Think Long Term (And Other Tips) On Franchising Pt. 2
1. Evaluate the training and ongoing support. Every franchise offers initial training, but ongoing support is what separates a weak system from one that is outstanding.
2. Evaluate expansion possibilities. Assuming your first franchise is a big success, you’ll probably want to open a second or third location. Is there room to expand in your market?
3. Get professional advice on site selection. Many retail businesses require a high level of nearby car or foot traffic in order to succeed, but some business owners will set themselves up for failure by going for a location with cheaper rent and less visibility. Other businesses don’t rely as much on foot traffic, and locating one of these in a pricey high-traffic area just means that you’re paying too much for your lease.
4. Don’t be afraid to ask questions. There is no such thing as a stupid question — not when you are considering a life-altering decision. Franchisors owe you solid answers before you invest in their concept.
5. Visit as many locations as you can in person. What does a successful franchise look like? What does a typical franchise look like? Get a feel for how professional different franchisees are. How they treat the brand will affect the value of your business.
6. Get to know the leadership. Research the history and experience of the franchise system’s officers. What were they doing before they got involved with the company? Do they have a background that will allow them to guide franchisees to success?
7. Pay attention to passion. How passionate are the executives, the franchise owners and the customers? A system that is full of passion is a system with positive momentum.