The recent International Franchise Expo at Sandton, Johannesburg, and a 110% increase in 'hits' on the Rawson Properties website (since January 2010), indicate clearly that the calibre of those applying to become franchisees or estate agents in the SA residential property sector is improving by leaps and bounds, says Tony Clarke, MD of Rawson Properties, which claims at the moment to be the fastest growing residential property franchise group in SA.
'We are now witnessing the demise of the housewife/part time agent who comes into the industry to make a little spare cash. Todays applicants quite often have tertiary education qualifications and among those applying for franchises the majority have had previous successful careers and business experience'
These applicants, said Clarke, are 'serious entrepreneurs': the fact that they have to buy their franchises eliminates most of the less dedicated lets-give-this-a-try candidates.
Franchisees joining one of the big name property groups, said Clarke, will have more chances of success than those who try to go it alone.
'Statistics from FASH (the Franchises Association of South Africa) have shown that 92% of new start-up businesses fail within two years. However, 76% of those signing up as franchisees with recognised groups succeed '“ and, due to careful selection and ongoing support, our success rate in Rawson Properties is far higher'
Clarke said that he was disappointed that the Department of Trade and Industry apparently had found it not worth their while to support the Franchise Expo.
'Property and most other franchises,' he said, 'are in the small to medium enterprise category on which the government has said the future growth of SA will depend. Surveys worldwide have shown that SMEs have higher outputs per person than those in big business and operate on lower overheads. SMEs are, therefore, exactly what SA needs: business is the driver of economic growth, innovation and job creation.
Clarke added that in the property sector the improved calibre of property staff and their greater dedication will work to the benefit of the consumer. This is important because in the past slack, untrained agents have sometimes given consumers a raw deal.
For further information contact Tony Clarke on 021 658 7100 or email tony@rawsonproperties.com.
