Most articles about franchising will begin by telling you that it is the best opportunity when it comes to business ownership. The support is unequalled, attaching yourself to a known brand is appealing, and the chances of success that franchising offers are outstanding.
Okay, that is all true. But it is time to ask perhaps the most important question of all when investigating all that franchising has to offer: What is important to me?
That is a great question. If you are going to own a business, it should align with what you are interested in, right?
Let us look at some of the areas you should consider when it comes to searching for the franchise that is right for you.
Does the Franchisor Have a Good Track Record?
You obviously want to succeed. That is the whole point of going into business for yourself. So why look at a franchise opportunity without looking into their past record of success?
The franchisor will of course offer you numbers on projected success, but it is equally, if not more, important to know what has happened in the past. One of the main reasons to look at a franchise is because it offers some certainty.
How Does the Franchisor Make Its Money?
You know that a franchisor makes money selling you the franchise. There are initial fees, as well as regular royalties you pay. But are initial franchise fees the main source of income for the franchisor? Or is it the ongoing royalty stream?
Find out how they make most of their income. You want to find a franchisor that goes by a “the more you make, the more they make” system. They should be strongly dependent upon your success.
Will They Allow Validation Calls?
It is important to have the opportunity to call other franchisees while making your decision.
Most Franchisors will have a prepared list of satisfied franchisees to give you. That is a great place to begin. But try to call on some others not on the list. Ask them if they are satisfied with the support given by the franchisor. Find out if they are happy with the profitability, the marketing, and the culture of the company. Discover if it is a stress-free experience for them.
It is good to know the positives about a franchisor, but it is even better to learn about any potential negatives before you jump in the deep end.
Are Multiple Territories Available?
If you love owning one franchise, you may really love owning more than one! Ask the franchisor if they have multiple territories that you may be able to own in the future. If all the other boxes on your list get checked off, then you may want to lock down extra territories up front!
Do Their Values Align with Yours?
If you are going into business with a partner (in this case, the franchisor), you want to make sure that your values align.
First, determine what your values are. Then, you can scratch any franchisor off the list whose values do not align with yours.
These are all especially important questions to answer while searching for the right franchise opportunity. An easy way to get started is to work directly with a franchise consultant whose only mission is to guide you on the search. They can assist you when it comes to wading through the thousands of franchise options out there and make the task much less daunting.
Franchise Matchmakers is a team of franchising professionals that are dedicated to helping people explore business ownership as a career path. Contact them at info@franchisematchmakers.com to find out more about franchising options that are perfect for you.
