Franchising: it’s for the mega corporate giants, right?

Lots of the global brands we know and love operate at least part of their business under the franchise model, because it works.

Don’t forget, however, that many of these names started small. For example, Hertz started life with a fleet of 12 Model T Fords. Compare that to now, when you can’t leave an airport or even open your in-flight magazine without their logo jumping out at you.

Remember, franchising doesn’t come after success, it helps you gain recognition by helping you scale your business and reach new audiences in less time than it would take you personally to set up shop in each city.

In fact, there are more franchises out there than you think. With 935 franchise systems in the UK currently, it’s unlike what you’ve heard of them all.

In Franchise Direct’s Top 100 Franchises, they’ve listed 12 children’s companies, 4 cleaning companies in the top 20 and a range of other companies you may not think would franchise: internet services, gardening, B2B consulting and jewellery retail such as Pandora and Swarovski.

Lots of small to medium-sized businesses have got what it takes to become a franchise system with a few tweaks, even if you’re just a one-person band.

A FRANCHISE BUSINESS NEEDS TO BE:

REPLICABLE

You have to be able to create a carbon copy easily and efficiently.

PROFITABLE

If your business isn’t making money, then it’s not a viable opportunity for someone else.

AT LEAST ONE YEAR OLD

You need to have accounts and be able to create projection figures.

There are other factors you need to consider, such as, have you trademarked your branding? If not, you can’t sell it.

FRANCHISING IS FOR YOU IF...

You want to reach new places and people

If you believe in your mission and that you’re the best at doing what you do, then perhaps you want to provide your services far and wide. Franchising helps you find potential customers in new areas.

You love to inspire entrepreneurship

If you’ve had the good fortune to create a thriving business and want to help others benefit from the opportunity to be their own boss, franchising allows you to simultaneously grow your business while offering your wisdom, expertise and mentorship to new business owners.

You’re a victim of your own success and want more free time

It can be overwhelming when your business has really taken off and you’re struggling to manage all client requests. When you can’t go on holiday without taking your laptop with you and you’re checking your mobile phone every five minutes, franchising may help you to reorganise your business structure so it runs without you.

You’re looking for quick growth without taking out loans

Scaling your business often requires additional capital, but if you’re not keen on going cap in hand to the bank or if you don’t want outside investors interfering with your business operations, then franchising is an effective way to grow without getting into debt or losing control of your business.

You’re looking to leave your business

Some business owners don’t want to stay in their business forever, yet they want to leave it in a healthy state to carry on without them. Reorganising your business as a franchise system means it’s less reliant on your input. Your head office team will be able to help the new owner step up to the plate.

FRANCHISING IS NOT FOR YOU IF...

You’re looking for a quick fix

While franchising helps you replicate your business over and over, taking on your first franchisee will take time and effort on your part. You’ll learn a lot about the onboarding process and adapt as you go.

You’re not interested in supporting new franchisees

Franchisees will only succeed if you help them. If you don’t train them properly or provide them with the right resources, they will fail and this will impact your company’s reputation. If you don’t like mentoring people personally, then you need to hire someone who does.

You’re not willing to develop your company

While it’s up to franchisees to market and sell in their own areas, as the franchisor, you need to keep on improving the brand. You do this by finding new opportunities for franchisees to make money and creating new services. Part of the management service fee they pay you is for marketing, training and development.

You are your business

If your name is part of your success, or the company relies on your skills or personality alone, then it’s going to be hard to replicate your business. Craftspeople, creatives and personal brands will find it hard to become a franchise.

You love your day job and couldn’t live without it

If you love being a hands-on service provider or you love the one-to-one contact with your customers and couldn’t imagine working any other way, then you may not enjoy being a franchisor. This entails mentoring franchisees and developing your business strategy rather than the day-to-day operations of your business.

Are you looking to develop your health and social care or wellbeing business as a franchise?

Here’s how you can work with us

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