As I've mentioned before, franchising is not easy, and it has its own set of skills, experiences and talent required to be successful. Operating the business is different from franchising that business. Fortunately, in today's modern age, there is an abundance of places where franchisors and franchisees can get support and learn more to improve their business and everything related to it.
Starting a franchise business as a franchisee within a franchise brand and system is an exciting opportunity! A successful franchisee is, in some ways, an entrepreneur. They're not truly creating a new brand or business. Instead, they are implementing and executing that brand and model in their local market. It is clearly an entrepreneurial enterprise to begin any new business, but using the strength and benefits of a franchise is not as entrepreneurial as a true startup of an entirely new brand and new business unique to the world; therefore, these actions are not the same.
Becoming a franchisee is a serious commitment. It's the most significant commitment most people ever make beyond buying a house and getting married. Most individuals are not fortunate enough to own a business or a franchise or pursue anything beyond general employment. It is important to understand the risks and expectations of starting a franchise business and identify that this endeavor is not for everyone.
From time to time, people ask me how they might franchise the business they own. Generally speaking, I help them understand what's really involved in the process and this substantive undertaking; it's very complicated, costly and quite a considerable commitment. Often, people underestimate what's involved, which can be dangerous. I like to give people an accurate, honest and complete perspective on the situation so they can make a well-informed decision. If you've got a great business that you believe would make an excellent franchise model, here are a few ideas for you to know and consider for becoming a franchisor.
A franchise coach can significantly impact your mindset, business, and more. There are a range of coaches available out there for business owners. Here we will explore having a coach with specific franchise experience who can work with both the franchisor and the franchisee.
Franchising is currently experiencing a significant increase in interest, growth and profitability. Many of my franchisor clients have shared their positive trends, increased sales, and strong performance at the unit level. Generally, if your businesses survived the Covid factor and you are still operating, almost everyone I'm working with is seeing favorable outcomes.
With these positive trends and franchise forecasting in mind, I thought sharing three new tips for growing your franchise business would be helpful.
The universe of franchise opportunities is never-ending; continuous growth has been the trend in the past and foreseeable future. More new brands are always coming online every month, every quarter, every year. It’s fabulous! And can be overwhelming!
Along with this continued growth in franchising, many entrepreneurial individuals are investigating those opportunities and looking to expand their ownership opportunities with new franchises. There is a growing segment of professionals in the industry helping people find the right match; they are typically called franchise consultants or brokers - I call them matchmakers.
In this blog, I'll get back to the basics and define the roles and responsibilities of the franchisor and the franchisee within the franchising system. We'll cover the franchisor's role in providing a proven business model as well as the franchisee's part in operating their business under an established brand and how they work together in the world of franchising.
When you are part of a franchise system, as a franchisee achieving success is no easy feat. Your primary objective is to execute the brand model to the best of your ability in the market you operate with the resources you have. The goal is to become an exceptional representative of that brand and deliver excellent value to your local customers. Franchising offers immense opportunities but comes with a unique set of challenges. Many factors, such as experience, knowledge, resources, and support, will influence your success in your franchise. One way to foster growth and success in your franchise is by working with your brand’s support team, typically referred to as a Franchise Business Coach (FBC).
Are you an entrepreneur with a business you are ready to expand? Looking for different strategies and approaches that might be worth consideration. Have you thought about franchising?
Who has the power in a franchise brand?
I have learned a fundamental truth throughout my years working with various franchise brands in different countries: he who establishes a strong relationship with the franchisee holds the most power within the brand. Let's look at how to establish a meaningful relationship between franchisees and franchisors to build and maintain success.