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At risk of stating the obvious, farming is physically challenging work that takes a toll on the human body. Over the years, we have turned to various forms of technology to amplify the efforts of a single person, starting with a single plow behind a mule or ox, progressing to a motorized tractor, 700+ horsepower combine harvesters, and now robotic weeders and autonomous flying drones that handle a range of tasks. But what about the human body? Is it destined simply to be replaced by machines? The fact is that people remain a weak link in modern farming. According to some sources, agriculture is considered the most hazardous occupation globally. Work-related musculoskeletal disorders (WMSDs) accounting for 93% of occupational injuries. And of these, lower-back pain is the most frequent, with shoulder injuries coming in second. Exoskeletons for the Assist Exoskeletons are devices that are worn on the body to augment the natural capabilities of a human worker. Once confined to the world of science fiction—who can forget Ripley’s exoskeleton-enhanced final battle in the movie Aliens—these have now become practical for use in many industries. There are two major categories of “exos” (as they are known in the industry): powered and passive. Powered exos use motors to provide additional force for certain actions, such as lifting objects or wielding heavy tools overhead. These tend to be complex—and expensive—bits of machinery that require recharging and regular maintenance. While these may be suited for specific manufacturing tasks, they are typically beyond what farmers typically need or can afford for the foreseeable future. Passive exos are the other class of devices. These take the energy created from one motion—such as bending over—and then release that energy to the wearer for the opposite motion, such as lifting an item from the ground to waist level. These passive devices do not require the expensive motors, wiring, batteries, and sensors found in powered exos. Instead, they use a variety of materials to store and release energy: springs, torsion bars, gas pistons, elastic bands, and flexible beams. Some designs rely on a rigid frame while others are made from fabric and other flexible materials. According to some sources, current passive exos can cost from $2,500 to more than $14,000, depending on design and which parts of the body are supported. Designs vary based on the type of targeted task. For example, lifting boxes of produce could require one sort of assistance, while reaching overhead to harvest fruit could require something different. But can they actually help farmers and farmworkers? The Benefits Many studies have shown clear benefits from wearing exos in other industries such as warehouse work and manufacturing. According to Karl Zelik, associate professor of biomedical engineering at Vanderbilt University, one longitudinal study of warehouse workers tracked more than 281,000 hours of work while wearing exos. Historical data would predict 10.5 back strain injuries over that period, but the study revealed that there were none. Not as much research has been done in farm settings, but the existing studies point to clear benefits. For example, one test of an upper limb exo in orchard management tasks reduced muscle activity by up to 40%. Reduced muscle activity results in less fatigue and strain, which in turn lowers the risk of injury. Another study gave a back support exo to farmers for their daily operations and several of the subjects cited increased productivity by reducing fatigue. Many of the subjects also reported feeling more protected when shoveling. In some cases, the exo helped them maintain proper posture when lifting, which can reduce the risk of lower back injuries. Sarah Ballini-Ross is co-owner of Rossallini Farm in Oregon; she and her husband sometimes use exoskeletons in the work on their diversified operation. She is also an expert in exo technology and founder of Evolving Innovation, a consulting firm that provides safety technology and ergonomic solutions services. Ballini-Ross said that fatigue reduction is an important factor in their use of exos. “A lot of the farmwork really involves that repetitive lifting from ground to waist level, so my exo is the first thing I grab when it comes to doing hay.” Other tasks where she wears it is “on inventory days when we unload a couple of tons of 50- to 70-pound boxes.” Not a Cure-All In spite of the benefits, exos are not the solution for every case. Not all passive exos are the same, and each has its own advantages and disadvantages. Some exos can restrict movement to enforce proper lifting posture, which can reduce injury. However, other designs might not have this feature, which means that the worker could place themselves in an awkward or dangerous position that could lead to injury. For example, the same feature that enforces proper posture when lifting might restrict movement that requires rotating the body, such as when shoveling. A warehouse worker is likely to do a similar task over and over all day, but a farmworker often has to rapidly switch from one task to another. Even passive exos can be bulky and awkward to maneuver in during daily activities. Farmers in one study cited the fact that they can make it difficult to get in and out of the cab of tractors and other farm machinery. And having to take the exo on and off throughout the day can take up significant time. Most passive exos have at least some fabric, but this fabric can get soiled—especially from sweat on hot days or during strenuous activities—which can make them unpleasant to wear. Most also include Velcro-style hook-and-loop fasteners. These fasteners make it easy to adjust the fit of the device for workers of different sizes, and to accommodate the presence of layers of clothing. But those hooks and loops can also grab foreign materials, impairing their functionality and appearance. Ballini-Ross noted, “I use my exo when trimming the hooves of our sheep, and hair and straw gets stuck in the fabric. So when I take my exo to a presentation or a conference, I have to think twice because maybe I’m bringing a little too much of the farm with me.” Obstacles to Adoption Education may be the biggest barrier to more widespread adoption of exos in agriculture; many farmers simply aren’t aware of the products and their potential benefits. Close behind comes the question of expense. Even passive exos can be costly, and unlike heavy farm equipment, the manufacturers are not set up to provide payment plans or other terms to ease the financial strain. But the problems go beyond those two obvious factors. For example, many farms rely on a transient workforce. A small farm does not have the resources to stock a full range of exos to meet the needs of different body sizes. Furthermore, different tasks could require different exo designs. Harvesting or weeding some low-growing crops require bending and stooping, which needs a different type of support than lifting boxes of produce or shoveling. In addition, a farmworker’s needs vary with the season. Providing exos for these workers for just a week or two may not be feasible. Another part of the problem is that the exo industry has not yet focused on the needs of agricultural workers. The low-hanging fruit is in other industries, such as warehouse logistics, construction, and manufacturing. These applications have narrowly defined tasks with lots of repetition, and often involve large corporations with the capital to invest in new technology. To really be embraced in agriculture, exo manufacturers would need to create exos that are modified for farm work. For example, one study found that a typical exo requires adjustable straps that go around the thighs. This design blocks access to pants pockets where farmworkers keep tools such as pruning clippers where they can reach them easily. But with little demand for agricultural exos, companies have little financial incentive to design around these problems. While exoskeletons have proven their value in terms of reducing workloads and related injuries for some farming tasks, significant obstacles remain. But as farmers become more aware of the benefits, as the costs continue to come down, and as manufacturers respond more to the specific needs of agricultural tasks, we can likely expect to see more exos down on the farm. — Alfred Poor, Ambrook Research This article was originally published by Ambrook Research, an editorially independent publication backed by Ambrook, a company making sustainability profitable in natural resource industries, starting by providing accounting and financial management software for farmers. View the full article
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If it weren’t for the white lines on the grass, you would be forgiven to think this building is a perfectly quiet hotel surrounded by a field of grass in the middle of the Norwegian forest. After all, most soccer training grounds are ugly structures whose sole purpose is to provide infrastructure for people to kick a ball around. But this isn’t just a place to kick a ball. These facilities, designed by the internationally renowned architecture firm Snøhetta, aim to redefine the very concept of a training ground, transforming it into a vibrant hub for the entire football community. “Our approach to sustainability is deeply rooted in a holistic perspective that considers environmental impact and fosters community and inclusion,” says Frank Denis Foray, Snøhetta senior architect and project leader, about the philosophy behind the proposal for the Norwegian National Football team’s (NFF) stunning new training grounds. [Photo: Courtesy of Snøhetta] Snøhetta, known for its ability to seamlessly blend architecture with nature, has conceived of two proposals for the NFF, located in the Norwegian cities of Asker and Ski, just outside of Oslo. Both designs pay homage to Norway’s rich Nordic heritage, drawing inspiration from traditional architectural forms like the Long House, a communal dwelling central to Old Norse villages. “Over a thousand years ago, the Long House was the heart of the community—a gathering place where people from all walks of life, from kings to farmers, young and old, came together to share stories, experiences, and traditions,” Foray tells me over email. “This enduring spirit of unity and togetherness is at the core of our design, ensuring that the new facility is not just a sports venue but a meeting place for the whole football community.” [Photo: Courtesy of Snøhetta] The Asker ground’s renderings reveal three large terraced fields set over a gentle slope. At the top, a two-level glass and wooden structure appears to grow organically from the land. On the last level’s grass roof, a large circular opening gives light to a giant tree that dominates a courtyard, allowing gentle sunlight and shade to get into the inner space of the building. The terraced fields are joined by large steps that serve as bleachers for spectators and allow people to move up and down with ease. The Ski ground’s renders show the soccer fields on a level ground, flanked by a large long building that gently curves, made in renewable wood. Solar panels adorn the roofs, feeding the facility. Snøhetta says that beyond the pretty and soul-calming zen, the grounds have been designed to be functional, state-of-the-art spaces for athletes of all levels. Foray explains that the facility will be a “public space catering to athletes of all levels and backgrounds, from juniors to the elite, creating a new home for NFF that encourages sharing, inclusivity, and connection.” Beyond these training centers, the facilities also incorporate administrative offices, a sports high school, and external offices for the Norwegian Football Association, consolidating the NFF’s operations into a single, cohesive campus. [Photo: Courtesy of Snøhetta] The collaboration between Snøhetta and the NFF is not new. The firm previously worked with the federation on renovations to the interior of Ullevaal Stadium in Oslo, the national stadium. Completed in 2022, this project included upgrades to the player’s dressing rooms, tunnel, and other key areas. As Snøhetta describes it, the stadium’s revamped facilities were “designed as a journey through the emotions of a football player,” incorporating elements of Norwegian football history and fostering a sense of team unity. This prior experience laid the groundwork for the current training ground project. “Our collaboration with the Norwegian Football Association (NFF) stemmed from previous work we had done for them,” Foray says. “They approached us with three potential sites for a new facility. Our task was to analyze and refine the options to identify the most suitable location.” Through a detailed evaluation process and creative workshops, Snøhetta worked with the NFF to narrow the choices down to the two most promising locations: Asker and Ski. [Photo: Courtesy of Snøhetta] While the Asker proposal remains in the conceptual stage, the Ski facility is moving forward. “The Ski facility is progressing steadily, with the first phase of the new regulatory plan already in motion,” Foray tells me. While some details are still being finalized, the NFF anticipates the project will be completed within the next five years. These training grounds promise to be more than just a place where athletes hone their skills. They are envisioned as a symbol of unity, a celebration of Norwegian heritage, and a testament to the power of thoughtful, sustainable design. It doesn’t hurt that they may just be the most beautiful football training grounds you’ll ever see. View the full article
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If you’re having a farewell party for a beloved colleague, don’t cry too hard into your cake. There’s a decent chance they’ll be back. According to a Harvard Business Review study, 28% of “new hires” were “boomerang hires,” the term for someone who’d resigned within the last three years only to return. Mindi Cox, chief people officer for O.C. Tanner, provider of employee recognition and reward solutions, falls into the boomerang employee category herself. As a hiring manager, she’s also done her fair share of hiring former employees, too. “People often leave a job because there’s an opportunity that’s too good to turn down, or they have a life season, like I had, and need to step away from work,” she says. “The same employees might become homesick for a culture that they’ve left and have discovered that maybe the grass wasn’t as green as they thought. Or that the priority of the pay, or the title, or the opportunity they were chasing didn’t outweigh their coworker relationships or the care that they felt in a previous workplace. There’s all kinds of reasons people move around and return, but I think [boomerang employees] are an overlooked workforce.” What boomerangs bring back Having an employee boomerang is a good sign for the company, says Angela Jackson, author of The Win-Win Workplace: How Thriving Employees Drive Bottom-Line Success. “Sometimes, the right people step off for a while to grow, gain new skills, and return even stronger, bringing fresh perspectives, external best practices, and a renewed commitment to the company’s mission,” she says. “Their return signals to current employees that the company is a place worth coming back to, reinforcing a culture of mutual respect and growth.” Returning can bring benefits to the company, the first of which is much simpler onboarding, says Carolyn Walker, global HR director at Tenth Revolution Group, a tech talent provider. “Someone familiar with the business is far more likely to hit the ground running and know the nuances and quirks that can otherwise take time to get up to speed with,” she says. “Plus, in those vital first few months where a new recruit is forming an opinion, good or bad, about you, a boomerang employee is far less likely to form a negative impression.” Boomerang employees also return with fresh perspectives, says Nathaalie Carey, chief human resources officer at the logistics real estate company Prologis. “Having gained new skills and experiences elsewhere can strengthen your teams,” she says. And boomerangs send an encouraging message to employees. “We have a client that welcomes boomerangs back with a special pin that goes on their badge,” says Cox. “It can break the ice for someone who may not know their career story. They might say, ‘I see that you left and came back. Tell me about that.’ Sometimes boomerangs are your best evangelists about all the reasons to stay.” Leaving and returning also means they solved the “what ifs” about leaving, adds Cox. “We never want to say, ‘Don’t talk about your experience,’” she says. “They’re back, which means your company is the better spot for them.” Leaving the Door Open Since boomerangs can bring value back to your organization, it’s important to stay in touch. Depending on how closely you may have worked with them, Carey recommends touchpoints by personal email or text or through professional networking, such as trade organizations or digital tools like LinkedIn. “Many times, employees who leave tend to stay in the same industry, meaning there are plenty of opportunities to stay connected and provide value to one another, whether it’s for knowledge sharing, forging partnerships, or working together,” she says. Companies can also maintain formal alumni networks, such as creating a LinkedIn group. Jackson says a great example is the consulting firm McKinsey, with thousands of members worldwide. “They actively stay connected with former employees through the McKinsey Alumni Center, which offers networking events, job boards, thought leadership content, and even investment opportunities in alumni-led startups,” she says. Exit interviews are an important tool for nurturing a boomerang employee. Cox asks her recruiters to be mindful of people they were sad to see go. If there is an open position, they reach out, saying “We have this position and immediately thought of you. It may be something you wish was in your growth path but just wasn’t open at the time. Before we hire for this, we want to put it on your radar.” Always be supportive of an employee who leaves to further their career, says Cox. “Too often employees will say, ‘I thought you’d be upset with me,’” she says. “People want to know that they’re cheered on as people. […] We want them to know that we’re interested in them as individuals.” Beware of the Drawbacks Rehiring isn’t always a win-win, says Jackson. “Just because someone was a great fit in the past doesn’t mean they’re the right fit for the future,” she says. “Nostalgia can cloud judgment. Companies should focus on whether a returning employee adds new value, not just whether they were once successful in the role.” There’s also a risk of perceived unfairness. “If a boomerang hire comes back at a higher salary or with special treatment, it can send the message that loyalty is undervalued,” says Jackson. The best boomerang employee hiring strategies focus on mutualistic relationships where the benefits for both sides are clear, says Jackson. “Companies should be clear about how their culture, expectations, and priorities have changed. And returning employees should bring fresh insights, not just familiarity. A great rehire isn’t just picking up where they left off; they’re leveling up.” The main thing for employers to do is to have a culture that people will get homesick for, says Cox. “Invite them to decide, this is the best place for me,” she says. “If they don’t stay, at least be somewhere that they’ll miss that will bring them back.” View the full article
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A Master Franchise happens when an investor goes all in. These franchisees pay big money to develop business opportunities in a specific territory. They recruit new franchisees, train them, and offer support. Master franchise opportunities cover a number of new businesses over a specific period. Here’s some more good information on this franchising opportunity. What Is a Master Franchise Company? A Master Franchise Company, often known as a Master Franchisee, is a firm or individual that purchases the rights to sub-franchise within a certain territory. Essentially, they act as a mini-franchisor for a specific region, territory, or country. This model allows the primary franchisor, often based in another country, to expand its brand internationally without needing to manage individual franchise units in that foreign territory. The master franchisee is responsible for developing the brand in the specified area. This includes recruiting new franchisees, providing training, and offering continuous support. Due to the responsibilities and investments required, obtaining a master franchise usually necessitates significant financial resources. As you might expect, there’s a master franchise system they need to navigate. A great resource is Franchise Update Media. What Is the Difference Between a Franchise and a Master Franchise? Territorial Rights: A master franchisee gains the exclusive rights to develop a brand within a specific large territory, such as an entire country or a significant region within a country. In contrast, a standard franchisee typically operates within a much more limited territory or just one location. Level of Responsibility: While individual franchisees are mainly concerned with running their particular unit or units efficiently, master franchisees are responsible for the overall growth, development, and support of the brand in their designated territory. They are, in essence, responsible for establishing the franchise network within that area. Investment and Potential Returns: The initial investment for a master franchise is considerably higher than that of a single franchise unit because of the extensive territorial rights and potential returns. However, master franchisees also stand to earn revenue from the franchise fees and ongoing royalties paid by the sub-franchisees they recruit. Operational Scope: A regular franchisee focuses on the day-to-day operations of their unit, ensuring profitability, adherence to brand standards, and customer satisfaction. In contrast, a master franchisee, while they might operate their own units, is also deeply involved in strategic planning, marketing at a regional level, recruitment of new franchisees, and providing support to these franchisees. In summary, although both franchise and master franchise models function under the main franchisor’s umbrella, they significantly differ in terms of scope, responsibility, investment, and potential returns. Comparison Between Master Franchise and Regular Franchise The complexities of franchising can sometimes be challenging to navigate. The table below provides a clear comparison between Master Franchise and Regular Franchise, highlighting their distinct features and responsibilities. Features/ResponsibilitiesMaster FranchiseRegular Franchise Territorial ScopeNational/InternationalSpecific Territory Investment SizeSignificant Capital NeededLesser Capital RoleRecruit and Support FranchiseesOperate a Single Unit Income SourcePercentage from sub-franchisee fees, royalties, etc.Profits from their specific unit Responsibility LevelHigh (area development)Focused on single business unit Operational FreedomSupervise & ControlLimited to own business Relationship with FranchisorMiddle person between franchisor & franchiseeDirectly with franchisor Brand Ambassador RoleIn a new territory/countryIn a specific location Master Franchise vs. Direct Franchising: Choosing the Right Path When considering expansion, franchisors face a strategic decision between adopting a master franchise model or pursuing direct franchising. Each approach has its advantages and challenges, making it important to choose the path that best aligns with the franchisor’s expansion goals, resources, and desired level of control. Master franchising offers rapid international or regional expansion with reduced operational complexities for the franchisor. By delegating the responsibilities of recruiting, training, and supporting franchisees to a master franchisee, franchisors can leverage local knowledge and expertise, potentially leading to faster market penetration. However, this model requires relinquishing a degree of control over how the brand is developed and managed in the master franchisee’s territory. Direct franchising enables franchisors to exercise greater control over their brand and operations, ensuring uniformity among all franchise units. However, this method can demand more resources, as it requires the franchisor to directly oversee the recruitment, training, and support of each franchisee. While direct franchising offers greater control, it may result in slower expansion, especially in unfamiliar markets. The choice between master franchising and direct franchising depends on the franchisor’s capacity to manage overseas operations, their appetite for risk, and their long-term strategic objectives. A careful assessment of these factors, possibly with the help of franchising consultants, can guide franchisors in selecting the most suitable expansion path. What Are the Advantages of Master Franchises? A master franchisee needs to take on extra roles to support sub-franchisees. It’s more work to support franchisees but there are lots of advantages when the marketplace cooperates. Like the following: It’s An Investment Decision Based on A Proven Business Model. A master franchisor gets the benefit of an established brand. You’ll be moving into new territory, but with a name that’s recognized and a business model that works. You’re taking advantage of a proven system. Metrics covering areas like own unit economics are visible. You’ll Receive an Exclusive Territory. This is a common condition in most master franchise agreements. A master franchisee purchases this exclusivity. Additionally, expanding internationally can lead to savings on labor and regulatory costs. You Get Control. The master franchisee is empowered to supervise. You have your own business. But at the same time, you’re the middle person between the franchisor and the franchisees you recruit. You Get The Benefit of Established Intellectual Property and Branding. The brand is more than likely already established in a certain territory. You get to use it as per the master franchise agreement. You are also able to take advantage of the already-established intellectual property. You Get New Profits. With master franchising, you’ll get a percentage of the initial franchise fee. Plus, you’ll also get a slice of ongoing royalties. And you can add that to what you’re making from a master franchisee’s existing business. Who Makes an Ideal Master Franchisee? A master franchisee needs to have the following traits to be successful. Remember, any kind of franchise ownership requires hard work too. To run a particular territory, you’ll need to have these characteristics. These are distinct from other forms of franchising. A Business Background. This is a little different than unit franchising. A master franchisee needs to work with several different sub-franchise companies. Decisiveness and confidence are important for these types of area developers. A Passion for The Brand. The master franchisee is the brand ambassador in another location or country. These people need to be leaders to inspire multi-unit franchisees by training and supporting them. The Ability to Grow The Business. The franchise brand needs to be considered. However, good candidates have enough capital to be able to sustain a venture for 3 to 5 years. Confidence. Master franchisees need to be able to achieve specific goals over a certain time frame. They need to project a positive confident attitude for themselves and the other franchisees. And they need the soft skills to deal with sub-franchisees and local employees. They Need To Be Decisive. Franchise systems of this nature can be quite challenging. Candidates must possess the ability to make both difficult and straightforward decisions. They act as ambassadors for a well-known brand, navigating an infrastructure abroad. How Do You Start a Master Franchise? A Master franchisee usually has some experience in marketing and sales. A large percentage of successful people have an existing infrastructure and business. Starting one depends on a successful franchisor–franchisee relationship. This means that as a franchisor, you will first need to open and manage several of your own stores. Once you have done that, you can begin offering franchise rights to subfranchisees. Following this, you’ll sign a master franchise license, which grants you the right to operate in a larger territory. There are some other options once you get comfortable. For example, you can make a motivated employee a mini franchisor. The Financial Commitment to Master Franchising Master franchising involves a significant financial commitment, often much larger than that required for a traditional franchise agreement. As a master franchisee, you’re not just investing in a single franchise unit; you’re investing in the right to develop an entire territory or region. This indicates that the initial master franchise fee can be significant, as it represents the opportunity for considerable income from sub-franchise fees and royalties. Beyond the initial fee, master franchisees need to account for the capital necessary to establish the franchise brand in their territory. This investment encompasses marketing efforts to attract sub-franchisees, developing training programs, and potentially opening pilot locations to demonstrate the business model. The financial commitment also extends to ongoing support for your sub-franchisees, which can include marketing assistance, operational guidance, and continuous training programs. It’s crucial for potential master franchisees to conduct a thorough financial analysis before entering into an agreement. This analysis should account for the initial investment, estimated operational costs, and a realistic projection of revenue streams from sub-franchising activities. Understanding the financial model of master franchising is key to ensuring a profitable and sustainable business venture. Navigating Legal Considerations and Agreements The legal framework of master franchising is intricate, involving multiple layers of agreements that define the relationship between the franchisor, master franchisee, and sub-franchisees. The master franchise agreement is the cornerstone document, outlining the rights and obligations of the master franchisee, including territory rights, exclusivity clauses, and the responsibilities for recruiting and supporting sub-franchisees. Key legal considerations for master franchisees include understanding the scope of their territorial rights, the terms under which they can recruit sub-franchisees, and the mechanisms for dispute resolution outlined in the agreement. Additionally, master franchisees must ensure they are in compliance with local laws and regulations governing franchising activities, which can vary significantly from one jurisdiction to another. Seeking experienced legal counsel is essential for navigating these legal complexities. A lawyer specialized in franchise law can help master franchisees understand their contractual obligations, negotiate favorable terms, and ensure compliance with applicable franchising regulations. This legal guidance is invaluable in avoiding potential pitfalls and ensuring the long-term success of the master franchising operation. How Much Do Master Franchisees Make? The income potential for a master franchisee can be significant, but it varies greatly based on several factors, including the brand, territory, market conditions, and the master franchisee’s efforts in recruitment and support. Here’s a breakdown: Initial Franchise Fees: Master franchisees earn a portion of the initial franchise fee for every new sub-franchisee they bring on board. For example, if the initial fee for a sub-franchise is $50,000, the master franchisee might retain a portion (e.g., 50%) or $25,000, with the balance going to the main franchisor. Ongoing Royalty Fees: After the initial setup, sub-franchisees typically pay ongoing royalty fees based on their revenue or profit. The master franchisee collects these fees and then shares a portion with the main franchisor. So, if a sub-franchisee pays a 6% royalty fee on their sales, the master franchisee might keep half of that and pass the other half to the franchisor. Real Estate Fees: If the franchising model involves real estate, the master franchisee might earn fees or a percentage of rent from sub-franchisees that lease properties controlled or managed by the master franchisee. Training Fees: Often, the master franchisee is responsible for training new sub-franchisees in their territory. They can earn fees for conducting this training. Supply Chain Profits: In some models, master franchisees may also profit from selling equipment, products, or services to the sub-franchisees. Volume and Scale: The real potential for significant earnings as a master franchisee comes from volume. The more successful sub-franchisees they can recruit, train, and support, the greater their earning potential. It’s a multiplier effect. Economic Conditions: The economic health of the region or country they oversee can influence earnings. Economic downturns can lead to fewer new franchise sales and lower sales volumes for existing sub-franchisees. Brand Strength: The attractiveness of the brand and its proven track record can greatly affect the master franchisee’s ability to sell new franchises and the success rate of those franchises. While there’s no fixed income for master franchisees, the potential earnings can be substantial, especially in large or rapidly growing markets. However, it’s essential to understand that there’s also risk involved. The initial investment can be substantial, and success depends on the master franchisee’s skills, efforts, market conditions, and the strength and appeal of the brand. What Is a Master Franchising Fee? This is the fee that the master franchisee pays in the beginning to the parent company. The master franchise fee is similar to other franchise fees that need to be paid. The FTC regulates the whole system nationwide. Usually, these fees are not negotiable because of the rules from the Federal Trade Commission which govern them. These are different depending on the franchisor. What’s the Difference Between a Master Franchise Agreement and an Area Development Agreement? It’s important to know the difference between these. There is a difference between a master franchise agreement and an area development agreement. First and foremost is the cost to the franchisor. Area developers don’t pay high investment fees. But at the same time, they don’t get a lot of the sub-franchise revenue. The other big difference is who is responsible for developing regions directly in most cases that’s the area developer. Support and training are offered by the franchisor. These developers help out because they are required to open some locations in a certain timeframe and in a certain territory. The agreements cover different responsibilities. The area representatives who work under that agreement don’t have any arrangement with the franchisees. Their focus is more on being an area developer. Image: Envato Elements This article, "What Is a Master Franchise?" was first published on Small Business Trends View the full article
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A Master Franchise happens when an investor goes all in. These franchisees pay big money to develop business opportunities in a specific territory. They recruit new franchisees, train them, and offer support. Master franchise opportunities cover a number of new businesses over a specific period. Here’s some more good information on this franchising opportunity. What Is a Master Franchise Company? A Master Franchise Company, often known as a Master Franchisee, is a firm or individual that purchases the rights to sub-franchise within a certain territory. Essentially, they act as a mini-franchisor for a specific region, territory, or country. This model allows the primary franchisor, often based in another country, to expand its brand internationally without needing to manage individual franchise units in that foreign territory. The master franchisee is responsible for developing the brand in the specified area. This includes recruiting new franchisees, providing training, and offering continuous support. Due to the responsibilities and investments required, obtaining a master franchise usually necessitates significant financial resources. As you might expect, there’s a master franchise system they need to navigate. A great resource is Franchise Update Media. What Is the Difference Between a Franchise and a Master Franchise? Territorial Rights: A master franchisee gains the exclusive rights to develop a brand within a specific large territory, such as an entire country or a significant region within a country. In contrast, a standard franchisee typically operates within a much more limited territory or just one location. Level of Responsibility: While individual franchisees are mainly concerned with running their particular unit or units efficiently, master franchisees are responsible for the overall growth, development, and support of the brand in their designated territory. They are, in essence, responsible for establishing the franchise network within that area. Investment and Potential Returns: The initial investment for a master franchise is considerably higher than that of a single franchise unit because of the extensive territorial rights and potential returns. However, master franchisees also stand to earn revenue from the franchise fees and ongoing royalties paid by the sub-franchisees they recruit. Operational Scope: A regular franchisee focuses on the day-to-day operations of their unit, ensuring profitability, adherence to brand standards, and customer satisfaction. In contrast, a master franchisee, while they might operate their own units, is also deeply involved in strategic planning, marketing at a regional level, recruitment of new franchisees, and providing support to these franchisees. In summary, although both franchise and master franchise models function under the main franchisor’s umbrella, they significantly differ in terms of scope, responsibility, investment, and potential returns. Comparison Between Master Franchise and Regular Franchise The complexities of franchising can sometimes be challenging to navigate. The table below provides a clear comparison between Master Franchise and Regular Franchise, highlighting their distinct features and responsibilities. Features/ResponsibilitiesMaster FranchiseRegular Franchise Territorial ScopeNational/InternationalSpecific Territory Investment SizeSignificant Capital NeededLesser Capital RoleRecruit and Support FranchiseesOperate a Single Unit Income SourcePercentage from sub-franchisee fees, royalties, etc.Profits from their specific unit Responsibility LevelHigh (area development)Focused on single business unit Operational FreedomSupervise & ControlLimited to own business Relationship with FranchisorMiddle person between franchisor & franchiseeDirectly with franchisor Brand Ambassador RoleIn a new territory/countryIn a specific location Master Franchise vs. Direct Franchising: Choosing the Right Path When considering expansion, franchisors face a strategic decision between adopting a master franchise model or pursuing direct franchising. Each approach has its advantages and challenges, making it important to choose the path that best aligns with the franchisor’s expansion goals, resources, and desired level of control. Master franchising offers rapid international or regional expansion with reduced operational complexities for the franchisor. By delegating the responsibilities of recruiting, training, and supporting franchisees to a master franchisee, franchisors can leverage local knowledge and expertise, potentially leading to faster market penetration. However, this model requires relinquishing a degree of control over how the brand is developed and managed in the master franchisee’s territory. Direct franchising enables franchisors to exercise greater control over their brand and operations, ensuring uniformity among all franchise units. However, this method can demand more resources, as it requires the franchisor to directly oversee the recruitment, training, and support of each franchisee. While direct franchising offers greater control, it may result in slower expansion, especially in unfamiliar markets. The choice between master franchising and direct franchising depends on the franchisor’s capacity to manage overseas operations, their appetite for risk, and their long-term strategic objectives. A careful assessment of these factors, possibly with the help of franchising consultants, can guide franchisors in selecting the most suitable expansion path. What Are the Advantages of Master Franchises? A master franchisee needs to take on extra roles to support sub-franchisees. It’s more work to support franchisees but there are lots of advantages when the marketplace cooperates. Like the following: It’s An Investment Decision Based on A Proven Business Model. A master franchisor gets the benefit of an established brand. You’ll be moving into new territory, but with a name that’s recognized and a business model that works. You’re taking advantage of a proven system. Metrics covering areas like own unit economics are visible. You’ll Receive an Exclusive Territory. This is a common condition in most master franchise agreements. A master franchisee purchases this exclusivity. Additionally, expanding internationally can lead to savings on labor and regulatory costs. You Get Control. The master franchisee is empowered to supervise. You have your own business. But at the same time, you’re the middle person between the franchisor and the franchisees you recruit. You Get The Benefit of Established Intellectual Property and Branding. The brand is more than likely already established in a certain territory. You get to use it as per the master franchise agreement. You are also able to take advantage of the already-established intellectual property. You Get New Profits. With master franchising, you’ll get a percentage of the initial franchise fee. Plus, you’ll also get a slice of ongoing royalties. And you can add that to what you’re making from a master franchisee’s existing business. Who Makes an Ideal Master Franchisee? A master franchisee needs to have the following traits to be successful. Remember, any kind of franchise ownership requires hard work too. To run a particular territory, you’ll need to have these characteristics. These are distinct from other forms of franchising. A Business Background. This is a little different than unit franchising. A master franchisee needs to work with several different sub-franchise companies. Decisiveness and confidence are important for these types of area developers. A Passion for The Brand. The master franchisee is the brand ambassador in another location or country. These people need to be leaders to inspire multi-unit franchisees by training and supporting them. The Ability to Grow The Business. The franchise brand needs to be considered. However, good candidates have enough capital to be able to sustain a venture for 3 to 5 years. Confidence. Master franchisees need to be able to achieve specific goals over a certain time frame. They need to project a positive confident attitude for themselves and the other franchisees. And they need the soft skills to deal with sub-franchisees and local employees. They Need To Be Decisive. Franchise systems of this nature can be quite challenging. Candidates must possess the ability to make both difficult and straightforward decisions. They act as ambassadors for a well-known brand, navigating an infrastructure abroad. How Do You Start a Master Franchise? A Master franchisee usually has some experience in marketing and sales. A large percentage of successful people have an existing infrastructure and business. Starting one depends on a successful franchisor–franchisee relationship. This means that as a franchisor, you will first need to open and manage several of your own stores. Once you have done that, you can begin offering franchise rights to subfranchisees. Following this, you’ll sign a master franchise license, which grants you the right to operate in a larger territory. There are some other options once you get comfortable. For example, you can make a motivated employee a mini franchisor. The Financial Commitment to Master Franchising Master franchising involves a significant financial commitment, often much larger than that required for a traditional franchise agreement. As a master franchisee, you’re not just investing in a single franchise unit; you’re investing in the right to develop an entire territory or region. This indicates that the initial master franchise fee can be significant, as it represents the opportunity for considerable income from sub-franchise fees and royalties. Beyond the initial fee, master franchisees need to account for the capital necessary to establish the franchise brand in their territory. This investment encompasses marketing efforts to attract sub-franchisees, developing training programs, and potentially opening pilot locations to demonstrate the business model. The financial commitment also extends to ongoing support for your sub-franchisees, which can include marketing assistance, operational guidance, and continuous training programs. It’s crucial for potential master franchisees to conduct a thorough financial analysis before entering into an agreement. This analysis should account for the initial investment, estimated operational costs, and a realistic projection of revenue streams from sub-franchising activities. Understanding the financial model of master franchising is key to ensuring a profitable and sustainable business venture. Navigating Legal Considerations and Agreements The legal framework of master franchising is intricate, involving multiple layers of agreements that define the relationship between the franchisor, master franchisee, and sub-franchisees. The master franchise agreement is the cornerstone document, outlining the rights and obligations of the master franchisee, including territory rights, exclusivity clauses, and the responsibilities for recruiting and supporting sub-franchisees. Key legal considerations for master franchisees include understanding the scope of their territorial rights, the terms under which they can recruit sub-franchisees, and the mechanisms for dispute resolution outlined in the agreement. Additionally, master franchisees must ensure they are in compliance with local laws and regulations governing franchising activities, which can vary significantly from one jurisdiction to another. Seeking experienced legal counsel is essential for navigating these legal complexities. A lawyer specialized in franchise law can help master franchisees understand their contractual obligations, negotiate favorable terms, and ensure compliance with applicable franchising regulations. This legal guidance is invaluable in avoiding potential pitfalls and ensuring the long-term success of the master franchising operation. How Much Do Master Franchisees Make? The income potential for a master franchisee can be significant, but it varies greatly based on several factors, including the brand, territory, market conditions, and the master franchisee’s efforts in recruitment and support. Here’s a breakdown: Initial Franchise Fees: Master franchisees earn a portion of the initial franchise fee for every new sub-franchisee they bring on board. For example, if the initial fee for a sub-franchise is $50,000, the master franchisee might retain a portion (e.g., 50%) or $25,000, with the balance going to the main franchisor. Ongoing Royalty Fees: After the initial setup, sub-franchisees typically pay ongoing royalty fees based on their revenue or profit. The master franchisee collects these fees and then shares a portion with the main franchisor. So, if a sub-franchisee pays a 6% royalty fee on their sales, the master franchisee might keep half of that and pass the other half to the franchisor. Real Estate Fees: If the franchising model involves real estate, the master franchisee might earn fees or a percentage of rent from sub-franchisees that lease properties controlled or managed by the master franchisee. Training Fees: Often, the master franchisee is responsible for training new sub-franchisees in their territory. They can earn fees for conducting this training. Supply Chain Profits: In some models, master franchisees may also profit from selling equipment, products, or services to the sub-franchisees. Volume and Scale: The real potential for significant earnings as a master franchisee comes from volume. The more successful sub-franchisees they can recruit, train, and support, the greater their earning potential. It’s a multiplier effect. Economic Conditions: The economic health of the region or country they oversee can influence earnings. Economic downturns can lead to fewer new franchise sales and lower sales volumes for existing sub-franchisees. Brand Strength: The attractiveness of the brand and its proven track record can greatly affect the master franchisee’s ability to sell new franchises and the success rate of those franchises. While there’s no fixed income for master franchisees, the potential earnings can be substantial, especially in large or rapidly growing markets. However, it’s essential to understand that there’s also risk involved. The initial investment can be substantial, and success depends on the master franchisee’s skills, efforts, market conditions, and the strength and appeal of the brand. What Is a Master Franchising Fee? This is the fee that the master franchisee pays in the beginning to the parent company. The master franchise fee is similar to other franchise fees that need to be paid. The FTC regulates the whole system nationwide. Usually, these fees are not negotiable because of the rules from the Federal Trade Commission which govern them. These are different depending on the franchisor. What’s the Difference Between a Master Franchise Agreement and an Area Development Agreement? It’s important to know the difference between these. There is a difference between a master franchise agreement and an area development agreement. First and foremost is the cost to the franchisor. Area developers don’t pay high investment fees. But at the same time, they don’t get a lot of the sub-franchise revenue. The other big difference is who is responsible for developing regions directly in most cases that’s the area developer. Support and training are offered by the franchisor. These developers help out because they are required to open some locations in a certain timeframe and in a certain territory. The agreements cover different responsibilities. The area representatives who work under that agreement don’t have any arrangement with the franchisees. Their focus is more on being an area developer. Image: Envato Elements This article, "What Is a Master Franchise?" was first published on Small Business Trends View the full article
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Kai Cenat is launching a “streaming university.” Cenat announced his plans during a February 13 stream, explaining how he wants to help streamers both big and small learn from his success. “I’m going to rent out a university over a course of a weekend. It will be streaming university. Okay? I’m going to rent it out,” Cenat said during his Twitch stream. “I’m going to put out enrolls and applications of people to enroll into the university, no matter if you’re big, no matter if you’re a small streamer, you can stream the entire weekend.” Cenat will install himself as school principal. Just like a real university, there will be dorms; unlike a real university, there are plans for major influencers to act as instructors. Cenat said during his February 13 stream that wants the likes of MrBeast and Mark Rober involved. “In terms of the classes and sh*t, for example, I would love to do some sh*t where, science, Mark Rober is the professor for that day, and he’s doing crazy experiments for everybody’s stream,” he said. “Say there is a financial class, MrBeast in that motherf**ker.” While anyone is welcome to apply, that doesn’t mean admission is guaranteed. But those denied the first time round are welcome to re-enroll for next semester, Cenat said. While some online commenters were excited for the chance to learn from one of the most-followed Twitch streamers, others were dubious. “Two-day crash course on how to break the internet and your sleep schedule.. . . . ” one person posted on X. “So just a more expensive clown college?” wrote another. Over the last few years, Cenat has become renowned for his record-breaking streams on Twitch and YouTube that reach millions of viewers. Cenat The 23-year-old ranked No. 24 on Forbes’s list of the top-earning creators in 2024, with estimated earnings of $8.5 million. The live-streaming space has been seeing significant growth in recent years, both in the format itself and the number of people tuning in. In the last quarter of 2024, live-streaming viewership reached 8.5 billion hours watched, a 12% year-over-year increase, as reported by marketing firm Stream Hatchet. Who needs four years of college and tens of thousands of dollars worth of debt? View the full article
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This post was written by Alison Green and published on Ask a Manager. It’s five answers to five questions. Here we go… 1. What if hiring a spouse is truly the best choice? I know that having a manager supervising their partner is fraught with peril — I have read enough AAM to have some great examples! But if the partner is truly the best candidate, are there guardrails you recommend? This is in a church context, and the minister’s partner is supremely qualified to be our music director. They are both being totally up-front about it, looking at alternate supervisory roles (could have a board member be the partner’s supervisor?), checking with the denomination for policy recommendations, etc. I am on the board and the hiring committee and looking for guidance. There has also a suggestion that the partner be supervised by our volunteer HR committee. This seems awful. Even if these volunteers are completely qualified as supervisors, there will be disagreements and possibly unclear chain of authority. I keep thinking of cartoons about things designed by committee. You shouldn’t hire the partner at all. Even if they’re the best candidate, hiring the minister’s partner is way too fraught! What if the person needs to be fired? Can everyone involved be 100% sure the situation won’t be dragged out in painful ways while everyone tries to avoid firing the minister’s partner? Can everyone involved be 100% sure that firing the partner won’t cause issues between the board and the minister? To say nothing of all the other issues that can come up with you hire a top person’s partner to work in the same organization? There are other candidates who don’t come with those issues. The partner is not the only music director in the world. But if you go forward with it anyway, definitely don’t have them managed by committee; that’s a recipe for ensuring they’ll receive either inadequate feedback or no feedback, issues are unlikely to be addressed in a timely manner, and they won’t have a single point person for guidance and support, and it would be unfair to them as an employee. It’ll also highlight the special nature of their situation to other employees, compounding the discomfort that’s likely to already be there. This is a bad idea all around. 2. My new coworker told me to “slow down” I recently received some feedback that I don’t know how to interpret. My coworker told me I needed to “slow down” and that “I didn’t need to prove myself because I was already on the team.” I feel like I did something wrong, but I’m not sure what. I’m getting mixed messages here because my boss told me she wanted me trained on all practice areas by April, so I’ve been busting my butt trying to learn everything. I don’t think I’ve been making any mistakes in my work, I’ve been asking good questions, and trying to take initiative on some projects. I’m not sure if this has anything to do with it, but I transitioned into this role in local government after several months of being unemployed and coming off of 8+ years in corporate roles. I’m scared to lose this job because I really enjoy it and my teammates, but “slowing down” is not really something I’m used to. Well, it’s possible that your coworker told you to slow down because you’re moving at a speed that’s out of sync with their culture and are at risk of making mistakes, overlooking important context, or alienating team members … but it’s also possible they told you that because they’re threatened by you and/or worry about being outshined. I don’t know which of those it is, but your boss will probably know and this is a good conversation to have with her. At a minimum you should sit down with her and ask for her sense of how things are going … and ideally as part of that you would share the feedback you heard and ask if she agrees with it (and maybe whether it points to any context on the team that you should be taking into account). 3. Applicant lied on resume; should I tell her boss? I am a director and recently received a resume from an employee at a partner organization. Our industry is small, and it’s common for employees to move between organizations. However, after reviewing her resume, I am certain she is misrepresenting her job duties. I am friends with the director of her current organization and recently spoke with her about this employee. She has caused significant disruption within her current organization, including issues with a program we collaborate on. The duties she listed on her resume are not ones she was responsible for. I know this because we worked with different employees on these projects. Additionally, she included several responsibilities that, according to her director, were not part of her role and even led to disciplinary action. Normally, I would not disclose to another organization that their employee is job searching. However, I also feel a sense of responsibility to inform my colleague that this employee is falsifying job duties under their name. If the situation were reversed, I would want to know. Should I tell her? No. The appropriate consequence for lying on her resume is for you not to interview or hire her; it’s not to have her job search outed to her current employer. 4. Should I tell companies I’m interviewing with that I might be suing the government? I was just fired by DOGE. I was not a probationary employee, and there is reason to believe the firing was due to political considerations and therefore illegal. I’ve been told that I may be a strong lead plaintiff for one of the class-action lawsuits that are being teed up. I am considering participating in one, for the sake of helping my fellow feds and preventing DOGE from destroying the government. In the meantime, I also need to find another job outside government. Do I disclose to potential employers that if they hire me I could end up suing the government while working for them? It could impact them in three ways: (1) I would need to take time off at various points to spend on the lawsuit; (2) I could end up in the news, and my current employer would probably be mentioned in news reports, which would be viewed as a negative by some people reading those reports; (3) if the company does work for the government, a lawsuit by one of their employees could prevent them from winning new contracts. Does the answer change if the company I’m applying to work for prefers to fly under the radar and generally tries to avoid press coverage? My instinct is that, to protect my own interests, either I shouldn’t mention it at all until I’m hired, or I shouldn’t mention it until after I have an offer in hand. But this feels icky. For people who don’t know what’s going on: Probationary employees in the federal government are being fired and are having it documented as being for “performance reasons” even when they’ve had glowing performance reviews and even when their managers oppose the firing. A slew of letters doing this to people went out on Saturday night (of all times). This is not only profoundly shitty from a human standpoint — being told you’re being fired for performance when your work has been good — but it will have practical ramifications too, since if they apply for another federal job in the future, this will come up during the background check. Anyway, you definitely shouldn’t disclose the lawsuit/potential lawsuit until you have an offer, at the earliest — at which point you could maybe frame it as, “I want to let you know about this in case it’s something that you foresee causing issues.” But I’m not even convinced you should disclose it at that point; I see a stronger argument for not disclosing it at all, until and unless something specifically related to it comes up. 5. How to treat a coworker who’s struggling at work and has been moved into a different job One of my coworkers who has been on my team has been transferred to a different role in the organization as a final Hail Mary before being fired if she doesn’t shape up. It’s going to be awkward going forward because not only are we hiring for her old position, I am moving into her old desk. I will still see her daily and I’m wondering if it’s better to just pretend there’s nothing wrong and say nothing except pleasantries when I see her, or if congratulate her on her “new role” as if I don’t know why it’s happened (even though I have known for weeks and have been part of the decision-making around moving her). She has directly been told this is her last stop at our organization. Hoping for some professional guidance! Treat her the way you would treat anyone who had just made an internal move that hadn’t been forced on them. You don’t need to congratulate her on the new job if you think that would be awkward, but otherwise try to mentally frame her in your head the exact same way you would anyone else who had simply changed roles. (Which means that you don’t need to feel weird or apologetic about having her old desk either.) View the full article
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The iPhone maker wants to diversify its supply chain beyond China. Can the world’s largest democracy deliver?View the full article
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YouTube has announced the integration of Google DeepMind’s latest video generation model, Veo 2, into its Shorts platform, enhancing AI-powered creative tools for users. The update expands Dream Screen, YouTube’s AI-driven background generator, and introduces the ability to create standalone AI-generated video clips that can be added to Shorts. With the launch of Veo 2, users can now generate video clips from simple text prompts, filling gaps in their content or creating entirely new scenes. This new capability allows creators to add AI-generated elements directly into Shorts without needing original footage. “Need a specific scene but don’t have the right footage? Want to turn your imagination into reality and tell a unique story?” wrote Dina Berrada, Director of Product, Generative AI Creation at YouTube. “Simply use a text prompt to generate a video clip that fits perfectly into your narrative, or create a whole new world of content.” The integration of Veo 2 enhances Dream Screen, making AI-generated videos more detailed, realistic, and faster to produce. The upgraded model improves real-world physics and human movement, while also allowing users to apply specific styles, lens effects, and cinematic filters to their AI-generated content. How to Use Veo 2 in YouTube Shorts Creators can access the new features in two ways: To generate AI video backgrounds: Open the Shorts camera, select Green Screen, then choose Dream Screen and enter a text prompt to create a custom background. To create AI-generated video clips: Open the Shorts camera, tap Add to open the media picker, then select Create at the top. After entering a text prompt, select an image, tap Create video, and choose the desired length. YouTube has implemented SynthID watermarks and clear labels to distinguish AI-generated content. These features are now available in the U.S., Canada, Australia, and New Zealand, with plans for further expansion. This article, "YouTube Integrates Veo 2 AI Video Generation Into Shorts, Expands Creative Tools" was first published on Small Business Trends View the full article
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YouTube has announced the integration of Google DeepMind’s latest video generation model, Veo 2, into its Shorts platform, enhancing AI-powered creative tools for users. The update expands Dream Screen, YouTube’s AI-driven background generator, and introduces the ability to create standalone AI-generated video clips that can be added to Shorts. With the launch of Veo 2, users can now generate video clips from simple text prompts, filling gaps in their content or creating entirely new scenes. This new capability allows creators to add AI-generated elements directly into Shorts without needing original footage. “Need a specific scene but don’t have the right footage? Want to turn your imagination into reality and tell a unique story?” wrote Dina Berrada, Director of Product, Generative AI Creation at YouTube. “Simply use a text prompt to generate a video clip that fits perfectly into your narrative, or create a whole new world of content.” The integration of Veo 2 enhances Dream Screen, making AI-generated videos more detailed, realistic, and faster to produce. The upgraded model improves real-world physics and human movement, while also allowing users to apply specific styles, lens effects, and cinematic filters to their AI-generated content. How to Use Veo 2 in YouTube Shorts Creators can access the new features in two ways: To generate AI video backgrounds: Open the Shorts camera, select Green Screen, then choose Dream Screen and enter a text prompt to create a custom background. To create AI-generated video clips: Open the Shorts camera, tap Add to open the media picker, then select Create at the top. After entering a text prompt, select an image, tap Create video, and choose the desired length. YouTube has implemented SynthID watermarks and clear labels to distinguish AI-generated content. These features are now available in the U.S., Canada, Australia, and New Zealand, with plans for further expansion. This article, "YouTube Integrates Veo 2 AI Video Generation Into Shorts, Expands Creative Tools" was first published on Small Business Trends View the full article