#The role played by the British Franchise Association (BFA)
The British Franchise Association (BFA) was founded in 1977 and since then has become the main voluntary body in the UK for franchising. The main role of the BFA is to recognise franchise businesses for membership. This process is done on the basis of a strict standards structure. These standards need to be followed by the company’s financial position in its everyday business activities.
The standards set by the BFA are based on the European Code of Ethics for franchising. All these standards were agreed to by the members of the European Franchise Federation in 1990 and they are recognised by the European Commission.
How the companies are accredited
Full members – If the franchisor wants to be recognised as a full member then they need to submit a completed application form. The form includes a business prospectus, franchise agreement, accounts and disclosure document. The franchisor may also need to provide proof of a correctly constituted pilot scheme that has operated for at least one year. Moreover, evidence of successful franchising over two years with at least four franchisees needs to be provided.
Associate members – Companies which have a growing franchise network need to provide some evidence of successful franchising for one year with a franchisee. If you want to become an associate member of the BFA then you also need to submit the franchise agreement, accounts, prospectus, disclosure document and more document checks. Moreover, you need to show the same evidence which has been asked from full members.
Provisional listing companies – In this list, only companies which are new to franchising are given priority for their franchise concept. These companies can also take the BFA accredited advice on its structure.
Affiliated professional advisors – They have more experience in the field of franchising, so they can in turn become an advisor. These advisors offer advice and help to the franchisees and their franchisors.