31 October 2016
What makes a successful franchise?
Once you have made the decision to change your lifestyle and own your own franchise, the next step is to determine which franchise you want to be a part of.
This is always the point where you begin extensive research to come up with the best answer. However, with so much information out there, where do you start? What makes one franchisor ‘better’ than the other?
Here are five key characteristics of a good franchisor that can help you narrow down your options:
1) They encourage input
For many franchisees, part of the thrill of owning a franchise is running your own business and being your own boss. Though franchising can provide a strong support network, you want to make sure your franchisor will listen to your opinions and allow you some degree of input into decisions made. Here at Bedshed, you can become a member of the ‘Franchising Advisory Council’ (FAC) or the ‘Merchandise Advisory Council’; where members input into marketing and purchasing decisions.
2) They help you be successful
Whether it’s recognised or not, we all go into business to make a profit, money is a huge motivator for most franchisees. Ask the right questions to make sure you understand what return you can realistically expect to make from your franchise, year on year and ask for evidence to support this. Bedshed's franchise calculator can help with this process and allows you to compare multiple models side by side.
3) They offer opportunities to build your skills and experiences
Many franchisors do a great job at supporting franchisees day to day, but what extra can they offer you? Bedshed, for example, offers franchisees the opportunity to attend bi annual overseas buying trips, to help develop the supply chain and contribute to range development. Make sure you ask the right questions so you can understand what you will really get out being part of a being a part of the franchise.
4) They’re sociable
Other franchisees in your network can become one of your biggest sources of advice. Check and see if your franchisor encourages and facilitates regular meetings between franchisees so you don’t miss out on this invaluable source of support. Here at Bedshed, we hold regular meetings and awards nights where franchisees can meet, socialise and share success.
5) They’re trustworthy
You are investing a substantial amount of money into your franchise, so you want to ensure you are in good hands. Newly established franchises can be risky – look for a franchise with an experienced executive team and a proven reputation and business model that has stood the test of time.