The Case for a Franchise Advisory Council

Communication inside a franchise brand can grow strained when revenue and profitability fall short of forecasts. For one of our emerging franchisor clients, six consecutive months of lower-than-projected sales had left both franchisor and franchisees uneasy. Messages flew back and forth in ever-longer email threads. Ideas arrived half-baked or wildly ambitious. Fingers pointed even when no one meant real harm. Each side worried that the other was not listening.

I have seen this movie play out before, and I know how easily it can escalate… more so within an emerging franchise brand. That said, I have also watched tensions fade the moment a structured forum appears. That forum is a Franchise Advisory Council. The concept is simple: bring committed representatives from both sides to the same table, establish ground rules, share accurate data, and convert complaints into agenda items the group can solve together.

Structure Is Key

The structure of a Franchise Advisory Council calls for a council size small enough for candid discussion yet large enough to reflect geographic and performance diversity. Member terms are staggered to blend fresh perspective with institutional memory. Meetings occur quarterly with a standing agenda circulated two weeks in advance so members could prepare facts, not feelings. Finance, marketing, operations, and technology each hold a standard slot, and ad-hoc topics are added only after supporting numbers are supplied. Minutes list action items, owners, and deadlines. A shared file will store all materials so no participant and other franchisees rely on rumor. Between meetings a two-way feedback loop remains open through a dedicated email address monitored by a liaison who tracks response time.

The council does not dilute franchisor authority; it sharpens it. By hearing concerns early, leadership can adjust menu pricing, regional promotion, or supply chain strategy before small issues harden into resentment. Franchisees gain a transparent channel to influence system direction and test ideas in a setting where feasibility is vetted by peers. Most important, both sides replace assumption with evidence. That change alone often lifts morale faster than any marketing campaign.

Franchising succeeds when brand standards and entrepreneurial energy reinforce each other instead of collide. A well-run Franchise Advisory Council turns that ideal into daily practice. For this brand and many others, the best time to build that foundation is at the first sign of strain, not after relationships fracture beyond repair.

Franchise Advisory Council Guidelines

Council Members – I always recommend that franchisees elect council members who are in good standing with the franchisor. While some franchisors may choose council members themselves, I’ve also seen franchisors present a list of potential candidates for franchisees to vote on. In either case, the following factors should be considered when selecting council members:

• Choose franchisees who represent a range of geographical regions, unit sizes, and levels of experience.
• Include diverse perspectives that reflect the overall makeup of the system.
• Ensure active participation by selecting franchisees who are committed to offering constructive feedback.

By following the outline below, franchisors can conduct Franchise Advisory Council meetings that are both effective and mutually beneficial, fostering cooperation, providing valuable insights, and driving the overall success of the franchise system. Note: Be sure to tailor this to align with your brand.

1. Set Clear Objectives and Agenda

• Define the purpose of the meeting (e.g., discussing system-wide challenges, new initiatives, feedback on operations).
• Prepare and share the agenda in advance to allow franchisees to prepare adequately.
• Ensure the agenda aligns with the franchise system’s strategic goals.

2. Facilitate Open and Respectful Dialogue

• Encourage open, honest communication while maintaining respect for differing opinions.
• Establish ground rules for constructive discussions, such as allowing everyone to speak and discouraging personal attacks.
• Ensure that all voices are heard and that the meeting is balanced between listening and providing input.

3. Focus on Business Growth

• Emphasize discussions around the franchise system’s long-term vision and strategy.
• Encourage discussions about operational efficiencies, marketing strategies, brand consistency, and ways to drive profitability.
• Be open to feedback and suggestions for system improvements, but keep the focus on the franchise network as a whole.

4. Maintain a Structured Format

• Stick to the agenda and allocate specific times for each topic to ensure all items are covered.
• Introduce new topics only when all scheduled agenda items have been discussed.
• Appoint a meeting facilitator (often a senior member of the franchisor’s team) to ensure the meeting stays on track.

5. Balance the Franchisor and Franchisee Perspectives

• While the franchisor should set the tone and direction, the council’s role is to provide input from the field.
• Ensure franchisees feel empowered to offer suggestions and voice concerns, but be mindful of the franchisor’s business and legal constraints.

6. Actionable Outcomes

• Conclude each discussion point with clear, actionable items and deadlines.
• Assign responsibilities for follow-ups and make sure there is accountability.
• Document the meeting’s key takeaways, decisions, and action items to distribute to participants after the meeting.

7. Regular Feedback and Follow-Up

• Maintain transparency by providing updates on the progress of actions decided at previous FAC meetings.
• Use feedback from the FAC meetings to adjust strategies and operations where necessary.
• Create a system for ongoing communication between franchisors and the Franchise Advisory Council.

8. Encourage a Positive Relationship

• Use the FAC as a forum for building stronger relationships between franchisors and franchisees.
• Avoid a confrontational atmosphere—focus on collaboration and problem-solving rather than conflict.

9. Leverage Technology

• Consider using virtual meeting tools for franchisees who can’t attend in person.
• Share documents, presentations, and action items through a central portal to keep everyone informed and engaged.

Make today a great day. Make it happen. Make it count!

About the Author

Paul Segreto brings over four decades of hands-on experience in franchising, restaurants, and small business development. A passionate advocate for entrepreneurship, Paul has guided countless individuals on their journey to success, whether they are established entrepreneurs or just beginning to explore the path of business ownership.

Named one of the Top 100 Global Franchise and Small Business Influencers, Paul is also the voice behind the Acceler8Success Cafe, a daily content platform where thousands of entrepreneurs gain insight and motivation. A lifelong advocate for ethical growth and brand integrity, Paul continues to coach founders, franchise leaders, and entrepreneurial families, helping them find clarity in chaos and long-term success through intentional leadership.

Ready to take your next step in business or looking for expert insight to overcome today’s challenges? Reach out directly to Paul at paul@acceler8success.com — your path to success may be one conversation away.

About Acceler8Success Group

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With a strong focus on entrepreneurship, franchising, restaurants, and small business growth, Acceler8Success Group delivers actionable insights and real-world strategies across its suite of brands, including the following:

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