The desire to become your own boss can be overwhelming. While you may already have an idea of the kind of business concept you wish to own and operate, it takes patience and due diligence to make sure you choose wisely. Fortunately, franchising can help take a lot of the guesswork out of it. The investigative process is designed to take you through the steps methodically, giving you plenty of time to assess each and every opportunity.
But what should you look for to determine if it’s a good franchise opportunity? Below are a few pointers to help get you started on your research.
Track Records Matter
Unless the franchise you’re investigating is a ground-floor opportunity that just launched, you’ll want to know about the franchisor’s track record. How long have they been in business? How many franchise units have they sold or awarded? How many franchisees are currently in the system? What does their year-over-year statistical growth look like? Franchisors keep careful track of these statistics and validation with the brand’s executive leadership and other franchisee owners is a good start. Be sure to take notes!
Support and Collaboration
Every franchise opportunity comes with its own level of training and support. And for this to be successful, there needs to be frequent collaboration between franchisor and franchisee. You’ll want to know how much training you’ll receive before opening. How is the support system structured? Will you have onsite assistance and monitoring in the first year? How frequent are the check-ins? The more training and support you can count on, the better your chances for success.
Lack of Competition
A good franchise will have a well-thought-out value proposition for the product or service they’re selling. With thousands of concepts to choose from, it’s advisable to find a franchise that has a key differentiator—something that makes them stand out from the crowd and their competition. Does the franchise cater to a specific niche audience? Have they found a way to build a better mousetrap? Look at the competition and evaluate whether or not you have an edge over them.
The Power to Evolve
When you’re investigating a particular franchise, assess the brand’s track record and willingness to embrace change. Does the franchisor keep up with opportunities and the changing business landscape? Or, are they resistant to change? Franchises are built upon the backbone of proven business systems. However, as the times change, so should they.
The investigative process of evaluating different franchises can be an exhilarating time. But don’t get overwhelmed or swept up into making an uninformed decision. All franchises are not created equal, and it’s important to rely on the guidance of trustworthy advice provided by consultancies such as FranNet. We can help you ask the right questions at the right time.
Because, with three decades of experience, we definitely know a good franchise opportunity when we see one.
If you want to become your own boss and you’re interested in exploring the world of franchising, FranNet of Houston and the Gulf Coast Region can work with you to find a match. We’ll investigate the concepts together to make sure it meets your lifestyle and long-term business ownership goals.
Click here to connect with me. I’m Diana Trondsen, FranNet Market President, Franchise Consultant serving Houston and the Gulf Coast Region of Texas. To schedule a no-cost, no-obligation appointment, you can call, email or attend one of my upcoming webinars on franchise ownership. Together, we can find a perfect match for the business you were meant to own and operate.