4 Questions You Need To Answer Before Franchising

I hate my job, I hate my hours, and I’m ready to be my own boss. Seem pretty close to your thought process on a daily basis? If so, it is definitely time for change. Being in business for yourself is one of the biggest freedoms we can reward ourselves, and can completely rejuvenate our outlook on the professional world. 

 

Franchising is a trillion dollar industry, with 1 out of every 12 businesses in the U.S. being a franchise. While the statistics show that a franchised business has a better chance of thriving over a long period of time than an independently run business operation, there are still risks involved and questions you need to ask yourself before getting started.

 

Let’s take a look at 4 questions that will get you headed in the right direction:

 

1. Is franchising right for me?

The franchise industry isn’t for everyone. Yes, you are your own boss, but it is a much different infrastructure than that of an independently owned business. With a franchise system, you are buying-in to a concept and business model that already exists. You are taking a product that someone else has mastered, and investing in a piece of the pie. It is important that you remember that franchising is meant for those who believe and buy-in to the preexisting business model, without trying to reinvent the wheel.

 

2. How hard are you willing to work?

This is probably the most important question you can ask yourself. Being in business for yourself is hard work, and certainly not something you will be able to coast your way through. You need to ask yourself if you are truly willing to put in the overtime and extra hours that will be needed to hit the ground running. Are you willing to sacrifice a lot of your free time in the beginning, so that you can reap the rewards of your hard work down the road? There is obviously no secret recipe for success, but the more work that you are willing to devote to your business in the beginning, will set you up for that much more success in the long term.

 

3. What risks are involved?

Starting your own business venture has a lot of fear and risk associated with it. While franchising is a lot less risky than starting a business from scratch, there are still a number of risks to consider. The biggest factor you’re going to have to consider is money. Do you have the capital that you’ll need for upfront costs? Franchise fees could range from 30K to over 100K, so it is important that you know which range you would feel comfortable investing in. It is also important to weigh the fact that you may or may not receive a paycheck for your first year in business. Do you have money set back to help subsidize your income?

 

4. Do I have to train my employees?

Yes. You will have to train your employees, but don’t forget that the franchisor has already established a training system for you. It is important that you remember you aren’t in this completely on your own. You will have a franchisor that is equally as invested as you are, and will do what it takes to see you succeed in their system. Believe in the processes that have been established, and utilize all of the tools and resources that your franchisor gives you. This will be one of the most important factors behind the longevity of your success.

 

Sick of the monotony associated with a 9-5 job? Ready to create your own hours, do something you love and make money in the process? Perhaps it’s time for a free consultation with a qualified and experienced franchise consultantFranNet has a great track record of assisting individuals on their path to business ownership. Make arrangements to speak with one of our representatives today!

Aug 8, 2016