Updated February 2024
Buying a franchise is a popular option for those seeking business ownership because it offers resources, support, and a proven business model. This makes franchise ownership an attractive option for those who don’t want to start a business from scratch.
Have you thought about buying a franchise, but wonder if you have what it takes? It is certainly worth figuring that out before investing your time and money into owning a business. While every franchise owner will have unique skills that they bring to the table, successful franchisees will share several key traits and qualities.
12 Traits of a Successful Franchisee
#1 – Entrepreneurial Spirit
Some people are just made to be business owners. This could be you if you automatically think about how you can grow money rather than save it, or if you see money as a tool for making more of it instead of spending it. Entrepreneurial people have a drive to succeed and a willingness to take calculated risks. They see opportunity everywhere and are willing to work hard if they know there’s the potential for it to pay off big in the future.
#2 – Strong Work Ethic
There is no room for laziness if you want to be a successful franchisee. To run a business, you have to be prepared to work hard and put in more than full-time work hours at least for the first couple of years in order to get your business up and running. You must be a dedicated leader that trains and empowers your team to take ownership of their responsibilities. It’s your job to set an example of what a strong work ethic looks like, which will benefit every aspect of your business.
#3 – People Skills
A successful business owner should have effective communication and interpersonal skills. These qualities are essential for building relationships with customers, employees, and the franchisor. Some franchisees will excel at this while others might have some room for improvement. However, it is key for franchisees to prioritize these skills if they want to have long-term success. Without good people skills, a business owner will have a hard time retaining customers, building morale among the employees, and maintaining a good relationship with the franchisor.
#4 – Adaptability
“If we fail to adapt, we fail to move forward.” John Wooden (college basketball coach)
As with most of Wooden’s advice, this principle extends beyond basketball to the business world. A franchisee that wants to achieve long-term success must pay attention to the market conditions, customer preferences, and industry trends. For example, as consumers have become more health conscious we’ve seen many fast food restaurants come out with “healthier” food options. While fast food restaurants aren’t known for healthy food, they’ve taken the crucial step to follow the trends and meet customer demands in order to stay relevant in the fast food industry.
#5 – Financial Management Skills
You can’t keep a cup of water full if there’s a hole in the cup. In the same way, a business won’t remain profitable if the money coming in is being mismanaged. A business could offer the most popular product or service in the world but still see failure if the finances are not effectively handled. A franchisee should be capable of doing this, which includes budgeting, financial planning, and monitoring cash flow.
One of the first steps to successful financial management is creating a solid business plan from the start.
#6 – Leadership Abilities
The employees play an essential role in helping a business succeed. Not only do they accomplish the day-to-day operations, but they are often the face of the company while doing this. A franchisee must be able to guide and motivate employees to maintain high standards of customer service while also fostering a positive work environment.
#7 – Customer Focus
A business cannot succeed without profitable customer relationships. For this reason, customer satisfaction should be a high priority. Franchisees should be committed to delivering excellent products or services that meet or exceed customer expectations.
#8 – Attention to Detail
The saying “the devil is in the details” rings true here. Paying close attention to the details is a key component to providing a good customer experience. This includes details such as quality control, inventory management, and adherence to the franchise’s standards.
#9 – Problem-Solving Skills
You shouldn’t assume that everything will go according to plan when it comes to running a business. This means that it’s essential to be able to quickly identify and address challenges and solve problems as they come up to keep the business running smoothly.
#10 – Commitment to the Brand
As a franchisee, you should be passionate about the brand you represent. Not only will this keep you from giving up in the tough seasons, but it will help you remain dedicated to upholding the reputation and values of the brand.
#11 – Experience or Training
While it’s not always necessary, previous business experience or relevant training is certainly beneficial. Oftentimes, a franchisor will provide you with required training, but if you already have experience then you’ll have a head start. After all, experience is the best teacher.
#12 – Resilience
Again, things don’t always go according to plan, especially in the business world. A franchisee not only needs to be able to problem-solve when issues arise, but it’s also essential to have the ability to bounce back from setbacks. Persevering through tough times is crucial for long-term success.
Do You Have What it Takes to Be a Franchise Owner?
Opening a business, even a franchise business, is risky. However, the beauty of business ownership via franchising is that you are in business for yourself, but not by yourself. The support and proven success of the franchise helps mitigate the risk. If you have the traits of a successful franchisee, the next step is to find a franchise to join. A FranNet franchise consultant can connect you with the right franchise opportunity and guide you through the process from start to finish. Schedule your free consultation today to get started!