Before you can even think about franchising your business, you need to know everything there is to know about it. In order to do this, you should thoroughly research the options that are available to you as well as the market that you’re in. This will help you figure out what’s going to be best for your business in the long run, as well as whether or not franchising your business at all makes sense.
What is a franchise?
A franchise can be defined as a business that’s run under an existing business brand. This means that someone else, who has already done all of their groundwork, handles all of your hard work for you. The biggest benefit to starting a franchise is that you don’t have to worry about creating your own brand and instead focus on selling what someone else has created. Having to start up a new company is risky and time-consuming; buying a franchise allows you to get a head-start with little risk involved.
Why franchising your small business could be a great opportunity
If you’re considering franchising your small business, it could be a great opportunity to grow your company and cash in on a proven concept. According to Statista there are about 753,000 franchise establishments in operation today, according to Entrepreneur magazine; franchising has become an increasingly popular way for entrepreneurs to launch new businesses or expand their operations beyond their local markets. It can also be an effective strategy for companies that have been around for a while but want to grow more quickly than they can through organic growth alone—in other words, it’s not just startups that franchise as a way of growing faster and larger than they would organically.
How to franchise your small business
One of the best ways to get your business off the ground, expand your brand and become a household name is to franchise. This will allow you to spread your business far beyond its initial location, bring in steady revenue, improve efficiency and offer opportunities for new growth. It’s a smart move for seasoned entrepreneurs as well as newcomers looking to take their careers into their own hands. Before diving into the process though, there are some important steps you need to know and consider first: Where do I start? The main steps involved in franchising your small business include research and planning, drafting contracts, selecting the right franchise broker and more. Below we list the main steps you should take when it comes time to franchise your small business.
Step 1) Make sure your business is franchisable
Before you can build a franchised empire, you need to make sure your company is actually franchisable. The first step is to look at how other franchises are run. Make a list of what works for each business and try to determine if your business will be successful with those practices. Once you’ve taken some time researching other franchises, write down what makes sense for your business and then choose which things will work best for you. While there are no set rules for making your business franchisable, it’s important that you follow all of these steps in order to ensure success when it comes time to expand outside of your location or sell additional franchises.
Step 2) Use a qualified franchise consultant
Before you do anything else, it’s essential to work with a franchise consultant that can help you determine if franchising is right for your business and prepare you for what happens next. You don’t need to spend a fortune on franchise consultants; we recommend beginning with experienced franchise consultants such as IBGN from day one, who can guide you through an in-depth screening process to ensure that franchising is right for your business. This can be a great way to get your business expanded the right way by using professional advice every step of the way.
Step 3) Advertise your franchise for sale on a franchise directory
There are a few different franchise directories, but one of our favourites is Businesses For Sale UK. This directory offers cheap and reliable franchise advertising so this can be used as a very effective way to recruit new franchisees. It also promotes your listing on its social media accounts, making it even easier to attract potential buyers. You’ll need to pay an additional fee to advertise on these sites, but if you’re looking to sell franchises quickly, it may be worth it.
Now that you have a strong idea of where to begin, it’s time to take action. You could consult an attorney or accountant for help with business law and legal aspects of franchising. These are two topics that can get very complicated very quickly, so be sure to reach out if you think that assistance would be helpful. In addition, there are many associations and groups dedicated to helping people learn about franchising. If you want in-person assistance or want to talk with other people who are interested in franchising, these organisations may be able to provide some guidance. Also, don’t forget about networking!