|Turn your business into a franchise.|
Franchising, on the other hand, is practicing another company’s or firm’s business model based on terms and conditions or an agreement.
So here are 10 questions that must be asked to know if a business is good for franchising.
1. Is your business really successful-and different?
It has to be proven that your business has been successful throughout the years and has a good track record. It also has to be made sure that there are is solid evidence supporting this claim.
A business also has to be different and unique in order to catch a wide market base.
2. Could that success be replicated?
A franchisee should not need to acquire new specialized skills but rather be able to apply the systems and methods provided to reproduce the successful operation of the business.
3. Do you have a standout brand?
This is important because franchisees would want a company that already has an established name and a high-level recognition in the market.
4. Do you have detailed, tested business systems?
A franchisee would want to know if all the elements or components of the business are already in place. They should not want have to work things out for themselves.
5. Can your business continue to adapt, evolve, and grow?
Handling a business also means being able to constantly adapt to the changes and challenges around. Competition and new market conditions can destroy even successful companies if they do not adapt.
6. Have you got the necessary skills and attitudes?
|Famous business franchises|
7. Can you create a realistic market plan?
It is important for the business owner to hire professionals to help in the marketing plan. Since the company is looking for possible franchisees, it is important to be ready with the marketing plan that will help convince possible franchisees. This may include having to promote the franchise brand, help franchisees market their individual businesses and market the company’s franchise offer to possible franchisees.
8. As a franchiser, can you keep adding value to the businesses?
Being a franchiser does not mean staying confident, complacent and relaxed the whole time expecting the money to keep rolling in. Remember that competition always has changing trends and the franchiser has to develop and refine their business model to stay ahead.
9. Will you have adequate financial reserves?
Make sure the company has financial reserves in place to support franchisees in the initial stages.
10. Do you have access to specialist franchising expertise?
The franchiser has to make sure that the company has access to specialist franchising expertise. Franchising involves complex legalities which may be difficult to handle for the business owner themselves. Expert advice is the best option to yield the best results.
Franchising is not a simple thing. It involves larger management coverage and should therefore be well thought through before being undertaken.