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How can you know if your business is ready to franchise?

Franchisor Journey

Though franchising is the best option for expanding a business, but the fact is that not all businesses make good franchises. There are several signs that indicate yours is the perfect business concept to do so. To know whether your business is franchise worthy, consider the following points mentioned below:

1. Is it working?

In order to franchise a business, the business model must first be proven. To establish credibility to sell franchises, you’ll need to show you’ve got a successful operating prototype.

2. Can you sell it?

In order to be franchisable, the business model also needs to be attractive to potential franchisees. While it is difficult to quantify “salability,” factors such as credibility, uniqueness, and brand “USP” all contribute. For e.g. The famous pizza franchise Domino’s strongly focuses on timely delivery. This helps them differentiate it from the competition.

3. Can you clone it?

The key to success in franchising is making sure that your franchisees are easy to replicate. If the concept only works because of a unique location, a superstar salesperson, or because an owner is working 80-hour weeks, it is going to be difficult to repeat the same magic by others.

4. Can you provide the franchisee with an adequate return?

A franchisee who is an owner-operator will expect to get a return, both for the time that they spend in the business as well as their investment in the franchise.

5. Are you committed to providing value?

 The franchise business is largely about maintaining relationships. The most successful franchisors are typically those that are the most committed to making sure that their franchisees are successful.

6. Do you have the capital?

While franchising is a low-cost means of expansion, it is not a “no-cost” strategy. A new franchisor will need capital to develop legal documents, manuals, training programs, and marketing materials, not to forget even a marketing budget for franchise lead generation.

At FranCorp, we have a team that assesses, guides you with the tools and resources that can help you decide if your business is ready to become a franchise brand. We will work with you to determine what your business needs to grow and our experts with rich experience can create a personalized plan that will be effective and efficient.

 If you’ve thought “how can I franchise my business” reach out to us and we’ll let you expand your business footprints via franchising.Click here to connect and start your Franchisor Journey

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