If you’re looking for a new project but you’re not interested in starting from scratch, buying a franchise could be a highly effective way to start running your own business.
Even major international companies run franchises, including the Starbucks chain, which oversees approximately 700 franchises out of its 1000 UK stores.
By joining a franchise brand, you’ll become part of a much wider network of franchisees – and benefit from the support of a larger team. In the following guide, we’ll cover everything you need to know to make sure franchising works for you.
1. Choose the right franchise
Seeking out the most suitable franchise for you depends on much more than just your finances and the current market. It’s crucial to pick one that aligns closely with your values and your approach to work.
For instance, overseeing a fast food chain would be entirely different to running an educational company. Choosing a badly matched franchise could be an expensive mistake, so it’s imperative to take your time in the process. You should consider:
What you want from a franchise
What exactly are you looking to get out of this investment? Do you need something you can dip in and out of, or are you willing to commit full-time? Do you need it to replace your current salary?
How much money you have to start one
When it comes down to your budget, you need to be realistic. A franchise takes time to be profitable, so you might need savings as a safety net.
Your future team
It’s important to hire the right people, but you’ll also need to provide quality training for your staff, too. Don’t forget to factor this into your plan.
2. Budget for the initial investment
You need to have enough money to get your franchise off the ground.
Determine just how much you have available to invest, how much you can risk, and how much money you need to live on for at least the first twelve months. Understand your commitments and make sure any financial decisions have been carefully thought out.
3. Focus on customer satisfaction
Focus on customer satisfaction and aim to provide five-star customer service – in turn, you could see positive reviews on TripAdvisor and other websites start flooding
n, boosting the credibility of your business.
If you’re running a franchise business in the food and drink industry, hygiene should never be overlooked. It’s your responsibility to ensure that employees are always wearing gloves and hand protection if they’re required to touch food, kitchen equipment, or to clean toilet areas.
If you’ve just launched a franchise, you’ll be able to make the most of some fantastic networking opportunities in the early days. Get involved with your local community to raise awareness of your
brand, and network with other local businesses and competitors.
Franchising offers scope to connect with other networks, motivating other key industry figures, but it’s crucial to stay aware of the risks, too.