How to Start a Franchise: 4 Things That Successful Franchises Have in Common
When it comes to starting a franchise business or franchising your business, there is no secret recipe for success. You might think that cleaning franchises have very little in common with food and drink franchises, but this is not true. However, the most successful franchises do have some things in common. These success attributes can give you direction when choosing which franchise to invest in. In this article, we look at four key things you need to understand to get your franchise off to the best start.
Training and support
When looking for a franchise you wish to invest in, it is essential to consider how much training and support will be provided. Any franchise worth investing in will provide you with comprehensive training, and all the support you need to run your business effectively.
The franchise you choose should provide an initial training program teaching you how to run the most important parts of your business. The initial program should cover elements such as accounting and marketing as well as operational aspects of the business. However, you should also be provided with ongoing training and support. If reviews of working with the franchisor commonly say they are left to their own devices, this could be a sign this franchise is not right for you.
Even if you are an experienced business owner, ongoing support from your franchisor is important and can really be the making of your business. Also, franchisors have the benefit of experience across numerous branches of the business and can share this valuable knowledge with their franchisees to ensure they are successful. Support is one of the main benefits of franchising, and your franchisor should make accessing support from them straightforward. The best franchise investment opportunities have your back when you need it, so it is important to choose a business with a system of support.
Clear financial projections
You are investing in your future and perhaps the future of your family – you need to know how much that investment is worth. The best franchise opportunities should be able to provide you with precise projections about how much you could make and in what timeframe. While the success or figures of previous franchisees might not always apply to your business or circumstances, they can provide a good idea of what is possible. However, there is no guarantee of this earning potential, and you should not make your decision based solely on the figures a franchisor provides you with. You will need to get a clear picture of how long the average business, as well as the average franchisee, takes to achieve certain figures of profit, and return on their investment.
It is important not to just rely on what the franchisor tells you, but to conduct some research of your own. You should run the figures by your accountant if you have one. If this is your first business, you should also ensure that your franchisor has a clear business plan. You may also wish to speak to a Franchise Consultant to get some advice, or check out a franchise association such as the Quality Franchise Association.
Brand
One of the many benefits and attractions of starting a franchise is working with an established and recognised brand. Brand is one of the hardest parts of a business to get right, but when you invest in a franchise, much of that work is already done for you. As a result, it is important to choose a franchise with a strong brand identity. Strong brands are quickly recognised by customers, and if you choose the right brand, there may even be some hype around your business opening in the area you choose well before you open your doors. Big brands share the same colours, log and decor, but most importantly, they share the same standards. Customers expect the same product and level of service when they enter a franchise, but this means that you can have a loyal and repeat customer base quickly, by merely being associated with a large brand.
Consistency
As we touched on in the brand section, consistency is key when it comes to a successful franchise. When choosing a franchise to invest in, it is crucial that you believe the products or services on offer are good – otherwise, it can be difficult to be passionate about your business. As the franchise owner, you should strive to adhere to brand standards. The most successful franchises achieve consistency in every operation. Individual franchises can receive reviews, and if the reviews in certain branches are great but in others the reviews are terrible, this could be a sign that the brand lacks consistency.
Ready to start your franchise business? Take a look around a franchise directory website. No matter what sector you are looking to enter, there are a huge range of franchise opportunities out there. You’ll be sure to find your ideal franchise.
