Focus on what you love
One of the most commonly seen reasons for the adoption of a franchise brand is the pursuing of a hobby or career passion, yet, when starting up your own business people often under-anticipate the diversity of work which must be overcome. Let’s paint a picture. You’re starting up your own legal firm, you love legal work and you are great at it, perfect right? Probably not. Firstly, let’s consider the fundamentals of what makes a business, the paperwork and on-going accountancy. The on-going management and volume of time which must be devoted to advancing your organisation to correlate with the basic level of industry innovation. What about your brand? How are you going to market it? Create rapport? Establish yourself within your local community? How are you going to stay on top of your digital presence? Your social presence? Your visual branding? If you’re a sucker for business in general, it might not seem that daunting to you. On the other hand, if you’re a lover of everything legal then it must turn into something you hate.
Franchising takes that away. They take care of all the marketing, branding, business model, innovation and technological integration while leaving you with the core of the business model. If you’re running a restaurant, this core may be in cooking and management skills. If you’re in logistics, it may be in truck maintenance and inventory tracking. If you’re in legal, it’ll be legal-oriented skill-sets and B2B communications. You get the point, franchising allows you to focus on what you love while they take care of the boring!
Launching your own business can be an uphill battle of familiarising yourself with the day-to-day functions and learning new skills as they are required. This is only a distraction from the core of your business and will often lead to being somewhat alone in your fight.
The communal aspects of franchising completely bypass this, there will be a network of easily reachable people who are in your literal position. Additionally, it’s likely some of these people will have been in their franchise business for longer and therefore may have already experienced the exact problem/obstacle you’re combating.
Usually, franchises provide direct lines of communication through email and telephone. Additionally, when starting your business they may assign a more experienced member to you as your mentor. This mentor will help you learn the ropes without having any problems to tie you down. You simply go through a smooth learning curve and straight into a profitable business that you understand like the back of your hand.
Proven business model
Starting a business on your own? How do you know it is even market validated? Geographically validated? Culturally validated? There’s always a risk that upon starting your business and investing capital into launch, it turns out that there is not a market for your products/services. It’s a risk that drives many away from starting up by themselves.
Does franchising combat this? Of course. To realise how we only have to look into why business franchise themselves, their business has been proven profitable and they know it has widespread validation which they want to tap into as soon as possible. Problem is, they don’t have the capital to do so by themselves. By franchising they can achieve that rapid scalability conveniently and while still consistently growing their income. It establishes their brand, their product and their significance in the market.
You are getting a pre-packed business that is proven profitable. It’s going to make money if you hold up your part of the bargain and franchises will help you do the geographical and cultural validation as your success is in their best interest as well. Sounds good, doesn’t it?
Managing is often a primary aspect of franchisee success. The ability to align your staff with your business and its day-to-day functions is something which can create a powerful team and even more powerful revenue. If you master one franchise instance, there’s no reason why you can’t scale it up and buy additional branches. In fact, a lot of franchisees already do this and occupy multiple instances of a singular brand. For example, a lot of fast food chain owners own multiple restaurants which are regionally specific.
Why is it easier to scale as a franchisee rather than an independent owner? For the same reason it’s easier to buy into a franchise. It’s proven, communal and all of the boring parts are outsourced through your franchiser.
Feb 02, 2015