Questions to Ask Yourself While Choosing the Best Franchise Opportunity
Many enterprising people just like yourself have opted to take advantage of a promising franchise opportunity instead of building a new business from scratch. Finding opportunities isn’t difficult, there are examples of successful franchises in nearly every single industry. The challenge is figuring the best franchise opportunity for you.
What are Your Long- and Short-Term Entrepreneurial Goals?
Before starting to seriously research the best franchise opportunities, you need to consider both you long- and short-term entrepreneurial goals. Having a clear idea of these goals allows you to quickly discard franchises that don’t fit your personal and professional needs. Knowing your goals means you won’t waste valuable time exploring unsuitable franchises.
What Strengths do you Bring to the Table?
Other things you should consider while determining your long- and short-term goals include:
· What are your business strengths and weaknesses?
· What industries excite you
· What industries do you have personal experience with?
· Will you need additional training before you’re ready to become a franchisee
The answers to each of these questions will give you a solid idea about the type of franchise opportunities that are the best match for you.
Align yourself with a franchisor who has created an franchising arrangement that will play to your strengths. For example, if you have a strong background in management, but not marketing, you want to look for franchise opportunities that have a solid marketing plan you can utilize as well as a franchisor who is content to let you handle all the location’s management needs.
You should also discount franchise opportunities that aren’t related to an industry that you understand/enjoy. Owning a portion of a franchise is a long-term project, if you don’t enjoy the industry, you’ll have a difficult time enjoying the franchising experience.
How Involved Do You Want to Be with the Franchise?
When it comes to running an actual franchise opportunity, franchisees fall into one of two categories. One group becomes hands on owners and take an active role in the management of opportunity. Others prefer to hire employees and outsource the opportunity, while they continue to work in their original profession or pursue another interest.
If you like the idea of being a hands-on franchisee, nearly every opportunity will appeal to you. However, if you don’t want your entire world to revolve around the franchise, you will want to look for franchise opportunities that enable to you to step back and trust others with the day to day running of the business.
The good news is that there are many outstanding franchise opportunities for both types of franchisees!
The Best Franchise Opportunities
Knowing which questions to ask yourself before you embark on choosing the best franchise opportunities is just half the battle. The second half is knowing what to look for when you’re considering various business opportunities. All of the best franchise opportunities:
· Have a solid and detailed support system in place that guides franchisees through the process of starting their own portion of the franchise
· Have franchisors that carefully evaluate each franchisee application and only select those that they truly believe will fit in well with the organization
· Have a clear FDD
· Don’t dealing with a large amount of legal accusations
· Have respectable sales-per-units
· Provide a detailed model of payments and revenue
In addition to looking at the nuts and bolts of each franchise opportunity, you should also speak to the franchise’s current franchisees who will provide you with great information about how good the franchisor is about dealing with problems, providing honest information about the franchise, and if there are any unexpected costs.
When choosing a franchise opportunity, pay careful attention to your internal radar. If it is whispering that a franchise opportunity is perfect, it most likely is and you should fill out the application.