- Franchising a business is very popular in the fast growing and changing business environment all over the world.
- But it's not as easy as it may sound at the beginning. There are a lot of factors to consider, such as the suitability of your business and your own preparedness to franchise your business.
- If you want to learn how to franchise a business, you will have to know these 7 simple steps.
Want to grow your business, raise capital and know franchising may be an option but you are unsure what’s really involved? Well, franchising is a great way to grow your business, often allowing you to expand locally, interstate and even internationally.
But it can cost thousands of dollars, take lots of work and, if you don’t get it right, fail – horribly.
So how do you:
- Decide if franchising is right,
- Find out how to franchise a business and its cost,
- Avoid the pitfalls and find out exactly what franchising is about?
Franchising is not just about preparing the documentation and recruiting franchisees. First you need to get some crucial things right, including budgets, territories and marketing – and it has to be profitable for everyone in the long term. Fail this profitability test, and your new franchised business will not succeed. Get it right and it can grow exponentially.
There are 7 simple steps on how to franchise a business
- Learn about franchising and franchise opportunities: How does franchising work?
- Work out your businesses feasibility study and business plan: Is your business suitable? Does it suit you?
- Develop you franchise model: Prepare franchise documents and the legal agreements.
- Develop your franchisor business: Get your franchisor business up and running.
- Establish a franchisee pilot: Operate a franchise outlet successfully.
- Recruit your first franchisees: Advertise, select carefully, open the first outlet and grow from there.
- Manage your franchise business into the future: Develop the group as a whole, keeping it current and fresh.
Now that you know the 7 easy principles of how to start a franchise business, are you ready to do it?