As you contemplate how to grow your business you may be asking should you franchise your business. It is important to assess what your business really has to offer and will continue to offer someone long after you train them and before you go down the franchising path. Let’s visit a few key elements about your business that you should take into account which will help determine if franchising makes sense for your business.
Processes That Maximize Efficiencies
You may think that you do not have formal processes. In fact, processes may have become so engrained in your business that you do things habitually and do not even realize it is a process. The processes, methods and techniques that you have developed has enabled you to be efficient. It is important to remember that people buy a franchise because they can easily learn not only how to start up and run a business quicker than they could do themselves but also the different processes you have created that will allow them to be efficient (see other reasons why people buy a franchise).
The best way to describe your processes is really to call them “best practices”. More than likely you have best practices that drive your daily operations. So for example you may: have checklists and routines; use specific software; or have a particular order in the way you do things to get the job done. In a sense franchising is just a matter of collecting all your best practices so that you can teach them to other people who open your business in their market.
Duplication
Let’s talk about duplication which can be summed up by describing it as stamping your business over and over again in other markets. Here are some things to think about:
Scalability: This addresses both the ability for your business to handle growth, as well as different ways someone can operate your business. So maybe someone can start out operating your business out of their home or a small office then expand into a bigger location later. OR perhaps there are different variations of your business model. OR perhaps there is room to add some other services and products later (scalability is one of the keys points to building a successful franchise).
Sustainable: Bottom line: is there a demand now for your product or services and will there be one in the future?
Train & Mentor: Are you a teacher by nature? Do you want to help others succeed? As a franchisor you must have the passion to train and mentor other people (more on the importance of franchise training).
The “IT Factor”
Ask yourself, does your business have the “IT Factor”? The “IT Factor” could mean you are a destination place; what you offer and how you do it is unique and unlike anyone else; or maybe you created your own market. If you are not sure we will help you identify your “IT Factor”.
If asked the question, “What makes your business unique and different?” would you be able to differentiate your business from your competitors? Would it be very hard to convince someone to buy a franchise? For example:
- Do you have a proprietary product, equipment or method that makes you unique?
- Is there anyone else that does what you do? Are you first to market and offer your service(s) or product(s)?
- Do you serve a niche market?
- Have you come up with a different way to provide a service?
- Do you have high standards of excellence and customer service that has set you apart from everyone else?
- Does your passion and confidence show through, drawing people to your business?
Bottom line is that a business with the “IT Factor” tends to evoke an emotional experience from us. So how do people feel about your business? Does your business have the “IT Factor” or can you ignite it?
Take a moment to evaluate each of these elements and this will help you determine how your business measures up. Take a look at your processes (best practices), your ability to duplicate and your “IT Factor.” Do these describe your business? If you answer, “Yes, absolutely!” then it may be time to franchise your business (see some of the factors to take into consideration when determining if your business is franchisable). Perhaps you would like someone to validate your thoughts that you are ready to franchise or maybe you are not sure and want with someone who will give you straight answers. Either way we will help evaluate if franchising makes sense for you. Call us directly at 1-877-615-5177 or simply contact us and let’s talk.
- Duplicating Your Business
- Does Franchising Make Sense for a Product
- Providing Value as a Franchisor
- Being First to Franchise
- Easy Steps How to Franchise
- Franchising Your Restaurant
