You’ve found a juicy franchise opportunity, and you’re raring to go – but wait! Market analyses and profit projections are only half the battle: you must “know thyself” before you commit to franchising. In this post, the FranNet team shares 5 questions to ask yourself before you commit to your desired franchise opportunity.
- Are you ready to get your hands dirty to build your franchise? While some franchises can support absentee ownership, the best franchises are those with hands-on management that are invested in their company’s success. There is a common misconception that franchising is relatively hands-free for the buyer. While it’s true that some franchises can be built to effectively “run themselves” at a certain point, it takes many years to reach this level. You’ll need to build a strong infrastructure of managers and support staff, and have established your franchise’s reputation locally to keep a steady stream of customers. And while most franchise opportunities will come along with proven start-up processes and support resources, you will still need to get your hands dirty while the business is being built. Don’t be surprised if you’re needed to mop the floors and empty the trash from the time to time, and remember that franchising often means working more than a 40-hour week.
- Will you enjoy the work you’re signing on for? Choosing the right franchise opportunity is perhaps one of the most critical stages of your small business start-up. Some people make the mistake of choosing a franchise based solely on its potential profitability, only to find themselves lacking the passion and motivation needed to take advantage of market opportunities. It’s important to “know thyself” when you’re deciding which franchise opportunity to pursue, but it’s equally important to know the market. That’s where the FranNet team can help. We will work with you, creating a profile based on your interests and experience so that we can find the perfect franchise opportunity for your needs.
- Are you ready to take orders from the franchisor? Making the most of a franchise opportunity means following the franchise system that’s laid out for you. Franchises live and die by the consistency they’re able to offer customers, which means that your franchise needs to be running itself according to the same rulebook being used elsewhere across the country. In some cases, this “rulebook” will lay out best practices and compulsory processes to guide you from your first day of business to your final day of retirement. If you’re a fiercely independent entrepreneurial mind, you may want to reconsider whether a franchise opportunity is worth pursuing.
- Do you work well with people? Most franchise opportunities involve some kind of interaction with customers and clients, but you must also be able to work well with your franchise family. If you don’t work well with people, you’re probably not going to get along with your franchisor and fellow franchisees, which means you’re probably not a great fit for a franchise system. If you’ve struggled to build and maintain relationships with your employers, supervisors and fellow employees in the past, franchising might not be right for you.
- Can you afford your chosen franchise opportunity? One of the main causes of franchise failure is under-capitalization. Franchise systems usually give accurate estimates of start-up costs, but these should always be considered the bare minimum. Unexpected delays occur often, so don’t build a plan where success rests on a flawless start-up. It’s always better to start with more money than you think you need. A FranNet consultant can help you get a better idea of the capital it will take to build your business.
About FranNet Canada
FranNet is a 29-year-old company with roots in the U.S. Its purpose being to nurture every entrepreneur’s dream of business ownership. We actively employ a specific profiling and consultation method. This method is geared to each investor with a specific business model and based on franchise trends typically found in Toronto, Ontario, Vancouver, British Columbia, or Calgary, Alberta. The most lucrative Canadian franchise opportunities are waiting for you. For more details visit – http://frannet.ca/buy-a-franchise/canada-franchise-buying-process/