Introduction
  Here's how it works
  Business and Independent Contractor Opportunities
  What are the requirements to be considered to join BAN?
  Financial Elements of running your business
  Training
  What is the process to join BAN?
  What can I earn as a BAN franchisee?

Are you a highly experienced bookkeeper or accountant (not chartered) and have you always wanted to work for yourself from home or business premises, yet hesitated to do so because of the risks involved? When starting your own business, you would have to face tough issues like:

• Sourcing a good client base;
• Placing expensive advertising;
• Creating and printing costly brochures as well as advertising flyers;
• Attempting to establish a name and reputation;
• Maintaining your name and reputation in the market place;
• No support, assistance, vacation, sick leave or time off.

You will also, as a self-employed bookkeeper/accountant, need to incur continuous expenditure in keeping up-to-date with the latest legislation and software advancements by attending seminars, for example:

• Complex amendments in taxation legislation;
• Multifaceted amendments to accounting policies in GAAP and IFRS;
• Registered audit firm accounting working paper requirements and standards;
• Keeping up-to-date with accounting and other software advancements;
• Upgrading of accounting software as well as maintaining older versions for those clients who have not upgraded their software packages.

Business Accounting Network has identified franchising "through a networking concept" as an excellent mechanism for halving the risk for self employed bookkeepers and accountants while enabling the franchisee to keep abreast of on-going amendments to law governing business today.

On the output level, the target client base is SMEs (Small and Medium Enterprises), as they are attracted by a network's branding activities, which imply a strong component of quality assurance and fidelity. They are also reluctant to deal with large professional firms, considering them too expensive for their needs. Rather, they prefer to deal with franchisees, small businesses themselves.

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Through a licensing agreement, BAN contracts with a single operator franchisee (home based) or a management franchisee (area office based) to own and run a Business Accounting Network enterprise. Territories are owned by Business Accounting Network, which allows franchisees to operate in an area within a reasonable location to their base site, even though it may overlap with other franchisees' areas. The criteria for placing a franchisee with a client is based more prominently on the skill level of the franchisee matched to the client's service requirements and the capacity of the franchisee at the time rather than on just the base area of the franchisee in relation to the client.

  BAN takes the risk away

Join BAN's independent contracting team and enjoy the best of both worlds - running your own business whilst enjoying the support of a highly professional company with a well known brand name and excellent reputation with clients and medium/large registered audit firms.

  BAN offers:

• Advertising, including yellow pages, special features in local newspapers, direct mail; high class brochures; triangle calendars;
• Use of the well known BAN (Business Accounting Network) name;
• The experience of a well-established franchise company;
• Templates of all customised BAN stationery, reports and forms (e.g. Management account templates, time sheets, various payroll forms, working papers, interim financial reports, etc);
• Improvements to templates and systems from time to time;
• The following procedure and assistance of new work inflows:
• Administer the phone calls of prospective new clients or enquiries from the audit firms;
• BAN will assist in setting up appointments with prospective client/audit firms and will consult with potential clients and the audit firm partner (if applicable) to ascertain the nature of services and work required and the level of franchisee (category) needed to suit the requirements of the client. In certain circumstances, information received telephonically is enough to pinpoint the suitable franchisee for the job;
• Ascertain the availability of the franchisees in the particular category closest to the area of the client;
• Give a job description brief to the selected franchisee and, if necessary, introduce the franchisee to the client;
• Assist the engagement franchisee with any technical advice and suggestions they may require before commencing the job;
• Ongoing marketing and relationship building with the medium and large registered accounting and audit firms;
• Brand Management, including conceptualisation, design and implementation of brand items, such as branded diaries, banners, caps and T-Shirts, brochures, triangle calendars, etc.;
• Training on proven business methods for new franchisees;
• Regular technical training sessions to keep abreast of ever changing income tax, VAT and accounting standards amendments;
• Ongoing accounting and tax assistance either telephonic or via e-mail (franchisees in 'category 5' may also be approached for consulting and support);
• Negotiation of discounts on large orders of software or any other commodity required by the entire franchise;
• Opportunity for franchisee feedback through regular meetings;
• Review of recommended hourly charge-out rates to ensure competitiveness in the market place;
• Assistance and advice on opening a Management Franchise (area office), as well as assistance in compiling a business plan, budgets and cash flow projection,
• Assistance in selecting an office (please note, the franchisee will be responsible for signing the lease agreement and rental), and
  • Advice on office layout and workstation design, office furniture (pre-defined), telephone systems, computers, printers, computer networking, signage, etc.;
  • Training of employees in BAN's systems and templates prior to opening of the office (please note, prospective employees must have the necessary bookkeeping and accounting qualifications or be qualified by experience); and
  • Assistance in the initial recruitment of employees prior to opening of the office.

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  Single Operator Franchise (home based)

In this franchise format, the franchisee carries out the work him/herself. The business is home based and the type of work is executive, i.e. bookkeeping and accounting services.

In this situation, the franchisee will need to:

• Be fully trained in an accounting and audit practice (firm) with above average knowledge of the Value Added Tax Act, payroll (employee) tax, company and individual income tax and GAAP;
• Be able to perform the service of writing up client's books from source documentation to management accounts, usually at the client's premises;
• Work on his/her own;
• Market the franchise locally to generate business when required;
• Deal mainly with businesses;
• Work from home but essentially be mobile as the majority of work is conducted at client/business premises;
• Work regular office hours, at least most of the time.

  Management Franchise (area office based)

As your business grows, it may become ideal to employ staff and the franchise could develop into a management franchise (area office). This opportunity is not available to all Single Operator Franchises as:

• The areas available to open a management franchise are limited;
• The prospective management franchisee would need to show proven ability of personnel and management skills (prior experience and references will be required);
• The prospective management franchisee would need to have an in-depth knowledge of taxation laws and hands-on accounting skills (current proven ability will be required);
• BAN's focus is on developing and supporting the Single Operator Franchisees (home based). Management Franchisors would only be considered for areas where it would be preferable to have an area office and where that area office will not compete unduly with that area's single operator franchisees;
• Further to BAN's focus on developing and supporting single operator franchisees as well as to ensure top quality service to clients, employees are limited to 7 employees at any time in this franchise model.

  Franchise Agreement and Operations Manual

The relationship between the franchisor and the franchisee is built upon the Franchise Agreement, BAN's Code of Conduct and the Operations Manual. These documents should ensure the protection of both parties. The Franchise Agreement is a legal document between franchisor and franchisee and is one of the most important documents relating to a BAN franchisee. It is only with this balance that a franchised business can prosper and happy relationships develop.

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  The Ideal profile of a Single Operator Franchisee (home based)

We consider a franchisee (Single Operator Franchisee - home based) running their own BAN business, to be an exceptional person and as such fit the profile below:

  What is the profile of our ideal franchisee?

• Either trained as an article clerk (must have completed articles) or worked in the client accounting division of a medium to large audit firm for at least 5 completed years;
• Must have left the accounting and auditing profession (firm) no more than 6 years prior to application;
• Preferably hold a degree or 3 year diploma relative to the industry;
• Able to qualify as a "Tax Practitioner" as set out by the "Independent Regulatory Board for Tax Practitioners", who will prescribe the standards of qualifications and experience required by a tax practitioner from time to time;
• Chartered accountants are, unfortunately, excluded from being considered as franchisees due to the conflict of interest in our target market, the registered audit firms and the limitation of services we provide.
• Computer literate, particularly with Excel and accounting and payroll software programmes, for example, Pastel, Pastel Payroll, Accpac, VIP, etc.
• Share the franchise's passion for bookkeeping and accounting and higher level accounting services;
• Prepared to uphold the values of the brand;
• Have the ability and confidence to work entirely on your own, yet a willingness to be a team player;
• Be an energetic self-starter with a professional approach to business;
• Have excellent interpersonal and communication skills - be people orientated;
• Must have integrity, strong ethics as well as law abiding;
• Should present a professional personal image at all times;
• Self motivated;
• Highly disciplined;
• Service-orientated, hard working and willing to put in long hours when needed to meet all monthly and annual deadlines for a varied client portfolio;
• Be credit worthy with financial resources.

  What is the profile of our ideal Management Franchisee (area office)?

Shares the same profile as that of our ideal franchisee listed above, but with the additional requirements of:

• Preferably a BAN single operator franchisee for at least 3 to 5 years or has proven ability of managing skilled personnel in the accounting environment with a "hands-on" approach, as well as management and business skills;
• Must be a "go-getter" with a strong will to succeed;
• Totally service-orientated and people friendly;
• Recognises the importance of BAN's operating standards;
• Understands that increased personal involvement at area office level equals a higher competence level in staff performance and increased profits;
• Has the development outlay or purchase price in unencumbered funds.

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  Single Operator Franchise (HOME BASED)

Training fee:
Approximately R 5 000 plus VAT.
This fee is variable and includes:

• Preliminary training of the franchisee systems

Legal fees:

• Initial legal costs incurred on conclusion of the Franchise Agreement.

Initial Working Capital:
Six months gross salary you received at your last employment to cover your personal monthly expenses while you build up your client portfolio.

Premises:
The Single Operator Franchisee has an office based at home. The prerequisite of BAN'S condition of having a home office is that the office must be an appropriate room utilised exclusively for the purpose of conducting BAN's business.

 Management Franchisee (Area Office Based)

Legal fees:
Initial legal fees incurred on conclusion of the Management Franchise Agreement

Set-up and training fee:
Approximately R20 000 plus VAT

This fee is variable and includes:

• Assistance in compiling a business plan, budgets and cash flow projection;
• Assistance in selecting an office (please note, the franchisee will be responsible for signing the lease agreement and rental);
• Advice on office layout and workstation design, office furniture (pre-defined), telephone systems, computers, printers, computer networking, signage, etc.;
• Training of initial employees on BAN's systems and templates prior to opening of the office (please note, prospective employees must have the necessary bookkeeping and accounting qualifications or be qualified by experience);
• Assistance with the initial recruitment of employees prior to opening of the office.

Establishment Costs:

• Approximately R150 000 including VAT for a 4 workstation office plus conference room with a small, equipped kitchen, e.g. microwave, small fridge, kettle, utensils, etc.
• Six months gross salary you received at your last employment plus the value of your debtors book (Vat inclusive).

  Marketing and management Service Fees and BAN Membership Fund

Each Single Operator Franchisee and Management Franchisee is required to pay a monthly marketing and management service fee equivalent to 10% of net turnover plus VAT calculated on the previous month's fees billed. Net turnover shall mean and include all fees billed by the single operator franchisee and all fees billed by an area office, whether or not those fees were paid by clients referred by BAN management office or by clients obtained by the franchisee, less VAT collected from the client and paid to the Receiver of Revenue.

The marketing and management service fees are payable by the franchisee on the 30th day of the first calendar month following the calendar month to which such fees relate. Amounts are payable by electronic transfer and the onus is on the franchisee to ensure payment.

BAN Membership Fund
In addition, a monthly membership fee is payable to the BAN Association Membership Fund, administered by the BAN Administrator. The monthly fee payable is currently R600. This fee covers the following:

• Pastel Accounting site licences (all Pastel Versions);
• Pastel Payroll site licence for 10 employees (franchisee pays for additional employee licences if required);
• Member of the Pastel Accountants Forum (Dealership);
• Membership to the Cape Town Chamber of Commerce;
• Your own e-mail box (BAN domain), e.g. someone@ban.co.za
• Web-hosting and your own career portfolio;
• The fund will pay for a designated franchisee to attend a seminar identified by the franchisor in order to keep up-to-date with legislation amendments affecting our clients' business. The franchisee must obtain all reference material at the seminar and in turn must present the important elements of the seminar to all franchisees at a technical training session;
• The fund will pay for copies of the seminar notes for distribution to all franchisees;
• Refreshments at all technical training sessions;
• Material for internal technical training, e.g. copies of manuals, training material, notes to training material, etc.;
• Annual diaries for each franchisee with the BAN logo (area offices can buy these diaries from the Fund for their staff);
• Stock of BAN stationery for sale to BAN franchisees and their staff, being columned pads, writing pads;
• Stock of BAN carrier bags for lever arch files for sale to BAN franchisees and their staff;
• BAN self inking stamps (for working paper files and addressee information on envelopes);
• Year end function with partners and team building.

Training will be conducted at the Southern Suburbs Management area office (based in Tokai, Cape Town), which may be some distance away and require trainees (including the franchisee) to arrange and pay for their own travel, accommodation, etc. It is a prerequisite that the prospective franchisee, before being accepted as a BAN franchisee, has passed a written examination on their technical abilities set by BAN as well as having the following minimum experience, skills and tertiary requirements:

• Either trained as an article clerk (must have completed articles) or worked in the client accounting division of a medium to large audit firm for at least 3 completed years, but preferably 5 or more completed years;
• Must have left the accounting and auditing profession (firm) no more than 6 years prior to application;
• Preferably hold a degree 3 year diploma relative to the industry;
• Able to qualify as a "Tax Practitioner" as set out by the "Independent Regulatory Board for Tax Practitioners", who will prescribe the standards of qualifications and experience required by a tax practitioner from time to time;
• Computer literate, particularly with Excel and accounting and payroll software programs, for example, Pastel, Pastel Payroll, Accpac, etc.

 Training - Single Operator Franchisee

We provide 4 to 5 day's intensive training for our single operator franchisees and will cover the following:

Day 1

• Value added tax - feedback on examination previously written by franchisee with further training provided

Day 2

• Continuance of day 1 - VAT and Payroll Tax

Day 3

• Putting franchisee earnings and overheads into perspective
• Terms of engagement with clients
• Terms of engagement with audit firms
• Stationery - standard templates
• Budget control - client work
• Work schedules
• Timesheets and invoicing procedures
• Monthly billing and time write offs
• Pastel Accounting dealership
• Financial reporting templates
• Payroll templates
• Standard filing procedures (paper and computer) - office and clients
• Monthly clients - services, documentation and procedures
• Client care
• Advertising
• How to manage your business - tips

Day 4

• Working paper templates for audit firms

Day 5

• Working paper templates for audit firms

 Management Franchise (area office)

There is no doubt that the level of competence the management of an area office exhibits is the critical success factor of any franchisee, when coupled with the commitment, dedication and hard work of a new BAN office. The franchisee must have the ability to train subsequent/replacement staff at a level of efficiency sufficient to ensure the communication and maintenance of BAN's high standards and level of service. It is necessary that the Management Franchisee will receive training on topics that do not include their staff. In addition to the training and templates given to Single Operator Franchisees, Management Franchisees training will also cover:

• Staff appraisal forms and appraisal procedures;
• Basic Conditions of Employment Act;
• Employment contracts;
• Review standards of working paper files;
• Review standards of monthly accounting and statutory returns before submission;
• Incentive bonus scheme;
• Staff productivity analysis;
• Staff training (external, formal internal and on the job);
• Setting estimates (budgets) for all client work;
• Monthly billing and time write offs.

Step 1
Complete all questions to our “Evaluation of Prospective Franchisee” form (available on request via email) and submit via emailing to info@ban.co.za or fax to either 021 712-8597 or 021 715 2637.

Step 2
Once the fully completed form has been received, you will be contacted via email and if your application is successful, we will request from you your CV.

Step 3
Upon approval of your CV, an initial interview will be set up at our Southern Suburbs area office based in Tokai. This interview should take approximately 2½ hours, of which 1 hour is set for a basic accounting test.

You will be contacted within 4 days of the initial interview to advise you whether you have achieved the next stage, Step 4

Step 4
A full day of tests will be set covering:

The above tests determine whether you have sufficient knowledge to become a BAN franchisee, as well as to establish your level or category that determines your hourly charge-out rate.

Step 5
Upon the successful completion of your tests, we will carry out extensive references covering your previous employment, credit bureau reports as well as any civil lawsuits that may have been brought against you plus criminal and/or civil convictions.

Step 6
Should all references be satisfactory, we shall forward you our Franchise Agreement for your perusal and would also encourage you to seek legal advice to ensure that you are fully conversant with the terms and conditions contained therein.

Step 7
Signing the Franchise Agreement, together with payment of the initial training and legal fees as well as establishing the effective date of commencement and training to be provided by BAN will only occur once the 6 steps have been completed.

As with professional service providers, the accounting profession is no different. Fees are billed on hourly charge-out rates. As a result of various factors influencing your value to your client, BAN has categorised 5 different levels of knowledge, experience and skills. Hourly rates are determined by the category within which you fall.

First and foremost, hourly charge-out rates are determined by the market, that is they are determined by 2 main factors:

• The average hourly rate charged by other accounting firms relevant to your level of knowledge and experience;
• What your client is prepared to pay for the services you provide and the value you add to his business.

 Your hourly charge-out rate is determined by some of the following factors:

• Your BAN test results;
• Your years of experience in an audit and accounting firm and the number of various clients and their relevant industries with which you have had solid working experience;
• Your last position held in the audit firm (articled clerk, senior bookkeeper, supervisor, manager, etc.);
• Your strength in bookkeeping and accounting, both manual and accounting software, e.g. Pastel. Your ability to reconcile accounts as well as setting-up accounting systems and controls, including stock control;
• The level of your knowledge of the VAT Act, Income Tax Act and GAAP;
• Additional experience, e.g. business plans, cash flow investigations, tax returns for companies and individuals, presenting training or lectures on any subject in the accounting and tax field;
• Your written and spoken English, work ethic, professionalism, self motivation, time management, organisational ability, confidence, integrity, personal grooming, interpersonal and communication skills etc.

Further details of the potential earnings of franchisees are covered in the interview process stage as well as in the initial training by the franchisor.

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