownership policies. J. M. Mcavity told a conference on Export financing that take the wrong turn could be commit the greatest mis la k e in economic judg ment in the history of this Canada depends so much upon foreign Trade and particularly Export Trade thai recent restrictive legislation by foreign coun tries is bound have an Adverse affect upon our Economy or. Mcevily said. Risks he said. The advantages the franchisees in a nutshell is the Opportunity of Selling something that has proven be wanted in a formula that works. You can be lit from National advertising National clientele a n established operating system Book keeping service and Cru Cial controls already established. Training is very often provided As Are site selections and continuing supervision and Consulta there Are disadvantages As Well prof. Beckman said. If a businessman wants be Independent he is re Aliy not. Initially this Doesmatter too much but if he becomes Success Ful and want s do some tiling differently the franchisee is there is a limitation on How much the franchisee can expand although is easier do so with an area franchise rather than a n individual franchise. The franchisee is also subject the changes the franchisor wants make. Prof. Beckman believes the franchise system of distribution is no longer considered be the sys tem which Only an idiot can fail. is a system like any other one with advantages and disadvantages for both franchisor and franchisee prof. Beckman concluded. Continued from Page 13 the Boom of the 1960s. The period following the second world War found Small retailers severely challenged by the Large corporate chains and unable compete. Many retailers sought Protection by either grouping together particularly for the advantages of bulk purchasing or co operating with National marketing organizations. This Pool of entrepreneurs was further expanded by a number of newcomers returning veterans displaced Farmers and others eager strike out in their own. One of the first of these arrangements was the Independent grocers Alliance Iga in the form of a wholesaler re Tailer operation. is a voluntary program initiated by a wholesaler who has been supplying dispersed retailers. The Large chains with vertically controlled systems make More advantageous for the wholesaler tie up the retailers and Supply them on a continuous basis. The associated retail pharmacists Arp is another example of this system. A second form of the wholesaler retailer operation is typified by the Independent druggists Alliance. is a co. Operative Type of program begun by a group of Small retailers who banded together and decided they need Power in the Market place by developing a wholesale outlet Supply them. The purpose of the wholesaler retailer franchise opera Tion is develop Power and expertise in the Market place and enable either a group of Independent retailers or a wholesaler survive against Tough Competition. Within these four Basic systems of organizing a fran Chise is a multitude of contracts arrangements and sys tems As numerous As the actual number of franchises there Are. The control of the franchisor Over the franchisee varies from demanding that All products be purchased from the franchisor site selected by the franchisor and building be built according his specifications. Alternatively a franchisee May Only rent a retail facility and pay a Small percentage of his Gross sales Revenue the franchiser for the franchiser s name and methods of merchandising. This practice is no longer very common. Most franchisers provide the initial services that in clude All forms of assistance needed establish the new franchisee in business. Those initial services frequently provided include operating manuals management training programs franchisee employee training Market surveys and site selection facility design and layout lease negotiations franchise fee financing Field supervision these initial services arc generally indispensable establishing a franchisee but is the Quality and depth of the franchisor s continuing service which often determines Suc Cess or failure. Some of these services include Field supervision. Merchandising and promotion materials Quality inspection centralized purchasing Market data and guidance auditing and record keeping group insurance plans. Many of these services also provide the franchisor with a Means of monitoring franchisee performance. Franchising has been noticeably of significant Impact on the retailing sector of the Economy particularly fast foods. Groups such As Canadian tire associate stores holi Day inn International h r Block ., Midas Muffler shops vie Tanny gym and health spas have also found the franchise distribution system effective. There arc also some Industrial and co in crucially oriented franchises. For example franchises have found their Way into a computerized accounting service truck lubricating service commercial upholstery repair service shoplifting prevention service and a shipping rate and route information service. Oilers new Low Cost data communications companies Large or Small. Info Dat and your operations the economic Impact of info Dat savings in the Cost of data transmission should stimulate a new look1 what communications can do for you. Whether you transmit simple teletype messages or vast quantities of computer data the info Dat network puts tremendous Cost savings within your reach. Small and medium size operations can now use dedicated circuitry a fraction of conventional rates. 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In areas outside the info Dat network you have a Choice of methods for tying in from virtually any Point in Canada. Access is available from dedicated lines or on a one Way originate Only dial up basis by telex data telex or broadband. The info Dat network and Low rates will encourage the growth of data communications in Many business firms big and Jim Mcdaniel a nip s general sales manager invites you Call your local a nip consultant for an analysis of How info Dat can help your business. Callus. Wre ready. Telecommunications ;