There are more and more entrepreneurs nowadays who have successfully created a company and are looking at plans for further expansion. One option, of course, is to open up the brand for franchise and allow other people to shoulder some of load of this growth. While it can be a sensible way to take a/your business to the next level, you need to have a good strategy in place to have any chance of success.
Pick the Right Time
It’s not just a simple case of whether the economic situation is ripe for creating a franchise. You need to be sure that your business is actually ready for the process and is solid enough to handle expansion. For instance, you’ll have to decide if it’s an easy business to clone and what qualities will appeal to potential, high performing franchisees. You’ll also have to be honest and make sure that franchising is the option that best suits your business and whether there are alternatives you should be considering.
Do Your Research
Before you opt for franchising, you need to do undertake some meaningful market research to make sure that your business will get a good reception when it expands. You also need to take a look at your own finances and find out what your franchisor/franchisee relationship will look like when it is rolled out. There’s no doubt that once you become a franchise your business will look and feel different in some way, no matter how much you want to control it.
Get the Right Advice
Once you are sure that your business has all the components to be a successful franchise, then it’s time to get some sound advice. That might be from a franchising specialist who has plenty of experience in this area. It might mean contacting networks of franchising businesses and it will certainly involve getting the right legal advice. You will need to develop a plan that is attractive to potential franchisees, attracts the right kind of people and which protects your brand and helps you expand its reach.
Choosing the Right Franchisees
Whether you are employing people to work in your shop or office, you always want to source the right staff. The same is true of franchisees. You want self-motivated people who are going to help you move your business forward and help develop the brand. The selection process is going to be highly important here. Be clear about the type of person you want and what you want them to bring to the table. Choose unwisely and you could damage your brand irreparably and stall expansion.
Provide the Right Support
When you have your franchisees on board, you then have to provide the right training and support that gives them every chance to succeed. It’s not a simple case of giving the access to your brand and letting them loose on unsuspecting customers. Each franchisee will have their own needs and training requirements and your support has to be flexible and coherent enough to cope with this.
Franchising is a great option if you have the solid foundations in place for your business. It’s not the quick fix to expansion that many people think, though, and requires a good deal of work to get it right. Getting the best advice and building your franchise plan thoughtfully will ensure you have the best chance of success in the next phase of your business development.