If you’re considering entering the world of a franchising, there are several questions that require thought and consideration before taking the plunge. Being honest with your answers to these questions will ensure your franchise career will be the right choice for you.
Business & financial acumen
Having a positive attitude and enthusiasm for business is great – essential in fact. But having a real knack for business and finances and good sense when it comes to forecasting trends is what ensures success and longevity for your franchise.
Steven Rosen from Forbes defines business acumen as “the critical business thinking required to achieve your sales objectives.”
This involves everything from being able to communicate effectively with employees and stakeholders, being realistic about financial investments, being able to plan for the future and the ability to react both offensively and defensively to issues that arise.
Part of a strong business acumen is setting achievable sales objectives and having a plan of action to meet them. This is closely linked with having the ability to plan financially. It is important to determine the initial start-up investment and work with the franchisor to determine sales forecasts, the main expense categories (like staffing) and how long it will take to break even and start making money.
At the same time, you also have to eat. Consider the financial impact on your personal life before investing in a franchise. Investing into a new business venture is something that you need to be comfortable with.
It’s time to take a long, hard look at yourself and ask: “do I have the necessary personal traits to be a franchisee?”
First and foremost, franchisees need to be able to multitask. You’ll be managing employees, suppliers, consumers and stakeholders, all with very different yet equally as important needs. Ensuring your employees get paid on time as well as scheduling the week’s orders are just two of the tasks that will need to be co-managed, so ensure your time management skills are up to scratch.
Passion and self-motivation is key when it comes to being your own boss and motivating your team. As a franchisee, it’s up to you to roll out of bed for early morning starts and stay back for late night finishes. It’s a completely different way of working for those new to business and potential franchisees need to have a strong sense of willpower and self motivation when it comes to putting in the hard yards, particularly in the early days.
Prospective franchisee’s need to be able to stay focused on the light the end of the tunnel. The life of a franchisee can go beyond 9-5, and personal lifestyle patterns may have to be altered to accommodate for your new business. An openness to making these changes and being able to adapt is what ensures a successful and long lasting franchise.
Choosing the right franchise family for you
What do you like? Food? Helping others? IT and technical services? Focusing on your interest will help you choose the franchise industry that you want to be a part of. When faced with “the tyranny of choice,” it pays to do your research. Attend industry events, seek out others who are on the franchisee journey and look into the industry itself before making your choice.
Once you’ve narrowed down the industry you want to join, researching various franchises within the field will help you choose the right one for you. Do your research and know what you’re buying into. Does the franchise have a great track record within the business sphere as well as the wider community? What is their franchisee turnover rate? What kind of systems do they have in place to support new franchisees? Who are they as people and what does the company stand for?
Consider the wider impact of the franchise upon the community. What are their social and philanthropic efforts? Being part of a team that contributes to society will provide you with a sense of personal fulfilment and motivation that goes beyond dollar signs.
At Rolld, our franchisees are a part of our family. We like to make sure that each person we work with is not only equipped with the tools to succeed but have a solid understanding of what’s required.
If you’re looking to join a franchisee (and family!) like ours then please email email@example.com for more information and we will happily give you some more advice.Back To Posts