STEPPING IN THE RIGHT DIRECTION

Media Release - 8 October 2004

Robert Bates who runs a thriving chain of Clarks Shoes franchises in Abergavenny, Brecon, Merthyr Tydfil and Exmouth, won a highly commended certificate of merit in this year’s Franchisee of the Year Awards, sponsored by HSBC Bank and supported by the Daily Express.

The award was presented to Robert by Cathryn Hayes, HSBC’s national franchise manager, at a gala dinner at the ICC in Birmingham last Thursday night (7 October). HSBC has provided financial support and advice to franchisors and franchisees in the UK for over 20 years and has more than doubled its lending to the sector during the first half of 2004.

Speaking after the awards, Robert said: “I’ve always closely followed the Clarks franchise business model, but have also gone the extra mile to match stock to the needs of my customers locally. This approach, combined with the support and marketing power of a world class brand, has been the secret of my success.”

In presenting the awards, Cathryn Hayes, national franchise manager at HSBC, said: “Franchising gives people the opportunity to make the most of their entrepreneurial talent, but with fewer risks than starting their own business from scratch. As a leading lender to the franchise sector, HSBC recognises that the hard work, enthusiasm and business nous of people like Robert will help turn a good franchise into a great franchise. He deserves his success.”

Robert, (40), started his first Clarks franchise in August 1998 when he acquired two under-performing shops in Abergavenny and Brecon. He implemented a massive investment programme and as a result has seen turnover treble.

He acquired Merthyr Tydfil in August 2001 when it faced closure. Determined to develop the business, he invested in developing the workforce. This had a major impact and Robert now runs a thriving business which has a combined annual turnover of £1.75m, compared to only £375,000 five years ago.

ENDS

Notes to editors:

1. The British Franchise Association Awards reward franchisees that demonstrate outstanding commercial achievement through ethical franchising and are sponsored by HSBC Bank and the Daily Express. The theme of this year’s competition is “Beating the Competition” – How Franchising Makes A Difference”.
2. Other winners in this year’s awards were:

   1st place, Michael Roney from Driver Hire, Northamptonshire and Cambridgeshire;
   Joint 2nd place, Simon Stack from Snap-on Tools, York;
   Joint 2nd place, Jack Glen from McDonald’s, Hamilton;
   3rd place, Adam and Ruth Brenner, Prontaprint, Newcastle.

   The following were highly commended by the British Franchise Association, HSBC Bank and the Daily Express:
   Mark Meredith from Apollo Blinds, Stoke-on-Trent; Craig Collins from Cartridge World, Exeter, Exmouth and Plymouth; John Murray from Cash Generator, Airdrie and Wishaw; Robert Bates from Clarks Shoes, Abergavenny, Brecon, Merthyr Tydfil and Exmouth; Ian Michael and Richard Ball from Countrywide Grounds Maintenance, Neath Abbey, and; David and Jacqui Henshaw from National Schoolwear Centres, Swindon.

3. The HSBC Group HSBC Bank plc is a wholly owned subsidiary of HSBC Holdings plc, and a member of the HSBC Group. Serving over 110 million customers worldwide, the HSBC Group has approximately 10,000 offices in 76 countries and territories in Europe, the Asia-Pacific region, the Americas, the Middle East and Africa. With assets of US$1,154 billion at 30 June 2004, HSBC is one of the world’s largest banking and financial services organisations. HSBC is marketed worldwide as ‘the world’s local bank’.
4. For further press information on HSBC’s support for franchising and/or an interview with Cathryn Hayes please contact: Alex Bellinger, Media Relations Manager, HSBC on 020 7991 0654.
5. To contact Michael Roney please call 01604 670199.