No doubt the idea of expanding your business and growing into different markets is something you have thought about often. However the challenge is HOW to do this without adding tons of overhead, without spending a lot of money and without the additional headaches of managing each location and employees. Perhaps you have even thought to yourself, “If I don’t franchise I may be missing out!” Maybe you have put a business together that is a game changer and you are afraid that if you can’t expand quick enough you may be missing out on market share. When you want to expand (or simply need to out of demand) franchising may be the solution (check out this article for more on how franchising is a strategy for growth).
Here are a few concerns we hear business owners express when it comes to growing their business:
“If I don’t franchise I may be missing out on the chance to get my business to the next level of growth as quick as I want because I can only do so much myself.”
You may have goals to expand your business in different markets; however you may be limited on time, resources and capital. If you don’t franchise your business you know that your growth is going to be limited to what your own resources will allow. Franchising is one of the best methods of expansion if you are in this situation because the people who buy into your system (your future franchisees) will be using their own resources (talent, time and money) to start your business in their market. You are no longer handcuffed by your limitations. Furthermore franchising offers multiple benefits, here are just a few: a) franchising allows you to maintain an element of control over how your business is operated (learn how much control you really have when it comes to franchising); b) you are able to specify which services and/or products future operators are allowed to offer; c) as you continue to grow your system and bring on operators in different markets you will start to experience branding, more likely quicker than if you tried expanding on your own; and c) you will not need to worry about hiring employees and managing another business. On the other hand, if you don’t franchise then your option is organic growth and doing it all on your own.
“I am passionate about helping other people. If I don’t franchise I will be missing out on the opportunity to help others own a business and be successful.”
Perhaps you have a strong interest from other people asking if they can start your business in their area or even if they can buy a franchise from you. This tends to happen when your customers or clients recognize what your business really has to offer and perhaps how you do it is a game changer. Maybe you have just figured out a new twist to something already out there or have come up with a more effective way of providing a service. Either way your business has attracted attention. You may have even started a list of people who have expressed an interest in your business. If you don’t franchise you will be missing out on the chance to award these people a franchise and get your game changing business out there faster for more customers or clients to learn about. Bottom line is that if you have a passion to want to help other people and be a positive influence in changing their lives, franchising is a great avenue to satisfy that thirst while at the same time expanding your business. Not to mention if you don’t franchise then these people may decide to start a business like yours on their own, franchise it and become your competition (more on franchising before someone beats you to it).
“If I don’t franchise I will be missing out on the opportunity to retain talent and provide my employees with a chance to someday own their own business.”
You have a mix of employees and perhaps some of them have been with you since day one. These employees know a lot about your business (maybe even as much as you). You know that some of your employees have aspirations to eventually own a business. If you don’t franchise you can’t provide your employees with the potential opportunity of owning a business of yours and subsequently may lose them when they decide to veer off on their own. Even worse, your employee may start a business that competes with yours. Franchising provides you with a way to reward an employee with the opportunity to own his/her own business (more on franchising for employees). Ultimately the goal is to bring on franchisees who are “just like you” and you may find there is no one better than one of your employees, who is already passionate about your brand, to be one of your first franchisees. Not to mention having this option if very appealing to employees and creates tremendous loyalty. And since franchisees are not considered employees, you won’t have to worry about managing this employee turned franchisee’s day-to-day operations.
If any of the above statements resonate with you and you have been thinking, “If I don’t franchise, I may be missing out” give us a call directly at 1-877-615-5177 or send us your contact information. We will gladly talk with you to evaluate if franchising makes sense for you.
