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2017 Franchise Operations Manual-1-160
2017 Franchise Operations Manual-1-160
Table of Contents
SECTION A: INTRODUCTION
WELCOME LETTER ........................................................................................................................................... 1
Advisory Councils........................................................................................................................... 7
FINDING AN OFFICE......................................................................................................................................... 6
GETTING INSURANCE.................................................................................................................................... 22
Federal Taxes............................................................................................................................... 10
Audit ............................................................................................................................................. 13
Indemnification ............................................................................................................................ 13
Interest ......................................................................................................................................... 13
Modifications ................................................................................................................................ 14
Mediation ........................................................................................................................................ 3
Remedies ........................................................................................................................................ 4
Publications.................................................................................................................................... 5
Pregnancy Discrimination.............................................................................................................. 7
ORIENTATION ................................................................................................................................................ 45
Forms ............................................................................................................................................ 45
TRAINING ....................................................................................................................................................... 56
PROGRESSIVE DISCIPLINE................................................................................................................................ 78
TERMINATION/SEPARATION ............................................................................................................................. 81
Termination .................................................................................................................................. 81
Resignation .................................................................................................................................. 84
INCOMING CALLS............................................................................................................................................. 6
TESTIMONIALS............................................................................................................................................... 46
AD MALL ......................................................................................................................................................... 53
PAYMENT ....................................................................................................................................................... 56
Website Design............................................................................................................................... 6
Blogging .......................................................................................................................................... 6
Website ......................................................................................................................................... 26
Digital Advertising........................................................................................................................ 26
Blogging ........................................................................................................................................ 28
Video ............................................................................................................................................. 28
CUSTOMER SERVICE..................................................................................................................................... 29
COMPENSATION............................................................................................................................................ 29
Ad Layout ..................................................................................................................................... 14
Artwork ......................................................................................................................................... 14
OFFICE PROCEDURES...................................................................................................................................... 2
Collections ..................................................................................................................................... 8
Robbery......................................................................................................................................... 17
Burglary ........................................................................................................................................ 18
Contests ....................................................................................................................................... 11
Billboards ..................................................................................................................................... 12
INITIAL LAUNCH ............................................................................................................................................ 14
F R A N C H I S E
O P E R A T I O N S M A N U A L
Introduction
Congratulations on making the decision to join our Money Pages family. We created the
Money Pages Franchise Operations Manual to support you as you set out to start your
own Money Pages business and to summarize the nature of the franchisee-franchisor
relationship within the Money Pages system.
Over the next week, you will participate in our Money Pages Franchisee Training
Program, which consists of classroom education and training in the field. As a Money
Pages franchisee, we will share with you our proven methods, professional expertise, and
extensive experience. This process will ensure that you have the necessary tools and
techniques needed to launch and grow a successful Money Pages market.
S E C T I O N A
F R A N C H I S E O P E R A T I O N S M A N U A L I N T R O D U C T I O N
Table of Contents
WELCOME LETTER ......................................................................... 1
Advisory Councils............................................... 7
Welcome Letter
Welcome to the Money Pages family! We are thrilled that you are joining us in our quest to
partner with local businesses and provide them with the best service, highest quality, and
most cost-efficient venue for their advertising investment while also saving our readers
money every day. You are embarking on an adventure that will have a tremendous impact
on your local community and help keep businesses thriving in both strong and slow
economic periods.
At Money Pages, we are all about the circle of success. We strive to help small
businesses grow, and generate leads and customers, while also providing a valuable
resource for our readers. We revel in the idea of doing business with local businesses and
offering them the support they need to reach their goals. This is not only accomplished
through our monthly magazine, but also through our digital marketing assets. With the
addition of our 3D Digital Solutions Team, we now have the ability to create SEO-
optimized, mobile-friendly websites, manage social media and emails, as well as create
targeted, digital banner advertisement campaigns. As our clients’ businesses grow, we
intend to grow with them and provide additional opportunities for their advertising dollars.
As a Money Pages franchisee, it is essential that you fully understand the hard work and
commitment it takes to find success in this industry. You should page through your
magazines and feel invested in them, knowing your hard work has helped create a
worthwhile product. You have to truly see the magazine as a valuable resource for
everyone - business owners and readers alike. At the same time, we hope you love what
you do and develop a passion for making a difference in the local business community.
Everyone succeeds when your magazine is in mailboxes and on coffee tables, and your
clients’ phones are ringing and customers are saving money.
And most importantly, you can count on our support to help you achieve your business
goals.
TRAINING AGENDA
MONDAY, MAY 1
Unit Topic Speaker Run Time
BREAK 10:00-10:15
LUNCH 12:00-1:00
BREAK 10:30-10:45
BREAK 2:45-3:00
WRAP UP 4:00-5:30
Advisory Councils
At such time as it is deemed appropriate, we may develop an Advisory Council program
for the purpose of encouraging the exchange of ideas between us and franchisees, and
providing suggestions for improving the overall quality of the system. Such a program is
designed to foster communication between us and all franchisees, as well as among
franchisees.
Corporate Website
We have established a corporate website that provides money saving digital offers to local
readers as well as extensive information about Money Pages. As a franchisee, you will
have a dedicated geo-targeted website for your market on moneypages.com. Each of
your magazine clients will have a digital offer and you will receive additional information on
selling enhanced profiles and banner opportunities for additional revenue. You will also
receive a geo-targeted Contact Us page specifically listing you and your sales team.
Finally, each of your website listed clients will be loaded to the Money Pages app to
provide mobile access to digital savings for your community. Dedicated sections of the
manual will cover the specifics of your available digital offerings.
Ongoing Training
We may offer national and/or regional conferences on a yearly basis for you and/or your
staff members at a cost of $200 per day per participant. This training may address new
products and services or offer insight into managing the business and growing revenues.
Franchisee Responsibilities
As a Money Pages franchisee, your success is directly tied to your active, daily
involvement with the businesses in your market area. It is important that you do your part
to offer the most reliable and professional service possible.
Some other responsibilities that may immediately come to mind pertain to your
responsibilities to protect our techniques, our trademarks, and your financial
responsibilities to us. (These financial requirements are covered extensively in your
franchise agreement.) In this discussion, we will cover how you can address all areas of
responsibility from clients to the franchisor.
Foster a strong rapport with your clients and build on the shared identity
as locally owned businesses.
Create a magazine with ads that help bring your clients’ messages to
life in the mailboxes of your readers.
Create a valuable resource that provides your readers with top quality
offers.
Educate and train your clients how to sell their products and services.
Be the best at what you do. We want to stand out in our industry as
being the best, and we want to be proactive in considering how to
improve on what we do.
Understand that clients want to stay involved with the owner of the
company. Be part of the relationship that your Money Pages account
executives have with clients.
During these visits, your field consultant will complete a Franchise Survey Form (see next
pages) to facilitate discussion and bring into focus areas of strength and weakness.
In addition to conducting visits, the field consultant will work with you to develop your
annual business plan. This annual process will provide you with a thorough review of your
business and assist in setting goals for the upcoming year.
F R A N C H I S E
O P E R A T I O N S M A N U A L
Pre-Opening Procedures
As you prepare to open your new Money Pages franchise, there are many general
business tasks to attend to. This includes things like securing a location (unless you are
using a home office), setting up bank accounts, purchasing required equipment and
supplies, obtaining required licenses and permits, securing the necessary services and
insurance, and initially spreading the word about your new Money Pages business in the
local area.
This section covers the tasks you must complete to begin operation of your franchise in
accordance with our standards.
S E C T I O N B
F R A N C H I S E O P E R A T I O N S M A N U A L P R E - O P E N I N G P R O C E D U R E S
Table of Contents
PRE-OPENING CHECKLIST............................................................. 1
Pre-Opening Checklist
Opening up a new business requires organization and decision-making skills. The
checklist on the following page is designed to help you in planning the opening of your
Money Pages office. It includes a general outline of what needs to be done so you can
equip the business, complete training, and commence operation within 60 days from the
time you sign the franchise agreement, and publish your first magazine within 90 days of
signing the franchise agreement.
To aid you in your opening process, we have designed a Pre-Opening Checklist (see
Figure B.1) that lists the typical steps required to open a Money Pages franchise. This
sequence of activities is also outlined below. Your business development may not
proceed exactly in the order outlined below; however, the outline will give you an overview
of the process. Keep in mind that each state, county, city, or township has its own set of
laws and codes particular to your business. You will need to discuss these matters with
your local business organization, as well as with your accountant or attorney, to make
sure you obtain all necessary permits and legal documents.
In addition, if you are using a home office, your process will be different.
TASK WHEN TO DO
Sign franchise agreement. 2 months before
Apply for all required business licenses and permits. opening
TASK WHEN TO DO
Order office furniture, equipment and supplies. 1 month before
Make a plan with us for initial and in-field training. opening
We understand that you may feel overwhelmed during the pre-opening process; there are
many details that must be attended to and many decisions that must be made. Be
assured that the corporate staff understands this and will work closely with you throughout
this process.
Opening a new business is an exciting experience. Careful planning will help make
starting your new business the positive experience we all want it to be.
www.sba.gov/smallbusinessplanner/start/chooseastructure
Note: When setting up the business, franchisees should establish their own
independent business identity doing business as (dba) Money Pages. While we
grant franchisees permission to use the Money Pages marks to identify your
business to the public, your legal business name may not include the Money Pages
name or any variation of the Money Pages name. Accounts with suppliers, services,
banks, etc. should be set up using your independent business name. In addition, any legal
documents that include the Money Pages marks such as employment contracts,
employee forms, insurance policies, etc, should also include the legal identity of the
franchisee’s independent business.
Protected Territory
Each franchisee will be granted a protected area within which he or she will be given the
right to market products and services under the Money Pages name. Provided the
franchisee is not in default of the franchise agreement, we will not locate another
franchised or company-owned facility within the franchisee’s protected area.
The franchise territory is an area that contains 25,000 to 50,000 households. We may
determine the boundaries of the franchise territory using the most current data from any
demographic information provider and/or public information (including public information
available on counties, municipalities, zip code, voting districts) we deem appropriate.
Finding an Office
One of the first issues you need to address is finding a small office area where you can
handle day-to-day operations and keep your business records and supplies. Whether you
choose to have a traditional or home office, you must maintain a place of business.
As your franchise agreement states, you must find an acceptable office within 30 days of
signing the agreement, unless you had an office in place prior to signing the agreement.
You must be ready to open for business within 60 days of signing the agreement.
Office Requirements
Dedicated call tracking number will be assigned to your business. This number
must be included on your website and all agreements. This number must be
answered only by you, or your manager and employees. The phone should be
forwarded to a cell phone when no one is available to answer the office line.
Voice mail
High-speed Internet access
Smart phone
Office Equipment
Fax/scanner/printer/copier
Computer
Desk
File cabinet
Chair
Traditional office supplies, including paper, folders, staplers, tape, etc.
Ideally, you will find a space with 250 square feet. You may find that an executive suite
where you share utilities, conference rooms, receptionists, etc. will fit your needs. Ideally,
your office should be centrally located in the territory to provide easy access to all areas.
You must submit all proposed sites to us for review and you may not move forward
without acceptance from us.
Site Review
You must submit to us a Site Evaluation Form (see next page). This form includes a
description of the site, including evidence that the site satisfies our site selection
guidelines, as well as a letter of intent or other evidence that confirms your favorable
prospects for obtaining the site. Once a site has been reviewed, you must finalize the
purchase, lease, or sublease of the site.
Promptly following our review of the site, you must enter into a lease or contract of sale for
the site.
Understand that having a location reviewed simply means that we feel the building is
compatible to Money Pages system needs and to your approved business size.
Adaptation is still required to enable you to operate your Money Pages franchise smoothly
and systematically from the location.
Negotiating a Lease
Once we have reviewed your office space, you must negotiate a lease to secure the
property. The terms of the proposed lease, including the financial terms, should be
comparable to the fair market terms of similar leases in the geographic area. When
negotiating a lease, have your attorney review the lease provisions and make sure you
fully understand your rights and responsibilities under the lease. In addition, your lease
should allow you to display Money Pages signage and receive first right of refusal for
adjoining space.
If you are interested in a space, a landlord will typically provide you or your broker with an
initial letter of intent, or LOI. We highly recommend that you use an experienced office
broker.
Always involve your attorney and other advisors in the process of assessing potential
deals that are on the table. Take the time necessary to flush out all details of your counter
offers and respond accordingly. A good deal will:
It is reasonable to negotiate more than one lease at the same time. It is very possible that
the landlord with whom you are talking is negotiating with another prospective tenant
simultaneously.
The documentation you provide the leasing agent will help them to gain a better
understanding of your business. It is important that the leasing agent fully understands the
difference in your business.
The rental rate and cost will differ by area. We recommend that you choose several
locations and compare what you get with each. Ask questions of the local neighbors of the
sites you are considering. Arm yourself with as much information as you can. Below are
some key questions to ask present renters:
Property pricing: Community Area Maintenance fee (CAM) – this is not a negotiable fee
Base rent
Ask to see the landlord’s policy for their signage requirements so that you know what to
expect, then get estimates for your sign per the guidelines you are provided.
Check the building in and out for physical appearance; if you find conditions that warrant
work, include this in your lease negotiations.
First negotiations begin by finding out the rental rate. Begin your negotiations by always
asking for less than the first amount quoted.
Also ask for a clause in your lease that would allow you the option of extending your lease
for an additional term at the end of the original contract.
Computer Equipment:
Digital camera
1. Go to http://www.moneypagespromo.com.
2. Click on the ‘Shop’ tab and select ‘Collateral’ under ‘Product Categories’ in the left pane
for everyday business items you may need.
3. If you need tablecloths or other Money Pages branded items for events and trade shows,
select ‘Promotional Items’ under ‘Product Categories’ in the left pane.
4. To order an item, click on the picture to view its price, the quantity provided, the product
details, and to select how many you may need.
5. Once you have selected all your items, click on the ‘Cart’ tab and review your order prior to
checking out.
6. If everything is correct, select the ‘Checkout’ tab, fill in your information and place your
order. Please note that payment will automatically default to ‘billable.’
All uses of the Money Pages marks, whether in print or electronic format, must be
consistent with the colors and design of the Money Pages logo. Upon request, or for a
specific situation, we may provide the Money Pages logo to you electronically.
These symbols and marks are designed to provide significant recognition and goodwill for
the corporation as a whole, and the proper use of the marks serves importantly to
establish Money Pages as a nationally recognized, branded name.
It is important to note that you may not use the trademark as part of your legal
business name. You should only use Money Pages when referring to us, the goods and
services, or the Money Pages business opportunity. Franchisees may not use Money
Pages in their corporate or legal name.
Only Money Pages franchisees are authorized to use the registered symbols and marks.
When it is appropriate, news media may use the corporate symbol when reporting on the
corporation or franchisees.
Signage Requirements
The specifications for signage in your area may, to an extent, be controlled by your
landlord and the terms of your lease. Specifications for exterior signage may also be
dictated by local ordinances. Note that any signage plans must be approved by us.
You may also encounter a variety of permits, inspections, and other requirements that
must be met prior to opening your business, many of which are construction-related.
There are also laws and ordinances that regulate businesses. You must operate in full
compliance with these laws and ordinances.
Unemployment insurance
? Whether deposits are required and, if so, how much they are
At a minimum, you will need to make arrangements for the following services; some of
these may be included in your lease – be sure to ask:
Gas
Phone services
Call Tracking
Ad Mall
Once you have chosen a bank, you need to set up an account to support your operations.
Be sure to have your EIN number and Articles of Incorporation with you when you visit the
bank to initiate your account. In addition, you will need to name the account to match the
name of your business identity.
Keep in mind that your main deposit account will be required to be a Bank of
America account or a designated corporate provider that offers remote deposit
capture (RDC) services to ensure our hardware is compatible with your banking system’s
needs. For other business related accounts, you may use any bank of your choice.
Open this account under your business’ name, and have your checks clearly imprinted
with your business’ name and address. With this account, you can control the general
income and expenses of your business.
In addition, prior to opening for business, you will need to have a Banking Authorization
(see Figure B.3) on file with us and with your bank authorizing us to make deposits and
withdraw debits from your account. The Authorization is also included as Appendix E to
the franchise agreement.
Getting Insurance
As a Money Pages franchisee, you are required to maintain in force certain insurance
policies to cover various risks as specified by us.
All required policies must be maintained during the entire term of operation. We may
periodically increase or decrease the amounts of coverage required under these
insurance policies and require different or additional kinds of insurance at any time,
including liability, higher damage awards, or other relevant changes in circumstances.
Before the expiration of the term of each insurance policy, you must furnish us with a
Certificate of Insurance for each policy to be maintained for the upcoming term, along with
evidence of payment of the premium for each.
In addition to required coverage, you may wish to consider other types of insurance for
your employees, such as health insurance, life insurance, disability insurance, etc. If you
wish to consider such additional insurance as benefits for your employees, discuss them
with a qualified insurance agent or broker.
F R A N C H I S E
O P E R A T I O N S M A N U A L
Ownership Considerations
As a Money Pages franchisee, you have particular considerations to help ensure the
health and growth of your business. We have designed this section as an explanation of
particular business considerations that are unique to franchisees. As always, we are
available to provide support to all our franchisees, but understand that we are not
engaged as your professional consultants. Consider these explanations as guidelines and
consult with your attorney or accountant when you have a specific question or concern.
S E C T I O N C
F R A N C H I S E O P E R A T I O N S M A N U A L O W N E R S H I P C O N S I D E R A T I O N S
Table of Contents
Federal Taxes................................................... 10
Audit ................................................................. 13
Indemnification ................................................ 13
Interest ............................................................. 13
Modifications.................................................... 14
Your initial zone should be showing growth or stability for 18-24 months prior to
considering adding another zone. Before entering additional zones, you need to consider
your staffing and cash flow, as both of those elements of your business will be affected by
the addition of a zone. Your staff’s responsibilities will grow and account executives may
need to be added. In addition, your cash flow will be greatly affected with the necessity for
additional investment in the business. Be sure to consider the demographic of neighboring
zones to ensure they meet the demographic of Money Pages clients and readers.
Research any competing publications in neighboring zones to determine if you can
penetrate the zone well enough to make it a profitable experience.
As you grow into additional zones, however, you can leverage off of your presence in the
initial zone and package promotions for clients, offering them a wider presence in the area
and the opportunity to grow their customer base.
Exit Strategies
If you decide that you want to pull yourself out of the franchised business, you will need a
process for doing so. We suggest the following as a general guide to the selling process,
but there are many more specific decisions and considerations that are unique to your
situation.
1. Weighing all factors, make the decision to pull out of the business. Be
sure to notify us of your intention and your estimated timetable for
selling the business. As stated in the franchise agreement, the
corporate office holds the right of first refusal to purchase the business.
3. Apply for approval from us. See the franchise agreement for specific
information regarding the transfer and sale of your franchise.
4. Negotiate the terms of the sale that are acceptable to you and your
buyer.
Bringing In Partners
You may also find that bringing in a business partner can help infuse some additional
capital into the business and ease some of the stress of single ownership. There are
benefits to partnership, such as additional labor and sharing of management duties. There
are, however, disadvantages to consider as well, such as sharing decision making,
sharing profits, etc.
Deciding to bring in a partner should be a decision you consider fully, and make sure you
are well-versed in the legal ramifications of the business partnership. If you choose to
bring on a partner who will hold more than 10% ownership, you will need to gain corporate
approval.
As an owner, it is your responsibility to look closely at sales reports and identify any
trends, positive or negative. Do not leave these details to your manager as you are
ultimately responsible for the health of your business. It is important that you stay involved
at every level so as to make sure receivables and payables don’t spin out of control.
If a client mails a check into the corporate office, we will post that payment into
QuickBooks and deposit those funds into your account. You are responsible for posting all
other payments into QuickBooks.
Since Money Pages franchisees have a variety of experience and expertise in financial
matters, the following information is provided as a primer on the financial statements the
accountant prepares. You are encouraged to become familiar with this terminology.
Most financial information a franchisee is required to report is on the balance sheet and
the income statement (also known as the profit and loss statement).
The following example illustrates how assets (on the left) and liabilities and net worth (on
the right) balance each other. The entry of net worth on the liabilities side is used to
ensure that the balance sheet does, in fact, balance. Because net worth is simply assets
minus liabilities, listing it as a liability ensures that the two sides balance.
ASSETS LIABILITIES
ASSETS
Trade Receivables
All accounts from trade, net of allowances for doubtful accounts.
Inventory
Anything constituting inventory for the company.
Fixed Assets include all property, improvements, renovation, and equipment. Fixed
assets have accumulated depreciation or depletion.
All Other Non-Current Assets include prepaid items (such as insurance), deposits, and
any other non-current assets.
LIABILITIES
Accounts Payable
Open accounts due.
Long-Term Debt
All senior debt, including bonds, debentures, bank debt, mortgages,
deferred portions of long-term debt, and capital lease obligations not
due within the next fiscal year, but beyond. It is recommended that
your long term debt reach maturity between 3 to 5 years.
Deferred Taxes
All deferred taxes.
The income statement provides key information about the financial performance of a
company for a given period of time and is typically prepared monthly, quarterly and
annually. It also provides historical perspective about the company’s revenue generation,
its costs, and various measures of profitability. This is in contrast to the balance sheet,
which provides a snapshot of the company’s position at a given moment in time.
Operating Expenses
All selling and general and administrative expenses, including
depreciation, but not interest. Inspect this item quarterly and attach it
first when you receive an undesirable P&L.
Operating Profit
Gross profit minus operating expenses.
Other Expenses/Income
Expenses such as interest expense and miscellaneous expenses
not included in general and administrative expenses, including other
miscellaneous income such as recoveries, interest income,
dividends received, and miscellaneous income.
There are particular benchmarks and key performance indicators that you should monitor
in order to maintain control and a positive cash flow for your Money Pages franchise.
Keep the billing per page amount at $1,000 or above. This is key to
help ensure the profitability of the magazine. The Billing Per Page
amount is your total sales revenue divided by the page count of your
magazine.
Receivables
Operating Margin
Labor Costs
Revenues
The chart of accounts lists all accounts in the general ledger; each account is
accompanied by a reference number. All Money Pages franchisees will use the same
chart of accounts that will be set up by us.
Account Order
Balance sheet accounts follow a standard that lists the most liquid assets first. Revenue
and expense accounts follow the standard of first listing the items most closely related to
the operations of the business. For example, sales would be listed before non-operating
income. In some cases, part or all of the expense accounts simply are listed in
alphabetical order.
Tax deposit and reporting requirements can be complex; you may find that the services of
an experienced tax accountant may be well worth the fees charged. Even with this
assistance , you will find that you must devote a great deal of time to record keeping and
tax reporting. Keep in mind that you are subject to penalties incurred for late payment of
taxes, so you must establish an effective method for submitting appropriate taxes
accurately and on time.
Note that any questions pertaining to tax collection and payments should be
addressed with a professional advisor. You own the franchise and you are responsible
for payment of applicable taxes.
Federal Taxes
The type of business you operate determines what federal taxes you must pay and how
you pay them. In most cases, the following taxes will apply to businesses:
Self-employment taxes
Unemployment taxes
Circular E (Employer’s Tax Guide) and Publication 509 (Tax Calendar) can help you file
the appropriate federal taxes on time. This publication is updated annually, so be sure to
regularly request it or go online to get updates at the website for the IRS: www.irs.gov.
You meet the “file or “furnish” requirement if the form is NOTE: If any filing date falls on a
properly addressed and postmarked first-class on or Saturday, Sunday, or a legal
before the due date. holiday, the deadline becomes
the next business day.
State Taxes
Each state has its own sales tax law. In some areas, there are local regulations governing
the amount and method of collection of this tax. As a business owner, you may also be
subject to state income and unemployment taxes depending on the state and your form of
business. You are responsible for obtaining any rules, regulations, and tax charts from
your local governmental agencies.
Required Reports
No later than 10 days after the end of the 6-month period (January 31 and June 30
annually), you must provide a statement of local advertising and promotion expenditures
for each 6-month period and fiscal year to date along with invoices documenting these
expenditures.
If requested, you must also provide copies of federal and state income and other tax
returns, or any other forms, records, books, and information requested that relate to the
operation of your Money Pages business.
In general, as a Money Pages franchisee, you agree to maintain and furnish to us upon
request all records of or relating to your business and all income and other tax returns filed
by you reflecting the activities of your Money Pages business.
Financial Statements
In addition, no later than 90 days after the end of your fiscal year, we will pull a financial
report from QuickBooks showing the results of your operations, including the balance
sheet, income statement and cash flow related to your Money Pages business during the
fiscal year. At our request, you may be required to have these financial statements
audited.
Attorneys’ Fees
If we incur expenses in connection with your failure to pay amounts owed to us when due,
to submit when due any reports, information, or supporting records or otherwise to comply
with the franchise agreement, you must reimburse us for any of the costs and expenses
which we incur, including, without limitation, reasonable accounting, attorneys’,
arbitrators’, and related fees.
Audit
We reserve the right to audit the books of all of our franchisees. When an audit is
conducted and we identify more than a 3% difference in what you owe us and what you
have reported to us, the cost of the audit is due to us.
Indemnification
You must indemnify us and list Money Pages Franchising Group, LLC as an additional
insured on your insurance policies. If we are found liable for claims arising from your
operations, you will be responsible for reimbursing us for our costs resulting from these
claims.
Interest
Should you fail to make a payment or submit required reports within the timeframes
established in the franchise agreement, you will be charged the lesser of 18% per annum
interest or the maximum rate allowed by applicable law.
Local Advertising
In addition to the Marketing Contribution, we require all franchisees to spend a minimum
of $250 per month ($1,500 per six-month period) on local advertising, marketing, and
promotion.
Modifications
If we change or modify the Money Pages system, you must make such expenditures as
necessary to conform to such changes or modifications.
Marketing Contribution
Recognizing the value of uniform national and regional advertising and promotion of the
system, we require all of our franchisees to contribute $250 per month to the Money
Pages Marketing Fund.
Nonsufficient Funds
If there are insufficient funds in your account to pay fees to us when due, you must pay a
nonsufficient funds fee of $1,000 for each occurrence. This fee is in addition to applicable
late fee and interest on overdue amounts.
Renewal Fee
In order to renew your franchise agreement, you must meet all specifications listed in the
franchise agreement and pay us a renewal fee of $2,000 upon signing the new franchise
agreement.
Transfer Fee
If you choose to sell your franchise to a new franchisee, you or the transferee must pay us
a transfer fee equal to 60% of the initial franchise fee for a Money Pages franchise. This is
to defray expenses we may incur in connection with the transfer. If you transfer ownership
to a current franchisee, you must pay a transfer fee equal to 30% of the initial franchise
fee for a Money Page franchise.
F R A N C H I S E
O P E R A T I O N S M A N U A L
Personnel
This section of the Money Pages Franchise Operations Manual addresses the issues
related to recruiting, hiring, training, supervising, and disciplining employees. It provides
guidance regarding the legal and practical concerns you will need to deal with when
managing employees.
While the contents of this section of the manual will prove to be invaluable to you at such
time as you hire employees, it is not possible to cover every issue you will face when
working with employees. So, whenever a specific challenge faces you, contact us for
more support, or contact your attorney or accountant for professional advice.
S E C T I O N D
F R A N C H I S E O P E R A T I O N S M A N U A L P E R S O N N E L
Table of Contents
Mediation............................................................ 3
Remedies............................................................ 4
Technical Assistance......................................... 4
Publications ....................................................... 5
Job Offer........................................................... 40
S E C T I O N D
F R A N C H I S E O P E R A T I O N S M A N U A L P E R S O N N E L
ORIENTATION .............................................................................. 45
Forms................................................................ 45
Overview of Office............................................ 55
TERMINATION/SEPARATION........................................................ 81
Termination ...................................................... 81
Resignation ...................................................... 84
S E C T I O N D
F R A N C H I S E O P E R A T I O N S M A N U A L P E R S O N N E L
EEOC Guidelines
As a Money Pages franchisee, you must provide equal opportunity in all aspects of
employment to all qualified persons and avoid discriminating against any person because
of age, race, color, religion, national origin, gender, marital status, or physical or mental
disability, unrelated in nature and extent so as to reasonably preclude the performance of
employment.
The U.S. Equal Employment Opportunity Commission (EEOC) enforces the federal laws
that prohibit employment discrimination on the basis of an individual’s race, color, religion,
gender, national origin, age, or disability. The pages that follow will provide you with basic
information about EEOC-enforced laws and processes. They highlight issues of particular
interest to small businesses.
The Equal Pay Act of 1963 (EPA) prohibits wage discrimination between
men and women in substantially equal jobs within the same establishment.
The EPA applies to most employers.
An employee is someone with whom the employer has an employment relationship. The
existence of an employment relationship is most readily (but not exclusively) shown by a
person’s appearance on the employer’s payroll. Independent contractors are not counted
as employees because the work they perform is based on an independent contractual
relationship, not an employment relationship.
Under ADEA record keeping requirements, employers must also keep all payroll records
for three to seven years. Additionally, employers must keep on file any employee benefit
plan information (such as pension and insurance plans) and any written seniority or merit
systems for the full period the plan or system is in effect and for at least one year after its
termination.
Under Fair Labor Standards Act (FLSA) record keeping requirements applicable to the
EPA, employers must keep payroll records for at least three years. Some requirements
are state-specific for all of the above.
Reporting Requirements
The EEOC requires larger employers to file an EEO-1 report each year, which provides a
breakdown of an employer’s work force by race, gender, and national origin. However,
employers with fewer than 100 employees and federal contractors with fewer than 50
employees and contracts under $50,000 are exempt from this requirement.
Also, the EEOC has field offices across the country. An employee or applicant for
employment who believes he/she has been discriminated against can file a charge of
discrimination at any EEOC field office.
Filing process: 1. EEOC will send a copy of the charge to the employer.
2. EEOC will immediately dismiss charges that raise no legal claim under
EEOC-enforced laws.
Mediation
EEOC has implemented a mediation program that is now available in most EEOC field
offices across the country. Mediation is an alternative to the sometimes lengthy
investigative process.
Remedies
Under EEOC-enforced laws, principal remedies for unlawful employment discrimination
include reinstatement or hiring, court orders to eliminate discriminatory practices,
restoration of lost wages, damages, and attorneys’ fees. An employer is responsible for
the full amount of lost wages and attorneys’ fees. Lost wages are not considered
damages.
Employers with… Maximum
The size of a company will determine the
15 to 100 employees ................ $50,000
“cap” on the damages available from an 101 to 200 employees .............. $100,000
employer to a complaining party. 201 to 500 employees .............. $200,000
More than 500 employees........ $300,000
Technical Assistance
The EEOC’s Technical Assistance Program Seminars (TAPS) are designed to educate
employers and provide the technical assistance necessary to comply with federal laws
prohibiting employment discrimination. TAPS programs are offered across the country, on
a fee-for-service basis. To find out where and when TAPS programs are given, contact
the nearest EEOC field office by calling (800) 669-4000.
Informal Guidance
Employers who have questions about the laws enforced by EEOC or about compliance
with those laws in specific workplace situations may seek informal guidance by writing to
EEOC’s Office of Legal Counsel.
Publications
EEOC publications (including text of the laws enforced by the EEOC, facts about
employment discrimination, and enforcement guidelines and related documents) are
available free of charge by writing the EEOC’s Publications Information Office.
Sexual Harassment
Sexual harassment is a form of unlawful sex discrimination. Sexual harassment includes
any unsolicited sexual advances, requests for sexual favors, or any other sexually-
oriented action, object, or dialogue that may be considered by the recipient to be
personally offensive, derogatory, or abusive. Examples include, but are not limited to,
sexual bartering, personal touching, obscene jokes, derogatory or sexist comments,
and/or suggestive material or objects (e.g., photos, posters, T-shirts).
Employers are responsible for maintaining a workplace that is free of sexual harassment.
Employers may be liable for the unlawful conduct of their associates, supervisory
employees, employees and, in certain circumstances, even non-employees who sexually
harass employees at work.
Unlawful actions: Racial or ethnic slurs, jokes, or other offensive or derogatory comments
Employers are responsible for maintaining a workplace that is free of racial and ethnic
harassment. Employers may be liable for unlawful conduct of their associates, supervisory
employees, employees and, in certain circumstances, non-employees who harass
employees at work.
Pregnancy Discrimination
Under Title VII, discrimination on the basis of pregnancy, childbirth, or related medical
conditions is unlawful sex discrimination. Title VII’s prohibition against pregnancy
discrimination applies to all terms and conditions of employment, including hiring,
termination, promotion, leave, and benefits.
Religious Accommodation
Employers are required to provide an accommodation for employees’ sincerely held
religious observances or practices unless the accommodation would impose an undue
hardship on the employer’s business.
Undue hardship Undue hardship can be claimed if an accommodation imposes more than
claims: “de minimis” cost, generally meaning more than ordinary administrative
costs.
IRCA also prohibits discrimination in hiring and discharge based on national origin (as
does Title VII) and on citizenship status.
IRCA provisions: IRCA’s national origin discrimination provisions apply to employers with
between 4 and 14 employees (who would not be covered by Title VII).
Record keeping
Current standards: The federal minimum wage was set at $7.25 per hour as of July 24, 2009.
As of this writing, the federal minimum wage requirement had not changed.
Employees under 20 years of age may be paid a training wage of $4.25 per
hour during their first 90 consecutive calendar days of employment.
Employers are required to keep records on wages, hours, and other items
that are generally maintained as an ordinary business practice.
Money Pages does Child labor provisions are designed to protect the educational opportunities
not recommend that of youth and prohibit their employment in jobs and under conditions
any franchisee hire
employees younger detrimental to their health or safety. Employees must be at least 16 years of
than 18 years of age to work in most non-hazardous jobs and at least 18 years of age to
age. work in jobs declared hazardous under the FLSA. Youths 14 and 15 years
of age may work outside school hours in various non-manufacturing, non-
mining, non-hazardous jobs under the following conditions:
Between the hours of 7:00 a.m. and 7:00 p.m., except from
June 1 through Labor Day, when evening hours may be
extended to 9:00 p.m.
Wages required by the FLSA are due on the regular payday for the pay period covered.
Deductions made from wages for such items as cash or product shortages, employer-
required uniforms, and tools of the trade are not legal if they reduce the wages of
employees below the minimum wage or reduce the amount of overtime pay due under the
FLSA.
The Department of Labor may recover back wages, either administratively or through
court action, for employees who have been underpaid in violation of the law. Violations
may result in civil or criminal action. Fines of up to $10,000 per violation may be assessed
against employers who violate the child labor provisions of the law and up to $1,000 per
violation against employers who willfully or repeatedly violate the minimum wage or
overtime pay provisions.
Exceptions: Certain occupations and establishments are exempt from the minimum
wage and/or overtime pay provisions. This includes Money Pages sales
professionals who are paid a base salary and draw a commission, as well
as 1099 contract employees who are paid entirely on commission.
Where state law requires a higher minimum wage, the higher standard
applies.
This law prohibits discriminating against or discharging workers who file a complaint or
participate in any proceedings under the Act. However, for the FLSA to apply, there must
be an employment relationship between an employer and an employee. The FLSA also
contains some exemptions from these basic rules. Some apply to specific types of
businesses and others to specific kinds of work.
The following six criteria must be applied when making this determination:
The intern does not displace regular employees, but works under close
supervision of existing staff;
The employer and the intern understand that the intern is not entitled to
wages for the time spent in the internship.
If all of the factors listed above are met, an employment relationship does not exist under
the FLSA, and the Act’s minimum wage and overtime provisions do not apply to the
intern.
In General, Money Pages does not bring on unpaid interns due to the nature of our
business and the tasks assigned to them.
The FLSA does not provide wage payment or collection procedures for an employee’s
usual or promised wages or for commissions in excess of those required by the FLSA.
Also, the FLSA does not limit the number of hours in a day, or days in a week, an
employee may be required or scheduled to work, including overtime hours, if the
employee is at least 16 years of age. However, some states do have laws covering some
of these issues, such as meal or rest periods or discharge notices, which would then
apply.
These types of matters that are not covered by the FLSA are generally for agreement
between the employer and the employees or their authorized representatives.
For additional information regarding the FLSA, contact the nearest Wage and Hour
Division office, listed in most telephone directories under United States Government,
Labor Department. Information is also available online at www.dol.gov/elaws.
Keep in mind that you need to have at least two individuals whose primary task is to sell to
clients. These individuals may include you as the franchisee, an account executive, or an
account manager. Regardless of the individual’s title, your legal documents require you to
have two sales people at all times.
Think about what you are trying to accomplish. The primary objective is to place the right
number of employees in positions where they can do the job, will do the job, and fit with
your business and the job. You may have secondary objectives, such as developing your
staff (grooming some for management roles), controlling expenses, or maybe even
helping people with difficult personal situations. But keep the primary objectives as your
main focus, or you will only be frustrated in hiring employees.
Below are some traits that define can do, will do, and fit. These are traits to look for in
any employees you hire.
Team Player
An employee who is a team player is essential to your success. Team players work well
together and are willing to learn from each other. A team player understands individual
responsibilities and tasks, but is willing to lend a hand for the success of the entire
operation.
Sales Personality
An outgoing personality is obviously important because you want to hire employees who
are not intimidated when they speak to people they don’t know. People with outgoing
personalities tend to be confident, happy, energetic people, and this will spread
throughout your business. They also tend to have a bit of a competitive streak, which can
help keep the energy level and drive high in your office.
Look for applicants who are independent, self-motivated, and take initiative. Ideally, you
don’t want to have to tell your account executives what they are supposed to do every
minute of the day. They should be able to see what needs to be done and take the
initiative to complete tasks. A self-motivated person wants to do a job well, both for
financial rewards and for personal success.
Pride
People who take pride in their work are generally better employees. You want to hire
people who take pride in themselves: their appearance, work ethic, work experience,
accomplishments, etc. And then you want those people to take pride in working at Money
Pages!
Applicants with previous sales experience are essential to the success of your Money
Pages Franchise. Potential employees need not have past experience with advertising
sales, but they should be able to demonstrate a history of building client relationships,
calling customers, and closing deals.
As part of the hiring process, we strongly encourage you to take advantage of our
Predictive Indexing Tool. This easy-to-use tool may be ordered through our Money
Pages Franchise Portal and includes a short quiz that is given to all applicants as part of
the employment screening process. The quiz is sent via email to the applicant. Upon
completion of the quiz, you will receive a two-page report (see sample on next page)
detailing the applicant’s personality traits. It’s a valuable tool that can help you select the
best people for your business.
Job Descriptions
We have developed the following breakdown of responsibilities to help you fully
understand the various positions that may develop in your office. In the beginning, you will
likely start with just account executives, but as your business grows and you consider
adding zones, you may need to hire for additional positions. We can help provide job
descriptions when you have determined that you need to hire for additional positions.
Account Manager/Representative
Reports to: Franchisee
Recruiting Employees
Selecting the right employees is the first major step you can take to help your business be
successful. The key to obtaining the right people for the right positions at the right time is
an involved process. But, it is a necessary process because the success of your franchise
depends to a large extent on your ability to hire people who can perform the job reliably
and successfully.
The information included in these next discussions has been assembled to enable you to
properly staff your business office without resorting to desperate measures or sacrificing
standards, whether you are staffing initially or hiring when your business grows.
Understand that the employees you hire are your employees, not ours. Thus, the
guidelines that follow for hiring are recommendations based on what we have found to be
effective; you may utilize other methods if you prefer. Your employees are a reflection of
your business and you. Their appearance, professionalism, and treatment of clients will
strongly impact the success of your business.
Hiring tips: Hire the applicant who best demonstrates the ability to perform the
essential duties necessary to fulfill the essential requirements of the job,
as specified in the written job description.
Do not deviate from your established policies during any part of the
hiring process.
Treat all applicants with common courtesy and respect at all times.
Hire an applicant because the person appears to be the best person for
the job, regardless of “what” or “who” that person is.
Sample Recruitment Ad
Money Pages has an immediate opening for an Account Executive in XXXXX
Job Description:
Jacksonville’s premiere savings magazine opened as a locally-owned and operated marketing franchise in XXXXXX.
The owner and publisher are excited to offer a first class opportunity to help local businesses grow by delivering a full
color monthly direct mail magazine to more than XXXX homes in XXXXX. Each issue contains thousands of dollars
in local savings for dozens of the best in local area businesses. As an Account Executive, you will work closely with
business owners, decision makers, decision influencers and advertising agencies to create and implement
successful advertising and marketing campaigns. We are building a team of experienced marketing professionals to
expand our footprint and help the local community through our direct response publication. Help businesses grow
their reach with our marketing tools while helping local readers save money on everyday purchases. Motivated
individuals who are excited to be part of a dynamic sales team environment will find this a compelling opportunity to
be part of a top tier marketing company. This is your opportunity to participate in building the area’s newest and
most effective choice in direct response media.
Qualifications:
Prospect new sales opportunities through direct marketing and monitoring other marketing channels to identify
business owners that have an immediate need to get their message to the marketplace. Present solutions that help
businesses meet their marketing goals using the full suite of Money Pages print, direct mail, and interactive products.
Foster long term relationships with new and existing customers to help them continue to grow. Significant
engagement with the local community, participation in networking groups and local events to build a strong referral
network. Monitor and evaluate ad campaign performance to ensure maximum effectiveness.
[EMAIL ADDRESS]
An independently owned and operated franchise of Money Pages Franchising Group, LLC
Screening Applicants
After you have posted a position, applicants will begin to send in their résumés via email
or in whatever manner you requested in your ad. The goal is to narrow down the
applicants and categorize them by your degree of interest in that applicant. Use the
Telephone Talent Screener (see next page) and your own experience to screen
applicants.
As you review résumés, you can focus your review on several areas:
All questions used during the interview process should center on the applicant’s ability to
do the job, availability to work the hours required, willingness to accept the salary/wage,
conformity to Money Pages standards for such things as grooming, punctuality,
appearance, and apparent demeanor. Questions asked should never suggest any biases.
Each question must be directly related to the requirements of the job and not suggest
assumptions about any protected class or group.
If an applicant volunteers information that you aren’t permitted to ask (e.g., family status),
this does not give you license to discuss the matter further. Instead, you must redirect the
conversation to job-related factors and make it clear that you won’t use the unqualified
information as part of the decision process.
When conducting interviews, remember that first impressions will tell you a lot about an
applicant who wants to be hired. Be observant throughout the interview. Your goal is to
collect enough information on the applicant to make an informed decision. But at the
same time, you must develop an accurate picture of the job for which you are hiring and
communicate that to the applicant. Ultimately, you need to determine the ability of an
applicant to successfully perform the duties of the job.
The phone interview is the first step of the Money Pages interview process. Use the
Sales Team Selection Questionnaire (see Figure D.2) to ensure you ask all pertinent
questions and are consistent among sales applicants. Look for answers that represent
what you are looking for in an account executive.
If you do not wish to hire this person, be sure to thank the applicant and let the applicant
know you are doing a lot of interviewing and if he/she doesn’t hear back in three days, you
have probably moved ahead with a different applicant.
If you are interested in talking to this applicant more about the open position, let the
applicant know the next steps.
The face-to-face interview is the next step in the application process for qualified
candidates who had a strong phone interview.
Before interviewing, review the Do’s and Don’ts below so you can get the most out of the
interview.
Do conduct the interview in a quiet, private, Don’t keep an applicant waiting; this increases
comfortable place. anxiety and could give the applicant a negative
impression.
Do try to put the applicant at ease from the start
with brief, friendly conversation. Don’t build false hopes.
Do clearly outline the requirements and essential Don’t give opinions; only provide answers to any
elements of the job. questions that are asked.
Do encourage the applicant to ask questions and Don’t develop a “canned” interview.
talk about himself/herself.
Don’t use inappropriate or non-job-related
Do listen; an applicant should do most of the excuses to turn down a candidate.
talking.
Don’t send applicants away upset or angry. Make
Do ask questions that are specific to the position sure they leave with a positive feeling, whether or
you are looking to fill. not you plan to offer them a job.
Interviewing Most applicants are nervous during interviews. Try to make applicants
guidelines: feel as comfortable as possible.
When you ask a question, wait for the applicant to respond; resist the
temptation to converse. Silence can be a powerful tool for eliciting
additional information.
Note whether or not the applicant took time to review the company
website or investigate the details of the position himself/herself. This
demonstrates initiative and a higher level of interest in the role.
End the interview on a positive note. Let the applicant know what the
next step in the process will be and when to expect notification of your
decision.
Above all, remember to consistently use the same job-related criteria for all applicants. As
you consider the applicants you have interviewed, keep in mind that you should make
your selection on the basis of ability as demonstrated by past performance, employment
history, and education. Past performance is usually the best predictor of future job
successes.
Greet the applicant when he/she arrives and have the applicant complete an Employment
Application (see Figure D.3).
Discuss the applicant’s background. Encourage the applicant to talk about his or her
experience and impressions by asking open-ended questions. Focus on the applicant’s
résumé and drill down his/her experience. Discuss Money Pages and our philosophy and
approach with clients. Don’t embellish or try to paint the most positive picture of the job
either. It’s best to set realistic expectations and be honest about the day-to-day
expectations of the position. Our experience has shown that if you under-promise and
over-deliver, you tend to retain better employees. Be sure sales applicants understand the
challenge of a sales job.
You must also try to determine whether there is a good fit. To accomplish this, you should
let applicants do most of the talking. However, knowing what questions to ask during an
interview is very important. While you want to ask specific questions, remember that
there are guidelines (see page D-24) that dictate the types of inquiries that are unlawful
according to the EEOC.
Allow time for applicants to ask you questions they may have about Money Pages, the
job, or their expectations. This will sometimes help to shed some light on whether or not
an applicant is really interested in the job, especially if the questions are more specific
regarding duties, benefits, the typical workday, and the like.
If you are still interested in the applicant by the end of the interview, ask the applicant to
complete a background check immediately and ask for references that you can call. Use
the Reference Check form (see Figure D.4) provided.
Job Offer
Once you have considered your hiring criteria and the characteristics of all applicants, and
you are satisfied with your choice, contact the successful applicant and make an offer of
employment. We typically make a job offer over the phone and follow up with an offer
letter (see sample next page).
Rate of pay
Hours to be worked
Start date
When applicants accept an offer for employment, they must complete the I-9 Employment
Eligibility Verification Form (see example next page). Make sure they understand that you
will require them to present a valid driver’s license (or other photo identification) and a
copy of their social security card, birth certificate, or any other employment eligibility card
or document on their first day of employment.
We also give our new employees an Employee Handbook and ask them to sign for that
as well.
Every applicant who has been interviewed should receive a response. When applicants
have been eliminated, notify them within two or three days. Just call those applicants and
explain that you have selected another applicant who better meets your needs.
If at any point the employee is not performing to standards but you feel the individual has
the potential to improve and become a good employee with guidance and direction, you
might consider extending the probationary period.
While a probationary period is recommended, you still need to do all you can to make the
relationship work. During training, provide instruction and constructive feedback, handle
problems proactively, and provide counseling and additional training as necessary. That
way, if a new employee is not meeting the performance standards, will never perform to
standards (even with additional training), or is obviously not matched to the position, you
can be confident that you have done everything in your power to give the working
relationship a chance.
Orientation
The training and development of your employees starts with an orientation to the
business. As with any new relationship, the first few days a new employee spends on the
job will begin to shape impressions and attitudes that will stay with him or her for a long
time. So you should ensure that new employees complete a well-organized and thorough
orientation and ongoing training from day onenot just relating to duties and
responsibilities of the job, but to the Money Pages philosophy as well.
Proper orientation will help ensure that your new employees understand the values
upheld by Money Pages and are ready to become members of your team. Beginning a
new job is always intimidating, so reassure your new employees that they have just joined
a great and unique organization, and let them know how important they are to your
business.
Forms
Step 1: Have the new employee complete employment-related forms. Once you have
welcomed a new employee and have briefly described the orientation and training
process, there is information you must provide and forms you must have the new
employee complete and sign. Each employee should have a personnel file, which should
contain a copy of the following:
Although an Employee Status Change Form (see Figure D.7) is not completed at this
time, make sure the employee knows it exists and that it needs to be completed if any
personal information changes, such as marital status, change in federal withholding, or
change of address or phone number. This will help you maintain current personnel
information for payroll purposes. Also obtain the employee’s emergency contact
information.
Finally, ask to see the employee’s driver’s license An exception to the rule: To protect
(or other photo identification), as well as his/her the confidentiality of the information
social security card, birth certificate, or any other contained in individual personnel
employment eligibility card or document. files, all I-9 Forms must be kept
together in a separate file, not in
All information should be kept in the employee’s each individual’s personnel file.
personnel file.
Sample “What You Should Know About Me” Employee Management Tool
Overview of Office
Step 3: Give new employees an overview of the office. Introduce new employees to
those who are in the office; where appropriate, explain what the various positions are.
Also briefly talk about the new employee’s job description and their role in the office flow.
Your goal in orientation and training is to provide employees with the information they
need to excel in their jobs, which will ultimately help your business to reach its maximum
potential. Outline all of the standards you expect your employees to meet and then
provide the training needed to enable your employees to meet your expectations.
Training
As a business owner, you must understand that good employees are the foundation of
any business. The time and money you invest in training will return to you in the form of
confident, efficient employees and happy, loyal clients. But to train effectively, you must
have a plan so you know how long training will take, who will do the training, and how and
when the training will be conducted. Developing good employees depends on the quality
and effectiveness of the training you provide.
Don’t improvise.
Be prepared.
Consider the following Training Overview. Note that the first two weeks of sales training is
formalized training to build the new account executive’s product knowledge and sales
skills.
Week 1:
Discuss the magazine and other products we offer. Highlight key points to
remember about our products, packaging and rates. Note what works,
what doesn’t work, how to sell each product, solo mail, exclusive products,
digital packages, etc.
Discuss competitive media in the area, including pros and cons, strengths
and weaknesses, best categories to contact, industry rules, lead sources,
how to network.
Discuss putting together a good ad, what makes an ad succeed or fail, and
managing client expectations.
Week 2:
Discuss asking the right questions and coming up with the right CNA and
what should be the outcome, mini closes, contracting next steps.
Discuss follow up to the sale, growing accounts, selling with ideas and
production.
Following these first two weeks, pair the new account executive up with an experienced
account executive to observe and learn the sales process in detail. The new employee
also needs to see the whole process of the magazine through the month and what his or
her role will be. You should also have a sense of what a new account executive’s first
three months will look like.
Training should include Sales Training and Administrative Training topics during the
employee’s first three months.
Sales Training: Product Training and Pricing; Sales Collateral; Setting the Sales
Appointment; Call Sheets.
Administrative Training: Using the CRM; Production Process; Payments; Forms &
Agreements; Layout; Communicating Deadlines.
Ongoing Training
A well-trained employee is essential to satisfying clients. Remember that even the best
athletes in the world train on a regular basis. Their natural abilities only take them so far.
They only succeed when they strive to continually improve their skills through ongoing
instruction and repeated practice.
Why is it important to view the training process as an ongoing one? There are several
reasons.
Reasons for Responsibilities change from time to time after initial training is
ongoing training: completed.
Proper training eliminates the frustration employees feel when they are
asked to step in and do a job that they don’t know how to do.
Certainly the need for training is obvious. What is less obvious, however, is the fact that
training never ends. No one is ever fully trained. There is always something more to
learn about the many aspects of customer service at Money Pages, and there is always
something new to learn as a result of change.
Ongoing Training:
Ideally, train with your account executives on a weekly basis to role play and work on skills
that need additional work.
Each account executive should have his/her own binder to use as a sales tool. Each week
when the account executive meets with the account manager or franchisee, the binder
should be used to track current sales and forecast sales for the next 90 days. The forecast
will be revised each week as some contracts close or fall through. The account executive
will also enter the forecast into the CRM system so as to have a complete look at sales in
the pipeline. During the IFM, the manager can review the previous week’s activities and
sales closed as well as discuss any clients with collections issues. Finally, there should be
an established sales goal for each account executive, both new business and current
client sales. New business is the term for any client who has not run an ad with us in 4
months.
Personnel Policies
As a business owner, you must develop personnel policies that clearly define guidelines
for conduct. Once developed, you will then need to modify and expand these policies as
your business grows and changes.
The list of topics on the next pages will give you an idea of the subject areas for which you
should create formal policies. As a business owner, you will want to establish policies in
these areas to suit your particular operation. Always make sure the personnel policies that
you do establish conform to applicable laws.
Bereavement leave
Computer Usage
Confidentiality
Conflict of interest
Disciplinary Action
Drug/alcohol abuse
Harassment
Holidays
Jury duty
Leaves of absence
Maternity/family
leave
Meal/break periods
Outside employment
Overtime
Personal
appearance
Personal property
Posters in workplace
Re-employment
Resignation
Solicitation
Standards of
Conduct
Tardiness
Telephone/fax/
cell phone usage
Workplace violence
Workweek
We believe in setting specific goals with account executives and discuss their progress in
reaching these goals in each week’s IFM. We have included the following goals for
account executives, but you can adjust as necessary for your business. We suggest
having sit-down meetings every 6 months with the sales staff to discuss their
effectiveness.
15-20 face to face meetings a day when account executives first start—
these meetings are more than an exchange of business cards; rather,
these are dialogues about the business.
Ongoing Goals:
Uniform/Dress Code
The image of your Money Pages businessand, thus, the entire Money Pages
networkis reflected in the way your employees dress. The old saying goes, “You only
have one chance to make a first impression.” Clients cannot look and see your work ethic
physically, so they will judge you and your employees by appearance. If your appearance
is shabby, unclean, or unusual, you will most likely be regarded with suspicion and
possibly contempt by clients, and you will be treated accordingly. Clients will generally
treat you with the same amount of respect that you have shown for your appearance.
Dress Code All clothing is expected to be clean, neat, well fitting, and in good repair.
Guidelines:
Business casual is our required dress code.
The following are not permitted: hats, shorts, sweatshirts or t-shirts with
unprofessional messages, tank tops or crop tops, flip flops or similar
sandals, jeans, etc.
In addition to attire, there are other general standards you should impress upon your
employees. Remember that the appearance of your employees is one of the factors
making a positive contribution to your image, so you must instill in your employees the
pride you possess in Money Pages.
The most effective staff commission system is tied closely with sales, but also takes into
account client turnover and location growth. We have experimented with many forms of
incentives for our employees and have created the system outlined here.
Monthly Bonus Structure: Monthly bonus tied to financial performance. Ideally, this will
motivate the employees to make sales, control expenses and care about the “bottom line.”
Location Goals – When setting goals, keep in mind they should be attainable but not
a given. It is also suggested that the bonus is all or nothing and the criteria is very
clear.
Example: $200 for meeting monthly revenue goal (goals set with manager
or franchisee). A monthly bonus structure is suggested, but not required.
Potential Rewards:
Paid Time Off (PTO)
Gift cards
Certificates/trophies
Lunch
Sports tickets
Treats for employees & clients
Employee Salary Structure: Typically, we do not recommend a high base salary for
sales representatives, but franchise owners are free to determine their own employee
compensation structure. The following are merely examples to help guide you. Feel free
to adjust them as you see fit.
Regular Sales Associates
Base salary of $1,500 to $2,000
Commission range of 10% to 20%
For example: $1,500 base salary and a 15% commission on sales over $5,000.
Please note that commissions are only paid on collected billing, not sales.
Regular employees should be paid on the 1st and 15th of each month. Commissions
are paid on the 1st of every month.
1099 Contract Employees
Paid on commission only (suggested rate is 20%)
Exclusive product sales (not part of the actual magazine) should be paid at
a flat rate of $250 to $400, or a commission rate of 10% to 15%
Performance Evaluations
While developing reliable and effective employees certainly depends on the quality of the
training they receive, it also depends on providing continual feedback regarding the work
they are doing. Constantly keep the lines of communication open. Compliment employees
when they have done a good job. If there is room for improvement, don’t just tell
employees they did something wrong; provide suggestions and show them what could
have been done differently to do the job right and, thus, improve performance.
One thing you must remember is that the evaluation process actually begins on an
employee’s first day of employment, when you and the employee reach a mutual
understanding of what needs to be accomplished. If expectations are not clearly stated,
mutually understood, and presented in measurable terms, performance will be difficult to
evaluate and may not reflect the desired results.
To show employees that you are interested in their job progress and
personal development. This should foster high morale and job
satisfaction.
To provide you with a systematic guide for planning future training for
employees.
To gather data for use as a guide for such actions as wage increases,
promotions, disciplinary action, etc. It should be noted that evaluations
should never be the single factor in such cases.
We recommend that you review your employees after the probationary period (see
“Hiring on a Probationary Period”), and then annually. If an employee shows unusual
improvement or decline in work habits any time between evaluations, you may need to
schedule a special evaluation.
Evaluation Process
1. Give the employee a blank evaluation form to review prior to the
evaluation meeting.
2. Review the job requirements to be sure you are completely familiar with
them.
3. Review the goals and standards you previously discussed and agreed
upon with the employee, plus any notes you have regarding the
employee’s accomplishments.
5. Evaluate job performance versus job expectations for the period being
evaluated.
9. Plan your ratings by using the most recent completed evaluation, the
appropriate job description, and notes from the employee’s personnel
file.
Review Meeting
Once you have completed the evaluation process, you must schedule a time to meet with
the employee. To avoid interruptions, find a convenient time and private place to meet.
7. Note: the evaluation and review meetings can take place at the same
time.
Please note that employee performance management should be regular and ongoing.
Franchise owners cannot afford loss of revenue growth and bottom line expense
associated with non-performing employees. Ensure specific standards are set and
communicated on a regular basis. This may include:
Progressive Discipline
Despite careful selection, training, and the implementation of good personnel policies, you
may occasionally encounter an employee who doesn’t seem to be working out at your
Money Pages business. Before dismissing an employee, however, you should ask
yourself these questions:
Often, when an employee isn’t doing the job well, the honest answer to one or more of
these questions is “no.” Before taking irreversible action, you should look at what you can
do to correct the deficiencies. As with most problems, the sooner they are recognized and
attended to, the better. This gives you an opportunity to create an ally and establish a
better working relationship.
The key to a smooth operation is to keep communication lines open and communication
flowing in both directions between you and the employee.
Should you need to carry out disciplinary action, consider the following 3-step approach.
This approach is designed to allow problems or concerns to be addressed and then
monitored for improvement.
Remember when handling discipline situations that you must take into account the legal
realities of the situation and the need to be fair to your employees and your business.
Step 1: When a problem arises, discuss the problem with the employee in a non-
threatening manner. This initial meeting should be informal and
conversational in tone. The employee should then be given adequate
opportunity for improvement. Document this discussion (the date and a brief
summary are sufficient) and place it in the individual’s personnel file.
Step 2: If the problem has not been resolved after a reasonable time period, you
should place the employee on formal notice in writing. Complete an
Employee Warning Notice (see Figure D.6). Then give the employee a
verbal explanation of the unsatisfactory performance versus the expected
performance. At this time, it is particularly important that you make it clear
exactly what the expectations are, how those expectations are not being
met, and that termination will follow if satisfactory improvement is not made.
Outline specific performance goals for improvement within specific
timeframes. As with any formal counseling, both the employee and a
witness should sign the completed counseling form. If at any step in the
process an employee refuses to sign a warning notice, be sure to note this
on the completed form. You should then keep the employee advised of
his/her progress.
Step 3: If, after the formal counseling sessionassuming the issue is subject to
progressive counselingthe employee is still not performing at a
satisfactory level, the only solution may be termination either during or at
the end of the imposed improvement period.
Given the time, money, and effort you expend to develop your employees, it is to your
advantage to recognize problems and make an effort to resolve them before resorting to
termination. A discharge, under most circumstances, should never come as a surprise to
an employee.
Termination/Separation
There are certain standards of behavior that everyone must observe, which are necessary
and reasonable for the proper conduct of business.
Termination
While a progressive counseling system is recommended to handle performance and
disciplinary problems (see “Progressive Discipline”), there are actions that should be
considered grounds for termination. It is not possible to list every possible offense;
however, these are some examples:
Grounds for Possession, sale, purchase, transfer, use, or being under the influence
termination: of drugs or alcoholic beverages on company time or premises.
Steps to finalize a 1. Conduct a face-to-face interview with the employee to review the
termination: termination action. Use this opportunity to, as best you can, end the
relationship on a positive note.
Make sure you have a final, completed and signed Employee Warning
Notice on file. Have the individual sign the form to document your action
to end the employment relationship and to verify compliance with your
guidelines concerning termination.
Under certain circumstances, you may be exempt from having to pay unemployment
compensation, such as dismissing any employee during the 90-day probation period, as
well as terminating agreements with 1099 Contract employees at any time.
Resignation
An employee can also end the employment relationship by voluntarily resigning from
his/her position. There are several steps you should take to finalize such a separation.
Steps to finalize a 1. Conduct an exit interview with the employee to learn how he/she felt
resignation: about the job, management, and Money Pages. Use the Exit Interview
Form (see Figure D.8) when conducting the exit interview. The
information you obtain from these interviews may aid in any future
unemployment claims, discrimination charges, or future hiring.
2. Try to uncover the real reason the individual is leaving. Look for any
areas in which you might improve employee relations to possibly avoid
losing a good employee in the future.
F R A N C H I S E
O P E R A T I O N S M A N U A L
Selling Advertising
Sales are the heart of your business; therefore, it is vital that all account executives are
armed with the information, training, and materials they need to be effective sales people.
As a client-centered business, Money Pages believes that it is important to approach the
sales process from a consultative or advisory mentality. We expect you, the franchise
owner, and your employees to take time learning about your clients’ businesses and
introducing them to our Money Pages services, both print and digital.
In this chapter, we will cover some of the day-to-day selling tactics you and your
employees may use to help develop relationships with clients, such as how to target your
market, cold calling, and how to overcome objections.
S E C T I O N E
F R A N C H I S E O P E R A T I O N S M A N U A L S E L L I N G A D V E R T I S I N G
Table of Contents
Ad Specifications ............................................. 22
CALL TRACKING........................................................................... 38
SOLO MAIL………………………………………………………………………….44
TESTIMONIALS ............................................................................. 46
PAYMENT …………......................................................................... 56
S E C T I O N E
F R A N C H I S E O P E R A T I O N S M A N U A L S E L L I N G A D V E R T I S I N G
Growth Trends
As a Money Pages franchisee, you have specific minimum performance standards that
are outlined in your franchise agreement. In general, you must publish a magazine that is
at least 16 pages during your first 6 months in business. In months 13 and beyond, your
magazine must be at least 32 pages. You are required to have a minimum of two
individuals selling products to clients. The first is you as the franchisee, and secondly an
account executive or an account manager. Clearly, growth is a goal for you as the
business owner as well as for us, the franchisor. Strategies for growth are outlined here.
We also recommend only selling third, half, and full pages during the first 6 months after
opening to ensure your new clients have large enough ads to generate results that will
encourage a long-term commitment from them.
Sign longer term agreements for 6 or 12 months. This helps build the
momentum of your business and allows clients to see their response
rate grow as the local community becomes more familiar with the
values found in Money Pages magazines. Single issue agreements
are strongly discouraged. An advertising campaign is more than just
one ad. You need frequency and consistency to build a proper ad
campaign.
As clients become more familiar with Money Pages magazine, see their
ads and an increase in traffic, focus on selling placement and premium
products. Clients will see competing businesses choose to invest in
premium products and placement; offer these opportunities as a way to
see a faster increase in traffic and build a stronger brand.
You need to balance the need to continually service current clients with
the need to bring in new clients. Service to our clients should never be
sacrificed; work with account executives to ensure that both ongoing
service to current clients as well as new client generation are equal
priorities. Current clients are a source of regular income and provide
many growth opportunities.