Our strong advice when recruiting new franchisees is having a well organised and structured recruitment procedure so that prospective franchisees feel confident that they will be given the time and information they need to make a decision. Franchisees need advice about the funds they need to get started, and they must feel comfortable that they can fulfil their day to day obligations. Is the daily routine going to provide them with the rewards and ‘job satisfaction’ they are looking for from a business? They must also be confident that they can work with the franchisor.

Looking at the recruitment of new franchisees from the franchisor’s perspective, our advice would always be, before making an offer to a prospect be as sure as possible that the prospect has the necessary skills, experience and funds that are needed to be successful.

Our advice to prospective franchisees is that good franchisors will help them to make the right decision by providing them with the time and information they need to make a properly informed objective evaluation of the franchise opportunity.

Since franchising is usually about relationships with people, it cannot work properly without effective communication. And since the franchisor possesses the knowledge and skills (know how), the initiative and responsibility for this are the franchisors.

There are a number of simple steps that The Franchise Company suggest which can save you a lot of time and hassle (not forgetting the cost!). Here’s what to look out for:

• Is the consultancy affiliated to the British Franchise Association (BFA) – affiliation to the BFA gives you a good idea of the quality of the work a consultancy produces. Remember, not every consultancy will be eligible to become affiliates, so those that do are usually providers of a high standard of franchise consultancy.
• Is plenty of information provided – a good consultancy will provide you with lots of information on their services. Don’t be afraid to ask questions and certainly talk to more than one provider. Ask about the process, the cost and of course the individual consultants who provide the service.
• Client references – always ask for client references. These are crucial for you to get an idea of the types of businesses a consultancy has worked for. And they validate consultancies claims.
• Personality matters – if you are going to franchise, then working with a consultant you get on with is important. Both you and the consultant will work hand in hand, so make sure the chemistry is right between you.
• Consultancy fees – don’t be afraid to discuss the issue of fees. If budgets are tight, a good consultancy will help you with a flexible payment structure and work with you.
• Be wary of sales pitches – if the consultant is promising you instant success and it sounds like a sales pitch, then avoid them like the plague! Franchising is not a panacea to all your problems and often entails a lot of hard work. If its sounds to good to be true, then it most likely is.
• Gut instincts do work – if the personality or the consultancy doesn’t feel right, then trust your instincts. Remember, you’re a successful businessman or woman and you’ve got this far with your instincts!

So now that you know what to expect, franchising should be a pain free exercise. The Franchise Company are keen to speak to you to learn how we can help. Contact us now for more information.

Are you ready for the increased responsibility?

Is it a unique business capable of thriving in a variety of markets?

Are you interested in expanding the size well as its profitability?

If your answer to these questions is yes, then your business may be a good candidate for franchising. Franchising can have many rewards, and even if your business is not quite ready to take the leap into franchising right now, there are a number of things you can do now to prepare for franchising down the road.

Profitability

Profitability is a determining factor in the success or failure of a franchise. Potential franchise investors are interested in putting their money in a business that offers a guaranteed return. That’s why they are willing to put their hard earned cash into someone lese business model. By demonstrating a consistent record of profitability of your own business, you increase the attractiveness of your franchise

Documenting Systems and Procedures

Efficiency is the key to running an effective franchise. Successfully franchised businesses fine-tune their operational procedures and document them through easily-implemented operations manuals. The manual is the basis for all franchisee training, and is used as a day to day guide by the franchisee.

The advantage for the franchisee is that he/she doesn’t have to reinvent the wheel to find out what works. The advantage for you – the franchisor – is that you maintain a certain amount of control over quality and operations even after you have sold a franchise.

Organisation Culture

Long before you make the decision to franchise your business, you should begin grooming key employees who will be capable of helping you reach your goals. These employees should have a keen understanding of your business’ operating systems as well as the ability to communicate their knowledge to others. A good starting point might be to identify a few, quality employees and involve them in the preparation of your business’ operating manual.

Piloting

Before you decide to fully venture into the world of franchising, you should consider the issue of piloting. Piloting is a good way of establishing a franchise (be it company or externally owned) and check your systems and procedures work. The lessons you learn along the way will give you a preview of the challenges you will encounter when you begin full-scale franchising. You will discover valuable information about the systems franchising will require and start to understand which geographic locations hold the best potential for future franchises.

A well run franchise network will transform your business relatively quickly from a local or regional base to a nationally recognised organisation and brand, and occasionally lead to international development as well.

Franchising is now a well established and successful business method that is recognised by the main high street banks and other professions, most of them now have specialist franchise departments.

The first step to franchising your business is to get in touch with The Franchise Company to arrange a free of charge initial consultation so that we can explain more about how franchising works and the potential benefits for you, and also discuss your future plans for expanding your business.  There is a lot to discuss, and information to exchange, but after our initial discussion you will have a clear understanding of how franchising works and the most likely options available to you.

Although there can be exceptions, generally your business needs to have a good track record of sales and operating profits, in other words your business model is ‘tried & tested’. The Franchise Company will then adapt your existing business model to franchising, including all the documentation you will need to recruit, train, launch and monitor new franchisees.

Once the franchise model is in place and recruitment has begun we would usually continue to work with clients for at least 12 to 18 months while they establish their training and launch programmes for new franchisees, because supporting and monitoring the first few franchisees requires a lot of time and attention, meanwhile new prospects are enquiring about the franchise which is usually where The Franchise Company takes some of the pressure from you.

The key stages to franchising your business are;

• Creating the Franchise Start up Package, including return on investment for the franchisee and franchisor
• Produce all the documentation needed to effectively manage and monitor the recruitment process for new franchisees
• Prepare the key franchise documents, operations manual, franchise agreement, induction training programme
• Assist the franchisor with their ongoing recruitment activity for new franchisees and general franchising advice

To find out how to franchise your business successfully, contact The Franchise Company.

Our new website is both informative and useful. To learn more about any of the services we provide or for any franchise related queries, simply complete our contact form. Alternatively, you can email us on info@franchisecompany.co.uk. Why not sign up for our newsletter, which will keep you informed of whats happening in the world of franchising.