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See Every Franchisee,
Every Renewal Risk,
A Year Ahead
delay (47d → 29d)
identified in one quarter
up from 3 mo
The Situation
A preschool franchise network running 126 centres across five Southeast Asian countries; corporate-owned centres, direct franchisees in its home market, and centres run by four master franchisees abroad. HQ had no way to verify what any their franchisees were actually earning. Master franchisees paid their share of tuition royalty an average of 47 days late, always with the same explanation: still waiting on their own sub-franchisees to report. Some franchisees were ordering far less teaching material than their reported enrolment implied. A signal of possible under-reporting or unauthorised sourcing, invisible without a way to compare the two.
The Gap
Drift hidden in paper
Payment delays were attributed to pending reports from sub-franchisees, but HQ had limited visibility to independently verify the status or cause of delays.
Maintenance reacts, doesn’t predict
A franchisee ordering 30–70% less material than their enrolment implied could mean under-reporting or diversion, but nothing flagged it automatically.
Wastage disconnected from cause
Compliance issues only surfaced in quarterly audits, with no running record to draw on at renewal time.
Wastage disconnected from cause
Without documented evidence, weak-performing franchisees got renewed by default to avoid legal exposure, while strong performers went unrecognised.
What Changed
TreeAMS connected order data, enrolment data, and payment status into one system, visible for every centre regardless of ownership tier. Every order is benchmarked against monthly enrolment, with variances beyond a set threshold automatically flagging possible diversion. Every franchisee has a 12-month record of orders, compliance, certifications, and missed events. HQ uses this record at renewal to make decisions based on documented performance.
The Result
Royalty remittance delay cut 38%, from 47 days to 29
SGD 1.8M in previously invisible product diversion identified in one quarter
Renewal risk visibility extended from 3 months to a full 12 months ahead
See What This Looks Like on Your Outlets
Tell us about your network. We’ll show you what TreeAMS could connect,
what patterns might surface, and what the first 90 days could look like.
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